Kanban - an alternative path to agility (Lean Kanban Southern Europe 2014)
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Transcript of Kanban - an alternative path to agility (Lean Kanban Southern Europe 2014)
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Presents
PresenterDavid J. Anderson
Lean KanbanSouthern Europe
May 2014Release 1.0
Kanbanan alternative approach to agility
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An Unconventional ApproachMay Be Required
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Bruce Lee rejected traditional teaching and styles of Chinese martial arts
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Snake
Monkey
Mantis
Tiger
Kung Fu Panda simplified the art to only four styles
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There are in fact very many styles…
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“Dry land swimming” provides a false sense of capability
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Jeet Kune Do
Using no way as way
Having no limitation as limitation
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Jeet Kune Do encourages development of a uniquely personal style
"absorb that which is useful“
discard the remainder
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Training with an opponent provides the core feedback loop to drive adaptation
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Lee’s genius was recognizing hand-to-hand combat is a complex problem
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So why might we need an unconventional approach
to improving agility?
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Motivation for the Kanban Method
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Traditional Change is an A to B process
***either an internal process group or external consultants
CurrentProcess Future
Process
DefinedDesigned
transition
* Value stream mapping, ** Theory of Constraints Thinking Processes
A B
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Daniel Kahneman has given us a simple model for how we process information
Daniel Kahneman
System 1Sensory PerceptionPattern Matching
System 2Logical Inference
Engine
Learning byExperience
Learning from theory
FASTBut slow to learn
SLOWBut fast to learn
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How we process change…
Daniel Kahneman
Silicon-basedlife form
Carbon-basedlife form
I logically evaluate change using System 2
I adapt quickly
I feel change emotionally using System 1
I adapt slowly
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Adopting new processes challenges people psychologically & sociologically
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The Kanban Method…
*also known as "kanban" in Chinese and in Japanese when written with Chinese characters
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Water flows around the rock
“be like water”
the rock represents resistance
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Kanban should be like water*
* http://joecampbell.wordpress.com/2009/05/13/be-like-water/
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Principles behind the Kanban Method
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STATIK(systems thinking approach to introducing kanban)
This process tends to be iterative
For each service…
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Understandingkanban systems
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H
FF OM
NK
J
I
Kanban can be physical
Ideas
D
E
A
I
DevReady
G
Development TestingTest
Ready
F B
C
UATReleaseReady
In-progressLegend
Done
Blocked - issue
Blocked - defect
Physical token such as a magnet is a kanban
Colors are used to denote state
Moving done items down below a line is an optional enhancement
seen in some implementations
Override on kanban limit introduces additional
“blocked – issue” kanban
People working on blocked item “A”
have been redirected to work
on item “I”
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H
FF FF FF J
I
Kanban are often virtual!
Ideas
D
E
A
I
Engin-eeringReady
G
5Ongoing
Development Testing
Done3 3
TestReady
5
F
B
CPull
PullThese are the virtual kanban
*
These are the virtual kanbanThese are the virtual kanbanThese are the virtual kanban
The board is a visualization of the service delivery workflow, work-in-progress and the kanban system
UATDeploy-
mentReady
∞ ∞
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H
FF OM
NK
J
I
Pull
Kanban systems are pull systems
Ideas
D
E
A
I
DevReady
G
5Ongoing
Development Testing
Done3 3
TestReady
5
F
B
CPull
Pull
*
There is capacity here
UATReleaseReady
∞ ∞
Pulling work from development will create
capacity here too –the pull signals move
upstream!
Now we have capacity to replenish our ready
buffer
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Commitment is deferred
H
EC A
I
D
Commitment point
FF FF FF FPull
Wish to avoid aborting after commitment
IdeasDev
Ready5
Ongoing
Development Testing
Done3 3
TestReady
5
UATReleaseReady
∞ ∞
We are committing to getting started. We are certain we want
to take delivery.
Ideas remain optional and (ideally) unprioritized
G
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Discard rates are often high
H
E
C A
I
DF FF F
GH
I
Reject
IdeasDev
Ready5
Ongoing
Development Testing
Done3 3
TestReady
5
UATReleaseReady
∞ ∞
Discarded
The discard rate with a team at Microsoft in 2004 was 48%. ~50%
is commonly observed
Options have value because the future is uncertain
0% discard rate implies there is no uncertainty about the future
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Upstream Kanban Prepares OptionsReady
forEngin-eering
F
H
I
Comm-itted
D
4 Ongoing
Development
Done3
JK
12
Testing
Verification3
L
Commitment point
4 -
Requi-rementsAnalysis
2412 -
BizCaseDev
4824 -
Poolof
Ideas
∞
Min & Max limitsinsure sufficientoptions are alwaysavailable
Committed WorkOptions
Discarded
OReject
P Q
$$$ cost of acquiring options
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TestReady
FF FF FF F
Commitment Frequency
H
E
C A
I
G
D
Replenishment
Discarded
I
Pull
IdeasDev
Ready5
Ongoing
Development Testing
Done3 35
UATReleaseReady
∞ ∞
The frequency of system replenishment should reflect
arrival rate of new information and the transaction &
coordination costs of holding a meeting
Frequent commitment is more agile.
On-demand commitment is most agile!
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TestReady
FF FF FF F
Defining Kanban System Lead Time
H
E
C A
I
G
DPull
System Lead Time
Discarded
I
IdeasDev
Ready5
Ongoing
Development Testing
Done3 35
UATReleaseReady
∞ ∞
The clock starts ticking when we accept the customers order, not
when it is placed!
Until then customer orders are merely available options
Kanban system lead time ends when the
item reaches the first ∞
queue
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TestReady
FF FF FF F
Delivery Frequency
H
E
C A
I
G
D
Delivery
Discarded
I
Pull
The frequency of delivery should reflect the transaction &
coordination costs of deployment plus costs &
tolerance of customer to take delivery
IdeasDev
Ready5
Ongoing
Development Testing
Done3 35
UATReleaseReady
∞ ∞
UAT and Release buffer sizes can reduce as frequency of delivery
increases
Frequent deployment is more agile.
On-demand deployment is most agile!
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Service Delivery Agility
Service Agility
Commitment frequencyLead TimeDelivery
Frequency Lead
Tim
e
Short
Long
Deliv
ery
Service Agility
Com
mitm
ent
Frequent
Seldom
Frequent
Seldom
MoreAgile
LessAgile
Kanban system dynamics
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Understandingthe Kanban Method
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Treat each service separatelyDe
man
d
ObservedCapability
Dem
and
Dem
and
ObservedCapability
ObservedCapability
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Feedback Loops
OperationsReview
ServiceDeliveryReview
StandupMeeting
The Kanban Kata
daily
weekly
monthly
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Standup Meeting
Daily Meeting
Disciplined conduct (kata) & acts of leadership identify problems
Improvement discussions & process evolution happen at after meetings
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Service Delivery Review
Weekly Meeting
Usually (but not always) between a superior and a sub-ordinate
A focused discussion about demand, observed system capability, and fitness for purpose
Comparison of capability against fitness criteria metrics and target conditions, such as lead time SLA with 60 day, 85% on-time target
Discussion & agreement on actions to be taken to improve capability
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Operations Review
Monthly meeting
Disciplined review of demand and capability for each kanban system
Provides system of systems view and understanding
Kanban system design changes & process evolution suggested by attendees
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Organizational Improvements Emerge
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Visualize work, workflow & business risksusing large physical or electronic boards in communal spaces
Implement Virtual Kanban SystemsManage FlowMake Policies ExplicitImplement the Kanban KataEducate your workforce to enable collaborative evolution of policies & ways of working
based on models of workflow from bodies of knowledge such as Theory of Constraints, Deming’s Profound Knowledge, Lean, Risk Management ideas such as Real Option Theory & Liquidity
Kanban’s 6 Specific Practices
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Start with what you do now
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Fitness criteria are metrics that measure observable external outcomes
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Which system is fitter?
5 10 15 20 25 30 40 45 55 65 More02468
101214
System A
Frequency
Lead Time (Days)
5 10 15 20 25 30 More0
5
10
15
20
25
30
System B
Frequency
Lead Time in Days
Mean 17 days Mean 12 days
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Measuring delivery against expectation
5 10 15 20 25 30 40 45 55 65 More02468
101214
System A
Frequency
Lead Time (Days)
-25 -20 -5 0 5 10 20 30 35 40 More0
2
4
6
8
10
12
System A
Frequency
Lead Time Expectation Spread (Days)
5 10 15 20 25 30 More0
5
10
15
20
25
30
System B
Frequency
Lead Time in Days
-15 -10 -5 0 5 10 15 20 More05
1015202530354045
System B
Frequency
Lead Time Expectation Spread (Days)
Mean 17 days Mean 12 days
System B is clearly fitter!
System B delivers 5/7 within expectationsSystem A only delivers 3/7 within expectations
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Evolutionary change has no defined end point
EvolvingProcess
Rollforward
Rollback
InitialProcess
Future process is emergent
EvaluateFitness
EvaluateFitness
EvaluateFitness
EvaluateFitness
EvaluateFitness
We don’t know the end-point but we do know our emergent
process is fitter!
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Business Agility
Serv
ice D
eliv
ery
Agilit
y
Strong
Weak
Evol
utio
nary
cha
nges
Respond
Frequent
Seldom
MoreAgile
LessAgile
Defin
e Fit
ness
Crit
eria
Often
SeldomKa
nban
Kat
a
Sense
Strong
Weak
Business Agility
SenseFitness criteria by market segment
Capability against demand
RespondService Delivery Time
Evolutionary Changes
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1. Kanban helps you manage your organization as an ecosystem of creative service workflows.
2. Kanban enables you to improve your business agility through evolutionary improvement with significantly reduced resistance to change.
3. Kanban improves the survivability of your business making it resilient to a rapidly changing external environment
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Learn More
http://www.limitedwipsociety.org
http://edu.leankanban.com
@leankanbanu
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About
David Anderson is a thought leader in managing effective software teams. He leads a training, consulting, publishing and event planning business dedicated to developing, promoting and implementing sustainable evolutionary…
He has 30 years experience in the high technology industry starting with computer games in the early 1980’s. He has led software teams delivering superior productivity and quality using innovative agile methods at large companies such as Sprint and Motorola.David is the pioneer of the Kanban Method an agile and evolutionary approach to change. His latest book, published in June 2012, is, Lessons in Agile Management – On the Road to Kanban.David is a founder of the Lean Kanban Inc., a business dedicated to assuring quality of training in the Lean Kanban Method for managers of those who must “think for a living.”
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Joe Campbell first blogged about the similarity in philosophy between the Kanban Method and the teachings of Bruce Lee. He coined the phrase “Kanban should be like water”.
The data on slides 48 & 49 was provided by Raymond Keating of CME Group.
Hakan Forss of Avega Group in Stockholm has been instrumental in defining the Kanban Kata and evangelizing its importance as part of a Kaizen culture.
Real options thinking inspired by the work of Chris Matts, Olav Maassen & Upstream Kanban pioneered by Patrick Steyaert.
References to Sense & Respond are inspired by the work of Stephen Parry.
Don Reinertsen first suggested using virtual kanban systems for service delivery.
Acknowledgements
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