AGILE PM WITH SCRUM, LEAN & KANBAN MICHAEL CHIK Senior Agile Coach, McKinsey Founder, Ars Agilis http://linkedin.com/in/michaelchik
Learning Objectives How you add value as a Project Manager in an environment of uncertainty Understand what a Kanban system is Principles & mindset behind the Kanban Method Metrics in Kanban systems How to manage risks in Kanban and make everything faster Learn how to give estimates that work How to scale up and manage portfolios
Introduction SPEAKER INTRO
Speaker introduction Michael Chik 戚本錦 Lean & Agile Coach for Enterprises & Startups Michael is a Lean & Agile Coach with over 15 years of experience in the software industry. He is an Accredited Kanban Trainer and Certified Scrum Practitioner. He started his Lean & Agile journey around 2001. With a background in coaching, he strongly believes in the human aspect of technology. michael_chik@mckinsey.com @arsagilis casmaron linkedin.com/in/michaelchik Work History: McKinsey & Company Fidelity Cathay Pacific Ben & Jerry s JP Morgan Walt Disney Company Standard Chartered Bank Amnesty International 國際特赦組織
Are you adding VALUE? Do you spend your time Scheduling meetings? Coordinating participation? Collecting data? Reporting status? Sending emails? Running down problems? Firefighting?
Are you adding VALUE? Oh, you must be the Secretary!
Wouldn t you rather be a Leader? Director? Risk Manager? Service Delivery Manager? All of the above??? Kanban systems help organizations improve predictability of knowledge worker activities Reliable, predictable, trustworthy services
Wouldn t you rather be a Kanban enables managers to realize their full potential to manage risk, lead with confidence, and delight customers In short: TO BE A LEADER
What Is A Kanban System?
Kanban Are Pull Systems Backlog Dev Ready 5 Pull K M F Done 5 I Now we have capacity to replenish our ready buffer Testing 3 UAT Release Ready B G N F Ongoing Test Ready Pull J O Development 3 F Pull D C * Pulling work from development will create capacity here too I the pull signals move upstream! There is capacity here This is only an example workflow!
For High Efficiency Kanban Systems Processes & Tools Resource Efficiency Principles & Mindsets Flow Efficiency Continuous Innovation Punctual improvements
Principles & Mindset 1. Start Where You Are 2. Create a Shared & Visual Understanding 3. Improve Evolutionary source: https://goo.gl/0cnfvq
For High Efficiency Kanban Systems Processes & Tools Resource Efficiency Principles & Mindsets Flow Efficiency Continuous Innovation Punctual improvements
Flow Efficiency: Theory of Constraints 1. Reduce intake 3. Increase intake 2. Fix bottleneck 4. Fix next
Flow over Batch Processing
Metrics: Lead Time Ideas Dev Ready 5 Development 3 Ongoing Pull FF F F F F F D G M Test Ready Done 5 Testing 3 UAT Release Ready The clock starts ticking when we accept the customers order, not when it is placed! E Until then customer orders are merely available options I Cycle Time Kanban system lead time ends when the item reaches the first queue
Histogram SLA expectation of 12 days with 70% on-time SLA expectation of 23 days with 95 % on-time SLA expectation of 16 days with 85% on-time
SERVICE LEVEL AGREEMENTS Service B Service A 5 10 15 20 25 30 40 45 55 65 More 15 10 5 0 Frequency 30 20 10 0 Frequency Lead Time (Days) Median ~9 days 98% 70+ days Mean 17 days Lead Time in Days Median ~9 days Mean 12 days 85% ~40 days 85% 15 days 98% 30 days
Project Managers Focus on Risks Ideas Dev Ready 5 Development 3 Ongoing Done Managers must develop a capability for issue management, P risk identification, root cause D L M F analysis, risk reduction & F G F mitigation Test Ready 5 Testing 3 E F UAT Defect 12 34 Blocking Issue Release Ready
Risk Management & Lead Time Identify risks, their likelihood & impact (delay that extends lead time). Eliminating risks or reducing their impact trims the tail on the distribution. Trimming the tail moves the mean to the left, increasing delivery rate! Risks often cause long lead times 85th percentile mean
For High Efficiency Kanban Systems Processes & Tools Resource Efficiency Principles & Mindsets Flow Efficiency Continuous Innovation Punctual improvements
Monthly Risk Review Kata / Meeting Monthly Risk Review Kata Monthly Risk Review Kata Harvest blocker tickets over a 1 month period Cluster blockers based on the stories behind the delay Each cluster represents a risk Identify Likelihood & Impact Root Cause Analysis Reduction & Mitigation actions Harvest blocker tickets over a 1 month period Cluster blockers based on the stories behind the delay Each cluster represents a risk Identify Likelihood & Impact Root Cause Analysis Reduction & Mitigation actions http://www.klausleopold.com/2013/09/blocker-clusters-problems-are-not.html
Improvements Think Do Done Think Do Check Continuous improvement
SCALING UP FOR LARGE PROJECTS
Example
Example Column WIP Limits Clinical Validation Testing, Deployment, P.O. Acceptance All are shared services across 3 dev teams
Forecasts & Planning Don t Answer: How Long Will It Take? Ask: When Do You Need It For? And: What is the cost of delay?
Forecasts Requirement # 34 53 61 103 151 187 209 # of User Stories 17 24 14 15 20 18 18 Use Statistical Methods & Probabilistic Forecasting 17 24 mean 22 User stories / requirement
It gets more advanced Probabilistic forecasting Use Lead Time & Little s Law for portfolio planning
Examples of Forecasts
The Big Gap Is In The Mindset source: http://goo.gl/lexe3b
Question Time Puzzled? Questions? Comments?
Go And Be A Rock Star! STAY IN TOUCH! michael_chik@mckinsey.com @arsagilis casmaron linkedin.com/in/michaelchik