Dancing With The Agile Goddess Agile 2008
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Transcript of Dancing With The Agile Goddess Agile 2008
04/07/23
Dancing With The Agile Goddess
Israel Gat
Agile 2008August 8, 2008Toronto, Canada
© Copyright 04/07/23 BMC Software, Inc.2
Agenda
What can Definitely be Accomplished - Agile Success in R&D
You Can Do It – A Secret Sauce for Level I Agile Enterprise
The Deeper Nature of Agile - Agile as a Dual Disruptive Methodology
Blueprint for Level II Agile Enterprise - End-to-End Agile
(Blueprint for Level III Agile Enterprise – Agile-Based-Market-Of-One
Benefits:– Customer-vendor interactions– Software creation and delivery paradigm– Nontraditional value chains)
© Copyright 04/07/23 BMC Software, Inc.3
Agenda
What can Definitely be Accomplished - Agile Success in R&D
You Can Do It – A Secret Sauce for Level I Agile Enterprise
The Deeper Nature of Agile - Agile as a Dual Disruptive Methodology
Blueprint for Level II Agile Enterprise - End-to-End Agile
Blueprint for Level III Agile Enterprise – Agile-Based-Market-Of-One
Benefits:– Customer-vendor interactions– Software creation and delivery paradigm– Nontraditional value chains
© Copyright 04/07/23 BMC Software, Inc.4
› Two major BMC Software releases were assessed (BMC Performance Manager R2.3
and R2.4).
› Characteristics of the two releases:
› 90 – 95* full-time equivalent staff (FTEs)
› Started implementing the Scrum methodology in early 2005 (Waterfall
environment until then)
› Rally software tools and consulting
› Twelve Scrum teams coordinated through Scrum of Scrums
› 1,450 story cards
› ~1.4 million lines of new and modified code. (*) This figure applies to the BPM 2.3 and 2.4 projects; all in all BMC currently has close to 1,000
“Scrummers”
[This and the next six slides are based on the BMC/QSMA/Cutter Consortium study; August 2007]
The BMC/QSMA/Cutter Consortium Study
© Copyright 04/07/23 BMC Software, Inc.5
Industry Data from the QSM SLIM-Metrics Database
› Spans 20+ years
› Large heterogeneous database contains over 7,000+ projects
› Represents over 685+ million SLOC, 7+ million function points, over 600 languages, from 500+ organizations in 18 countries
› Adding 200 – 400 projects/year
© Copyright 04/07/23 BMC Software, Inc.6
Trendline Assessment – Schedule
Story Cards100 1,000
Mont
hs
1
100
10
Build Phase Time
Faster
12-13 months
4-5 monthsBPM 2.4
BPM 2.3
BMC is much faster than the overall industry trend:>95th percentile.BMC
QSM SLIM database
1 Sigma line style
© Copyright 04/07/23 BMC Software, Inc.7
Trendline Assessment – Schedule – Agile Sample
Story Cards10 1,000
Mont
hs
1
100
10
Build Phase Time
Faster
BPM 2.4
BPM 2.3
BMC much faster to market than the Agile samplefor >100 story cards releasesBMC
QSMA SLIM database
1 Sigma line style
Agile Companies
100
© Copyright 04/07/23 BMC Software, Inc.8
Trendline Assessment – Quality
Stories100 1,000
Bugs/
Defects
Bugs/Defects (Hardening Iterations)
10
10,000
1,000
100
Defects at normal levels in spite of fast speedBMC
QSM SLIM database
1 Sigma line style
BPM 2.4
BPM 2.3
© Copyright 04/07/23 BMC Software, Inc.9
Productivity Index Assessment
BMC
QSM SLIM database
1 Sigma line style
Agile Companies
Higher productivity in spite of running with more Scrum teams than other Agile projects
Story Cards10 1,000100
Productivity Index (PI)
0
35
15
25
20
5
10
30BPM 2.4
BPM 2.3
Productivity Index
© Copyright 04/07/23 BMC Software, Inc.10
Productivity Index (PI)Industry values by application type
0 2 4 6 8 10 12 14 16 18 20 22 24
Productivity Index (PI) w/ ±1 Standard Deviation
Business Information
Command and Control
Process Control
Scientific
System
Telecommunications
Engineering
Avionics
Microcode
Real Time
Real Time
2826
© Copyright 04/07/23 BMC Software, Inc.11
Agenda
What can Definitely be Accomplished - Agile Success in R&D
You Can Do It – A Secret Sauce for Level I Agile Enterprise
The Deeper Nature of Agile - Agile as a Dual Disruptive Methodology
Blueprint for Level II Agile Enterprise - End-to-End Agile
Blueprint for Level III Agile Enterprise – Agile-Based-Market-Of-One
Benefits:– Customer-vendor interactions– Software creation and delivery paradigm– Nontraditional value chains
The Secret Sauce of BMC’s Success
› The three ingredients of BMC’s secret sauce were:– The passion and pride of the craftsman– Creating a learning organization– Providing “air cover” for a long enough time for harnessing the Scrum methodology to our
specific environment/circumstances› Agile at BMC pretty much followed the evolutionary biologists “Punctuated Equilibrium”
paradigm advocated by Stephen Jay Gould - confluence of several factors that mature all-at-once:
– Long intervals of additive evolution (“Equilibrium")– “Punctuated" by short, revolutionary transitions, in which species became extinct and
replaced by wholly new forms– The Punctuated Equilibrium paradigm has successfully been applied to explain
phenomena in other domains, e.g. revolution in military affairs– It can/should happen in your company
› What BMC accomplished can be achieved by any fully committed company that has the leadership, know-how, flexibility and patience to let the Agile process evolve and mature
What A Company Needs for Agile Success
© Copyright 04/07/23 BMC Software, Inc.13
Sample Proof Points for Significant Agile Success
› BMC
› Exigen
› Follett Software
› IDX/GE Healthcare
› SirsiDynix
› Xebia
© Copyright 04/07/23 BMC Software, Inc.15
Agenda
What can Definitely be Accomplished - Agile Success in R&D
You Can Do It – A Secret Sauce for Level I Agile Enterprise
The Deeper Nature of Agile - Agile as a Dual Disruptive Methodology
Blueprint for Level II Agile Enterprise - End-to-End Agile
Blueprint for Level III Agile Enterprise – Agile-Based-Market-Of-One
Benefits:– Customer-vendor interactions– Software creation and delivery paradigm– Nontraditional value chains
© Copyright 04/07/23 BMC Software, Inc.16
Between Christensen and Corporate Inertia
Agile: a disruptive methodology on two dimensions
Interplay of 2 Dimensions
© Copyright 04/07/23 BMC Software, Inc.17
Agenda
What can Definitely be Accomplished - Agile Success in R&D
You Can Do It – A Secret Sauce for Level I Agile Enterprise
The Deeper Nature of Agile - Agile as a Dual Disruptive Methodology
Blueprint for Level II Agile Enterprise - End-to-End Agile
Blueprint for Level III Agile Enterprise – Agile-Based-Market-Of-One
Benefits:– Customer-vendor interactions– Software creation and delivery paradigm– Nontraditional value chains
© Copyright 04/07/23 BMC Software, Inc.18
End-to-End Enterprise Agility
Agile ComponentTeam
Agile Teams of Teams
Agile Enterprise
Scale (perpetual)
Measurement
A BC D
Requirementsrunway
IntentionalArchitecture
Enterprise Tooling
Iterate
Iterate (2 wks)
Design
Test
Build
Release(3-4 mo)
Hardenand Ship
Req
Plan
Iterate Iterate
Iterate
Agile Release Train
OrganizationalChange
OrganizationalChange
Agile Release Train
Requirementsrunway
© Copyright 04/07/23 BMC Software, Inc.19
3 Levels of Participation
I1 I3I2 I4 I6I5 I7 I8
Market Planning
Market/Solution Release PlanMarket/Solution Release Plan
Product RoadmapProduct Roadmap
Product Release PlanProduct Release Plan Product Release PlanProduct Release Plan
Direct Field ParticipationDirect Field Participation
Iteration Demos / Requirements BacklogIteration Demos / Requirements Backlog
3-4 monthsRelease Planning
I1 I3I2 I4 I6I5 I7 I8
2 weeksRelease Mgt
© Copyright 04/07/23 BMC Software, Inc.20
“xi” release
Marketing ReleaseTrain
“bsm” release
R1 60-90 days 60-90 days 60-90 days 60-90 daysR2 R3 R4 R5
Agile GTM Process – Roy Ritthaler’s Design
R&D Release Train
Engineering & Product Management Driven Frequency
Market Driven Frequency
“beta” release
“maintenance” release
Collaborative
Asynchronous
GTM Processes
© Copyright 04/07/23 BMC Software, Inc.21
Transition to Agile Organization
Agile R&DTeams
OperationalTeam
ExecutiveTeam
R&DTeams
Waterfall Optimized Organization Agile Organization
Executive Management
© Copyright 04/07/23 BMC Software, Inc.22
Agenda
What can Definitely be Accomplished - Agile Success in R&D
You Can Do It – A Secret Sauce for Level I Agile Enterprise
The Deeper Nature of Agile - Agile as a Dual Disruptive Methodology
Blueprint for Level II Agile Enterprise - End-to-End Agile
Blueprint for Level III Agile Enterprise – Agile-Based-Market-Of-One
Benefits:– Customer-vendor interactions– Software creation and delivery paradigm– Nontraditional value chains
© Copyright 04/07/23 BMC Software, Inc.23
Systemic Problems with Level II Agile Enterprise
› In a typical corporate value chain, change in velocity in any single link exposes inefficiencies in the subsequent link(s)
– PM Dev QA Marketing Sales Revenue Recognition Back Office Customer Support …
› Change in velocity of a few consecutive links often generates a catastrophe downstream
› Consequently, one encounters innate corporate drive to “harness” the disruptive Agile methodology
– Largely at a level lower than consciousness– Typically in the form of some kind of “executive governance”– “Collaborative governance happens in the trenches, among people who interact
everyday. The real governance solutions happen outside the executive suite…”[William Ulrich in “The Cutter Edge”; April 15, 2008]
› Bringing logic and reason to an interdisciplinary corporate balance which evolved over many years is not necessarily sufficient for success…
Sacred Laws of Software Engineering Revisited
› The BMC experience reported earlier in this presentation can be summarized as follows:
– Aggressive staffing: 2-3X the typical number of co-dependent Scrum project teams
– Racing against short deadline without incurring a hit on productivity– Gaining big time on productivity without incurring a hit on quality– (Distributed development environment)
› It seems that for this kind of Hyper-productivity in Scrum, two cornerstones laws of software engineering could be relaxed*:
– Brook’s law– Puttnam’s 4th law
› With some very far reaching ramifications with respect to the traditional release concept….
(*) I am deeply indebted to Michael Mah for this observation
© Copyright 04/07/23 BMC Software, Inc.25
Release-centric Agile Planning
Collect Customer Requirements
Establish a Prioritized Backlog
R1
R3
R4
R5
R6R7
R8
R9
R10
R2
R1
R3
R4
R5
R6
R7
R8
R9
R10
R2
Rele
ase
R5
R6
R9R2
Define a Release Based on Priorities
R1
R3
R4
R7
R8
R10
Back
log
time
© Copyright 04/07/23 BMC Software, Inc.26
Made-to-Order Releases
…Define a Release Based
on Priorities
Additional Customer Requirements
• “Specials” would be added in real-time
• “Specials” do not get “stuck” in the backlog
C2C1
Create Customer-tailored Releases
• Certain features, e.g. R9, get “demoted” to the backlog
R9Re
leas
e
R5
R6
R2
R1
R3R4
R7
R8
R10
Back
log
C-1
Rele
ase
R5
R6
R9R2
R1
R3
R4
R7
R8
R10
Back
log
R5R6
R2
R5R6
R2
C-2
Rele
ase
• The customer gets the “release” in 3-4 months max
Managing the Overall Project
• During an interim period; N special releases exist
• Once a year all special releases get consolidated to a standard release
R9
R1
R3
R4
R7
R8
R10
Back
log
Rele
ase
R5
R6
R2
C2
C1
Rele
ase
© Copyright 04/07/23 BMC Software, Inc.27
Agenda
What can Definitely be Accomplished - Agile Success in R&D
You Can Do It – A Secret Sauce for Level I Agile Enterprise
The Deeper Nature of Agile - Agile as a Dual Disruptive Methodology
Blueprint for Level II Agile Enterprise - End-to-End Agile
Blueprint for Level III Agile Enterprise – Agile-Based-Market-Of-One
Benefits:– Customer-vendor interactions– Software creation and delivery paradigm– Nontraditional value chains
© Copyright 04/07/23 BMC Software, Inc.28
Level Access/Ease Experience Price Product Service
III: Consumer seeks the Company
(Dominate)
Give me a solution; help me out in a bind
Establish intimacy with me by doing something no one else can
Be my agent; let me trust you to make my purchases
Inspire me with an assortment of great products I didn’t know about
Customize the product or service to fit my needs
II: Consumer prefers the Company
(Differentiate)
Make the interaction convenient for me
Care about my needs and me
Be fair and consistent in your pricing. I’m not necessarily after the lowest price
Be dependable in your selection and in stock position, so I can rely on you when I’m in a bind
Educate me when I encounter a product or a situation I don’t understand
I: Consumer accepts the Company
(Operate at Par)
Make it easy for me to find what I need, get in and out in a hurry
Respect me; treat me like a human being
Keep the prices honest; don’t jack them up or offer big savings when there are none
Be credible in your product and service offerings
Accommodate me; bend over backward sometimes to show me you care
Consumer Underworld
Block my way, hassle me, keep me waiting, make it hard for me to get in and out
Dehumanize me; disrespect me; ignore my needs
Be inconsistent, unclear, or misleading in your pricing
Offer me poor quality merchandise and services that I can’t use
Give me an experience I’d just as soon forget; me a reason to tell my friends and relatives to stay away
Agile-Based-Market-Of-One in the Context of Customer-Vendor Interactions & Relations
Source: Crawford & Mathews; The Myth of Excellence; New York, NY; Crown Business, 2001
What does Customer Intimacy Really Mean?
© Copyright 04/07/23 BMC Software, Inc.30
Agile-Based-Market-Of-One in the Context of the Software Creation and Delivery Paradigm
› Revolution in how we conceive, do and deliver the “sausage” to the top N customers– Disintermediation of the “filters” between the customer and the R&D lab– Delivery straight from the R&D lab to the user– Major value migration back to products/solutions:
• The economics driven by 150-400% attach rates through professional and ancillary services are turned around
Agile-Based-Market-Of-One Blows Traditional Value Chains to Bits
© Copyright 04/07/23 BMC Software, Inc.31
Continuing our Dialog
Israel [email protected]
www.theagileexecutive.com
© Copyright 04/07/23 BMC Software, Inc.32