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© 2012 ThoughtWorks, Inc. applying the lean startup model to the enterprise December 5 2012, Santa Monica-JUG @jezhumble | [email protected] Friday, December 7, 12

Applying the Lean Startup Model to the Enterprise

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There's a recording of this talk from QCon SF 2011 here: http://www.infoq.com/presentations/Innovation-at-Scale-using-Lean-Thinking

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Page 1: Applying the Lean Startup Model to the Enterprise

© 2012 ThoughtWorks, Inc.

applying the lean startupmodel to the enterpriseDecember 5 2012, Santa Monica-JUG @jezhumble | [email protected]

Friday, December 7, 12

Page 2: Applying the Lean Startup Model to the Enterprise

A startup is a human institution designed to create new products and services

under conditions of extreme uncertainty

eric ries, the lean startup, ch. 1Friday, December 7, 12

Page 3: Applying the Lean Startup Model to the Enterprise

innovationYou can't just ask

customers what they want and

then try to give that to them.

By the time you get it built,

they'll want something new.

steve jobs

Friday, December 7, 12

Page 4: Applying the Lean Startup Model to the Enterprise

the lean startup

Create hypothesis

Deliver mimimum viable product

Get feedback

(repeat, pivoting if necessary)

Ideas

the lean startup, part II - steer

CodeData

Build

Measure

Learn

Friday, December 7, 12

Page 5: Applying the Lean Startup Model to the Enterprise

business agility

“The main obstacles to improved business responsiveness are slow decision-making, conflicting departmental goals and priorities, risk-averse cultures and silo-based information.”

Economist Intelligence Unit: “Organisational agility:How business can survive and thrive in turbulent times”

Friday, December 7, 12

Page 6: Applying the Lean Startup Model to the Enterprise

enterprise-class problems

• Political

• Organizational

• Project / program management

• Governance

Friday, December 7, 12

Page 7: Applying the Lean Startup Model to the Enterprise

Project A

Project B

Project C

DBAs

Infrastructure team

Service desk

Value stream

OperationsEngineeringBusiness

Ping!“the enterprise”

Friday, December 7, 12

Page 8: Applying the Lean Startup Model to the Enterprise

Project A

Project B

Project C

DBAs

Infrastructure team

Service desk

Value stream

OperationsEngineeringBusinessLet’s create

a new product

Get offmy land!

enterprise politics

Friday, December 7, 12

Page 9: Applying the Lean Startup Model to the Enterprise

Project A

Project B

Project C

DBAs

Infrastructure team

Service desk

Value stream

OperationsEngineeringBusiness

Ping!

Project D

Let’s createa new

product

enterprise projects

Friday, December 7, 12

Page 10: Applying the Lean Startup Model to the Enterprise

Ideas -> Measurement

Ideas

CodeData

Build

Measure

Learn

Friday, December 7, 12

Page 11: Applying the Lean Startup Model to the Enterprise

Project A

Project B

DBAs

Infrastructure team

Service desk

Value stream

OperationsEngineeringBusiness

Project D

We’re going agile! Oh shit!Oh shit!

Friday, December 7, 12

Page 12: Applying the Lean Startup Model to the Enterprise

agile triangle

value(releasable product)

quality(reliable, adaptable product)

constraints(cost, schedule, scope)

Jim Highsmith: Agile Project Management

Friday, December 7, 12

Page 13: Applying the Lean Startup Model to the Enterprise

do less

Far more than 50% of functionality in software is rarely or never used. These aren’t just marginally valued features; many are no-value features.

The Standish Group, reported in the IEEE conference 2002

Friday, December 7, 12

Page 14: Applying the Lean Startup Model to the Enterprise

quality

“if we do not know who the customer is, we do not know what quality is”

the lean startup, ch. 6 - testFriday, December 7, 12

Page 15: Applying the Lean Startup Model to the Enterprise

build quality in

“Cease dependence on mass inspection to achieve quality. Improve the process and build quality into the product in the !rst place”

W. Edwards DemingFriday, December 7, 12

Page 16: Applying the Lean Startup Model to the Enterprise

Project A

Project B

DBAs

Infrastructure team

Service desk

Value stream

OperationsEngineeringBusiness

Project D

Our test-driven code follows SOLID

principles

Shame itdoesn’t work

Changemanagement

Friday, December 7, 12

Page 17: Applying the Lean Startup Model to the Enterprise

cultureautomation

measurementsharing

devops

Friday, December 7, 12

Page 18: Applying the Lean Startup Model to the Enterprise

hiring a devop

http://gun.io/blog/how-to-hire-devops/

Friday, December 7, 12

Page 19: Applying the Lean Startup Model to the Enterprise

the devops role

If you add a “devops” function to your existing dev, testing and ops functions, you just missed the whole point.

Friday, December 7, 12

Page 20: Applying the Lean Startup Model to the Enterprise

Project A

Project B

Project C

DBAs

Infrastructure team

Service desk

Value stream

OperationsEngineeringBusiness

Friday, December 7, 12

Page 21: Applying the Lean Startup Model to the Enterprise

faster feedback loops

developers write production-ready code

everyone collaborates throughout lifecycle

done means released

lower-risk, more reliable releases

continuous delivery

Friday, December 7, 12

Page 22: Applying the Lean Startup Model to the Enterprise

deciding what to do is command-and-control

ops still has all that legacy crap

no way to rationally decide what to retire

who is feeling the pain?

but

Friday, December 7, 12

Page 23: Applying the Lean Startup Model to the Enterprise

You build it,You run it

werner vogels, cto, amazonFriday, December 7, 12

Page 24: Applying the Lean Startup Model to the Enterprise

Project A

Project B

Project C

DBAs

Infrastructure team

Service desk

Value stream

OperationsEngineeringBusiness

Treat these servicesas if they were products

Friday, December 7, 12

Page 25: Applying the Lean Startup Model to the Enterprise

Service desk

Value stream

OperationsProducts / Services

Ping!

think product

PaaS

Ops management

Friday, December 7, 12

Page 26: Applying the Lean Startup Model to the Enterprise

inception: de!ne vision, mvp

deliver mvp, get feedback

keep delivering small increments

product development

Friday, December 7, 12

Page 27: Applying the Lean Startup Model to the Enterprise

what about utilization?

Donald Reinertsen, The Principles of Product Development Flow, p60.

Friday, December 7, 12

Page 28: Applying the Lean Startup Model to the Enterprise

self-manage using lean startup methodology

measure cost and value delivered

rationally determine what to prioritize

PMO prevents “market failure”

architecture group regulates at system level

therefore...

Friday, December 7, 12

Page 29: Applying the Lean Startup Model to the Enterprise

what is “done”?

“user stories were not considered complete until they led to validated learning”

the lean startup, ch. 7 - measureFriday, December 7, 12

Page 30: Applying the Lean Startup Model to the Enterprise

We believe that

[building this feature]

[for these people]

will achieve [this outcome].

We will know we are successful when we see [this signal from the market].

hypothesis-driven delivery

Je" Gothelf “Better product de!nition with Lean UX and Design” http://bit.ly/TylT6A

Friday, December 7, 12

Page 31: Applying the Lean Startup Model to the Enterprise

segregation of duties

risk management

SOX, ITIL, COBIT

auditing and compliance

change management

enterprise governance

Friday, December 7, 12

Page 32: Applying the Lean Startup Model to the Enterprise

jesse’s rule

“don’t fight stupid,make more awesome”

Jesse Robbins, Co-founder, Opscode @jesserobbinsFriday, December 7, 12

Page 33: Applying the Lean Startup Model to the Enterprise

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Friday, December 7, 12