Cost of delay (WSJF) - Roni Tamari
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Talk and exercises on how to prioritize the Business needs base on cost of delay Roni Tamari Agile Coach at AgileSparks
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Cost of delay (WSJF) - Roni Tamari
- 1. All Rights Reserved - AgileSparks Playing SAFe Games - WSJF Roni Tamari â Lead Agile Coach @ AgileSparks SAFe City Simulation was created by Mark Richards http://www.agilenotanarchy.com/
- 2. All Rights Reserved - AgileSparks What does WSJF stand for?
- 3. All Rights Reserved - AgileSparks 3 Time $ $$$ Source: Henrik Kniberg How to prioritize?
- 4. All Rights Reserved - AgileSparks Typical Prioritization https://magsol.files.wordpress.com/2011/06/debate.jpg?w=640
- 5. All Rights Reserved - AgileSparks Introducing Cost of Delay (COD) âIf you only quantify one thing, quantify the cost of delayâ â Don Reinertsen http://leanmagazine.net/wordpress/wp-content/uploads/2012/02/iStock_000013884892Large.jpg
- 6. All Rights Reserved - AgileSparks Other things being equal⌠Duration Cost of Delay (COD) Feature 1 1 $1,000 Feature 2 10 $1,000 Feature 3 100 $1,000 When Cost of Delay is equal, which would you do first? Duration Cost of Delay (COD) Feature 1 10 $100 Feature 2 10 $1,000 Feature 3 10 $10,000 When Duration is equal, which would you do first?
- 7. All Rights Reserved - AgileSparks If COD and Duration are different⌠Duration Cost of Delay (COD) WSJF Feature 1 1 $100 100 Feature 2 10 $10 1 Feature 3 100 $1 0.01 Highest WSJF value should be done first Do the Weighted Shortest Job First: Cost Of Delay Duration WSJF =
- 8. All Rights Reserved - AgileSparks The SAFe Proxy for WSJF Using relative estimation Copyright:ImagebyStockUnlimited http://uwf.edu/media/university-of-west-florida/offices/student-affairs/sexual-violence/risk_reduction.jpeg http://blog.business-trader.com.au/wp-content/uploads/2013/05/biz-opportunity.jpg Cost Of Delay == + + Duration WSJF Business Value Time Criticality Value Risk Reduction (RR) or Opportunity Enablement (OE) Value Size
- 9. All Rights Reserved - AgileSparks When to use WSJF? $ $$$
- 10. All Rights Reserved - AgileSparks Enough theory⌠Letâs practice! ⢠You are building a city (SAFe City) a few hours away from nearest major city ⢠You will make money by building houses and shops and selling them Source: Mark Richards, SAFe City Simulation version 2.0 http://www.agilenotanarchy.com/ http://creativecommons.org/licenses/by/4.0/ tp://www.totalchoirresources.com/wp-content/uploads/2015/04/Theory-into-practice.jpg
- 11. All Rights Reserved - AgileSparks Guidelines ⢠Generating cash flow will be a primary consideration ⢠9 major development opportunities identified for the city ⢠You have an estimate on potential returns and effort involved Source: Mark Richards, SAFe City Simulation version 2.0 http://www.agilenotanarchy.com/ http://creativecommons.org/licenses/by/4.0/ tp://under30ceo.com/wp-content/uploads/2013/12/Cash-Flow.jpg
- 12. All Rights Reserved - AgileSparks Guidelines These opportunities are âEpicsâ, you will apply Weighted Shortest Job First (WSJF) to prioritize them Source: Mark Richards, SAFe City Simulation version 2.0 http://www.agilenotanarchy.com/ http://creativecommons.org/licenses/by/4.0/ tp://under30ceo.com/wp-content/uploads/2013/12/Cash-Flow.jpg
- 13. All Rights Reserved - AgileSparks Sample Epic Source: Mark Richards, SAFe City Simulation version 2.0 http://www.agilenotanarchy.com/ http://creativecommons.org/licenses/by/4.0/
- 14. All Rights Reserved - AgileSparks Instructions 1. Begin by reviewing all Epics as a group. 2. Find the Epic with the lowest Business Value (this will be â1â). Determine the relative Business Value of each Epic using relative estimation (use this scale: 1, 2, 3, 5, 8, 13, 20). 3. Find the Epic with the lowest Time Criticality (this will be â1â). Determine the relative Timing Criticality of each Epic using relative estimation. 4. Find the Epic with the lowest Risk Reduction and Opportunity Enablement (this will be â1â). Determine the relative Risk Reduction and Opportunity Enablement value of each Epic using relative estimation. 5. Finish your maths and line the cards up from highest to lowest WSJF score (highest score should be the first to be developed). Timebox: 25 minutesSource: Mark Richards, SAFe City Simulation version 2.0 http://www.agilenotanarchy.com/ http://creativecommons.org/licenses/by/4.0/
- 15. All Rights Reserved - AgileSparks Debrief Source: Mark Richards, SAFe City Simulation version 2.0 http://www.agilenotanarchy.com/ http://creativecommons.org/licenses/by/4.0/ ⢠The outcomes ⢠Using Value Streams to frame investment strategy ⢠The importance of vision ⢠The purpose of the Cost of Delay model in supporting objective alignment ⢠Adaptation of the SAFe starting point ⢠Planning poker as a collaborative tool ⢠Revealing Assumptions s://gmat.economist.com/sites/gmat.economist.com/files/u49/89f9d48d0c64f54ff51de032776df04a.jpg
- 16. All Rights Reserved - AgileSparks roni@agilesparks.com
Hinweis der Redaktion
- âAlmost all of the methods typically employed [for prioritisation] in large organisations end up resembling the Eurovision competition. This is essentially prioritisation by politics, horse-trading and to some extent popularityâ - Josh Arnold
- WSJF is a lean method for determining backlog prioritization (job sequencing/scheduling) using the cost of delay and remaining job size. WSJF ignores sunk costs, which is a key economic principle of lean. Big important items will need to be divided into smaller pretty important items.
- In SAFe, this algorithm is applied at the Value Stream and Program levels (on epics and features) to continuously update priorities based on current business context, value, development facts, risk, and effort considerations.