Scrum e a Crise Mundial

and the World Crisis

Rafael Sabbagh

Marcos Garrido

ScrumWhy Scrum is the best choice for

projects in times of crisis

v 2.0

2http://scrumability.net

Speakers

• Rafael Sabbagh• Certified Scrum Practitioner (CSP) / ScrumMaster• Seven years of experience in IT Project Management and

Development Team Leadership• Computer Engineer - PUC-Rio• Master Student in Administration - PUC-Rio• MBA - PUC-Rio

• Marcos Garrido• Certified Scrum Product Owner (CSPO)• Six years of experience in IT Project Management and

Development Team Leadership • Information Technologist - PUC-Rio• Master Student in Administration - PUC-Rio• MBA - PUC-Rio


Part I

World Crisis


The world just faced a large crisis...U.S.-aided banks U.S.-aided banks are offering less are offering less creditcredit

ADDICTED TO RISK


...and it’s still healing from it!

Who believes that we’re safe for now?

…and who believes that there’s more coming?


World Crisis of the last 80 years

1929Wall Street Crash

1944WWII

1971Oil

19732nd Oil

1982Mexican Debt

1994Tequila Effect

1997Asian Tigers

1998Russian Financial

2000Dot Com

20019/11

2002Tango Effect

2007Subprime !! 2010

China Credit Bubble

More than 50% in the last 15 years!Come on! Another one?!


We’ve got to be prepared!


The crisis scenario is hard!

• Demand for projects shrinking • Investments in technology diminishing• Longer decision making process• Limited access to credit• Financial problems with most clients • Resource rationalization • Margin pressure • Environment of uncertainty • Constant changes


Part II

How to survive?


How to survive?

The market demands that organizations change the way they work in order to survive

turbulent times.

A truePARADIGM SHIFT


How to survive?

This new way of work shall:

Work well on rapidly changing environments, allowing frequent replanning

Focus on maximizing the client's Return On Investment (ROI)

Help reduce time-to-production or time-to-market


How to survive?

This new way of work shall:

Avoid wasted effort/time with subproducts (e.g. docs.) and features that will never be used

Always deliver value to the client, even if the project needs to be halted

increase the communication and feedback between the project's stakeholders, so people will know what needs to be done and what's being done


How to survive?

What framework for project development focuses on all those

issues?

Scrum


How to survive?

Scrum is the best choice for projects in times of

crisis!

Also, Scrum helps to protect organizations from

crisis to come!


Part III

Why Scrum?


Why Scrum?

We’ll offer several arguments so that people can decide or influence others to

opt for Scrum in their organizations.


NO waste!

Non-agile methodologies defend that a big amount of documents must be generated so that a project may succeed

Project Charter

Preliminary Scope

Statement

Project Management

Plan

Change Requests

Progress Report

Performance Report

Acceptance Report

Project Closure Report

Detailed Schedule

Earned Value Analysis

Lessons Learned

Document

Sequence Diagrams

Components Diagram

Collaboration Diagram

State Diagrams

Use Cases Diagram

Packages Diagram

Activities Diagram

...what else?

Does the cost of production and maintenance of those documents pay?

How many of those documents will be kept current?

How many will be really useful for the project development?


NO waste!

• 35% of requirements change

• 65% of functionalities are never or rarely used

About 50% of a typical project’s time (and money) is spent on requisites, architecture

and specifications

Requirement AnalysisSpecification / Architecture

Implementation Tests Maintenance

all that is done before building any functionality!and it gets

worse...


NO waste!

In the current world scenario, is

such waste of time and effort acceptable?


NO waste!

After all, the objective of a project is the product - not the documentation!

With Scrum, only the documentation strictly sufficient and necessary must be

produced for the project

That is, produce only what will be used.


NO waste!

On Scrum, the Product Backlog must keep up with the client needs. And those change on the course of the project.

Therefore, whatever is delivered has a better chance of actually being used by the client.

The functionalities that’ll be implemented are the ones of most importance for the client before the beginning of every sprint.


Better value first!

With waterfall, the client only gets value at the end

of the project.

THE release


Better value first!

With Scrum, the Product Owner must constantly update and prioritize the Product Backlog by the items with better value for the client.

Therefore, Scrum assures that items of most value get delivered first, generating ROI frequently for the client.


Better value first!

• In times of crisis, organizations must stay competitive. Prioritizing the Product Backlog based on value allows the organization to:

• deliver results to its clients faster than the other players

• put in production functionalities that add better value to their businesses more quickly

• launch products and new versions more frequently on the market, so that they keep up with the inevitable market changes


May changes come!

Large and frequent transformations happen in times of crisis

Changes in legislation and regulation

Changes in business rules

New business opportunities

Important players leave the market

Big losses and budget becomes scarce

Mergers and aquisitions / government interventions


May changes come!

How do traditional methodologies deal with changes?

Change is undesirable!

Change is risky!

Change is expensive!

Change must be

negotiated!

As almost all the planning is made at the beginning of the project, there’s very

little room for changes!


May changes come!

How do traditional methodologies deal with changes?

“The limited scope contract will protect us! The client may want to change it all!”

“Every change must be negotiated with the client! Its impact must be quantified!”

“Every change must be revised, approved, planned, documented and managed!”


May changes come!

Change Management is a source of stress on projects that use non-agile

methodologies.

Stress on the long-term relationship with the client.

Daily stress on the project team.


May changes come!

How Scrum deals with change?

Scrum maintains that change is a natural part of the development process

Agile manifesto: “respond to changes over following a plan”

Changes are always reflected in the Product Backlog


May changes come!

How Scrum deals with change?

Client’s new requests can be introduced on the product by the following sprint!

Such quick response to change becomes a great competitive advantage…

...making it possible to turn a crisis into an opportunity!


The client perceives the project as a

big black box, which content will be revealed solely by the end of the process.

Parcels or partners?

On a typical waterfall project, when is the client encouraged to participate?


Implementation MaintenanceTests

Acceptance Tests



Therefore, it's unlikely that what the client asked for in the beginning of the project will fulfill his needs in the end.



How Scrum deals with communication?

The Product Owner is always in touch with client to identify his needs and

update the Product Backlog.

The client frequently gets new versions…

... and can give feedback more quickly to the team through the Product Owner.



How Scrum deals with communication?

That way, the client feels involved with the whole process...

...sharing the responsibility over the project with the team...

... increasingly trusting the team and the process itself.



The relationship with the client ceases being merely commercial and instead fosters:

Partnership Complicity Satisfaction Fidelity

A long-term relationship is then developed with the client, which can often

overcome strong periods of crisis.



With non-agile methodologies, how is project visibility promoted to its

stakeholders?

State Diagrams

Mainly through documentation, which...

...takes a lot of work to be

produced

...is not efficient

...is hard to update

...ends up being

dismissed



With Scrum, project visibility is constantly promoted!

Daily meetings

TaskboardWorking in a

collocated environment

Client involvement

Burndown charts

Frequent releases

Review meeting

Retros-pective

...are some examples.



Keeping communications open between the project’s stakeholders is the best way to assure that everyone knows what needs to

be done and what’s being done.

That leads to an increase of productivity, which is essential to surviving the new

reality.


What if the project gets suspended?


Implementation Tests Maintenance

In a non-agile project, what will be delivered to the client if the project gets suspended...

...here? ...or here?...or even here?



A project with Scrum works differently...

VALUE is delivered in every iteration!



A project with Scrum always produces an increment on the product which is potentially deliverable at the end of every sprint.

As such, if the project gets suspended at any moment, the client may utilize what has been generated on previous sprints, minimizing his risks.

In a non-agile project, chances are the client won’t be getting any return whatsoever on the investments made.



On an environment of uncertainties, minimizing the client’s risks becomes an important competitive

advantage.


What if members leave the team?

With waterfall, roles inside the projects are very well defined, with high specialization.

What happens in waterfall projects?

If a member leaves the team, no one will be able to do his job.

Periods of crisis lead to high turnover rates. Teams frequently change.

Therefore, the whole project’s success is

threatened!


What if members leave the team?

The team is cross-functional. Responsibility over delivery belongs to the whole team.

And what happens in projects with Scrum?

Although there is a natural specialization, people are stimulated to develop and utilize

their secondary abilities...

...and, in general, will do their best to compensate for the lack of team members.

So, even with changes, the team can keep

delivering.


Part IV

Conclusions


Conclusions

In this presentation, we showed that

Scrum is the best choice for projects, specially in

turbulent times.


Conclusions

We offered several arguments so that people can decide or influence others to

opt for Scrum in their organizations.


Conclusions

Organizations which use Scrum are closer to its clients, focused

on results, more compact, objective and transparent.


Conclusions

Therefore these organizations will be more prepared to the new

world reality, ahead of competition.


Part V

Bibliography


Bibliography


Contact us

http://scrumability.net

Rafael [email protected]

Marcos [email protected]

Scrum e a Crise Mundial

Education

Transcript of Scrum e a Crise Mundial