MA Orzen Lean I.T. - From Theory to Practice - Pink '12
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ITSM Conference Lean IT Presentation - Las Vegas, NV 2/20/12
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MA Orzen Lean I.T. - From Theory to Practice - Pink '12
- 1. Mike Orzen, CMA, CFPIM, PMP www.maorzen.com February 20, 2012 Session # 409B © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved.
- 2. Mike Orzen, CMA, CFPIM, PMP • Accountant/Financial Analyst/IT • IT project manager, systems analyst, QA, developer • ERP PM – SAP, Oracle • Business Reengineering (Lean, Six Sigma, TOC) • Plant Manager/Lean transformation Shingo Prize 2011 • Lean Coach, Instructor and Consultant • Lean Enterprise Institute Faculty • The Shingo Prize Assessor & Adjunct Professor © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 2
- 3. What Is The Problem We’re Trying to Solve? Keeping up with complexity and growth How to effectively engage the business Addressing constraints – time, $, people, regulations Driving sustained improvements Transforming our culture >>>> Do things more efficiently and effectively! © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 3
- 4. The Current State = The Challenge Most companies spend 60 - 80% of their IT operating budget on keeping systems running (KLO), not improvement and innovation. * Includes $, mindshare, energy © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 4
- 5. Deal With It… Endless “firefighting” (unplanned work) Juggling conflicting priorities & changing system requirements Constraints – time, $, people, regulations So what do we do? © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 5
- 6. Doing the Same Thing, Expecting… Complexity Short-lived Improvements Growth Current Culture Constraints ~70-80% KLO Firefighting Technical Debt Current State of Your IT Operations © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 6
- 7. Consider this… Lean IT is about flowing value to customers and end users while not creating additional technical debt. But how? © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 7
- 8. Defining Lean IT Engaging people, improving process, leveraging technology Integrate and synchronize IT with the business Enabling the flow of value to the partner/customer Provide quality information and applications Driven through principles, systems and tools-based behavior © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 8
- 9. Contrasting the 8 Wastes Manufacturing IT Over processing Extra processes Over production Extra features Defects Defects Over engineering Overly complex Inventory Partially completed work Transportation Task switching Waiting Waiting Motion Motion Adapted from Lean Software Development, Poppendieck 9 © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved.
- 10. A Vicious Cycle So how do you break the cycle? © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 10
- 11. A3 Thinking Reinforces a routine problem solving method (kata) Getting people to think methodically and take initiative Thinking using the scientific method: hypothesis, design experiment, test, assess results, next step based on the evidence Root cause analysis Embracing failure! © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 11
- 12. Value Streams All the actions, both value-creating and non-value- creating, required to bring a product from concept to launch and from order to delivery. These include actions to process information from the customer and actions to transform the products on its way to the customer. LEI Lean Lexicon © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 12
- 13. Management IT Value Streams Supply Customer Relations Support the Product & Operations Service Entire Information & Development Enterprise Information Systems Lean IT: Enabling and Sustaining Your Lean Enterprise, Bell/Orzen © 2010 © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 13
- 14. The Objective of Lean IT Effectively manage separate vertical technologies, assets and departments while optimizing the horizontal flow of information and services along entire value streams to partners, customers and end users © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 14
- 15. Late and Faulty New User Request Fulfillment Theory Application Grasp the current state Gathered data and analyzed CS ID pain points RCA ID the target state Immediate countermeasures PDCA Mid-range countermeasures On-going measurement © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 15
- 16. A3 © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 16
- 17. Late and Faulty New User Request Fulfillment From To Avg. cycle time = 4.5 days 4.25 hours Over 20 ways to do the work 3 standard processes No documented work processes Standard work maintained and updated © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 17
- 18. Erratic Service Desk Performance Theory Application NVA VSM to understand Flow Discovered myriad issues PDCA Prioritized Executed © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 18
- 19. Value Stream Map © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 19
- 20. Erratic Service Desk Performance From To Avg. call wait time = 2.5 45 seconds minutes Call abandonment rate = 38% 5% Call duration experience 6.25 minutes = 9.6 minutes © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 20
- 21. DBA admin costs grow as routine maintenance overwhelms staff Theory Application Remove NVA VSM revealed process redundancies and opps Standardize Work Automated standard processes Visual Management Outsourced routine processes Made key metrics visible © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 21
- 22. DBA admin costs grow as routine maintenance overwhelms staff From To DBA admin costs growing 17%/year 5% DBA admin cost growth for the past 2 years 0 standard processes automated 55% automation, checklists 0 visibility of key metrics* 100% visibility * DBA admin costs as a % of total IT ops spend, # standard processes automated, DB stability, DBA backlog © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 22
- 23. Late and Faulty Server Deployment Theory Application Stabilize Gathered data and analyzed CS Streamline RCA Standardize Immediate countermeasures Sustain Mid-range counter measures On-going measurement © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 23
- 24. Late and Faulty Server Deployment From To Avg. time = 10 days 3 days Avg. exceptions* at deployment = 5 .35 Customer sat = 31% 85% * Wrong platform, configuration, app requirements, drive arrays, licenses, etc. © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 24
- 25. Next Steps Acknowledge that the only lasting solutions are built on a fundamental shift in behavior and thinking The best time to begin in now! © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 25
- 26. mike@maorzen.com www.maorzen.com LinkedIn: mikeorzen Twitter: @MikeOrzenLeanIT 503.313.0023 © Copyright 2012 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved. 26
Editor's Notes
- Check in – how many people experience this? So how to we break the cycle?
- Only effective problem solving by those closest to the work will get you to a new level of performance! People need to know A3 thinking.
- Examples, key metrics
- Examples, key metrics
- Download this checklist to make server deployments go smoothlyDate: February 17th, 2010Author: Erik EckelOne configuration error or overlooked step can send your server deployment off a cliff. This simple checklist will help you complete the process efficiently and avoid costly mistakes.--------------------------------------------------------------------------------Server deployments and migrations can go bad in a hurry. Choose the wrong platform or configuration and you could find yourself with an incompatible setup. That can be an expensive mistake, in terms of both the time and capital required to repair the error. Deploying a new server is no time to discover that a client or department runs a critical application requiring a 32-bit OS. Nor is deploy day a good time to learn the box doesn’t have the necessary spindles, drive arrays, or licenses required to meet application or business requirements.Even if you get the server configuration correct, there’s no guarantee you won’t overlook a key step, like properly configuring DHCP, testing a new backup routine, or installing and configuring antivirus software. There’s simply too much to remember. You can’t commit it all to memory!Data CenterDownload this checklist to make server deployments go smoothly1CommentsTweet0Like StumbleUponSubmit 0 more + Email Print Add to FavoritesDel.icio.usDigg Hacker News LinkedInReddit TechnoratiBy Erik EckelFebruary 17, 2010, 9:31 AM PSTTakeaway: One configuration error or overlooked step can send your server deployment off a cliff. This simple checklist will help you complete the process efficiently and avoid costly mistakes.Server deployments and migrations can go bad in a hurry. Choose the wrong platform or configuration and you could find yourself with an incompatible setup. That can be an expensive mistake, in terms of both the time and capital required to repair the error. Deploying a new server is no time to discover that a client or department runs a critical application requiring a 32-bit OS. Nor is deploy day a good time to learn the box doesn’t have the necessary spindles, drive arrays, or licenses required to meet application or business requirements.Even if you get the server configuration correct, there’s no guarantee you won’t overlook a key step, like properly configuring DHCP, testing a new backup routine, or installing and configuring antivirus software. There’s simply too much to remember. You can’t commit it all to memory.Like New York Times bestselling author AtulGawande (author ofThe Checklist Manifesto), I’m a believer in the power of checklists. As Gawande points out, checklists need not be overwhelming, terribly complicated, or extensive to prove helpful. In fact, the best checklists are often quick, concise reminders of simple but critical steps.The Server Deployment/Migration Checklist is designed to provide IT consultants, systems engineers, and network administrators with a single-page document to help ensure that a new server is configured correctly and properly deployed or migrated.At the top of the list are several items in bold. They must be considered before placing an order for a new system. By reviewing bold items before ordering a new machine, you’ll eliminate many potential surprises and avoid many incompatibilities.For example, take the first step: 32- v. 64-bit OS / App Requirements. I recently spent three or four hours simply reviewing whether a client’s many essential business applications necessitated deploying a 32-bit operating system on a replacement server. In fact, that proved to be the case (two of five vendors stated that their software was supported only on a 32-bit server OS). Thus, my office was able to avoid having to return the system to the shop to wipe the intended 64-bit OS off the box in favor of the 32-bit alternative.The remaining items on the checklist provide space to log any special requirements or notes and to record critical documentation as a new server is deployed.Checklists are surprisingly powerful. By checking off deployment steps as they’re completed, you can see at a glance whether any critical actions remain. Despite interruptions, unplanned problems, and inevitable glitches, it’s easy to keep track of what steps have been completed and which remain. Follow the checklist, and it will be hard to overlook important steps, such as testing backup operations, enabling custom disk quotas, and configuring battery backup software.Using the checklist doesn’t mean a server deployment or migration will complete more quickly — but it will help you complete the process effectively and efficiently. Download the Server Deployment/Migration Checklist and let me know if you don’t agree it helps simplify an otherwise complex project.
- Download this checklist to make server deployments go smoothlyDate: February 17th, 2010Author: Erik EckelOne configuration error or overlooked step can send your server deployment off a cliff. This simple checklist will help you complete the process efficiently and avoid costly mistakes.--------------------------------------------------------------------------------Server deployments and migrations can go bad in a hurry. Choose the wrong platform or configuration and you could find yourself with an incompatible setup. That can be an expensive mistake, in terms of both the time and capital required to repair the error. Deploying a new server is no time to discover that a client or department runs a critical application requiring a 32-bit OS. Nor is deploy day a good time to learn the box doesn’t have the necessary spindles, drive arrays, or licenses required to meet application or business requirements.Even if you get the server configuration correct, there’s no guarantee you won’t overlook a key step, like properly configuring DHCP, testing a new backup routine, or installing and configuring antivirus software. There’s simply too much to remember. You can’t commit it all to memory!Data CenterDownload this checklist to make server deployments go smoothly1CommentsTweet0Like StumbleUponSubmit 0 more + Email Print Add to FavoritesDel.icio.usDigg Hacker News LinkedInReddit TechnoratiBy Erik EckelFebruary 17, 2010, 9:31 AM PSTTakeaway: One configuration error or overlooked step can send your server deployment off a cliff. This simple checklist will help you complete the process efficiently and avoid costly mistakes.Server deployments and migrations can go bad in a hurry. Choose the wrong platform or configuration and you could find yourself with an incompatible setup. That can be an expensive mistake, in terms of both the time and capital required to repair the error. Deploying a new server is no time to discover that a client or department runs a critical application requiring a 32-bit OS. Nor is deploy day a good time to learn the box doesn’t have the necessary spindles, drive arrays, or licenses required to meet application or business requirements.Even if you get the server configuration correct, there’s no guarantee you won’t overlook a key step, like properly configuring DHCP, testing a new backup routine, or installing and configuring antivirus software. There’s simply too much to remember. You can’t commit it all to memory.Like New York Times bestselling author AtulGawande (author ofThe Checklist Manifesto), I’m a believer in the power of checklists. As Gawande points out, checklists need not be overwhelming, terribly complicated, or extensive to prove helpful. In fact, the best checklists are often quick, concise reminders of simple but critical steps.The Server Deployment/Migration Checklist is designed to provide IT consultants, systems engineers, and network administrators with a single-page document to help ensure that a new server is configured correctly and properly deployed or migrated.At the top of the list are several items in bold. They must be considered before placing an order for a new system. By reviewing bold items before ordering a new machine, you’ll eliminate many potential surprises and avoid many incompatibilities.For example, take the first step: 32- v. 64-bit OS / App Requirements. I recently spent three or four hours simply reviewing whether a client’s many essential business applications necessitated deploying a 32-bit operating system on a replacement server. In fact, that proved to be the case (two of five vendors stated that their software was supported only on a 32-bit server OS). Thus, my office was able to avoid having to return the system to the shop to wipe the intended 64-bit OS off the box in favor of the 32-bit alternative.The remaining items on the checklist provide space to log any special requirements or notes and to record critical documentation as a new server is deployed.Checklists are surprisingly powerful. By checking off deployment steps as they’re completed, you can see at a glance whether any critical actions remain. Despite interruptions, unplanned problems, and inevitable glitches, it’s easy to keep track of what steps have been completed and which remain. Follow the checklist, and it will be hard to overlook important steps, such as testing backup operations, enabling custom disk quotas, and configuring battery backup software.Using the checklist doesn’t mean a server deployment or migration will complete more quickly — but it will help you complete the process effectively and efficiently. Download the Server Deployment/Migration Checklist and let me know if you don’t agree it helps simplify an otherwise complex project.