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Identifying and managing waste in software product development


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This is the slide deck from my talk at LESS 2012, the Lean Enterprise Software and Systems conference in Tallinn, Estonia.

Published in: Business

Identifying and managing waste in software product development

  2. 2. Do any of these sound familiar?•  Discovering the same problems over and over again•  Solving the same problems repeatedly•  Discovering that the problem we thought we had was just a symptom•  Teams are not performing to expectation (either managements or their own)•  Things just seem to take too long to get done•  There is a lot of churn•  Defect rates are climbing•  Feature velocity is falling over successive releases•  People are feeling a general dissatisfaction and lack of fulfillment
  3. 3. About me•  My day job §  Co-Founder, Agile Office at Cisco §  Internal Agile & Lean Consultant•  Extra-curricular activities §  Fellow of the Lean Systems Society ( §  Award-winning publications in Agile and Lean product development §  Frequent speaker at major international Agile and Lean conferences §  Involved in organizing international Agile and Lean conferences §  Industry/academic collaborative research on Agile and Lean software development §  Blog: §  Twitter: @ken_power
  4. 4. “Eliminating waste is the mostfundamental lean principle, the one from which all the other principles follow. Thus, the first step to implementing lean development is learning to see waste.” (Poppendieck and Poppendieck 2003)
  5. 5. Defining Waste•  Waste •  “Waste is anything that depletes resources of time, effort, space, or money without adding customer value.”•  Unevenness •  Variability in Flow•  Overburden •  “Unreasonableness”
  6. 6. •  Waste of overproduction.7 Wastes ofTPS •  Waste of time on handOhno (waiting).Shiego •  Waste in transportation. •  Waste of processing itself. •  Waste of stock on hand (inventory) •  Waste of movement. •  Waste of making defective products.
  7. 7. Capacity and Efficiency Present Capacity = Work + Waste “True efficiency comes when we produce zero waste and bring the percentage of work to 100 percent” (Ohno 1988)
  8. 8. •  Overproduction.8 Wastes of •  Waiting (time on hand).LeanLiker •  Unnecessary transport or conveyance. •  Over-processing or incorrect processing. •  Excess inventory. •  Unnecessary movement. •  Defects. •  Unused employee creativity.
  9. 9. Waste Type Examples of Waste Effects of WasteOverproduction •  Producing items for which there are no orders •  Overstaffing; Storage costs; Transportation costsWaiting (time on •  Workers watching an automated machine •  Worker time is wastedhand) •  Workers standing around waiting for the next processing step, tool, supply part, etc. •  Workers having no work because stock is out of supply, delays in processing, equipment downtime, or capacity bottlenecksUnnecessary •  Carrying work in progress long distances •  Time is wastedtransport or •  Creating inefficient transportconveyance •  Moving materials, parts or finished goods into or out of storage or between processesOver-processing •  Unneeded extra steps to process parts •  Inefficiencies; Unnecessary workor incorrect •  Inefficient processesprocessing •  Providing higher quality than necessaryExcess inventory •  Excess raw material •  Production imbalance; Late deliveries •  Excess Work In Progress (WIP) from suppliers; Defects; Equipment •  Extra inventory down time; Long setup time; Obsolescence; Damaged goods; Excess transportation costs; Excess Storage CostsUnnecessary •  Any wasted motion employees have to perform in •  Excess time, delayed feedback, ormovement the course of their work, e.g., looking for, reaching opportunity for errors for or stacking tools, parts, etc.Defects •  Production of defective parts •  Wasteful handling, time and effort •  Correction of defective parts •  Repair or rework; Scrap •  Replacement production; InspectionUnused employee •  Not engaging with or listening to employees •  Lost time, ideas, skills, improvements,creativity and learning opportunities
  10. 10. Wastes in Software Development The Seven Wastes of The Seven Wastes of Software Manufacturing Development•  Inventory •  Partially Done Work•  Extra Processing •  Extra Processes•  Overproduction •  Extra Features•  Transportation •  Task Switching•  Waiting •  Waiting•  Motion •  Motion•  Defects •  Defects
  11. 11. Waste elimination and continuousimprovement applies even more to high-performing teams and organizations
  12. 12. Waste comes back20 years later, it’s striking to me how much effort we’ve expended on eliminatingmuda (waste) and how little attention we have given to mura (unevenness) andmuri (overburden).In short, unevenness and overburden are now the root causes ofwaste in many organizations. Even worse they put waste backthat managers and operations teams have justeliminated.I have … advice for managers — especially senior managers — trying to createlean businesses: Take a careful look at your mura and your muri as you start totackle your muda.” James Womack, “Mura, Muri, Muda?” in Gemba Walks
  13. 13.
  14. 14. Hierarchy of Waste Management
  15. 15. Challenges•  Agreeing what is “waste”•  Visualize Waste•  Quantify the effects and impacts of Waste •  E.g., Technical Debt, Quality Debt•  Quantify the (perceived improvements) of managing the Wastes•  Seeing the whole – Systems Thinking•  Avoiding local sub-optimization•  Some focus on Muda •  Little focus on the effects of •  Mura (unevenness in operations) •  Muri (overburdening of people and equipment)
  16. 16. Identify WastesUnderstand the Initial‘After’ scenario understandingManage Prioritize Create a Select hypothesis
  17. 17. Identifying Wastes using Games Keep Doing Do Less Of ! ! ! ! ! ! ! ! ! ! ! Do More Of Things to Try ! Stop Doing
  18. 18. PDSA•  Follows the steps of the Scientific Method Act Plan •  Plan: develop a hypothesis or experiment •  Do: conduct the experiment •  Study: collect measurements •  Act: interpret the results and take appropriate action•  Also known as Study Do •  PDCA •  The Deming Cycle •  The Shewart Cycle
  19. 19. Value Stream Mapping
  20. 20. A3 ManagementFocus Problem Solving Proposal Writing Project Status ReviewThematic content or Improvements related to Policies, decisions, or Summary of changesfocus quality, cost, delivery, projects with significant and results as an safety, productivity, etc. investment or outcome of either implementation problem solving or proposal implementationTenure of person Novice, but continuing Experienced personnel; Both novice and moreconducting the work throughout career managers experienced managersAnalysis Strong root-cause Improvement based on Less analysis and more emphasis; quantitative/ considering current focus on verification of analytical state; mix of quantitative hypothesis and action and qualitative itemsPDCA cycle Document full PDCA Heavy focus on the Plan Heavy focus on the cycle involved in making step, with Check and Act Check and Act steps, an improvement and steps embedded in the including confirmation of verifying the result implementation plan results and follow-up to complete the learning loop From Table 5.1 from “Understanding A3 Thinking”
  21. 21. John Clifford, Construx
  22. 22. Waste Waste Description Relative # Value Trigger Date, Relative RelativeExample Category Importance Stakeholders by which the value for value for affected waste must managing managing be this waste this waste eliminated vs. other vs. other wastes Project workCompile and Waiting It can take We are losing 42 Devs, 12 50+ people Release 4.5.1 This will help This willBuild times 15-30 nearly 20 QA (directly will have less in August reduce ultimatelytake too long minutes to person-hours affected – frustration 2012 feedback help us go run a full per day others are waiting for loops and faster with build, across the indirectly long build encourage other project depending on entire team. affected) cycles; more use of work the machine Shorter build TDD, leading cycles to higher encourage quality, fewer more frequent integration integration … errors, fewer defectsTeam spends Partially Done Engineers, We are not 8 Devs, 3 QA, The entiretime working Work designers and doing 2 Eng Mgr, 2 team canon features others are sufficient due Product Mgr spend morethat get putting diligence on time focusingdropped significant some on delivering effort into features. We features we features that need to get will ship with. get dropped better at later. defining our Minimal Viable Offer.Duplication of Extra Functional Duplicated 4 Eng. Mgr, 1status and Processes lines are effort and Program Mgr,progress managing danger of 3 Team Leadsreporting own reporting mixed messageResolving Defectsdefects incomplexproductdependencychains
  23. 23. Effective Retrospectives•  One of the top 10 reasons that Agile projects fail is poor use of retrospectives•  Your opportunity to Inspect and Adapt•  Foster organization learning Org People Team Management Leadership
  24. 24. Problem Solving Teams in Action
  25. 25. Keep it Visible
  27. 27. Getting Ready and DoneDefinition of Done andDefinition of Ready act associal contracts in agile teams.Together, they provide aboundary that stabilizes theteam’s working environment,prevents waste (time, delays,churn, working on the wrongthings), and avoids the Let nothing into a Sprint (oraccumulation of technical debt Timebox) that is not Ready; Letand quality debt. nothing out that is not Done
  28. 28. Planned Ready In Progress Done Accepted (5) This is our Ready policy. Thanks for reading. Apply WIP Limits to the Ready Queue too Explicit Policies: We have prepared the Definition of Ready is a Work Item, and the Work good fit here Item is ready to be pulled in by the team
  29. 29. Waste and Software Debt Features& Technical&Debt& Quality&Debt&Release&1& Release&2& Release&3& Release&4& Features& “Technical Debt Is Now Technical&Debt& Costing Us $3.61 Per Line Of Quality&Debt& Code” - CAST Study Release&1& Release&2& Release&3& Release&4& Power, Ken. “Product Ownership Challenges.”
  30. 30. Types of Debt•  Technical•  Environment•  Skills•  Planning•  Architecture
  31. 31. Waste and Flow“The Principle of Queuing Waste:Queues are the root cause of themajority of economic waste inproduct development” (Reinertsen, 2009).
  32. 32. Kanban helps visualize and control waste“kanban systems offer deferred commitment,control of variability in flow, elimination ofover-burdening, reduction of multi- tasking,and better alignment with high level riskmanagement decisions regarding allocation ofsupply against various competing demands” (Anderson, 2012) What Kanban Coaches do and don’t do
  33. 33. The Life of a User StoryPlanned Ready In Progress Done Accepted (10) (5) (7) This is our Ready This is our Ready policy. Thanks for policy. Thanks for reading. reading. A single “In Progress” queue is not always sufficient to see what is happening
  34. 34. The Life of a User StoryPlanned Ready In Progress Done Accepted (10) (5) Analysis Design Design Coding Code Test SCM Review Review Updates (2) (1) (2) (2) (1)
  35. 35. Consider Team Effectiveness
  36. 36. What would Deming say?“In my experience, most troubles and most possibilities for improvementadd up to proportions something like this: 94% belong to the System (the responsibility of management) 6% belong to Special Causes”
  37. 37. Optimize on the People who add Value“Almost every organization claims it’speople are important, but if they trulyoptimize their structures on those who addvalue, they would be able to say:”
  38. 38. For all our vaunted efficiency in the making ofthings, our economy is still incredibly wasteful.This waste comes not from the inefficientorganization of work but rather from working onthe wrong things – and on an industrial scale. …It is hard to come by a solid estimate of just howwasteful modern work is.” •  Eric Ries, The Lean Startup. (page 274)
  39. 39. Summary•  There is waste in every •  Use these techniques as system part of your Continuous •  Learn to see it Improvement (Kaizen) •  Eliminate it (or at least get it under efforts control) •  Release or Iteration Retrospectives•  Develop people to be are a great forum Problem Solvers •  Dedicated Problem Solving Sessions•  You can have fun finding •  Continuous Improvement Circles and eliminating waste •  Strategy Sessions •  use serious games at work •  Portfolio Management Sessions •  Whenever you encounter a problem •  Keep it Visible
  40. 40. Thank You!