Value Stream Manager concept applied to Software Product Development
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Transcript of Value Stream Manager concept applied to Software Product Development
APPLYING THE VALUE STREAM MANAGER CONCEPT TO SOFTWARE DEVELOPMENT ORGANIZATIONS Ken Power
About me
• My day job § Co-Founder, Agile Office at Cisco § Internal Agile & Lean Consultant
• Extra-curricular activities § Fellow of the Lean Systems Society (http://LeanSystemsSociety.org/) § Award-winning publications in Agile and Lean product development § Frequent speaker at major international Agile and Lean conferences § Involved in organizing international Agile and Lean conferences § Industry/academic collaborative research on Agile and Lean software development § Blog: http://SystemAgility.com/ § Twitter: @ken_power
DIFFERENT PERSPECTIVES ON ORGANIZATION STRUCTURE
The Hierarchical Perspective • Is your organization is a reflection of what it says in the Organization Chart? • A collection of titles and
functional areas?
The Social Network Perspective • Is your organization the set of diverse relationships that cross functional boundaries?
The Information Flow Perspective • Is your organization represented by the currents of information that flow through the network?
All are true to some degree Remember: (1) All models
are wrong, but some are useful
(2) More than one thing can be true
Value Stream Map
Value Streams • Whole products or systems • Product lines • Portfolios • Cross-cutting portfolio or product line elements
Filling the Role • TPS and the Chief Engineer Role • Scrum Product Owner • Product Champion
• Leads the development team in discovering what the customer really needs
• Responsible for the quality of the product
Value Stream Manager • An individual assigned clear responsibility for the
success of a value stream. • The value stream may be defined on
• the product or business level (including product development), or • the plant or operations level (from raw materials to delivery).
• The value-stream manager is the architect of the value stream, identifying value as defined from the customer’s perspective and leading the effort to achieve an ever-shortening value-creating flow.
• The value-stream manager focuses the organization on aligning activities and resources around value creation, though none of the people or resources (money, assets) may actually “belong to” the value stream manager.
http://www.lean.org/Common/LexiconTerm.aspx?termid=362
Leading Through Influence • Value stream management distinguishes between
responsibility, which resides with the value-stream manager, and authority, which may reside inside functions and departments holding the resources.
• The role of the functions is to provide the people and resources needed to achieve the value-stream vision, as defined by the value-stream manager.
• The value-stream manager leads through influence, not position, and thus can be equally effective in a traditional functional organization or in a matrix organization, avoiding the common failure of matrix organizations, which is the loss of clear responsibility, accountability, and effective decision-making.
• The archetype for the role of the value-stream manager is the Toyota chief engineer, who has only minimal staff and resources under his direct control.
http://www.lean.org/Common/LexiconTerm.aspx?termid=362
Quadrants of Responsibility
• Process Owner • Stakeholder Engagement • Dependency Management • Objectivity • Continuous Inspection &
Adaption
• Engineering Investment (People)
• Quality Direction • Quality Strategy • Quality Requirements
• Technical Requirements • Technology Direction • Technology Strategy • Engineering Investment
(People) • Dependencies
• Prioritization • Customer
Requirements • Revenue
Product (Strategic)
Development (Tactical,
Operational)
Program (Organization)
Quality (Product Quality,
Continuity, Customer
Focus)
The Firm
Primary Stakeholders
Secondary Stakeholders
Communities
Financiers
Suppliers
Employees
Customers
Customer Advocate Groups
Special Interest Groups
Media
Government
Competitors
Freeman’s Basic 2-tier model
Cross-Functional Delivery
Team
Scrum Master
Product Owner
Scrum Team
Product Manager
QA Manager
Development
Manager
Program Manager
Alpha
Beta TME
Early Access
Program
User Experience
Team
Product Marketing
Channel Ramp
Other Business
Units
GB
Tech Support Team
Product Owner Team
Extended Delivery Team
Product
System Portfolio Council
Sales Support
Engineers
Customer Engagement
Team
UE Lead
Architect
Stakeholder Management Principles 1. Stakeholder interests need to
go together over time. 2. We need a philosophy of
volunteerism – to engage stakeholders and manage relationships ourselves rather than leave it to government.
3. We need to find solutions to issues that satisfy multiple stakeholders simultaneously.
4. Everything that we do serves stakeholders. We never trade off the interests of one versus the other continuously over time.
5. We act with purpose that fulfills our commitment to stakeholders. We act with aspiration towards fulfilling our dreams and theirs.
6. We need intensive communication and dialogue with stakeholders – not just those who are friendly.
7. Stakeholders consist of real people with names and faces and children. They are complex.
8. We need to generalize the marketing approach.
9. We engage with both primary and secondary stakeholders.
10. We constantly monitor and redesign processes to make them better serve our stakeholders.
The Role of Manager “Whatever the magnitude of their stake, each stakeholder is a part of the nexus of implicit and explicit contracts that constitutes the firm. However, as a group, managers are unique in this respect because of their position at the centre of the
nexus of contracts. Managers are the only groups of stakeholders who enter into a contractual relationship with all other stakeholders. Managers are also the only group of
stakeholders with direct control over the decision-making apparatus of the firm.”
(Hill & Jones, 1992: 134)
Who can play the role? • Someone who can understand the complexities of your
product lines, your customers and your organization. • Good candidates:
• Program Managers • Engineers • Technical Leaders • Architects
• Good, but often too busy: • Product Managers • Engineering Managers (can be good coaches or mentors for
Value Stream Managers)
Use Lean Management Thinking • Use A3 Problem Solving reports to help people develop
as Value Stream Managers • Improve their Problem Solving skills • Help people learn how to navigate the organization
Product Architecture
Primary Stakeholders
Secondary Stakeholders
Architecture Teams
Client Development Teams: ‘Early Integrators’
API Development Team
API QA Teams
Product Management
Test Automation Team
Special Interest Groups
Media
3rd Party Developers
Customers
User Experience Teams
System Test Team
Client Development Teams: ‘Late integrators’
Other Business
Units Client
Application QA
Teams
Tech Support
Team
Stakeholder Mapping for Product Architecture
Basic Flow Request
Portfolio Team
Review
Product/ Component PO Team
Delivery Team(s)
Architecture Team
Evaluation
Assign VS
Manager
“I have an idea or a
problem to solve”
• Priioritize this request
• Align with Portfolio
• Technical evaluation
• Decide the appropriate place for implementation
• Architecture consistency
• Detailed Technical evaluation
• End-to-end consistency
• Work across entire VS
• Prioritize work within a Product or Component
• Consider all sources of input
• Design, develop, deliver
Release Products
Low-Level Story
Acceptance Criteria Acceptance Criteria Low-Level Story
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User Story
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User Story
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Planned Ready In Progress Done This is our Ready policy. Thanks for
reading.
From here, go to Team backlogs;
Deliverables include
whitepaper, prototype, user stories, detailed
requirements, etc.
We always have visibility
on work in progress by
the Architecture
team
Technical Steering
Team Backlog
Request Queue (Backlog)
This is our Planned policy. We will plan something when ….
We will start work on something when ….
Work Items are declared ‘Done’ when ….
Portfolio Backlog
Example: Cross-Portfolio Architecture
Items are
Ready to begin
Portfolio
Feature Stack
Product
Product
Product
Product
Product
Product
Framework
C1
C2
C3
Pro
duct
Pro
duct
Pro
duct
Pro
duct
Pro
duct
Pro
duct
Framework
C1
C2
C3
Ext. Dep. 1
Ext. Dep 2
Teams
Product Line 1
Component 1
Feature
Product Line 2
Component 2
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Task Task Task Task Task Task Task
Task Task Task
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Task Task Task Task Task Task Task Task Task Task
Ext. Dep 3
Portfolio Team
Review
Product/ Component PO Team
Delivery Team(s)
Architecture Team
Evaluation
Assign VS
Manager Release Products
Some challenges • Multiple sources of requirements • Multi-Faceted Role, Requiring a Broad Skill Set • Balance decision making • Manage conflicts • Deal with multiple reporting lines • Navigate complicated org structures • Organization politics • Danger of Isolation
Understanding Lead Time and Cycle Time
http://stefanroock.wordpress.com/2010/03/02/kanban-definition-of-lead-time-and-cycle-time/
Cumulative Flow Diagrams
Value Stream Managers as Change Enablers
http://stevenmsmith.com/ar-satir-change-model/
A3 Management Focus Problem Solving Proposal Writing Project Status Review
Thematic content or focus
Improvements related to quality, cost, delivery, safety, productivity, etc.
Policies, decisions, or projects with significant investment or implementation
Summary of changes and results as an outcome of either problem solving or proposal implementation
Tenure of person conducting the work
Novice, but continuing throughout career
Experienced personnel; managers
Both novice and more experienced managers
Analysis Strong root-cause emphasis; quantitative/analytical
Improvement based on considering current state; mix of quantitative and qualitative
Less analysis and more focus on verification of hypothesis and action items
PDCA cycle Document full PDCA cycle involved in making an improvement and verifying the result
Heavy focus on the Plan step, with Check and Act steps embedded in the implementation plan
Heavy focus on the Check and Act steps, including confirmation of results and follow-up to complete the learning loop
From Table 5.1 from “Understanding A3 Thinking”
John Clifford, Construx http://forums.construx.com/blogs/johnclif/archive/2009/09/30/if-you-want-to-improve-stop-managing-your-problems.aspx
Applications of A3 Proposal Writing • Create a Value Stream Manager role to help with Portfolio
Backlog Management • Align all products and components on a quarterly commit
cadence • Ensure architecture consistency across multiple product
lines
Applications of A3 Problem Solving • Reduce Cycle Time for Portfolio Architecture Analysis • Reduce Product delivery cadence from 6+ months to 3
months • Reduce the Lead Time for high priority customer requests
Summary • Empower people to be Value Stream Managers
• Develop their skills as Problem Solvers • Help them navigate the organization • Develop them as enablers of change
• Use Stakeholder Maps to show who is affected • Use Value Stream Maps to show the flow • Use CFDs, Cycle Time and Lead Time to show delays
(waste) and opportunities for improvement • Use A3 Problem Solving and Proposal Writing to enable
Lean thinking and to optimize your Value Streams
Thank You!