Framework: Thinking in Business Terms
A new framework proposes a simple do/don't format for engineers and managers to communicate in business terms. Key principles include simplifying technical language, measuring success by KPIs instead of technical metrics, and negotiating tradeoffs with a business-first mindset.
- The framework's emphasis on business-first tradeoffs aligns with established executive communication models like the Minto Pyramid Principle, which advocates for starting with the primary business recommendation before detailing the supporting engineering arguments. - Adopting Key Performance Indicators (KPIs) over purely technical metrics is a common practice at large tech companies to align engineering with business objectives. For instance, instead of reporting on "code coverage," a team might present the "reduction in production bugs impacting user satisfaction," which directly ties technical work to a business outcome. - The call to simplify technical language resonates with the need for engineering leaders to transition from a technical to a business-focused vocabulary as they move into director-level roles. This often involves framing engineering initiatives in terms of their impact on revenue, operational efficiency, or customer retention. - Frameworks like STAR (Situation, Task, Action, Result) are often used by engineering managers in executive updates to structure their communication. This method provides a clear narrative of a project's progress and its ultimate impact on the business, which is more effective than a simple status report. - At Apple, KPIs are used across various departments, from sales and marketing to product development, to ensure alignment with the company's overall strategy. Engineering metrics would likely be expected to connect to broader company objectives such as customer retention rates or the innovation index. - The principle of a "business-first mindset" encourages engineers to understand the 'why' behind their work. John Crickett, the framework's author, advocates for engineers to be curious and ask questions to understand the underlying business needs before building solutions. - Executive dashboards at tech companies often visualize engineering KPIs in a way that is easily digestible for non-technical leaders. These dashboards might track metrics like "time-to-market" for new features or "engineering project ROI" rather than lines of code written. - The transition from an engineering manager to a director often requires a shift from managing individual contributors to managing other managers and influencing cross-functional teams. This necessitates a greater focus on strategic communication and demonstrating the business value of engineering efforts.