Management Quote by Gene Kim
![“The deal [between product owners and] engineering goes like this: Product management takes 20% of the team’s capacity right off the top and gives this to engineering to spend as they see fit. They might use it to rewrite, re-architect, or re-factor problematic parts of the code base...whatever…” quote by Gene Kim](https://sms4smile.com/quotes/img-quotes/06c/gene-kim-2268_management_the-deal-between-product-owners-and-engi_3202345.jpg)
““The deal [between product owners and] engineering goes like this: Product management takes 20% of the team’s capacity right off the top and gives this to engineering to spend as they see fit. They might use it to rewrite, re-architect, or re-factor problematic parts of the code base...whatever they believe is necessary to avoid ever having to come to the team and say, ‘we need to stop and rewrite [all our code].’ If you’re in really bad shape today, you might need to make this 30% or even more of the resources. However, I get nervous when I find teams””
About This Quote
Source Book: The Phoenix Project, Gene Kim, 2013
Product managers allocate a portion of team capacity to engineering for unknown work, but over‑allocation can signal deeper issues.
In simple terms: Allocate time for unknown work, but beware over‑allocation.
Key Takeaway
Balance capacity for innovation and stability.
Themes
capacity planning
risk management
engineering
product management
Mood
analytical
cautious
Type
technical
business
When to use this quote
- software development
- project budgeting
- team health
Key Concepts
resource allocation
technical debt
strategic planning
Questions to Reflect On
- How much capacity is healthy?
- What signals indicate a need for reallocation?
A Different Perspective
Excessive allocation can mask underlying problems.
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![“The only regret I have in my career, is my managers wanted a big payday, and I wanted four or five more fights before going in with [Larry] Holmes. That would have made all the difference.” quote by Gerry Cooney](https://sms4smile.com/quotes/img-quotes/d63/gerry-cooney-20863_bigs_the-only-regret-i-have-in-my-career-is-m_1534.jpg)
