Product Development in the Land of the Free - Energized Work Presentation

product development
in the land of the free
the test-driven organization
24-Sep-10

Simon Baker
Twitter - @energizr
Skype - simon.energizr
simon@energizedwork.com
Gus Power
Twitter - @guspower
Skype - gus.j.power
gus@energizedwork.com
2
© 2010 Energized Work - www.energizedwork.com

Twitter:
#landofthefree
#lkbe10
3

http://www.energizedwork.com/
sessions/landofthefree
Session stuff at:
4

Our purpose is to get
and keep customers
5

Delight our customers
6

the goal is to make money
- Goldratt
‘‘
7

Business
Sponsor
Managing
Director
The
Product
Integrators
Support
Operations
Subscribers
Editors
Program
Management
Channel
Producers
Sales
Brand
Marketing
CTO
USERS
STAKEHOLDERS
CUSTOMERS
8

Understand demand
Common goals
Consensus on priorities
Balanced delivery
9

2000
2002
2004
2006
2008
20
40
60
80
100
0
%
Failed and marginal projects
– Standish Report, Chaos Data
10

Scala
Eclipse
Scrumban
Scrum
Backlog
Groovy on
Grails
Pomodoro
Technique
Domain-driven
design
Continuous
Integration
Flow
UML
Ruby on
Rails
Feature
Injection
REST
Visual Studio
Kanban
.NET
Dependency
Injection
Acceptance
test-driven
development
IntelliJ
XML
Theory of
Constraints
Lean Thinking
Visualization
BDD
Agile
Extreme
Programming
User Stories
Systems
Thinking
SoA
jQuery
Pair
Programming
TDD
Continuous
Improvement
Automation
Selenium
Spock
jUnit
Iterative
Development
11

Doing the right thing
isn’t getting easier
12

Information
Architecture
Disaster
Recovery
Business
Planning
Systems
Administration
Project
Management
Architecture
Usability
Testing
Graphics
Design
User
Acceptance
Branding
SEO
Regulatory
Compliance
Marketing
Analysis
Budgeting
Software
Development
Testing
Support
Sales
Interaction
Design
Capacity
Planning
Business
Intelligence
Legal
Training
13

Organizations
are over-organized
14

Centralization comes at the
cost of complexity
Marketing
Sales
Design
Build
Test
Support
PRODUCT
15

PRODUCT
Making good decisions is
difficult if we can’t see
Edicts
Targets
Local
optimizations
Limited view
of the product
16

Too complicated
17

TOO
HARD
Dealing with the real"
problems is avoided
18

Successful projects by size
– Standish Report, Chaos Data
< $750K
$750K –
1.5M
$1M – 3M
$6 – 10M
> $10M
20
40
60
80
100
0
%
19

It is better to fail
conventionally, than to
succeed unconventionally
- John Maynard Keynes
‘‘
20

Content
Delivery
Capability
Sales
Business Direction
Users
PRODUCT STREAM
21

Way of working
Effectiveness
Transformative change
to a better place to
start from
Small improvements may only
improve the system to a point
22

Find a lever by seizing
a crisis or by creating one
- Lean Thinking, Womack and Jones
‘‘
23

Understand the system
24

Acknowledge the crisis
Speak plainly
Provide options
Executive readiness
25

Make a joint commitment
Build executive confidence
Executive partnership
26

Setup quickly
27

Do something
that can’t be ignored
28

Forget grand strategy
for the moment
‘‘
29

Produce immediate results
30

Protect flow
31

Changing process and
structure without changing
the way people think is just
posturing
32

Everyone thinks of changing
the world, but no-one thinks
of changing himself
- Leo Tolstoy
‘‘
33

Are our customers delighted?
Are we getting better?
34

Continually rediscover
our customers
35

Measure how we’re doing
Visualize data
Analyze results
Learn
36

CTO
Sponsor
Editors
Channels
PM
23/10
30/10
06/11
13/11
20/11
27/11
04/12
11/12
18/12
24/12
08/01
15/01
22/01
29/01
05/02
12/02
19/02
26/02
04/03
11/03
18/03
25/03
01/04
08/04
15/04
22/04
29/04
06/05
13/05
20/05
27/05
03/06
10/06
17/06
24/06
01/07
08/07
15/07
22/07
29/07
05/08
12/08
19/08
26/08
02/09
Mood of the Customers
Positive Meh Negative
Customer mood
37

Usage example
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
02/01 09/01
Uniques
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
J A
Page Views
38

Profit and loss
-1,000,000
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
£
[ Accumulated ] Profit, Revenue and Capacity Cost
Capacity Cost Profit Revenue
39

Flow and cycle time
0
5
10
15
20
25
30
35
40
23/10
30/10
06/11
13/11
20/11
27/11
04/12
11/12
18/12
25/12
01/01
08/01
15/01
22/01
29/01
05/02
12/02
19/02
26/02
04/03
11/03
18/03
25/03
01/04
08/04
15/04
22/04
29/04
06/05
13/05
20/05
27/05
03/06
10/06
17/06
24/06
01/07
08/07
15/07
22/07
29/07
05/08
12/08
19/08
26/08
02/09
Days
Average Cycle Time [ Per Week ]
0
20
40
60
80
100
120
140
23/10
30/10
06/11
13/11
20/11
27/11
04/12
11/12
18/12
24/12
08/01
15/01
22/01
29/01
05/02
12/02
19/02
26/02
04/03
11/03
18/03
25/03
01/04
08/04
15/04
22/04
29/04
06/05
13/05
20/05
27/05
03/06
10/06
17/06
24/06
01/07
08/07
15/07
22/07
29/07
05/08
12/08
19/08
26/08
02/09
Stories Flow [ Per Week ]
THROUGHPUT INVENTORY STARTED READY TO START PREPARED
40

Cost of inventory and wip
0
50
100
Inventory [ Per Week ]
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
23/10
30/10
06/11
13/11
20/11
27/11
04/12
11/12
18/12
24/12
08/01
15/01
22/01
29/01
05/02
12/02
19/02
26/02
04/03
11/03
18/03
25/03
01/04
08/04
15/04
22/04
29/04
06/05
13/05
20/05
27/05
03/06
10/06
17/06
24/06
01/07
08/07
15/07
22/07
29/07
05/08
12/08
19/08
26/08
02/09
£
Total Sleeping Money
Inventory Started WIP Ready to Start WIP Prepared WIP
0
5
10
15
20
25
Stories
WIP [ Per Week ]
41

Effectiveness
-30
-20
-10
0
10 Rework [ Per Week ]
Repaid Debt Fixed Defects Debt Defects
0%
20%
40%
60%
80%
100%
Effectiveness [ Per Week ]
0
20
40
60
80
100
120
Stories
Throughput [ Per Week ]
42

The purpose of analysis
is to give us insight
- Understanding Variation, Wheeler
‘‘
43

Improve the system
Distort the system
Distort the data
Targets drive the wrong
behaviors
- John Seddon
44

As soon as you’ve got
momentum expand
your focus
‘‘
45

Battleship
Service
Journeyman
Product streams
46

Manage the portfolio as
a system of products
47

Program
Management
Change
Agency
Financial
Control
Business Direction
PRODUCT HUB
48

Purpose is to improve the
portfolio’s performance by
helping product streams
improve their operational
and financial effectiveness
49

Focus on the flow of value to
customers, the delivery of
quality and the elimination
of waste
50

Create a safe environment
for people to experiment and
learn
51

The curse of
enterprise thinking
52

Test-drive the organization
53

54

See the status quo
and break with tradition
55

Make an enemy of complexity
56

Measure the work from
the customers’ point of view
57

58

http://www.energizedwork.com/
sessions/landofthefree
Session stuff at:
59

License
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Under the following conditions:
Attribution – You must attribute the work in the manner specified by
Energized Work (but not in any way that suggests that Energized Work
endorse you or your use of the work).
Share Alike – If you alter, transform, or build upon this work, you may
distribute the resulting work only under the same or similar license to this
one.
This presentation is provided under the Creative Commons
Attribution Share Alike 3.0 Unported License.
60

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