Deming's 94/6 Principle

Most problems stem from the system, not the people.

"I should estimate that in my experience most troubles and most possibilities for improvement add up to the proportions something like this: 94% belongs to the system (responsibility of management), 6% special." 1

W. Edwards Deming
Deming's 94/6 Principle

As an Agile coach, explaining Deming's 94/6 statistic offers a powerful way to shift blame from individuals to systems. When W. Edwards Deming estimated that 94% of performance issues stem from the system and only 6% from individual workers, he wasn't trying to excuse poor performance. He was pointing to a deeper truth: most problems arise from the design of the work environment, not the people in it. In Agile contexts, this principle reminds us that coaching should focus on improving flow, feedback loops, leadership habits, and organizational constraints, not micromanaging team behavior.

Impact on Agile Teams & Organizations

The 94/6 insight changes where we look for improvement. Agile teams are often under pressure to "do better", but without systemic support, those efforts are limited. Applying this ratio can reframe performance conversations and guide coaching priorities.

  1. Elevates Systems Thinking over Individual Blame:
    • Encourages root cause analysis and value stream mapping.
    • Reduces shame and fear in Retrospectives.
  2. Shifts Leadership Accountability:
    • Managers must improve conditions, not fix people.
    • Focus on structure, clarity, and enabling autonomy.
  3. Improves Team Safety and Morale:
    • Reinforces psychological safety by acknowledging constraints.
    • Opens the door for honest feedback about real blockers.
  4. Drives Sustainable Change:
    • Fixing the system produces repeatable improvement.
    • Builds organizational resilience and learning.

Scenario

A Scrum team repeatedly misses Sprint commitments. Leadership blames the team for poor planning, suggesting extra hours or "working harder". But deeper observation reveals:

  • Work is constantly reprioritized mid-Sprint.
  • Dependencies outside the team regularly delay progress.
  • Teams have no access to key stakeholders for clarification.
  • Estimates are treated as deadlines, increasing pressure.

In this case, the root causes are systemic: shifting priorities, lack of access, dependency chains, and misuse of metrics. Focusing only on the team ignores the 94%, the real levers of change.

Ways to Mitigate:

To apply the 94/6 principle effectively, Agile coaches can help organizations rethink performance by shifting attention from individuals to systems:

  1. Expose Systemic Constraints:
    • Use value stream mapping to visualize flow and handoffs.
    • Identify bottlenecks, delays, and ambiguity sources.
  2. Redesign Work Environments:
    • Co-create working agreements that address system-level friction.
    • Improve access to stakeholders and reduce external interference.
  3. Coach Leadership on Systemic Responsibility:
  4. Run Safe Experiments:
    • Pilot changes that simplify flow and reduce waste.
    • Measure improvements through outcomes, not effort.
Conclusion:

The 94/6 statistic offers a wake-up call: if you want better results, don't fix the people, fix the system they operate in. Agile transformations often stall because the organization tries to "scale" Agile without adjusting the structures, incentives, or mindsets that create friction. Deming's insight validates what many teams feel but are afraid to say: the system is working against them. Agile coaches must help surface these issues and support leadership in owning the environment they've created.

Key Takeaways for Agile Teams

  • 94% of problems stem from systemic design, not individual failure.
  • Agile coaches should prioritize system-level improvements.
  • Leadership has the greatest leverage to remove constraints.
  • Team safety increases when we stop blaming individuals.
  • Sustainable agility grows from better systems, not more effort.

Summary

Deming's 94/6 estimate is a powerful reminder that performance is largely shaped by the system around us. For Agile teams to thrive, leaders and coaches must focus their energy on redesigning environments, clarifying purpose, and removing impediments. When the system changes, people are freed to succeed.