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1 Program & Portfolio! Management using! Kanban!

2 Introduction and Agenda Tom Wessel, Davisbase Consulting 20 years in software development. Over 7 years working with software development teams, training, leading, and coaching Agile teams. Trained and coached over 100 teams ranging from start-ups to Fortune 50 corporations. Agenda What Problems are we trying to solve? What is Agile Portfolio Management? What is Kanban? How Kanban is used in managing the APM. How to apply Kanban to your PPM. Share Your Experiences. Your Next Steps. Q & A.

3 What Problems are We Trying to Solve? Teams work in an Agile fashion but the Project Management Office (PMO) still works in a traditional way. Too many projects in flight resulting in everyone busy but nothing is getting done. Resource utilization is at 100% and there is no slack for variability. Managing to milestones instead of managing value delivery. Little to no traceability of Business Initiatives to the work Teams are doing.

4 What is Agile Program Management? Agile Program Management (APM) is the application of Agile principles and practices to the traditional Program Portfolio Management (PPM) environment. Specifically: The capacity (velocity) of the factory is known. Projects are assessed based on their alignment with business initiatives and are prioritized and sized. Minimum Viable Products (MVP) are identified to enable quick delivery of small product enhancements. Work-in-Progress (WIP) is minimized to improve efficiency while reducing risk. Projects are allocated to Teams based on their capacity. Teams are delivery focused instead of project focused.

5 APM Functions The three primary responsibilities of the Agile Portfolio Management functions are: Strategy and Investment Funding Program Management Governance - Scaled Agile Framework (SAFe)

6 Strategy & Investment Funding Define, develop, or drive high-level strategy for product lines and deployed systems. Allocate investment funding to programs and new initiatives as prescribed by the business fiduciaries. Budgets and investments themes Visibility, WIP limits and flow with kanban s and lightweight business cases - Scaled Agile Framework (SAFe)

7 Program Management Drive, participate in, or support successful portfolio and program execution. Decentralized, rolling-wave planning Business Ownership Uber ScrumMaster (Release Train Engineer) Program Agile Teams (Agile Release Trains) Agile estimating and planning from the to Task level - Scaled Agile Framework (SAFe)

8 Governance Provide closed-loop reporting and feedback on programs in process. Drive, participate in, or support software development lifecycle guidance and effective use of appropriate feedback measures. Content authority Fact-based assessment Agile SDLC milestones Continuous Improvement - Scaled Agile Framework (SAFe)

9 How is APM Different from PPM? Work Structure The flow of work is based on capacity. Team Structure Delivery Teams vs. Project Centric Teams. Roles Servant Leadership vs. Command and Control. Focus Develop on Cadence. Deliver on Demand. Metrics Metrics measure flow and working software as the measure of progress. Communication & Transparency.

10 What is Kanban? Kanban most closely associated with Toyota s lean work Translates into visual card A signaling system used to trigger subsequent actions, illustrated by manufacturing pull systems Used originally in the production of products on a manufacturing line Supports the lean concept of Just In Time (JIT) production Example: 10 Engines Needed, 3 Left = Time to make more engines.

11 What is Kanban? The Three Golden Rules of Kanban 1. Visualize the workflow Knowledge work does not have inherent visual cues Visual radiators allow for easier management 2. Limit Work-in-Progress (WIP) Limiting the number of open work items forces focus on completion Reduces context switching (multi-tasking) 3. Pull value through the system Pull systems only start new work when the need is created by the system

12 What is Kanban? PRIORITY To Do Analyze Develop Test Done Product Requirement Product Requirement Product Requirement Product Requirement In Process Product Requirement Limit 2 Limit 3 Limit 2 Done Product Requirement In Process Product Requirement Product Requirement Done Product Requirement Product Requirement Product Requirement Product Requirement Product Requirement FLOW 12

13 APM Hierarchy Theme May span multiple Releases May span multiple Releases Epic Spans multiple Sprints Story Contained in a single Sprint Task Contained in a single Sprint

14 APM Flow Kanban Kanban Scrum - Scaled Agile Framework (SAFe)

15 Class-of-Services Class of Service Expedite Definition A of very high priority that must get completed in a tight timeframe and value of the order. Fixed Delivery Date Work Item that must be completed by a specified date, such as a regulatory requirement Stand Class Intangible Class Most items needed with some urgency. May be broken up by size. Lower class of service for items that have no tangible cost of delay. * Kanban by David J. Anderson Copyright Copyright 2013 Davisbase 2013 Consulting. Limited Licensed Display License for Classroom Provided to ASPE Use to ASPE.

16 Prioritization

17 APM Example Priority: High - Low Investment Theme 1 Investment Theme 2 Investment Theme 3 Investment Theme Identify s Prioritize s Split s using the MVP perspective Estimate Value

18 APM Example Release 2 Release 1 Priority: High - Low Investment Theme Investment Theme Investment Theme 2 Investment Theme Investment Theme Investment Theme 3 Investment Theme Investment Theme

19 Portfolio Kanban Identify (1) Refine (1) Analyze (1) Implement Theme 1 Theme 2 Priority Theme 3 Theme 4

20 Program Kanban Theme 1 Refine (1) Estimate (2) Analyze (1) Validate Priority

21 Program Kanban Theme 1 Define (1) Develop (2) Deploy (1) Validate Priority

22 Iteration Kanban Story Analyze (1) Develop (2) Test (2) Done Task Task Priority Task Task Task Task

23 Iteration Kanban Story Analyze (1) Develop (2) Test (2) Done Task Task Priority Task Task Task Task

24 Cycle Time Cycle Time measures the completion rate of a work item either in a specific state or across states. Cycle time clock starts when work begins on a request and ends when the item has been planned for a release. Request Assessed Request slotted for Release Cycle Time * Wikipedia

25 How to apply Kanban to Your PPM Identify the Products or Investment Themes whose creation or enhancement will make the greatest impact on the company s bottom line. Map your current process from intake to release assignment. Decompose Themes into s/epics and match these to the organization s capacity for each release. Manage s/epics by measuring Cycle Time so they are achieved with the greatest quality and speed possible. Organize the software development teams so they can work with each other in the most effective manner. * Lean-Agile Software Development

26 How to apply Kanban to Your PPM Utilize a prioritization method, such as WSJF, to define the Portfolio Backlog. Establish a WIP limit for Theme to refinement and decomposition. Establish a WIP limit for to Epic analysis and decomposition. Monitor the flow of work from intake to release assignment and adjust based on bottlenecks. User proper software engineering methods both to support of the products created. Create a learning environment so that the process is continuously improved.

27 Points to Review Map the intake to release process Prioritize initiatives Limit WIP for assessing, analyzing and decomposing initiatives Align Teams to optimize communication and collaboration Assign work to Teams based on their capacity to optimize flow Monitor flow through the system and adjust WIP to alleviate bottlenecks

28 Your Call To Action Find experts within your organization that can point you in the right direction if you need help or guidance. Share what you learn about the approach with those teams around you. It takes time to get good at anything, Agile is no exception, but the rewards are well worth it.

29 Your Questions, My Answers Note: For those questions we do not have time to answer during the webinar, I will be providing a written response.

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