2. 2 | MI Digital Summit
INTRODUCTIONSANDWHYWE’REHERE?
3. 3 | MI Digital Summit
INTRODUCTIONS
JAMESMCFARLANE
Director of Agency Services , DTMB
State of Michigan
JIMHOGAN
Information Officer, DTMB
State of Michigan
NITISHMUKHI
Senior Manager, Digital Government
Deloitte Digital
AMITAVACHATTERJEE
VP Strategy & CIO Advisory Services,
Reliable Software Resources
4. 4 | MI Digital Summit
OBJECTIVES
Provide an introduction and overview of Agile concepts
Discuss how Agile is different
Discuss unique considerations for applying Agile concepts in the public sector
Provide a forum for discussion and Q&A
5. 5 | MI Digital Summit
ASMOREORGANIZATIONSADOPTLEAN/AGILEMETHODS,THEREARE
SOMECOMMONBENEFITSCONSISTENTLYREPORTED
Benefits of adopting Lean / Agile methods (Survey)
59%
56%
53%
40%
46%
40%
38%
26%
23%
Accelerate Time to Market
Manage Changing Priorities
Increase Productivity
Better Align IT / Business
Enhance Software Quality
Project Visibility
Reduce Risk
Improve Team Morale
Reduced Cost
WHILE THE MOST COMMON REASON FOR ADOPTING AGILE WAS TIME TO MARKET, RESPONDENTS CITED THAT
THEY ACTUALLY EXPERIENCED IMPROVED MANAGERIAL ABILITIES AS THE BIGGEST BENEFIT
VersionOne: State of Agile Survey (2015, n=6000+), percentages show option respondents marked as ‘Highest
Important’ - http://info.versionone.com/state-of-agile-development-survey-ninth.html
7. 7 | MI Digital Summit
MENTALSHIFTPARADIGM
Meet Lisa.
Lisa wants you to build something that will take her from her
house to her workplace.
She wants you to build it using agile.
How would you build it?
7
A. B. C.
D. E. F.
G.
H.
I.
J.
Choose 5 items and order them following an iterative/incremental approach:
8. 8 | MI Digital Summit
WHATDIDYOUBUILD?
Or this…
D. F. H. B. J.
C. A. I. E. G.
• Highest priority is to satisfy the customer through early and continuous delivery of valuable
software
• Deliver working software frequently
• Working software is the primary measure of progress
Key takeaways
9. 9 | MI Digital Summit
HOWAGILECANHELPDRIVEBUSINESSOUTCOMES
New Service with 5 metrics to be achieved by with 1 year
This service was to be implemented using Waterfall methods, however the client formed a small cross-functional Scrum Team
that released portions of the service incrementally. The client achieved 4 of 5 metrics a year earlier than forecast.
Accounts making use of
service
• 2016/17 Goal – 6,350
• Nov 2015 – 6,649
New service registrations
• 2016/17 Goal – 50,800
• Nov 2015 – 61,557
Average use per client
• 2016/17 Goal – $228
• Nov 2015 – $474
Total use for all clients
• 2016/17 Goal – $1.4M
• Nov 2015 – $3.1M
Revenue from new service
• 2016/17 Goal – $478,000
• Nov 2015 – $258,000
Aug 2015 Sept 2015 Oct 2015
Release 1 – New service
provided for existing, pre-
approved clients
Release 2 – Existing
clients can apply for the
new service online
Release 3 – Clients can remove the
service, those who aren’t auto-
approved are queued for review
Release 4 – Clients modify
settings online, rather than
by calling
Dec 2015
Release 5 –
Streamlined
accounting process
Release 6 – Real-time
fraud monitoring
Jan 2016 Feb 2016
KPI’s
10. 10 | MI Digital Summit
SCRUMISTHEMOSTPOPULARIMPLEMENTATIONOFAGILEBASEDONSHORTITERATIONS,QUICKFEEDBACKLOOPSANDINCREMENTALPROGRESS
These are now
collectively referred to
as Agile methodologies,
after the Agile
Manifesto was
published in 2001.
AGILE
Rational Unified
Process (RUP) Crystal Clear
Extreme
Programming
(XP)
Adaptive
Software
Development
Feature Driven
Development (FDD)
Lean Kanban
Scrum
WHATISAGILE?
Agile is a group of software development frameworks and tools focused on iterative delivery, where
requirements and solutions evolve through collaboration between self-organizing, cross-functional
teams. Agile is an opportunity to re-think of the way we go about software development
11. 11 | MI Digital Summit
12PRINCIPLESOFAGILESOFTWAREDEVELOPMENT
2
3
4
5
Deliver working software frequently, from a
couple of weeks to a couple of months, with a
preference to the shorter timescale
Build projects around motivated individuals.
Give them the environment and support they need, and trust
them to get the job done
Working software is the primary measure of
progress
Continuous attention to technical excellence
and good design enhances agility
6
The best architectures, requirements, and designs emerge from
self-organizing teams
7
8
9
11
Welcome changing requirements, even late in
development. Agile processes harness change for the customer's
competitive advantage
Business people and developers must work
together daily throughout the project
The most efficient and effective method of
conveying information to and within a development team is face-
to-face conversation
Agile processes promote sustainable development. The sponsors,
developers, and users should be able to maintain a constant pace
indefinitely
Simplicity--the art of maximizing the amount
of work not done--is essential
12
At regular intervals, the team reflects on how
to become more effective, then tunes and adjusts
its behavior accordingly
1
Our highest priority is to satisfy the customer
through early and continuous delivery of valuable software
10
http://agilemanifesto.org/iso/en/principles.html
12. 12 | MI Digital Summit
AGILE/SCRUMFRAMEWORK
PRODUCT BACKLOG
SPRINT BACKLOG
SPRINT PLANNING
DAILY STANDUP
PRODUCT INCREMENT
SPRINT REVIEWSPRINT RETROSPECTIVE
SPRINTPRODUCT
OWNER
BURN DOWN CHART
IMPEDIMENTS LIST
SCRUM MASTER
PRODUCT BACKLOG
REFINEMENT
13. 13 | MI Digital Summit
TRADITIONALVSAGILE
Traditional Agile
Working
Software
Working
Software
Working
SoftwareBRD
Working
Software
Working
Software
Working
SoftwareSRS Code Test Results
Build Test DeployDesign
Require
ments
Requirements
Design
Build
Test
Deploy
Requirements
Design
Build
Test
Deploy
Requirements
Design
Build
Test
Deploy
Requirements
Design
Build
Test
Deploy
Requirements
Design
Build
Test
Deploy
BEINGAGILEMEANSDELIVERINGVALUEDSOFTWAREINAWAYTHATENABLESFEEDBACKASEARLYASPOSSIBLETOENSURETHAT
CUSTOMERNEEDSAREBEINGMET
14. 14 | MI Digital Summit
AGILEORITERATIVEWATERFALLAgile should not be used on projects that simply wish to adopt some Agile practices (e.g. iterative releases, continuous integration, peer
programming, or daily meetings).
Use Agile… Use Iterative waterfall…
To reduce risk by receiving feedback frequently and releasing
portions of functionality regularly
To reduce risk by releasing portions of functionality regularly
On contracts that focus on business value rather than detailed
documentation expectations along waterfall milestones
On fixed-price deliverable-based contracts with well-defined
processes, review gates, and organizational structure
In organizations where cross-functional scrum teams can be
formed
In organizations with divided teams by specialty (e.g. business
analysts, designers, developers, testers, O&M)
Where there is constant engagement with a single decision-
maker for product scope and priority
Where scope is defined up-front and scope changes must pass
through a board for reviewers
In environments where the team has the tools and infrastructure
to support automated testing and frequent builds
In environments where automated testing is not performed or
builds cannot be executed multiple times per day
If documentation can be finalized at the end of the sprint or
release.
If formal sign-off of requirements, design, code, or testing
results are required before the continuing the process
Where scope is variable and time and resources are fixed Where scope is fixed and time and resources are variable
15. Defining a digital bank
• Build consensus on the definition of a digital bank
KEYCONSIDERATIONSFORAGILE
16. 16 | MI Digital Summit
CUSTOMEREXPECTATIONS
11
10
9
82
3
4
5
Speed-to-market
Quality
Visibility
Risk Mitigation
6
Flexibility/Agility
Envisioned Product
Business Engagement
One Team
Customer Satisfaction
1 Fast ROI
12 Agile the Midas Touch?
7 On Budget
17. 17 | MI Digital Summit
WHATAGILEISNOT
It is not a single methodology
It is not a set of tools
It is not the opposite of waterfall, Prince2, PMBOK or RUP
It is not that easy (it is easy to understand, not easy to implement)
AGILEISNOTASILVER-BULLET
18. 18 | MI Digital Summit
SCALINGAGILETOMULTI-TEAMDEVELOPMENT
Potential Weaknesses
– “Scaling Agile” is considered an oxymoron
– Cultural impedance mismatch
– Agile doesn’t address long-term architecture
– Agile requires co-located teams
– Agile efforts are hard to estimate and predict
Misconceptions
– There’s no planning
– Only works with the best developers
– Agile development doesn’t follow any process
– Nothing gets written down
– There’s no way to track progress
– Agile is ‘cowboy coding’
WeaknessescanbeaddressedbybalancingAgilewithPlan-drivenapproaches
19. 19 | MI Digital Summit
KEYRISKSOFAGILE
Perhaps the most significant risk of any agile engagement
is one of resistance.
Even when there is a genuine desire and willingness to
adopt agile, there’s still a question of sustainability.
Preparation for agile can be limited
Teams have difficulty with agile execution
Project evaluations are inconsistent with traditional
practices
Any upfront agile plan may simply specify the wrong
solution.
Components of agile are not well understood, so bad
Water-Agile-Fall methods are adopted
Does the scope
include software
enablement of
business processes?
Does the scope
include significant
custom software
development?
Is the scope lacking
in specificity, and
unlikely to remain
stable?
Is the customer
willing and able to
offer flexibility on
scope?
Yes
Yes
Yes
Yes
Seriously Consider Agile/Scrum and/or
Lean Process VSAs
Remove Agile/Scrum or
Lean VSAs from
consideration
Remove Agile/Scrum from
consideration
Remove Agile/Scrum from
consideration
Right Path to Agile
No
No
No
Remove Agile/Scrum
from consideration
unless bound by a
schedule
No
20. 20 | MI Digital Summit
PREPARETOSUCCEED
Train all stakeholders in your Agile approach, and train your team in your Agile methods
Create a physical environment conductive to collaboration
Identify measurable outcomes, not outputs, of what you want to achieve using Agile
Ensure your contracts are structured to accommodate your Agile approach
Identify an Agile champion within senior management
Ensure all teams include coaches or staff with Agile experience
Prepare for difficulties, regression, and negative attitudes
21. Defining a digital bank
• Build consensus on the definition of a digital bank
AGILECONTRACTING
22. 22 | MI Digital Summit
Contract Language Review
Contract language was reviewed and
supported by both State Agencies and
our Vendor Community
Standard Contract Language
DTMB has developed standard Agile contract language
in support of our software modernization program
• Candidate projects less than $5 million
• Utilizes terms and conditions approved by 20
prequalified vendors
• 8 week turn-around time for award once bid is
posted
• Candidate projects must agree to follow Agile
process
AGILECONTRACTINGPROCESS:BACKGROUND
Budgeting Options
At the agencies option, SOW may include
a “not to exceed” price to help vendors
understand available budget
23. 23 | MI Digital Summit
AGILECONTRACTINGPROCESS:AGENCYRESPONSIBILITIES
Business Process Review
Preliminary to developing high level requirements
(Epics), the Agency business function(s) will undergo
a business process review to identify inefficiencies
and redundancies
• Trained BPR facilitators available within the agency
or via DTMB.
Review Existing System
Preliminary to posting the SOW, the
vendor community will be given a “hands-
on” overview of the existing system to
facilitate understanding of need
Agile Training
Agency must send project
participants to Agile training
Zero Sprint – Product Vision
Agency, working with DTMB will allocate two
weeks to map out “zero sprint”
requirements, which would then be used in
the SOW.
• Product vision describes what the solution
needs to do
• Product story map defines user roles and
high level requirements
24. 24 | MI Digital Summit
AGILECONTRACTINGPROCESS:VENDORRESPONSIBILITIES
Rigorous Documentation
Rigorous attention to documentation via
SUITE for requirements, validation, testing,
acceptance and traceability to eliminate
unplanned scope creep or disagreements
02
01
Releases and Corrective Actions
Contract provides for vendor termination if
releases and subsequent corrective action
plan not being met
• At the state’s option, project will be
turned-over to the “runner-up” vendor
for continuation
03
04
05
06
Standard Process Governing
Standard development and tracking tools
governing product backlog, code repository
and build process
Gain-sharing
Contract may prove for “gain-sharing” that
rewards vendor for delivering accepted
solution early
Payment increase
Payments will increase as “minimal
viable product” increases
Agile Certification
Vendor staff must be certified in Agile, or in
the alternative, attend state sponsored Agile
training
25. Defining a digital bank
• Build consensus on the definition of a digital bank
Q&A