Agile & TOC
Aviram Eisenberg, CEO, Ignite

About Ignite
 Ignite is a pure play software development company
 Outsourcing Boutique targeting Israeli ISVs
 Specialize in global delivery models of software
development
 Distributed Agile development methodology
 Senior onsite Israeli R&D managers
 Offshore centers in Ukraine, Belarus, Russia and Mexico
 Engagement Models:
 Fixed-price
 ODC
 Milestone-based pricing
 Headed by Aviram Eisenberg, former Chief Architect at
MIND CTI and chairman of the Israeli Software
Development Managers Forum

Agile Highlights
Claims that SW development is a spiral process hence
waterfall model is usually not effective
Develop in short iterations (sprints) that contain that each
contain the spec analysis, estimations, design develop and
testing
Working software must be delivered at each iteration
Due dates are fixed, scope can be changed
Pareto: 80% of SW value comes from 20% of the features
Customer calibration – prioritization of backlog
User stories vs. feature specifications
The R&D team has much more freedom of choice
Test Automation
Continuous integration – code cannot break!

Agile – take 1
Planning I0
Task 1
Task 2
Testing
Planning I1
Task 3
Task 4
Testing

Agile – take 2
Planning I0
Task 1
HL Planning Task 2
Testing Integration
Integration
Planning I1 Planning Testing
Task 4
Task 3
Testing

TOC Highlights
Improve throughput of complex projects
Identify and protect the critical chain
The TOC process:
Identify the system’s constraint(s)
Decide how to exploit the system’s
constraint(s)
Subordinate everything else to the decision in
step 2
Solve the system’s constraint(s)
Return to step 1 if the system’s constraints
were changed

TOC Highlights
Plan all activities according to 50%
probability estimations – Parkinson’s Law
Add time buffer at the end of each path
(feeding/project buffers)
Add resource buffers to assist on
bottlenecks
Avoid multitasking along the critical chain
Monitor buffer consumption as opposed to
task schedule

TOC
Architecture
Design Task 1
Task 2 Testing
Design Task 3 Integration
Task 4 Testing
Management

TOC
Architecture
Design Task 1
Task 2 Testing FB
Design Task 3 FB Integration PB
Task 4 Testing
Resource Pool
Management

TOC vs Agile
Criteria TOC Agile
Target verticals Any type of complex Software development
project
Type of projects Multi team complex project Simpler projects
Nature of projects Any type of multi project Spiral type
Primary target Enhance throughput Deliver working
software on time
Focus Bottlenecks Inherent problems of
SW development
Research Vs Excels at development Excels at research
Development project projects
Strategic vs Tactic Strategic planning Tactic Planning

Statistics
The standard stats:
 More than 60% projects fail to meet budget and due
date objectives by more than 200%
 30% of projects are cancelled
 70% fall short of scope
Agile stats:
 99% chance to meet due date
 Better quality software
 Improved customer satisfaction
TOC:
 10% to 50% improvement on throughput
 90 to 95% to meet due date and budget

Agile or TOC
So, Agile or TOC?
It depends on project characteristics
Why not use both?

TOC with Agile
Planning I0 0
Iteration FB
Task 1
HL Planning Task 2
Testing Integration
Integration
Integration PB
Planning I1
Iteration 1 Planning Testing
Task 4
Task 3
Testing

Q&A
Aviram Eisenberg
Ignite
www.igniteoutsourcing.com
aviram@IgniteOutsourcing.com