Lean Thinking helps Agile Adoption

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1 Lean Thinking helps Agile Adoption Donna A. Reed PMI California Inland Empire June 2010 Facebook: Donna Reed Facebook Fan Page: The Agilista PM BLOG: 1

2 Donna A. Reed Reed Consulting Inc. Over 25 years of product & project management (last 8 in Agile) Commercial Products (software & hardware) IT Infrastructure & Business Applications Data Center Migration Business Development MBA, PMP, CSM & Product Owner Founder of The Agilista PM PMI Agile Community-of-Practice Rep 2

3 What we will discuss. Business needs today Agile vs. Lean How Agile differs from PMI PMBOK What is Lean Thinking Why LT can help Agile Adoption How to Apply Lean Thinking Where to find more information 3

4 Companies need to do more with less More productivity - with fewer resources More value - with less time / delivered faster More predictability - with less clarity of exactly what is needed It s about staying competitive!!! 4

5 Businesses see value in Agile 93% report improved productivity as a result of using Agile methods 88% found quality of products better 83% experienced better business satisfaction -- source: PM Network 5

6 PMI s view of Agile 6

7 How Agile differs from Traditional Approaches The Paradigm Shift Source: DSDM.org 7

8 Agile vs. Lean A relationship defined Agile is a set of practices Lean is a philosophy The guiding principles are the same: Eliminate Waste Center on the People Flow Value from Demand Optimize Across Organization 8

9 Agile Principles

10 PMBoK & Agile differences 10

11 Challenges with Agile Agile = Scrum All or none turn a switch Hard to scale Software Development focus Team focus Working together v- Individuals Self-organizing v- Command & Control What if distributed? Offshore? Outsourced? Where do other departments fit? Maturity limitations Visibility causes org crisis (Heroic Efforts / Bottlenecks) Titles can be lost 11

12 So why go Agile? Rapid Learning Find ways to deliver value faster Continuous Improvement Kaizen Still in control PO s control what is developed & when with continuous prioritization Rapid ROI Deliver value faster and most value sooner Satisfied Stakeholders Engaged in what is meaningful Responsive to Change Embrace change rather than reject it Communication increases Less Management overhead Self-managing teams 12

13 How can Lean Thinking help? 13

14 WHAT is Lean Thinking? Focusing on Greater operational efficiency Elimination of waste throughout the organization Continuous improvement..it provides a way to do more & more with less & less (less human effort, less equipment, less time and less space) while coming closer and closer to providing customers with exactly what they want, -- Womack & Jones in book, Lean Thinking. 14

15 Flow is very important! Every business is impacted by the influences of processes and demands (other depts, suppliers, contractors, partners or customers) Market leaders recognize this fact and work to control and manage the effectiveness of their total supply chain. ** Nearly every process, internal and external, can be improved through lean principles. 15

16 What is a Lean Flow? Steps are connected & coordinated by Continuous flow where ever possible Pull (not push) when flow is not possible To eliminate Muda (waste) Mura (unnecessary variation) Muri (overburden on people and technologies) Note: Mura causes muri and both create muda! 16

17 The 5-Step Thought Process 1. Specify value from customer s view 2. Identify steps in the value stream.look for areas of improvement 3. Make steps occur in tight sequence to flow smoothly toward customer 4. Let customers pull 5. begin the process again and continue it until a state of perfection is reached 17

18 A real story. 18

19 Org wanted to use SCRUM And said there would be Fixed date Fixed scope Fixed resources.i knew that there would be issues with these dictates & we would need to be able to see where those issues would emerge over time 19

20 Map your work process from the customer point of view Requirement Gathering (PO) Create Use Cases (BA s) Create UI Graphics (Artists) (Customer) Develop (DEV) Test Case (QA) If bug If bug Release (Release) Demo (Artists & BA s) Testing (QA) 20

21 Put on whiteboard (make it visible) Leverage colors! 21

22 introduce the concept of Pull 22

23 Pull insures no one becomes overloaded 23

24 Day 1 Let customers pull work PO populated Backlog & Ready for Work cue DEV pulled work they felt they could do in 2 wks 24

25 Day 2 Pull continues PO put new work into Ready cue (scope creep!) DEV put done work into ready for QA cue DEV pulled more work to work on QA pulled work from Ready for QA cue to work on too 25

26 Start teaching and learning Agile & Lean Techniques Free Webinars Books Articles so much is out there! 26

27 Day 2 scope exploded 45 bugs introduced at end of day (quality?) Had to refocus the team Pulled DEV from other teams to hit 2 week date!!! 27

28 Day 3 deal with added scope! DEV started resolving bugs yesterday DEV fixed a bunch of bugs by Day 3 morning QA pulled in a bunch of work (bugs to test).what are you noticing? QA is flooded with work - bottleneck? - overloaded? - only ½ QA person allocated (for 9 DEV) 28

29 Team had to adjust They stopped all development of new features Focused on fixing bug only (swarming!) Pulled developers from other teams to meet deadline (grew team from 4 to 9 developers) Involved QA team manager in our standups Manager assigned work Manager brought in more QA people (but didn t let them get involved w/ team daily) Manager pulled all bugs because they committed to releasing everything to CIO What that really realistic? 29

30 Blockers started to happen 30

31 Team started to self-organize - Optimized process - Improved Quality - Eliminated ambiguity - Ready for DEV = Graphics done! Requirement Gathering (PO) Create Use Cases (BA s) Create UI Graphics (Artists) (Customer) Demo to If bug Customer vs. Artist/BA Release (Release) - Stopped writing large complex use cases (unless absolutely needed) - Stories instead If bug Demo & Approval (Artists & BA s) Customer Develop (DEV) Testing (QA) Test Case (QA) Complete Graphics before starting DEV & Test Cases 31

32 What do Stories look like? FORMAT: As a <user>, I want to <do what>, so that <why you need it> Acceptance Criteria for the feature/req is written on back of card basis for test cases DONE = Pass test cases AND PO / Customer accepts 32

33 Once you gain momentum. Add other depts, project teams, (get more lean) Add WIP limits DEV = 2 items of work each 2 nd Agile Team started with their own features/reqs to develop 33

34 Pull limits work in progress (WIP) 34

35 WIP Limits help get faster ROI and work done faster DEV can usually work on 2 things each 1 to work on & 1 blocked! QA can work on 1-2 each 35

36 Start to recognize process problems that affect performance 36

37 Burndown Charts Predict when you will complete work Do you think we completed the work? 37

38 FLOW can be tracked through the valuestream using Cumulative Flow Diagrams 38

39 Cumulative Flow Diagrams Features WIP Avg. Lead Time 39

40 Control work-in-progress to correct shortfall between actual and planned progress Device Management Ike II Cumulative Flow Features Track delta between planned and actual each day 10-Feb 17-Feb 24-Feb 2-Mar 9-Mar 16-Mar 23-Mar 30-Mar Time Inventory Started Designed Coded Complete 40

41 So is it Agile vs. Lean Not competitors Lean helps you adopt Agile Meets you where you are at Learn much faster Doing things like you are today and adjusting as you work the 5-steps Don t change titles or how you do work Team will self-organize much faster 41

42 What can you do tomorrow? Take your project and map process Apply the 5 steps yourself and see if you can suggest. Waste elimination Process improvements Teach your team about Agile/Lean Ask them what they would do to improve things? Try it! 42

43 Learning Opportunities WEBINARS 6/23 - Moving from Failing to Successful Agile Adoption 6/30 - Implementing Agile w/ Kanban More at Library of recordings PDU s earned! BOOKS TO READ 43

44 PMI Agile User Groups Great way to ask questions

45 Free online resources 45

Thank you Twitter: @AgilistaPM donna@agilistapm.

46 Thank you Facebook: Donna Reed Facebook Fan Page: The Agilista PM BLOG: Donna Reed 46

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