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Maersk Line's Agile Journey LESS 2012

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Maersk Line's Agile Journey LESS 2012

  1. 1. LESS 2012Maersk Line’s Agile Journeyozlem.yuce@maersk.com@OzzieYuce
  2. 2. Özlem Yüce•  From Izmir, Turkey•  Degree in Economics•  Lived in 5 different countries•  10 years at Maersk Line•  Product Owner, Lean-Agile coach
  3. 3. World’s largest container fleet
  4. 4. Market Leader
  5. 5. Truly global business
  6. 6. Fragmented Technology Landscape SAF career. P&O marine eProfile iReceivable USI WebSimon maersk.co Nedloyd sailing (SCV) s (MLIS) m schedules www. Mondo- Emergency einfo maersk.co LivePerson World mapRKST search pages m VMLOGSMS MARS Reference- (CAF) Portal GUPS service DataMARS ATS2SAF Rates Followupmarine shipments eXporteRates bookingMessage MEPC W8broker eXport eDB CCC documen-MEPC Schedules tation Phone SFX Office WS book 3 (document client/ ePaymentNGP3 GEO pouch) portal service Tracking 3 sROENGP3 Paymentoffice MailServic system e serviceNGP3 mallSAF IBM GEO MEXmarine RKEM MCS GCSS payment SCV mainframe (MLIS)portal systems
  7. 7. Outsourced Development
  8. 8. Analyse Design Test Develop
  9. 9. Department
  10. 10. Department
  11. 11. Department
  12. 12. Department
  13. 13. Introduction to Agile thinking
  14. 14. “Make it as simple to book a container as it is to buy a bookthrough Amazon.com – Maersk Line CEO ” Source: http://epn.dk/brancher/transport/skib/article2069838.ece
  15. 15. Individuals and interactions Co-located teams in Copenhagen• Making progress visible• Delivering working software• Collaboration towards shared goal• Acting as Scrum Master• Various roles in Feature Teams
  16. 16. Working SoftwareBeta Release of the new booking application
  17. 17.      Customer  Collabora-on  Focus  on  Customer  and  Innova-on  
  18. 18. Responding to changeTaking on different roles and self organising o Adapt t ing mer Ob serv eeds Custo N Customer ack mer Feedb C usto Experience Design Developing ng ProductFac ilitati ion RoadmapsPrior itisat Business Feature Analyst Team Coach Real wn ing do Options Break nts requireme Scrum Product Master Owner ng M anagi Managing ies dependenc change
  19. 19. Learning from a revolutionary approach Don’t attempt Tacit to scale until knowledge of you’re ready agile Manage Stakeholder Expectations Dependencies Defer are really architectural painful decisions
  20. 20. 600 Cycle time analysis From Lightbulb (idea) to Live (in production) 500# Requirements 400 Median = 150 days 300 GCSS 200 During 2010 Med = 373 days 100 0 DaysSource: Focal Point (requirements that have been put into production over the last 2yrs: 2008-Oct 2010)
  21. 21. Existing Project, Platform, Team EvolutionaryLean  Product  Development  
  22. 22. Our vision Faster delivery of value (<90 days lead time) More Faster Better Value Flow Quality Supported by an agile mindset Customer doesn’t really The developer doesn’t Things know what they want really know how to build it change
  23. 23. Mature IT Practices we weren’t leveraging Lean Product Enterprise Development Practices Agile Project Practices SCRUM Team Practices XP* Engineering Practices* Extreme Programming
  24. 24. Selected LPD practices for Maersk LineFirst steps in improving the whole...Contains 8 practices selected for Maersk Line:1.  Get to initial prioritisation faster2.  Improve prioritisation3.  Pull Requirements from Dynamic Priority List4.  Reduce size of requirements5.  Get to the point of writing code quickly6.  Actively manage Work-In-Progress (WIP)7.  Enable Faster Feedback8.  Enable smooth, sustainable flow
  25. 25. Problem: Demand is unlimitedConsumerisation I.T.high expectations…Most change is enabled by I.T. so they need more
  26. 26. HiPPO: Highest Paid Person’s Opinion
  27. 27. Improve Prioritisation
  28. 28. Improve PrioritisationUsing CD3: Cost of Delay Divided by Duration How value Benefits decays over time Information $ discovery value Cost of Delay Prioritise features by Duration
  29. 29. Benefits of using Cost of Delay•  ‘less yelling and screaming’ data-driven, more visible•  Enables better trade-off decisions and increased ROI•  Handles dependencies between teams•  Changes the conversation… Delivering “on time” Delivering value quickly Cutting I.T. costs
  30. 30. Value! CostScope Schedule
  31. 31. Try this at home…Ask each person on one of your project teams: What would you estimate the Cost of Delay for this project to be?
  32. 32. Selected practices for Maersk LineFirst steps in improving the whole...Contains 8 practices selected for Maersk Line:1.  Get to initial prioritisation faster2.  Improve prioritisation3.  Pull Requirements from Dynamic Priority List4.  Reduce size of requirements5.  Get to the point of writing code quickly6.  Actively manage Work-In-Progress (WIP)7.  Enable Faster Feedback8.  Enable smooth, sustainable flow
  33. 33. Feast and Famine The effect of creating large release batches upstream S Des Dev TRequirements R25 S Des Dev T R24 S Des Dev T R23 S Des Dev T R22 Jan Apr Jul Oct Jan 2011 2012 Development Perspective: Dev Dev Dev Dev Vendor team had ~10,000 hours of idle time in 2010
  34. 34. Next train: 13 weeks ?
  35. 35. Next train 7 wks
  36. 36. Pull SystemFrom Dynamic Priority List Dynamic Triage Priority Refine Realise Release List
  37. 37. Fund the capacity to deliver change Make small adjustments over timeThroughput Learning curve (18 months?) Go! Stop Time Mobilise (3mo?)
  38. 38. 3 potential models:A.  Time-based: Fund a given team size for a period of timeB.  Buffering: Fund small batches of requirements in advanceC.  Just-in-Time: Fund individual requirements on demand
  39. 39. Smooth, sustainable flowReduce batching of requirements upstream : Ac tion ching at ge bRequirements C han S Des Dev T Releases
  40. 40. CostFlexible Pullscope! System! Scope Schedule
  41. 41. Predicting scope based on probability DPL Refine Q: Realise Produ Q: Dev ction Priority Clarify WHW Check Dev Demo TestsRQ-XXX RQ-XXX RQ-XXX RQ-XXX RQ- RQ-XXX RQ-XXX RQ-XXX XXXRQ-XXX RQ- RQ-XXX RQ-XXX XXXRQ-XXXRQ-XXXRn 23/06 27/06 04/07 05/07 07/07 14/07 18/07 08/08 14/08Rn+1 14/07 18/07 02/08 03/08 05/08 12/07 15/08 05/09 11/09➙  Use cycle-time analysis to compute length of each step then compute backwards the dates from the fixed release dates.
  42. 42. Try this at home…Consider what impact your funding and approvalprocess has downstream: What would be the optimum batch size for smoothing the flow of work?
  43. 43. Cost ValueSchedule Speed Scope Feedback
  44. 44. Key Performance Measures for IT Variable   Typical  measures   Usual  outcomes   Lean-­‐Agile  alternaBves  Time   Delivering  on  a   Incen-vises  hidden  -me   Maximise  speed  in  ge>ng  to   predicted  date   buffers  and  slower   the  point  where  value  starts   delivery   to  be  realised  Scope     Delivering  all  of  the   Incen-vises  gold  pla-ng   Minimize  size  of  work   originally  predicted   and  discourages   packages  to  maximize  both   scope   exploita-on  of    learning.   learning  and  early  release  of   value  Cost   Delivering  at  or   Incen-vises  hidden  cost   Maximize  value  delivered   below  a  predicted   con-ngencies,  pushing   (trade  development  cost   development  cost   costs  up.   against  the  opportunity    cost   of  delay)  Quality   Delivering  changes   Resistance  to  making  any   Shorten  feedback  cycles  at   with  zero  down-me   changes.  Overinvestment   many  levels  (coding,  defects…)   and  no  errors   in  tes-ng  &   documenta-on.  
  45. 45. Try this at home…What are your key success measures? What is the impact of your success measures on value, speed and quality?
  46. 46. Selected practices for Maersk LineFirst steps in improving the whole...Contains 8 practices selected for Maersk Line:1.  Get to initial prioritisation faster2.  Improve prioritisation3.  Pull Requirements from Dynamic Priority List4.  Reduce size of requirements5.  Get to the point of writing code quickly6.  Actively manage Work-In-Progress (WIP)7.  Enable Faster Feedback8.  Enable smooth, sustainable flow
  47. 47. Faster DeliveryHow do we know the changes are an improvement? 208 daysGCSS 104 days Half FACT SAP 168 days the 60 days time All 150Apps Target 90
  48. 48. Better QualityHow do we know the changes are an improvement? 11.2 8.2 88% 80% 85% 2.2 2 1 0.3 Defects Delays Patches
  49. 49. More ValueHow do we know the changes are an improvement? $44.80 $26.30 $4.10 MLIT Average GCSS FACT (Before) (After) Benefits per dollar invested
  50. 50. And… delivering CheaperNot what we were aiming for, but reducing waste has led to… 9% 22% $82.8 7.3 $75.6 6 Cost per hour Throughput
  51. 51. People love it! “Fewer defects in a release to handle” “Daily calls provide good visibility “Smaller and clear of changes” changes delivered faster”“Less yelling& screaming” “We have not had such a smooth launch since Release 16 – I thought my phone had stopped working” “Absolutely worth it”
  52. 52. highly   fit  for   knowingly   unknowingly   func-onal   purpose   broken   broken   chaos   Exis6ng  Process   highly   severely   func-onal   func-onal   ok   dysfunc-onal   dysfunc-onal   Team  dynamics   excellent   fair   fit  for  purpose   poor   miserable   Product  Quality   highly   severely   func-onal   func-onal   ok   dysfunc-onal   dysfunc-onal   PO  relaBon   highly   severely   func-onal   func-onal   ok   dysfunc-onal   dysfunc-onal   Vendor  relaBon   outstanding   support   suppor-ve   neutral   non-­‐suppor-ve   opposed   Mgmt  buy-­‐in   excellent   fair   ok   poor   miserable  IT  understanding   <10   10   20   50   >100   Dev  team  size   same   same  floor   building   same  city   same  con-nent   overseas   Proximity  to  us   <10  kUSD   10  kUSD   100  kUSD   1  MUSD   >10  MUSD   Budget  
  53. 53. The Oracle The  oracle  predicts:   Drawn  out  and   MASSIVE   Failure  
  54. 54. The Oracle predicts…
  55. 55. Address systemic issues To Do In Progress Mobilise new Reduce ”big projects design up Address faster front” Decouple organisational complexity funding and Fix availability Break work approval & quality of down Fix environments engineering Embed lean- practices agile mindset
  56. 56. Our vision Faster delivery of value (<90 days lead time) More Faster Better Value Flow Quality Supported by an agile mindset Customer doesn’t really The developer doesn’t Things know what they want really know how to build it change
  57. 57. Making it stick! Org chart Processes Roles Formal system Tools Informal system Behaviours Customs “Culture” Language Values Traditions Beliefs Stereotypes Taboos
  58. 58. Drawing by Portia Tung
  59. 59. “ Anyone who has never made a mistake …has never tried anything new ” Albert Einstein
  60. 60. Özlem Yüce!Twitter: @OzzieYuce!ozlem.yuce@maersk.com!

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