Agile portfolio management - Tools that help to reduce demand

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The Agile Transformation Company

Agile Portfolio Management

Marcos GarridoCertified Scrum Trainer (CST)Certified Enterprise Coach (CEC)mgarrido@k21global.com

Carlos Felippe Cardoso (CFC) Certified Scrum Professional (CSP)Management 3.0 facilitator

cfc@k21global.com@carlosfelippe

WATERFALL

AGILE

X

Adaptability is key

“there is nothing permanent except change" - Heraclitus

Butwearetalkingabout

FEATURES

Whatabout

PRODUCTS?

Let me share a real story…

Director:"Ihaveanurgentdemand!Weneedanew

apptosimulatecarloans".

Team:“Butweareplanningthisforearly2018!”

Director:“C'mon,we’resavingatleastoneyearhere!"

KnowledgeWorkersinthe21stcentury

arefacingaBIGCHALLENGE…

DEMANDISwayHIGHER

thanSUPPLY

affectingourabilitytodeliverprojects

3usualsolutions

DEMAND>SUPPLY

Brute Force

Brute Force?

Nerd way of thinking

Lead Time

WIP (# of items ) Throughput= X

Lead Time =

WIP (# of items )

Throughput

Little’s Law

WHY?

•Focusincostandschedule

(insteadofvalueandresponsiveness)

•UnlimitedWIP

(insteadofreducedbatchsizesandlimitedWIP)

BRUTEFORCEISNOTAGILE!

X

Funnel

time

DEMAND>SUPPLY

WHY?

•Poortimetomarket

•Nofeedbackloops

•Lowtransparency

•Costofdelay

FUNNELISNOTAGILE!

X X

Howtobalancedemandandsupply?

DEMANDISwayHIGHER

thanSUPPLY

affectingourabilitytodeliverprojects

Howtobalancedemandandsupply?

Steps

1)Connectbusinessgoalstoagiledevelopment2)StopfocusingonlyonITagility3)Understandyourvaluechains 4)Startdoingbusinessagility,engagetheUPSTREAM

Work on the upstream!

LeanStartup-FromHypothesistoHappiness

SomeUPSTREAMtools

Tool #1 - Validation Board

Ruralproducer

Needsaloan

Smallruralproducer

Needsaloan

Mobileapptosimulatetheloanconditions

Validation Board

Theyhavesmartphones Theyhave3/4g

loremipsumsitdoloramet

mussumipsus

therearen'tcomplianceviolations

Validation Board

Theyhave3/4g

loremipsumsitdoloramet

mussumipsus

therearen'tcomplianceviolations

Theyhavesmartphones

Validation Board

(in)Validation methods

https://prezi.com/kbp59xrmye2u/lean-products-and-the-validation-board/

Theyhave3/4g

loremipsumsitdoloramet

mussumipsus

therearen'tcomplianceviolations

Theyhavesmartphones

CustomerDevelopment

Validation Board

Theyhave3/4g

loremipsumsitdoloramet

mussumipsus

therearen'tcomplianceviolations

Theyhavesmartphones

CustomerDevelopment

50%needtohaveasmartphone

Someresultswe'reseeinginourclients:

-Manydiscardedprojects

-1-yearprojectwasreducedto30days

-Brutalscopereduction

-Increaseduseofmetricsinbusinessdecisions

Tool #2 - Cost of Delay

Source:DonReinersten

Types of CoD

Source:KennethRubin

Question:What’stheCoDinaTaxiAppthatstaysinyourfunnelfor3years?

Tool #3 - Portfolio Kanban

Image:PawelBrodzinski

Howtoprioritize?

Image:PawelBrodzinski

BesidesCoD,wecanusethesevariables:

Financial-$$$InnovationComplianceRefactoring

P.S.1:ThesevarsarealignedtocompanyKPI's/goals

P.S.2:Useclassesofservice(Kanban)tobalancedifferentvarstypes

Howtoprioritize?

Mixing up all tools

STOP Starting START Finishing

The Agile Transformation Company

k21global.com

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