1. The document discusses when different methodologies like Lean, Agile, and Six Sigma are appropriate based on the evolutionary stage of a product from genesis to commodity.
2. It suggests that Agile is best suited for early stages when activities are uncharted and changing, while more structured methods work better once processes are standardized and repeatable.
3. The key to scaling methodologies like Agile and Lean is to continuously optimize revenue per employee by reducing waste, identifying growth opportunities, and adding resources to serve new demand.
10. “The purpose of business is to create and keep a customer.”
A place for Agile / Lean
Uncharted activities & rapid change (due to their properties i.e. they're uncertain and we're
discovering them): Agile is the most appropriate method, as higher cost of change compared
to the requirements / design phase of a structured method, there will however be change
throughout the project's life.
11. “The purpose of business is to create and keep a customer.”
A place for other …
When industrialised acts defined (Scaling), these should be well understood and highly
repeatable and thus are more effectively managed by a highly structured method because
change shouldn't exist and where it is necessary it should be eliminated in the requirement /
design phase. This leads to a situation where different methods e.g.Agile, Lean Production, Six
Sigma are suitable for different evolutionary stages
12. “The purpose of business is to create and keep a customer.”
A place for just tools
When we are still discovering the value, the work is chaotic and none repeatable, even
looking for planned randomness.
Here we are looking for tools that are spontaneously applied, like customer interviews,
customer observation, ideation, story telling and other „creative“ techniques.
15. Properties of work
Find area of
global optimumApproaching local optimum
Grinding towards
local optimum
Informed (big) bet Informed guessKnown
H1 H2 H3
Depth Speed & RawPrecision
Identify customer jobs qualitative data,
some
quantititive data,
lots of
good enough
solution
Identify problemsOptimize solution
new categoryIteration Paperware
N
o
„Flow
“
C
haotic
Stuttering
D
riven
Flow
/
Evolution
16. “The purpose of business is to create and keep a customer.”
Informed guessing:
Simulated annealing
21. “The purpose of business is to create and keep a customer.”
Scaling Agile & Lean
22. “The purpose of business is to create and keep a customer.”
Scaling = optimizing
Revenue / Headcount
23. “The purpose of business is to create and keep a customer.”
Google
Apple
24. “The purpose of business is to create and keep a customer.”
IBM
P&G
25. “The purpose of business is to create and keep a customer.”
Productivity target for scaling
At least constant rev/employee
26. Standard situation
Find area of global optimum
Informed guesses
Approaching local optimum
Informed big bet
Grinding towards
local optimum
Known
H1 H2 H3
27. “The purpose of business is to create and keep a customer.”
Product Owners/Managers look out:
„I want more, I want it now“-Karma can
kill you!
28. Standard situation
Find area of global optimum
Informed guesses
Approaching local optimum
Informed big bet
Grinding towards
local optimum
Known
H1 H2 H3
Where Agile lives
29. How not to scale
Find area of global optimum
Informed guesses
Approaching local optimum
Informed big bet
Grinding towards
local optimum
Known
H1 H2 H3
30. “The purpose of business is to create and keep a customer.”
Revenue / Headcount:
31. Scaling
Find area of global optimum
Informed guesses
Approaching local optimum
Informed big bet
Grinding towards
local optimum
Known
H1 H2 H3
Reduce self harm
Identify growth opportunity
Place bet
Generate demand
Add people to serve demand
32. “The purpose of business is to create and keep a customer.”
Summary
33. Work on all 3 Horizons all the time
Finding area of global optimum
Informed guesses
Approaching local optimum
Informed big bet
Grinding towards
local optimum
Known
Depth
Speed
Precision
Hint:
A Kanban board itself
already expresses
the wish for order