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The	
  Timelessness	
  of	
  
        Lean	
  Management                    	
  
                                              	
  
                                              	
  
                                              	
  
                                              	
  
                                              	
  
                          Presented	
  by	
  Sanjiv	
  Augustine	
  
                           Sanjiv.Augustine@LitheSpeed.com	
  

               @Saugustine,	
  @LitheSpeed,	
  @VersionOne,	
  #AgilePalooza	
  




                                                             State	
  of	
  Agile	
  Adop.on	
  

Organizations are realizing real benefits
with agile methods…




2	
     State of Agile Development Survey, http://www.versionone.com




                                                                                                   1
State	
  of	
  Agile	
  Adop.on	
  

And so, agile adoption continues apace…




3	
       State of Agile Development Survey, http://www.versionone.com




                                   State	
  of	
  Agile	
  Adop.on	
  	
  (Cont’d)
                                                                                 	
  

        But, we need to raise our game to
         overcome systemic problems…




4	
       State of Agile Development Survey, http://www.versionone.com




                                                                                        2
What	
  is	
  Lean?	
  
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	
  efGicient	
  activity	
  sequence	
  while	
  
   minimizing	
  waste.	
                                                        Image Source: http://www.mtu.edu/
                                                                                 improvement/continuous-improvement/lean-
•  Kaizen	
  –	
  “Change	
  for	
  the	
  better.”	
  A	
                       overview/
   philosophy	
  of	
  continuous	
  improvement.	
  	
  	
  

   5	
  




                                                  Three	
  Timeless	
  Lean-­‐Agile	
  Solu8ons
                                                                                              	
  

    1.  Organize	
  around	
  a	
  
         Network	
  of	
  Small	
  
         Teams	
  
    2.  Drive	
  Lean	
  
         Innovation	
  
    3.  Practice	
  Wise	
  
         Leadership	
  
    	
  
   6	
  




                                                                                                                            3
1.	
  Network	
  of	
  Small	
  
                           Teams                                                                                                	
  




                                                                                                                                       A	
  Sample	
  Agile	
  Team	
  

Tradi8onal	
  Silos	
                     Customer	
                   PM	
                    BA	
  
                                                                                               BA	
  
                                                                                              Analysts	
  
                                                                                                                   Designer	
  
                                                                                                                   Designers	
  
                                                                                                                                           Developer	
  
                                                                                                                                           Developer	
  
                                                                                                                                            Developer	
  
                                                                                                                                            Developer	
  
                                                                                                                                                Devs	
  
                                                                                                                                                            Tester	
  
                                                                                                                                                             Tester	
  
                                                                                                                                                              Testers	
  




 The	
  Core	
  Project	
                                                            Release	
  
                                                                                     Manager	
  
                                                                                                                                                            The	
  Extended	
  
 Team	
  ideally	
  
                                                                                                                                                            Team	
  can	
  contain	
  
 consists	
  of	
  5-­‐9	
                                                                                                      Capacity	
  
                                               Architect	
  
                                                                                       BA	
  /	
  	
                            Planner	
                   many	
  addi.onal	
  
 dedicated	
                                                                          Tester	
  
                                                                                                                                                            members,	
  each	
  
 members	
  (7	
  +/-­‐	
  2).	
                                    Designer	
                                BA	
  

                                                                                                                                                            playing	
  an	
  
                                                          Developer	
  /	
  
                                                                                   Core	
                                                                   important	
  role,	
  but	
  
 Intense	
  collabora8on	
             Risk	
                                                                          SM	
                    Prod.	
  

 via:	
  	
  
                                     Assessor	
               BA	
  
                                                                                   Team	
                                                                   they	
  are	
  typically	
  
 1.  Face-­‐to-­‐face	
  
                                                                                   (EXAMPLE)	
                                                              not	
  dedicated	
  to	
  
         communica.on	
  	
                                        Developer	
                               Tester	
  
                                                                                                                                                            the	
  effort.	
  
                                                                                     Product	
  
 2.  Generalizing	
                                 Tech	
                           Owner	
  
                                                                                                                                Security	
  
         specialists	
                              Ops	
  


 3.  Self-­‐discipline	
  and	
                                                      Business	
  
         decentralized	
                                                             Sponsor	
  
         control	
  


  8	
  




                                                                                                                                                                                            4
Network	
  of	
  Small	
  Teams
                                                                                                                    	
  
“…for	
  a	
  large	
  organiza2on	
  to	
  
          work	
  it	
  must	
  behave	
  like	
  a	
  
          related	
  group	
  of	
  small	
  
          organiza2ons.”	
  
-­‐	
  E.	
  F.	
  Schumacher	
  ,	
  Small	
  is	
  
          Beau2ful	
  
      	
  
Scaling	
  may	
  require,	
  at	
  
certain	
  levels:	
  
•  Chief	
  ScrumMasters	
  
•  Strategic	
  Product	
  Owners	
  
•  Tac.cal	
  Product	
  Owners	
  
•  Lightweight	
  Agile	
  PMOs	
  
   serving	
  as	
  a	
  “guiding	
  
   coali8on”	
  


    9	
                                                   Accelerate! By John Kotter, HBR, November 2012




                                                                                                          Lean-­‐Agile	
  PMO	
  




                         •  Encourage	
  face-­‐to-­‐face	
  dialogue	
  across	
  levels	
  
                         •  Create	
  overlapping	
  management	
  with	
  “linking	
  pins”	
  
                         •  Run	
  the	
  Council	
  as	
  an	
  Agile	
  project	
  team	
  


    10	
          Source:	
  The	
  Lean-­‐Agile	
  PMO,	
  Sanjiv	
  Augustine	
  and	
  Roland	
  Cuellar	
  (Cutter	
  
                  Consortium	
  2006)	
  




                                                                                                                                    5
Network	
  of	
  Teams	
  –	
  Ericsson	
  




11	
     Source: Agile and Lean Transformation at Ericcson Finland, Henri Kivioja




               2.	
  Lean	
  Innovation                                     	
  




                                                                                            6
Lean	
  Innova.on	
  via	
  Lean	
  Startup	
  




         !"#$%&'()*+,+#-+                                             .#%/01#+()*+,+#-+

13	
     Source: Lean Startup, Abby Fitchner, http://hackerchick.com




                                                               Lean	
  Startup	
  Methodology	
  




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




                                                                                                    7
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	
  




                                                Incorpora8ng	
  UX	
  into	
  Agile	
  

Outside	
  the	
  Room	
   In	
  the	
  Room	
  
  Product	
  Planning	
  

              Pre-­‐                                                       Release	
  
                                     Discovery	
  
           Discovery	
                                                     Planning	
  


   Participants:	
             Par8cipants:	
  
   •  Product	
  Team	
        •  Whole	
  Team	
                           Sprint	
  
                                                                           Planning	
  
                               •  Key	
  Business	
  
   •  IT	
  Architecture	
  
                                  Stakeholders	
  
   •  UX	
  Team	
                                            Sprint	
  
                                                                                       Sprint	
  
                                                              Review	
  
   •  Key	
  Business	
  
      Stakeholders	
  
                                                                    Process	
  Execu8on	
  




 16	
  




                                                                                                    8
Introducing	
  Sensei
                                                         	
  




17	
     http://www.senseitool.com




                                 Sensei	
  Lean	
  Startup	
  




18	
  




                                                                 9
3.	
  Wise	
  Leadership     	
  




                             Wise	
  Leadership	
  

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




                                                      10
Team	
  Empowerment
                                                                                                        	
  

    Empowerment = Freedom * Capability




21	
  
                      Situational Leadership® – Paul Hershey and Ken Blanchard




                                                                                 Team	
  	
  Empowerment
                                                                                                       	
  

 •  Knowledge	
  workers	
  need	
  responsibility	
  
    for	
  their	
  own	
  produc8vity:	
  
         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?	
  


22	
  




                                                                                                               11
Three	
  Timeless	
  Lean-­‐Agile	
  Solu8ons
                                                                              	
  

 1.  Organize	
  around	
  a	
  
      Network	
  of	
  Small	
  
      Teams	
  
 2.  Drive	
  Lean	
  
      Innovation	
  
 3.  Practice	
  Wise	
  
      Leadership	
  
 	
  
23	
  




                                   Contact	
  Us	
  for	
  Further	
  Informa8on	
  

  Sanjiv	
  Augustine	
  
  President	
  
  Sanjiv.Augustine@LitheSpeed.com	
  
  Twitter:	
  @saugustine,	
  @lithespeed	
  
  	
  
  	
  
  	
  
  On	
  the	
  Web:	
  
  http://www.lithespeed.com	
  
  http://www.senseitool.com	
                    "I	
  only	
  wish	
  I	
  had	
  read	
  this	
  book	
  when	
  I	
  started	
  my	
  career	
  in	
  
                                                 so_ware	
  product	
  management,	
  or	
  even	
  beWer	
  yet,	
  when	
  I	
  was	
  
                                                 given	
  my	
  first	
  project	
  to	
  manage.	
  In	
  addi.on	
  to	
  providing	
  an	
  

  http://www.sanjivaugustine.com	
               excellent	
  handbook	
  for	
  managing	
  with	
  agile	
  so_ware	
  development	
  
                                                 methodologies,	
  Managing	
  Agile	
  Projects	
  offers	
  a	
  guide	
  to	
  more	
  
                                                 effec.ve	
  project	
  management	
  in	
  many	
  business	
  sebngs."	
  	
  
  	
                                             John	
  P.	
  Barnes,	
  former	
  Vice	
  President	
  of	
  Product	
  Management	
  at	
  
                                                 Emergis,	
  Inc.	
  

                                                 	
  
  	
  
24	
  




                                                                                                                                                            12
Stable	
  Teams
                                                                                                                              	
  

 •  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	
  



25	
      Source:	
  The	
  Lean-­‐Agile	
  PMO,	
  Sanjiv	
  Augustine	
  and	
  Roland	
  Cuellar	
  (Cutter	
  Consortium	
  2006)	
  




                                                                                                                                            13

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Timelessness of Lean Management

  • 1. The  Timelessness  of   Lean  Management             Presented  by  Sanjiv  Augustine   Sanjiv.Augustine@LitheSpeed.com   @Saugustine,  @LitheSpeed,  @VersionOne,  #AgilePalooza   State  of  Agile  Adop.on   Organizations are realizing real benefits with agile methods… 2   State of Agile Development Survey, http://www.versionone.com 1
  • 2. State  of  Agile  Adop.on   And so, agile adoption continues apace… 3   State of Agile Development Survey, http://www.versionone.com State  of  Agile  Adop.on    (Cont’d)   But, we need to raise our game to overcome systemic problems… 4   State of Agile Development Survey, http://www.versionone.com 2
  • 3. What  is  Lean?   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  efGicient  activity  sequence  while   minimizing  waste.   Image Source: http://www.mtu.edu/ improvement/continuous-improvement/lean- •  Kaizen  –  “Change  for  the  better.”  A   overview/ philosophy  of  continuous  improvement.       5   Three  Timeless  Lean-­‐Agile  Solu8ons   1.  Organize  around  a   Network  of  Small   Teams   2.  Drive  Lean   Innovation   3.  Practice  Wise   Leadership     6   3
  • 4. 1.  Network  of  Small   Teams   A  Sample  Agile  Team   Tradi8onal  Silos   Customer   PM   BA   BA   Analysts   Designer   Designers   Developer   Developer   Developer   Developer   Devs   Tester   Tester   Testers   The  Core  Project   Release   Manager   The  Extended   Team  ideally   Team  can  contain   consists  of  5-­‐9   Capacity   Architect   BA  /     Planner   many  addi.onal   dedicated   Tester   members,  each   members  (7  +/-­‐  2).   Designer   BA   playing  an   Developer  /   Core   important  role,  but   Intense  collabora8on   Risk   SM   Prod.   via:     Assessor   BA   Team   they  are  typically   1.  Face-­‐to-­‐face   (EXAMPLE)   not  dedicated  to   communica.on     Developer   Tester   the  effort.   Product   2.  Generalizing   Tech   Owner   Security   specialists   Ops   3.  Self-­‐discipline  and   Business   decentralized   Sponsor   control   8   4
  • 5. Network  of  Small  Teams   “…for  a  large  organiza2on  to   work  it  must  behave  like  a   related  group  of  small   organiza2ons.”   -­‐  E.  F.  Schumacher  ,  Small  is   Beau2ful     Scaling  may  require,  at   certain  levels:   •  Chief  ScrumMasters   •  Strategic  Product  Owners   •  Tac.cal  Product  Owners   •  Lightweight  Agile  PMOs   serving  as  a  “guiding   coali8on”   9   Accelerate! By John Kotter, HBR, November 2012 Lean-­‐Agile  PMO   •  Encourage  face-­‐to-­‐face  dialogue  across  levels   •  Create  overlapping  management  with  “linking  pins”   •  Run  the  Council  as  an  Agile  project  team   10   Source:  The  Lean-­‐Agile  PMO,  Sanjiv  Augustine  and  Roland  Cuellar  (Cutter   Consortium  2006)   5
  • 6. Network  of  Teams  –  Ericsson   11   Source: Agile and Lean Transformation at Ericcson Finland, Henri Kivioja 2.  Lean  Innovation   6
  • 7. Lean  Innova.on  via  Lean  Startup   !"#$%&'()*+,+#-+ .#%/01#+()*+,+#-+ 13   Source: Lean Startup, Abby Fitchner, http://hackerchick.com Lean  Startup  Methodology   Thanks  to  Ash  Maurya,  author  of  Running  Lean:   14   hWp://www.runningleanhq.com/   7
  • 8. 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   Incorpora8ng  UX  into  Agile   Outside  the  Room   In  the  Room   Product  Planning   Pre-­‐ Release   Discovery   Discovery   Planning   Participants:   Par8cipants:   •  Product  Team   •  Whole  Team   Sprint   Planning   •  Key  Business   •  IT  Architecture   Stakeholders   •  UX  Team   Sprint   Sprint   Review   •  Key  Business   Stakeholders   Process  Execu8on   16   8
  • 9. Introducing  Sensei   17   http://www.senseitool.com Sensei  Lean  Startup   18   9
  • 10. 3.  Wise  Leadership   Wise  Leadership   • Have  courage   of  conviction   • Flatten   hierarchy   • Go  the  Gemba   • Trust  the  team   20   10
  • 11. Team  Empowerment   Empowerment = Freedom * Capability 21   Situational Leadership® – Paul Hershey and Ken Blanchard Team    Empowerment   •  Knowledge  workers  need  responsibility   for  their  own  produc8vity:   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?   22   11
  • 12. Three  Timeless  Lean-­‐Agile  Solu8ons   1.  Organize  around  a   Network  of  Small   Teams   2.  Drive  Lean   Innovation   3.  Practice  Wise   Leadership     23   Contact  Us  for  Further  Informa8on   Sanjiv  Augustine   President   Sanjiv.Augustine@LitheSpeed.com   Twitter:  @saugustine,  @lithespeed         On  the  Web:   http://www.lithespeed.com   http://www.senseitool.com   "I  only  wish  I  had  read  this  book  when  I  started  my  career  in   so_ware  product  management,  or  even  beWer  yet,  when  I  was   given  my  first  project  to  manage.  In  addi.on  to  providing  an   http://www.sanjivaugustine.com   excellent  handbook  for  managing  with  agile  so_ware  development   methodologies,  Managing  Agile  Projects  offers  a  guide  to  more   effec.ve  project  management  in  many  business  sebngs."       John  P.  Barnes,  former  Vice  President  of  Product  Management  at   Emergis,  Inc.       24   12
  • 13. Stable  Teams   •  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   25   Source:  The  Lean-­‐Agile  PMO,  Sanjiv  Augustine  and  Roland  Cuellar  (Cutter  Consortium  2006)   13