Christof Ebert, Vector Consulting Services. Lock-in 10. Inadequate IPR management Top-Ten Risks and...
Transcript of Christof Ebert, Vector Consulting Services. Lock-in 10. Inadequate IPR management Top-Ten Risks and...
V1.1 | 2018-01-24
Christof Ebert, Vector Consulting Services
9 Essentials for Distributed Teams and Projects
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Vector Consulting ServicesWelcome
Railway
IT & Finance
Automotive
Aerospace
DigitalTransformation
Medical
Experts for product development,product strategy and IT
Interim support, such as virtual team and project management, line leadership
Global presence
Training on Agile, Requirements, Security, Safety, CMMI/SPICE etc.
Part of Vector Group with over 2000 employees
www.vector.com/consulting
www.vector.com/consulting-career
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Christof EBERTWelcome
[email protected] @ChristofEbert www.vector.com/consulting
Christof Ebert is managing director at Vector Consulting Services.
He supports clients to improve product strategy and product development and to manage organizational changes.
Prior to that, he held senior management positions for ten years at an IT world leader, most recently global responsibility for software technologies.
A trusted advisor for companies around the world, member of industry boards, and professor at the University of Stuttgart and at Sorbonne in Paris, Dr. Ebert authored several books.
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Current Challenges – Vector Client SurveyDistributed Teams
Source: Longitudinal research of all accepted contributions at ICGSE conferences 2006-2015, IEEE 2018.
With high pressure the “magic triangle” is currently growing in relevance.Distributed projects and teams are part of the solution – and of the problem.
Magic TriangleM
id-t
erm
cha
lleng
es
Short-term challenges
Vector Client Survey. Details: www.vector.com/trends. Horizontal axis shows short-term challenges; vertical axis shows mid-term challenges. Sum > 100% due to 3 answers per question. Strong validity with >4% response rate of 1500 recipients from different industries worldwide.
Innovative Products
Others
Connectivity
Distributed Development
Efficiencyand Cost
Digital Transformation
Governance and Compliance
ComplexityManagement
Securityand Safety
0%
10%
20%
30%
40%
50%
60%
70%
0% 10% 20% 30% 40% 50% 60% 70%
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Distributed Teams – Focus PointsDistributed Teams
Source: Longitudinal research of all accepted contributions at ICGSE conferences 2006-2015, IEEE 2016.
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Why Do We Need Distributed Teams – Despite all Challenges?Distributed Teams
2. InnovationGlobal growth strategy.Learn from different markets.
1. FlexibilityGig economy. Follow the skills. JIT networks beyond organizational boundaries. 3. Efficiency
Competitiveness. Process excellence.Speed to profit ahead of competitors.
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20-40% additional cost at begin of learning curve for 1-2 years
Over 20% of sourcing contracts are cancelled in first year
Over 50% do not deliver according to objectives or strategy and are cancelled downstream
Over 80% of companies are not satisfied with their global software activities
Increasing unexpected loss of IPR and technology know-how
Decreasing proficiency level due to inexperienced hiring
Distributed Teams: ChallengesDistributed Teams
Distance multiplies risks in an otherwise high-risk business
Sources: Christof Ebert: Global Software and IT, Wiley 2012; Vector Consulting Services’ client survey 2016; Deloitte: Is Outsourcing Losing Its Appeal? 2013, www.baselinemag.com/it-services/is-outsourcing-losing-its-appeal . Forrester's Forrsights Services Survey, Q2 2012, www.forrester.com/Forrsights+Services+Survey+Q2+2012/-/E-SUS1391 .
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Risks1. Project delivery failures2. Insufficient quality3. Distance and culture
clashes4. Staff turnover5. Poor supplier services6. Instability with overly high
change rate7. Insufficient competences8. Wage and cost inflation9. Lock-in10. Inadequate IPR
management
Top-Ten Risks and MitigationDistributed Teams
Source: Source: Ebert, Global Software and IT, Wiley 2012; ICGSE 2016
Risk Mitigation
9 Essentials for Distributed Teams and Projects
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9 Success Factors to Achieve Sustainable BenefitsNine Key Success Factors
Best PracticeBenefits
Success Factors
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9 Success Factors for Distributed TeamsNine Key Success Factors
Value and Customer
Orientation
Results-driven Agile
Leadership
Transparent Work/Product Organization
FlexiblePartner
Networks
SuitableSoft Skills
Collaborative IT
Infrastructure
Continuous Knowledge
Management
Strong Teams
Good-Enough Process
Capabilities
Flexibility
Innovation
Efficiency
Benefits
SuccessFactors Competences Communication Collaboration
Coming together is a beginning
Keeping together is a progress
Working together is a success.
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1. Strong TeamNine Key Success Factors
Marketing manager
Productmanager
Projectmanager
Customer, marketCompany,
steering board
Development, IT
Servicemanager
Operations
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Implementation Team building
Core team is as a team together responsible for results
Integration of all relevant functions –across sites and across silos
Focus on systematic processes
Connected beyond the immediate project needs, e.g. technologies, services, roadmaps, DevOps
Vector Project Experiences Commitments are kept due to trust
and shared responsibility
Schedule adherence has improved due to less fragmentation
Industry Case Study: Optimized CollaborationNine Key Success Factors
Practical hints:
Empower a dedicated small core team with clear responsibilities at project start
Build competences in due time
Have agile team meetings every day
Document agreements and status in a single source accessible for all project members
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2. Results-driven Agile LeadershipNine Key Success Factors
100%
One team, one site, <15mdistance
Ad-hoc working won’t scale
Same floor
Same building
Same process, time zone
Different time zones, cultures
Processes, tools are adjusted
Interface overheads, time zone frictions
Performance
Distribution
Product Ownership
Competences
Incentive on value
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Leadership and Management Depend on CultureNine Key Success Factors
Countries Leadership and Culture
Germany, USA
Northern Europe, UK
• Lead through joint decision preparation
• High level of formal standards, such as legal acts, that make leadership and governance rather difficult
• Authority is continuously challenged
Australia, Japan
France
Spain, Italy, Greece
• Leadership mainly oriented to the board level and the opinions of the employees
• Delegation of actions and concrete tasks
• Employees do not expect a high degree of autonomy of decision
South America
Arabic and Muslim countries
India, Pakistan
• Authority is accepted and not questioned
• Very low degree of delegation, centralized decisions
• Status symbols and privileges for managers visible and legitimate
• Low information exchange between hierarchic levels and functions
Participative Leadership
Authoritarian Leadership
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3. Suitable Soft SkillsNine Key Success Factors
Forming
Storming
Time
Communication standards
Clear goals and expectations
Initial Team building
Community building
Revise roles, responsibilities
Negotiate to win-win
Enhance team scope
Better pro-cesses, tools
Knowledge transfer
Norming
Performing
Subsequent failures
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4. Continuous Knowledge ManagementNine Key Success Factors
Sam
e
Direct team building
Collaborative workshops, interviews
Scenarios, use cases, case studies
Check lists
Same Different
Diff
eren
t
Culture
Location, time zone
Virtual team building
Formalized specifications
Check lists
Scenarios, use cases, case studies
Virtual team building
Virtual knowledge workshops
Remote trainings
Project reviews
Scenarios, use cases, case studies
Local activities and gathering, e.g. town hall, coffee corner, lunch
Project reviews
Knowledge workshops
Trainings
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Implementation Systematic approach for
requirements elicitation and specification and status tracking
Same standard environment for requirements access, templates across all sites
Coaching and Moderation for distributed requirements workshops
Vector Project Experiences Misunderstandings and defects are
detected earlier
Better agreements and commitments of different stakeholders
Late requirements changes had been reduced to one third
Industry Case Study: Distributed Requirements EngineeringNine Key Success Factors
Hints:
Enforce disciplined and systematic requirements engineering in all sites and across all functions
Use the same tool for requirements across all sites
Connect requirements to test and project management
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5. Value and Customer OrientationNine Key Success Factors
Task Business model Supplier model Learning curve
Breakeven period
Number of sites
New business models and processes
Preferably onshore; should be co‐located
External consulting with own
management team Long Long Few
Performance improvement
Onshore, close collaboration
External consulting with own
management team Middle Middle Few
Development of internal applications
Rightshore (distance won’t matter) Typically outsourcing Short Middle Few‐many
Product development (generic)
Rightshore (time‐zone matters)
Outsourcing or captive Middle Middle ‐long Few
Product development (embedded; complex)
Nearshore; preferably co‐located
Captive with dedicated support Middle Middle ‐long Few
Validation of software Rightshore (distance won’t matter); test and development
should be co‐located
Outsourcing or own test center Middle Middle Few
Maintenance of internal applications
Rightshore (distance won’t matter)
Outsourcing or captive Middle Middle ‐long Many
Maintenance of products
Rightshore (time‐zone matters)
Outsourcing or captive Middle Long Few
Selection of software and infrastructure
Nearshore, close collaboration
Consulting; with own organization Short Short‐middle Few
Operation of infrastructure, SaaS
Rightshore (time‐zone matters)
Outsourcing or own IT center Short Short‐middle Few
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6. Flexible Partner NetworksNine Key Success Factors
Are there sudden behavioral changes?
Are contractual agreements not being kept?
Are there difficulties and issues which are not communicated
Have inputs, specifications, etc. been frequently rejected?
Is turn-over rate of engineers on your projects above average?
Is there reduced contact with supplier senior management?
Does the supplier demand to re-prioritize requirements?
Does the supplier interpret the SLA overly exact and restrictive?
Is there an increasing amount of escalation?
Does the financial situation of the supplier worsen?
Did the supplier recently gain new and more relevant clients?
Do other clients leave the supplier?
0,1
1
10
100 Person years
10 100 1000
Project size (FPs)
Project effort
0,1
1
10
100 Person years
10 100 1000
Project size (FPs)
Project effort
Is progress according to agreed milestones and deliverables?
Are right skills and engineers available as agreed?
Is technical expertise on right level? Are agreed quality levels of
deliverables proven? Are the budgeted cost and schedule
kept? Is quality, cost and content of work
products adequate? Which risks materialize? Which risks
are mitigated? Are agreed standards and processes
implemented? Is security and intellectual property
sufficiently protected? Are governance mechanisms installed
and followed? Which improvements are proposed by
supplier? Is there any way to improve
relationship management?
Project Controller 1527 WX StatusProject Manager John Doe ContentStart ScheduleEnd CostSupervision XT-11 Steering Board
# Risk Probability Impact Score Org Prob. Org. Imp. Org. Score Action Resp1.2.3.4.5.
Open Issues1.2.3.4.5.
2006-01-012006-08-31
Jan 06
Feb 06
Mrz 06
Mai 06
Jun 06
Jul 06
Aug 06
Jan 06 Feb 06 Mrz 06 Apr 06 Mai 06 Jun 06 Jul 06 Aug 06 Sep 06 Okt 06
end value
project start
analysis
increment 1
increment 2
increment 3
system test
release
Milestones
-30
20
70
120
170
220
Jan 06 Feb 06 Mrz 06 Apr 06 Mai 06 Jun 06 Jul 06 Aug 06
Budget, latestExp. plan, originalExp. plan, latestExpenses, actual
Expense Control
eASEE-PrjMDashboard: Small Projects
0%
20%
40%
60%
80%
100%
120%
140%
0% 13% 24% 37% 50% 62% 75% 88% 100%
Planned ValueActual CostEarned Value
Earned Value
0200400600800
100012001400160018002000
01.01
.2006
01.02
.2006
01.03
.2006
01.04
.2006
01.05
.2006
01.06
.2006
01.07
.2006
01.08
.2006
01.09
.2006
detectedclosedopen, criticalclosed, est.
Defects
0
2
4
6
8
10
12
14
16
Jan 06 Feb 06 Mrz 06 Apr 06 Mai 06 Jun 06 Jul 06 Aug 06 Sep 06
DescopedClosedTestedDesignedCommitted
Requirements
0
200
400
600
800
1000
1200
1400
1600
1800
01.01
.2006
01.02
.2006
01.03
.2006
01.04
.2006
01.05
.2006
01.06
.2006
01.07
.2006
01.08
.2006
01.09
.2006
open
successful
plan, successful
Test Progress
Was the supplier sufficiently qualified? Have objectives and constraints been
met? Have all deliverables been according
to SLA and quality levels? Has effort been in line with estimates?
How to improve? Which risks materialized? Which risks
have been mitigated? Which improvements are suggested
by your own team? Has the work split and task allocation
been adequate? Are there possibilities to improve
relationship management? Are there possibilities to improve
communication? Which – own or mutual – processes
need to be improved? Is this the supplier to continue working
with?
General project informationName of project: XXXXXProjectmanager(s):
YYYYY
Purchasemanager:
ZZZZZZ
Supplier: AAAAAAADate: Wednesday, September 29, 1999
Project tracking characteristicsInitial baseline plan Final actuals
Peak staff: 8 8Product size in esloc’s 37900 37750Product size in functionpoints
842 838
Total effort (PM) 114,25 118,4Total duration (mos) 18,3 18,2Start date 06-04-1998 06-04-1998End date 31-08-1999 27-08-1999
Project tracking review data (initial baseline versus reportedactuals)
Scheduleoverrun
(percentage)
Effort overrun(percentage)
Size overrun(percentage)
InitialPI
ActualPI
InitialMBI
ActualMBI
0% -2% 0% 11,5 11,5 1,9 1,9
Errors SIT to FOC Errors after FOC Total errorsreported
MTTD at projectend
208 37 245 5
Status Report Overall history:
April '99 May '99 June '99 July '99 Aug.'99 Sept.'99
General project informationName of project: XXXXXProjectmanager(s):
YYYYY
Purchasemanager:
ZZZZZZ
Supplier: AAAAAAADate: Wednesday, September 29, 1999
Project tracking characteristicsInitial baseline plan Final actuals
Peak staff: 8 8Product size in esloc’s 37900 37750Product size in functionpoints
842 838
Total effort (PM) 114,25 118,4Total duration (mos) 18,3 18,2
Initial baseline plan Final actualsPeak staff: 8 8Product size in esloc’s 37900 37750Product size in functionpoints
842 838
Total effort (PM) 114,25 118,4Total duration (mos) 18,3 18,2Start date 06-04-1998 06-04-1998End date 31-08-1999 27-08-1999
Project tracking review data (initial baseline versus reportedactuals)
Scheduleoverrun
(percentage)
Effort overrun(percentage)
Size overrun(percentage)
InitialPI
ActualPI
InitialMBI
ActualMBI
Start date 06-04-1998 06-04-1998End date 31-08-1999 27-08-1999
Project tracking review data (initial baseline versus reportedactuals)
Scheduleoverrun
(percentage)
Effort overrun(percentage)
Size overrun(percentage)
InitialPI
ActualPI
InitialMBI
ActualMBI
0% -2% 0% 11,5 11,5 1,9 1,90% -2% 0% 11,5 11,5 1,9 1,9
Errors SIT to FOC Errors after FOC Total errorsreported
MTTD at projectend
208 37 245 5
Status Report Overall history:
Errors SIT to FOC Errors after FOC Total errorsreported
MTTD at projectend
208 37 245 5
Status Report Overall history:
April '99 May '99 June '99 July '99 Aug.'99 Sept.'99
Did you ever work with this supplier and would you do it again?
What expertise and references does the supplier bring?
How are skills managed in light of turnovers?
How stable is the supplier and its shareholders?
Do processes and process maturity fit your needs?
Can the supplier handle global development teams?
Can he manage teams with members from different companies?
Does the supplier have the necessary formal qualifications?
Are the legal constraints acceptable for you and your company?
Are tools, interfaces, IT infrastructure and security sufficient?
Are prices demanded for services competitive?
How will you avoid a lock-in position?
CompetitionSmall High
Competitors
1 2 3 4 5
Substitution riskSmall High
New solutions
1 2 3 4 5
ImpactsSmall High
External factors
1 2 3 4 5
Negotiation powerSmall High
Suppliers
1 2 3 4 5
Negotiation powerSmall High
Customers
1 2 3 4 5
Market entry riskSmall High
New entries
1 2 3 4 5
CompetitionSmall High
Competitors
1 2 3 4 5
CompetitionSmall High
Competitors
1 2 3 4 5
Substitution riskSmall High
New solutions
1 2 3 4 5
Substitution riskSmall High
New solutions
1 2 3 4 5
ImpactsSmall High
External factors
1 2 3 4 5
ImpactsSmall High
External factors
1 2 3 4 5
Negotiation powerSmall High
Suppliers
1 2 3 4 5
Negotiation powerSmall High
Suppliers
1 2 3 4 5
Negotiation powerSmall High
Customers
1 2 3 4 5
Negotiation powerSmall High
Customers
1 2 3 4 5
Market entry riskSmall High
New entries
1 2 3 4 5
Market entry riskSmall High
New entries
1 2 3 4 5
time
Sourcingstrategy
Initiationand ramp-up
Projectexecution
Evaluation andrelationshipmanagement
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7. Good-Enough Process CapabilitiesNine Key Success Factors
Process maturity sourcing client
Proc
ess
mat
urity
sou
rcin
g su
pplie
r
Low High
Low
High
Replacement
(insufficient supplier
performance, selection of better
supplier)
Overheads
(lack of downstream integration,
rework cycles)
Win-Win
(process integration,
shared objectives, mutual
optimization)
Failure
(dysfunctional interfaces, frictions, overruns)
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8. Transparent Work and Product OrganizationNine Key Success Factors
Establish coherent vision for globalization Safe-guard core competences and products Align global product and supplier portfolio Establish frame contracts with key suppliers Set up and maintain governance and IT structure
Set up a transparent work and process organization Align planning (skills, resources, sites, work split) Establish and monitor key performance indicators Institutionalize governance, process, tools, IT
Establish a transparent product organization Set up the distributed teams, products and projects Manage suppliers, sites and distributed teams
Set up strong teams with clear responsibilities Manage project-specific risks Set up, measure and reach agreed objectives
Enter-prise
BusinessDivision
Product line /departments
Projects
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9. Collaborative IT InfrastructureNine Key Success Factors
Collaboration
Processes
Roles
Governance
Content
PLM / ALM
data management
Technology
Groupware, Bots
Security
Bandwidth
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Implementation Standardized tools are stepwise
introduced in a heterogeneous organically grown environment
Push on consistent data management
Coaching for good tools usage
Vector Project Experiences Improved collaboration because
teams know who is currently on board
Standardized tools provide scale effects in license cost
Quality and schedule adherence for changes and new deliveries has been doubled
Industry Case Study: Facilitating CollaborationNine Key Success Factors
Hints:
Start with screen sharing, team collaboration tools and document management
Negotiate global license models adjusted to sour organization layout
Consider sufficient bandwidth
Stimulate engineers towards IPR protection and risk management
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The Way Ahead
Communication Collaboration
Competences
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Implement Necessary ImprovementsThe Way Ahead
Top 10 Risks…
1. Project delivery failures2. Insufficient quality3. Distance and culture clashes4. Staff turnover5. Poor supplier services6. Instability with overly high
change rate7. Insufficient competences8. Wage and cost inflation9. Lock-in10. Inadequate IPR
management
… What it means for YOU
Innovate competences Implement value-driven
technology decisions Innovate solutions with
products and services
Improve communication Make partners part of value
creation Drive Lean principles to
manage complexity and uncertainty
Grow collaboration Foster collaborative virtual
teams Stimulate people to work
together26/29
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International Conference on Global Software Engineering (ICGSE)Annual IEEE flagship conference
ICGSE is listed by: DBLP, IEEE, INSPEC, Microsoft Academic Search, Compendex, Library of Congress, AllConferences.com, WikiCFP
www.icgse.org
White paper with Siemens, Bosch etc.Directly and free from Vector Media Center:
www.vector.com/gse
Stay TunedThe Way Ahead
Gothenburg, Sweden 27.-29. May 2018
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Case Studies and Best PracticesThe Way Ahead
Global Software and IT
Christof EbertSecond Edition, Wiley, 2012 www.vector.com/books
“This book stands out as the best source of information on distributed software development. Seldom do we see a book with the concepts completely backed by industry experiences and views. Software developers and managers benefit from the broad case studies.”
S.M. Balasubramaniyan, Vice President, Wipro Technologies
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