Protecting the irreplaceable | f-secure.com

Changing Finger-Pointing to Improvement Using Value Stream MappingTowo Toivola, Director

R&D Global Methods

April 8, 20232

Contents

• F-Secure

• Keeping timetables and promises

• Finger-pointing

• What is value stream mapping

• Performing the work

• Effects

3

About F-Secure

• Company• Founded in 1988, listed on NASDAQ OMX Helsinki

• Market cap ca 350 m€, annual revenue ca 130 m€ (2010)

• Headquartered in Helsinki, 18 country offices, presence in more than 100 countries

• 812 people, 300+ in R&D, 5 R&D offices in 4 countries, Agile since 2005

• Products and Services • Online Security: Anti-Malware, e-mail filter, Browsing Protection, Parental Control

• Content Protection: Online Backup, Anti-Theft

• Online Storage and Services: Storage Platform, Sharing, Social Media Access

• Multiple OS platforms (Win, Mac, Linux, mobile), 20+ language versions

• Customers• Consumers (retail, reseller, e-store), millions of homes

• Network operators (ISP, mobile), world leader with 200+ operator partners

• Corporate

© F-Secure Public

More than200 operator partners globallyand over 250 m broadband subscribers

4

April 8, 20235

Why Are Timetables Important

• Deliveries to important partners when they have planned for it

• Market cycles

• Customer commitments and penalties

• Lack of reliability results in lack of business

• Long-term planning assumes that delivery dates hold

• Interdependent projects assume that delivery dates hold

April 8, 20236

How Is It Usually With Schedules

• Many companies, including us, suffer from late projects to some degree

• Deliveries with other than expected content

• Deliveries with poor quality

• Deliveries with outdated content

• Deliveries that require a lot of support work

“Software programmien aikataulut ei pidä”

“Projektit venyy ja paukkuu”

April 8, 20237

What Do We Do To Fix The Problem

It’s in the roadmap!!

R&DBizSales

Professional Services

There’s no resources for delivery!!

Make up your mind!!

Why don’t you deliver?! We said it’s

risky!!

Can’t you work faster?!

Why did you promise whatever?!

Why do you plan without us!!

April 8, 20238

Does This Help?

April 8, 20239

As Steve Denning Describes It..

© F-Secure / Confidential

April 8, 202310

What Is Value Stream Mapping

Wikipedia:Value stream mapping is a lean manufacturing technique used to analyze and design the flow of materials and information required to bring a product or service to a consumer.

April 8, 202311

Value Stream Mapping

Activity Activity Activity Activity

Customer demand pulls the work

A value stream is all the activities (both value and non-value adding) currently required to bring a product through the main flows essential to every product:

The design flow from concept to cash

© F-Secure ConfidentialApril 8, 202312

X Req.work X PSI1&2 devUX

ConceptingPo Council Rescoping Po Council

Client, Backend dev

PSG RTMDecisionReq. added

X demo prod upgrade & fixes

2 service releases, migration script dev, packaging rework,

customization

Package validation

Production for customer A

Productization Process (case: X)

Activity 6m 2,5m 5m 3w 2dWait 2,3m 2w 1wCumulative 16m

6,5m 1m 2,5m 1,5m 2d

27,5m

2,5 1d 5d (estimated cal.time for all customers is Nm) Total 2,5 years Total 3 years

Kick-off

X+1Proj. started

Production for operator [ ]

Fixes, customization, migration, deployment

X times

1. May 2009 11. March 2010 10. Sep 2010

17. Sep 2010

PPSGDelay RTM 1m

Client, Backend dev

Client, Backend dev

31. Jan 2011 March 2011 9. May 2011 30. Jun 2011

1. Jul 2011

Cost of Delay NNN kEur

Cost of Delay ?!

19. Oct 2011

Observations are missing

from this view

April 8, 202313

What We Did

• Case study VSM of an interesting project

• Cooperation of different functions the gain different viewpoints

• Gathering factual data

• If someone believes a certain thing, that’s a fact

Technology

Legal

Quality

HR

IT

• All major steps and events from business decision to first delivery

• Many observations about project environment

• 5 workshops, 3 different groups, 3 hours each

• Assessing generalizability of events

April 8, 202314

Results of Workshops

• Unparallel visibility to what happens when we work

• Concrete, undeniable data that everyone can grasp

• No single function was doing their work poorly, but were not cooperating in a way that is optimized for the whole

• Many disturbances will hit a long project

• They will make it yet longer

• Calendar time truly costs money

• We have some consistent, irrational behavior as a company

April 8, 202315

Reactions to Results

• “So it’s not just bad R&D work”

• Realizing nobody had the big picture

• Even execs

• Shocked at the length of cycle time

• Even execs

• Realizing the cost of delay

• Willingness to change big things

• Desire for an improved value stream:

New productization process

“Eye opening experience”

April 8, 202316

Current Status: Striving to Utilize Change Potential

• Project ‘commandments’ in preparation

• ‘Future state’ versions are in preparation

• Root cause analysis taking place

• Applying planning mechanisms to enable 3-month projects

• Spreading knowledge

• Major improvement targets for next year being specified

April 8, 202317

Do you know how to improve your company?Are “They” preventing any improvement?

Make it visual, make it concrete. Make a value stream map.

Any questions?