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Cycle time & Automation: 
hidden value & business cases 
Tom Breur 
Data Warehouse Automation conference 
www.dwhautomation.com 
Amsterdam, 20 September 2012
Little’s Law (1) 
L = λ × W 
where (in Operations Research): 
L = number of customers in a system 
λ = average arrival rate 
W = average time in the system 
www.xlntconsulting.com 2
Characteristics of Little’s Law 
 Little’s Law pertains to the system as a 
whole, and also its constituent parts 
 No assumption is made with regards to 
variable distribution(s) 
 Little’s Law holds for systems in “steady 
state”, e.g.: neither starting nor shutting 
down 
www.xlntconsulting.com 3
Queuing theory 
www.xlntconsulting.com 4
Little’s Law (2) 
L = λ × W 
where (in Agile BI): 
L = number of features/requests WIP 
λ = average arrival rate 
W = average time “in the system” 
www.xlntconsulting.com 5
What is “time in system”? 
 Sprint length? 
 Time from entry in Product BackLog (PBL) 
until delivery? 
 Time from initial feature request until 
delivery? 
 Time from information need until delivery? 
What cycle are you referring to? 
www.xlntconsulting.com 6
Development “queue” (=cycle) 
requirements 
analysis Design Implementation Verification Maintenance 
Story 
prepping Sprint Maintenance 
(design) (code) (unit test) (system test) (acceptance test) 
“Zero Sprint work” “Sprint work” “New Sprint work” 
www.xlntconsulting.com 7
How can you reduce cycle time? 
 Concurrent development 
 “Swarming” 
 Reduce WIP 
 Automation 
 (and others) 
www.xlntconsulting.com 8
Concurrent development (1) 
 Waterfall: you can avoid mistakes/rework 
by getting good requirements upfront 
 The most costly mistakes arise from 
forgetting important elements early on 
 Detailed planning (BDUF) requires: 
 early (ill informed) decisions 
 uses more time 
 leading to less tangible products to resolve 
ambiguity 
www.xlntconsulting.com 9  vicious cycle
Concurrent development (2) 
 Agile: decide at “last responsible moment” 
 decisions that haven’t been made, don’t ever 
need to be reverted 
 No “free lunch” – deferring decisions 
requires: 
 anticipating likely change 
 coordination/collaboration within team 
 close contact with customers 
www.xlntconsulting.com 10
“Swarming” 
 Of all Stories/tasks in 
a Sprint, only one lies 
on the “critical path” 
 “Impediments” signal completion of a Story 
is jeopardized 
 Swarming is (should be) default response 
www.xlntconsulting.com 11
Reduce Work-in-Progress (WIP) 
 Central idea Lean/Kanban: set WIP limits 
 More WIP leads to longer (and less 
predictable) lead times 
 Running our of WIP triggers a standstill – 
how can this be beneficial?? 
www.xlntconsulting.com 12
Automation 
Can take on many different forms: 
 Standardized processes, templates, etc. 
 ETL/DDL generation 
 Staging 
 hub (for 3-tiered DWH architectures) 
 data marts 
 Maintenance 
 version control 
 documenting “as built” design 
www.xlntconsulting.com 13
Business case for automation 
 Little’s Law: L = λ × W 
 Information delivery 
as a cycle implies 
that throughput gains 
accrue exponentially 
over time 
 Gains anywhere along 
the cycle contribute to productivity 
www.xlntconsulting.com 14
Conclusion 
 The information value chain has inherent 
variation 
 manage “the system” accordingly 
 Reduce cycle time by “managing” variation 
 working “in parallel” 
 automation 
 Gains from sustainable shortening of cycle 
time are exponential 
www.xlntconsulting.com 15

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Data Warehouse Automation Conference - Tom Breur: Cycle time & Automation 20121120

  • 1. Cycle time & Automation: hidden value & business cases Tom Breur Data Warehouse Automation conference www.dwhautomation.com Amsterdam, 20 September 2012
  • 2. Little’s Law (1) L = λ × W where (in Operations Research): L = number of customers in a system λ = average arrival rate W = average time in the system www.xlntconsulting.com 2
  • 3. Characteristics of Little’s Law  Little’s Law pertains to the system as a whole, and also its constituent parts  No assumption is made with regards to variable distribution(s)  Little’s Law holds for systems in “steady state”, e.g.: neither starting nor shutting down www.xlntconsulting.com 3
  • 5. Little’s Law (2) L = λ × W where (in Agile BI): L = number of features/requests WIP λ = average arrival rate W = average time “in the system” www.xlntconsulting.com 5
  • 6. What is “time in system”?  Sprint length?  Time from entry in Product BackLog (PBL) until delivery?  Time from initial feature request until delivery?  Time from information need until delivery? What cycle are you referring to? www.xlntconsulting.com 6
  • 7. Development “queue” (=cycle) requirements analysis Design Implementation Verification Maintenance Story prepping Sprint Maintenance (design) (code) (unit test) (system test) (acceptance test) “Zero Sprint work” “Sprint work” “New Sprint work” www.xlntconsulting.com 7
  • 8. How can you reduce cycle time?  Concurrent development  “Swarming”  Reduce WIP  Automation  (and others) www.xlntconsulting.com 8
  • 9. Concurrent development (1)  Waterfall: you can avoid mistakes/rework by getting good requirements upfront  The most costly mistakes arise from forgetting important elements early on  Detailed planning (BDUF) requires:  early (ill informed) decisions  uses more time  leading to less tangible products to resolve ambiguity www.xlntconsulting.com 9  vicious cycle
  • 10. Concurrent development (2)  Agile: decide at “last responsible moment”  decisions that haven’t been made, don’t ever need to be reverted  No “free lunch” – deferring decisions requires:  anticipating likely change  coordination/collaboration within team  close contact with customers www.xlntconsulting.com 10
  • 11. “Swarming”  Of all Stories/tasks in a Sprint, only one lies on the “critical path”  “Impediments” signal completion of a Story is jeopardized  Swarming is (should be) default response www.xlntconsulting.com 11
  • 12. Reduce Work-in-Progress (WIP)  Central idea Lean/Kanban: set WIP limits  More WIP leads to longer (and less predictable) lead times  Running our of WIP triggers a standstill – how can this be beneficial?? www.xlntconsulting.com 12
  • 13. Automation Can take on many different forms:  Standardized processes, templates, etc.  ETL/DDL generation  Staging  hub (for 3-tiered DWH architectures)  data marts  Maintenance  version control  documenting “as built” design www.xlntconsulting.com 13
  • 14. Business case for automation  Little’s Law: L = λ × W  Information delivery as a cycle implies that throughput gains accrue exponentially over time  Gains anywhere along the cycle contribute to productivity www.xlntconsulting.com 14
  • 15. Conclusion  The information value chain has inherent variation  manage “the system” accordingly  Reduce cycle time by “managing” variation  working “in parallel”  automation  Gains from sustainable shortening of cycle time are exponential www.xlntconsulting.com 15