@agilesensei

After reading this,

introduce yourself
to a person seated
next to you.
Tell this person
why you are here
an...
There is a war
Going on…
Most large organizations I know are stuck
into firefighting and command & control

Is Yours?
The traditional organization model seems
inadequate to cope with today’s
corporate challenges
Organization chart

Blame fl...
But if organizations are more like
organisms (i.e. complex adaptive systems)...
... How can we encourage and support
everyone to be responsible for change?
I looked for clues when I attempted to...
1
Leverage and
celebrate
everyone’s
improvement
ideas
Who are the
heroes in a
firefighting
company?
It all started when I launched a kaizen
system as part of a major Lean & Agile
transition
Kaizen memo:

Kaizen Memos

Befo...
One of the teams was going through a
delicate storming phase
Things improved sharply as we began to
celebrate the completion of each story
... leading me to my first kaizen idea!

Kaizen memo:

Ready for Celebration

Before improvement:

Story completion was
ta...
Backlog

Selected Development Testing
4

2

4

Ready for
celebration

Done

Done
In the early days, loud-voiced celebration
was not for everyone, however...
... So, we introduced a celebration volume

Kaizen memo:

Celebration Volume

Before improvement:

Action taken:

Some tea...
People began implementing simple ideas such
as improving their working environment...

Before…

… AFTEr
... Experimented with different forms of
visualization (e.g. prisoner metrics, dj
check sheets), scripts, and so on
What would your
first kaizen idea
look like?
Write it down!

Kaizen memo:
Before improvement:

We had
this problem
Effect:

Action taken:

We did this

It became a lit...
Unfortunately, Management’s initial
reaction wasn’t exactly what I expected...
“Seeds of a revolution?
Yeah right.”

Who can yawn
the loudest?
But as the transition progressed,
massive impediments raised dramatically
to the surface
Like never before,
we badly needed
to develop our
ability to...
2
Systematically
solve
problems
What do
You
know about
A3 thinking?
Copies of my preliminary A3 were lying
on the table…
It was a hell of a good way to kick start
a transition
I followed that same approach to tackle
problems at team level
a "problem" is the difference between
the "current situation" and the
"standard/expectation"

Gap = Problem

Standard
Curr...
So the first step I took with a team was
to clarify & breakdown the problem…
Theme:
Problem Situation:

Target(s):

Cause ...
Theme:	
  
Background	
  
Team is looking at improving its internal feedback loop to reduce
cost of delay, particularly wh...
What should be
happening?
Problem Statement	
  
Expectation: 	
  

Lead-time of reworked stories: 10d

Expectation –
Curre...
WE THEN SET A TARGET TO STIMULATE
IMPROVEMENT
Theme:
Problem Situation:

Target(s):

Cause Analysis:

Countermeasure(s):

...
Extent: The problem affects about 15% of all stories
Rationale: If no action is taken, customers will continue
to suffer d...
Theme:

Then, we wrote the theme

Reduce lead-time of reworked items from 14.6d to 10d
Background	
  
Team is looking at i...
What prevents us from
reaching our target
Condition?
Analysis	
  

Facts, not
opinions

Cause Analysis:

Push system

Lead...
Only then we identified a set of
potential countermeasures…
Theme:
Problem Situation:

Target(s):

Cause Analysis:

Counte...
June 10, 2011
C.Perrone

Countermeasures	
  
Cause
A

Countermeasure

Description

Benefit

Limit WIP/Pull

Limit how many...
With the proposed countermeasures the
future would look like this

Future State Map
In the implementation section, we
created & shared an action plan
Theme:
Problem Situation:

Target(s):

Cause Analysis:

...
Action Plan	
  
What

Who

Where How

Proj.
Compl
etion

Actual
complet
ion

Vsm

Stef./
Claudio

Team
Room

Post-its

10/...
Finally the follow-up section…
Theme:
Problem Situation:

Target(s):

Cause Analysis:

Countermeasure(s):

Implementation:...
Indicators	
  
Item

Initial

15/7

31/7

Leadtime nonreworked
items

7.8d

5d

5d

Leadtime
reworked
items

14.6d

6d

5d...
We posted the A3 on the wall, right
beside the kanban board
the team became 3 times faster, with
less rework
The new state became the new "baseline
for improvement”
We shared our findings with our
communities of practice to let the
acquired knowledge spread “laterally”
What problems
would you
tackle?
More importantly, management saw what
it means to "remove impediments”
… making me
realize that
I had chance to...
3
Turn the
leadership
triangle
upside-down
At this point of the transition we were
falling into chaos
Satir Change Model
Performance

Late Status Quo
Foreign Element...
The leadership triangle was actually broken
To turn the leadership triangle upside
down, we didn’t need enforcers, “easy
going” or absent managers…
we needed
problem
...
So I began to tackle problems by pairing
up with one promising manager
… Then I began practicing quick coaching
cycles
What do you mean by it? (Clarity)
Is it always the case? (Assumptions)
How...
Today more managers
,
are beginning their a3
thinking journey
So, I released a family of thinking tools…

www.a3thinker.com	
  
To help them change the world.
one problem at a time.

www.a3thinker.com/deck	
  
Final Thoughts
“

If you want 1 year of prosperity,
grow seeds.
If you want 10 years of prosperity,
grow trees.
If you want 100 years of ...
Thank You!

Claudio	
  Perrone	
  

claudio@agilesensei.com	
  
www.agilesensei.com	
  
www.a3thinker.com	
  
www.twi<er.c...
A3 & Kaizen: Here's How
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A3 & Kaizen: Here's How

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This is a slide deck I originally presented at ALE2011 in Berlin about A3 thinking and Kaizen in the context of a large Lean & Agile enterprise transition.
At LESS2011 in Stockholm a few weeks later, it was even awarded as overall "best session of the conference" (in addition to "best in the Organisation Transformations category".
(also presented at SDC12 and lssc12)

Nov 2011: I want to humbly dedicate this work to Grant (PG) Rule, who suddenly left this world due to a tragic accident.

Mar 2013: Latest News: As a follow-up to the presentation, I created an iPhone/iPad app (called A3 Thinker)!!. It's a set of brainstorming cards to help people create substantially better A3s. see http://a3thinker.com for details. A set of physical cards will soon follow.

24 July 2013: ...and yesterday I released the Android version on Google Play!

Sep 2013: finally! The formidable A3 Thinker action deck is live! http://a3thinker.com/deck

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A3 & Kaizen: Here's How

  1. 1. @agilesensei After reading this, introduce yourself to a person seated next to you. Tell this person why you are here and what you want to learn. written, illustrated and performed by Claudio Perrone
  2. 2. There is a war Going on…
  3. 3. Most large organizations I know are stuck into firefighting and command & control Is Yours?
  4. 4. The traditional organization model seems inadequate to cope with today’s corporate challenges Organization chart Blame flow Rule makers Controllers Enforcers Losers …
  5. 5. But if organizations are more like organisms (i.e. complex adaptive systems)...
  6. 6. ... How can we encourage and support everyone to be responsible for change?
  7. 7. I looked for clues when I attempted to...
  8. 8. 1 Leverage and celebrate everyone’s improvement ideas
  9. 9. Who are the heroes in a firefighting company?
  10. 10. It all started when I launched a kaizen system as part of a major Lean & Agile transition Kaizen memo: Kaizen Memos Before improvement: We didn’t trace the small, continuous improvements to our work Action taken: Created “Kaizen memos” to post on an “implemented ideas” board Effect: Team members trace and celebrate every implemented idea, even the smallest! Submitted by: Claudio Perrone Date:
  11. 11. One of the teams was going through a delicate storming phase
  12. 12. Things improved sharply as we began to celebrate the completion of each story
  13. 13. ... leading me to my first kaizen idea! Kaizen memo: Ready for Celebration Before improvement: Story completion was taken for granted Action taken: Created an explicit “Ready for Celebration” step in our workflow Effect: Team proudly celebrates completion of stories at standup meetings Submitted by: Claudio Perrone Date:
  14. 14. Backlog Selected Development Testing 4 2 4 Ready for celebration Done Done
  15. 15. In the early days, loud-voiced celebration was not for everyone, however...
  16. 16. ... So, we introduced a celebration volume Kaizen memo: Celebration Volume Before improvement: Action taken: Some team members were Created a “celebration “too modest” to celebrate volume” icon to be crossed with a resounding applause on the Kaizen memo Effect: Members can choose to celebrate quietly (e.g. shake of hands, pat on the back, gimme 5, ..) Submitted by: Claudio Perrone Date:
  17. 17. People began implementing simple ideas such as improving their working environment... Before… … AFTEr
  18. 18. ... Experimented with different forms of visualization (e.g. prisoner metrics, dj check sheets), scripts, and so on
  19. 19. What would your first kaizen idea look like?
  20. 20. Write it down! Kaizen memo: Before improvement: We had this problem Effect: Action taken: We did this It became a little better Submitted by: You Today Date:
  21. 21. Unfortunately, Management’s initial reaction wasn’t exactly what I expected...
  22. 22. “Seeds of a revolution? Yeah right.” Who can yawn the loudest?
  23. 23. But as the transition progressed, massive impediments raised dramatically to the surface
  24. 24. Like never before, we badly needed to develop our ability to...
  25. 25. 2 Systematically solve problems
  26. 26. What do You know about A3 thinking?
  27. 27. Copies of my preliminary A3 were lying on the table…
  28. 28. It was a hell of a good way to kick start a transition
  29. 29. I followed that same approach to tackle problems at team level
  30. 30. a "problem" is the difference between the "current situation" and the "standard/expectation" Gap = Problem Standard Current Situation
  31. 31. So the first step I took with a team was to clarify & breakdown the problem… Theme: Problem Situation: Target(s): Cause Analysis: Countermeasure(s): Implementation: Follow-up:
  32. 32. Theme:   Background   Team is looking at improving its internal feedback loop to reduce cost of delay, particularly when rework is involved. Why are we talking about it? Current Situation   Lead-time of reworked stories: 14.6 days Processing time: 2.8 days Current State Map Where do things stand today?
  33. 33. What should be happening? Problem Statement   Expectation:   Lead-time of reworked stories: 10d Expectation – Current Situation Discrepancy:   Team takes 4.6d longer to deliver a reworked story Extent:   The problem affects about 15% of all stories Rationale:   If no action is taken, customers will continue to suffer delays Importance? Urgency? Tendency? When? How often? Where? How Long? What is effected?
  34. 34. WE THEN SET A TARGET TO STIMULATE IMPROVEMENT Theme: Problem Situation: Target(s): Cause Analysis: Countermeasure(s): Implementation: Follow-up:
  35. 35. Extent: The problem affects about 15% of all stories Rationale: If no action is taken, customers will continue to suffer delays what? Target   Reduce lead-time of reworked items from 14.6d to 10d by July 31st 2011 how much? by when?
  36. 36. Theme: Then, we wrote the theme Reduce lead-time of reworked items from 14.6d to 10d Background   Team is looking at improving its internal feedback loop to reduce cost of delay, particularly when rework is involved. what? how much? Current Situation   Lead-time of reworked stories: 14.6 days Processing time: 2.8 days
  37. 37. What prevents us from reaching our target Condition? Analysis   Facts, not opinions Cause Analysis: Push system Lead time > 10d Tasks Functional accumulate in test Why?   large batches Why?   performed on Deploy once a week stage Why?   Verify “why” logic with “therefore” in reverse official (test) Why?   builds are installed weekly Actionable root causes! No dedicated tester Nightly build setup/configuration takes 0.5d
  38. 38. Only then we identified a set of potential countermeasures… Theme: Problem Situation: Target(s): Cause Analysis: Countermeasure(s): Implementation: Follow-up:
  39. 39. June 10, 2011 C.Perrone Countermeasures   Cause A Countermeasure Description Benefit Limit WIP/Pull Limit how many stories team can start in parallel Effecti veness Feasibility Impact -improve flow -encourage small stories + ++ 0 - ++ -- B Hire tester Hire dedicated internal tester eliminate dependency on external people and spend more time on testing B Do system Test internally Devs that don’t work on feature can test someone else’s work Reduces testing bottlenecks, improves knowledge sharing + + - SLAs with external testers Create service level agreements between team and external testes -more predictable flow -clear expectations -no “begging” -closer collaboration ++ + - Skip setup Test the latest version of a subset of component files skipping the full product setup Don’t need to wait for daily/weekly builds, reduce feedback delay between dev/test ++ + - B C
  40. 40. With the proposed countermeasures the future would look like this Future State Map
  41. 41. In the implementation section, we created & shared an action plan Theme: Problem Situation: Target(s): Cause Analysis: Countermeasure(s): Implementation: Follow-up:
  42. 42. Action Plan   What Who Where How Proj. Compl etion Actual complet ion Vsm Stef./ Claudio Team Room Post-its 10/6 10/6 Trace prisoner metrics Paola Whiteboard Mark at each standup 15/7 N/A Adopt skip-setup procedure Team Team room Agree policy 10/7 10/7 Limit WIP Team Whiteboard Agree policy 27/6 27/6 Hire tester Stef. Meeting room Begging Mgmt :D Never 29/6 Agree internal testing policy Team Meeting Room Retrospec tive 10/7 10/7 SLAs with external testers Claudio/ Elena/ Stef. Meeting Room Agree policy 10/7 15/7
  43. 43. Finally the follow-up section… Theme: Problem Situation: Target(s): Cause Analysis: Countermeasure(s): Implementation: Follow-up:
  44. 44. Indicators   Item Initial 15/7 31/7 Leadtime nonreworked items 7.8d 5d 5d Leadtime reworked items 14.6d 6d 5d 15 5 6 WIP Follow-up   IF THEN Countermeasure plan failed Begin A3 process to identify root cause of failed plan Target achieved but problem could recur Identify other root causes and find new countermeasures Target achieved and problem won’t recur Share findings, standardize countermeasures, begin A3 process to reduce percentage of reworked items
  45. 45. We posted the A3 on the wall, right beside the kanban board
  46. 46. the team became 3 times faster, with less rework
  47. 47. The new state became the new "baseline for improvement”
  48. 48. We shared our findings with our communities of practice to let the acquired knowledge spread “laterally”
  49. 49. What problems would you tackle?
  50. 50. More importantly, management saw what it means to "remove impediments”
  51. 51. … making me realize that I had chance to...
  52. 52. 3 Turn the leadership triangle upside-down
  53. 53. At this point of the transition we were falling into chaos Satir Change Model Performance Late Status Quo Foreign Element (transition begins) New Status Quo Integration Time Resistance Chaos Transforming Idea
  54. 54. The leadership triangle was actually broken
  55. 55. To turn the leadership triangle upside down, we didn’t need enforcers, “easy going” or absent managers… we needed problem solvers!
  56. 56. So I began to tackle problems by pairing up with one promising manager
  57. 57. … Then I began practicing quick coaching cycles What do you mean by it? (Clarity) Is it always the case? (Assumptions) How do you know? (Evidence) What are you implying by that? (Implications) Would that necessarily happen? (consequences) Do anyone see it another way? (Alternative Point of views)    
  58. 58. Today more managers , are beginning their a3 thinking journey
  59. 59. So, I released a family of thinking tools… www.a3thinker.com  
  60. 60. To help them change the world. one problem at a time. www.a3thinker.com/deck  
  61. 61. Final Thoughts
  62. 62. “ If you want 1 year of prosperity, grow seeds. If you want 10 years of prosperity, grow trees. If you want 100 years of prosperity, grow people. -- Chinese proverb
  63. 63. Thank You! Claudio  Perrone   claudio@agilesensei.com   www.agilesensei.com   www.a3thinker.com   www.twi<er.com/agilesensei  
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