Which KPI measures the efficiency of how a team is run and their contribution to a product's growth?

• A. Velocity
• B. Burn-down
• C. Cycle time
• D. On-product index

Answer: (C)

Cycle time is the KPI that measures how quickly work flows through the team—from the moment work starts on a backlog item to the moment it’s finished. It directly reflects execution efficiency: shorter cycle times mean fewer delays, smoother handoffs, and a more predictable process. When cycle time decreases, value can be delivered to customers faster, accelerating learning and growth for the product. This makes it a strong indicator of how efficiently the team is running and how their speed translates into product progress.

Velocity looks at how much work the team completes per sprint, which is useful for forecasting but doesn’t directly measure the speed of work flowing through the process. A burn-down chart tracks remaining work rather than the duration work spends in progress. An on-product index isn’t a standard, widely used KPI.