This document provides an overview of Lean & Agile Project Management techniques for large programs and projects. It begins with background on the author and their experience and credentials in Agile Project Management. The agenda then outlines topics to be covered, including the need for Agile Project Management, an introduction to Agile Project Management principles and techniques, different types of Agile Project Management like Scrum and XP, how to scale Agile techniques to larger programs and projects, metrics for measuring Agile Project success, and case studies.
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Lean & Agile Project Management: For Large Programs & Projects
1. Lean & Agile
Project Management
for Large Programs & Projects
Dr. David F. Rico, PMP, CSM
Website: http://davidfrico.com
LinkedIn: http://www.linkedin.com/in/davidfrico
Facebook: http://www.facebook.com/profile.php?id=1540017424
2. Author Background
DoD contractor with 27+ years of IT experience
B.S. Comp. Sci., M.S. Soft. Eng., & D.M. Info. Sys.
Large gov’t projects in U.S., Far/Mid-East, & Europe
Published six books & numerous journal articles
Adjunct at George Washington, UMUC, & Argosy
Agile Program Management & Lean Development
Specializes in metrics, models, & cost engineering
Six Sigma, CMMI, ISO 9001, DoDAF, & DoD 5000 2
3. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
3
4. Information Age
U.S. is no longer an industrial-age nation
U.S. part of a group of post-industrial countries
U.S. consists of information-age knowledge workers
100%
80%
Percent of Economy
Information
60%
Service
40% Industry
Agriculture
20%
0%
1860 1870 1880 1890 1900 1910 1920 1930 1940 1950 1960 1970 1980 1990
Bell, D. (1999). The coming of post industrial society. New York, NY: Basic Books.
4
5. Global Competition
Globalization has intensified market competition
High-tech market dominated by international firms
The trade deficit with the Far East is growing bigger
Khanna, P. (2009). The second world: How emerging powers are redefining global competition in the twenty-first century. New York, NY: Random House.
5
6. Technological Change
21st century systems are technology-intensive
Technology is evolving at an exponential speed
Technology is obsolete before project completion
Kurzweil, R. (2005). The singularity is near: When humans transcend biology. New York, NY: Penguin Group.
6
7. Today’s Environment
Highly-unstable global and domestic markets
Customers are demanding and difficult to please
Project plans cannot cope with this level of volatility
Market Technology Organization Project People
Result
Fierce rivalry Economic driver Downsizing Vague requirements Inability to cope Poor performance
Global competition Market driver Restructuring Volatile specs. High stress Cost overruns
Restructuring Dependent Bankruptcy Shorter schedules Over-allocated Schedule overruns
Market fluctuation Constant change Mergers & Acq. Smaller budgets Over-worked Poor quality
Currency instability Exponential change Lost revenues More work Work-life imbalance Angry customers
Global recession Disruptive Budget reductions Tough customers Beleaguered Market share loss
Market dependency Growing complexity Reorganizations Politically-sensitive Individualistic Business loss
Imbalanced trade Software-intensive Interdependencies Large scale and size Poor people skills Revenue loss
Political instability Smaller Bloated processes Globally-distributed Bad communication Unprofitability
Regional warfare Ubiquitous Legacy systems Very high-risks No commitment Poor morale
Emerging threats Poor usability Need technology Uncertainty Lack of ownership High attrition
Cyber attacks Nano technology Project dependent No business value Poor customer skill Bad reputation
Augustine, S. (2005). Managing agile projects. Upper Saddle River, NJ: Pearson Education.
Chin, G. (2004). Agile project management: How to succeed in the face of changing project requirements. Broadway, NY: Amacom.
DeCarlo, D. (2004). Extreme project management: Using leadership, principles, and tools to deliver value in the face of volatility. San Francisco, CA: Jossey-Bass.
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education. 7
8. Need for a New Model
Need for a new model of project management
Cope with high-level of uncertainty and ambiguity
With just the right balance of flexibility and discipline
R&D Oriented People Centered Adaptive Customer Friendly Fast & Efficient Disciplined
New discoveries Highly-talented people Global threats Customer interaction New technology Lightweight strategy
Complex problems Cross-functional teams Market threats A lot of communication Quick decision-making Lightweight plans
One-off systems Small team size New customer needs Customer demos Iterative delivery cycles Lightweight lifecycles
Vague requirements A lot of communication Changing scope Customer feedback Frequent deliveries Security engineering
Incomplete information Interpersonal trust Changing technology Business value focus Fast delivery schedules Light requirements
High uncertainty Rich collaboration Changing regulations Customer satisfaction Short timelines Light architecture
Experimentation Empowered decisions Continuous change Customer responsive Fast time-to-market Lightweight design
Simulations Sustainable pace Flexible culture Customer sensitivity First-mover capability Code reviews
Prototyping Daily interaction Flexible attitudes Customer relationships Minimal process costs Rigorous V&V
Innovation oriented Rich communications Flexible policies Customer contact Low work-in-process
- Rigorous CM
New products Face-to-face interaction Flexible processes Customer involvement Flexible processes Rigorous QA
Creative solutions Cohesiveness Flexible technologies Customer driven Market responsiveness Project reviews
Augustine, S. (2005). Managing agile projects. Upper Saddle River, NJ: Pearson Education.
Chin, G. (2004). Agile project management: How to succeed in the face of changing project requirements. Broadway, NY: Amacom.
DeCarlo, D. (2004). Extreme project management: Using leadership, principles, and tools to deliver value in the face of volatility. San Francisco, CA: Jossey-Bass.
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education. 8
9. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
9
10. What is Agile Project Mgt.?
A-P-M (ā-pē-ĕm): Light, flexible, collaborative, and
adaptive; Market-centric project management model:
Sound, yet flexible process to manage projects under
uncertainty, urgency, and a need for unique expertise
Values, principles, and practices to help project teams
in coming to grips with a challenging environment
Managing the flow of human thoughts, emotions, and
interactions in a way that produces business value
Rapidly and reliably creating value by engaging
customers, continuously learning, and adapting
Lightweight, yet disciplined project management model
for building high-quality technology-intensive systems
Augustine, S. (2005). Managing agile projects. Upper Saddle River, NJ: Pearson Education.
Chin, G. (2004). Agile project management: How to succeed in the face of changing project requirements. Broadway, NY: Amacom.
DeCarlo, D. (2004). Extreme project management: Using leadership, principles, and tools to deliver value in the face of volatility. San Francisco, CA: Jossey-Bass.
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education. 10
11. Agile World View
“Agility” has many dimensions other than software
Ranges from organizational to technological agility
The focus of this brief is project management agility
Agile Leadership
Agile Acquisition
Agile Organizations
Agile Strategic Planning
Agile Capability Analysis
Agile Program Management
Agile Project Management
Agile Systems Development
Agile Processes & Practices
Agile Tools
Agile Information Systems
Agile Technology 11
12. Values of Agile Project Mgt.
People-centric way to create innovative solutions
Market-centric model to maximize business value
Alternative to large document-based methodologies
Agile Manifesto. (2001). Manifesto for agile software development. Retrieved September 3, 2008, from http://www.agilemanifesto.org
12
13. Essence of Agile Project Mgt.
High degree of customer & developer interaction
Highly-skilled teams producing frequent iterations
Right-sized, just-enough, and just-in-time process
• Business Value
• Leadership
• ROI, NPV, ROA
• Empowerment, trust
• Trust, Loyalty,
• Coaching, mentoring
Relationships
• Market responsive • Early market feedback
• Business agility • Experimentation
• Customer sensitive • Sense and response
Highsmith, J. A. (2002). Agile software development ecosystems. Boston, MA: Addison-Wesley.
13
14. How do Lean & Agile Intersect?
Lean thinking provides the what (requirements)
Agile thinking provides the how (implementation)
Agile proj. mgt. is lean, light, adaptable, and flexible
Agile Pillars Agile Principles Lean Pillars Lean Principles Other Principles
Customer defines
Intensive customer Economic view
Customer value
collaboration and
collaboration
interaction Respect for Customer pulls value Fast feedback
people
Individuals Small empowered high-
and performance multi- Respect for people Decentralize control
interactions disciplinary teams
Reduce batch size
Working Iterative development of Continuous flow
Control cadence
systems and working operational
Continuous Manage queue size
software systems and software Continuous
improvement Exploit variability
improvement
Responding to change with
Responding to Map value stream Manage work-in-
flexible culture, process,
change (eliminate waste) process
and product
Womack, J. P., & Jones, D. T. (1996). Lean thinking: Banish waste and create wealth in your corporation. New York, NY: Free Press.
Reinertsen, D. G. (2009). The principles of product development flow: Second generation lean product development. New York, NY: Celeritas.
Reagan, R. B., & Rico, D. F. (2010). Lean and agile acquisition and systems engineering: A paradigm whose time has come. DoD AT&L Magazine, 39(6).
14
15. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
15
16. Scrum Project Management
Created by Jeff Sutherland at Easel in 1993
Product backlog comprised of customer needs
Barely-sufficient project management framework
Initial Planning Sprint Cycle
Discovery Session Sprint
Agile Training Select Tasks and Create Tests
Project Discovery Create Simple Designs
Code and Test Software Units
Process Discovery
Perform Integration Testing
Team Discovery
Maintain Daily Burndown Chart
Initial Backlog Update Sprint Backlog
Release Planning Sprint Planning Daily Scrum Sprint Review
Business Case Set Sprint Capacity Completed Backlog Items Present Backlog Items
Desired Backlog Identify Tasks Planned Backlog Items Record Feedback
Estimate Tasks Impediments to Progress Adjust Backlog
Hi-Level Estimates
Prioritize Backlog
Finalize Backlog
Sprint Retrospective
Product Backlog Sprint Backlog Potentially Shippable Product
Prioritized Requirements List of Technical Tasks Assigned to a Sprint Working Operational Software
Schwaber, K. (2004). Agile project management with scrum. Redmond, WA: Microsoft Press.
16
17. XP Project Management
Created by Kent Beck at Chrysler in 1998
Release plan is comprised of customer needs
Lightweight, rigorous near-term planning element
Release Planning Iteration Planning
Exploration Phase Exploration Phase
Build a Team Split User Stories Analyze Release Plan Read User Stories
Write User Stories Spike User Stories Identify Iteration Goal Develop Tasks
Estimate User Stories Write User Tests Select User Stories Split Tasks
Commitment Phase Commitment Phase
Sort by Value Choose a Scope Accept Tasks Analyze Schedules
Sort by Risk Set Iteration Length Set Individual Velocity Set Load Factors
Set Velocity Develop Release Plan Estimate Tasks Balance Tasks
Steering Phase Steering Phase
Select Iteration New Release Plan Select Partner Unit/Integration Test
Adjust Velocity Select Tools Write Unit Tests User Acceptance Test
Insert New Stories Adjust Teams Design and Code Record Progress
Beck, K., & Fowler, M. (2001). Planning extreme programming. Upper Saddle River, NJ: Addison-Wesley.
17
18. Flexible Project Management
Created by Doug DeCarlo at Cutter in 2004
Focus is on collaboration, scoping, and speed
Thinner traditional project management approach
Visionate Speculate Innovate Re-Evaluate Disseminate
Sponsor’s Vision Planning Meeting Learning by Doing Business Questions Product Launch
Interview Sponsor Collective Vision SCORE Model Who Needs It? Acceptance Testing
Describe Objectives Size Deliverables Architecture What Will It Take? Documentation
Project Prospectus Map Schedule Development Can We Get It? Support Plan
Business Questions Choose Life Cycle Construction Is It Worth It? Maintenance Plan
Requirements ID’d Testing Deploy Solution
Development Tools Time Boxing Customer Service
Collective Vision Project Review
Risk Planning Trial and Error
Scope Meeting Check Performance
Collaboration
Future Scenarios Check Schedule Stabilization
Post Meeting
Project Skinny Check Costs Training/Education
Project Boundaries PM Infrastructure Generate Results Check Benefits Utilization
Project Vision Financial Goals Visibility Check Project ROI Performance
Win Conditions Benefit Plan Early Value Go/No-Go Decision Feedback
Benefit Map Partner Agreements Fast Failures Corrective Action
Wow Factor
Project Changes
Uncertainty Profile Business Questions Business Questions Lessons Learned
Re-Direct As-Needed
Go/No-Go Decision Modify Questions Update Vision
Collective Vision Team Rewards
Update Stakeholders
Select Core Team Update Prospectus Update Prospectus Re-examine Team Track Benefits
DeCarlo, D. (2004). Extreme project management: Using leadership, principles, and tools to deliver value in the face of volatility. San Francisco, CA: Jossey-Bass.
18
19. Adaptive Project Management
Created by Sanjiv Augustine at CC Pace in 2005
Builds agile cultures, mind-sets, and environments
Leadership model for managing agile project teams
Foster Alignment and Cooperation Encourage Emergence and Self Organization Learning/Adaptation
Organic Teams Guiding Vision Simple Rules Open Information Light Touch Adaptive Leadership
Leadership Leadership Leadership Leadership Leadership Leadership
Craftsmanship Team Vision Culture of Change Conduct Standups Adapt Style Embodied Presence
Collaboration Team Alignment Value Focus Promote Feedback Roving Leadership Embodied Learning
Guiding Coalition Bold Future Build Trust Go With Flow
Community Shared Expectations Facilitate Action Work Life Quality
Build on Strengths
Gain Commitments
Management Management Management Management Management Management
Identify Community Business Outcomes Assess Status Quo Team Collocation Decentralize Control Daily Feedback
Design Structures Delineate Scope Customize Method Get Onsite Customer Pull vs. Push Monitor/Adapt Rules
Get Team Players Estimate Effort Release Plan Practice Pairing Manage Flow Monitor Practices
Adaptive Enterprise Design Vision Box Iteration Plans Information Radiator Use Action Sprints Retrospectives
Elevator Statement Facilitate Design Map Value Stream Scenario Planning
Conduct Testing
Manage Releases
Augustine, S. (2005). Managing agile projects. Upper Saddle River, NJ: Pearson Education.
19
20. Agile Project Management
Created by Jim Highsmith at Cutter in 2003
Focus on strategic plans and capability analysis
Most holistic agile project management framework
Innovation Lifecycle
Envision Speculate Explore Launch Close
Product Vision Gather Requirements Iteration Management Final Review Clean Up Open Items
Product Architecture Product Backlog Technical Practices Final Acceptance Support Material
Project Objectives Release Planning Team Development Final QA Final Retrospective
Project Community Risk Planning Team Decisions Final Documentation Final Reports
Delivery Approach Cost Estimation Collaboration Final Deployment Project Celebration
Iterative Delivery
Technical Planning Development, Test, and Evaluation Operational Testing Adapt
Story Analysis Development Pairing Integration Testing Focus Groups
Task Development Unit Test Development System Testing Technical Reviews
Task Estimation Simple Designs Operational Testing Team Evaluations
Task Splitting Coding and Refactoring Usability Testing Project Reporting
Task Planning Unit and Component Testing Acceptance Testing Adaptive Action
Continuous
Story Deployment
Standups, Architecture, Design, Build, Integration, Documentation, Change, Migration, and Integration
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
20
21. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
21
22. Envision Phase
Determine product vision and project objectives
Identifies project community and project team
The major output is a “Product Vision Box”
Envision Phase
Product Vision
Product Vision Box
Elevator Test Statement
Product Roadmap
Product Features
Delivery Approach Product Vision Document Product Architecture
Self-Organization Strategy Product Skeleton Architecture
Collaboration Strategy Hardware Feature Breakdown
Communication Strategy Software Feature Breakdown
Process Framework Tailoring Organizational Structure
Practice Selection and Tailoring Guiding Principles
Project Community Project Objectives
Get the Right People Project Data Sheet
Participant Identification Key Business Objectives
Types of Stakeholders Tradeoff Matrix
List of Stakeholders Exploration Factor
Customer-Developer Interaction Requirements Variability
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
22
23. Speculate Phase
Determine organizational capability/mission needs
Identifies feature-sets and system requirements
The major output is a “System Release Plan”
Speculate Phase
Gather Requirements
Analyze Feasibility Studies
Evaluate Marketing Reports
Gather Stakeholder Suggestions
Examine Competitive Intelligence
Cost Estimation Collaborate with Customers Product Backlog
Establish Estimate Scope Product Features List
Establish Technical Baseline Feature Cards
Collect Project Data Performance Requirements
Size Project Information Prioritize Features
Prepare Baseline Estimates Feature Breakdown Structure
Risk Planning Release Planning
Risk Identification Project Startup Activities
Risk Analysis Assign Stories to Iterations
Risk Responses First Feasible Deployment
Risk Monitoring Estimate Feature Velocity
Risk Control Determine Product Scope
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
23
24. Explore Phase
Determine technical iteration objectives/approaches
Identifies technical tasks and technical practices
The major output is an “Operational Element”
Explore Phase
Iteration Management
Iteration Planning
Estimate Task Size
Iteration Length
Workload Management
Collaboration Monitoring Iteration Progress Technical Practices
Pair Programming Reduce Technical Debt
Daily Standup Meetings Simple Design
Daily Product Team Interaction Continuous Integration
Stakeholder Coordination Ruthless Automated Testing
Customer Interactions Opportunistic Refactoring
Team Decisions Team Development
Decision Framing Focus Team
Decision Making Molding Group into Team
Decision Retrospection Develop Individual Capabilities
Leadership and Decision Making Coach Customers
Set and Delay Decision Making Orchestrate Team Rhythm
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
24
25. Adapt Phase
Determine the effectiveness of operational elements
Identifies customer feedback and corrective actions
The major output is a “Process Improvement Plan”
Adapt Phase
Customer Focus Groups
Requirements Reviews
Preliminary Design Reviews
Critical Design Reviews
Product Demonstration Reviews
Adaptive Action Acceptance Testing Reviews Technical Reviews
Release Plan Adaptations Desk Checks/Individual Reviews
Iteration Plan Adaptations Structured Walkthroughs
Feature Set Adaptations Formal Software Inspections
User Story Adaptations Quality Assurance Audits
Task Plan Adaptations Configuration Management Audits
Project Reporting Team Evaluations
Scope and Quality Status Communications Quality
Cost and Schedule Status Team Cohesiveness
Risk and Value Status Interpersonal Trust
Customer Satisfaction Status Individual Talent and Effort
Team and Agility Status Team Performance/Effectiveness
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
25
26. Close Phase
Determine project outcome and effectiveness
Identifies strengths, weaknesses, and rewards
The major output is a “Lessons-Learned Report”
Close Phase
Clean Up Open Items
Close Open Action Items
Close Open Change Requests
Close Open Problem Reports
Close Open Defect Reports
Project Celebration Close Open Project Issues Support Material
Individual Rewards Finalize Documentation
Group Rewards Finalize Production Material
Partner Rewards Finalize Manufacturing Material
Managerial Rewards Finalize Customer Documentation
Product Rewards Finalize Maintenance Information
Final Reports Final Retrospective
End-of-Project Reports Process Performance Assessment
Administrative Reports Internal Product Assessment
Release Notes External Product Assessment
Financial Reports Team Performance Assessment
Facilities Reports Project Performance Assessment
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
26
27. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
27
28. Multi-Level Teams
Enables projects to plan for the future and present
Decomposes capabilities into implementable pieces
Unclogs the drainpipes to let the execution flow freely
Multi-Level Teams
Product Management Team Product Management Team
Chief Product Manager
Chief Architect
Product Development Manager
Release Management Team members (1-2 per release team)
Release Management Team Release Management Team
Product Manager
Project Manager
Chief Architect
Feature team members (1-2 per feature team)
Feature Team Feature Teams
Product Specialist (and owner)
Iteration Manager
Technical and product Members
Development team members (1-2 per development team)
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
28
29. Multi-Level Planning
Enables multiple level enterprise plans to co-exist
Allows stakeholders to build viewpoint-specific plans
Ensures capabilities are delivered at regular intervals
Multi-Level Planning
Product Roadmap Product Roadmap
Enterprise architecture needs
Capability focused
Vision, objectives, and backlog
18 to 36 weeks
Release Plan Release Plan
Subsystem architecture
Feature set focused
Strategy, objectives, and backlog
6 to 12 weeks
Iteration Plan Iteration Plan
Component-level architecture
User story focused
Implementation plan, objectives, and backlog
2 to 4 weeks
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
29
30. Multi-Level Backlog
Enables multiple levels of abstraction to co-exist
Allows customers and developers to communicate
Makes optimum use of people’s time and resources
Multi-Level Backlog
Capabilities Capability
Mission goal or objective level
Capability Capability Capability High-level business or product function
1 2 3
Also called an Epic, i.e., multiple feature sets
Comprises 18-90 days worth of work
Feature Sets Feature Set
Cross-functional mission threads
Feature Feature Feature
1 2 3
Related user stories that are grouped together
Also called a Theme, i.e., implemented as an entity
Comprises 6 to 30 days worth of work
User Stories User Story
Story 1 Story 4 Story 7 Functional, system-level requirements
Simple requirement written by customer or user
Story 2 Story 5 Story 8
A small unit of functionality having business value
Story 3 Story 6 Story 9 Comprises 2 to 10 days worth of work
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
30
31. Multi-Level Coordination
Enables lean and agile methods to scale-up
Allows enterprises to create large-scale programs
Unleashes optimum productivity and overall control
Multi-Level Coordination
Capability Team
Feature Set Team Feature Set Team Feature Set Team
Feature Team Feature Team Feature Team
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
31
32. Multi-Level Governance
Enables enterprises to achieve functional needs
Allows programs to coordinate functional activities
Ensures optimal technical performance is achieved
Multi-Level Governance
Governing Team
R T S
Functional Team Functional Team Functional Team
R R R T T T S S S
R R R T T T S S S
R R R T T T S S S
Feature Team Feature Team Feature Team
R A D R A D R A D R A D R A D R A D R A D R A D R A D
I T C I T C I T C I T C I T C I T C I T C I T C I T C
Q M S Q M S Q M S Q M S Q M S Q M S Q M S Q M S Q M S
R A D R A D R A D R A D R A D R A D R A D R A D R A D
I T C I T C I T C I T C I T C I T C I T C I T C I T C
Q M S Q M S Q M S Q M S Q M S Q M S Q M S Q M S Q M S
R A D R A D R A D R A D R A D R A D R A D R A D R A D
I T C I T C I T C I T C I T C I T C I T C I T C I T C
Q M S Q M S Q M S Q M S Q M S Q M S Q M S Q M S Q M S
Highsmith, J. A. (2010). Agile project management: Creating innovative products. Boston, MA: Pearson Education.
32
33. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
33
34. What is Kanban?
Kan-ban ('kæn-bæn): Signboard, billboard, signal
cards; Lean, just-in-time system of production:
A lean and just-in-time manufacturing process for
regulating the flow of production based on demand
A pull-system philosophy of customized production vs.
a push system of mass-market manufacturing
A set of principles for creating a lean, efficient, and
waste-free product flow by limiting work-in-process
Use of simple organizational policy changes resulting
in order-of-magnitude performance improvements
Results in high customer satisfaction, stakeholder
trust, quality, productivity, efficiency, and morale
34
35. Kanban Goals
Kanban seeks initially to change as little as possible
Change without resistance is the first Kanban goal
Focus on improving quality, lead time and morale
Goal 1 Optimize existing processes (rather than change them)
Goal 2 Deliver high product quality (to build stakeholder trust)
Goal 3 Reduce long lead times (and stabilize them)
Goal 4 Achieve sustainable pace (work-life balance)
Goal 5 Provide process slack (for process improvement)
Goal 6 Simplify workload prioritization (of customer needs)
Goal 7 Provide transparency (into design and operations)
Goal 8 Strive for process maturity (to improve performance)
Anderson, D. J. (2010). Kanban: Successful evolutionary change for your technology business. Sequim, WA: Blue Hole Press.
35
36. Kanban Recipe for Success
Based on principles for product development flow
Uses operations and mathematical queue theory
Pragmatic operating principles for development
Focus on Quality Reduce WIP Deliver Often Balance Demand Prioritize Attack Variability
Walkthroughs Process flowcharting Short releases Regulate inputs Prioritize inputs Work item size
Inspections Workflow analysis Short increments Identify bottlenecks Business focus
- Work item type mix
Technical reviews Kanban boards Short iterations Create slack Business value focus Service class mix
Peer reviews Limit work tasks Small releases Limit work-in-process Influence prioritization Irregular flow
Pair programming Limit queues Frequent releases Create pull system Stabilize process Rework
Test driven design Limit buffers Small batch sizes Focus on precision Build stakeholder trust Ambiguous reqmnts.
Continuous integration Limit backlogs Customer collaboration Focus on quality Perform risk analysis Expedited requests
Design patterns Simple prioritization Developer collaboration Take pride in work Analyze demand Environment avail.
Refactoring Adequate resources Ample communication Improve morale Evaluate size Market fluctuations
Design simplicity Process automation Frequent builds Learn new skills Evaluate complexity Coordination
Usability engineering Policy statements Deploy often Obtain training Market forecasting Technological change
Formal methods Simplify process Automatic updates Continuously improve Technology analysis Skill/experience mix
Anderson, D. J. (2010). Kanban: Successful evolutionary change for your technology business. Sequim, WA: Blue Hole Press.
36
37. Value Stream Mapping
Start by flow-charting the as-is product workflow
Add buffers and queues one feels are necessary
Add WIP limits to buffers, queues, and activity
Anderson, D. J. (2010). Kanban: Successful evolutionary change for your technology business. Sequim, WA: Blue Hole Press.
37
38. Work-in-Process
High work-in-process leads to longest lead times
Low work-in-process greatly reduces lead times
Results in better customer trust and satisfaction
Bad Project Good Project
175 240
140 192
Features
Features
105 144
70 96
35 48
0 0
10/9 10/23 11/6 11/20 12/4 12/18 1/1 1/15 1/29 2/12 2/26 2/10 2/17 2/24 3/2 3/9 3/16
Time Time
Inventory Started Designed Coded Complete Inventory Started Designed Coded Complete
Anderson, D. J. (2010). Kanban: Successful evolutionary change for your technology business. Sequim, WA: Blue Hole Press.
38
39. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
39
40. Basic Agile Metrics
Agile methods are based on traditional measures
Size, effort, and velocity metrics are most common
Top-notch shops use complexity and testing metrics
Type Example
Size Story, Story Point, Task, Function Point, LOC, etc.
Effort Ideal or Actual Hours, Days, Weeks, Months, Years, etc.
Velocity Story, Story Points, Function Points, or LOC per Iteration/Sprint
Complexity McCabe, Halstead, Object-Oriented, Relational Database, etc.
Quality Defect Density, Defect Removal Efficiency, Rayleigh, etc.
Testing Tests Passed/Failed/Broken, Running Tested Features, etc.
Reliability Mean Time to Failure, Mean Time between Failure, etc.
Rico, D. F., Sayani, H. H., & Sone, S. (2009). The business value of agile software methods: Maximizing ROI with just-in-time processes and documentation.
Ft. Lauderdale, FL: J. Ross Publishing.
40
41. Burndown/Burnup Metrics
Time expended is used for project tracking
Tracked on a per-iteration or per-sprint basis
Often described as a basic earned-value metric
Type Example
Ideal Days How many days something takes without interruptions
Actual Days How many days something takes with interruptions
Ideal Hours How many hours something takes without interruptions
Actual Hours How many hours something takes with interruptions
User Stories How many customer requirements have been satisfied
Story Points How many units of software size have been satisfied
Technical Tasks How many technical tasks have been completed
Cohn, M. (2006). Agile estimating and planning. Upper Saddle River, NJ: Pearson Education.
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42. Agile Cost Models
Costs based on productivity and quality models
Development costs based on LOC productivity rate
Maintenance costs based on defects KLOC MH
Type Example
Basic Form (LOC Productivity + Quality KLOC 100) Hourly Rate
XP (LOC 16.1575 + 0.7466 KLOC 100) Hourly Rate
TDD (LOC 29.2800 + 2.1550 KLOC 100) Hourly Rate
PP (LOC 33.4044 + 2.3550 KLOC 100) Hourly Rate
Scrum (LOC 05.4436 + 3.9450 KLOC 100) Hourly Rate
Agile (LOC 21.2374 + 1.7972 KLOC 100) Hourly Rate
Rico, D. F., Sayani, H. H., & Sone, S. (2009). The business value of agile software methods: Maximizing ROI with just-in-time processes and documentation.
Ft. Lauderdale, FL: J. Ross Publishing.
42
43. Agile Business Value
A major principle of Agile Methods is creating value
ROI is the measure of value within Agile Methods
There are seven closely related ROI measures
Type Example
Costs Total amount of money spent on agile methods
Benefits Total amount of money gained from using agile methods
Breakeven Point when the benefits of using agile methods exceed the costs
B/CR Ratio of agile methods benefits to costs of using agile methods
ROI Ratio of adjusted agile methods benefits to costs of using them
NPV Present value of agile methods benefits that result from their use
Real Options Value gained from incremental investments in high-risk projects
Rico, D. F., Sayani, H. H., & Sone, S. (2009). The business value of agile software methods: Maximizing ROI with just-in-time processes and documentation.
Ft. Lauderdale, FL: J. Ross Publishing.
43
44. Agile EVM
EVM has been adapted to Agile Methods
EVM based on notion that total scope is known
EVM is “not” well-suited for large-scale agile projects
Type Example
PMB Total number of story points planned for a release
SBL Total number of iterations multiplied by iteration length
BAC The planned budget for the release
PPC Number of current iterations divided by planned iterations
APC Total story points completed divided by story points planned
SPC Story points of work completed from backlog during iteration
SPA Story points added/subtracted from backlog during iteration
Sulaiman, T., Barton, B., & Blackburn, T. (2006). Agile EVM: Earned value management in scrum projects. Proceedings of the Agile 2006 Conference (Agile
2006), Minneapolis, Minnesota, USA, 7-16.
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45. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
45
46. E-Commerce—Google
Google started using agile methods in 2005
Used it on one of their most profitable products
Incrementally adopted agile one practice at a time
Project Name AdWords
Project Type Pay-per-Click (PPC) Internet Advertising Mechanism
Project Size 20 teams of 140 people distributed over 5 countries
Product Size 1,838 user stories, 6,250 function points, 500,000 lines of code
Environment Entrepreneurial, egalitarian, dynamic, unpredictable, informal, unstructured
Before APM Chronic schedule delays, poor quality, unpredictability, poor estimation
APM Practices Release planning, wikis for APM support, early testing and continuous integration
After APM Better planning and estimates, earlier testing, better quality, large-scale adoption
Lessons Learned Agile fit like a hand-in-glove, introduce agile methods slowly and then scale-up
Striebeck, M. (2006). Ssh: We are adding a process. Proceedings of the Agile 2006 Conference (Agile 2006), Minneapolis, Minnesota, USA, 193-201.
46
47. Shrink-Wrapped—Primavera
Primavera started using agile methods in 2004
Used it on their flagship project management tools
Adopted agile all-at-once with top-down mgt. support
Project Name Primavera
Project Type Enterprise Project Management Tool
Project Size 15 teams of 90 people collocated at one site
Product Size 26,809 user stories, 91,146 function points, 7,291,666 lines of code
Environment Top-down, hierarchical, command and control, traditional, waterfall approach
Poor relationships, quality, usability, and customer satisfaction, functional silos,
Before APM 18-hour days, 7-day work weeks, frustration, disappointment, apathy, exhaustion
APM Practices Release planning, agile project management tools, automated testing tools
After APM 75% quality and 40% cycle time improvement, 40-hour work week, 0% attrition
Lessons Learned Agile results in better communication, motivation, and empowerment
Schatz, B., & Abdelshafi, I. (2005). Primavera gets agile: A successful transition to agile development. IEEE Software, 22(3), 36-42.
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48. Healthcare—FDA
FDA suppliers started using agile methods in 2008
Used it on most stringent Class 3 certified products
Used to modernize 1990s era products & processes
Project Name m2000 Real-time PCR Diagnostics System
Project Type Human Blood Analysis Tool (i.e., HIV-1, HBV, HCV, CT, NG, etc.)
Project Size 4 teams of 20 people collocated at one site
Product Size 1,659 user stories, 5,640 function points, 451,235 lines of code
Environment FDA-regulated medical devices, real-time, safety-critical, Class III–most stringent
Cumbersome process, poor quality, long cycle time, slow big-bang integration, obsolete,
Before APM hard-to-staff tools and methods, inability to keep pace with changing requirements,
Intense market competition, exponential rate of technological change, fewer resources
APM Practices Release planning, lighter-weight agile testing techniques, continuous integration
After APM 25% cycle time and staff-size reduction, 43% cost reduction, fewer defects
Lessons Learned Agile enables the ability to balance fast cycle time with high-quality safety-critical solutions
Rasmussen, R., Hughes, T., Jenks, J. R., & Skach, J. (2009). Adopting agile in an FDA regulated environment. Proceedings of the Agile 2009 Conference
(Agile 2009), Chicago, Illinois, USA, 151-155.
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49. Law Enforcement—FBI
IC started using agile methods following 9/11
Used it on billion dollar transformation initiatives
Goal is to catch bad guys better, faster, and cheaper
Project Name Inter-Agency Intelligence Sharing System
Project Type Domestic Terrorist Database/Data Warehouse
Project Size 3 teams of 12 people collocated at one site
Product Size 643 user stories, 2,188 function points, 175,000 lines of code
CMMI Level 3, ISO 9001, government-mandated document-driven waterfall life cycle,
Environment emerging federal directives for more information sharing and integration among
intelligence community partners, rapidly changing customer requirements
Unresponsive waterfall life cycles, chronic schedule delays, anxious customers, unhappy
Before APM developers, resource focus on becoming CMMI Level 3 certified caused everyone to lose
track of the real goal, which was to “catch bad guys”
APM Practices Release planning, user stories, test-driven development, continuous integration
After APM 50% quality improvement, 200% productivity increase, FBI created policy for agile methods
Lessons Learned Agile enables fast response times, customer satisfaction, and ability to "catch bad guys"
Babuscio, J. (2009). How the FBI learned to catch bad guys one iteration at a time. Proceedings of the Agile 2009 Conference (Agile 2009), Chicago, Illinois,
USA, 96-100.
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50. U.S. DoD—STRATCOM
U.S. DoD started using agile methods following 9/11
Used it on billion-dollar software-intensive systems
Goals are to respond to rapidly emerging threats
Project Name Strategic Knowledge Integration Website (SKIweb)
Project Type Knowledge Management System (KMS)—Advanced Search Capability
Project Size 3 teams of 12 people collocated at one site
Product Size 390 user stories, 1,324 function points, 105,958 lines of code
Traditional linear documentation-based development, contract-oriented, hierarchical
communication, rapidly changing operational requirements, need for leaner U.S. military
Environment force, seeking better and faster ways of getting critical information to decision makers,
decentralization, migration to net-centric service oriented architectures, egalitarian decisions
Before APM Long cycle times, dissatisfied customers, unresponsive life cycles, poor quality
APM Practices Release planning, frequent customer collaboration, continuous integration
After APM Good teamwork, 200% productivity increase, improved quality, fewer defects
Lessons Learned Agile improves customer satisfaction/communication, and overall product quality
Fruhling, A., McDonald, P, & Dunbar, C. (2008). A case study: Introducing extreme programming in a U.S. government system development project.
Proceedings of the 41st Annual Hawaii International Conference on System Sciences (HICSS 2008), Waikaloa, Big Island, Hawaii, USA, 464-473.
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51. Agenda
Need for Agile Project Mgt.
Intro to Agile Project Mgt.
Types of Agile Project Mgt.
Phases of Agile Project Mgt.
Scaling Agile Project Mgt.
Scaling Agile to Lean/Kanban
Metrics for Agile Project Mgt.
Cases of Agile Project Mgt.
Summary of Agile Project Mgt.
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52. Advanced Agile Measures
Agile Methods are a fundamentally new paradigm
Agile Methods are “not” lighter Traditional Methods
They should not be viewed through a traditional lens
Traditional Metrics
Customer Collaboration Contracts
Interaction frequency Customer trust valued Contract compliance
Communication quality Customer loyalty more than Contract deliverables
Agile Metrics
Strength of Relationship Customer satisfaction Contract change orders
Individuals & Interactions Processes
Team competence Team trust valued Lifecycle compliance
Team motivation Team cohesion more than Process Maturity Level
Team cooperation Team communications Regulatory compliance
Working Software Documentation
Iteration size Continuous iterations valued Document deliveries
Iteration number Operational iterations more than Document comments
Iteration frequency Validated iterations Document compliance
Responding to Change Project Plans
Organizational flexibility Process flexibility valued Cost Compliance
Management flexibility Design flexibility more than Scope Compliance
Individual flexibility Technology flexibility Schedule Compliance
Rico, D. F., Sayani, H. H., & Sone, S. (2009). The business value of agile software methods: Maximizing ROI with just-in-time processes and documentation.
Ft. Lauderdale, FL: J. Ross Publishing.
52
53. Benefits of Agile Proj. Mgt.
Analysis of 23 agile vs. 7,500 traditional projects
Agile projects are 54% better than traditional ones
Agile has lower costs (61%) and fewer defects (93%)
2.8 18
Before Agile Before Agile
3.00 20
After Agile After Agile
2.25 15 11
1.1
1.50 10
61% 39%
0.75 5
Lower Less
Cost Staff
Project Cost in Millions $ Total Staffing
18 2270
Before Agile Before Agile
20 2500
13.5 After Agile After Agile
15 1875
10 1250
381
93%
5 24% 625 Less
Faster
Defects
Delivery Time in Months Cumulative Defects
Mah, M. (2008). Measuring agile in the enterprise: Proceedings of the Agile 2008 Conference, Toronto, Canada.
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54. Myths about Agile Proj. Mgt.
Common myths abound, although agile methods
have been around for ~20 years:
Agile methods are only for software development
Agile methods are only for small co-located teams
Agile methods have no documentation
Agile methods have no requirements
Agile methods need traditional system architectures
Agile methods have no project management
Agile methods are undisciplined and unmeasurable
Systems built using agile methods are unmaintainable
and insecure
54
55. When to use Agile Proj. Mgt.
On exploratory or research/development projects
When fast customer responsiveness is paramount
In organizations that are highly-innovative & creative
Traditional Project Management Agile Project Management
Predictable situations High-levels of uncertainty and unpredictability
Low-technology projects High-technology projects
Stable, slow-moving industries Fast-paced, highly-competitive industries
Low-levels of technological change Rapid pace of technological change
Repeatable operations Research-oriented, discovery projects
Low-rates of changing project performance Large-fluctuations in project performance
Long-term, fixed-price production contracts Shorter-term, performance-based RDT&E contracts
Achieving concise economic efficiency goals Achieving high-impact product/service effectiveness
Highly-administrative contracts Highly-creative new product development contracts
Mass production and high-volume manufacturing Customer-intensive, one-off product/service solutions
Highly-predictable and stable market conditions Highly-volatile and unstable market conditions
Low-margin industries such as commodities High-margin, intellectually-intensive industries
Delivering value at the point-of-plan Delivering value at the point-of-sale
Pine, B. J. (1993). Mass customization: The new frontier in business competition. Boston, MA: Harvard Business School Press.
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56. Conclusion
Traditional methods are well-suited for predictability
Agile Methods are well-suited for high uncertainty
It comes down to efficiency versus effectiveness
Thomke, S. (2003). Experimentation matters: Unlocking the potential of new technologies for innovation. Boston, MA: Harvard Business School Publishing.
Reinertsen, D. G. (2009). The principles of product development flow: Second generation lean product development. New York, NY: Celeritas.
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57. New Book on Agile Methods
Guide to Agile Methods for business leaders
Communicates business value of Agile Methods
Rosetta stone to Agile Methods for traditional folks
Table of Contents
1. Introduction to Agile Methods
2. Values of Agile Methods
3. History of Agile Methods
4. Antecedents of Agile Methods
5. Types of Agile Methods
6. Practices of Agile Methods
7. Agile Project Management
8. Agile Software Engineering
9. Agile Support Processes
10. Agile Tools and Technologies
11. Comparison of Agile Methods
12. Agile Metrics and Models
13. Surveys of Agile Methods
14. Costs-Benefits of Agile Methods
15. ROI Metrics of Agile Methods
16. Measures of Agile Methods
17. Costs of Agile Methods
18. Benefits of Agile Methods
19. ROI of Agile Methods
20. NPV of Agile Methods
21. Real Options of Agile Methods
22. Business Value of Agile Methods
23. Agile vs. Traditional Methods
24. Future of Agile Methods
http://davidfrico.com/agile-book.htm (Description)
http://www.amazon.com/dp/1604270314 (Amazon)
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