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This is the slide deck from my talk at LESS 2012, the Lean Enterprise Software and Systems conference in Tallinn, Estonia. http://SystemAgility.com/events
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IDENTIFYING AND MANAGING WASTE IN PRODUCT DEVELOPMENT Ken Power
Do any of these sound familiar? • Discovering the same problems over and over again • Solving the same problems repeatedly • Discovering that the problem we thought we had
was just a symptom • Teams are not performing to expectation (either
managements or their own) • Things just seem to take too long to get done • There is a lot of churn • Defect rates are climbing • Feature velocity is falling over successive releases • People are feeling a general dissatisfaction and lack
of fulfillment
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
“Eliminating waste is the most fundamental lean principle, the one from which all the other principles
follow. Thus, the first step to implementing lean development is
learning to see waste.”
(Poppendieck and Poppendieck 2003)
Defining Waste • Waste
• “Waste is anything that depletes resources of time, effort, space, or money without adding customer value.”
• Unevenness • Variability in Flow
• Overburden • “Unreasonableness”
7 Wastes of TPS
• Waste of overproduction. • Waste of time on hand (waiting).
• Waste in transportation. • Waste of processing itself. • Waste of stock on hand (inventory)
• Waste of movement. • Waste of making defective products.
Ohno Shiego
Capacity and Efficiency
Present Capacity = Work + Waste
“True efficiency comes when we produce zero waste and bring the percentage of work to 100 percent”
(Ohno 1988)
8 Wastes of Lean
• Overproduction. • Waiting (time on hand). • Unnecessary transport or conveyance.
• Over-processing or incorrect processing.
• Excess inventory. • Unnecessary movement. • Defects. • Unused employee creativity.
Liker
Waste Type Examples of Waste Effects of Waste
Overproduction • Producing items for which there are no orders • Overstaffing; Storage costs; Transportation costs
Waiting (time on hand)
• Workers watching an automated machine • Workers standing around waiting for the next
processing step, tool, supply part, etc. • Workers having no work because stock is out of
supply, delays in processing, equipment downtime, or capacity bottlenecks
• Worker time is wasted
Unnecessary transport or conveyance
• Carrying work in progress long distances • Creating inefficient transport • Moving materials, parts or finished goods into or
out of storage or between processes
• Time is wasted
Over-processing or incorrect processing
• Unneeded extra steps to process parts • Inefficient processes • Providing higher quality than necessary
• Inefficiencies; Unnecessary work
Excess inventory • Excess raw material • Excess Work In Progress (WIP) • Extra inventory
• Production imbalance; Late deliveries from suppliers; Defects; Equipment down time; Long setup time; Obsolescence; Damaged goods; Excess transportation costs; Excess Storage Costs
Unnecessary movement
• Any wasted motion employees have to perform in the course of their work, e.g., looking for, reaching for or stacking tools, parts, etc.
• Excess time, delayed feedback, or opportunity for errors
Defects • Production of defective parts • Correction of defective parts • Repair or rework; Scrap • Replacement production; Inspection
• Wasteful handling, time and effort
Unused employee creativity
• Not engaging with or listening to employees • Lost time, ideas, skills, improvements, and learning opportunities
Wastes in Software Development The Seven Wastes of
Manufacturing
• Inventory • Extra Processing • Overproduction • Transportation • Waiting • Motion • Defects
The Seven Wastes of Software Development
• Partially Done Work • Extra Processes • Extra Features • Task Switching • Waiting • Motion • Defects
Waste elimination and continuous improvement applies even more to
high-performing teams and organizations
Waste comes back 20 years later, it’s striking to me how much effort we’ve expended on eliminating muda (waste) and how little attention we have given to mura (unevenness) and muri (overburden). In short, unevenness and overburden are now the root causes of waste in many organizations. Even worse they put waste back that managers and operations teams have just eliminated. I have … advice for managers — especially senior managers — trying to create lean businesses: Take a careful look at your mura and your muri as you start to tackle your muda.”
James Womack, “Mura, Muri, Muda?” in Gemba Walks
blog.fundingfactory.com
keepingitkleen.com
Hierarchy of Waste Management
http://www.envirocentre.ie/
Challenges • Agreeing what is “waste” • Visualize Waste • Quantify the effects and impacts of Waste
• E.g., Technical Debt, Quality Debt
• Quantify the (perceived improvements) of managing the Wastes
• Seeing the whole – Systems Thinking • Avoiding local sub-optimization • Some focus on Muda
• Little focus on the effects of • Mura (unevenness in operations) • Muri (overburdening of people and equipment)
Identify Wastes
Initial understanding
Prioritize
Select Create a hypothesis
Manage
Understand the ‘After’ scenario
!!!!!!!!!!!
!
Keep Doing Do Less Of
Do More Of
Stop Doing
Things to Try
Identifying Wastes using Games
http://skycoach.be/ http://innovationgames.com
PDSA • Follows the steps of the
Scientific Method • Plan: develop a hypothesis or
experiment • Do: conduct the experiment • Study: collect measurements • Act: interpret the results and
take appropriate action
• Also known as • PDCA • The Deming Cycle • The Shewart Cycle
Plan
Do Study
Act
Value Stream Mapping
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
Waste Example
Waste Category
Description Relative Importance
# Stakeholders affected
Value Trigger Date, by which the waste must be eliminated
Relative value for managing this waste vs. other wastes
Relative value for managing this waste vs. other Project work
Compile and Build times take too long
Waiting It can take 15-30 minutes to run a full build, depending on the machine
We are losing nearly 20 person-hours per day across the entire team.
42 Devs, 12 QA (directly affected – others are indirectly affected)
50+ people will have less frustration waiting for long build cycles; Shorter build cycles encourage more frequent integration …
Release 4.5.1 in August 2012
This will help reduce feedback loops and encourage more use of TDD, leading to higher quality, fewer integration errors, fewer defects
This will ultimately help us go faster with other project work
Team spends time working on features that get dropped
Partially Done Work
Engineers, designers and others are putting significant effort into features that get dropped later.
We are not doing sufficient due diligence on some features. We need to get better at defining our Minimal Viable Offer.
8 Devs, 3 QA, 2 Eng Mgr, 2 Product Mgr
The entire team can spend more time focusing on delivering features we will ship with.
Duplication of status and progress reporting
Extra Processes
Functional lines are managing own reporting
Duplicated effort and danger of mixed message
4 Eng. Mgr, 1 Program Mgr, 3 Team Leads
Resolving defects in complex product dependency chains
Defects
Effective Retrospectives • One of the top 10 reasons that Agile projects fail is poor use of retrospectives
• Your opportunity to Inspect and Adapt
• Foster organization learning
People Team Management Org Leadership
Problem Solving Teams in Action
Keep it Visible
SOME LESSONS LEARNED
Definition of Done and Definition of Ready act as social contracts in agile teams. Together, they provide a boundary that stabilizes the team’s working environment, prevents waste (time, delays, churn, working on the wrong things), and avoids the accumulation of technical debt and quality debt.
Let nothing into a Sprint (or Timebox) that is not Ready; Let nothing out that is not Done
Getting Ready and Done
Planned Ready In Progress Done Accepted
We have prepared the Work Item, and the Work Item is ready to be pulled
in by the team
This is our Ready policy. Thanks for
reading.
(5)
Explicit Policies: Definition of Ready is a
good fit here
Apply WIP Limits to the Ready Queue too
Waste and Software Debt
Release&1& Release&2& Release&3& Release&4&
Features&
Technical&Debt&
Quality&Debt&
Release&1& Release&2& Release&3& Release&4&
Features&
Technical&Debt&
Quality&Debt&“Technical Debt Is Now
Costing Us $3.61 Per Line Of Code”
- CAST Study
Power, Ken. “Product Ownership Challenges.”
Types of Debt • Technical • Environment • Skills • Planning • Architecture
Waste and Flow
“The Principle of Queuing Waste: Queues are the root cause of the majority of economic waste in product development”
(Reinertsen, 2009).
Kanban helps visualize and control waste
“kanban systems offer deferred commitment, control of variability in flow, elimination of over-burdening, reduction of multi- tasking, and better alignment with high level risk management decisions regarding allocation of supply against various competing demands”
(Anderson, 2012) What Kanban Coaches do and don’t do
http://agilemanagement.net/index.php/Blog/what_kanban_coaches_do_and_dont_do/
The Life of a User Story
A single “In Progress” queue is not always sufficient to see what is happening
Planned (10)
Ready (5)
In Progress (7)
Done Accepted
This is our Ready policy. Thanks for
reading.
This is our Ready policy. Thanks for
reading.
The Life of a User Story
Design
Done Accepted
Coding
(2)
Code Review
(2)
Test Analysis
(2)
Design Review
(1)
SCM Updates
(1)
Planned (10)
Ready (5)
In Progress
Consider Team Effectiveness
What would Deming say? “In my experience, most troubles and
most possibilities for improvement add up to proportions something like
this: 94% belong to the System (the responsibility of management) 6% belong to Special Causes”
Optimize on the People who add Value
“Almost every organization claims it’s people are important, but if they truly optimize their structures on those who add value, they would be able to say:”
• Eric Ries, The Lean Startup. (page 274)
For all our vaunted efficiency in the making of things, our economy is still incredibly wasteful. This waste comes not from the inefficient organization of work but rather from working on the wrong things – and on an industrial scale. … It is hard to come by a solid estimate of just how wasteful modern work is.”
Summary • There is waste in every
system • Learn to see it • Eliminate it (or at least get it under
control)
• Develop people to be Problem Solvers
• You can have fun finding and eliminating waste • use serious games at work
• Use these techniques as part of your Continuous Improvement (Kaizen) efforts • Release or Iteration Retrospectives
are a great forum • Dedicated Problem Solving
Sessions • Continuous Improvement Circles • Strategy Sessions • Portfolio Management Sessions • Whenever you encounter a
problem
• Keep it Visible
Thank You!