You're Measuring the Wrong Things. Here's What Actually Tells You If Your Engineering Team Is Healthy.

Mar 10, 2026 8 min read
Stefanos Damianakis
Stefanos Damianakis

President, Zaruko

Table of Contents
You're Measuring the Wrong Things. Here's What Actually Tells You If Your Engineering Team Is Healthy.

Your engineering team is probably tracking something. Story points, maybe. Sprint velocity. Open tickets. Bugs closed.

None of those, on their own, tell you much about whether your team can deliver reliably.

DORA gives us the research backbone: deployment frequency, lead time, change failure rate, and recovery time. But for many mid-market companies that are not deeply instrumented, three practical proxies are often enough to spot trouble early: release frequency, planning accuracy, and defect escape rate. Most teams either don't track them or don't know what they're looking at when they do.

The Story Point Problem

Story points were designed as a planning tool, not a performance metric. Their inventors have said as much repeatedly. Ron Jeffries, one of the creators of Extreme Programming, has written that story points should never have become a management metric. They were meant to help teams estimate relative effort for their own planning, not to let managers judge output from the outside.

When story points become a target, engineers game them. Estimates inflate. Work that could be a 3 becomes a 5. The numbers start reflecting the incentive, not the effort. The data stops meaning anything.

The same problem applies to most common engineering metrics. Lines of code written, tickets closed, PRs merged, hours logged. These are all activity metrics. They tell you something is happening. They say nothing about what is being produced.

The Three Metrics That Matter

Release Frequency

How often does working software ship to production? Not commits. Not feature flags. Not code merged to main. Actual releases, available to actual users.

This is the most honest proxy for whether a team's process is working. A team that ships consistently, on a predictable schedule, has a functioning delivery pipeline, clear definitions of done, and enough organizational alignment to get things over the finish line. A team that ships erratically has problems somewhere in that chain.

Google's DORA research, which has surveyed more than 39,000 software professionals over a decade, draws the sharpest distinction here.1 Elite engineering teams deploy multiple times per day. High performers deploy daily to weekly. Medium performers deploy weekly to monthly. Low performers deploy monthly or less. In 2024, the high-performing cluster shrank from 31% of respondents to just 22%, while the low-performing cluster grew from 17% to 25%.1

The gap between elite and low performers isn't a matter of degree. It is a different operating model.


DORA 2024 Performance Clusters: distribution of engineering teams across performance tiers, 2023 vs. 2024

Figure 1. Distribution of engineering teams across DORA performance tiers, 2023 vs. 2024. The high-performing cluster shrank from 31% to 22% while the low-performing cluster grew from 17% to 25%. Source: Google/DORA, 2024 Accelerate State of DevOps Report.


Planning Accuracy

What percentage of sprint work actually gets done in a sprint?

This metric is underused because it feels like an indictment of the engineering team. It shouldn't. A team that consistently completes 60 to 70 percent of committed work isn't a bad team. It is a team with an information problem. Something is distorting estimates: unclear requirements, hidden technical debt, scope that expands after the sprint starts, dependencies on other teams that nobody accounted for.

If committed work regularly slips across multiple sprints, that is a signal of unclear scope, hidden dependencies, or poor estimation inputs. The gap between what the team knows when it commits and what it learns after it starts is always fixable. But you can't fix it if you aren't measuring it.

A team with consistently high planning accuracy isn't necessarily working harder. It is operating with better information at the point of commitment, which usually means clearer requirements, better upfront analysis, or shorter sprints with smaller scope.

Defect Escape Rate

How many bugs reach production?

This tells you something specific about quality discipline that few other metrics expose as directly. A team with high deployment frequency and high defect escape rate is not a high-performing team. It is a fast team with a trust problem. Every release is a gamble.

Defect escape rate connects directly to how the team defines "done." A team that ships when code is reviewed and merged defines done differently than a team that ships when code is reviewed, tested, merged, and observed in production for 24 hours. Neither definition is wrong for all situations. But whatever definition the team uses should be explicit and consistently applied.


Engineering Health Metrics Framework: the three metrics that predict engineering team health, what each signals, and what each fails to tell you on its own

Figure 2. The three metrics that predict engineering team health, what each signals, and what each fails to tell you on its own.


The KPI Overload Failure Mode

There is an opposite problem from tracking the wrong things: tracking too many things.

When a team has twenty metrics on a dashboard, no one knows which ones to act on. Meetings become data review sessions. Engineers spend time generating reports rather than fixing problems. Leadership gets a false sense of visibility.

Strong engineering teams keep the measurement surface small. Three to five metrics, reviewed consistently, at every sprint retrospective. Not a dashboard that nobody reads between board meetings. A short, regular conversation, grounded in real numbers, with a clear question: is this number going up, down, or flat, and do we know why?

The goal of engineering metrics is not to grade the team. It is to see problems early enough to do something about them. That requires fewer metrics, not more.

What This Looks Like Without a Dedicated Analytics Function

Most mid-market companies do not have an engineering analytics team. They don't need one.

Release frequency can be tracked in a spreadsheet. Count how many production releases happened per week or per month. Plot it over time. Look for the trend.

Planning accuracy requires knowing what was committed at sprint start and what was actually completed at sprint end. This is a percentage. It takes five minutes to calculate after every sprint.

Defect escape rate requires counting bugs that were reported in production after a release. Your support tickets or bug tracker already has this data.

None of these require tooling investments. They require a consistent cadence of collection and a regular habit of review.

The Real Question

If you don't know your team's release frequency, you don't know whether your team is delivering. If you don't know your planning accuracy, you don't know whether your commitments can be trusted. If you don't track defect escape rate, you don't know whether your releases are safe to ship.

These are not advanced metrics. They are the minimum viable visibility into whether a software organization is healthy.


Sources

  1. Google/DORA, "2024 Accelerate State of DevOps Report" (survey of 39,000+ professionals). Performance cluster data: elite cluster stable at 19%; high cluster shrunk from 31% to 22%; low cluster grew from 17% to 25% in 2024.

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