The document discusses applying the lean startup methodology within enterprises to foster innovation and agility in product development despite organizational challenges. It emphasizes the importance of hypothesis-driven delivery, continuous feedback loops, and building quality into products from the outset. Additionally, the text highlights the need for a shift towards a devops culture, where collaboration among teams enhances the overall efficiency and effectiveness of project outcomes.

1. applying the lean startup
model to the enterprise
December 5 2012, Santa Monica-JUG
@jezhumble | jez@thoughtworks.com
© 2012 ThoughtWorks, Inc.
Friday, December 7, 12

2. A startup is a human
institution designed to create
new products and services
under conditions of extreme
uncertainty
eric ries, the lean startup, ch. 1
Friday, December 7, 12

3. innovation
You can't just ask
customers what
they want and
then try to give
that to them.
By the time you
get it built,
they'll want
something new.
steve jobs
Friday, December 7, 12

4. the lean startup
Ideas
Create hypothesis
Deliver mimimum Learn Build
viable product
Get feedback
Data Code
(repeat, pivoting if
Measure
necessary)
the lean startup, part II - steer
Friday, December 7, 12

5. business agility
“The main obstacles to improved
business responsiveness are slow
decision-making, conflicting
departmental goals and priorities, risk-
averse cultures and silo-based
information.”
Economist Intelligence Unit: “Organisational agility:
How business can survive and thrive in turbulent times”
Friday, December 7, 12

6. enterprise-class problems
• Political
• Organizational
• Project / program management
• Governance
Friday, December 7, 12

7. “the enterprise” Ping!
Business Engineering Operations
Project C
Project A
DBAs
Infrastructure team
Service desk
Project B
Value stream
Friday, December 7, 12

8. enterprise politics
Business Engineering Operations
Let’s create
a new Project C
product Project A
DBAs
Infrastructure team
Service desk
Get off
my land! Project B
Value stream
Friday, December 7, 12

9. enterprise projects Ping!
Business Engineering Operations
Let’s create
a new Project C
Project D Project A
product
DBAs
Infrastructure team
Service desk
Project B
Value stream
Friday, December 7, 12

10. Ideas -> Measurement
Ideas
Learn Build
Data Code
Measure
Friday, December 7, 12

11. We’re
Oh shit! going agile! Oh shit!
Business Engineering Operations
Project D
Project A
DBAs
Infrastructure team
Service desk
Project B
Value stream
Friday, December 7, 12

12. agile triangle
value
(releasable product)
constraints
quality (cost, schedule, scope)
(reliable, adaptable product)
Jim Highsmith: Agile Project Management
Friday, December 7, 12

13. do less
Far more than 50% of functionality in
software is rarely or never used.
These aren’t just marginally valued
features; many are no-value features.
The Standish Group, reported in
the IEEE conference 2002
Friday, December 7, 12

14. quality
“if we do not know who the
customer is, we do not know
what quality is”
the lean startup, ch. 6 - test
Friday, December 7, 12

15. build quality in
“Cease dependence on
mass inspection to
achieve quality. Improve
the process and build
quality into the product in
the first place”
W. Edwards Deming
Friday, December 7, 12

16. Our test-driven code
follows SOLID Change Shame it
principles management doesn’t work
Business Engineering Operations
Project D
Project A
DBAs
Infrastructure team
Service desk
Project B
Value stream
Friday, December 7, 12

17. devops
culture
automation
measurement
sharing
Friday, December 7, 12

18. hiring a devop
http://gun.io/blog/how-to-hire-devops/
Friday, December 7, 12

19. the devops role
If you add a “devops” function to
your existing dev, testing and ops
functions, you just missed the whole
point.
Friday, December 7, 12

20. Business Engineering Operations
Project C
Project A
DBAs
Infrastructure team
Service desk
Project B
Value stream
Friday, December 7, 12

21. continuous delivery
developers write production-ready code
everyone collaborates throughout lifecycle
faster feedback loops
lower-risk, more reliable releases
done means released
Friday, December 7, 12

22. but
ops still has all that legacy crap
no way to rationally decide what to retire
deciding what to do is command-and-control
who is feeling the pain?
Friday, December 7, 12

23. You build it,
You run it
werner vogels, cto, amazon
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24. Treat these services
as if they were products
Business Engineering Operations
Project C
Project A
DBAs
Infrastructure team
Service desk
Project B
Value stream
Friday, December 7, 12

25. think product
Products / Services Operations
PaaS Ping!
Ops management
Service desk
Value stream
Friday, December 7, 12

26. product development
inception: define vision, mvp
deliver mvp, get feedback
keep delivering small increments
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27. what about utilization?
Donald Reinertsen, The Principles of Product Development Flow, p60.
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28. therefore...
measure cost and value delivered
rationally determine what to prioritize
self-manage using lean startup methodology
architecture group regulates at system level
PMO prevents “market failure”
Friday, December 7, 12

29. what is “done”?
“user stories were not considered
complete until they led to validated
learning”
the lean startup, ch. 7 - measure
Friday, December 7, 12

30. hypothesis-driven delivery
We believe that
[building this feature]
[for these people]
will achieve [this outcome].
We will know we are successful when we see
[this signal from the market].
Jeff Gothelf “Better product definition with Lean UX and Design” http://bit.ly/TylT6A
Friday, December 7, 12

31. enterprise governance
risk management
SOX, ITIL, COBIT
segregation of duties
change management
auditing and compliance
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32. jesse’s rule
“don’t fight
stupid,
make more
awesome”
Jesse Robbins, Co-founder, Opscode @jesserobbins
Friday, December 7, 12

33. questions
@jezhumble | jez@thoughtworks.com
http://continuousdelivery.com/
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Friday, December 7, 12