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Measure and Manage Flow in Practice
              by Zsolt Fabók




@ZsoltFabok                    March 19, 2012
Let’s start with a game!
Price: ~67000 HUF (~ 2045 SEK)
actual progress


           90



           68
progress




           45



           23



            0
            cw12        cw13      cw14   cw15   cw16   cw17
Decisions must be made based on
 facts and objective data!
I went looking for something
which provides an accurate
and objective view on my
projects and makes them
predictable!
And I met Joshua Kerievsky in 2009...
And I met Joshua Kerievsky in 2009...



                  Kanban is getting
               popular, you should have
                         a look
The five core principles of Kanban*




* based on David J. Anderson’s Kanban
The five core principles of Kanban*


   Q                     D              Visualize workflow
   ~     ~   ~   ~   ~    ~
   ~     ~   ~   ~   ~    ~


   ~         ~       ~    ~
   ~         ~       ~    ~


   ~         ~
   ~         ~

   ~
   ~




* based on David J. Anderson’s Kanban
The five core principles of Kanban*


   Q    3    4   1   2   D              Visualize workflow
   ~
   ~
         ~
         ~
             ~
             ~
                 ~
                 ~
                     ~
                     ~
                          ~
                          ~
                                        Limit work in progress
   ~         ~       ~    ~
   ~         ~       ~    ~


   ~         ~
   ~         ~

   ~
   ~




* based on David J. Anderson’s Kanban
The five core principles of Kanban*


   Q    3    4    1      2   D          Visualize workflow
   ~
   ~
         ~
         ~
              ~
              ~
                  ~
                  ~
                         ~
                         ~
                             ~
                             ~
                                        Limit work in progress
   ~          ~          ~   ~


                                        Measure and manage flow
   ~          ~          ~   ~


   ~          ~
   ~          ~

   ~
   ~




             lead time




* based on David J. Anderson’s Kanban
The five core principles of Kanban*


   Q    3    4    1      2   D          Visualize workflow
   ~
   ~
         ~
         ~
              ~
              ~
                  ~
                  ~
                         ~
                         ~
                             ~
                             ~
                                        Limit work in progress
   ~          ~          ~   ~


                                        Measure and manage flow
   ~          ~          ~   ~


   ~          ~
   ~          ~

   ~
   ~




        cycle time
             lead time




* based on David J. Anderson’s Kanban
The five core principles of Kanban*


   Q    3    4    1      2   D                Visualize workflow
   ~
   ~
         ~
         ~
              ~
              ~
                  ~
                  ~
                         ~
                         ~
                             ~
                             ~
                                              Limit work in progress
   ~          ~          ~   ~


                                              Measure and manage flow
   ~          ~          ~   ~


   ~          ~
   ~          ~

   ~
   ~




        cycle time               throughput
             lead time




* based on David J. Anderson’s Kanban
The five core principles of Kanban*


   Q    3    4    1      2   D                Visualize workflow
   ~
   ~
         ~
         ~
              ~
              ~
                  ~
                  ~
                         ~
                         ~
                             ~
                             ~
                                              Limit work in progress
   ~          ~          ~   ~


                                              Measure and manage flow
   ~          ~          ~   ~


   ~          ~
   ~          ~

   ~
   ~                                          Make process policies explicit
                                              Improve collaboratively
        cycle time               throughput
             lead time




* based on David J. Anderson’s Kanban
The Cumulative Flow Diagram


                       Done
number of work items


                       Started
                       Queued




                                     time
The Cumulative Flow Diagram


                       Done
number of work items


                       Started
                       Queued




                                 lead time


                                             time
The Cumulative Flow Diagram


                       Done
number of work items


                       Started
                       Queued




                                               cycle time

                                 lead time


                                             time
The Cumulative Flow Diagram


                       Done
number of work items


                       Started
                       Queued



                                                            WIP
                                               cycle time

                                 lead time


                                             time
The Cumulative Flow Diagram


                       Done
number of work items


                       Started
                       Queued                          backlog

                                                            WIP
                                               cycle time

                                 lead time


                                             time
Q   3   4   1   2   D
~   ~   ~   ~   ~   ~
~   ~   ~   ~   ~   ~


~       ~       ~   ~
~       ~       ~   ~


~       ~
~       ~

~
~
Q   3   4   1   2   D
~   ~   ~   ~   ~   ~
~   ~   ~   ~   ~   ~


~       ~       ~   ~
~       ~       ~   ~


~       ~
~       ~

~
~
Q   3   4   1   2   D
~   ~   ~   ~   ~   ~
~   ~   ~   ~   ~   ~


~       ~       ~   ~
~       ~       ~   ~


~
~
        ~
        ~
                        +
~
~
Q   3   4   1   2   D
~   ~   ~   ~   ~   ~


                              Simplicity
~   ~   ~   ~   ~   ~


~       ~       ~   ~
~       ~       ~   ~


~
~
        ~
        ~
                        +   = Objectivity
~
~                             Predictability
Enough with the boring theoretical stuff!
The history of a real project


                           Done
                           Started
                           Queued




The collected data is the courtesy of Digital Natives
Done
Started
Queued
#1: Too many work items in progress


   Done
   Started
   Queued
We’ll wait for you with testing... No worries!
#2: Way too long lead time


    Done
    Started
    Queued
Distribution of lead times

          count
             15

            13

            10

             8

             5

average      3
median*
              0
           days 1 3 5 7 9 11 13 15 22 33




                          *Calculation of medians is a popular technique in summary statistics and summarizing
                          statistical data, since it is simple to understand and easy to calculate, while also giving a
                          measure that is more robust in the presence of outlier values than is the mean. Wikipedia
Some examples of work items with 8-day lead time

     time spent on
                      time spent waiting
    implementation ID description
                  #                        %
                           (hours)
        (hours)
          1                   63           98

          7                   57           90

          2                   62           97

          2                   62           97

          3                   61           96
95%
waste
Distribution of lead times
                  Before
count
   15

  13

  10

   8

   5

   3

    0
 days 1 3 5 7 9 11 13 15 22 33


        average
        median
Distribution of lead times
                  Before                          After
count                               count
   15                                  15

  13                                  13

  10                                  10

   8                                   8

   5                                   5

   3                                   3

    0                                   0
 days 1 3 5 7 9 11 13 15 22 33       days 1   3   5   7   9 11 13 22

        average
        median
We are soooo fast!!!
#3: Still too much work in progress


    Done
    Started
    Queued
Number of rejected work items
  count
    15



    11



     8



     4



     0
week 31-32   33-34   35-36   37-38
Number of rejected work items
  count
    15



    11



     8



     4



     0
week 31-32   33-34   35-36   37-38   39-40   42-43   44-45
#4: Improving by categorizing work items


    Done
    Started
    Queued
All the work items we had so far
        (~20 work items)



                        v

            ~                    v       ~
            ~               ~        v   ~
                    v       ~
                        v
                                         ~
                            v                v
                ~                        ~
                ~            ~
                             ~
                                         v
Categorizing them into three groups

       S
                                  v
                  ~
                  ~
                          v




                                          ~
                                          ~

                      ~



       M
                      ~                   ~
                                          ~   v
              v               ~
                              ~
                  v
                                      v




       L
                      ~
                                  v
                      ~

                              v
The lead time distribution
                                  count
                                      4

                                     3

                                     3
                        ~
                        ~

            ~
                                     2
M
            ~           ~
                        ~   v
    v           ~
                ~
        v
                    v
                                     1

                                     1

                                      0
                                    days   1   2   3   4   5   6   7   8   9 12 13 16
The lead time distribution
                                  count
                                      4

                                     3

                                     3
                        ~
                        ~

            ~
                                     2
M
            ~           ~
                        ~   v
    v           ~
                ~
        v
                    v
                                     1

                                     1

                                      0
                                    days   1   2   3   4   5   6   7   8   9 12 13 16
The lead time distribution
                                  count
                                      4

                                     3

                                     3
                        ~
                        ~

            ~
                                     2
M
            ~           ~
                        ~   v
    v           ~
                ~
        v
                    v
                                     1

                                     1

                                      0
                                    days   1   2   3   4   5   6   7   8   9 12 13 16

                                                   SLA
The spent time distribution
                                  count
                                      6

                                     5

                                     4
                        ~
                        ~

            ~
                                     3
M
            ~           ~
                        ~   v
    v           ~
                ~
        v
                    v
                                     2

                                     1

                                     0
                                   hours   6   7    8    9    10
The spent time distribution
                                  count
                                      6

                                     5

                                     4
                        ~
                        ~

            ~
                                     3
M
            ~           ~
                        ~   v
    v           ~
                ~
        v
                    v
                                     2

                                     1

                                     0
                                   hours   6   7    8    9     10

                                                              SLA
Thank you very much for your attention!




http://zsoltfabok.com/     zsolt.fabok@ericsson.com

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Measure Flow to Improve Projects

  • 1. Measure and Manage Flow in Practice by Zsolt Fabók @ZsoltFabok March 19, 2012
  • 3. Price: ~67000 HUF (~ 2045 SEK)
  • 4.
  • 5.
  • 6.
  • 7. actual progress 90 68 progress 45 23 0 cw12 cw13 cw14 cw15 cw16 cw17
  • 8. Decisions must be made based on facts and objective data!
  • 9. I went looking for something which provides an accurate and objective view on my projects and makes them predictable!
  • 10. And I met Joshua Kerievsky in 2009...
  • 11. And I met Joshua Kerievsky in 2009... Kanban is getting popular, you should have a look
  • 12. The five core principles of Kanban* * based on David J. Anderson’s Kanban
  • 13. The five core principles of Kanban* Q D Visualize workflow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ * based on David J. Anderson’s Kanban
  • 14. The five core principles of Kanban* Q 3 4 1 2 D Visualize workflow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Limit work in progress ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ * based on David J. Anderson’s Kanban
  • 15. The five core principles of Kanban* Q 3 4 1 2 D Visualize workflow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Limit work in progress ~ ~ ~ ~ Measure and manage flow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ lead time * based on David J. Anderson’s Kanban
  • 16. The five core principles of Kanban* Q 3 4 1 2 D Visualize workflow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Limit work in progress ~ ~ ~ ~ Measure and manage flow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ cycle time lead time * based on David J. Anderson’s Kanban
  • 17. The five core principles of Kanban* Q 3 4 1 2 D Visualize workflow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Limit work in progress ~ ~ ~ ~ Measure and manage flow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ cycle time throughput lead time * based on David J. Anderson’s Kanban
  • 18. The five core principles of Kanban* Q 3 4 1 2 D Visualize workflow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Limit work in progress ~ ~ ~ ~ Measure and manage flow ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ Make process policies explicit Improve collaboratively cycle time throughput lead time * based on David J. Anderson’s Kanban
  • 19.
  • 20. The Cumulative Flow Diagram Done number of work items Started Queued time
  • 21. The Cumulative Flow Diagram Done number of work items Started Queued lead time time
  • 22. The Cumulative Flow Diagram Done number of work items Started Queued cycle time lead time time
  • 23. The Cumulative Flow Diagram Done number of work items Started Queued WIP cycle time lead time time
  • 24. The Cumulative Flow Diagram Done number of work items Started Queued backlog WIP cycle time lead time time
  • 25.
  • 26. Q 3 4 1 2 D ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~
  • 27. Q 3 4 1 2 D ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~
  • 28. Q 3 4 1 2 D ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ + ~ ~
  • 29. Q 3 4 1 2 D ~ ~ ~ ~ ~ ~ Simplicity ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ + = Objectivity ~ ~ Predictability
  • 30. Enough with the boring theoretical stuff!
  • 31. The history of a real project Done Started Queued The collected data is the courtesy of Digital Natives
  • 33. #1: Too many work items in progress Done Started Queued
  • 34. We’ll wait for you with testing... No worries!
  • 35. #2: Way too long lead time Done Started Queued
  • 36.
  • 37. Distribution of lead times count 15 13 10 8 5 average 3 median* 0 days 1 3 5 7 9 11 13 15 22 33 *Calculation of medians is a popular technique in summary statistics and summarizing statistical data, since it is simple to understand and easy to calculate, while also giving a measure that is more robust in the presence of outlier values than is the mean. Wikipedia
  • 38. Some examples of work items with 8-day lead time time spent on time spent waiting implementation ID description # % (hours) (hours) 1 63 98 7 57 90 2 62 97 2 62 97 3 61 96
  • 40. Distribution of lead times Before count 15 13 10 8 5 3 0 days 1 3 5 7 9 11 13 15 22 33 average median
  • 41. Distribution of lead times Before After count count 15 15 13 13 10 10 8 8 5 5 3 3 0 0 days 1 3 5 7 9 11 13 15 22 33 days 1 3 5 7 9 11 13 22 average median
  • 42. We are soooo fast!!!
  • 43. #3: Still too much work in progress Done Started Queued
  • 44. Number of rejected work items count 15 11 8 4 0 week 31-32 33-34 35-36 37-38
  • 45. Number of rejected work items count 15 11 8 4 0 week 31-32 33-34 35-36 37-38 39-40 42-43 44-45
  • 46.
  • 47. #4: Improving by categorizing work items Done Started Queued
  • 48. All the work items we had so far (~20 work items) v ~ v ~ ~ ~ v ~ v ~ v ~ v v ~ ~ ~ ~ ~ v
  • 49. Categorizing them into three groups S v ~ ~ v ~ ~ ~ M ~ ~ ~ v v ~ ~ v v L ~ v ~ v
  • 50. The lead time distribution count 4 3 3 ~ ~ ~ 2 M ~ ~ ~ v v ~ ~ v v 1 1 0 days 1 2 3 4 5 6 7 8 9 12 13 16
  • 51. The lead time distribution count 4 3 3 ~ ~ ~ 2 M ~ ~ ~ v v ~ ~ v v 1 1 0 days 1 2 3 4 5 6 7 8 9 12 13 16
  • 52. The lead time distribution count 4 3 3 ~ ~ ~ 2 M ~ ~ ~ v v ~ ~ v v 1 1 0 days 1 2 3 4 5 6 7 8 9 12 13 16 SLA
  • 53. The spent time distribution count 6 5 4 ~ ~ ~ 3 M ~ ~ ~ v v ~ ~ v v 2 1 0 hours 6 7 8 9 10
  • 54. The spent time distribution count 6 5 4 ~ ~ ~ 3 M ~ ~ ~ v v ~ ~ v v 2 1 0 hours 6 7 8 9 10 SLA
  • 55.
  • 56.
  • 57.
  • 58.
  • 59.
  • 60.
  • 61. Thank you very much for your attention! http://zsoltfabok.com/ zsolt.fabok@ericsson.com