The QA Manager's Power Play

Unleashing KPIs & Data to Become an Indispensable Leader

Introduction

Do you feel like your QA team’s true value gets lost in the daily grind of testing?
Are you ready to take your career to the next level and become a strategic leader who drives business success?
This practical guide equips QA Managers with the power of data-centric test reporting. You’ll learn how to leverage KPIs (Key Performance Indicators) to quantify your team’s impact and showcase the vital role QA plays in delivering high-quality software. By mastering this approach, you’ll gain the confidence and credibility necessary to secure resources, elevate your team’s effectiveness, and solidify your position as a trusted advisor in your organization’s leadership team.
By the end of this ebook, you’ll be equipped to:

It’s time to embrace the power of data and propel your QA career to new heights!

Objective 1:

Enhance QA Team Efficiency for Faster Delivery and Higher Quality

Goal:

Reduce Testing Cycles by X%
Increase Bug Detection by Y%

Target Audience:

QA Director, QA Manager, QA Team Lead, QA Team

Overview: In this objective, we spotlight our testing team to optimize QA performance. By improving our QA team’s efficiency, we aim to complete testing cycles faster, identify severe bugs earlier, allocate time effectively, and ultimately release higher-quality software with confidence

Business Contribution:

KPI 1.1

Planned vs Executed Testing Progress

KPI 1.2

Rejected Defects Percentage

KPI 1.3

Automated Test Coverage

KPI 1.4

Test Effectiveness

KPI 1.1:

Planned Vs Executed TESTING PROGRESS

The Planned vs Executed Testing Progress metric is used during the cycle and measures the alignment between planned and executed tests for a cycle or sprint, providing insight into the testing team’s efficiency and the realism of time vs task evaluations.
This metric highlights delays and unexpected tasks, alerting stakeholders to potential project risks. Understanding the variance between planned and executed tests optimizes resource allocation and improves future testing cycles.

Formula:

Planned vs Executed Tests = (Number of Executed Tests / Number of Planned Tests) * 100%

Planned vs Executed Test Runs

Desired Outcome:

Aim for a high percentage of executed tests relative to planned tests to ensure comprehensive test coverage. Typically, a target of 90% or higher is considered optimal.

Example:

Calculation: Planned vs Executed Tests = (95 / 100) * 100% = 95%
Result: The Planned vs Executed Tests metric for this sprint is 95%, indicating that the QA team successfully executed 95% of the planned tests.
Actionable Guidance:
Here are some steps to improve this metric:

KPI 1.2:

Rejected Defects Percentage

Rejected Defects Percentage measures the rate of defect reports rejected by the development team. This typically happens when reported issues are not reproducible, aren’t actual bugs, or are duplicates of existing reports.

A high Rejected Defects Percentage indicates potential misalignment or communication gaps between QA and development. This can lead to wasted time and resources for both teams and potentially missed real defects.

Formula:

Rejected Defects Percentage = (Number of Rejected Defects / Total Number of Reported Defects) * 100%

Defects by status

Desired Outcome:

Aim for a low Rejected Defects Percentage. A common target is less than 10%.

Example:

Calculation:
Rejected Defects Percentage = (12 / 100) * 100% = 12%

Result:  A score of 12% indicates a higher-than-desired rejection rate. This suggests potential issues with defect reporting or misalignment between QA and development.

Actionable Guidance:
Here are some steps to improve this metric:

KPI 1.3:

Automated Test Coverage

Automated Test Coverage measures the percentage of test cases covered by automated tests compared to the total number of test cases. It helps assess the efficiency of test automation and reduces the manual testing burden.

Tracking Automated Test Coverage evaluates the efficiency of automation and identifies areas to improve testing and reduce manual efforts.

Formula:

Automated Test Coverage = (Number of Automated Test Cases / Total Number of Test Cases) * 100%


tests by category

Desired Outcome:

The goal will depend on the organization, team, and software being tested. Although a high automation percentage represents higher efficiency, it’s important to remember that 100% automation is not an achievable goal, as there are some tests that automation can not replace human judgment.

Example:

Calculation:
Automated Test Coverage = (1600 / 2000) * 100% = 80%

Result: A score of 80% indicates a strong level of test automation coverage. This allows the QA team to focus their manual testing efforts on more complex areas or exploratory testing, maximizing overall efficiency.

Actionable Guidance:
Here are some steps to improve this metric:

KPI 1.4:

Test effectiveness

Automated Test Coverage measures the percentage of test cases covered by automated tests compared to the total number of test cases. It helps assess the efficiency of test automation and reduces the manual testing burden.

A high Test Effectiveness percentage indicates well-designed test cases that catch defects early, leading to higher-quality releases and fewer post-release issues.

Formula:

Test Effectiveness = (Number of Defects Detected / Total Number of Test Cases Executed) * 100%

Desired Outcome:

Aim for a high Test Effectiveness percentage. While it may be difficult to reach 100%, try to get as close as possible.

Example:

Calculation:
Test Effectiveness = (40 / 250) * 100% = 16%

Result: A score of 16% indicates that 16% of executed test cases identified defects.

Actionable Guidance:
Here are some steps to improve this metric:

Objective 2:

Increase Cross-Team Efficiency, collaboration, and coordination

Goal:

Increase velocity by X%
Increase bugs detected earlier by Y%

Target Audience:

QA Director, QA Manager, QA Team Lead, QA Team

Overview:  This objective aims to foster seamless collaboration between QA, Development, and Product. By enhancing cross-team efficiency and minimizing misalignments, defects can be identified earlier, ensuring higher-quality software delivery to end-users.

Business Contribution:

KPI 2.1

Planned vs Executed Testing Progress

KPI 2.2

Rejected Defects Percentage

KPI 2.3

Automated Test Coverage

KPI 2.4

Test Effectiveness

KPI 2.5

Bug Reopen Rate

KPI 2.1:

Shift-left testing percentage

Shift-Left Testing Percentage measures the portion of your testing activities conducted in early development stages, such as unit testing, integration testing, and nightly build testing.

A high Test Effectiveness percentage indicates well-designed test cases that catch defects early, leading to higher-quality releases and fewer post-release issues.

Formula:

Shift-Left Testing Percentage =
(Early Stage Tests / Total Tests) * 100%

tests by test Type

Desired Outcome:

A higher Shift-Left Testing Percentage reflects a more proactive QA strategy. Note that industry benchmarks can vary significantly, 15%-30% on average.

Example:

Calculation:
Rejected Defects Percentage = (12 / 100) * 100% = 12%
Result: This calculation indicates that 25% of testing occurs early in development.
Actionable Guidance:
Here are some steps to improve this metric:

KPI 2.2:

Internal defect leakage 

Internal Defect Leakage measures the percentage of defects identified by the QA team that should have been caught during earlier testing stages, such as unit testing. This metric is directly tied to shift-left testing practices.
A high Internal Defect Leakage rate shows weaknesses in early testing. Addressing these weaknesses improves unit testing, reduces later retesting, and saves QA team time.

Formula:

Internal Defect Leakage = (Defects Missed in Early Stages / Total Number of Defects) * 100%


Desired Outcome:

A higher Shift-Left Testing Percentage reflects a more proactive QA strategy. Note that industry benchmarks can vary significantly, 15%-30% on average.

Example:

Calculation:
Internal Defect Leakage = (Defects Missed in Early Stages / Total Number of Defects) * 100% = (10 / 100) * 100% = 10%

Result: This project has a 10% Internal Defect Leakage rate. This means 10% of the total defects bypassed early detection and were identified by the QA team, highlighting potential areas for improvement in unit testing.

Actionable Guidance:
This is how you can improve a low score:

KPI 2.3:

defect density

Defect Density measures the concentration of defects within a specific software element, such as a module, unit, or feature, while trying to make the elements as equivalent as possible.
Defect Density identifies error-prone areas, enabling focused development and testing. Cross-referencing defect data with recent changes highlights teams with higher error rates, providing insights for improving code quality.

Formula:

Create a heatmap of Defects by Different Categories
Module | Component | Feature | Device Type and etc.

Defect density

1SHOWSTOPPER 2HIGH 3NORMAL 4LOW TOTAL
Application server 0 5 5 1 11
Client Side 0 2 4 2 8
Database Server 0 1 0 0 1
Plugins 1 2 1 2 6
Web Client 0 0 3 1 4
TOTAL 1 10 13 6 30

Example:

In a project, if a specific module has a high number of defects despite minimal recent changes, this module should be reviewed for underlying issues.

Conversely, if defects are concentrated in modules that have undergone significant changes during the sprint, this aligns with expected results and indicates focused testing.

Actionable Guidance:

KPI 2.4:

risk management efficiency

Risk Management Efficiency measures how effectively the team evaluates high-risk areas with critical defects in their risk assessment process. This metric is closely related to Defect Density.

Effective risk management lets QA testers prioritize high-impact areas, proactively identifying and resolving critical defects to minimize delays and quality issues.

Formula:

Risk Management Efficiency = Severe Bugs Found in High-Risk Areas/ Total Severe Bugs * 100%

Risk Assessment 

Desired Outcome:

A high Risk Management Efficiency percentage indicates a well-defined risk assessment process. Ideally, aim for a score above 80%, signifying effective identification and prioritization of critical defects.

Example:

Calculation:
Risk Management Efficiency = (20 / 40) * 100% = 50%

Actionable Guidance:
Here’s how you can address a low Risk Management Efficiency score:

KPI 2.5:

Bug Reopen rate

Bug Reopen Rate tracks the percentage of bugs that resurface after being marked as fixed. It reflects the development team’s effectiveness in resolving defects.
A high Bug Reopen Rate signals development inefficiencies, indicating inadequate initial fixes or new issues arising later. This wastes resources on rework and delays project delivery.

Formula:

Bug Reopen Rate = (Number of Times Bugs Were Reopened / Total Number of Bugs Resolved) * 100%


Desired Outcome:

Aim for a Bug Reopen Rate as close to zero as possible. Aim for a rate below 5%, signifying a high level of effectiveness in resolving defects and minimizing rework.

Example:

Calculation:
Bug Reopen Rate = (10 / 100) * 100% = 10%

Result: This project has a Bug Reopen Rate of 10%, which indicates a need for improvement in the bug-fixing process to reduce rework and ensure long-term resolution.

Actionable Guidance:
A high Bug Reopen Rate indicates areas for improvement in your bug fixing process. Here’s how you can address this:

Objective 3:

Maximize the Business Impact of the QA team

Goal:

Increase customer satisfaction by X%
Increase usage of feature/product by X%

Target Audience:

Leadership Team, Business Stakeholders, QA Director, VP R&D, Product Manager

Overview: This objective emphasizes the strategic role of QA in maximizing business impact. By aligning testing efforts with customer satisfaction, we ensure a high-quality user experience that translates to increased customer retention and loyalty. This contributes directly to achieving the business’s strategic goals.

Business Contribution:

KPI 3.1

Escaping Defects Rate

KPI 3.2

User Story Impact

KPI 3.3

Reduced Customer-Reported Tickets

KPI 3.4

Net Promoter Score

KPI 3.1:

ESCAPING DEFECTS RATE

Escaping Defects Rate measures the percentage of defects missed by QA and Development, found by end-users in production. Key elements to consider include:

A high Escaping Defects Rate reveals SDLC weaknesses, leading to poor user experience and increased support costs. Reducing this rate ensures a higher quality product and boosts customer satisfaction.

Formula:

Escaping Defects Rate = (Number of Defects Found in Production / Total Number of Defects​) × 100%

Escaping Defect rate

1SHOWSTOPPER 2HIGH 3NORMAL 4LOW TOTAL
Product A 5 2 2 1 10
Product B 0 6 12 4 22
Product C 0 1 4 1 6
Total 1 10 13 6 30

Desired Outcome: Achieving zero Escaping Defects is impractical. Instead, focus on minimizing severe defects that evade detection. Aim to keep escaped severe defects under 5% for a strong SDLC emphasizing critical issues and user experience quality. Note, acceptable levels of escaping defects vary by industry and product.

Example:

Calculation:

  • Total Escaping Defects = (20 / 100) * 100% Escaping Defects = 20%
  • Critical Escaping Defects (4 / 20) * 100% = 20%
  • Known Defects = (8 / 20) * 100% = 40%
Result:

Actionable Guidance:

KPI 3.2:​

User Story IMpact

 User Story Impact measures the post-release influence of a user story on specific product areas, features, and user interactions.
User Story Impact evaluates new feature or change value, aligning product, developers, and testers on intended benefits, enhancing end-user experience.

Formula:

User Story Impact = (Post-Release Metric – Baseline Metric) / Baseline Metric * 100%

Desired Outcome:

Strive to demonstrate a positive impact on user experience. This can be measured through a quantifiable increase in relevant user actions associated with the user story. Ideally, this increase should be aligned with the specific goals outlined for the user story during its creation.

Example:

Calculation:
User Story Impact = (1300 actions – 1000 actions) / 1000 actions * 100% = 30%

Result: The User Story Impact for this feature is 30%, indicating a positive influence on user engagement in the targeted product area. This increase aligns with the intended outcome of the feature.

Actionable Guidance:
A high Bug Reopen Rate indicates areas for improvement in your bug fixing process. Here’s how you can address this:

KPI 3.3:

Post-release support Tickets

This KPI tracks the number of support tickets received within a specific timeframe (e.g., one week, one month) after a release and compares it to previous releases or a historical baseline. Look for a decrease in tickets after implementing your new QA process.
Reduced post-release support tickets signify improved release quality. Fewer bugs, better usability, and met user expectations lead to higher user satisfaction and lower support costs.

Formula:

Post-Release Support Tickets = (Benchmark – Actual) / Benchmark * 100%

Post Release support tickets

Desired Outcome:

The optimal result is a decrease in support tickets after a version release. However, maintaining ticket numbers around the defined benchmark is also acceptable.

Example:

Calculation: Post Release Support Tickets = ((100 – 150) / 100) * 100 = -50%


Result: A 50% increase in support tickets indicates significant issues with the release that need to be investigated and resolved.

Actionable Guidance:

KPI 3.4:

Net Promoter score

The Net Promoter Score (NPS) measures customer satisfaction and loyalty through a single question: “On a scale of 1-10, how likely are you to recommend our product to a friend or colleague?” Customers are then categorized based on their scores:

Formula:

NPS = % Promoters – % Detractors

NPS offers valuable insights into product quality, with a high score indicating a product that meets customer needs and drives satisfaction.

how likely are you to recommend us to a friend?

NPS = Promoters (25%) – Detractors (60%)

Desired Outcome:

The NPS scale ranges from -100 to 100. Aim for an NPS above 0 to indicate more positive responses than negative. Ideally, strive for a score above 40.

Example:

Calculation:

  • % Promoters = (50 / 200) * 100 = 25%
  • % Detractors = (120 / 200) * 100 = 60%
  • NPS = 25 – 60 = -35

Result: The NPS for this survey is -35, indicating that there are more detractors than promoters. This suggests a need to address customer concerns and improve product quality to enhance customer satisfaction.

Actionable Guidance:

Conclusion:

This document outlined three critical objectives to enhance our QA processes and their alignment with broader business goals. Each objective includes specific KPIs to measure the progress and impact. By focusing on these key areas, you can achieve the following:

By adhering to these objectives and KPIs, you can ensure our QA processes are aligned with business objectives and will make a meaningful impact on product quality and customer satisfaction, ultimately contributing to organizational success.

QA Manager’s KPI cheat sheet

OBJECTIVE KPI DEFINITION FORMULA DESIRED OUTCOME
ENHANCE QA TEAM EFFICIENCY Planned vs Executed Testing Progress Measures the alignment between planned and executed tests (Number of Executed Tests / Number of Planned Tests) * 100% Higher than 90%
Rejected Defects Percentage Measures the percentage of defects reported by the QA team that are rejected by the development team (Number of Rejected Defects / Total Number of Reported Defects) * 100% Less than 10%
Automated Test Coverage Measures the percentage of test cases covered by automated tests (Number of Automated Test Cases / Total Number of Test Cases) * 100% It depends on the organization, team, and software being tested
Test Effectiveness Measures the ability of test cases to uncover defects in the software (Number of Defects Detected / Total Number of Test Cases Executed) * 100% As close as possible to 100%

QA Manager’s KPI cheat sheet

OBJECTIVE KPI DEFINITION FORMULA DESIRED OUTCOME
INCREASE CROSS-TEAM EFFICIENCY, COLLABORATION, AND COORDINATION Shift-Left Testing Percentage Measures the percentage of tests executed in early phases of development (Early Stage Tests / Total Tests) * 100% Between 15%-30%
Internal Defect Leakage Measures the number of defects detected during QA that should have been found in early tests. (Defects Missed in Early Stages / Total Number of Defects) * 100% Below 5%
Defect Density Measures the concentration of defect within a software element (module, Unit, feature, etc.) Heat map of Defect by categories Areas with few changes but many issues, should be flagged as problematic.
Risk Management Efficiency Measures the effectiveness of identifying and addressing high-risk areas in the software. (Severe Bugs found in High Risk Areas / Total Number of Severe Bugs) * 100% Aim for a score above 80%
Bug Reopen Rate Measures the percentage of bugs that are reopened after being marked as fixed. (Number of Times Bugs Were Reopened / Total Number of Bugs Resolved) * 100% 5% or below

QA Manager’s KPI cheat sheet

OBJECTIVE KPI DEFINITION FORMULA DESIRED OUTCOME
MAXIMIZE THE BUSINESS IMPACT OF THE QA TEAM Escaping Defects Rate Measures the percentage of defects that escape the QA process and are found in production. (Number of Defects Found in Production / Total Number of Defects) * 100% Under 5% of escaped severe defects
User Story Impact Measures the effect of a user story on specific areas/features of the product after release. (Post-Release Metric - Baseline Metric) / Baseline Metric * 100% Increase in relevant user actions associated with the user story
Post-Release Support Tickets Measures the decrease in customer-reported defects after the QA team's involvement. (Benchmark - Actual) / Benchmark * 100% At least 20% reduction in reported tickets
Net Promoter Score Measures customer satisfaction and likelihood to recommend the product. % Promoters - % Detractors Above 0, and seek to increase to around 40.

About practitest

PractiTest is an end-to-end test management platform designed to simplify complex and robust testing processes. PractiTest centralizes all your QA work, teams, and tools into one platform to bridge silos, unify communication, and enable one source of truth across your organization. With PractiTest you can make informed data-driven decisions based on end-to-end visibility provided by customizable reports, real-time dashboards, and dynamic filter views.

For More Information Visit PractiTest website.