Kanban provides an evolutionary approach to continuous improvement. This slide set, explains what Kanban is and how it can help you to improve step by step.

1. Kanban for business
Andrew Rusling
Agile Coach
@andrewrusling

2. Administration
• Fire escape
• Toilets
• Breaks – Short (no checking work e-mails)
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3. Key Competency to be gained
Understand Kanban and if it is right for your team
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4. Competencies to be gained
By the end of this session, I am hopeful that you will be able to:
1. Summarise the Theory of Constraints
2. Summarise the Kanban Method
3. Summarise how the Kanban Method differs from Lean
4. Summarise how the Kanban Method builds upon TOC
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5. Location Game

6. Writing a location name
• How long will it take to write out a location name?
• How long will it take to write out FIVE location names?
• What will affect this time?
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7. Customers, you need to
• Tell developer your favourite one word holiday destination.
• Ensure it is spelt correctly. NOTE: Your spelling is correct.
• Track start and finish time, on the card.
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Start: xx Finish: yy
Fraser

8. Round 1 - Developers
Our company always keeps our customers happy.
“The sooner we start, the sooner we finish!”
Our best practice
• Start all projects as soon as requested.
• Write one letter for the first project, then first letter of the next location
and so on.
• Return projects as soon as complete.
• Fix mistakes as soon as identified.
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9. How did it go?
What affected the timing?
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10. Round 2 - Developers, a new approach
Switch company’s.
“The sooner we finish, the sooner we finish”
Our new best practice
• Start one project at a time.
• Write locations one letter at a time.
• Return projects as soon as complete.
• Fix mistakes as soon as identified.
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11. How did it go?
• What affected the timing?
• How did the developers feel from round to round?
• How did the customers feel from round to round?
• Any thoughts on “starting early, to finish early”?
• What information did we have 10 seconds into round one?
• What causes us to behave like round one?
• Does anyone benefit in round one?
• How can we apply this to our work?
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12. Theory of Constraints

13. Theory of Constraints (TOC)
"a chain is no stronger than its weakest link“
Improving strong links does not strength the chain
Instead strengthen the weakest link
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14. Explaining bottlenecks 14
Three bottle oiled wheels demonstration
https://www.flickr.com/photos/abstractlight/

15. TOC – Five Focusing Steps
1. Identify the constraint
2. Exploit the constraint
3. Subordinate all else to the above decisions
4. Elevate the constraint
5. Repeat
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Get the most out of the constraint,
with only minor changes.
Major changes to the constraint,
Including increasing capacity.

16. Exercise - Applying TOC
We are going to
1. Map team workflow to Task
Board
2. Populate the board
3. Run the system
4. Use TOC to manage flow
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Hypothetical Product Owner team:
• Six people
• Decide product strategies
• Perform Business Analysis
• Contribute to co. standards
• Work on projects
• Work on BAU

17. TOC – Identify the constraint
Constraint: The resource or policy that prevents the organization from
obtaining more of the goal.
Symptoms
• Work piles up waiting to be processed by the constraint.
• Resources downstream from constraint are regularly idle.
• Resource is heavily stressed.
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18. TOC – Exploit the constraint
How do we get the most capacity out of the constrained process?
Some options
• Shield the team from interruptions.
• Limit their WIP.
• Reduce the non value add work that they do (i.e. reports).
Note: Do not ask them to do overtime.
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19. TOC – Subordinate all else
Align the whole system or organization to support the decisions made
above.
Some options
• Limit the WIP of upstream teams to match the constraint.
• Get upstream teams to do prep work to make the job of the constraint
easier.
• Focus upstream teams on improving their quality.
• Pair upstream with downstream team members, heading to cross
functional teams.
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20. TOC – Elevate the constraint
Make other major changes needed to break the constraint.
A.k.a. Enhance the capability of the constraint to increases its throughput
further.
Some options
• Improve their tools
• Improve their environment
• Improve their team work
• Hire more people
Why do we not do this first?
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21. TOC - Repeat
The bottleneck should now have shifted.
Start all over again
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22. Summary - Theory of Constraints (TOC)
1. Identify the constraint
2. Exploit the constraint
3. Subordinate all else
4. Elevate the constraint
5. Repeat
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https://www.flickr.com/photos/abstractlight/

23. Kanban Method

24. Kanban
Scrum is an agile methodology
Kanban is a lean, process improvement framework
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25. Kanban Method = Kanban
Kanban is:
• an approach for evolutionary change
• a meta – methodology
• a process improvement framework
Kanban comes from:
• Systems Thinking
• Lean
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26. Kanban Method - Principles
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1. Start with what you do now
2. Agree to pursue evolutionary change
3. Initially, respect current processes, roles, responsibilities and job titles
4. Encourage acts of leadership at all levels of the organisation

27. Kanban Method – Practices
1. Visualise the workflow
2. Limit the work in progress
3. Manage flow
4. Make policies explicit
5. Implement feedback loops
6. Improve collaboratively,
evolve experimentally
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Do steps 1..3 sound familiar?

28. Push < Pull < Flow 28
1. Visual the workflow
2. Limit the WIP
3. Manage Flow
4. Make Policies Explicit
5. Implement feedback loops
6. Improve collaboratively,
evolve experimentally
Visualise we are in Push
Move to Pull
Head towards Flow

29. Visual the workflow 29
Backlog Selected In Progress Ready for
Review
Review Done

30. Little’s Law – why we limit WIP
In a stable system (we only start new work, when we finish an item)
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Avg. Lead Time =
Work In Progress (WIP)
Avg. Delivery Rate
Example
• Work in progress = 10
• Average Deliver Rate = 2/day
• Average Lead Time = 5
Avg. Lead Time =
Q: What should we do to reduce Lead Time?
10
2 / day
A: Reduce WIP
Initially this is easier then getting better at what we do

31. One way to limit WIP 31
(3) (2) (2)
Backlog Selected In Progress Ready for
Review
Review Done

32. Manage Flow 32
Q: After we have reduced WIP,
what should we do to reduce Lead Time?
A: Increase Delivery Rate, by removing waste.

33. Make policies explicit
Clear, Public and Visible
Some possible policies:
• Cadence (Replenishment, Planning, Release)
• Definition of Ready, Definition of Done
• Classes of service
• Standard
• Expedite
• Fixed Delivery Date
• Intangible
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34. Implement feedback loops
Product Quality
• Pairing
• Reviews
Process
• Retrospectives
Track Metrics
• Revenue per employee
• Customer Satisfaction
• Cumulative Flow
• Cycle time
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35. 35 Cumulative Flow Chart

36. Cycle Time Chart 36
Cycle Time (days)
Date started

37. Improve collaboratively
• Management driven improvements will always be limited
• Front line workers are best placed to improve the system
• A collaborative approach is best
Often done via:
• Daily walking the wall
• Regular Ideas meetings
• Regular Retrospectives
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38. 38
Evolve experimentally
Avoid change without measuring
(it is like walking around in the dark)
Avoid change without a target
Try Plan, Do, Check, Act
Try Kanban Canvas
Plan
Act Do
Check

39. Summary - Kanban 39
1. Visualise the workflow
2. Limit the WIP
3. Manage flow
4. Explicit policies
5. Feedback loops
6. Improve

40. Next Steps

41. Possible Next Steps
1. Discuss lean and its principles with your team
2. Discuss adopting Kanban with your team
• You can ask the Agile Coach for assistance
• Talk to other teams that are using Kanban
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42. Wrap up

43. Location game 43
0 10 20 30 40 50 60
(sec)
A
B
C
D
E
A
B
C
D
E
Stop Multitasking
Stop starting, start finishing

44. Summary - Theory of Constraints (TOC)
1. Identify the constraint
2. Exploit the constraint
3. Subordinate all else
4. Elevate the constraint
5. Repeat
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https://www.flickr.com/photos/abstractlight/

45. Summary - Kanban 45
1. Visualise the workflow
2. Limit the WIP
3. Manage flow
4. Explicit policies
5. Feedback loops
6. Improve

46. Competencies
I am hopeful that you now can:
1. Summarise the Theory of Constraints
2. Summarise the Kanban Method
3. Summarise how the Kanban Method differs from Lean
4. Summarise how the Kanban Method builds upon TOC
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47. Time to share
1 - 3
Key Learning Points
One person at a time
Your answers don’t have to
be unique
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https://www.flickr.com/photos/kellysue/

48. Some links to more information
• Theory of Constraints in action
• Overcoming delays due to variability, complexity, bottlenecks and
constraints
• Kanban Canvas – Thinking in a kanban way
• Classes of service
• Visual notes from the book ‘Kanban’
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49. Recommended Books 49

50. 50
Thank you