Understanding Lean and Agile

Zornitsa Nikolova

Leanify Ltd.

http://leanify.com

http://leanify.com/

Toyota Production System

21-century company

Pains• VUCA: Volatility,

Uncertainty, Complexity, Ambiguity

• Fast-paced competition landscape

• New responsibilities (triple bottomline)

Gains• Flexibility• Adaptability • Utilize collective

intelligence, • Need for learning

organization

Proven practices in the automotive

industry can also be applied to other

industries

Customer Value Innovation Perfection Time for creative thinking Transparency

Less bureaucracy Efficiency and effectiveness Synchronization

HTTP://WWW.YOUTUBE.COM/WATCH?V=GBLIJKHS2TC

http://www.youtube.com/watch?v=gBLIJKHS2tc

Goals:

1. Increased throughput of value 2. Shortened lead times3. Reduced cost for deliveries

Input:• Ideas and

requirements• Materials• People

System Constraints

Output:• Value (to customer

=> to company)

1. Identify Value

2. Map the Value Stream

3. Create Flow

4. Establish

Pull

5. Seek Perfection

Customer Needs

Key Concepts

• Value and waste• Optimizing the whole• Managing flow• Continuous improvement• People and leadership

Identify what adds value to the customer.

Strive to minimize the rest.

Deliver value frequently

Sources of Waste1. Unused features2. Inventory3. Extra processing 4. Motion5. Transport 6. Waiting 7. Defects 8. Unused creativity

How often are product features used?

Look at the entire value stream.

Measure (value, throughput, and customer satisfaction)

Ensure that + in 1 place is not – in another

Reduce batch size (one-piece flow)

Pull (Kan-Ban) Reduce multitasking Maximize throughput Synchronize using

time-boxes (takts)

10 3 4

Backlog Planned In Progress Done

D

J

13 hrs

48 hrs

Plan

DoCheck

Act• Regular retrospectives• Improvement kata• A3 + PDCA approach

Respect to people

Lead by example

Manager as a coach

Clear purpose

Simple rules

"…employees are offering a very important part of their life to us. If we don’t use their time effectively, we are wasting their lives."

Eiji Toyoda

Behaviors

MethodsProcesses

Instruments

LEANPractices

LEANCulture

Beliefs

Easy to learn in training and practice

BUT

80% of the opportunities come from culture.

Hard to see and change. Leaders’ behaviors and

beliefs are crucial for a sustainable learning organization.

Agile is a set of values, principles, and best practices that address the challenges of building complex projects in a dynamically changing environment.

Waterfall Approach

Challenges• Long cycle times,

high cost• High risk, low

predictability• Products not fitting needs• High pressure on teams,

low motivation

Agile Approach

Embracing change by

• Iterative, incremental product creation

• Customer collaboration• Frequent deliveries of

product increments• Team empowerment

AGILE• Embrace change• Frequent deliveries• Team work

XP

Scrum

Agile

Lean Thinking

Scope

Co

ncre

ten

essLEAN THINKING

• Value Streams and flow• Reduce waste• Continuous Improvement

Lean and Agile fit well together and are often combined.

Responsibility Trust Collaboration Learning

+12 principles aligned to values

http://agilemanifesto.org

http://agilemanifesto.org/

People are at the core of the system

Kanban means “signal card”.

Kanban card is a signal that provokes action.

Introduced as part of the TPS.

Currently used in other industries, such as IT, healthcare, banking, services.

1. Visualize the workflow

2. Limit WIP

3. Manage Flow

4. Make Process Policies Explicit

5. Improve Collaboratively (using models & the scientific method)

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Analysis Development Acceptance ProdNext

Definition of Done:• Customer accepted• Ready for production

Doing Done

Definition of Done:• Code clean & checked in on trunk

• Integrated & regression tested• Running on UAT environment

Doing DoneDoing Done

Definition of Done:• Goal is clear• First tasks defined• Story split (if necessary)

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*Example from the InfoQ minibook“Kanban and Scrum – Making the Most of Both”.

http://www.infoq.com/minibooks/kanban-scrum-minibook

Iterations Roles Ceremonies Artefacts Time-boxing

Thank You!

http://leanify.com

@Leanify

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https://goo.gl/OAyq9T

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