The document discusses the principles of Lean IT and its importance in transforming organizations to become more agile. It addresses common misconceptions about Lean, emphasizing that it focuses on delivering customer value while minimizing waste and improving efficiencies. The content also outlines practical strategies for measuring performance, leading with respect, and fostering a continuous improvement culture through methodologies like Kaizen.

1. Introduction to Lean IT
Agile Tour London
Philippe Guenet | Oct. 2017

2. Philippe Guenet
>20 years in delivery of digital systems
Consulting for large corporates, banks, financial services, telecoms, retail
Mix of senior architect, delivery leadership roles, lean-agile transformation
Working as independent to “upgrade management”
Use of Lean and Lean IT to accelerate transformation to agility
Quick Intro
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3. Before talking about Lean IT, let’s challenge some
misconceptions about Lean
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4. Misconceptions about Lean
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“Lean is only about a
repeatable process like
stamping cars on a
production line…”

5. 09/07/2018 @HenkoPhil 5
“I know all about Lean, I
am black belt…”
Misconceptions about Lean

6. Misconceptions about Lean
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“Lean is purely about
processes and system
thinking, not about
people”

7. Misconceptions about Lean
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“Lean is about cost cutting
and reducing staff from
automation…”
P45

8. The reality about Lean
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Lean is about providing the most value from the
customers’ perspective, whilst consuming the
fewest resources and utilising the talents
of the people who do the work.

9. Lean is not just for manufacturing
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“ The main difference
between Service and
Manufacturing is the
Service department doesn’t
know that they have a
product.”
W. Edwards Deming

10. The Toyota Production System (TPS)
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TPS emerged from
scarcity of materials
TPS enabled delivery
of variety to customers
IT has constraints
of Time & Talents
IT addresses
tailored needs
In IT
In IT

11. Customer
Value
§ Customer value at the
centre
§ Align the organisation to
add value
§ Continuous flow with JIT,
level peak & troughs
§ Demand drives production,
single piece flow
§ Focus on quality, prevent
defects, continuously
improve
Lean Principles
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Value
Stream
Flow
Pull
Perfection

12. § Lean principles in context of
knowledge work of IT
§ Centred on Customers
needs
§ Aligning the value processes
of the enterprise
§ Measuring what matters
§ Most importantly
Organisation + people’s
Behaviours and Attitudes
Lean IT
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Source: Lean IT Association (LITA)
Quint Wellington Redwood

13. Struggles of Agile in the Enterprise
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14. Lean IT and Agile
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Lean IT
Stabilisation of estate
Flow of work
Removal of waste
Tech debt reduction
Removal of bottleneck
Organisation alignment
Agility
Experimentation
Customer feedback loop
Technology
transformation
Product Management
Pace of change &
innovation

15. Complementarity of Lean IT & Agile
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State of
agility
Lean Journey
Processes
Customers
Performance
Organisation
Kaizen
Behaviours and Attitudes
Leadership

16. § Who is the Customer?
§ Voice of the Customer
§ Other “Voices” – business / processes / compliance
§ Requirements + Wish List è Critical to Quality (CtQ)
§ Prioritisation attributes è Metrics
Lean IT > Recognising value
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Source: Lean IT Association (LITA)
Quint Wellington Redwood

17. § Boundaries of a process è SIPOC (supplier, input, process, output,
customer)
§ Value Stream Mapping (VSM)
Lean IT > Aligning the Enterprise using VSM
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Step 1 Step 2 Step 3 Step 4
10 20 30 20
15 25 50 15
50 100 30
Standard time
Cycle time
Waiting time
PCE =
! VA time
! Time
= 36%
§ Improve – 5 S / Heijunka / Waste reduction / ToC
Source: Lean IT Association (LITA)
Quint Wellington Redwood

18. Waste is all the activities that the customer would not want to pay for
if he/she had lenses into the company processes
Lean IT > Reducing Waste from IT & Business
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Value-Add
Necessary Non-
Value Add
Non-Value-Add
Optimise
Minimise
Remove
Variability (Mura)
Overburden (Muri)
Waste (Muda)
Source: Lean IT Association (LITA)
Quint Wellington Redwood

19. Establishing a minimum useful set of KPIs to guide us
Lean IT > Measuring Performance
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KPI: ….
Goal Category (eg. Quality/ time / etc)
Definition Level at which used / roll-up
Formula Data collection
Unit of measurement Measurement accuracy
Frequency of reporting
Issues / risk of gaming
KPI owner
Source: Lean IT Association (LITA)
Quint Wellington Redwood

20. Gemba
by Fujio Cho (Chairman of Toyota)
§ Go See
§ Ask Why
§ Respect People
Lean IT > Leading with Respect
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Source: Lean IT Association (LITA)
Quint Wellington Redwood

21. § Kai Zen – Change for the Better
§ Structure techniques for driving Continuous Improvements
– Kaizen culture & Kaizen events
– Techniques for root-cause analysis
Lean IT > Developing Kaizen Culture
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Deming PDCA 5 Whys DMAIC
1. Define
2. Measure
3. Analyse
4. Improve
5. Control
Used in Kaizen Events
Fishbone diagram
A3 thinking

22. Know
Know and
apply
Implement,
strategise,
mobilise
How to learn more: Lean IT Curriculum
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FoundationPractitionerProfessional
Lean IT Foundation
Lean IT Kaizen
Lean IT
Coach
Lean IT
Leadership
Source: Lean IT Association (LITA)
Quint Wellington Redwood

23. § Foundational knowledge
§ Structured approach to Lean in IT
§ Methods and techniques to:
– Guide decisions with customers at the centre
– Align enterprise value chain to this
– Reduce waste
– Measure effectively
– Set a Kaizen / Continuous improvement mindset
– Drive the change from a Lean Leadership approach
What Lean IT taught me
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24. Find out more, get involved
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@HenkoPhil Aiming soon to offer Lean IT Foundation course
in the UK. Please stay tuned! Also:
http://www.linkedin.com/in/philippeguenet/
First meet up on 22nd November 2017 with Mike
Burrows and Karl Scotland @ CodeNode
Register at:
https://www.meetup.com/DigitalLeadership
Digital Leadership
http://www.leanitassociation.com/

25. Thank you
Philippe Guenet
pguenet@henko.co.uk
+44 (0) 7798 623 007
@HenkoPhil
www.linkedin.com/in/philippeguenet/
Sources
Lean IT Association (LITA)
Quint Wellington Redwood