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LKCE19 - David J. Anderson - Why We Need KMM

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The Kanban Maturity Model democratizes successful Agile transformation. It enables faster, better results without the high costs and extreme failure rate associated with the conventional path to Agile. For over a decade, the Kanban Method has been your alternative path to agility. Now the KMM offers a map to consistently achieve superior business agility. Regardless of your starting conditions, the Kanban Maturity Model can help you improve collaboration, trust, team work, service delivery, customer satisfaction, business agility, risk management and economic performance. David’s talk explains how KMM helps you understand your context and choose appropriate Kanban practices. Your circumstances are unique. You need pragmatic, actionable, evidence-based guidance that works. The KMM codifies a decade of Kanban coaching experience and delivers it in a consumable package that will democratize business agility. KMM: successful evolutionary change for professional service businesses of every size and maturity level.

Published in: Leadership & Management
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LKCE19 - David J. Anderson - Why We Need KMM

  1. 1. David J Anderson | dja@djaa.com Official Licensed Material Copyright1 Why we need the Kanban Maturity Model David J Anderson Lean Kanban Central Europe Hamburg November 2019
  2. 2. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Are you a Grumpy German?
  3. 3. Copyright David J Anderson School of Management Inc Email: dja@djaa.com 2/3rds of modern Germans are dissatisfied at work https://mobil.stern.de/wirtschaft/job/mitarbeiterzufriedenheit--so-unzufrieden-sind-die-deutschen-im-job-8568540.html
  4. 4. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Perhaps your work lacks purpose? And your workplace lacks leadership to provide that purpose?
  5. 5. Copyright David J Anderson School of Management Inc Email: dja@djaa.com The Kanban Maturity Model & the Fit-for- Purpose Framework can help you address leadership & purpose challenges!
  6. 6. Copyright David J Anderson School of Management Inc Email: dja@djaa.com What is the Kanban Maturity Model?
  7. 7. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Healthier Culture, Practices & Outcomes through Managed Evolution
  8. 8. David Anderson | dja@djaa.com Official Licensed Material Copyright Mauvius Group Inc.
  9. 9. David J Anderson | dja@djaa.com Official Licensed Material Copyright9
  10. 10. David J Anderson | dja@djaa.com Official Licensed Material Copyright10 ML0: Oblivious “My Way” Every customer has their pet
  11. 11. David J Anderson | dja@djaa.com Official Licensed Material Copyright11 ML1: Team-Focused “Never the same way twice” individual heroics unconnected teams
  12. 12. David J Anderson | dja@djaa.com Official Licensed Material Copyright12 ML2: Customer- Driven “Never the same result twice” managerial heroics delays and last-minute tension in spite of coordinated team effort
  13. 13. David J Anderson | dja@djaa.com Official Licensed Material Copyright13 ML3: Fit-for-Purpose “Always happy customers” no heroes needed anymore processes under control
  14. 14. David J Anderson | dja@djaa.com Official Licensed Material Copyright14 ML4: Risk Hedged “Everyone is happy” no more surprises
  15. 15. David J Anderson | dja@djaa.com Official Licensed Material Copyright15 ML5: Market Leader “Simply the best” marginal gains attention to every detail
  16. 16. David J Anderson | dja@djaa.com Official Licensed Material Copyright16 ML6: Built for Survival “Reinvention” Continually challenging new identity; new purpose
  17. 17. David J Anderson | dja@djaa.com Official Licensed Material Copyright17 It is the organization that matures, not the Kanban that matures
  18. 18. David J Anderson | dja@djaa.com Official Licensed Material Copyright18 Follow procedure & improve Panic & Regress Organizational MaturityModel
  19. 19. David J Anderson | dja@djaa.com Official Licensed Material Copyright19 The Kanban Maturity Model exists to drive appropriate application of Kanban practices in organizations seeking to become fitter for their purpose.
  20. 20. David J Anderson | dja@djaa.com Official Licensed Material Copyright20 The Two Failure Modes of Kanban Adoption • Overreaching • “Failure to install” • Ambitious transition plan • Designed by a the “smartest guy in the room” (a consultant) • Too much, too soon • Organization isn’t ready • Resistance to change • Aborted transition • Regress to existing practices • False Summit Plateau • “We’ve done Kanban! It helped us […]” • Usually shop floor, bottom-up initiative • Relief from overburdening, stressful, abusive environment • Improved transparency • Improved collaboration • Kanban gave us what we needed
  21. 21. David J Anderson | dja@djaa.com Official Licensed Material Copyright21 The Kanban Maturity Model prevents both failure modes seen in Kanban implementations.
  22. 22. David J Anderson | dja@djaa.com Official Licensed Material Copyright22 The Kanban Maturity Model maps 150+ Kanban practices against organizational maturity levels and provides a map for appropriate practice adoption.
  23. 23. David J Anderson | dja@djaa.com Official Licensed Material Copyright23 There is no such thing as bad Kanban, just inappropriate practice selection
  24. 24. David J Anderson | dja@djaa.com Official Licensed Material Copyright24 The Kanban Maturity Model illustrates appropriate practices for each level of organizational maturity
  25. 25. Copyright David J Anderson School of Management Inc Email: dja@djaa.com The Kanban Maturity Model maps practices from the Kanban Method against a 7-level model for organizational maturity
  26. 26. Copyright David J Anderson School of Management Inc Email: dja@djaa.com
  27. 27. David J Anderson | dja@djaa.com Official Licensed Material Copyright27 A fit-for-purpose organization continually satisfies its customers with products and services designed, implemented, and delivered in sustainable manner.
  28. 28. Official Licensed Material Copyright Mauvius Group Inc. The Fit-for- Purpose Framework David Anderson | dja@leankanban.com
  29. 29. David J Anderson | dja@djaa.com Official Licensed Material Copyright29 Fit for Purpose
  30. 30. David J Anderson | dja@djaa.com Official Licensed Material Copyright30 Fit for Purpose Organization Unfit for Purpose Organization Currently Fit for Purpose (potentially unsustainable)
  31. 31. David J Anderson | dja@djaa.com Official Licensed Material Copyright31 We must strive to create an organization of at least . . . Maturity Level 4
  32. 32. David J Anderson | dja@djaa.com Official Licensed Material Copyright32 Sustainable change requires an evolutionary approach to change. Start where you are! Designed & managed revolutionary changes are inherently fragile.
  33. 33. David J Anderson | dja@djaa.com Official Licensed Material Copyright33 Maturity Level 0 Maturity Level 1 Maturity Level 2 Maturity Level 3 Maturity Level 4 Maturity Level 5 Transition Current processes & methods New processes & methods Designed & managed change initiative The Fast Track to ML4 Maturity Level 6
  34. 34. David J Anderson | dja@djaa.com Official Licensed Material Copyright34 During changes, things get worse before they get better Safety! Patience! time Capability Lower maturity organizations panic under stress Kanban in action! Avoid the failure mode of large scale, designed & managed transitions
  35. 35. David J Anderson | dja@djaa.com Official Licensed Material Copyright35 The KMM provides the ladder to resolve structural tension between “where we are now” and “where we want to be”
  36. 36. David J Anderson | dja@djaa.com Official Licensed Material Copyright36 Evolutionary Change in Action
  37. 37. David J Anderson | dja@djaa.com Official Licensed Material Copyright37 Evolutionary Change in Action Formula for evolutionary change …  Stressor  Reflection Mechanism  Leadership
  38. 38. David J Anderson | dja@djaa.com Official Licensed Material Copyright38 Evolutionary Change in Action Formula for evolutionary change …  Stressor  Reflection Mechanism  Leadership
  39. 39. David J Anderson | dja@djaa.com Official Licensed Material Copyright39 Mandela, “What is you approach to leadership?” Pienaar replies, “By example. Always by example!”
  40. 40. David J Anderson | dja@djaa.com Official Licensed Material Copyright40 I am the master of my fate: I am the captain of my soul.
  41. 41. David J Anderson | dja@djaa.com Official Licensed Material Copyright41
  42. 42. David J Anderson | dja@djaa.com Official Licensed Material Copyright42 By Signaling
  43. 43. David J Anderson | dja@djaa.com Official Licensed Material Copyright43 Leadership Maturity Schadenfreude Mudita(Buddhist) Altru-hedonism I’m doing better than the other guy We’re doing better than those other guys Appreciative joy at the success and good fortune of others Compassion Jealousy, envy, greed, seeking exhilaration Empathy Pursuit of pleasure through the selfless concern for the welfare of others What is good for us is good for me What is good for them is good for us
  44. 44. David J Anderson | dja@djaa.com Official Licensed Material Copyright44 More Leadership Maturity LowEnergy LazyLeadership Deeper,moreintense HighEnergyLeadership Invoke identity, relative comparison to other tribes Drive strong social cohesion, unconditional loyalty Constantly challenge “how” in order to open up more possibilities for “what” Provide a sense of purpose Conformity, excommunication, intolerance Define & Communicate “why?” Challenge & redefine identity “who we are” Actively manage identity. Make values explicit Invest in improved capability (people, skills, equipment) Challenge & redefine purpose “why we exist”
  45. 45. David J Anderson | dja@djaa.com Official Licensed Material Copyright45 More Leadership Maturity Relative Measure Absolute Measure I don’t care if we are winning, so long as I am scoring We don’t care if we are winning, so long as our rivals are losing If we are not winning, we are not good enough. It is irrelevant what our rivals are doing We compete with ourselves, our own standards, our own expectations, our own goals We aspire to perfection, to be the example against which all others are measured Our history doesn’t define us, our future does Competition inspires and challenges us to be better
  46. 46. David J Anderson | dja@djaa.com Official Licensed Material Copyright46 Learning&improvement Stressors ReflectionMechanisms Kanban Meeting Risk Review & SDR Ops Review Strategy Review Personal WIP Limit Column WIP Limit Row WIP Limit Strategy vs Capability Visualization Delivery Planning Personal Reflection Ops Review Triage Replenishment 46
  47. 47. David J Anderson | dja@djaa.com Official Licensed Material Copyright47 KMM Evolutionary Change Model
  48. 48. David J Anderson | dja@djaa.com Official Licensed Material Copyright48 Equilibrium Disrupting the current equilibrium
  49. 49. David J Anderson | dja@djaa.com Official Licensed Material Copyright49 Consolidating to next level may require some coaching
  50. 50. David J Anderson | dja@djaa.com Official Licensed Material Copyright50
  51. 51. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Tails of Transition: ML1 – ML2
  52. 52. David J Anderson | dja@djaa.com Official Licensed Material Copyright52 Problem Statement “Every team reports that they deliver on their commitments but I know that customers are waiting longer than 6 months for delivery” agile coach, internet equipment manufacturer
  53. 53. David J Anderson | dja@djaa.com Official Licensed Material Copyright53 Maturity Level 1 - Team Kanban Boards Backlog F E G D Next Done 3 In-progress 3∞ ∞ GY PB DE
  54. 54. David J Anderson | dja@djaa.com Official Licensed Material Copyright54 Diagnosis Lack of service-orientation Localized metrics & objectives No customer recognizable work items Lack of collaboration across service- delivery workflow
  55. 55. David J Anderson | dja@djaa.com Official Licensed Material Copyright55 Recommendations Implement: STATIK Customer recognizable work item types Service-oriented workflow board System Capability Review
  56. 56. David J Anderson | dja@djaa.com Official Licensed Material Copyright56 Maturity Level 2 – Aggregated Team Kanban Board Ready for Customer Pool of Ideas F E I Next Mobile UI Dev G D GY PB DE MN 5 3 P1 AB Ongoing Platform Enhancement API Development Done Ongoing Done 3 3 Team 1 Kanban ∞ ∞ ∞ Team 2 Kanban Team 3 Kanban
  57. 57. David J Anderson | dja@djaa.com Official Licensed Material Copyright57 Economic Benefits of ML2 Large telecom and internet equipment manufacturer Kanban across 5500 people, 14 product units Maturity Level 2 10-50% productivity improvement Displaced the need to hire 1200 engineers
  58. 58. David J Anderson | dja@djaa.com Official Licensed Material Copyright58 7 Bariers to ML2 1. Not starting with a customer-facing service 2. Lack of service orientation / customer focus 3. Copying an organizational blueprint 4. Forced to use an organizational standard process 5. Managers do not take Kanban training 6. Lack of Flow Manager 7. Legacy tooling
  59. 59. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Tails of Transition: ML2 – ML3
  60. 60. David J Anderson | dja@djaa.com Official Licensed Material Copyright60 Problem Statement “I haven’t looked at the lead time chart in months” software development manager, telecom equipment manufacturer
  61. 61. David J Anderson | dja@djaa.com Official Licensed Material Copyright61 Diagnosis Is the “service delivery manager role present? Are customer expectations understood & communicated? Is there service delivery review happening?
  62. 62. David J Anderson | dja@djaa.com Official Licensed Material Copyright62 Additional questions Is there any blocker management? Is blocker likelihood and impact being reported? Is there a risk review? Is the lead time distribution thin or fat-tailed?
  63. 63. David J Anderson | dja@djaa.com Official Licensed Material Copyright63 Recommendations Implement: Service Delivery Manager Role Service Delivery Review Blocker Metrics Risk Review Customer Expectation Fitness Criteria
  64. 64. David J Anderson | dja@djaa.com Official Licensed Material Copyright64 F F FF F F J I Maturity Level 3 Kanban Board (and pull system) Ideas D I Engin- eering Ready G 5 Ongoing Development Testing Done 3 3 Test Ready 5 F B CPull Pull * UAT Deploy- ment Ready ∞ ∞
  65. 65. David J Anderson | dja@djaa.com Official Licensed Material Copyright65 Economic Benefits of ML3 In typical early case studies such as Microsoft IT, Corbis, Robert Bosch, Posit Science and IPC Media… Scale from 6 to 150 people Maturity Level 3 – full pull implementation 100-250% productivity improvement Lead times reduced by up to 90%
  66. 66. David J Anderson | dja@djaa.com Official Licensed Material Copyright66 12 Barriers to ML3 1. Lack of purpose 2. “We are just order takers” 3. Silos. Local metrics and reporting. Lack of customer oriented KPIs 4. Lack of role responsible and accountable for taking customer orders to expectations – the Service Delivery Manager 5. Regime change – reorganizations erase evolving ‘informal’ collaboration across silos 6. “All our demand is fixed date” 7. “All our demand is irrefutable” 8. Lack of qualitative understanding of business risks 9. Lack of mathematical literacy 10. Lack of skills in negotiation or forming business agreements 11. Legacy tooling 12. “We need a tool before we can get started”
  67. 67. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Tails of Transition: ML3 – ML4
  68. 68. David J Anderson | dja@djaa.com Official Licensed Material Copyright68 Problem Statement “We just put out a release on time, met our commitments, but our product management team, reacted with WTF is this?” software development manager, mobile application, Berlin
  69. 69. David J Anderson | dja@djaa.com Official Licensed Material Copyright69 Diagnosis Work items weren’t meaningful and understood by customers A-synchonous commitment Pull from partially committed “buffer”, no replenishment meeting
  70. 70. David J Anderson | dja@djaa.com Official Licensed Material Copyright70 Recommendations Implement: 2-tiered Kanban Board New coarse-grained work item type Synchronous commitment Full replenishment meeting with customers present, & synchronous commitment Customers commit to coarse-grained work items
  71. 71. David J Anderson | dja@djaa.com Official Licensed Material Copyright71 Parent-child dependencies can be represented with 2-tiered boards Features (parents) User Stories (children)
  72. 72. David J Anderson | dja@djaa.com Official Licensed Material Copyright72 Single Service, Multiple Classes of Service Maturity Level 4 risk hedging strategy with capacity allocation 5 4 4 5 2= 20 total Allocation 10 = 50% ... +1 = +5% 4 = 20% 6 = 30% Input Buffer In Prog DoneDoneIn Prog DevelopmentAnalysis Build Ready Test Release Ready
  73. 73. David J Anderson | dja@djaa.com Official Licensed Material Copyright73 3 Services Aggregated Together Maturity Level 4 risk hedging strategy with capacity allocation 5 4 4 5 2 = 20 total Change Req 12 Maintenance 2 Production Defect 6 Allocation Total = 20 Input Buffer In Prog Done Build Ready Test Release ReadyDoneIn Prog DevelopmentAnalysis Released
  74. 74. David J Anderson | dja@djaa.com Official Licensed Material Copyright74 Economic Benefits of ML4 BBC Worldwide Website* HP Laser Printer Firmware Scale around 600 people Productivity gains of 700% Lead times reduced from 21 months to 3 months *IEEE Management: Middleton and Joyce
  75. 75. David J Anderson | dja@djaa.com Official Licensed Material Copyright75 7 Barriers to ML4 1. Lack of customer intimacy 2. Lack of strategic direction or risk hedged allocation of investment 3. Lack of alignment and congruence with strategy and values 4. Lack of quantitative understanding of business risks 5. Lack of mathematical literacy 6. Lack of risk management literacy 7. Lack of confidence, planning, scheduling at scale
  76. 76. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Healthier Culture, Practices & Outcomes through Managed Evolution
  77. 77. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Discover your purpose
  78. 78. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Adopt cultural values & management practices to evolve to a properly balanced, fit-for-purpose organization
  79. 79. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Let the Kanban Maturity Model be your guide
  80. 80. Copyright David J Anderson School of Management Inc Email: dja@djaa.com Don’t be a Grumpy German! https://mobil.stern.de/wirtschaft/job/mitarbeiterzufriedenheit--so-unzufrieden-sind-die-deutschen-im-job-8568540.html
  81. 81. David Anderson | dja@djaa.com Official Licensed Material Copyright Mauvius Group Inc. Take the training class in Hamburg in December
  82. 82. David J Anderson | dja@djaa.com Official Licensed Material Copyright82 Thankyou!
  83. 83. David J Anderson | dja@djaa.com Official Licensed Material Copyright83 About David Anderson is an innovator in management thinking for 21st Century businesses. He leads a training, events, licensing and publishing business making new ideas accessible to managers across the globe. He has 30+ years experience in the high technology industry and has worked at IBM, Spint PCS, Motorola and Microsoft as well as several startups David is the pioneer of the Kanban Method, Kanban Maturity Model, Fit For Purpose Framework and Enterprise Services Planning. He is the author of 6 books, the most recent being Fit For Purpose – How Modern Businesses Find, Satisfy & Keep Customers 2nd Edition. David is Chairman of David J Anderson School of Management, a private business school with locations in Seattle, USA and Bilbao, Spain, and CEO of Mauvius Group Inc. doing business as Kanban University licensing Kanban training through a global network of partners and training companies.
  84. 84. David J Anderson | dja@djaa.com Official Licensed Material Copyright84
  85. 85. David J Anderson | dja@djaa.com Official Licensed Material Copyright85 Appendices
  86. 86. David J Anderson | dja@djaa.com Official Licensed Material Copyright86 The Kanban Maturity Model Book
  87. 87. David J Anderson | dja@djaa.com Official Licensed Material Copyright87 Fit for Purpose
  88. 88. David J Anderson | dja@djaa.com Official Licensed Material Copyright88
  89. 89. David Anderson | dja@djaa.com Official Licensed Material Copyright Mauvius Group Inc.
  90. 90. David Anderson | dja@djaa.com Official Licensed Material Copyright Mauvius Group Inc.
  91. 91. David J Anderson | dja@djaa.com Official Licensed Material Copyright91
  92. 92. Official Licensed Material Copyright Mauvius Group Inc. The Fit-for- Purpose Framework David Anderson | dja@leankanban.com Alexei Zheglov| alex@LeanAtoZ.com
  93. 93. David J Anderson | dja@djaa.com Official Licensed Material Copyright93

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