This document discusses principles and techniques for flow product development. It discusses delivering fast by focusing on flow units and eliminating non-value added activities. It emphasizes eliminating variability where possible, but introducing variability where it adds value. Tools discussed for managing flow include using histograms to understand variability in cycle times, cumulative flow diagrams to visualize work in progress and identify bottlenecks, and Little's law to calculate lead times and improve throughput. The goal is to continuously deliver value to customers by optimizing flow through the development process.

1. Flow Product
Development
Pablo Domingo
@pavleras

2. Principles
Variability
Queues & Resource Efficiency

3. Flow Product
Development
Principles

4. Principle #1: Deliver fast

5. Principle #1: Deliver fast
Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
FLOW UNITS

6. Principle #1: Deliver fast
Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
CONCEPT TO CASH

7. Principle #2: Eliminate non-value
added activities.
https://www.flickr.com/people/92944716@N05/
Only give
me good
news

8. Principle #2: Eliminate non-value
added activities.
https://www.flickr.com/photos/st3f4n/4487662126/

9. Principle #2: Eliminate non-value
added activities.
15%
80%
Features
Value

10. Principle #2: Eliminate non-value
added activities.

11. Principle #2: Eliminate non-value
added activities.
http://www.heraldo.es/galerias-imagenes/chapuzas-en-aragon/#2

12. Principle #3: Focus on Flow Units
“85% of the reasons for
failure to meet customer
expectations are relate to
deficiencies in systems and
processes… rather than the
employee”

13. Flow Product
Development
Variability

14. #1: Variability
https://www.flickr.com/photos/donsolo/2332814270/

15. Variability – Lean Manufacturing
You cannot add value without
adding variability
https://www.flickr.com/photos/urbangarden/

16. Variability – Product Development
You cannot add value without
adding variability

17. Variability – Product Development
You cannot add value without
adding variability but you can add
variability without adding value
Donald Reinertsen

18. #1 Histograms

19. Time
Cycle Time

20. 12
10
Cycle Time
8
6
4
2
0
Development time
8/9/14 8/19/14 8/29/14 9/8/14 9/18/14 9/28/14 10/8/14 10/18/14 10/28/14 11/7/14 11/17/14
9-8-2014 –
17/11/2014
#Days
UCL= 9
Mean=3,5
LCL=0

21. 12
10
Cycle Time
8
6
4
2
0
Statistical
Process Control
8/9/14 8/19/14 8/29/14 9/8/14 9/18/14 9/28/14 10/8/14 10/18/14 10/28/14 11/7/14 11/17/14
9-8-2014 –
17/11/2014
#Days
UCL= 9
Mean=3,5
LCL=0
UCL= Mean + 3*Standard Deviation
Mean=3,5
LCL= Mean – 3*Standard Deviation

22. 12
10
Cycle Time
8
6
4
2
0
Special Cause
Variation
8/9/14 8/19/14 8/29/14 9/8/14 9/18/14 9/28/14 10/8/14 10/18/14 10/28/14 11/7/14 11/17/14
9-8-2014 –
17/11/2014
#Days
UCL= 9
Mean=3,5
LCL=0
UCL= Mean + 3*Standard Deviation
Mean=3,5
LCL= Mean – 3*Standard Deviation

23. Live defects per
release
25
20
15
10
5
0
BUGS
Lower Control Limit
Higher Control Limit
Linear (BUGS)

24. 25
20
15
10
5
0
“Voice of the
process”
BUGS
Lower Control Limit
Higher Control Limit
Linear (BUGS)

25. http://leanandkanban.wordpress.com/2009/11/04/kanban-results-part-3-from-scrum-to-kanban/

26. Flow Product
Development
Queues & Resource Efficiency

27. #2: Queues &
Resource Efficiency
https://www.flickr.com/photos/donsolo/2332814270/

28. Efficiency – Queues
Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
Increase Cycle Time
Increase Variability & Risk
Decrease Efficiency
Decrease Quality - Feedback
Decrease Motivation

29. Efficiency – Queues
https://www.flickr.com/photos/wwarby/11682625885/

30. Efficiency – Queuing Theory
Queues + Variability + Resource
efficiency?
https://www.flickr.com/photos/skycaptaintwo/

31. Efficiency – Queuing Theory
Non-linear Exponential

32. Small changes in capacity utilization…
4 times
Cycle time

33. Tool:#2
Cumulative Flow Diagram

34. Time
Cumulative size

35. Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
6
5
4
3
2
1
0
12/8/14 12/8/14
Ready To Do
In progress
Test
Deploy
Complete

36. Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
6
5
4
3
2
1
0
12/8/14 12/9/14
Ready To Do
In progress
Test
Deploy
Complete

37. Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
6
5
4
3
2
1
0
12/8/14 12/9/14 12/10/14 12/11/14 12/12/14
Ready To Do
In progress
Test
Deploy
Complete

38. Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
6
5
4
3
2
1
0
12/8/14 12/9/14 12/10/14 12/11/14 12/12/14 12/13/14
Ready To Do
In progress
Test
Deploy
Complete

39. Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
6
5
4
3
2
1
0
12/8/14 12/9/14 12/10/14 12/11/14 12/12/14 12/13/14 12/14/14
Ready To Do
In progress
Test
Deploy
Complete

40. Backlog Develop
Ongoing Done
Test Deployment
Ongoing Done
6
5
4
3
2
1
0
12/8/14 12/9/14 12/10/14 12/11/14 12/12/14 12/13/14 12/14/14 12/15/14
Ready To Do
In progress
Test
Deploy
Complete

41. 35
30
25
20
15
10
5
0
8/20/14 8/21/14 8/22/14 8/25/14 8/26/14 8/27/14 8/28/14 8/29/14 9/1/14 9/2/14 9/3/14 9/4/14 9/5/14 9/8/14 9/9/14
Ready
Design
Implement
Verify
Deploy
Complete
CYCLE TIME

42. 35
30
25
20
15
10
5
0
8/20/14 8/21/14 8/22/14 8/25/14 8/26/14 8/27/14 8/28/14 8/29/14 9/1/14 9/2/14 9/3/14 9/4/14 9/5/14 9/8/14 9/9/14
Ready
Design
Implement
Verify
Deploy
Complete
LEAD TIME

43. 35
30
25
20
15
10
5
0
8/20/14 8/21/14 8/22/14 8/25/14 8/26/14 8/27/14 8/28/14 8/29/14 9/1/14 9/2/14 9/3/14 9/4/14 9/5/14 9/8/14 9/9/14
Ready
Design
Implement
Verify
Deploy
Complete
Limiting WIP?
QUANTITY IN
QUEUE

44. 35
30
25
20
15
10
5
0
8/20/14 8/21/14 8/22/14 8/25/14 8/26/14 8/27/14 8/28/14 8/29/14 9/1/14 9/2/14 9/3/14 9/4/14 9/5/14 9/8/14 9/9/14
Ready
Design
Implement
Verify
Deploy
Complete
QUANTITY IN
QUEUE
WIP
Constraint

45. 35
30
25
20
15
10
5
0
8/20/14 8/21/14 8/22/14 8/25/14 8/26/14 8/27/14 8/28/14 8/29/14 9/1/14 9/2/14 9/3/14 9/4/14 9/5/14 9/8/14 9/9/14
Ready
Design
Implement
Verify
Deploy
Complete
QUANTITY IN
QUEUE
WIP
Constraint

46. 35
30
25
20
15
10
5
0
PREVIOUS CYCLE TIME VS NEW CYCLE TIME
8/20/14 8/21/14 8/22/14 8/25/14 8/26/14 8/27/14 8/28/14 8/29/14 9/1/14 9/2/14 9/3/14 9/4/14 9/5/14 9/8/14 9/9/14
Ready
Design
Implement
Verify
Deploy
Complete
QUANTITY IN
QUEUE
WIP
Constraint

47. Tool:#3
Little’s Formula

48. Manage Flow using Little’s law
Throughput =
WIP
Lead Time
http://www.slideshare.net/wwiedenroth?utm_campaign=profiletracking&utm_medium=sssite&utm_source=ssslideview

49. Manage Flow using Little’s law
Calculate Project Lead Time
Project Lead Time = N. of Flow Units Average Lead Time
Average WIP
= 500
10 days
8 items
= 125 weeks
http://www.slideshare.net/wwiedenroth?utm_campaign=profiletracking&utm_medium=sssite&utm_source=ssslideview

50. Manage Flow using Little’s law
Project Scope End Date
20% 60% 20%

51. Tool:#4
Limiting Work In Progress

53. 1. Demand
1. Escalation
2. Throttle
2. Service
More tools
1. T-Shape resources
2. SWAT Team
3. Part-time resources
4. Training & Cross-training

54. Summary of ideas
Cycle Time
12
10
8
6
4
2
0
VARIABILITY -
Histograms
35
30
25
20
QUEUES –
15
10
CFD, WIP and
5
Little formula 0
8/20/14 8/21/14 8/22/14 8/25/14 8/26/14 8/27/14 8/28/14 8/29/14 9/1/14 9/2/14 9/3/14 9/4/14 9/5/14 9/8/14 9/9/14
Ready
Design
Implement
Verify
Deploy
Complete

55. Research more reading these books

56. More about me
Pablo Domingo
@pavleras
Becomingagile.wordpress.com