Discovering Lean at Hewlett Packard Laserjet Division
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The Hewlett Packard LaserJet Development team used systems engineering tools to discover the laws of Lean and increase the productivity of developing embedded and server based software by hundreds of percent. Learn from the actual work done on LaserJet products these laws of Lean. Learn about the keys to using Kanban and other principles that give constant high productivity on any size of project.
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Discovering Lean at Hewlett Packard Laserjet Division
- 1. Sterling Mortensen President, Applying Lean Inc. sterling@applyinglean.com 1Copyright Applying Lean Inc.
- 2. Number of products growing quickly New more complex products Number of features growing exponentially Moving to common software platform Demand far exceeded ability to supply 2Copyright Applying Lean Inc.
- 3. Speed (Fast Processes) Less Work Because (Less of People’s Time is being Wasted on Non-Value Added Work) 3Copyright Applying Lean Inc.
- 4. 4Copyright Applying Lean Inc.
- 5. Corporate Value $70 million program cost avoidance in 20 months on Edgeline $27 million in annual savings (FW lab budget reduction) going forward Program TTM reduced by 1 year 7.4x productivity improvements sustained during staff & budget reductions 5Copyright Applying Lean Inc.
- 6. Theory of Constraints - Eliyahu Goldratt Global Optimization Queuing Theory – Don Reinertsen Continuous Improvement Value Stream Maps + Information Flow Discovered the Laws that make Lean work 6Copyright Applying Lean Inc.
- 7. Natural Law’s & Human Psychology 7Copyright Applying Lean Inc.
- 9. Productivity is inversely related to complexity • Productivity is Restored by breaking large complex projects into smaller – Iterative Development projects Productivity = a Complexity 1 9Copyright Applying Lean Inc.
- 10. Technology delivery Technology delivery Note the consistent “heartbeat” Small Batch + Fixed Cadence Technology delivery Technology delivery Technology delivery Technology delivery Technology delivery Technology delivery Product A delivery Product B delivery 10Copyright Applying Lean Inc.
- 11. Going to small batch iterative development reduced defects, every time the process went faster, the quality got even better! Quality Goes Up as Time to Feedback Goes Down! People are self motivated to improve quality if they can see quickly that what they are doing has problems. But if there is a long delay their motivation drops significantly. 11Copyright Applying Lean Inc.
- 12. 53% Less 80% Less 87% Less 12Copyright Applying Lean Inc.
- 13. Too much WIP (Work In Process) is the greatest source of waste •Use a Kanban system to keep the WIP constant •A constant WIP delivers a consistent r te of delivery, which makes planning and status more easy and accurate 13Copyright Applying Lean Inc.
- 14. Cumulative Flow of Features 0 200 400 600 800 1000 1200 1400 3/22/2004 4/5/2004 4/19/2004 5/3/2004 5/17/2004 5/31/2004 6/14/2004 6/28/2004 7/12/2004 7/26/2004 8/9/2004 8/23/2004 9/6/2004 9/20/2004 10/4/2004 10/18/2004 11/1/2004 11/15/2004 11/29/2004 12/13/2004 12/27/2004 1/10/2005 1/24/2005 2/7/2005 2/21/2005 3/7/2005 3/21/2005 Time CumulativeFeatures Cum Proposed Cum Accepted Cum Evaluated Cum Designed Cum Committed Cum Completed Cum Verified WIP WIP > 500 WIP > 900 Work In Process Example 14Copyright Applying Lean Inc.
- 15. 800 85 99 100 100 950 92 0 100 200 300 400 500 600 700 800 900 1000 Mar-05 Apr-05 May-05 Jun-05 Jul-05 Aug-05 Sep-05 Oct-05 Nov-05 Dec-05 Jan-06 Feb-06 Time FeaturesinWIP 48 months of inventory 20 features per month 2 1/2 months of inventory 39 features per month 15Copyright Applying Lean Inc.
- 17. Work on small chunks of work Take the work to completion Use Kanban system to control total WIP 17Copyright Applying Lean Inc.
- 18. Small batch = low WIP high productivity Predictability ◦ Linear vs. non- linear closure Manager satisfaction Employee satisfaction Get done sooner ◦ Continuous quality reduces rework ◦ Better economics Req’d scope 18Copyright Applying Lean Inc.
- 19. 1. Product Development is Learning 2. Product Development is high variability 3. Learning doesn’t happen in nice, phased steps 4. Risk reduction requires accelerating learning in high risk areas 5. Rate of learning = f(1/time to feedback) 19Copyright Applying Lean Inc.
- 20. Done WIP Backlog Average Closure Rate Avg WIP Arrival Rate Avg Backlog arrival rate Eventual convergence indicates that backlog can be worked off. Amount of WIP = queue size. Queue size has a direct correlation to quality and cycle time Avg rates can be computed using run charts and, later, SPC charts. Variance can be accounted for to yield predictability 20Copyright Applying Lean Inc.
- 21. Jedi SysRDAll Analysis 0 100 200 300 400 500 600 700 3.1 3.2 3.3 3.4 3.5 3.6 4.1 4.2 4.3 4.4 4.5 4.6 5.1 5.2 5.3 5.4 5.5 5.6 6.1 6.2 6.3 6.4 6.5 6.6 7.1 7.2 Core Release Cycle CondorRequirements 0 200 400 600 800 1,000 1,200 1,400 TimetoMain(days) Total Submitted Total Started Total Committed Total FW Implemented Total FW Verified Total Sol'n Verified Time to Main [avg] Avg Time To Main Pre/Post Adoption of Lean (4/25/2005) UCL 21Copyright Applying Lean Inc.
- 22. • Uncertainty = Risk = Areas the learning is needed • Focusing early iterations on high risk areas enables learning, reduces uncertainty & risk 22Copyright Applying Lean Inc.
- 23. A requirement or feature chunk is not done until it has passed ALL tests ◦ This means that tests have been run, defects fixed ◦ Demos if used are done and changes made based on feedback ◦ Then the tests are rerun ◦ Learning is complete once ALL tests pass and demo approved! ◦ No Credit is given until it is completely done! 23Copyright Applying Lean Inc.
- 24. “Continuous Flow is the Ultimate Objective of lean production, and creating continuous flow has been the goal of countless kaizen projects. We work at a wide range of manufacturing facilities and see many commendable efforts to create flow. Unfortunately, we see very little of it actually achieved.” Mike Rother & Rick Harris from the book “Creating Continuous flow” 24Copyright Applying Lean Inc.
- 25. 0 20 40 60 80 100 120 140 160 180 Cumulative Demand Total Tasks Completed Cumulative Actual Potential savings of about 15% in time with reduced headcount Projected timeline with less resourceDO Added features Doing 15% more in the same timeline +20 VR-Sep09 Tasks/Features Highlights: -Bocce (1) got defined in Nov07 with aggressive schedule, and added more features as OEM integrates -Delivering more with reduced headcount, attrition management -Improved efficiency due to - Closer/direct interaction with OEM/AE for issue resolutions and responsiveness - More knowledge gained as the team makes the progress along PLC - Increased rigor in the overall review processes 25Copyright Applying Lean Inc.
- 26. LonePine Program EE deliverables for Lone Pine - End to end prediction with accomplishment as on 7/25/2008 0 50 100 150 200 250 Sep- 07 Oct- 07 Nov- 07 Dec- 07 Jan- 08 Feb- 08 Mar- 08 Apr- 08 May- 08 Jun- 08 Jul-08 Aug- 08 Sep- 08 Oct- 08 Nov- 08 Dec- 08 Jan- 09 Feb- 09 Mar- 09 Time (months) Deliverables Cumulative Completed Completed Each Month Cumulative Started Cumulative Demand Toda y If something is in WIP, it is probably safe to assume there has been progress. This graph only shows completed deliverables though. The blue line reaching the red line indicates that everything due for this milestone should be started. The gap between cumulative completed and started indicates WIP As of on 7/25, EE HW is pending with one deliverable (ESD issue) 26Copyright Applying Lean Inc.
- 27. Each improvement opens the way to find another improvement, leading to continuous improvement 27Copyright Applying Lean Inc.
- 28. Measure only Items Done Requirement chunks that are in process at the end of an iteration continue on into the next iteration, until they are done Variability is natural. 28Copyright Applying Lean Inc.
- 29. 29Copyright Applying Lean Inc.