Stop Using Projects to Make Products
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A project is: ""a set of interrelated tasks to be executed over a fixed period and within certain cost and other limitations."" — BusinessDictionary.com. Retrieved 2016-04-19. The problem: Product development cannot be constrained to ""certain cost"" and products do not have a prescribed end date. So, why all the projects? I teach Scrum, Kanban, and Agile Engineering Principles and Practices – these are process frameworks used to manage complex product development. I find it so interesting that: * ~55% of the people in my classes are ""Project Managers"" * ~90% work daily in ""project teams"" and * ~0% are ready to let go of Project Charters!? David Sabine
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Stop Using Projects to Make Products
- 1. STOP USING PROJECTS TO MAKE PRODUCTS
- 4. ABOUT ME 1974: Saskatchewan 1993: Internet! 2001: “20/20 Realtor” 2002: “20/20 Auto Gallery” 2006: Alberta 2012: Toronto 2014: New York 2018: London, Ontario Multi-m$ Products Multi-b$ Product companies Cloud, Banking, Insurance, Retail, Government
- 7. COLOSSAL ERRORS TEND TO ESCAPE NOTICE.Gall, John. The Systems Bible: the Beginner's Guide to Systems Large and Small: Being the Third Edition of Systemantics. General Systemantics Press, 2014.
- 8. LARGE AMOUNTS OF POOR DATA TEND TO PREEMPT ANY AMOUNT OF GOOD DATA. Gall, John. The Systems Bible: the Beginner's Guide to Systems Large and Small: Being the Third Edition of Systemantics. General Systemantics Press, 2014.
- 9. STANDISH GROUP | CHAOS REPORT: 2009 – 2019 SIZE METHOD SUCCESSFUL CHALLENGED FAILED Large IID 18% 59% 23% SDLC 3% 55% 42% Medium IID 27% 62% 11% SDLC 7% 68% 25% Small IID 58% 38% 4% SDLC 44% 45% 11% Source: Standish Group, Chaos Studies 2013–2017
- 11. EVEN NASA 1977 Pre: dod-std-2167 (1985)
- 12. SIR W. ROYCE • “Managing the Development of Large Software Systems”, August 1970 • Credited with coining the term ‘Waterfall’ • “risky and invites failure” • prone to “cost overruns” • Bottom line: DON’T DO IT
- 14. THE CRUCIAL VARIABLES ARE DISCOVERED BY ACCIDENT. Gall, John. The Systems Bible: the Beginner's Guide to Systems Large and Small: Being the Third Edition of Systemantics. General Systemantics Press, 2014.
- 15. WHAT WORKS? At Team Level Magnification
- 16. PATTERNS THAT WORK 90% Daily stand-up 88% Sprint/iteration planning 85% Retrospectives 80% Sprint/iteration review 69% Short iterations 67% Release planning 65% Team estimation 63% Kanban 51% Single team Source: VersionOne, “State of Agile” 2018
- 17. WHAT WORKS? At Org Level Magnification
- 18. A STORY
- 19. STRUCTURAL PATTERNS THAT WORK This… Not this… Business units with Product & Service focus PMO & Shared Services Teaming Individual contributors 100% allocation Partial-allocation Product Teams own the product • Entire lifecycle Sequential “SDLC” • (CapEx-OpEx handoffs) Incentives based on outcomes • E.g. Business KPIs: Profit, Customer Satisfaction Incentives based on outputs • E.g. Deadlines & Documents Segregation of Product Org || Platform Segregation of Business || Engineering
- 20. FUNDING PATTERNS THAT WORK This… Not this… Agile Procurement • E.g. Sprint-based pricing Conventional Procurement • RFP / RFQ Flexible scope with focus on quality Fixed price & fixed scope Invest in outcomes Budgets relate to estimates Small-batch commitments Large-batch commitments Throughput accounting Cost accounting Seed & venture funding “One-and-done”
- 21. THANK YOU