Managing Your WiP By Larry Maccherone

Transcription

1 Click to edit Master text styles o Second level Third level Fourth level Managing Your WiP By Larry Maccherone

2 Why manage your simultaneous work in progress (WiP)? Strategy: Work on 4 projects at once Click to edit Master text styles Project Team(s) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb 1 A 2 B o 3 Second C level 4 D Third level Strategy: Work on 2 projects at once Fourth level Project Team(s) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb 1 A & B 2 C & D 3 3b A & B 4 5 C & D Projects 1 & 2 provide value 5 months sooner Advantage for projects 3 & 4 err umm 3b & 5

3 Larry Maccherone LinkedIn.com/in/LarryMaccherone

4 What is Work in Process/Progress (WiP)?

5 The number of work items simultaneously in process/progress at a given moment in time Commonly the mean or median WiP over a time period

6 Specify your WiP States or Kanban columns One ex: In Progress A set or range ex: From Design to Accepted (inclusive) The entire system Common only for unplannable work like P1 defects and help desk tickets Work item types Stories Features Defects Projects Other discriminators like priority or urgency

7 What is Time in Process/Progress (TiP)?

8 The amount of time between when the work item goes into WiP and the time it comes out Commonly the median (p50), p75, p95, or p99 over a time period Never use the mean/average

9 What about Cycle, Lead, and Takt Time? Not precise enough. Fine if you say: Cycle time for In Progress, or Cycle time from Design to Accepted, or Lead time from when the work is first recorded until when it s delivered to the customer, or Lead time from when the work is first recorded to when we decide to do the work Completely different meaning in other domains For instance, did you know that cycle time in manufacturing is the time between each item leaving the system. We call this Takt time in our domain.

10 Little s Law

11 The long-term average number L of customers in a stationary system is equal to the long-term average effective arrival rate λ multiplied by the average time W that a customer spends in the system. Translated to our world Little s Law TiP = WiP / Throughput

12 Don Reinertsen

13 Re-analyze our example starting example using what we ve learned Strategy: Work on 4 projects at once Project Team(s) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Click 1 to A edit Master text styles 2 B 3 C o Second level 4 D Third level Throughput: 4 Projects/Year; Median TiP: 12 Months/Project; WiP = 4 Projects Fourth level Strategy: Work on 2 projects at once Project Team(s) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb 1 A & B 2 C & D 3 3b A & B 4 5 C & D Throughput: 3.4 Projects/Year; Median TiP: 7 Months/Project; WiP = 2 Projects Projects 1 & 2 provide value 5 months sooner Advantage for projects 3 & 4 err umm 3b & 5 15% worse Productivity (Throughput) 1.7x better Time to Market (TiP)

14 Limiting Portfolio WiP Opportunity Assessment + Product Discovery Outcomes (OKRs)

15 Enterprise Value Stream Lower your WiP by tightening the upfront idea funnel Roles Copyright Agile Transformation Inc.

16 Sample Business Outcome Portfolio Level Objective Title: Hypothesis Statement/D escription: Key Results / Metrics: Launch new SMB health product to market We believe that by launching the new SMB health product to market we will increase our market share for small business members. Title Progress Metric Baseline Now Goal By Date Overall Progress: 7% Estimated 52% ROI: $6,000, Estimated Cost: $1,800,000 Groups/ Team(s) Value Pts Calculated based on # of weeks per team, X avrg. cost per team 30k/week # of Weeks (est) Increase SMB membership by 50% 0% Membership (30k) 30k (-) 60k July Sales 8 weeks Launch SBM Health Product 20% Launch () Not Done Done Dec Program JAMZ (4 teams) 48 Weeks Receive 100 quote applications for new product 0% Quote (0) Feb 2017 MKTG 4 weeks Customer/org Impact metric Copyright Agile Transformation Inc

17 Theoretically, Reinertsen concludes Lower your WiP What about empirically?

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23 Credits Many thanks to my friends at Rally Software and their customers whose non-attributable data is the source for much of this research. Much of this material was previously published when I was Director of Analytics and Research at Rally Software, and much of that is derived from my PhD work at Carnegie Mellon, while other aspects come from collaboration with the Software Engineering Institute. Connect with me on LinkedIn.com/LarryMaccherone for more research results

24 Cumulative Flow Diagram (CFD)

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26 The TiP Chart

27 Time in Process (TiP) Histogram Work Days

28 Recommendations

29 Build consensus to lower you WiP using this content Look at your CFD regularly Set visible WiP limits and only violate them with a plan for avoiding future violations Track TiP Use median (p50) and p75 for Stories Use p75 for Features Use p95 for P1 Defects Recommendations STOP STARTING AND START FINISHING

30 Questions? Contact Info: LinkedIn.com/in/LarryMaccherone What s next?