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Lean adaptive management Lean & Kanban Benelux 2011 Patrick Steyaert October 2011 Patrick.steyaert@teamprosource.eu Twitter: @PatrickSteyaert
Quiz … Further fill in your CEO’s shopping list: Higher quality Higher throughput Shorter lead and cycle times <<fill in>> Lean & Kanban Benelux 2011 2
Our purpose is to deliver value Value should at least be understood in the same level of detail as effort and cost* Lean & Kanban Benelux 2011 3 *Freely quoted from “Waltzing With Bears: Managing Risk on Software Projects”, Tom DeMarco & Timothy Lister
Scale (in)variance Lean & Kanban Benelux 2011 4 Mathematics Reality
Case Developing and delivering software applications in regulated domain Management and development distributed over locations in Europe Part of an international group Leader in an international market Lean & Kanban Benelux 2011 5
Complex challenges The organization is faced with complex challenges in its product engineering and development process: delivering on time and with the right quality product development as well as custom projects  a complex and changing business domain (many codes and norms) uncertainty about user needs and market opportunities  complexities of a function oriented, geographically distributed, organisation (product engineering versus product development) technological complexity substantially re-engineer the product at the same time keep on delivering new functionality at a high pace Lean & Kanban Benelux 2011 6
Organization 360° Improvement Case 7 CT1 Management SE SE SE SE CT2 SW development QA CT3 ProductMgmt.
The end-to-end value stream Lean & Kanban Benelux 2011 8 Product in use Narratives Models Implemented Condept Requirement Verification Validation Idea Product in development Concepts
The end-to-end value stream – in practice Lean & Kanban Benelux 2011 9 Product in use Narratives Models Implemented Condept Requirement Verification Validation Idea Product in development Concepts
Kanban Lean & Kanban Benelux 2011 10 Kanban ,[object Object]
Limit WIP
Manage Flow
Make Process Policies Explicit
Improve Collaboratively (using models & the scientific method)Product in use Narratives Models Condept Requirement Verification Validation Product in development Concepts
Lean & Kanban Benelux 2011 11
Source of confusion Lean & Kanban Benelux 2011 12 Run-the-business Change-the-business In an emergent market Value is speculative (large but uncertain) Start with low quality but prepare to grow In the core market Value is clear (smaller but certain) No less than highest quality standards
Being on the edge Value maximization Value renewal Lean & Kanban Benelux 2011 13 PDCA OODA
value 14 Lean & Kanban Benelux 2011 Extension Return and investment with assessable risk Emergent Large potential (uncertain) return, incremental investment Enhancement Small investment with small return Novel / Sensitive Large upfront investment with uncertain returns www.cognitive-edge.com
Different risk profiles Lean & Kanban Benelux 2011 15 Emergent High e.g. novel market Novel Uncertainty about value Extension Enhancement Low e.g. existing market Low e.g. fits within current architecture High e.g. challenges current architecture Uncertainty about capabilities
Different challenges 16 Lean & Kanban Benelux 2011 Extension Managing the risk Emergent Cumulate success Enhancement repeated and increasingly efficient delivery of quality  Novel / Sensitive Cascading failure www.cognitive-edge.com
Challenges for enhancements One routine project does not make a success, it is the repeated and increasingly efficient deliveryof quality that makes a success 17 Lean & Kanban Benelux 2011
Challenge for extensions Lean & Kanban Benelux 2011 18 Identifying risk removing risk producing value 18
Challenge for emergent projects Creating cumulative success Lean & Kanban Benelux 2011 19
Challenge for sensitive projects 20 Lean & Kanban Benelux 2011 Cascading failure
Adaptive management Lean & Kanban Benelux 2011 21 Every project is unique … … 	but some are more unique than others!
How do we discover and deliver value? Lean & Kanban Benelux 2011 22
The end-to-end value stream Lean & Kanban Benelux 2011 23 Delivery Kanban ,[object Object]
Limit WIP
Manage Flow
Make Process Policies Explicit

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Presentation Lean adaptive management @ Lean & Kanban Benelux 2011

  • 1. Lean adaptive management Lean & Kanban Benelux 2011 Patrick Steyaert October 2011 Patrick.steyaert@teamprosource.eu Twitter: @PatrickSteyaert
  • 2. Quiz … Further fill in your CEO’s shopping list: Higher quality Higher throughput Shorter lead and cycle times <<fill in>> Lean & Kanban Benelux 2011 2
  • 3. Our purpose is to deliver value Value should at least be understood in the same level of detail as effort and cost* Lean & Kanban Benelux 2011 3 *Freely quoted from “Waltzing With Bears: Managing Risk on Software Projects”, Tom DeMarco & Timothy Lister
  • 4. Scale (in)variance Lean & Kanban Benelux 2011 4 Mathematics Reality
  • 5. Case Developing and delivering software applications in regulated domain Management and development distributed over locations in Europe Part of an international group Leader in an international market Lean & Kanban Benelux 2011 5
  • 6. Complex challenges The organization is faced with complex challenges in its product engineering and development process: delivering on time and with the right quality product development as well as custom projects a complex and changing business domain (many codes and norms) uncertainty about user needs and market opportunities complexities of a function oriented, geographically distributed, organisation (product engineering versus product development) technological complexity substantially re-engineer the product at the same time keep on delivering new functionality at a high pace Lean & Kanban Benelux 2011 6
  • 7. Organization 360° Improvement Case 7 CT1 Management SE SE SE SE CT2 SW development QA CT3 ProductMgmt.
  • 8. The end-to-end value stream Lean & Kanban Benelux 2011 8 Product in use Narratives Models Implemented Condept Requirement Verification Validation Idea Product in development Concepts
  • 9. The end-to-end value stream – in practice Lean & Kanban Benelux 2011 9 Product in use Narratives Models Implemented Condept Requirement Verification Validation Idea Product in development Concepts
  • 10.
  • 14. Improve Collaboratively (using models & the scientific method)Product in use Narratives Models Condept Requirement Verification Validation Product in development Concepts
  • 15. Lean & Kanban Benelux 2011 11
  • 16. Source of confusion Lean & Kanban Benelux 2011 12 Run-the-business Change-the-business In an emergent market Value is speculative (large but uncertain) Start with low quality but prepare to grow In the core market Value is clear (smaller but certain) No less than highest quality standards
  • 17. Being on the edge Value maximization Value renewal Lean & Kanban Benelux 2011 13 PDCA OODA
  • 18. value 14 Lean & Kanban Benelux 2011 Extension Return and investment with assessable risk Emergent Large potential (uncertain) return, incremental investment Enhancement Small investment with small return Novel / Sensitive Large upfront investment with uncertain returns www.cognitive-edge.com
  • 19. Different risk profiles Lean & Kanban Benelux 2011 15 Emergent High e.g. novel market Novel Uncertainty about value Extension Enhancement Low e.g. existing market Low e.g. fits within current architecture High e.g. challenges current architecture Uncertainty about capabilities
  • 20. Different challenges 16 Lean & Kanban Benelux 2011 Extension Managing the risk Emergent Cumulate success Enhancement repeated and increasingly efficient delivery of quality Novel / Sensitive Cascading failure www.cognitive-edge.com
  • 21. Challenges for enhancements One routine project does not make a success, it is the repeated and increasingly efficient deliveryof quality that makes a success 17 Lean & Kanban Benelux 2011
  • 22. Challenge for extensions Lean & Kanban Benelux 2011 18 Identifying risk removing risk producing value 18
  • 23. Challenge for emergent projects Creating cumulative success Lean & Kanban Benelux 2011 19
  • 24. Challenge for sensitive projects 20 Lean & Kanban Benelux 2011 Cascading failure
  • 25. Adaptive management Lean & Kanban Benelux 2011 21 Every project is unique … … but some are more unique than others!
  • 26. How do we discover and deliver value? Lean & Kanban Benelux 2011 22
  • 27.
  • 31.
  • 35. Improve Collaboratively (using models & the scientific method)Product in use Narratives Models Condept Requirement Verification Validation Product in development Concepts
  • 36. Linear flow When discovery precedes delivery The user is engaged at the beginning and at the end The needs are discovered at the start and the results of the project are delivered at the end Lean & Kanban Benelux 2011 24 DISCOVERY DELIVERY USER USER
  • 37. Iterative flow When discovery and delivery are intertwined The user is continuously involved in the project The needs are discovered iteratively and project results are also delivered iteratively Risks are managed and benefits are realised incrementally during the project USER Lean & Kanban Benelux 2011 25
  • 38. Lean adaptive management Lean & Kanban Benelux 2011 26 Iterative Level of iteration Emergent Product in use Iterative discovery Extension Product in development Iterative development Enhancement Feature>Feature>Feature Small batch linear Sensitive Narrative>Model>Product Large batch linear Linear
  • 39. How do we organize? Lean & Kanban Benelux 2011 27
  • 40. On the edgeAmbidexterity Project management culture Entrepreneurial culture 28 High maturity culture High reliability culture Lean & Kanban Benelux 2011 www.cognitive-edge.com
  • 41. Lean adaptive management End-to-end flow Create flow in the end-to-end value stream (Delivery + Discovery) Tailored project management Differentiate between the need for linear workflow and iterative workflow Ambidexterity Integrate different cultures in the organization Lean & Kanban Benelux 2011 29
  • 42. Thank You www.teamprosource.eu Do you want to be kept informed? http://www.kanbanforprojects.eu/ Lean & Kanban Benelux 2011 30