This document discusses principles of lean management and agile development. It proposes three timeless lean-agile solutions: 1) organize around a network of small, cross-functional teams; 2) drive lean innovation using principles from Lean Startup; and 3) practice wise leadership through team empowerment. The document advocates for organizing work into stable, focused teams dedicated to single projects at a time to support multiple lines of business simultaneously through quick delivery and clear accountability.

1. TheTimelessnessof
LeanManagement
Presented by Sanjiv Augustine
Sanjiv.Augustine@LitheSpeed.com
@Saugustine, @LitheSpeed, @VersionOne, #AgilePalooza

2. State of Agile Adoption
Organizations are realizing real benefits
with agile methods…
2 State of Agile Development Survey, http://www.versionone.com

3. State of Agile Adoption
And so, agile adoption continues apace…
3 State of Agile Development Survey, http://www.versionone.com

4. State of Agile Adoption (Cont’d)
But, we need to raise our game to
overcome systemic problems…
4 State of Agile Development Survey, http://www.versionone.com

5. Lean Thinking Principles :
• Just-in-Time – Supply what is needed, when
it is needed, in the amount that is needed.
• Jidoka – Stop-and-respond to halt
production and address product defects or
quality issues as they are encountered in a
process.
• Heijunka – “smooth/level” production
volume and variety during given time
periods.
• Standardized Work – Organize a job or task
in an efficient activity sequence while
minimizing waste.
• Kaizen – “Change for the better.” A
philosophy of continuous improvement.
What is Lean?
Image Source:
http://www.mtu.edu/improvement/continuous-
improvement/lean-overview/
5

6. 1. Organize around a
Network of Small
Teams
2. Drive Lean
Innovation
3. Practice Wise
Leadership
Three Timeless Lean-Agile Solutions
6

7. 1.NetworkofSmall
Teams

8. Intense collaboration
via:
1. Face-to-face
communication
2. Generalizing
specialists
3. Self-discipline and
decentralized
control
Traditional Silos Customer BA Designer DeveloperPM
Core
Team
(EXAMPLE)
BA /
Tester
BA
Tester
Product
Owner
Developer
Designer
Developer /
BA
SM
Release
Manager
Capacity
Planner
Prod.
Architect
Tech
Ops
Business
Sponsor
Risk
Assessor
Security
A Sample Agile Team
8
BAAnalysts
DeveloperDeveloperDeveloper
Designers Tester
The Core Project
Team ideally
consists of 5-9
dedicated members
(7 +/- 2).
The Extended Team
can contain many
additional
members, each
playing an
important role, but
they are typically
not dedicated to
the effort.
TesterTestersDevs

9. 9
“…for a large organization to
work it must behave like a
related group of small
organizations.”
- E. F. Schumacher , Small is
Beautiful
Scaling may require, at
certain levels:
• Chief ScrumMasters
• Strategic Product Owners
• Tactical Product Owners
• Lightweight Agile PMOs
serving as a “guiding
coalition”
Network of Small Teams
Accelerate! By John Kotter, HBR, November 2012

10. • Encourage face-to-face dialogue across levels
• Create overlapping management with “linking pins”
• Run the Council as an Agile project team
Source: The Lean-Agile PMO, Sanjiv Augustine and Roland Cuellar (Cutter
Consortium 2006)
10
Lean-Agile PMO

11. Network of Teams – Ericsson
11 Source: Agile and Lean Transformation at Ericcson Finland, Henri Kivioja

12. 2.LeanInnovation

13. Lean Innovation via Lean Startup
13
! "#$%&' ()* +, +#- + . #%/ 01#+()* +, +#- +
Source: Lean Startup, Abby Fitchner, http://hackerchick.com

14. Lean Startup Methodology
14
Thanks to Ash Maurya, author of Running Lean:
http://www.runningleanhq.com/

15. Lean Startup in a Nutshell
• Clear, short-term experiments
• Direct customer observation and
interaction
• Release planning informed by
feedback data
• High-quality agile development with
strong UX
15

16. Process Execution
Product Planning
In the RoomOutside the Room
Pre-
Discovery
Discovery
Release
Planning
Sprint
Planning
Sprint
Review
Sprint
Participants:
• Product Team
• IT Architecture
• UX Team
• Key Business
Stakeholders
Participants:
• Whole Team
• Key Business
Stakeholders
16
Incorporating UX into Agile

17. Introducing Sensei
17 http://www.senseitool.com

18. Sensei Lean Startup
18

19. 3.WiseLeadership

20. • Have courage
of conviction
• Flatten
hierarchy
• Go the Gemba
• Trust the team
20
Wise Leadership

21. 21
Team Empowerment
Empowerment = Freedom * Capability
Situational Leadership® – Paul Hershey and Ken Blanchard

22. • Knowledge workers need responsibility
for their own productivity:
o Knowledge drives productivity
o Continuous innovation, learning and teaching
need to be part of the job
o Knowledge worker productivity is dependent on
quality at least as much as quantity
o Optimal quality is the path to high productivity
• Knowledge workers must understand:
o What is our business?
o Who is our customer?
o What does our customer consider valuable?
Team Empowerment
22

23. 1. Organize around a
Network of Small
Teams
2. Drive Lean
Innovation
3. Practice Wise
Leadership
Three Timeless Lean-Agile Solutions
23

24. 24
Contact Us for Further Information
Sanjiv Augustine
President
Sanjiv.Augustine@LitheSpeed.com
Twitter: @saugustine, @lithespeed
On the Web:
http://www.lithespeed.com
http://www.senseitool.com
http://www.sanjivaugustine.com
"I only wish I had read this book when I started my career in
software product management, or even better yet, when I was
given my first project to manage. In addition to providing an
excellent handbook for managing with agile software development
methodologies, Managing Agile Projects offers a guide to more
effective project management in many business settings."
John P. Barnes, former Vice President of Product Management at
Emergis, Inc.

25. • Multiple, stable teams each
focused on a single project at a
time
• Dedicated to platforms or lines
of business
• Platform owner prioritizes
next project
• Result:
o Support multiple lines of
business simultaneously
o Focused effort results in quick
delivery for individual projects
o Clear accountability
o Stability and predictability
Source: The Lean-Agile PMO, Sanjiv Augustine and Roland Cuellar (Cutter Consortium 2006)25
Stable Teams