Lean Software Development Is for Everyone

LEAN-agile© copyright 2010. Net Objectives, Inc.

B E C O M I N G

Lean Software For EveryoneKen PughFellow Consultant

KP Aug 2014

• Introduction and Background

• Lean as Flow • Lean Software

Development• Lean-Agile • Transforming into Lean

Outline

Ken Pugh

[email protected]

PhotoSize: Height: 2.25Position: from top left corner Horizontal 0.75 Vertical 1.Picture Style: Simple Black Frame

No code goes in till the test goes on.A journey of two thousand miles begins with a single step.

Fellow Consultant SPC, Lean, Scrum, ATDD, TDD, OOA&D, Design

Patterns, Over 2/5 century of software development

experience Author of seven books, including:

– Prefactoring: Extreme Abstraction, Extreme

Separation, Extreme Readability (2006 Jolt Award)

– Interface Oriented Design

– Lean Agile Acceptance Test-Driven Development:

Better Software Through Collaboration

Lean Enterprise

Business

ManagementTeam

ASSESSMENTS

CONSULTING

TRAININGCOACHING

Lean for ExecutivesProduct Portfolio

ManagementBusiness Product Owner

Lean Management

Project Management

ILAFYTKanban / Scrum ATDD / TDD / Design Patterns

technical

process

Lean Thinking, Jim Womack and Daniel Jones Lean Software Development, Mary and Tom

Poppendieck The Principles of Product Development Flow:

Second Generation Lean Product Development, Donald Reinertsen

Alan Shalloway, http://www.netobjectives.com/blog

Resources

Overall Rule There are exceptions to every statement,

except this one

6

copyright © 2010 Net Objectives Inc.

Introduction and Background

Lean software engineering – Continuous delivery of high quality applications

In short

Toyota Production System– Lean Manufacturing

Lean Thinking – Use lean thinking on workflow– Software development is workflow

Lean Software Development Creating software is not the same as producing a car Principles derived from Lean

Lean Approaches

Taiichi Ohno, chief engineer Eiji Toyoda (and cousin Kiichiro Toyoda and his

father Sakichi Toyoda, (Toyoda Loom Works founder))

Design out overburden (muri) and inconsistency (mura), eliminate waste (muda).

Smooth process - design out inconsistency Flexible – without overburden which generates

waste Elimination of waste

Toyota Production System (TPS)

Continuous improvement– Kazien

Respect for people Long-term philosophy

– Not short term goals

Right process will produce right results– Stop to fix problems– Visual controls– Use reliable, tested technology

Add value to organization by developing your people and partners– Develop exceptional teams

Continuously solving root problems drives organizational learning– Decisions by consensus

TPS Principles

Value comes from end customer Value stream

– Eliminate steps not creating value

Make remaining steps flow in integrated sequence

Let customers pull from upstream activity Transparency

– Helps eliminate waste – Continuous improvement

Lean Thinking

Eliminate Waste Create Knowledge Build Quality In Defer Commitment Deliver Fast Respect People Improve the System

Lean Software Development Principle

Dilbert on AgileAgile


Workflow

3key points

drive from

Business Value

SMALL INCREMENT

S

m a k e a l l w o r kvisible

1concentration

Idea Business decision

Implementation

Availability

FLOW

© Warp and Byte Designs, Inc..

1outcome

business value trumps flow

trumps Reducing Waste


Flow From Concept to Consumption

Business Value – What Is It? (1) Need to measure business value Deliver best ROI for business value

"I can't define it, but I know it when I see it“

Question: What is it to you?

26

Business Value – What Is It? (2) Business Value can be:

– Increased revenue (sales, royalties, fees) ($$)– Decreased expenses ($$)

Less resources More efficient use of resources

– Customer satisfaction ($$ ??) Promoters / Satisfiers/ Detractors

– Staying in business ($$ ??)– Staying out of jail ($$ ??) – Avoiding risk ($$ ??) – Your suggestions?

27

Business Value

Projects

Next Project BV = 8

Current Project BV = 13

Previous Project BV= 20

Transparency – Trust

Transparency

To Do Working On Done

Next Project Current Project Previous Project

Deliver – Minimum Marketable Feature (MMF)– Minimum Business Increment (MBI) – Key = Independently Releasable Item (IRI)

Develop – Stories – Scenarios

Key = Separately Developable Items (SDI) Although may be sequenced dependent

Small bites

Small Pieces

To Do Working On Done

Current Project Current Part Previous part

Still Another Part

Another Part

Some Part

BusinessPriority

BUSINESS DISCOVERY BUSINESS DELIVERY

BusinessPlanning

Business Readiness

Ready to Pull

IncrementalDevelopment

IncrementalDeployment

Support & Feedback

DecisionIs it technically feasible?

DecisionIs it ready to release?

PORT

FOLI

O

DecisionIs there enough business value?

Flow

Cycle Time

Lean Principle

Idea to Delivery

Support & Feedback

ProjectApproval

ProjectStaffing

ProjectDevelopment

ProjectDeploy-ment

Visioning

Total cycle time

Lean Principle

Support & Feedback

ProjectApproval

ProjectStaffing

ProjectDevelopment

ProjectDeploy-ment

VisioningSupport & Feedback

ProjectDevelopment

ProjectDeployment

$$$ Cost

Support & Feedback

ProjectApproval

ProjectStaffing

ProjectDevelopment

ProjectDeploy-ment

VisioningSupport & Feedback

ProjectDevelopment

ProjectDeployment

ProjectApproval

ProjectStaffing

Visioning

Lean Principle

Opportunity Cost

Value Stream

Value Stream

1. Identify the actions taken in the value stream

Approve

Request Reqts Sign Off

Review Deploy

Analysis

Design Code Test

Value Stream0.5 hrs 160 hrs8 hrs 8 hrs

120 hrs 280 hrs 240 hrs

100 hrs

8 hrs2 hrs

Approve

Request Reqts Sign Off

Review Deploy

Analysis

Design Code Test

1. Identify the actions taken in the value stream2. What was the real time from start to finish of the action?

Value Stream0.5 hrs 160 hrs8 hrs 8hrs

120 hrs 280 hrs 240 hrs

100 hrs

8 hrs2 hrs

Approve.1 / 7.9 hrs

Request0.5 / 0.0 hr

Reqts60 / 100 hrs

Sign Off1 / 7 hrs

Review 2 / 0 hrs

Deploy3 / 5 hrs

Analysis40 / 60 hrs

Design40 / 80 hrs

Code80 / 200 hrs

Test40 / 200 hrs

1. Identify the actions taken in the value stream2. 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?

Value Stream0.5 hrs 160 hrs8 hrs 8hrs

120 hrs 280 hrs 240 hrs

100 hrs

8 hrs2 hrs

320 hrs 80 hrs 320 hrs 80 hrs

80 hrs


1. Identify the actions taken in the value stream2. 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

Approve.1 / 7.9 hrs

Request0.5 / 0.0 hr

Reqts60 / 100 hrs

Sign Off1 / 7 hrs

Review 2 / 0 hrs

Deploy3 / 5 hrs

Analysis40 / 60 hrs

Design40 / 80 hrs

Code80 / 200 hrs

Test40 / 200 hrs

Value Stream

April 15, 2023

0.5 hrs 160 hrs8 hrs 8hrs

120 hrs 280 hrs 240 hrs

100 hrs

8 hrs2 hrs



1. Identify the actions taken in the value stream2. 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 actions5. Identify any loop backs required

80 hrs

65% defectiveRepeat 3X

20% rejectedRepeat 1X

Approve.1 / 7.9 hrs

Request0.5 / 0.0 hr

Reqts60 / 100 hrs

Sign Off1 / 7 hrs

Review 2 / 0 hrs

Deploy3 / 5 hrs

Analysis40 / 60 hrs

Design40 / 80 hrs

Code80 / 200 hrs

Test40 / 200 hrs

1. Identify the actions taken in the value stream2. 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 actions5. Identify any loop backs required6. Calculate Process Cycle Efficiency:

Value StreamApprove.1 / 7.9 hrs

Request0.5 / 0.0 hrs

Reqts60 / 100 hrs

Sign Off1 / 7 hrs

Review 2 / 0 hrs

Deploy3 / 5 hrs

Analysis40 / 60 hrs

Design40 / 80 hrs

Code80 / 200 hrs

Test40 / 200 hrs


120 hrs 280 hrs 240 hrs

100 hrs

8 hrs2 hrs





80 hrs

Approve.1 / 7.9 hrs


Reqts60 / 100 hrs

Sign Off1 / 7 hrs

Review 2 / 0 hrs

Deploy3 / 5 hrs

Analysis40 / 60 hrs

Design40 / 80 hrs

Code80 / 200 hrs

Test40 / 200 hrs

Avg Time Worked Total Cycle Time

0.5 hrs 160 hrs8 hrs 8 hrs

120 hrs 280 hrs 240 hrs

100 hrs

8 hrs2 hrs


160 hrs 80 hrs 80 hrs



80 hrs

80 hrs

PCE = = 14.9%509 hrs

3433 hrs

509 hrs

3433 hrs

Avg Time Worked Total Cycle Time

Value StreamApprove.1 / 7.9 hrs


Reqts60 / 100 hrs

Sign Off1 / 7 hrs

Review 2 / 0 hrs

Deploy3 / 5 hrs

Analysis40 / 60 hrs

Design40 / 80 hrs

Code80 / 200 hrs

Test40 / 200 hrs


120 hrs 280 hrs 240 hrs

100 hrs

8 hrs2 hrs





80 hrs


160 hrs 80 hrs 80 hrs



80 hrs

80 hrs

3433 – 509 = 2924

Eliminating delays

between what you

do

Getting better at what you

do

Which gives a better return?

Cycle Time What’s the cycle time from input to output? How can it be shortened?

– Eliminate delays – Eliminate loop-backs– Manage WIP –

Waste and Delays

1. Partially Done Work2. Paperwork3. Extra Features4. Task Switching5. Handoffs6. Delays7. Defects

Waste Indicators

how much of what you do is

valuable?rework?

DELAY IS

hand-offs bottlenecks information delayuntested codeunread requirementstransaction related

setup/cleanupcoordination related

assign people

finding

redoing

reworking

waiting

Work enters queue

When someone needs new work, they pull from queue

Work goes through stages When the work done in a stage, it flows to next.

Until work is done

Pull

BUT LIMIT QUEUES

Reduce WIP

Queuing theory

Focus on quality

Practice

EXERCISE

Part OneAGILE IS FUN

EXERCISE

Part Two AGILE IS FUN

Lean Software Development

Implement lean across entire value stream – To deliver business value – Not just improve development

Optimize the Whole / See the Whole

Focus on customer value Only start work that can be completed

Eliminate Waste

Move tests forward– Acceptance Test Driven Development

Automated testing Write change tolerant code

Build Quality In / Build Integrity In

Small batches Get feedback fast Emphasize cycle time, not utilization

Deliver Fast / As Possible

Use knowledge learned from creating application

Cross-functional teams to share knowledge Quick feedback

Create Knowledge / Amplify Learning

Create clear frameworks for decisions Decision making at lowest possible level

Empower People / The Team

Periodic reflections Perform root cause analysis

Continually Improve

Wait till last practical moment to make decision – More information available

Defer Commitment / Decide as Late as Possible

Points and Practices

Driving in Germany - picture of autobahn

policies© Warp and Byte Designs, Inc..

Measurement

Metrics

What is important?

Customer /user satisfaction

Production defects

Rate of delivery of business value



Lean – Agile

Apply lean principles/practices to agile processes

What lean principles/practices do you see in– Scrum– Kanban

Lean Agility

l e a n

a g i l e

WHAT is the most important thingWHEN is it most neededHOW we break down that workHOW we FLOW that work

Delivering

l e a n

a g i l e

Breaking work downCreating the best environment to deliver that workIncremental and Iterative development

Business Value

Delivering

l e a n

a g i l e


Beginning the Transformation

Getting Started Agree to goals

– Why change?

Map the value stream Determine what process to use

– Scrum, Kanban, Scrumban, etc.

Agree to transparency– Up and down the line

Agree to policies– Done-ness definitions, etc.

Agree to operational review– Team and organization

Educate the team(s) Start doing it

David Anderson. XTC, London 2009, October

Getting started with kanban

Old Status Quo New Status Quo

Chaos Transforming Idea

Change Model From Virginia Satir


This is Not an Ending,

But a Beginning

Shorten time to realize values Pay attention to delays Actively manage queues Emphasize cycle time, not utilization

Summary - Focus on Flow


Supplementary

Roles

Purpose

MAKE• INCREMENTAL

DELIVERY• CREATIVELY SOLVING

THEIR PROBLEMS• QUALITY BUILT IN

technical

technical

VALUE• PRIORITIZATION• BUSINESS

ITERATIONS• RELEASE

PLANNING

FLOW• VALUE STREAM

VISUALIZATION• IMPEDIMENT IMPACT• WORKFLOW AS PROCESS

technical

WITH

ACCOUNTABILITY• MANAGE (LIMIT)

QUEUES• VISUAL CONTROLS• MANAGE FLOW

(PROCESS)

WHOLE team engaged to Understand and deliver VALUE

Business Value

Question What percentage of features are never used?

Waste and the Delay of Value

Always7%

Often13%

Sometimes16%

Rarely19%

Never Used45%

Source: Standish GroupStudy of 2000 projects at 1000 companies

Usage of Features and Functions in Typical System

_g


Successful teamsCollaborate Shared accountability Shared approach to doing work Shared history

Feedback

Agile Feedback – Small Increments

100

No feedback

Desired Delivered

With feedback

Desired

Delivered

Frequency of feedback

Deliver Quickly

Focus on known, valuable features

gives greater certainty

produces greater value

lowers risk of mis-building and over-building

Deliver in Stages when possible

do the most important half first

standard development sequence

More important

Less important

do the most important 25% first

standard development sequence

More important

Less important

Time to

Market Lower riskHigher satisfactionHigher ROI

Profit!

Market Share

Product Life

First Release

InvestmentPeriod

PaybackPeriod

ProfitPeriod

Breakeven

Cash

flow

Time

economics of responsiveness

Mark Denne and Jane Cleland-Huang, Software by Numbers.

Staged Releases

First Release

Invest-mentPeriod

ProfitPeriod

Pay-back

Period

Cash

flow

Time

Release 1 Net Return

Staged Releases

ProfitPeriod

Second Release

Invest-mentPeriod

Pay-back

Period


Cash

flow

Time


ProfitPeriod

Investment

Invest-mentPeriod

Pay-back

Period

BreakevenPoint

Total Return

Cash

flow

Time

staged releases

Cash

flow

BreakevenSingleRelease

First Release

Time

Staged Releases

10

increased profit

Cash

flow

Breakeven

Single Release

First Release

Time

Staged Releases

10

When competition is intense

Multi-Tasking

Request 1/Team 1

Month 1

Month 2Month 3

Request 2/Team 2

Request 3/Team 3

A Harder ProblemSCENARIO B

another way to think of it

Request 1

Month 1

Month 2Month 3

Request 2

Request 3

A Harder ProblemSCENARIO B

try this: quicker feedback

Project 1

Project 2

Project 3

Month 3Month 2Month 1 Month 4

Three ways to do three projects

Do one at a time – may not be politically feasible.

Do them all at once, switching between them when delayed waiting for answers

Do them guided by Minimal Marketable Features

Product Development for the Lean Enterprise by Michael Kennedy. Oaklea Press. 2003

Task-Switching and Schedules

Capacity Utilization

Busy Doesn’t Mean Productive

Eff iciency How do you measure i t ?

Keep ing peop le busyOr

Produc ing bus iness va lue

utilizationthroughput

@ throughput vs. utilization

Here’s a spot!

And another!

Miscellaneous

Technical Versus Business Technical Inside – Components –Architect Business – Outside

Risks – what are there?


Observation

Anticipation of long delivery cycles encourages piling on of poorly prioritized requirements

Large batches create delay and waste

whileSmall batches create incremental value

FlowOptimiz

ethe

Whole!

Focus on

TIME

Getting Requirement

s

Testing

Programming

Design

Integration

Planning

Collaboration

Re-doing requirement

s

Working from old

requirements

“Fixing” bugs

“Integration” errors

Faster methods

Automation

Remove

Delays

Remove

Delays

Remove

Delays

Remove

DelaysDeploymen

t

Building unneede

d features

Overbuilding frameworks

Lack of feedback

Lack of Tech knowledge

What Work Do You Do?

TrainingDocumentatio

n

Essentially duplicating components

Lack of Tech knowledge/delay

Lean-Agile: Evolving Agility

Continually evolvingSustaining, not improvingDeclining

Initiation &

Rollout

Maturation

Lea

n-A

gil

ity

Year 1 Year 2 Year 3

Iterative Flow Highest Business Value

Low

∞

Project-based Business Value-based

Defined• Scope• Budget• Schedule

Require-ments

• Defined without priority

Limited evolution

• Scope• Budget and

schedule fixed

Big bang deploym

ent

• Build & deploy at end

Discovery

• Highest value• Allocate

budget

Require-ments

• Prioritized on Business Value

• Sequenced on ROI

Constant evolution

• Based on discovery

• Budget follows

Increments

• Build & deploy increments

Lean Software Development Is for Everyone

Software

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