This document summarizes a presentation on using Enterprise Services Planning (ESP) to scale the benefits of Kanban in professional services organizations. ESP is described as an enterprise-wide management solution that uses Kanban principles to improve flow across organizations and balance demand with capability. The challenges of unpredictability in professional services due to changing environments and priorities are discussed. Risk profiling and visualizing risks are presented as ways for ESP to provide scheduling information and improve predictability through managing work across dependencies.
Very frequently, when we discuss a change initiative failure, we point as one of key reasons of the failure lack of support from top management. Much effort on team level is wasted because the organization on high level is set up to preserve status quo.
For a change agent looking to set an organization on a path on continuous, evolutionary change addressing the issue of stale mindset of the leaders of the company is frequently the key obstacle to overcome. Usually, a different set of tools is required to achieve that, especially for internal change agents who have hierarchy working against them.
I will show how we can use Portfolio Kanban as a low-friction method, which might be used by change agents, to steer mindset change among top managers. Similarly to team-level Kanban a few simple rules help to change how we look at project or product portfolio and how the work flows on high level.
Thinking about Kanban on portfolio level introduces the whole new set of challenges that can’t be solved with standard approach, so it is also a story about Kanban versatility and adaptability.
After all, if end results include better understanding of how the work is done, improved effectiveness and healthier work environment for teams it is worth giving a try, isn’t it?
Scalability is currently a big topic in the agile world. Most agile methods and practices often reach their limits when one wants to “agilize" more than a few teams, let alone one wants to achieve real agile collaboration of several hundert people.
The main problem is that many agile methods focus on the team. Kanban follows a completely different path - Kanban is not a team method! Kanban is a management method which focuses on generating value. "Manage work and not workers" is one of the key messages of the Lean Kanban management philosophy. Therefore, scalability is not a real topic within Kanban: if you focus on value generation of work, scaling Kanban simple means doing more Kanban - it’s inherent scalable.
In this session I show how one could use Kanban at scale. Besides the general schematic explanation I will also show a case study where Kanban is used to coordinate work of more than 200 people.
Kanban's 3 Agendas (London Lean Kanban Day)David Anderson
When introducing the Kanban Method coaches and consultants have 3 specific agendas that resonate with people at different levels within a business: survivability; service-orientation; and sustainability. This presentations explains what they are, why they matter and who they affect.
Very frequently, when we discuss a change initiative failure, we point as one of key reasons of the failure lack of support from top management. Much effort on team level is wasted because the organization on high level is set up to preserve status quo.
For a change agent looking to set an organization on a path on continuous, evolutionary change addressing the issue of stale mindset of the leaders of the company is frequently the key obstacle to overcome. Usually, a different set of tools is required to achieve that, especially for internal change agents who have hierarchy working against them.
I will show how we can use Portfolio Kanban as a low-friction method, which might be used by change agents, to steer mindset change among top managers. Similarly to team-level Kanban a few simple rules help to change how we look at project or product portfolio and how the work flows on high level.
Thinking about Kanban on portfolio level introduces the whole new set of challenges that can’t be solved with standard approach, so it is also a story about Kanban versatility and adaptability.
After all, if end results include better understanding of how the work is done, improved effectiveness and healthier work environment for teams it is worth giving a try, isn’t it?
Scalability is currently a big topic in the agile world. Most agile methods and practices often reach their limits when one wants to “agilize" more than a few teams, let alone one wants to achieve real agile collaboration of several hundert people.
The main problem is that many agile methods focus on the team. Kanban follows a completely different path - Kanban is not a team method! Kanban is a management method which focuses on generating value. "Manage work and not workers" is one of the key messages of the Lean Kanban management philosophy. Therefore, scalability is not a real topic within Kanban: if you focus on value generation of work, scaling Kanban simple means doing more Kanban - it’s inherent scalable.
In this session I show how one could use Kanban at scale. Besides the general schematic explanation I will also show a case study where Kanban is used to coordinate work of more than 200 people.
Kanban's 3 Agendas (London Lean Kanban Day)David Anderson
When introducing the Kanban Method coaches and consultants have 3 specific agendas that resonate with people at different levels within a business: survivability; service-orientation; and sustainability. This presentations explains what they are, why they matter and who they affect.
CMMI Capability Counts conference key note. Evolutionary change and the new Kanban Maturity Model as an alternative to enterprise scaled Agile methodologies
Janice Linden-Reed's presentation at Lean Kanban Central Europe describing the feedback mechanisms in the Kanban Method used with Enterprise Services Planning to evolve to a business to be "fit for purpose" constantly sensing & responding to political, economic & market changes
Enterprise Services Planning: Defining Key Performance IndicatorsDavid Anderson
Defining KPIs for use in Enterprise Services Planning and with Kanban systems. Understanding the difference between KPIs, Improvement Guides, and General Health Indicators. Understanding how KPIs drive behavior such as establishing multiple classes of service. Relating KPIs to evolutionary change. KPIs are Fitness Criteria Metrics with defined threashold values
A central component of Kanban is to make invisible knowledge work visible. However, you will notice quite often that you very often cannot work, but are blocked. Waiting for the test environment, requirements unclear, or missing customer information are only a small part of blockages that prevent us from continuing to work. These blockages are in most cases not a singular event, but have a systemic cause. In other words, it is very unlikely that a blockage occurs only once in the history of a company. Normally the same blockage occurs again and again.
What can one do about it? Jumping out of the window in despair would be a possible approach. Another idea would be to see the blockages for what they are: Treasures of improvements. In this session, we show you how to harvest these treasures and to improve sustainably your working system. In addition, we will present a model that shows with the help of a few simple number games, which blockages need to be removed to achieve the greatest possible leverage.
Kanban method in four easy steps. Enjoy kanban.
Kanban in 4 easy steps is one of the most popular Kanban presentations. Learn how to successfully implement Kanban in your business process or life. Get to know basic Kanban principles and to see how easily you can improve your productivity using Kanban boards.
STATIK (Systems Thinking Approach to Introduce Kanban) es un enfoque exploratorio y colaborativo para implementar Kanban. Ayuda a entender la demanda y las dinámicas actuales, para diseñar y poner en marcha un modelo Kanban de trabajo que permita elevar la eficiencia y calidad en el servicio a través de la cultura y las técnicas de la mejora continua.
También es una buena herramienta para descubrir todos los servicios que proporciona un equipo, sus flujos de trabajo y su alineación con el propósito y las expectativas del cliente.
Kanban 101 workshop by John Goodsen and Michael Sahota.
This covers everything you will need to know to play Russell Healy's Kanban Game: visualizing the work, metrics, and creating explicit policies.
Slides are available on request. Please email me.
Cross-department Kanban Systems - 3 dimensions of scaling #llkd15Andy Carmichael
Describes Clearvision's journey of adopting Kanban, not just in the software development team but in Marketing and other departments. Uses 3 dimensions of scaling - Width (before and after); Height (different sizes, timescales, decision-making); Depth (interdependent services at the same level)
Metrics at Every (Flight) Level [2020 Agile Kanban Istanbul FlowConf]Matthew Philip
Slides as presented on Dec 8, 2020 at FlowConf organized by Agile Kanban Istanbul. https://www.flowconf.com/
Organizational change often stalls out at departmental boundaries, whether that is IT or another division. How do we help organizations connect vertically and horizontally to realize the outcomes that they have when undertaking large-scale change efforts?
Join this session to learn from a case study of a bank that combined flight levels and metrics to bridge their departmental boundaries and recognize gains not only in software delivery effectiveness but unifying higher-level strategy.
Flow efficiency has 2 simple variables : Wait Time and Touch Time and is expressed as (Touch Time / (Wait Time + Touch Time) ...
Touch Time is when you work on an item. Wait Time is more complicated and comprises idle time, blocked time, feedback delay time etc.
Traditional Kanban boards - despite their claims - cannot properly track Flow Efficiency and lead to metrics that are embellished and not realistic.
TameFlow has a Kanban board design to help you tally and improve flow efficiency. The benefits are numerous and impact psychological flow as they engage knowledge workers emotionally to take specific action to account for Wait Time and Touch Time.
The Agile and Lean decision filters consider excessive WIP as a liability, not an asset. Interestingly, traditional kanban boards - with their excessive buffers to 'park' WIP - generate Wait Time.
Daniel Doiron
Lean Change Agent - Applying Lean and Agile to Change ManagementJason Little
As a change agent, I’m sure you’ve experienced how difficult it can be to introduce change into an organization. That could mean you’re an Agile Coach or Scrum Master tasked with introducing Agile, and it can also mean you’re a Change Management Professional who is looking for more effective ways to develop and execute change programs.
This 2-day workshop, based on the book Lean Change Management, is designed to help you discover more effective practices for introducing, and managing change in your organization. You’ll learn by doing, not by reading PowerPoint slides! You’ll hear real stories about how to apply better, innovative practices to managing change.
Kanban is a 2nd generation approach to Agile which enables practitioners to evolve their own unique processes. This was my key note address to the Scrum Gathering China, Hangzhou 2016
CMMI Capability Counts conference key note. Evolutionary change and the new Kanban Maturity Model as an alternative to enterprise scaled Agile methodologies
Janice Linden-Reed's presentation at Lean Kanban Central Europe describing the feedback mechanisms in the Kanban Method used with Enterprise Services Planning to evolve to a business to be "fit for purpose" constantly sensing & responding to political, economic & market changes
Enterprise Services Planning: Defining Key Performance IndicatorsDavid Anderson
Defining KPIs for use in Enterprise Services Planning and with Kanban systems. Understanding the difference between KPIs, Improvement Guides, and General Health Indicators. Understanding how KPIs drive behavior such as establishing multiple classes of service. Relating KPIs to evolutionary change. KPIs are Fitness Criteria Metrics with defined threashold values
A central component of Kanban is to make invisible knowledge work visible. However, you will notice quite often that you very often cannot work, but are blocked. Waiting for the test environment, requirements unclear, or missing customer information are only a small part of blockages that prevent us from continuing to work. These blockages are in most cases not a singular event, but have a systemic cause. In other words, it is very unlikely that a blockage occurs only once in the history of a company. Normally the same blockage occurs again and again.
What can one do about it? Jumping out of the window in despair would be a possible approach. Another idea would be to see the blockages for what they are: Treasures of improvements. In this session, we show you how to harvest these treasures and to improve sustainably your working system. In addition, we will present a model that shows with the help of a few simple number games, which blockages need to be removed to achieve the greatest possible leverage.
Kanban method in four easy steps. Enjoy kanban.
Kanban in 4 easy steps is one of the most popular Kanban presentations. Learn how to successfully implement Kanban in your business process or life. Get to know basic Kanban principles and to see how easily you can improve your productivity using Kanban boards.
STATIK (Systems Thinking Approach to Introduce Kanban) es un enfoque exploratorio y colaborativo para implementar Kanban. Ayuda a entender la demanda y las dinámicas actuales, para diseñar y poner en marcha un modelo Kanban de trabajo que permita elevar la eficiencia y calidad en el servicio a través de la cultura y las técnicas de la mejora continua.
También es una buena herramienta para descubrir todos los servicios que proporciona un equipo, sus flujos de trabajo y su alineación con el propósito y las expectativas del cliente.
Kanban 101 workshop by John Goodsen and Michael Sahota.
This covers everything you will need to know to play Russell Healy's Kanban Game: visualizing the work, metrics, and creating explicit policies.
Slides are available on request. Please email me.
Cross-department Kanban Systems - 3 dimensions of scaling #llkd15Andy Carmichael
Describes Clearvision's journey of adopting Kanban, not just in the software development team but in Marketing and other departments. Uses 3 dimensions of scaling - Width (before and after); Height (different sizes, timescales, decision-making); Depth (interdependent services at the same level)
Metrics at Every (Flight) Level [2020 Agile Kanban Istanbul FlowConf]Matthew Philip
Slides as presented on Dec 8, 2020 at FlowConf organized by Agile Kanban Istanbul. https://www.flowconf.com/
Organizational change often stalls out at departmental boundaries, whether that is IT or another division. How do we help organizations connect vertically and horizontally to realize the outcomes that they have when undertaking large-scale change efforts?
Join this session to learn from a case study of a bank that combined flight levels and metrics to bridge their departmental boundaries and recognize gains not only in software delivery effectiveness but unifying higher-level strategy.
Flow efficiency has 2 simple variables : Wait Time and Touch Time and is expressed as (Touch Time / (Wait Time + Touch Time) ...
Touch Time is when you work on an item. Wait Time is more complicated and comprises idle time, blocked time, feedback delay time etc.
Traditional Kanban boards - despite their claims - cannot properly track Flow Efficiency and lead to metrics that are embellished and not realistic.
TameFlow has a Kanban board design to help you tally and improve flow efficiency. The benefits are numerous and impact psychological flow as they engage knowledge workers emotionally to take specific action to account for Wait Time and Touch Time.
The Agile and Lean decision filters consider excessive WIP as a liability, not an asset. Interestingly, traditional kanban boards - with their excessive buffers to 'park' WIP - generate Wait Time.
Daniel Doiron
Lean Change Agent - Applying Lean and Agile to Change ManagementJason Little
As a change agent, I’m sure you’ve experienced how difficult it can be to introduce change into an organization. That could mean you’re an Agile Coach or Scrum Master tasked with introducing Agile, and it can also mean you’re a Change Management Professional who is looking for more effective ways to develop and execute change programs.
This 2-day workshop, based on the book Lean Change Management, is designed to help you discover more effective practices for introducing, and managing change in your organization. You’ll learn by doing, not by reading PowerPoint slides! You’ll hear real stories about how to apply better, innovative practices to managing change.
Kanban is a 2nd generation approach to Agile which enables practitioners to evolve their own unique processes. This was my key note address to the Scrum Gathering China, Hangzhou 2016
Tribal behavior in the workplace is core to the human condition. This talk explains how an understanding of sociology and social psychology has been used to develop the community for the Kanban Method, embedded into the Kanban Method to leverage human behavior in the workplace and how you can design kanban systems to encourage positive social behavior in the workplace
Creating Resilient, Robust, & Antifragile OrganizationsDavid Anderson
What makes organizations fragile? What makes them resilient and able to bounce back from failure? How can they be robust to avoid major failures? However, what really differentiates business that are "built to last" is that they can mutate & evolve in response to change technology, market, economic and political conditions. What actions can leaders take to create resilient, robust & antifragile businesses and how can the Kanban Method help with that?
Kanban implementations have become ubiquitous around the world. Many are very large scale with over 5000 people using the technique. However, enterprise are struggling to implement end-to-end pull systems. Why? This talk looks at how to achieve true Lean workflows with deferred commitment and just-in-time replenishment in professional services enterprises
How the 6 Kanban practices can be used to improve the day to day activities of a PMO and bring some sanity to our programme and portfolio landscape. This presentation uses Agile PM as the PM method that can be hooked up with Kanban, but the same could be done with other methods.
Do teams really need a backlog? Large backlogs are often wasteful -- they are difficult to groom and manage, difficult to prioritise and difficult to keep track of everything going on. By limiting WIP at the portfolio level, deferring commitment to the last responsible moment, and tracking lead times at an MMF level, we may be able to hack backlogs that are so small, that we can get rid of them altogether.
Opening 45 minute key note from Lean Kanban India summarizing 10 years of Kanban history and main innovations and advances during that time, plus a brief overview of Enterprise Services Planning as the future direction for the movement
Enterprise Services Planning - Scaling the Benefits of KanbanDavid Anderson
ESP - the right thing, at the right time, the right way, with appropriate risk exposure!
Your business is an ecosystem of interdependent services which can be improved. Learn to see services. Kanban each service with STATIK. Imrpove using the Kanban Cadences.
An understanding of sociology and social psychology was the differentiator for Agile software development methods. This talk looks at how Kanban can be used for social engineering to improve innovation and trust, and how an understanding of sociology was used to design the Kanban Method and shape the community that advocates it.
All knowledge work requires a delicate and continuously shifting balance between delivery – exploiting existing knowledge – and discovery – exploring new knowledge. This need to balance discovery and delivery can be found across the entire innovation cycle: from technology innovation over performance and sustaining innovation to disruptive innovation. It has been a driving concern for specific approaches such as Lean Product and Process Development as well as The Kanban Method, as exemplified in examples such as: developing a new product that requires novel features (discovery) while at the same time managing the overall risk that is involved in developing those features (delivery); improving agility and predictability of an organization that may require substantial change (discovery) while at the same time keeping resistance to change under control (delivery); a startup that requires an initial focus on finding problem/solution fit or product market fit (discovery) but then needs to develop the organization to delivery at scale (delivery); etc.
In each of the examples above, too much emphasis on discovery may result in a disconnection with the past leading to resistance to change, increasing delivery risk, and non-adoption of innovation. Too little emphasis on discovery (and consequently too much emphasis on delivery) may lead to not being prepared for the future resulting in stagnation and the risk of being disrupted. Discovery Kanban systems are Kanban systems that help to balance discovery and delivery while moving from a mindset of episodic (one-off) innovation and change towards a culture of continuous innovation and change. Discovery Kanban systems work across the entire discovery cycle starting from pre-hypothesis moving into hypothesis validation and ending in post-hypothesis. In this presentation, we will discuss the different elements of Discovery Kanban, examples and underlying principles.
Closing key note from Lean Kanban India. Understanding the appropriate application of kanban systems, appropriate use of Enterprise Services Planning, and appropriate application of the Kanban Method for Evolutionary Change. Mapping to Cynefin complexity framework
Enterprise Services Planning - Scaling the Benefits of KanbanDavid Anderson
ESP - the right thing, at the right time, the right way, with appropriate risk exposure!
Your business is an ecosystem of interdependent services which can be improved. Learn to see services. Kanban each service with STATIK. Imrpove using the Kanban Cadences.
Enterprise Services Planning - Effective Middle ManagementDavid Anderson
This may be the first time, I really explained Enterprise Services Planning (ESP) effectively. Many people in the audience seemed to understand for the first time.
David Anderson, Enterprise Service Planning – Масштабирование преимуществ KanbanScrumTrek
Планирование услуг предприятия (EnterpriseServicesPlanning или ESP) – это новая сфера менеджмента для бизнеса, предоставляющего профессиональные услуги. Ваш бизнес – это экосистема сложных взаимозависимых сервисов. В быстро движущемся, и быстро меняющемся XXI веке новая стратегия для выживания – это организация бизнеса, который постоянно подстраивается под цель, путём создания возможности в компании эволюционно меняться и адаптироваться. ESP обеспечивает эту новую стратегию с помощью эволюции вашей сети взаимосвязанных услуг и одновременно адаптации их под цель. Практики ESP помогут вам с вашими проблемами в управлении портфелями проектов: расписание и последовательность работ, прогнозирование дат поставки и ожидаемых результатов, утилизация ресурсов, управление зависимостями, понимание и управление рисками, уверенность в возможности быстро реагировать на новые обстоятельства и события
Enterprise Services Planning - Scaling the Benefits of KanbanDavid Anderson
My latest key note providing an overview of the Enterprise Services Planning (ESP) vision, together with the first public release of the 2nd edition of the Kanban Method (Kanban 2.0). The power in ESP is in its simplicity! Lean Kanban - power in simplicity! Lean Kanban - the alternative path to agility!
Enterprise Services Planning - Scaling the Benefits of KanbanDavid Anderson
Key note from Lean Kanban Southern Europe in Madrid, April 2015. Defines Enterprise Services Planning as a service-oriented approach to improving professional services and evolving to a level of business performance that is "fit for purpose". Your business is an ecosystem of interdependent services which can be improved through the use of Kanban: Learn to see services; Kanban each service; Implement feedback loops to enable evolutionary change and continually improving service delivery.
Just say #no____ the altenative path to enterprise agilityDavid Anderson
The Kanban Method & Enterprise Services Planning have, for a decade, offered an alternative to Agile methodologies for improving business agility across professional services organizations employing thousands of knowledge workers. This key note highlights why Kanban is the least disruptive approach to agility but the most radical alternative to Agile
Key Note - Stop Starting, Start Finishing 2013 - Aligning Creative Work with ...David Anderson
Using qualitative risk assessment frameworks to understand business risk in demand for creative knowledge work, and assessing demand mix against system capability. Or "Why you may be doomed before you start!"
Creating Robust, Resilient & Antifragile Organizations (using Kanban)David Anderson
Explains in plain language Nassim Nicholas Taleb's taxonomy of fragile, resilient, robust & antifragile organizations and explains how the Kanban Method can be used to create resiliency, robustness and evolutionary capability. Ultimately antifragility requires an ability to change identity
"Fitness for Purpose" - Resilience & Agility in Modern BusinessDavid Anderson
Understanding "fitness for purpose". A new way to look at market segmentation based on identity. Defining fitness criteria metrics. Sense and respond. Using Kanban Systems to increase service delivery agility. Using the Kanban Method to catalyze and evolve your business to be "fitter for purpose". Making sense of a complex market using clustering of narratives from front-line staff. Remaining resilient through frequent "fitness" reviews
Key Note - Lean Kanban North America 2013 - Beyond KanbanDavid Anderson
Getting beyond the use of kanban systems and the Kanban Method to truly improve business performance through improved risk management. This talk looks at both the qualitative and quantitative risk management techniques enabled by the Kanban. And defines a measure of kanban system liquidity that can be used as a leading indicator to monitor the effectiveness and reliability of probabilistic forecasts based on historical system performance
Key note - Lean Kanban Central Europe 2012 - Managing a Risky Business - Unde...David Anderson
Using Kanban to improve Risk Management inside creative knowledge worker industries. This talk takes a first look kanban system liquidity as a measure of predictability and reliability of service delivery. [The liquidity section of this talk was updated and improved at Lean Kanban North America 2013]
Jira Service Desk for Internal Developer Support: It’s Not Just for IT Anymore!Atlassian
IT isn’t the only service organization that struggles to keep pace with growing development teams—Build and Release, Tools, and other development operations teams face the same challenges.
Learn how Karen Clark, DevOps Lead for Splunk's Internal Engineering Effectiveness team leveraged the power of Jira Service Desk to support internal customers and helped scale a growing organization. From gaining access to code repositories, to handling "on fire" blocking issues with production CI/CD environments, see which problems Jira Service Desk helped solve (and what it didn't), and the challenges they faced along the way.
The ROI of Scaling Agile - How to justify the investment in terms your CFO wi...Steve Elliott
You know the benefits of moving through an Agile transformation but the inevitable question always comes up - Does Agile really improve cost, schedule, productivity, quality and customer satisfaction compared to traditional methods?
Join Scott Blacker, VP of Products at AgileCraft and Phillip Manketo, Senior Agile Consultant at Eliassen Group, for an one-hour session as they share insight into how to justify your Agile investment.
Key Note - Smidig 2013 - Scaling Kanban in the Enterprise - Kanban's 3 AgendasDavid Anderson
The Kanban Method comes with 3 explicit agendas: Sustainability; Service-orientation; and survivability. This presentation looks at how to achieve large scale Kanban implementations in your enterprise and how Kanban will enable sustainable pace, improved service delivery and survivability through evolutionary capability and an improved focused on fitness for purpose
This ppt.is presented by J. V. Ravichandran (Group Manager in JK Technosoft Ltd.) at Agile NCR 2009 Conference held on 18th July at Park Premier Hotel.
Key Note - Devlin 2013 - No crystal ball gazing - The Pragmatism of The Kanba...David Anderson
The Kanban Method is based in the philosophy of pragmatism. Kanban encourages you to use facts and actual data to make decisions and plans. This approach improves risk management and business outcomes
This Limited WIP Society Munich talk look at emerging patterns of kanban boards and kanban systems at differing levels of organizational maturity. It presents a new simplified model for understanding maturity and how it relates to fragile, resilient, robust & antifragile organizations, and presents suggestions on how to catalyze evolutionary change using different mechanisms as maturity improves. For Kanban Coaches and Change Leaders.
An understanding of sociology and social psychology has been present in the design of the Kanban Method - an evolutionary approach to improving service delivery in professional services, knowledge work and creative industries. This talk shows how to use Kanban for social engineering, the aspects of social psychology and sociology built into the design of the method, and how this knowledge was used to develop and grow the movement and community globally over the last 8 years. Lean Kanban Benelux 2015
The history of Kanban applied in IT, knowledge work & creative services, telling the time line of innovations and adoption. Conclusions on what we've learned and a vision for the future direction enabling Enterprise Services Planning
"Fitness for Purpose" - Resilience & Agility in Modern BusinessDavid Anderson
High technology businesses tend to focus on and reward innovation but to be “fit for purpose” in the eyes of customers, product and service innovation must be coupled with acceptable service delivery. Business resilience relies on a constant ability to sense shifts in customer demands and expectations, and to respond with new products, service and levels of service delivery. Evolutionary biology provides us with a model for adapting to changing conditions and evaluating fitness. This talk will look at how the Kanban Method enables evolutionary adaptability and how to define fitness criteria metrics to drive effective business performance.
Fitness for purpose, aligning capability to customer expectations. How evolutionary processes reveal that the fitness for purpose of a business has both a product/service component and a service delivery component. Kanban systems have been shown to help improve service delivery. This presentation shows how to derive and use the correct metrics to guide process improvements and steer service delivery methods to be fitter for purpose
Making Better Decisions - Understanding Fitness for Purpose, Aligning Capabil...David Anderson
This is an update to my Modern Management Methods 2014 talk in San Francisco. It includes an example kanban system based on lead time distribution and demand analysis.
Making Better Decisions - understanding "fitness for purpose", matching strat...David Anderson
Modern Management Methods 2014 Key Note - Fitness for purpose has a product component and a service delivery component. Understanding service delivery capability helps you make better decisions about how and what to improve. Lean Kanban North America, San Francisco 2014
Artificial intelligence (AI) offers new opportunities to radically reinvent the way we do business. This study explores how CEOs and top decision makers around the world are responding to the transformative potential of AI.
Senior Project and Engineering Leader Jim Smith.pdfJim Smith
I am a Project and Engineering Leader with extensive experience as a Business Operations Leader, Technical Project Manager, Engineering Manager and Operations Experience for Domestic and International companies such as Electrolux, Carrier, and Deutz. I have developed new products using Stage Gate development/MS Project/JIRA, for the pro-duction of Medical Equipment, Large Commercial Refrigeration Systems, Appliances, HVAC, and Diesel engines.
My experience includes:
Managed customized engineered refrigeration system projects with high voltage power panels from quote to ship, coordinating actions between electrical engineering, mechanical design and application engineering, purchasing, production, test, quality assurance and field installation. Managed projects $25k to $1M per project; 4-8 per month. (Hussmann refrigeration)
Successfully developed the $15-20M yearly corporate capital strategy for manufacturing, with the Executive Team and key stakeholders. Created project scope and specifications, business case, ROI, managed project plans with key personnel for nine consumer product manufacturing and distribution sites; to support the company’s strategic sales plan.
Over 15 years of experience managing and developing cost improvement projects with key Stakeholders, site Manufacturing Engineers, Mechanical Engineers, Maintenance, and facility support personnel to optimize pro-duction operations, safety, EHS, and new product development. (BioLab, Deutz, Caire)
Experience working as a Technical Manager developing new products with chemical engineers and packaging engineers to enhance and reduce the cost of retail products. I have led the activities of multiple engineering groups with diverse backgrounds.
Great experience managing the product development of products which utilize complex electrical controls, high voltage power panels, product testing, and commissioning.
Created project scope, business case, ROI for multiple capital projects to support electrotechnical assembly and CPG goods. Identified project cost, risk, success criteria, and performed equipment qualifications. (Carrier, Electrolux, Biolab, Price, Hussmann)
Created detailed projects plans using MS Project, Gant charts in excel, and updated new product development in Jira for stakeholders and project team members including critical path.
Great knowledge of ISO9001, NFPA, OSHA regulations.
User level knowledge of MRP/SAP, MS Project, Powerpoint, Visio, Mastercontrol, JIRA, Power BI and Tableau.
I appreciate your consideration, and look forward to discussing this role with you, and how I can lead your company’s growth and profitability. I can be contacted via LinkedIn via phone or E Mail.
Jim Smith
678-993-7195
jimsmith30024@gmail.com
The Team Member and Guest Experience - Lead and Take Care of your restaurant team. They are the people closest to and delivering Hospitality to your paying Guests!
Make the call, and we can assist you.
408-784-7371
Foodservice Consulting + Design
Oprah Winfrey: A Leader in Media, Philanthropy, and Empowerment | CIO Women M...CIOWomenMagazine
This person is none other than Oprah Winfrey, a highly influential figure whose impact extends beyond television. This article will delve into the remarkable life and lasting legacy of Oprah. Her story serves as a reminder of the importance of perseverance, compassion, and firm determination.
The case study discusses the potential of drone delivery and the challenges that need to be addressed before it becomes widespread.
Key takeaways:
Drone delivery is in its early stages: Amazon's trial in the UK demonstrates the potential for faster deliveries, but it's still limited by regulations and technology.
Regulations are a major hurdle: Safety concerns around drone collisions with airplanes and people have led to restrictions on flight height and location.
Other challenges exist: Who will use drone delivery the most? Is it cost-effective compared to traditional delivery trucks?
Discussion questions:
Managerial challenges: Integrating drones requires planning for new infrastructure, training staff, and navigating regulations. There are also marketing and recruitment considerations specific to this technology.
External forces vary by country: Regulations, consumer acceptance, and infrastructure all differ between countries.
Demographics matter: Younger generations might be more receptive to drone delivery, while older populations might have concerns.
Stakeholders for Amazon: Customers, regulators, aviation authorities, and competitors are all stakeholders. Regulators likely hold the greatest influence as they determine the feasibility of drone delivery.
Case Analysis - The Sky is the Limit | Principles of Management
Enterprise Services Planning - Scaling the Benefits of Kanban
1. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services
Planning
Scaling the benefits of Kanban
Presenter
David J. Anderson
London LWS
Canary Warf
October 2015
3. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
You are part of a professional services business!
An ecosystem of
professionals
providing
interdependent
services, often with
complex
dependencies.
Professional
Service
organizations
build intangible
goods
4. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
The challenge of professional services businesses
A constantly changing
external environment
has a ripple effect
across your entire
business ecosystem
Priorities change and
required capability & service
levels rise in response to
competition, disruptive
market innovation &
changes in customer tastes
5. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
The challenge of professional services businesses
Lack of alignment between
Strategy and Capability is
risky, & results in
unpredictable, unsatisfactory
outcomes
Risks are not
adequately hedged,
performance is volatile
& untrustworthy. As a
result managers
cannot act & decide
with confidence
6. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
A Managers Dilemma
Managers are expected to make decisions
and predict outcomes accurately.
Their management training did not prepare
them for the complexity of professional
services environments!
Why are their daily decisions as well as long-term
strategic plans plagued with uncertainty?
7. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
What should
we start next?
Will it be
delivered when
we need it?
Do we have
capacity to do
everything we
need to do?
8. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
How will
dependencies
affect our ability
to deliver?
How many
activities should
we have running
in parallel?
If we delay starting something,
will the capacity be available
when we need it?
9. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
ESP – Anticipating Demand, Allocating Capacity
Looking downstream, you
want the system to help
you anticipate and
manage dependencies
10. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
ESP – Anticipating Demand, Allocating Capacity
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
Looking upstream, you want the
system to help you anticipate and
manage demand
11. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
ESP – Anticipating Demand, Allocating Capacity
Combine the two, and
across the organization
you smooth flow end-
to-end and help keep
demand in balance with
overall system capability
12. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
*Kanban is a way to organize and manage work. It improves
service delivery speed & predictability through a combination of
limiting work-in-progress & deferred commitment
It uses visual management and Lean techniques such as limiting
the amount of work in progress, and probabilistic forecasting.
Kanban helps to balance demand with capability.
Balancing demand and capability = improved flow.
Improved flow = Improved predictability.
Enterprise Services Planning (ESP) is an enterprise-wide
management solution that leverages Kanban*
to improve each service within your business.
13. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
The goal of Enterprise Services Planning
The goal of
Enterprise Services Planning
is to achieve flow
across the organization.
ESP encourages
improved service delivery,
better customer satisfaction
and a business that is
"fit for purpose”.
14. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
Manufacturing
1947 – Kanban
1964 & 1975 – MRP
Professional Services
2004 – Kanban
2015 – ESP
ESP is “MRP for professional
services”. ESP is for managing
capacity & scheduling intangible
work
16. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Qualitative Taxonomies
2 -> 6 categories
Fact-based
Cheap
Fast
Accurate
Consensus Forming
Managed Risk
Heterogeneous
Expensive
Time Consuming
Fake Precision?
May still be
High Risk
Homogenous
Cheap
Fast
High Risk
A middle-ground in effective Risk Management
17. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Sketch market payoff functionRoomnights
soldperday
Actual rooms sold
Cost of delay
Estimated additional
rooms sold
When we need it When it arrived
Cost of delay for an online Easter holiday marketing promotion
is difference in integral between the two curves
time
18. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Cost of Delay based on Market Payoff Sketches
Cost of delay function for an online Easter holiday marketing
campaign delayed by 1 month from mid-January
(based on diff of 2 integrals on previous slide)
Treat as a Standard Class item
time
impact
Total cost
of delay
19. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Market Payoff Taxonomy
Front-loaded – Most of the value is
realized early in the lifespan of the
product with a long residual tail
Payoff Function Shape
Bell curve – Most of the value is
realized in the middle of the lifespan
with slow initial uptake and a
somewhat symmetrical tail off
Back-loaded – Initial take-up is slow
with value realized close to a natural
end-date in the product lifespan
20. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Visualize Risks to provide Scheduling Information
TS
Market Risk
CR
Spoil
Diff
Lifecycle
Cost of Delay
Tech Risk
Delay Impact
New
Mid
Cow
Expedite
FD
Std
Intangible
ELE
Maj. Cap.
Disc
Unknown Soln
Known but not us
Done it before
Commodity
Risk profile for
a work item or
project
Outside:
Commit Early
Inside:
Commit Late
Items with the same shape carry the
same risks. They cannot be prioritized or
sequenced. From a group of items with
the same risk profile pick whichever
ones you like.
It is also wise to hedge risk by
allocating capacity in the system for
items of different risk profiles.
21. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Scheduling & Sequencing
TS
Market Risk
CR
Spoil
Diff
Lifecycle
Cost of Delay
Tech Risk
Delay Impact
New
Mid
Cow
Expedite
FD
Std
Intangible
ELE
Maj. Cap.
Disc
Unknown Soln
Known but not us
Done it before
Commodity
Sequence:
1st
Sequence:
3rd
Sequence:
2nd
If only real life was so simple!
22. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Custom Profile Contains Narrative
Our CEO has
requested we
do the blue
project. Which
one do we
postpone?
The purple
project is
important but
can be delayed
with little
penalty.
23. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Inherent Risk, Risk of Rework & Sequencing
MarketRisk
Scheduling
High risk
of change
or rework
Low risk
of change
or rework
Can
Commit
Early
Should be
deferred
Differentiators
Spoilers
Table Stakes
Cost Reducers
Regulatory
Defer until later
only incurs
opportunity cost
penalty
Deferring
tables stakes
may mean
foregoing
differentiators
or starting
early and
paying cost of
rework
InherentRisk
RiskofRework
Sequencing
24. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Revisiting the portfolio options
There is a low
penalty to
deferring the
purple project
compared to
alternatives
The purple
project remains
important. We
may need to
forgo something
else later in
order to insure
it is completed
25. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Visualizing Inherent Risk
Diff
Market Risk
Spoil
CR
TS
Lifecycle
Cost of Delay
Tech Risk
Delay Impact
Cow
Mid
New
Expedite
FD
Std
Intangible
ELE
Maj. Cap.
Disc
Unknown Soln
Known but not us
Done it before
Commodity
Outside:
High Risk
Inside:
Low Risk
Some axes are reversed when we show
inherent risk in the project or feature
compared to its schedule risk.
If inherent risk is lower than
schedule risk then the project or
feature can be deferred
Where inherent risk is greater than
schedule risk. Deferring only works if
other information gathering is
happening creating an embedded
option
26. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
What if a profile sends conflicting signals?
TS
Market Risk
CR
Spoil
Diff
Lifecycle
Cost of Delay
Tech Risk
Delay Impact
New
Mid
Cow
Expedite
FD
Std
Intangible
ELE
Maj. Cap.
Disc
Unknown Soln
Known but not us
Done it before
Commodity
Outside:
Commit Early
Inside:
Commit Late
Some risk profiles produce spikes send
conflicting signals about when to
schedule the item
It may be appropriate to split the ticket into two
dependent items. In this example, create a ticket
to prototype the technical solution commit to
that early. Use the information gained to decide
whether to proceed with the original request.
In general, split items into dependent peers until
schedule conflicts in the profile shape are
resolved. This concept is known as creating
“embedded options” providing specific
opportunities to discard ideas after additional
information discovery
27. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Risk profile for prototype
TS
Market Risk
CR
Spoil
Diff
Lifecycle
Cost of Delay
Tech Risk
Delay Impact
New
Mid
Cow
Expedite
FD
Std
Intangible
ELE
Maj. Cap.
Disc
Unknown Soln
Known but not us
Done it before
Commodity
The prototype
becomes table stakes
for the project and
has a fixed date as we
have a concept of
option expiry for its
dependent customer
deliverable ticket.
This profile makes it
obvious we should
schedule it early.
28. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Risk profile for deliverable functionality
TS
Market Risk
CR
Spoil
Diff
Lifecycle
Cost of Delay
Tech Risk
Delay Impact
New
Mid
Cow
Expedite
FD
Std
Intangible
ELE
Maj. Cap.
Disc
Unknown Soln
Known but not us
Done it before
Commodity
With the
technical risk
removed the
deliverable ticket
can evidently be
scheduled later
29. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Embedded options enable us to manage risk
Prototype Customer Deliverable
Start early Await results of prototype
Discard if poor results, else
If good results, defer until as
late as possible
Dependency
Embedded
Option
30. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Demand Shaping Threshold
Dimension 1
Dimension 2
Dimension 3
Dimension 5
Dimension 4
Definitely
Do
This
Demand shaping
threshold
Talk about
this one
Definitely
Don’t
This
32. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Lead Time & Weibull Distributions
Lead time histograms
observed to be Weibull
distributions typically
with shape parameter
1.0 < k < 2.0
This example is a Weibull
distribution with a scale parameter
equal to 65 and shape parameter
equal to 1.4
Outliers with known special causes
at 87 & 105 are omitted from
the “best fit” curve
33. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
ChangeRequests
SLA (customer expectation or fitness criteria)
60 days
Use Lead Time Distribution to Evaluate
Service Delivery Effectiveness
22-150 day
spread of variation
85%
on-time
15% late
Due Date
Performance
(DDP)
Predictability
34. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Forecasting methods
ESP relies on two types of forecasting approaches
Reference class forecasting
Monte Carlo simulation
Reference class forecasting requires an assumption
of an equilibrium – the near future will reflect the
continuing conditions of the recent past
We sample data from a period in the recent past and use it
to forecast future behavior
The sample period is determined by evaluating the
volatility in kanban system liquidity
35. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Little’s Law provides simple but effective medium
to long term forecasts
Delivery Rate
(from the kanban system)
System Lead Time
WIP
=
Little’s Law uses
the mean lead time
Mean is strongly
affected by the tail
on the lead time
distribution
ChangeRequests
Mean
TailMedian
Mode
Control the shape of the distribution by
managing flow and avoid extending tail of
the distribution
36. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Pull transactions measure kanban liquidity
Done
Pool
of
Ideas
F
E
I
Engin-
eering
Ready
Deploy-
ment
Ready
G
D
2 ∞
No Pull
Ongoing
Development Testing
Done Verification Acceptance
3 3
Work flows through a kanban system when we
have well matched work order or items of WIP
with suitable staff to add valuable new knowledge
and progress work to completion.
For work to flow freely in a kanban system, we
must have work available to pull and suitably
matched workers available to pull it. Hence, the
act of pulling is the indicator that an item of
work was matched to available workers and flow
happened.
37. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Can you tell which of these systems is more liquid?
38. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
System volatility can be measured as the
derivative of pull transaction rate
We can compare volatility across
systems and over-time within a
system by observing the derivative of
the rate of pull transactions.
The derivative is robust to different
sizes of system
39. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Analysis of Derivative of Pulls
By understanding the bounds of volatility for a reference data set, we can
monitor whether current conditions continue to reflect the recent past
40. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Liquidity is a General Health Indicator Metric
Our measure of liquidity, as pull
transaction volume and its volatility as
the spread of its derivative, meets the
criteria* for a useful metric…
Simple
Self-generating
Relevant
Leading Indicator
Observed
Capability
Liquidity & volatility are global
system measures.
Driving them up should not cause
local optimization or undesired
consequences!
* Reinertsen, Managing the Design Factory 1997
42. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
When should we start something?
impact
When we
need it
85th
percentile
Ideal Start
Here
Commitment point
timeJan
10
Nov
11
If we start too early, we forgo the
option and opportunity to do
something else that may provide
value.
If we start too late we risk
incurring the cost of delay
If we pull the work into our kanban
system on Nov 11 we have a 6 out
of 7 chance of on-time delivery
43. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
We can study sensitivity to different start dates
impact
When we
need it
50th percentile
Later Start
Here
Commitment point
timeJan
10
Nov
25
If we start as late as November 25
we only have a 50% chance of on-
time delivery
However, the cost of delay incurred
if we deliver within 60 days is
relatively small. We have an 85%
chance of achieving delivery with
acceptable cost of delay
85th percentile
44. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
What is the latest we could start?
impact
When we
need it
0th percentile
Very late
start
Commitment point
timeJan
10
Dec
19
If we start as late as December 19
we have 0% chance of on-time
delivery
We have about a 10% chance of a
total loss delivering the promotion
beyond the expiry date of the
opportunity
85th percentile
total loss
45. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
To be certain of delivery without incurring any
cost of delay is expensive
impact
When we
need it
98th
percentile
Early Start
Commitment point
timeJan
10
Aug
11
If we are conservative and do not
wish to carry any risk of late
delivery or any risk of incurring an
opportunity cost of delay, then we
must start as early as August 13th.
We must commit to our Spring
Break 2015 promotion during
Summer 2014!!!
46. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Window of opportunity
impact
When we
need it
Earliest Start
timeJan
10
Aug
11
Latest
viable
start
Dec
19
Optimal Start
Nov
11
On August 11st the item becomes
available for selection at Kanban
system replenishment.
The ideal time to start is November
11th.
After December 19th our option to
deliver this item expires and we
would discard it from our pool.
47. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Definition of
Enterprise Services Planning
48. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
3 Organizational Steps
Foster a culture focused
on continual
fit-for-purpose service
delivery
Seeing Services
“Kanban” each service
Feedback Loop System
Identify interdependent services
in your organization
Use the STATIK method to create a
Kanban system for each service
Implement a set of responsive
feedback loops
49. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
Step 1: Seeing Services
Examples:
HR provides services throughout the organization, but they
also need services from IT
Marketing provides services to product development but they
need services from Sales and from IT
IT provides services to Customer Support. There is an
interdependency between Customer Support, QA, and IT
Engineering.
Different feature teams or product teams may have
dependencies on each other
Many groups are dependent upon specialist individuals
50. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
Step 2: Kanban the Services
Use STATIK (Systems Thinking Approach to
Implementing Kanban) for each identified service…
1. Understand what makes the service “fit for purpose”
2. Understand sources of dissatisfaction regarding current
delivery
3. Analyze sources of and nature of demand
4. Analyze current delivery capability
5. Model the service delivery workflow
6. Identify & define classes of service
7. Design the kanban system
8. Socialize design & negotiate implementation
51. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
Step 3: Responsive Feedback Loops
Strategy
Review
Risk
Review
Monthly
Service
Delivery
Review
Bi-WeeklyQuarterly
Kanban
Meeting
Daily
Operations
Review
Monthly
Replenishment/
Commitment
Meeting
Weekly
Delivery
Planning
Meeting
Per delivery cadence
change change
change
change
change
change
change change
change
info
info
info
info
info
info
info
info
info
change info
52. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Illustrates 4 Functions of Management in ESP
Strategy
Review
Risk
Review
Monthly
Service
Delivery
Review
Bi-WeeklyQuarterly
Kanban
Meeting
Daily
Operations
Review
Monthly
Replenishment/
Commitment
Meeting
Weekly
Delivery
Planning
Meeting
Per delivery cadence
change change
change
change
change
change
change change
change
info
info
info
info
info
info
info
info
info
change info
Focus on Service Delivery
Driving improvement…
Higher level
management function
53. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
Achieve “Fitness for Purpose”
+
These must be balanced to deliver what your
customers need and expect: to be “fit for purpose”
Product component
(capability/brand/non-
functional elements)
Service delivery component
demand /customer expectations/
customer satisfaction)
54. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
6 Planning Activities
ESP activities
1. schedule and sequence work
2. forecast delivery dates and expected outcomes
3. allocate capacity
4. manage dependencies
5. understand and manage risk
6. ensure sufficient liquidity to react to unfolding events
ESP is about balancing demand with capacity to deliver,
keeping in mind the dependencies and risks
55. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
Fit for purpose one service at a time
Produce superior customer service and be robust & resilient
– even in a rapidly changing external environment.
Using ESP, run an effective,
risk managed business.
Align enterprise strategy with capability.
56. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Scaling out across the organization
57. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Treat each service separately
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
58. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
STATIK
(Systems Thinking Approach to Introducing Kanban)
1. Understand what makes the service “fit for
purpose”
2. Understand sources of dissatisfaction
regarding current delivery
3. Analyze sources of and nature of demand
4. Analyze current delivery capability
5. Model the service delivery workflow
6. Identify & define classes of service
7. Design the kanban system
8. Socialize design & negotiate implementation
This process
tends to be
iterative
Identify Services. For each service…
59. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
The Kanban Method
Scaling Principles
1. Scale out in a service-oriented fashion one service
at a time
2. Design each kanban system from first principles
using STATIK, do not attempt to design a grand
solution at enterprise scale
3. Use the Kanban Cadences as the management
system that enable balance, leading to better
enterprise services delivery
60. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Some systems have dependencies on others
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
Looking
downstream,
you want the
system to help
you anticipate
and manage
dependencies
61. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Some systems have dependencies on others
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
Looking
upstream, you
want the system
to help you
anticipate and
manage demand
62. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Some systems have dependencies on others
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
Combine the
two, and across
the organization
you smooth
flow end-to-
end and help
keep demand in
balance with
overall system
capability
63. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Buffer dependencies, agree SLAs
5 4 43 2 2
...Input
Queue
Dev
Ready In Prog DoneDoneIn Prog
DevelopmentAnalysis Build
Ready Test
Release
Ready
Waiting on
External Group
Late against SLA
Dots denote clock
ticking on SLA
64. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Organizational Improvements Emerge
66. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Use a parking lot to visualize dependency delay
5 4 43 2 2
...Input
Queue
Dev
Ready In Prog DoneDoneIn Prog
DevelopmentAnalysis Build
Ready Test
Release
Ready
Waiting on
External
Dependency
Late against SLA
Dots denote clock
ticking on SLA
67. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
5 4 2
...Input
Queue In Prog DoneDoneIn Prog
DevAnalysis
System
Test Release
Ready
Dev
4
4
In Prog
Split
Integration
Point
Integration Dependencies
2
Integration
Test
Component1Component2
DoneIn Prog DoneIn Prog
Integration dependencies
should be managed like
small projects for the
components or sub-systems
with the integration point
being scheduled by backing
out integration cycle time
from the desired delivery
date
Integration points should be
treated as localized fixed
delivery dates, hence the
component or sub-system
has a fixed date.
Use project forecasting to
plan the component delivery
Cycle time
68. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Parent-child dependencies can be
represented with 2-tiered boards
Features
(parents)
Use
Stories
(children)
69. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Visualizing Dependencies at Posit Science
Dots depict
dependencies
70. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Visualize dependencies on tickets
Title
Graphic Design
Copy Writing
DBA
Customer Signoff
req
complete
Color of the ticket
May indicate
dependency on
shared services
J
Decorators
(Shape & Color)
(Letter)
SLA or
Target Date
May indicate service,
vendor or customer
dependencies
May be used to
indicate skill level
required
Start dd/mm/yyyy
dd/mm/yyyyDue
End
SIT date
Dates
Age (showing days blocked)
Can be used to
visualize integration
dependencies
Class of service
affected by
dependent request
71. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Feedback Loops
for Sustained Survivability
72. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Strategy
Review
Risk
Review
Monthly
Service
Delivery
Review
Bi-WeeklyQuarterly
Kanban
Meeting
Daily
Operations
Review
Monthly
Replenishment/
Commitment
Meeting
Weekly
Delivery
Planning
Meeting
Per delivery cadence
change change
change
change
change
change
change change
change
info
info
info
info
info
info
info
info
info
change info
Kanban CadencesAre we doing things right?
Are we
doing
the right
thing?
Focus on Service Delivery
73. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Kanban Meeting
Daily
Disciplined conduct and
acts of leadership lead to
identification of
improvement opportunities
Problem solving &
improvement discussions
are taken immediate after
formal meeting
74. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Service Delivery Review
Bi-weekly
A focused discussion about system capability
Usually in private (often 1-1) between a more senior manager and
individual(s) responsible for the system operation
Review against fitness criteria metrics, e.g. current capability versus lead time
SLA with 60 day, 85% on-time target
Discuss shortfalls against (customer) expectations
Analyze for assignable/special cause versus chance/common cause
Discuss options for risk mitigation & reduction or system design changes to
improve observed capability against expectations
75. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Operations Review
Monthly
Systems of Systems level Review
Disciplined review of demand and
capability for each kanban system
Dependencies understood.
Interdependent effects exposed
Kaizen events suggested by
attendees
80. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
ESP – Anticipating Demand, Allocating Capacity
Looking downstream, you
want the system to help
you anticipate and
manage dependencies
81. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
ESP – Anticipating Demand, Allocating Capacity
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
Looking upstream, you want the
system to help you anticipate and
manage demand
82. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Demand
Observed
Capability
Demand
Demand
Observed
Capability
Observed
Capability
ESP – Anticipating Demand, Allocating Capacity
Combine the two, and
across the organization
you smooth flow end-
to-end and help keep
demand in balance with
overall system capability
83. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Enterprise Services Planning
“Making Better Use of Kanban at Scale”
“Fit for Purpose” service delivery
• Fitness criteria metrics & classes of service
Anticipate Demand
• Comprehend WIP limits, staffing levels and
required liquidity levels
Shape Demand
• Allocate capacity to hedge risk
• Bifurcate demand with risk policies
Scheduling, Sequencing & Selection
• Intelligent recommendation engine utilizing
risk profiles & risk management policies
Intelligent Human Capital Development
• Skills acquisition linked to system liquidity
• Determine real ROI for skills & experience
investment
85. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
About
David Anderson is an innovator in
management of 21st Century
businesses that employ creative
people who “think for a living” . He
leads a training, consulting,
publishing and event planning
business dedicated to developing,
promoting and implementing new
management thinking & methods…
He has 30+ years experience in the high technology industry
starting with computer games in the early 1980’s. He has
led software organizations delivering superior productivity
and quality using innovative methods at large companies such
as Sprint and Motorola.
David defined Enterprise Services Planning and originated
Kanban Method an adaptive approach to improved service
delivery. His latest book, published in June 2012, is, Lessons
in Agile Management – On the Road to Kanban.
David is Chairman & CEO of Lean Kanban Inc., a business
operating globally, dedicated to providing quality training &
events to bring Kanban and Enterprise Services Planning to
businesses who employ those who must “think for a living.”
86. Copyright Lean Kanban Inc. dja@leankanban.com @lki_dja
Labor pool liquidity is a concept adapted from the work of Chris Matts. Kanban
system liquidity is a concept developed in collaboration with Raymond Keating,
CME Group
Lead time & pull transaction data courtesy of CME Group
Risk profile courtesy of BazaarVoice
Acknowledgements
Work flows through a kanban system when we have well matched work order or items of WIP with suitable staff to add valuable new knowledge and progress work to completion.
The KMP II class is built around the 7 cadences of the Kanban Method. The focus is on institutionalizing the feedback loops and developing templates for each meeting or review including a list of who will attend and what information they must bring to the meetings. The objective is to drive improvement and evolutionary change through management feedback loops implemented as a series of rituals happening on cadences tailored to the specific needs of the business. Strategy Review is out-of-scope until the Portfolio Management module of the ESP class.
We have walked through the Systems Thinking Approach to Introducing Kanban. This process tends to be iterative. Don’t be afraid to go back and adjust your kanban system as new information emerges or your needs change.
There are 3 Change Management Principles designed to frame an evolutionary approach to improvement. Be aware that the Kanban Method is applied to the way you work now, and it will help you evolve the way you work gradually over time.
[Briefly walk through each of the principles. See David’s blog at http://www.djaa.com/principles-general-practices-kanban-method if you want help with how to explain each.]
Use the scheduling guidance from Day 2 coupled to the project planning from Day 4 to manage integration points together with a fixed delivery date class of service for the dependent parts
There is a variety of ways you can communicate information on a kanban ticket. You don’t need to put too much on the ticket!
The KMP II class is built around the 7 cadences of the Kanban Method. The focus is on institutionalizing the feedback loops and developing templates for each meeting or review including a list of who will attend and what information they must bring to the meetings. The objective is to drive improvement and evolutionary change through management feedback loops implemented as a series of rituals happening on cadences tailored to the specific needs of the business. Strategy Review is out-of-scope until the Portfolio Management module of the ESP class.