An Executive s Guide to the Scaled Agile Copyright Net Objectives, Inc. All Rights Reserved 2

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1 An Executive s Guide to the Scaled Agile Framework Al Shalloway CEO, Net Objectives Al Shalloway CEO, Founder Copyright Net Objectives, Inc. All Rights Reserved 2 1

2 Product Portfolio Management Product Management Lean for Executives SAFe for Executives Scaled Agile Framework ASSESSMENTS CONSULTING TRAINING COACHING technical process Kanban / Scrum ATDD / TDD / Design Patterns SAFe Scrum/XP Leading SAFe SAFe Program Consultant Lean Management Project Management p o d c a s t s Copyright Net Objectives, Inc. All Rights Reserved 3 a day of SAFe what to watch if interested in SAFe Executive Overview Achieving Scale Architectural Runway Kanban Q&A what to watch if not interested in SAFe Executive Overview Achieving Scale Architectural Runway Kanban Copyright Net Objectives, Inc. All Rights Reserved 4 2

3 Our Organizational Structure Inspired by Dan North, BSC/ADP 2012 Copyright Net Objectives, Inc. All Rights Reserved 5 Hierarchical Management What they can manage Their people How busy they are Their productivity The quality of work of their people Copyright Net Objectives, Inc. All Rights Reserved 6 3

4 the nature of our work Copyright Net Objectives, Inc. All Rights Reserved 7 we manage this way even though our value flows this way Copyright Net Objectives, Inc. All Rights Reserved 8 4

5 Hierarchical vs. Lean Management What they can manage Their people How busy they are Their productivity The quality of work of their people What they need to manage Time to market Effects of upstream groups on their teams Effects of downstream groups on their teams Copyright Net Objectives, Inc. All Rights Reserved 9 who is managing the value? Copyright Net Objectives, Inc. All Rights Reserved 10 5

6 time to market Copyright Net Objectives, Inc. All Rights Reserved 11 how often does work wait? What percent of the time is our work moving forward? How much of the time is it waiting for something else to be done? How would you know? No one is managing this in most companies. Waiting Waiting Waiting Adding Value Adding Value Adding Value Adding Value Adding Value Adding Value Copyright Net Objectives, Inc. All Rights Reserved 12 6

7 what happens when adding value is delayed? between getting requirements and using them? between writing a bug and it being detected? between two groups getting out of sync? Copyright Net Objectives, Inc. All Rights Reserved 13 the whole picture Copyright Net Objectives, Inc. All Rights Reserved 14 7

8 Request Approve Reqts Sign Off Analysis Design Review Code Test Deploy 1. Identify the actions taken in the value stream Copyright Net Objectives, Inc. All Rights Reserved 15 Request Approve Reqts Sign Off 0.5 hrs 8 hrs 160 hrs 8 hrs Analysis 100 hrs Design Review Code Test 120 hrs 2 hrs 280 hrs 240 hrs Deploy 8 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? Copyright Net Objectives, Inc. All Rights Reserved 16 8

9 Request 0.5 / 0.0 hr Approve.1 / 7.9 hrs Reqts 60 / 100 hrs Sign Off 1 / 7 hrs Analysis 40 / 60 hrs 0.5 hrs 8 hrs 160 hrs 8hrs 100 hrs Design 40 / 80 hrs Review 2 / 0 hrs Code 80 / 200 hrs Test 40 / 200 hrs Deploy 3 / 5 hrs 120 hrs 2 hrs 280 hrs 240 hrs 8 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? Copyright Net Objectives, Inc. All Rights Reserved 17 Request 0.5 / 0.0 hr Approve Reqts Sign Off 320 hrs.1 / 7.9 hrs 80 hrs 60 / 100 hrs 320 hrs 1 / 7 hrs 80 hrs 0.5 hrs 8 hrs 160 hrs 8hrs Analysis 40 / 60 hrs 100 hrs 80 hrs Design 40 / 80 hrs Review Code Test 160 hrs 2 / 0 hrs 80 hrs 80 / 200 hrs 80 hrs 40 / 200 hrs 80 hrs 120 hrs 2 hrs 280 hrs 240 hrs Deploy 3 / 5 hrs 8 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? 4. Identify time between actions Copyright Net Objectives, Inc. All Rights Reserved 18 9

10 Request 0.5 / 0.0 hr Approve Reqts Sign Off 320 hrs.1 / 7.9 hrs 80 hrs 60 / 100 hrs 320 hrs 1 / 7 hrs 80 hrs 0.5 hrs 8 hrs 160 hrs 8hrs Analysis 40 / 60 hrs 100 hrs 80 hrs Design 40 / 80 hrs Review Code Test 160 hrs 2 / 0 hrs 80 hrs 80 / 200 hrs 80 hrs 40 / 200 hrs 80 hrs 120 hrs 2 hrs 280 hrs 240 hrs Deploy 3 / 5 hrs 8 hrs 20% rejected Repeat 1X 65% defective Repeat 3X 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? 4. Identify time between actions 5. Identify any loop backs required Copyright Net Objectives, Inc. All Rights Reserved 19 Request Approve Reqts Sign Off 0.5 / 0.0 hrs 320 hrs.1 / 7.9 hrs 80 hrs 60 / 100 hrs 320 hrs 1 / 7 hrs 80 hrs 0.5 hrs 8 hrs 160 hrs 8 8hrs Analysis 40 / 60 hrs 100 hrs 80 hrs Design Review Code Test 40 / 80 hrs 160 hrs 2 / 0 hrs 80 hrs 80 / 200 hrs 80 hrs 40 / 200 hrs 80 hrs 120 hrs 2 hrs 280 hrs 240 hrs Deploy 3 / 5 hrs 8 hrs 20% rejected Repeat 1X 65% defective Repeat 3X 509 hrs PCE = = 14.9% 3433 hrs 1. Identify the actions taken in the value stream 2. What was the real time from start to finish of the action? 3. What was the average time working on this vs working on other things? 4. Identify time between actions 5. Identify any loop backs required Avg Time Worked 6. Calculate Process Cycle Efficiency: Total Cycle Time Copyright Net Objectives, Inc. All Rights Reserved 20 10

11 legacy organization: matrix resources to projects Project 1 Project 2 Project 3 Project 4 Project N Copyright Net Objectives, Inc. All Rights Reserved 21 let s create a pilot project Project 1 Project 2 Project 3 Project 4 Project N % Business Analyst, Architect, Usability Expert, Developer, Developer, Tester, Project Manager Expert Experience has shown that if you create a cross functional colocated team you will improve 3x without changing your process. Copyright Net Objectives, Inc. All Rights Reserved 22 11

12 value incrementally realizing business value risk what risks do these approaches lower? risk evolving the system value Copyright Net Objectives, Inc. All Rights Reserved 23 identifying MBIs by programs Low High Importance of projects 1. Define projects 2. Break them up into smaller ones 3. Rearrange them by priority Copyright Net Objectives, Inc. All Rights Reserved 24 12

13 define MVPs to be worked on Low High Importance of projects In queue Active Copyright Net Objectives, Inc. All Rights Reserved 25 opportunity to re assess Low High Importance of projects In queue Active Copyright Net Objectives, Inc. All Rights Reserved 26 13

14 opportunity to re assess Low High Importance of projects In queue Active Copyright Net Objectives, Inc. All Rights Reserved 27 BUSINESS DISCOVERY c h u n k i n g empirical value stream BUSINESS DELIVERY s l i c i n g Input Priority Planning Staging Ready to Pull Iteration 0 Iterative Development Incremental Deployment Support & Feedback what is faster? Copyright Net Objectives, Inc. All Rights Reserved 28 14

15 Scaled Agile Framework A proven, publicly facing framework for applying Lean and Agile practices at enterprise scale. Copyright Net Objectives, Inc. All Rights Reserved 29 lean thinking provides the tools we need Respect for People Product Development Flow Kaizen Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

16 Goal: Speed, Value, Quality Respect for People Product Development Flow Kaizen All we are doing is looking at the timeline, from the where the customer gives us an order to where we collect the cash. And we are reducing the time line by reducing the non value added wastes. Taiichi Ohno THE GOAL Sustainably shortest lead time Best quality and value to people and society Most customer delight, lowest cost, high morale, safety Agile is about delivering incremental business value, not team iterations Alan Chedalawada Most software problems will exhibit themselves as a delay. Al Shalloway Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 31 respect for people Respect for People Product Development Flow PEOPLE Kaizen Develop individuals and teams; they build products Empower teams to continuously improve Build partnerships based on trust and mutual respect Your customer is whoever consumes your work Don t trouble them Don't overload them Don't make them wait Don't impose wishful thinking Don't force people to do wasteful work Equip your teams with problemsolving tools Form long term relationships based on trust Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

17 Provide quality systems within which people can work Copyright Net Objectives, Inc. All Rights Reserved 33 Key Principles Lean Agile Software Development Optimize the Whole Optimize to realize business value not just to improve development work. Implement lean across an entire value stream the complete product Copyright Net Objectives, Inc. All Rights Reserved 34 17

18 Key Principles Lean Agile Software Development Eliminate Waste Only work on things of value and that you know how to achieve. Only start work that you know you can complete. Most waste due to delays in either workflow or feedback Root cause of waste is too much Work in Process (WIP) Duplication of effort must be avoided with holistic view Copyright Net Objectives, Inc. All Rights Reserved 35 product development flow 1. Take an economic view Respect for People Product Development Flow Kaizen 2. Actively manage queues 3. Understand and exploit variability 4. Reduce batch sizes 5. Apply WIP constraints 6. Control flow under uncertainty: cadence and synchronization 7. Get feedback as fast as possible 8. Decentralize control Reinertsen, Don. Principles of Product Development Flow Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

19 kaizen Respect for People Product Development Flow Kaizen BECOME RELENTLESS IN: Reflection Continuous improvement as an enterprise value A constant sense of danger Small steady, improvements Consider data carefully, implement change rapidly Reflect at milestones to identify and improve shortcomings Use tools like retrospectives, root cause analysis, and value stream mapping Protect the knowledge base by developing stable personnel and careful succession systems Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 37 Scaled Agile Framework Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

20 Scaled Agile Framework Synchronizes alignment, collaboration and delivery Well defined in books and now on the web Scales successfully to large numbers of practitioners and teams Core Values 1. Code Quality 2. Program Execution 3. Alignment 4. Transparency Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 39 Agility is about Business Value Increments not development cycles Copyright Net Objectives, Inc. All Rights Reserved 40 20

21 a system of delivering business value A system is a network of interdependent components that work together to try to accomplish the aim of the system. A system must have an aim. Without an aim, there is no system. W. Edwards Deming Copyright Net Objectives, Inc. All Rights Reserved 41 drive from the portfolio Portfolio Vision gives the system an aim Centralized strategy, decentralized execution Investment themes provide operating budgets for trains Kanban systems provide portfolio visibility and WIP limits Objective metrics support governance and kaizen Value description via Business and Architectural epics Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

22 alignment more value is created with overall alignment than with local excellence. Don Reinertsen Alignment Business Owners Clear content authority Face to face planning Aligned Team, Program and Business Owner objectives Cross team and cross program coordination Architecture and UX guidance Match demand to throughput Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 43 systems must be managed A system must be managed. It will not manage itself. Left to themselves, components become selfish, competitive, independent profit centers, and thus destroy the system The secret is cooperation between components toward the aim of the organization. W. Edwards Deming Copyright Net Objectives, Inc. All Rights Reserved 44 22

23 the program level drives the teams Self organizing, self managing team of agile teams Continuous value delivery Aligned to a common mission via a single backlog Common sprint lengths and estimating Face to face planning cadence for collaboration, alignment, synchronization, and assessment Value description via Features and Benefits Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 45 alignment, synchronization, and cadence Todays development processes typically deliver information asynchronously in large batches. Flow based processes deliver information in a regular cadence of small batches. Don Reinertsen Copyright Net Objectives, Inc. All Rights Reserved 46 23

24 Develop on Cadence, Deliver on Value Development occurs on a fixed cadence. The business decides when value is released. Customer Preview Major Release Customer Upgrade Major Release New Feature Deliver on Demand PSI PSI PSI PSI PSI Develop on Cadence Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 47 program execution Agile Release Trains self organizing teams of agile teams reliably and frequently deliver enterprise value Driven by vision and roadmap Lean, economic prioritization Frequent, quality deliveries Fast customer feedback Fixed, reliable cadence Regular inspect and adapt drives continuous improvement Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

25 nothing beats an agile team Empowered, self organizing, self managing cross functional teams Valuable, fully tested software increments every two weeks Scrum project management practices and XP inspired technical practices Teams operate under program vision, system, architecture and user experience guidance Value description via User Stories Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 49 transparency transparency builds confidence, alignment and trust Transparency All backlogs and progress visible to all stakeholders Objective reporting based on working, tested, evaluated code Everyone understands backlog, capacity, velocity, WIP Management leads and fosters open environment Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

26 Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 51 leading knowledge workers Workers are knowledge workers if they are more knowledgeable about the work they perform than their bosses. Peter Drucker Workers themselves are best placed to make decisions about how to perform their work and how to modify their processes To effectively lead, the workers must be heard and respected Knowledge workers have to manage themselves. They have to have autonomy. Continuing innovation has to be part of their work, and their responsibility Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

27 foundation: leadership Lean Thinking Manager Teachers Respect for People Product Development Flow Kaizen Management is trained and exhibits lean thinking Bases decisions on this long term philosophy Take responsibility for Lean Agile success Understand and teach Lean Agile behaviors Are trained in practices and tools of continuous improvement Teach problem solving and corrective action See with their own eyes. No useful improvement was ever invented at a desk. Managers develop people. People develop solutions Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved. 53 Conclusion The foundation of Lean is leadership The foundation of SAFe is YOU Scaled Agile, Inc. and Leffingwell, LLC. All rights reserved

28 Next Steps Become a SAFe Lean Thinking Manager Teacher Browse the framework Read the book Build your expertise with training and certification Launch Agile Release Trains Accelerate value delivery with your first Agile Release Train Leverage the Community Contact Net Objectives (see next slide) Join the community at community.scaledagile.com Copyright Net Objectives, Inc. All Rights Reserved 55 Net Objectives Scaled Agile consulting and implementation for a decade. The premier provider of SAFerelated consulting and training. The primary contributors to the materials in the SAFe code quality section. Technical Training Design Patterns ATDD / TDD Emergent Design Scrum/XP SAFe Related Services Portfolio Management Product Manager and Product Owner Training Quick Starts (customizable) SAFe Kanban SPC Training Copyright Net Objectives, Inc. All Rights Reserved 56 28

29 Thank You Al Shalloway Twitter Register at to receive notices of monthly webinars See See upcoming SPC courses in Seattle (1/14 17) and Atlanta (2/18 21) Product Portfolio Management Product Management Lean for Executives SAFe for Executives Scaled Agile Framework ASSESSMENTS CONSULTING TRAINING COACHING technical process Kanban / Scrum ATDD / TDD / Design Patterns SAFe Scrum/XP Leading SAFe SAFe Program Consultant Lean Management Project Management p o d c a s t s Copyright Net Objectives, Inc. All Rights Reserved 58 29

30 Questions Public Course 11 Dec Essence of Agile: From Team to Full Stream SAFe Courses 14 Jan SAFe Program Consultant Certification (Seattle) 18 Feb SAFe Program Consultant Certification (Atlanta) Copyright Net Objectives, Inc. All Rights Reserved 59 30