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PresenterDavid J. Anderson
CEO, Lean Kanban Inc.
London Lean Kanban DayLondon
February 2014Release 1.0
Kanban’s 3 AgendasSustainability, Service-orientation, Survivability
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Daniel Kahneman has given us a simple model for how we process information
Daniel Kahneman
System 1Sensory Perception
Pattern Matching
System 2Logical Inference
Engine
Learning byExperience
Learning from theory
FASTBut slow to learn
SLOWBut fast to learn
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How we process change…
Daniel Kahneman
Silicon-basedlife form
Carbon-basedlife form
I logically evaluate change using System 2
I adapt quickly
I feel change emotionally using System 1
I adapt slowly
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Adopting new processes challenges people psychologically & sociologically
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The Kanban Method…
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The Kanban Method…
*also known as "kanban" in Chinese and in Japanese when written with Chinese characters
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The Kanban Method is a new approach to improvement
Kanban is a
method without
methodology
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Water flows around the rock
“be like water”
the rock represents resistance
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Kanban should be like water*
* http://joecampbell.wordpress.com/2009/05/13/be-like-water/
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Principles behind the Kanban Method
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6 Practices Enable Process Evolution
The Kanban Method
VisualizeLimit Work-in-progressManage FlowMake Policies ExplicitImplement Feedback LoopsImprove Collaboratively, Evolve Experimentally
(using models & the scientific method)
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Motivation for ManagersSurvivability
Agenda
Service-OrientedAgenda
SustainabilityAgenda
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Survivability Agenda
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Start with what you do now
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Fitness criteria are metrics that measure observable external outcomes
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Evolutionary change has no defined end point
EvolvingProcess
Rollforward
Rollback
InitialProcess
Future process is emergent
EvaluateFitness
EvaluateFitness
EvaluateFitness
EvaluateFitness
EvaluateFitness
We don’t know the end-point but we do know our emergent
process is fitter!
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Validate Fitness Criteria with real customers
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Which system is fitter?
5 10 15 20 25 30 40 45 55 65 More02468
101214
System A
Frequency
Lead Time (Days)
5 10 15 20 25 30 More0
5
10
15
20
25
30
System B
Frequency
Lead Time in Days
Mean 17 days Mean 12 days
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Measuring delivery against expectation
5 10 15 20 25 30 40 45 55 65 More02468
101214
System A
Frequency
Lead Time (Days)
-25 -20 -5 0 5 10 20 30 35 40 More0
2
4
6
8
10
12
System A
Frequency
Lead Time Expectation Spread (Days)
5 10 15 20 25 30 More0
5
10
15
20
25
30
System B
Frequency
Lead Time in Days
-15 -10 -5 0 5 10 15 20 More05
1015202530354045
System B
Frequency
Lead Time Expectation Spread (Days)
Mean 17 days Mean 12 days
System B is clearly fitter!
System B delivers 5/7 within expectationsSystem A only delivers 3/7 within expectations
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Business Risks, Fitness Criteria & Classes of Service should all align
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Institutionalize feedback systems to enable evolutionary change
OperationsReview
ServiceDeliveryReview
StandupMeetingmanager to subordinate(s)
(both 1-1 and 1-team)
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Organizational Improvements Emerge
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Disintermediate!Risks, fitness criteria & classes of
service should be explicit & transparent
OperationsReview
ServiceDeliveryReview
StandupMeeting
manager to subordinate(s) (both 1-1 and 1-team)
Expose risk, classes of service & fitness
criteria at all 3 levels of feedback
Lead timeQualityPredictability
Lead timeQualityPredictability
Lead timeQualityPredictability
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Know why you are using a metric!
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Benefits of an Adaptive CapabilityBenefits
Risk from changes greatly reduced
Sensitive to Changing External
EnvironmentCapability to
Change Quickly & Continually
Improved Customer Satisfaction
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The Service-Oriented Agenda
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H
FF OM
NK
J
I
Pull
Kanban systems are pull systemsIdeas
D
E
A
I
DevReady
G
5Ongoing
Development Testing
Done3 3
TestReady
5
F
B
CPull
Pull
*
There is capacity here
UATReleaseReady
∞ ∞
Pulling work from development will create
capacity here too –the pull signals move
upstream!
Now we have capacity to replenish our ready
buffer
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Commitment is deferred
H
EC A
I
D
Commitment point
FF FF FF FPull
Wish to avoid aborting after commitment
IdeasDev
Ready5
Ongoing
Development Testing
Done3 3
TestReady
5
UATReleaseReady
∞ ∞
We are committing to getting started. We are certain we want
to take delivery.
Ideas remain optional and unprioritized
G
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TestReady
FF FF FF F
Defining Kanban System Lead Time
H
E
C A
I
G
DPull
System Lead Time
Discarded
I
IdeasDev
Ready5
Ongoing
Development Testing
Done3 35
UATReleaseReady
∞ ∞
The clock starts ticking when we accept the customers order, not
when it is placed!
Until then customer orders are merely available options
Kanban system lead time ends when the
item reaches the first ∞
queue
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Delivery Rate(from the kanban system) System Lead Time
WIP=
Avg. Lead Time
Avg. Delivery Rate
WIP
Backlog ReadyTo
Deploy
Little’s Law
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The Kanban lens
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What Service Do You Provide?
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Column WIP Limit = 5
Testing is a shared service across 5
dev teams
In this example, testing was off-
shore in Chennai, India
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(some of the) orange tickets are avatars for people
from shared services such as
enterprise architecture and user experience
design
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5 lanes each with a dev team providing a
software development service to the
project
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Column WIP Limits
Clinical Validation Testing,
Deployment,P.O. Acceptance
All are shared service across 3
dev teams
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Multiple Types of Work Capacity is allocated across lanes
5 4 4 5 2 = 20 total
Change Req12
Maintenance2
Production Defect6
AllocationTotal = 20
InputQueue In Prog Done
BuildReady Test
ReleaseReadyDoneIn Prog
DevelopmentAnalysisReleased
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Multiple classes of serviceAllocate capacity with kanban limit per color
5 4 4 5 2= 20 total
Allocation
10 = 50%
...
+1 = +5%
4 = 20%
6 = 30%
InputQueue In Prog DoneDoneIn Prog
DevelopmentAnalysis BuildReady Test
ReleaseReady
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Benefits of service-orientedsingle kanban system
Benefits
PredictabilityShorter Lead TimesIncreased Delivery
RateImproved trust with
business stakeholdersEliminated DisruptionsMeasurable Benefits
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The Sustainability Agenda
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Traditional Managed Change InitiativeA Big J Curve
Patience!
Fitne
ssfo
rpu
rpos
e
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Sustainable Evolutionary Change withmany small J’s
Increasing “fitness”
Increasing capabilityfor change
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Economically balancecapability against demand
Goals for using Kanban
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Available options
, disruptive & speculative demand
Capacity Allocation Policies
Motivate change through visibility of explicit work
types, use policy to constrain & contain,
probabilistic forecasting
WIP Limits, Flow, Flow Efficiency, Focus on
sources of delay
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3 Forms of Proto Kanban
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Aggregated Personal Kanban
Backlog
F
H
E
C A
TeamMember
G
D
Next Done3
In-progress
3
Joe
Peter
Steven
Joann
per person∞ ∞per person
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Proto-Kanban – infinite queues
Done
Poolof
Ideas
FH E
C A
I
NextDeploy-
mentReady
GD
GYPB
DEMN
5 ∞
P1
AB
Ongoing
Development Testing
Done Ongoing Done
3 3
I am a buffer!
The clue is in my name – “… Ready”
I am buffering non-instant availability or activity with a
cyclical cadence
Infinite limits on done columns means that there really isn’t a kanban pull system present.
This style of proto-kanban controls multi-tasking but doesn’t limit workflow WIP
∞ ∞
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Another Proto-Kanban (per person WIP limit)
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Benefits of proto-Kanban implementation
Benefits
TransparencyEngage people
emotionallyCollaboration
Greater empathyReduced multitasking
(improved quality)
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Kanban - Compelling at Every LevelSurvivability
Agenda
Service-OrientedAgenda
SustainabilityAgenda
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Upcoming Training in Scandinavia
3-day Kanban Coaching Professional MasterclassStockholm 20-22 Novemberhttp://djaa.com/david-anderson-6
2-day Advanced PractitionerOslo 10-11 February, 2014Copenhagen 12-13 February, 2014(email me for details)
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About
David Anderson is a thought leader in managing effective software teams. He leads a training, consulting, publishing and event planning business dedicated to developing, promoting and implementing sustainable evolutionary…He has 30 years experience in the high technology industry starting with computer games in the early 1980’s. He has led software teams delivering superior productivity and quality using innovative agile methods at large companies such as Sprint and Motorola.David is the pioneer of the Kanban Method an agile and evolutionary approach to change. His latest book, published in June 2012, is, Lessons in Agile Management – On the Road to Kanban.David is the leader of Lean Kanban Inc., a management training business dedicated to offering high quality management training for creative knowledge worker industries throughout the world.
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Kanban’s “hidden agendas” were first promoted by Kurt Hausler who argued that teaching Kanban coaches to hold a neutral stance on improvement from what you do now was wrong.
Kanban’s 3 Agendas has been a collaboration with Mike Burrows with input from Kurt Hausler, Markus Andrezak & Andy Carmichael
The succinct summary of Kanban’s approach to scaling is borrowed from Andy Carmichael’s “Shortest Possible Definition of Kanban”
Acknowledgements
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