Key Note - Smidig 2013 - Scaling Kanban in the Enterprise - Kanban's 3 Agendas
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Transcript of Key Note - Smidig 2013 - Scaling Kanban in the Enterprise - Kanban's 3 Agendas
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PresenterDavid J. Anderson
CEO, Lean Kanban Inc.
SmidigOslo
November 2013Release 1.0
Scaling Kanban in the EnterpriseSustainable Improvement
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Kanban is a Management Method!
This isn’t a management conference!
So why am I here?
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The Old Model (18th-20th Century)
Management
Process
Workers
ProcessCoaches
DesignsOr
DefinesImposes
Follow
AssignWorkersTo Tasks
Management & Workers – 2
different classes
Manager as “dating agent” Model
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The New Model (21st Century)
Management
ProcessWorkers ProcessCoaches
Facilitate
learningControl
&EvolvePolicies
All Knowledge Workers make management
decisions
Pay grade relates risk & authority to override or change process policies
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True Management TrainingVery few
knowledge workers are given proper
management training.
They don’t know what business they
are in!
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What Service Do You Provide?
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Scaling Kanban in the Enterprise is about Scaling Effective Management
The Kanban Method is not…
A project management or software development lifecycle process
Nor, does it encourage a process-centric approach to improvement!
It’s a service-oriented approach to management & organization
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The Kanban Agendas
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Motivation for ManagersSurvivability
Agenda
Service-OrientedAgenda
SustainabilityAgenda
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The Sustainability Agenda
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Economically balancecapability against demand
Goals for using Kanban
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Available options
, disruptive & speculative demand
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What change really feels like:The J Curve
Patience!
Fitne
ss
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Evolutionary change withmany small J’s
Increasing “fitness”
Increasing capabilityfor change
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Proto-Kanban – infinite queues
Done
Poolof
Ideas
FH E
C A
I
NextDeploy-
mentReady
GD
GYPB
DEMN
5 ∞
P1
AB
Ongoing
Development Testing
Done Ongoing Done
3 3
I am a buffer!
The clue is in my name – “… Ready”
I am buffering non-instant availability or activity with a
cyclical cadence
Infinite limits on done columns means that there really isn’t a kanban pull system present.
This style of proto-kanban controls multi-tasking but doesn’t limit workflow WIP
∞ ∞
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Another Proto-Kanban per person WIP limit)
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Benefits of proto-Kanban implementation
Benefits
TransparencyEngage people
emotionallyCollaboration
Greater empathyReduced multitasking
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H
FF OM
NK
J
I
Pull
Kanban systems are pull systemsIdeas
D
E
A
I
DevReady
G
5Ongoing
Development Testing
Done3 3
TestReady
5
F
B
CPull
Pull
*
There is capacity here
UATReleaseReady
∞ ∞
Pulling work from development will create
capacity here too –the pull signals move
upstream!
Now we have capacity to replenish our ready
buffer
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Commitment is deferred
H
EC A
I
D
Commitment point
FF FF FF F
G
Pull
Wish to avoid discard after commitment
IdeasDev
Ready5
Ongoing
Development Testing
Done3 3
TestReady
5
UATReleaseReady
∞ ∞
We are committing to getting started. We are certain we want
to take delivery.
Ideas remain optional and unprioritized
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TestReady
FF FF FF F
Defining Kanban System Lead Time
H
E
C A
I
G
DPull
System Lead Time
Abandoned
I
IdeasDev
Ready5
Ongoing
Development Testing
Done3 35
UATReleaseReady
∞ ∞
The clock starts ticking when we accept the customers order, not
when it is placed!
Until then customer orders are merely available options
Kanban system lead time ends when the
item reaches the first ∞
queue
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Delivery Rate(from the kanban system) System Lead Time
WIP=
Avg. Lead Time
Avg. Delivery Rate
WIP
Backlog ReadyTo
Deploy
Little’s Law
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Benefits of service-orientedsingle kanban system
Benefits
PredictabilityShorter Lead Times
Increased ThroughputImproved trust with
business stakeholdersEliminated DisruptionsMeasurable Benefits
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The Service-Oriented Agenda
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The Kanban lens
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What Service Do You Provide?
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Column WIP Limit = 5
Testing is a shared service across 5
dev teams
In this example, testing was off-
shore in Chennai, India
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(some of the) orange tickets are avatars for people
from shared services such as
enterprise architecture and user experience
design
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5 lanes each with a dev team providing a
software development service to the
project
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Column WIP Limits
Clinical Validation Testing,
Deployment,P.O. Acceptance
All are shared service across 3
dev teams
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Multiple Types of Work Capacity is allocated across lanes
5 4 4 5 2 = 20 total
Change Req12
Maintenance2
Production Defect6
AllocationTotal = 20
InputQueue In Prog Done
BuildReady Test
ReleaseReadyDoneIn Prog
DevelopmentAnalysisReleased
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Multiple classes of serviceAllocate capacity with kanban limit per color
5 4 4 5 2= 20 total
Allocation
10 = 50%
...
+1 = +5%
4 = 20%
6 = 30%
InputQueue In Prog DoneDoneIn Prog
DevelopmentAnalysis BuildReady Test
ReleaseReady
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Scaling out across an organization
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Kanban has two approaches to scaling
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Treat each service separatelyDe
man
d
ObservedCapability
Dem
and
Dem
and
ObservedCapability
ObservedCapability
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Some systems have dependencies on others
Dem
and
ObservedCapability
Dem
and
Dem
and
ObservedCapability
ObservedCapability
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Survivability Agenda
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Daniel Kahneman has given us a simple model for how we process information
Daniel Kahneman
System 1Sensory Perception
Pattern Matching
System 2Logical Inference
Engine
Learning byExperience
Learning from theory
FASTBut slow to learn
SLOWBut fast to learn
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How we process change…
Daniel Kahneman
Silicon-basedlife form
Carbon-basedlife form
I logically evaluate change using System 2
I adapt quickly
I feel change emotionally using System 1
I adapt slowly
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Adopting new processes challenges people psychologically & sociologically
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The Kanban Method…
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The Kanban Method…
*also known as "kanban" in Chinese and in Japanese when written with Chinese characters
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The Kanban Method is a new approach to improvement
Kanban is a
method without
methodology
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Water flows around the rock
“be like water”
the rock represents resistance
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Kanban should be like water*
* http://joecampbell.wordpress.com/2009/05/13/be-like-water/
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Principles behind the Kanban Method
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6 Practices Enable Process Evolution
The Kanban Method
VisualizeLimit Work-in-progressManage FlowMake Policies ExplicitImplement Feedback LoopsImprove Collaboratively, Evolve Experimentally
(using models & the scientific method)
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Start with what you do now
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Fitness criteria are metrics that measure observable external outcomes
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Validate Fitness Criteria with real customers
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Which system is fitter?
5 10 15 20 25 30 40 45 55 65 More02468
101214
System A
Frequency
Lead Time (Days)
5 10 15 20 25 30 More0
5
10
15
20
25
30
System B
Frequency
Lead Time in Days
Mean 17 days Mean 12 days
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Measuring delivery against expectation
5 10 15 20 25 30 40 45 55 65 More02468
101214
System A
Frequency
Lead Time (Days)
-25 -20 -5 0 5 10 20 30 35 40 More0
2
4
6
8
10
12
System A
Frequency
Lead Time Expectation Spread (Days)
5 10 15 20 25 30 More0
5
10
15
20
25
30
System B
Frequency
Lead Time in Days
-15 -10 -5 0 5 10 15 20 More05
1015202530354045
System B
Frequency
Lead Time Expectation Spread (Days)
Mean 17 days Mean 12 days
System B is clearly fitter!
System B delivers 5/7 within expectationsSystem A only delivers 3/7 within expectations
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Business Risks, Fitness Criteria & Classes of Service should all align
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Evolutionary change has no defined end point
EvolvingProcess
Rollforward
Rollback
InitialProcess
Future process is emergent
EvaluateFitness
EvaluateFitness
EvaluateFitness
EvaluateFitness
EvaluateFitness
We don’t know the end-point but we do know our emergent
process is fitter!
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Institutionalize feedback systems to enable evolutionary change
OperationsReview
SystemCapability
Review
StandupMeetingmanager to subordinate(s)
(both 1-1 and 1-team)
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Organizational Improvements Emerge
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Disintermediate!Risks, fitness criteria & classes of
service should be explicit & transparent
OperationsReview
SystemCapability
Review
StandupMeeting
manager to subordinate(s) (both 1-1 and 1-team)
Expose risk, classes of service & fitness
criteria at all 3 levels of feedback
Lead timeQualityPredictability
Lead timeQualityPredictability
Lead timeQualityPredictability
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Scaling KanbanEach Kanban System is designed from first principles around a service provided
Scale out in a service-oriented fashion
Do not attempt to design a grand solution at enterprise scale
The Kanban Kata are essential!
Allow a better system of systems to emerge over time
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Scaled-out multiple kanban systems with feedback loops & model-driven
improvementBenefits
Cultural shift(across whole business)
Managers ManagingEmpowerment
AutonomyContinuous
ImprovementViral Spread
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Know why you are using a metric!
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Thank you!
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Upcoming Training in Scandinavia
3-day Kanban Coaching Professional MasterclassStockholm 20-22 Novemberhttp://djaa.com/david-anderson-6
2-day Advanced PractitionerOslo 10-11 February, 2014Copenhagen 12-13 February, 2014(email me for details)
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About
David Anderson is a thought leader in managing effective software teams. He leads a training, consulting, publishing and event planning business dedicated to developing, promoting and implementing sustainable evolutionary…He has 30 years experience in the high technology industry starting with computer games in the early 1980’s. He has led software teams delivering superior productivity and quality using innovative agile methods at large companies such as Sprint and Motorola.David is the pioneer of the Kanban Method an agile and evolutionary approach to change. His latest book, published in June 2012, is, Lessons in Agile Management – On the Road to Kanban.David is the leader of Lean Kanban Inc., a management training business dedicated to offering high quality management training for creative knowledge worker industries throughout the world.
[email protected] @lkuceo Smidig 2013 Copyright Lean Kanban Inc.
Joe Campbell first blogged about the similarity in philosophy between the Kanban Method and the teachings of Bruce Lee. He coined the phrase “Kanban should be like water”.
The data on slides 52 & 53 was provided by Raymond Keating of CME Group.
Kanban’s 3 Agendas has been a collaboration with Mike Burrows with input from Kurt Hausler, Markus Andrezak & Andy Carmichael
The succinct summary of Kanban’s approach to scaling is borrowed from Andy Carmichael’s “Shortest Possible Definition of Kanban”
Acknowledgements
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