Marc Danziger
CDO, Enterprise Consultant
Agile v. Agility – And Growth
- Your name
- Your company
- Your superpower
Introductions
© Copyright Net Objectives, Inc. All Rights Reserved 3
Marc Danziger
marc.danziger@NetObjectives.com
CDO, Enterprise Consultant
Chief Delivery Officer Marc Danziger is the Chief Delivery Officer of
Net Objectives. With over 20 years of
experience, Marc is a leading practitioner in
project and program management, project
rescue, product portfolio management, SAFe,
Scrum and business architecture. He helps
companies transform to Lean and Agile
enterprises.
He has a Masters in Planning Theory from U.C.
Berkeley where he studied with the originators
of the concepts of Wicked Problems and
Design Patterns.
© Copyright Net Objectives, Inc. All Rights Reserved 4
Lean Management
Project Management
Kanban / Scrum
ATDD / TDD / Design Patterns
technical
ASSESSMENTS
CONSULTING
TRAINING
COACHING
Lean for Executives
Product Portfolio Management
Business Product Owner
Product Owner
Onsite SPC
Leading SAFe
SAFe Architecture
PM/PO
© Copyright Net Objectives, Inc. All Rights Reserved 5
Agile is about practices
s
*Sprint = Iteration
• PM
• POs • POs
• Users
• POs
• Users
• BAs
• PM
• POs
• PM
© Copyright Net Objectives, Inc. All Rights Reserved 6
Agility is about overall control and responsiveness
© Copyright Net Objectives, Inc. All Rights Reserved 7
Agile | Lean Principles
• Take a systems view
• Limit WIP
• Manage batch size
• Build short feedback loops
• Create / support persistent cross functional teams
• Decentralize decision making
• Develop talent
© Copyright Net Objectives, Inc. All Rights Reserved 8
BUSINESS AGILITY
BUSINESS INCREMENTS
PRIORITY AND SEQUENCE
RELEASE PLANNING
Business
© Copyright Net Objectives, Inc. All Rights Reserved 9
MANAGEMENT AGILITY
CONTINUOUS FEED OF BUSINESS VALUE
MANAGING THE FLOW OF WORK
WIP MANAGEMENT
Manage
ment
© Copyright Net Objectives, Inc. All Rights Reserved 10
ADAPTIVE MANAGEMENT
IDENTIFYING IMPEDIMENTS AND DELAY
CONTINUOUS ORGINIZATIONAL IMPROVEMENT
WORKING ON AS WELL AS IN
Manage
ment
© Copyright Net Objectives, Inc. All Rights Reserved 11
TEAM AGILITY
SELF ORGANIZATION
SPEED OF PRODUCING QUALITY
BUSINESS INCREMENTS
Team
© Copyright Net Objectives, Inc. All Rights Reserved 12
TECHNICAL AGILITY
BEST ENGINEERING PRACTICES
TDD, DESIGN PATTERNS, EMERGENT
DESIGN, CONTINUOUS INTEGRATION,
REFACTORING
CONTINUOUS IMPROVEMENT
Team
© Copyright Net Objectives, Inc. All Rights Reserved 13
ENTERPRISE AGILITY
FREQUENT INCREMENTAL
DELIVERY
TIGHT COUPLING OF STRATEGY AND
DELIVERY
RESPONSIVE TO CHANGE
Enterprise
Agility
© Copyright Net Objectives, Inc. All Rights Reserved 14
Lean is based on the idea
that delay is the root
problem.
…let’s discuss
© Copyright Net Objectives, Inc. All Rights Reserved 15
1. Identify the actions taken in the value stream
ApproveRequest Reqts Sign Off
Review Deploy
Analysis
Design Code Test
© Copyright Net Objectives, Inc. All Rights Reserved 16
120 hrs` 280 hrs 240 hrs 8 hrs2 hrs
1. Identify the actions taken in the value stream
2. What was the real time from start to finish of the action?
ApproveRequest Reqts Sign Off
Review Deploy
Analysis
Design Code Test
0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
© Copyright Net Objectives, Inc. All Rights Reserved 17
120 hrs` 280 hrs 240 hrs 8 hrs2 hrs
1. Identify the actions taken in the value stream
2. What was the real time from start to finish of the action?
3. What was the average time working on this vs working on other things?
Approve
.1 / 7.9 hrs
Request
0.5 / 0.0 hr
Reqts
60 / 100 hrs
Sign Off
1 / 7 hrs
Review
2 / 0 hrs
Deploy
3 / 5 hrs
Analysis
40 / 600 hrs
Design
40 / 80 hrs
Code
80 / 200 hrs
Test
40 / 200 hrs
0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
© Copyright Net Objectives, Inc. All Rights Reserved 18
80 hrs320 hrs 80 hrs 320 hrs
80 hrs
160 hrs 80 hrs 80 hrs 80 hrs
1. Identify the actions taken in the value stream
2. What was the real time from start to finish of the action?
3. What was the average time working on this vs working on other things?
4. Identify time between actions
120 hrs` 280 hrs 240 hrs 8 hrs2 hrs
Approve
.1 / 7.9 hrs
Request
0.5 / 0.0 hr
Reqts
60 / 100 hrs
Sign Off
1 / 7 hrs
Review
2 / 0 hrs
Deploy
3 / 5 hrs
Analysis
40 / 600 hrs
Design
40 / 80 hrs
Code
80 / 200 hrs
Test
40 / 200 hrs
0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
© Copyright Net Objectives, Inc. All Rights Reserved 19
80 hrs320 hrs 80 hrs 320 hrs
80 hrs
160 hrs 80 hrs 80 hrs 80 hrs
120 hrs` 280 hrs 240 hrs 8 hrs2 hrs
1. Identify the actions taken in the value stream
2. What was the real time from start to finish of the action?
3. What was the average time working on this vs working on other things?
4. Identify time between actions
5. Identify any loop backs required
65% defective
Repeat 3X
20% rejected
Repeat 1X
Approve
.1 / 7.9 hrs
Request
0.5 / 0.0 hr
Reqts
60 / 100 hrs
Sign Off
1 / 7 hrs
Review
2 / 0 hrs
Deploy
3 / 5 hrs
Analysis
40 / 600 hrs
Design
40 / 80 hrs
Code
80 / 200 hrs
Test
40 / 200 hrs
0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
© Copyright Net Objectives, Inc. All Rights Reserved 20
1. Identify the actions taken in the value stream
2. What was the real time from start to finish of the action?
3. What was the average time working on this vs working on other things?
4. Identify time between actions
5. Identify any loop backs required
6. Calculate % time worked
80 hrs320 hrs 80 hrs 320 hrs
80 hrs
160 hrs 80 hrs 80 hrs 80 hrs
0.5 hrs 160 hrs8 hrs 8 hrs
120 hrs` 280 hrs 240 hrs
100 hrs
8 hrs2 hrs
65% defective
Repeat 3X
20% rejected
Repeat 1X
Avg Time Worked
Total Cycle Time
% time worked = 14.9%
509 hrs
3433 hrs
509 hrs
3433 hrs
Avg Time Worked
Total Cycle Time
Approve
.1 / 7.9 hrs
Request
0.5 / 0.0 hr
Reqts
60 / 100 hrs
Sign Off
1 / 7 hrs
Review
2 / 0 hrs
Deploy
3 / 5 hrs
Analysis
40 / 600 hrs
Design
40 / 80 hrs
Code
80 / 200 hrs
Test
40 / 200 hrs
Approve
.1 / 7.9 hrs
Request
0.5 / 0.0 hrs
Reqts
60 / 100 hrs
Sign Off
1 / 7 hrs
Review
2 / 0 hrs
Deploy
3 / 5 hrs
Analysis
40 / 60 hrs
Design
40 / 80 hrs
Code
80 / 200 hrs
Test
40 / 200 hrs
0.5 hrs 160 hrs8 hrs 8 hrs
120 hrs 280 hrs 240 hrs
100 hrs
8 hrs2 hrs
320 hrs 80 hrs 320 hrs 80 hrs
160 hrs 80 hrs 80 hrs
65% defective
Repeat 3X
20% rejected
Repeat 1X
80 hrs
80 hrs
© Copyright Net Objectives, Inc. All Rights Reserved 21
80 hrs320 hrs 80 hrs 320 hrs
80 hrs
160 hrs 80 hrs 80 hrs 80 hrs
120 hrs` 280 hrs 240 hrs 8 hrs2 hrs
Approve
0.1 / 7.9 hrs
Request
0.5 / 0.0 hr
Reqts
60 / 100 hrs
Sign Off
1 / 7 hrs
Review
2 / 0 hrs
Deploy
3 / 5 hrs
Analysis
40 / 60 hrs
Design
40 / 80 hrs
Code
80 / 200 hrs
Test
40 /200 hrs
65% defective
Repeat 3X
20% rejected
Repeat 1X
320 hrs 80 hrs 320 hrs 80 hrs
160 hrs 80 hrs 80 hrs
65% defective
Repeat 3X
20% rejected
Repeat 1X
80 hrs
80 hrs
Eliminating
delays between
what you do
Getting better
at what you do
Which gives a better return?
0.5 hrs 8 hrs 8 hrs 100 hrs160 hrs
© Copyright Net Objectives, Inc. All Rights Reserved 22
Delay has three non-obvious causes.
(along with a bunch of obvious ones)
• Batch Size
• Work In Progress
• Multitasking
© Copyright Net Objectives, Inc. All Rights Reserved 23
What’s batch size?
© Copyright Net Objectives, Inc. All Rights Reserved 24
Waitingforapproval
Workingonapproval
ReadyforRequirements
Requirements
Readyforsignoff
ReadyforAnalysis
Analysis
ReadyforDesign
Design
ReadyforReview
Review
ReadyforCode
Code
ReadyforTest
Test
ReadyforDeploy
Deploy
Done
SignOff
.1 60 1 40 40 2 80 40 3
320 8 80 160 320 8 80 100 80 120 160 2 80 280 80 240 80 8
-------------------------------------- Development Team ---------------------------------------- Product Managers --
map value stream to kanban board
© Copyright Net Objectives, Inc. All Rights Reserved 25
What’s multitasking?
…really?
We all live it.
Because we focus on utilization / busyness,
more than getting stuff done.
© Copyright Net Objectives, Inc. All Rights Reserved 26
Costs of Interrupting a Team
What we think will happen What does happen
Current state
Rework
Overhead
Planned Work
Rework
Overhead
Planned Work
New Features
Rework
Overhead
Planned Work
New Features
Extra work
The cost of interrupting a team is not
just the delay of other work, it is the
additional work it creates that would
otherwise not have to be done.
© Copyright Net Objectives, Inc. All Rights Reserved 27
How We Manage People
© Copyright Net Objectives, Inc. All Rights Reserved 28
here’s a
spot!
…and
another!
Operating a product development process near full utilization is an economic disaster.
Don Reinertsen
© Copyright Net Objectives, Inc. All Rights Reserved 29
QUESTION
What is our goal?
That is, what must we make sure we are doing in
order to be successful?
…FINISHING. Nothing else matters.
© Copyright Net Objectives, Inc. All Rights Reserved 30
Source: Standish Group
Study of 2000 projects at 1000 companies
Usage of Features and
Functions in Typical System
WASTE
and the
DELAY OF VALUE
© Copyright Net Objectives, Inc. All Rights Reserved 31
Input
Priority
BUSINESS DISCOVERY BUSINESS DELIVERY
Planning Staging Ready to
Pull
c h u n k i n g s l i c i n g
Decision
High enough business
value?
Decision
Technically feasible,
sufficient ROI?
Iteration
0
Iterative
Development
Incremental
Deployment
Support &
Feedback
Decision
Ready to release?
Decision
Is there capacity?
Define acceptance
criteria and
feature sequence
Build iteratively, deploy
incrementally
Review business value ,
approve, and prioritize
Define value
increments and
sequence
Define
product
backlog
The Value Stream
Doing
“Left of Do”
© Copyright Net Objectives, Inc. All Rights Reserved 32
1 2 3
but incrementing calls for a
fully formed idea
courtesy Jeff Patton
“incrementing” builds a bit at a time...
© Copyright Net Objectives, Inc. All Rights Reserved 33
1 2 3
to allow you to move from
vague idea to realization
courtesy Jeff Patton
“iterating” builds a rough version, validates it,
then slowly builds up quality…
© Copyright Net Objectives, Inc. All Rights Reserved 34
Program: Straight Through Processing
Value Criteria
Improve
Operations
Increase capacity for
handling transactions
Customer
Satisfaction
Shorten resolution time
Reduce Cost Reduce manual processing
cost (headcount)
Synopsis
Customer transactions/requests/issues/problems are handled by process associates in
the customer service area. The volume of transactions which need to be resolved on a
daily basis is nearing the capacity of what can be handled within a 24 hour period; in
addition, resolution time is longer due to the manual effort involved in resolving the
problem.
The company is committed to investing in technology which would automate (no touch)
current manual processes, handle more requests in a shorter amount of time, with a
reduced number of process associates.
Investment
Budget $20M
Payback / ROI 1-3 years
© Copyright Net Objectives, Inc. All Rights Reserved 35
Business Backlog for STP
Program: No touch STP
High Low
Plan Setup Ent. Data Workflow Auto. STP
Bus
Inc
Bus
Inc
Bus
Inc
Bus
Inc
Bus
Inc…
9 months
Plan Setup
Ent. Data
Workflow
Auto. STP
80% 10% 10%
6 months!
4 months
1 month of a dev team’s
vs.
Realizing value 3 months sooner!
© Copyright Net Objectives, Inc. All Rights Reserved 36
UX
Client
Server
DB schema
C
System Evolution vs. Business Evolution
Iterative = Start with what we know, implement some, show the customer, adjust
Incremental= Feature Driven ... Value in short cycles ... Slices vs. Layers
BIG Batch
1
1
small Incremental
VALUE
2 3
MORE Business
VALUE ... OR DONE
C
UX
Client
Server
DB schema
4 ... 50
Iterative Business Slices
© Copyright Net Objectives, Inc. All Rights Reserved 37
Time to add new high
value functionality
Time Spent Fixing Bugs Within and Across Systems
Time lost to building things of less importance
Time Available for New Features
Years in future
Current ??? Years?
%ofcapacity
Maximum capacity of the team
Leadership in Transition to
Lean | Agile (or anything else)
• Transition as work
• Need for exceptional, shared clarity of vision and process about
values and about transition
• Organizational change naturally follows process change
• Wash, rinse, repeat – you’re never finished
© Copyright Net Objectives, Inc. All Rights Reserved 39
There is more value created
with overall alignment that
with local excellence.
- Don Reinertsen
Visualize the result, allow teams
to form their own solutions.
© Copyright Net Objectives, Inc. All Rights Reserved 40
Observations Related To Moral Conflict
No fixed recipes for organization,
communications, tactics, leadership, etc.
Wide freedom for subordinates to exercise
imagination and initiative – yet harmonize
within intent of superior commanders.
Heavy reliance upon moral (human values)
instead of material superiority as basis for
cohesion and ultimate success.
Commanders must create a bond and breadth
of experience based upon trust – not mistrust –
for cohesion.
- John Boyd, “Patterns of Conflict” slide 118

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Agile v agility_v4_md

  • 1. Marc Danziger CDO, Enterprise Consultant Agile v. Agility – And Growth
  • 2. - Your name - Your company - Your superpower Introductions
  • 3. © Copyright Net Objectives, Inc. All Rights Reserved 3 Marc Danziger [email protected] CDO, Enterprise Consultant Chief Delivery Officer Marc Danziger is the Chief Delivery Officer of Net Objectives. With over 20 years of experience, Marc is a leading practitioner in project and program management, project rescue, product portfolio management, SAFe, Scrum and business architecture. He helps companies transform to Lean and Agile enterprises. He has a Masters in Planning Theory from U.C. Berkeley where he studied with the originators of the concepts of Wicked Problems and Design Patterns.
  • 4. © Copyright Net Objectives, Inc. All Rights Reserved 4 Lean Management Project Management Kanban / Scrum ATDD / TDD / Design Patterns technical ASSESSMENTS CONSULTING TRAINING COACHING Lean for Executives Product Portfolio Management Business Product Owner Product Owner Onsite SPC Leading SAFe SAFe Architecture PM/PO
  • 5. © Copyright Net Objectives, Inc. All Rights Reserved 5 Agile is about practices s *Sprint = Iteration • PM • POs • POs • Users • POs • Users • BAs • PM • POs • PM
  • 6. © Copyright Net Objectives, Inc. All Rights Reserved 6 Agility is about overall control and responsiveness
  • 7. © Copyright Net Objectives, Inc. All Rights Reserved 7 Agile | Lean Principles • Take a systems view • Limit WIP • Manage batch size • Build short feedback loops • Create / support persistent cross functional teams • Decentralize decision making • Develop talent
  • 8. © Copyright Net Objectives, Inc. All Rights Reserved 8 BUSINESS AGILITY BUSINESS INCREMENTS PRIORITY AND SEQUENCE RELEASE PLANNING Business
  • 9. © Copyright Net Objectives, Inc. All Rights Reserved 9 MANAGEMENT AGILITY CONTINUOUS FEED OF BUSINESS VALUE MANAGING THE FLOW OF WORK WIP MANAGEMENT Manage ment
  • 10. © Copyright Net Objectives, Inc. All Rights Reserved 10 ADAPTIVE MANAGEMENT IDENTIFYING IMPEDIMENTS AND DELAY CONTINUOUS ORGINIZATIONAL IMPROVEMENT WORKING ON AS WELL AS IN Manage ment
  • 11. © Copyright Net Objectives, Inc. All Rights Reserved 11 TEAM AGILITY SELF ORGANIZATION SPEED OF PRODUCING QUALITY BUSINESS INCREMENTS Team
  • 12. © Copyright Net Objectives, Inc. All Rights Reserved 12 TECHNICAL AGILITY BEST ENGINEERING PRACTICES TDD, DESIGN PATTERNS, EMERGENT DESIGN, CONTINUOUS INTEGRATION, REFACTORING CONTINUOUS IMPROVEMENT Team
  • 13. © Copyright Net Objectives, Inc. All Rights Reserved 13 ENTERPRISE AGILITY FREQUENT INCREMENTAL DELIVERY TIGHT COUPLING OF STRATEGY AND DELIVERY RESPONSIVE TO CHANGE Enterprise Agility
  • 14. © Copyright Net Objectives, Inc. All Rights Reserved 14 Lean is based on the idea that delay is the root problem. …let’s discuss
  • 15. © Copyright Net Objectives, Inc. All Rights Reserved 15 1. Identify the actions taken in the value stream ApproveRequest Reqts Sign Off Review Deploy Analysis Design Code Test
  • 16. © Copyright Net Objectives, Inc. All Rights Reserved 16 120 hrs` 280 hrs 240 hrs 8 hrs2 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? ApproveRequest Reqts Sign Off Review Deploy Analysis Design Code Test 0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
  • 17. © Copyright Net Objectives, Inc. All Rights Reserved 17 120 hrs` 280 hrs 240 hrs 8 hrs2 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? Approve .1 / 7.9 hrs Request 0.5 / 0.0 hr Reqts 60 / 100 hrs Sign Off 1 / 7 hrs Review 2 / 0 hrs Deploy 3 / 5 hrs Analysis 40 / 600 hrs Design 40 / 80 hrs Code 80 / 200 hrs Test 40 / 200 hrs 0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
  • 18. © Copyright Net Objectives, Inc. All Rights Reserved 18 80 hrs320 hrs 80 hrs 320 hrs 80 hrs 160 hrs 80 hrs 80 hrs 80 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? 4. Identify time between actions 120 hrs` 280 hrs 240 hrs 8 hrs2 hrs Approve .1 / 7.9 hrs Request 0.5 / 0.0 hr Reqts 60 / 100 hrs Sign Off 1 / 7 hrs Review 2 / 0 hrs Deploy 3 / 5 hrs Analysis 40 / 600 hrs Design 40 / 80 hrs Code 80 / 200 hrs Test 40 / 200 hrs 0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
  • 19. © Copyright Net Objectives, Inc. All Rights Reserved 19 80 hrs320 hrs 80 hrs 320 hrs 80 hrs 160 hrs 80 hrs 80 hrs 80 hrs 120 hrs` 280 hrs 240 hrs 8 hrs2 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? 4. Identify time between actions 5. Identify any loop backs required 65% defective Repeat 3X 20% rejected Repeat 1X Approve .1 / 7.9 hrs Request 0.5 / 0.0 hr Reqts 60 / 100 hrs Sign Off 1 / 7 hrs Review 2 / 0 hrs Deploy 3 / 5 hrs Analysis 40 / 600 hrs Design 40 / 80 hrs Code 80 / 200 hrs Test 40 / 200 hrs 0.5 hrs 160 hrs8 hrs 8 hrs 100 hrs
  • 20. © Copyright Net Objectives, Inc. All Rights Reserved 20 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? 4. Identify time between actions 5. Identify any loop backs required 6. Calculate % time worked 80 hrs320 hrs 80 hrs 320 hrs 80 hrs 160 hrs 80 hrs 80 hrs 80 hrs 0.5 hrs 160 hrs8 hrs 8 hrs 120 hrs` 280 hrs 240 hrs 100 hrs 8 hrs2 hrs 65% defective Repeat 3X 20% rejected Repeat 1X Avg Time Worked Total Cycle Time % time worked = 14.9% 509 hrs 3433 hrs 509 hrs 3433 hrs Avg Time Worked Total Cycle Time Approve .1 / 7.9 hrs Request 0.5 / 0.0 hr Reqts 60 / 100 hrs Sign Off 1 / 7 hrs Review 2 / 0 hrs Deploy 3 / 5 hrs Analysis 40 / 600 hrs Design 40 / 80 hrs Code 80 / 200 hrs Test 40 / 200 hrs Approve .1 / 7.9 hrs Request 0.5 / 0.0 hrs Reqts 60 / 100 hrs Sign Off 1 / 7 hrs Review 2 / 0 hrs Deploy 3 / 5 hrs Analysis 40 / 60 hrs Design 40 / 80 hrs Code 80 / 200 hrs Test 40 / 200 hrs 0.5 hrs 160 hrs8 hrs 8 hrs 120 hrs 280 hrs 240 hrs 100 hrs 8 hrs2 hrs 320 hrs 80 hrs 320 hrs 80 hrs 160 hrs 80 hrs 80 hrs 65% defective Repeat 3X 20% rejected Repeat 1X 80 hrs 80 hrs
  • 21. © Copyright Net Objectives, Inc. All Rights Reserved 21 80 hrs320 hrs 80 hrs 320 hrs 80 hrs 160 hrs 80 hrs 80 hrs 80 hrs 120 hrs` 280 hrs 240 hrs 8 hrs2 hrs Approve 0.1 / 7.9 hrs Request 0.5 / 0.0 hr Reqts 60 / 100 hrs Sign Off 1 / 7 hrs Review 2 / 0 hrs Deploy 3 / 5 hrs Analysis 40 / 60 hrs Design 40 / 80 hrs Code 80 / 200 hrs Test 40 /200 hrs 65% defective Repeat 3X 20% rejected Repeat 1X 320 hrs 80 hrs 320 hrs 80 hrs 160 hrs 80 hrs 80 hrs 65% defective Repeat 3X 20% rejected Repeat 1X 80 hrs 80 hrs Eliminating delays between what you do Getting better at what you do Which gives a better return? 0.5 hrs 8 hrs 8 hrs 100 hrs160 hrs
  • 22. © Copyright Net Objectives, Inc. All Rights Reserved 22 Delay has three non-obvious causes. (along with a bunch of obvious ones) • Batch Size • Work In Progress • Multitasking
  • 23. © Copyright Net Objectives, Inc. All Rights Reserved 23 What’s batch size?
  • 24. © Copyright Net Objectives, Inc. All Rights Reserved 24 Waitingforapproval Workingonapproval ReadyforRequirements Requirements Readyforsignoff ReadyforAnalysis Analysis ReadyforDesign Design ReadyforReview Review ReadyforCode Code ReadyforTest Test ReadyforDeploy Deploy Done SignOff .1 60 1 40 40 2 80 40 3 320 8 80 160 320 8 80 100 80 120 160 2 80 280 80 240 80 8 -------------------------------------- Development Team ---------------------------------------- Product Managers -- map value stream to kanban board
  • 25. © Copyright Net Objectives, Inc. All Rights Reserved 25 What’s multitasking? …really? We all live it. Because we focus on utilization / busyness, more than getting stuff done.
  • 26. © Copyright Net Objectives, Inc. All Rights Reserved 26 Costs of Interrupting a Team What we think will happen What does happen Current state Rework Overhead Planned Work Rework Overhead Planned Work New Features Rework Overhead Planned Work New Features Extra work The cost of interrupting a team is not just the delay of other work, it is the additional work it creates that would otherwise not have to be done.
  • 27. © Copyright Net Objectives, Inc. All Rights Reserved 27 How We Manage People
  • 28. © Copyright Net Objectives, Inc. All Rights Reserved 28 here’s a spot! …and another! Operating a product development process near full utilization is an economic disaster. Don Reinertsen
  • 29. © Copyright Net Objectives, Inc. All Rights Reserved 29 QUESTION What is our goal? That is, what must we make sure we are doing in order to be successful? …FINISHING. Nothing else matters.
  • 30. © Copyright Net Objectives, Inc. All Rights Reserved 30 Source: Standish Group Study of 2000 projects at 1000 companies Usage of Features and Functions in Typical System WASTE and the DELAY OF VALUE
  • 31. © Copyright Net Objectives, Inc. All Rights Reserved 31 Input Priority BUSINESS DISCOVERY BUSINESS DELIVERY Planning Staging Ready to Pull c h u n k i n g s l i c i n g Decision High enough business value? Decision Technically feasible, sufficient ROI? Iteration 0 Iterative Development Incremental Deployment Support & Feedback Decision Ready to release? Decision Is there capacity? Define acceptance criteria and feature sequence Build iteratively, deploy incrementally Review business value , approve, and prioritize Define value increments and sequence Define product backlog The Value Stream Doing “Left of Do”
  • 32. © Copyright Net Objectives, Inc. All Rights Reserved 32 1 2 3 but incrementing calls for a fully formed idea courtesy Jeff Patton “incrementing” builds a bit at a time...
  • 33. © Copyright Net Objectives, Inc. All Rights Reserved 33 1 2 3 to allow you to move from vague idea to realization courtesy Jeff Patton “iterating” builds a rough version, validates it, then slowly builds up quality…
  • 34. © Copyright Net Objectives, Inc. All Rights Reserved 34 Program: Straight Through Processing Value Criteria Improve Operations Increase capacity for handling transactions Customer Satisfaction Shorten resolution time Reduce Cost Reduce manual processing cost (headcount) Synopsis Customer transactions/requests/issues/problems are handled by process associates in the customer service area. The volume of transactions which need to be resolved on a daily basis is nearing the capacity of what can be handled within a 24 hour period; in addition, resolution time is longer due to the manual effort involved in resolving the problem. The company is committed to investing in technology which would automate (no touch) current manual processes, handle more requests in a shorter amount of time, with a reduced number of process associates. Investment Budget $20M Payback / ROI 1-3 years
  • 35. © Copyright Net Objectives, Inc. All Rights Reserved 35 Business Backlog for STP Program: No touch STP High Low Plan Setup Ent. Data Workflow Auto. STP Bus Inc Bus Inc Bus Inc Bus Inc Bus Inc… 9 months Plan Setup Ent. Data Workflow Auto. STP 80% 10% 10% 6 months! 4 months 1 month of a dev team’s vs. Realizing value 3 months sooner!
  • 36. © Copyright Net Objectives, Inc. All Rights Reserved 36 UX Client Server DB schema C System Evolution vs. Business Evolution Iterative = Start with what we know, implement some, show the customer, adjust Incremental= Feature Driven ... Value in short cycles ... Slices vs. Layers BIG Batch 1 1 small Incremental VALUE 2 3 MORE Business VALUE ... OR DONE C UX Client Server DB schema 4 ... 50 Iterative Business Slices
  • 37. © Copyright Net Objectives, Inc. All Rights Reserved 37 Time to add new high value functionality Time Spent Fixing Bugs Within and Across Systems Time lost to building things of less importance Time Available for New Features Years in future Current ??? Years? %ofcapacity Maximum capacity of the team
  • 38. Leadership in Transition to Lean | Agile (or anything else) • Transition as work • Need for exceptional, shared clarity of vision and process about values and about transition • Organizational change naturally follows process change • Wash, rinse, repeat – you’re never finished
  • 39. © Copyright Net Objectives, Inc. All Rights Reserved 39 There is more value created with overall alignment that with local excellence. - Don Reinertsen Visualize the result, allow teams to form their own solutions.
  • 40. © Copyright Net Objectives, Inc. All Rights Reserved 40 Observations Related To Moral Conflict No fixed recipes for organization, communications, tactics, leadership, etc. Wide freedom for subordinates to exercise imagination and initiative – yet harmonize within intent of superior commanders. Heavy reliance upon moral (human values) instead of material superiority as basis for cohesion and ultimate success. Commanders must create a bond and breadth of experience based upon trust – not mistrust – for cohesion. - John Boyd, “Patterns of Conflict” slide 118