More Related Content
What's hot
What's hot (20)
Similar to Software Supply Chain
Similar to Software Supply Chain (20)
Recently uploaded
Recently uploaded (20)
Software Supply Chain
- 1. 150 Years of Work A Rose By Any Other Name …
- 3. Production
- 4. Production
- 13. Supply Chain Logistics Operations Production Putting It All Together Principles 1. Integration 2. Visibility 3. Traceability 4. Intelligence Activities 1. Plan 2. Source 3. Build 4. Deliver 5. Return
- 15. Operations Principles: 1. Automation 2. Utilization 3. Speed Logistics Principles: 1. Flexibility 2. Resilience 3. Reliability Supply Chain Principles: 1. Integration 2. Visibility 3. Traceability 4. Intelligence
- 17. Part Two DevOps
- 18. Development
- 20. Part 2: DevOps
- 22. PLAN SOURCE DISTRIBUTE RETURN “Software Supply Chain” Supply Chain Delivery Operations Development
- 24. Supply Chain Delivery Operations Development Putting it altogether Operations Principles: 1. Automation 2. Utilization 3. Speed Logistics Principles: 1. Flexibility 2. Resilience 3. Reliability Supply Chain Principles: 1. Integration 2. Visibility 3. Traceability 4. Intelligence
- 29. “I confess that P&G believed the myth … the somewhat delusional thought that digital is different and that [by ignoring classic principles] we were getting ahead of the digital curve” Mark Pritchard, P&G Chief Brand Officer January 30th, 2017
- 30. Takeaways: 1.How we think about software delivery 2.How we think about our business 3.How we talk about our product
Editor's Notes
- WHY: HOW:
- Production – the machinist, the consummate craftsman
- Production – Scaling the Machinist
- Operations – The birth of Management Consulting (McKinsez, Booz Allen, Bain & Company) Historically Taylorism & Scientific Management : scientific study of productivity and identifying how to coordinate different tasks to eliminate wasting of time and increase the quality of work Accurately measuring the steps in tasks Work sampling – determine and measure the random variables in tasks Some good – that workers should have more frequent breaks to recover from fatigue. argued against cutting wages Recognized that morale and attitude were important in achieving efficiency. Lots of bad: Contemptuous of the worker. Believed that the natural state of the worker was to perform at the lowest rate that goes unpunished. Forced division of labor Trades divested of craftsmanship NO OWNERSHIP AND ACCOUNTABILITY – not delivering actual business value. Command and Control management strategy – everything that happens on the factory floor is connected to the business only through managers Modern management theory is a direct descendant of Taylor and Scientific Management – Gantt, Ben Graham,
- Operations : physical transformations taking place in a single business location “designing and controlling the process of production and redesigning business operations in the production of goods or services” Principles: Automation Utilization Speed Quality * Not a lot of automation going on this picture
- Post-war : Logistics : AUTOMATION + INTEGRATION + INFORMATION Came out of World War II, based on a a military discipline of the same name Involves things like : Distribution and Transportation management Ordering and Inventory management Logistics = plans, implements, and controls the efficiency movement and storage of goods, services, and information from the point of use or consumption to meet customer requirements. IT’S A COST.
- 1980s Explosion in literature confronting issues in the current factory Directly related to reduction of trade barriers and globalization THE GOAL = Theory of Constraints, very focused on the Factory (doesn’t actually talk about the rest of the activities) TPS = Just-in-time Manufacturing, slightly broarder focus It become absolutely necessary to start talking about the supply chain because organizations began depending on each other. Story of how Toyota had to send its people out to all its suppliers in order to enable them on Just-In-Time Production. Supply chain issues change from being a costs issue to being a strategic differentiator : if we can free up capital locked in the supply chain, we can use it to innovate further on the supply chain
- On the left – Theory of Constraints - Product/Operations Efficiency On the right – Lean – Logistics Efficiency BREAKDOWN OF TAYLORISM Really focused on the Operations of the company, but in doing so, drew attention to the Logistics as well
- It become important to manage not only what was happening in the factory, but also how things got into the factory and how things get there. Principles Integration Resilience Reliability Flexibility
- Supply Chain vs. Supply Chain Management What is Supply Chain then? Supply Chain = a web of organizations, people, activities, information, and resources involved in planning, moving or storing a product or service to a customer. It brings activities that have historically been separate functions that coordinated within themselves under one house, and then integrates them Supply Chain Activities Plan Source Build Deliver Return Supply Chain Management : Coordination of all these things – Strategy, Collaboration & Integration, Process Review, Technology Efficiencies. Its applying systems thinking and a strategic approach to managing all the activities taking place in across the supply chain. The goal of supply chain management is to achieve integration in order to allow the business to leverage the activities as a competitive advantage in bringing value to customers, rather than being a cost centre. (SCOR MODEL) GOAL IS INTEGRATION Plan: Planning and Forecasting, New Product Introduction, Risk/Security Management Order Management, Transportation Management Customer Support Distribution Management Inventory Management Information Management Manufacturing/Production Material Handling Order Engineering (ETO) People Management (Incl. Training) Product Life Cycle Management Purchasing Reverse Logistics Sustainable Supply Chain Management Warehousing
- Lean ??? Profit (Value) Supply Chain Management = Ensuring we are building the right things. People would figure out how to Built Things Right, but were finding that their transformations were still not successful – didn’t see the bigger picture.
- ABOVE SUPPLY CHAIN -> VALUE CHAIN – Multiple supply chains compose a supply chain. Explain the principles (theoretical) Integration – biggest impediment to digital supply chains is siloed information in disparate systems that needs to be surfaced for consumption. A company that is leveraging its supply chain properly to deliver products is Integrated. Cannot do this without integration. Visibility - understand the context of the demand (what needs to be filled, when, where, priority, etc.) and match supply in the most profitable manner Utilization - fully make visible all the available assets, their current utilization, effective run rate, and availability to process additional work content Resilience – be able to recover quickly from difficulties Reliability – be consistent Speed - Responsiveness – adapt quickly to change
- Companies with Supply Chain Competency
- THIS PICTURE IS INADEQUATE TO DESCRIBE ALL THE ISSUES HERE. Explain the principles (practical) Integration – Before SCM, each of these steps would have managed themselves. Visibility – Before SCM, it would be very difficult to answer questions about timing, segmentation, ordering Traceability – Being able to identify which batch of goods a particular defect came from. But its much, much more than that – could be to do with regulation - eco friendly products, for example - or optimization, Utilization – how do much sure that we are using our resources at capacity. No under- over- utilizations Resliance – how do we make sure that when parts of the system get stressed we can keep going Reliability – how do we make sure operations are progressing in step / synchronized Flexibility– how to we ensure that the entire system (not just the factory) can adapt to changes in the products, in demand, markets or economies. Role of ERP in the supply chain.
- AUTOMATION & INFORMATION & INTEGRATION Actually, this picture for me emphasizes that the issues relating to the products have been pushed out into the surrounding activities. Automation is purely a functional / technical issue Integration is a business issue - its connecting it all together.
- The story of Digital is quite different from the story of Manufacturing, not as dramatic, no anti-heroes like Taylor, but the problems are clearly the same: Silos An antiquated system that doesn’t support the needs of the new market 2) Poor communication and collaboration 3) Disconnected, disparate processes 4) Lack visibility into the work 5) Inconsistent and arbitrary Metrics
- This is a Developer – the consummate craftsman
- These describe deployment / release / CI / CD pipelines Happens all the time where DevOps is represented to us as the beginning and the end of software delivery Depictions either go round and round with no end. or start and end with something called “The Business” Well, what is ”The Business”?
- On the left you have the Theory of Constraints, On the right you have Lean BREAKDOWN OF NEO-TAYLORISM Obviously this doesn’t tell the whole story about how software is actually deliverd
- Management : Integration, Strategy PLAN: Demand management, prioritization, etc. - release orchestration stuff. SOURCING: e.g. Sonatype, BlackDuck and other “components” related items. DISTRIBUTE: includes Go-To-Market: Marketing & Lead Generation, Inside Sales, Field Sales & Customer Success (training, nurturing, up/cross selling) RETURN: customer service, helpdesk, defect management,
- TRANSFORMATION LEADERSHIP CANNOT IGNORE VALUE CHAIN ISSUES, namely Integration and the Iron Triangle. If you understand the role that Integration has in Supply Chain, then its plain and obvious that DevOps will not scale without integration. DevOps is about Automation – building things right - You can’t do DevOps without Automation Supply Chain is about Integration – building the right things - You can’t do Software Supply Chain without Integration.
- Integration – biggest impediment to digital supply chains is siloed information in disparate systems that needs to be surfaced for consumption Visibility - understand the context of the demand (what needs to be filled, when, where, priority, etc.) and match supply in the most profitable manner Utilization - fully make visible all the available assets, their current utilization, effective run rate, and availability to process additional work content Resilience – be able to recover quickly from difficulties Reliability – be consistent Speed - Responsiveness – adapt quickly to change
- With software defined processes, if you were to map all the cross-functional activities in an organization, there would be a tool at every step. So in the software supply chain integration means making those connections between tools.
- Partner Finance ”Performance Wall” at Barclays.
- Supply Chain Control Tower by a company called Jabil - one of those gigantic 20 billion $ companies with 200k employees that that no ones ever heard of.
- P&G Business Sphere Tech stack – Cisco, HP, SAP, Nielsen, and TIBCO
- P&E – world’s biggest advertiser media supply chain - it’s the use of agencies, media suppliers and markteting tools to produce marketing and advertising. Non-transparent media supply chain where they can’t actually see the effects of their advertising Cleaning up the Media Supply Chain One standard for measurement (traceability) Third party measurement verification (reliability) Transparent Contracts (visibility)
- Some things to think about – What are the supply chain activities that surround software delivery, how do we model these? How do we avoid a sort of neo-taylorism