Introduction
The Evidence-Based Management (EBM) framework helps organizations objectively measure the value software delivers. A key metric in the Ability to Innovate (A2I) dimension is the Installed Version Index – the percentage of supported product versions currently in use. This directly affects your technical hygiene and innovation capacity.
If you’re a product manager, CTO, or agile leader, understanding what this index reveals in practice can help you:
- Identify technical debt and maintenance costs,
- Optimize resource allocation for development and testing,
- Increase your team’s agility and release efficiency.
Let’s explore the definition, importance, tracking methods, and improvement strategies for this index.
What is the Installed Version Index?
The Installed Version Index (IVI) measures how many software versions are still installed and supported across users.
⚠️ A high IVI means more fragmentation, which typically leads to increased complexity, higher costs for support, testing, and maintenance, and reduced delivery speed.
Why IVI Matters for Ability to Innovate
IVI directly impacts your Ability to Innovate (A2I):
- More versions = more technical debt and complexity,
- Less agility for delivering new features.
For instance, supporting three concurrent versions of the same app increases testing overhead, slows down your CI/CD pipeline, and raises the risk of regressions.
IVI in the EBM Structure
EBM uses four value areas (Key Value Areas – KVAs), and IVI belongs to Ability to Innovate:
- Current Value (CV) – what value users receive now
- Unrealized Value (UV) – missed opportunities or user needs
- Time-to-Market (T2M) – delivery speed of new value
- Ability to Innovate (A2I) – how easily innovation can be delivered
The Installed Version Index is an A2I metric showing how “spread out” your product is across different versions — directly impacting agility and delivery focus.
How to Measure IVI in Practice
- Define what counts as a version: active vs. sunset versions
- Automate tracking: app analytics, logs, telemetry
- Formula:
IVI = (Number of supported/installed versions) / (Total number of developed versions in time frame)
- Monitor trends: track IVI over time (e.g., quarterly)
What’s a Good IVI Score and How to Respond?
- Ideal: fewer active versions = higher efficiency
- Warning signs: rising IVI signals:
- version fragmentation,
- outdated upgrade strategies,
- missed opportunities to simplify support.
Steps to Optimize Your IVI
- Automate releases and upgrades via deployment pipelines
- Communicate upgrade value to users – use changelogs and direct messaging
- Sunset older versions – publish clear end-of-support dates
- Track and act: investigate why users don’t upgrade and adjust accordingly
Conclusion
Using the Installed Version Index within EBM provides deep insights into your organization’s innovation capacity and delivery efficiency. By managing this index, you can:
- Reduce technical debt,
- Accelerate your time-to-market,
- Free up resources for high-impact features.