Agile, Scrum, PMI - ACP, Value Driven Delivery

1. 8/18/21
1
DOMAIN 2
Value Driven Delivery
(version 2.2)
MSc. PMP. Nguyen Thanh Phuoc
phuocnt@gmail.com
Key Topics
• Agile contracting
• Agile tooling
• Compliance/regulatory compliance
• Cumulative flow diagrams (CFDs)
• Customer-valued prioritization
• Earned value management (EVM)
for agile projects
• Frequent verification and validation
• Incremental delivery
• Managing with agile KPIs
• Minimal viable product (MVP)
– Minimal marketable feature (MMF)
2
• Prioritization schemes
– Kano analysis
– MoSCoW
– Relative prioritization /
ranking
• Software Development
Practices
– Continuous integration
– Exploratory and usability
testing
– Red, Green, Refactor
– TDD, TFD, ATDD
• Task/Kanban boards
• Value-driven delivery
• Work in progress
– WIP limits
Tasks TO DO
1. Plan work incrementally
2. Gain consensus on Just in time (JIT) acceptance criteria
3. Tune process to organization, team and project
4. Release minimal viable products
5. Work in small batches
6. Review often
7. Prioritize work
8. Refactor often
9. Optimized environmental, operational and infrastructure
factors
10. Review and checkpoint often
11. Balance adding value and reducing risk
3
Tasks TO DO
12. Reprioritize periodically to maximize value
13. Prioritize non-functional requirements
14. Review and improve the overall process and product
4

2. 8/18/21
2
1. ASSESSING VALUE
Value
• What is the value the project brings to the various stakeholders?
There are considerations for each stakeholder and here is a
sample of those reasons.
• Value to the Sponsors
o In terms of high ROI
o Reduced costs
o Reduced risk
o High IRR
7
7
Value
8
8
Value
• Positive Value?
– Deliver work incrementally to gain competitive advantage and
early realization of value.
– Maximize value delivered to stakeholders while at the same
time minimize non-value added work.
– Reach consensus on the acceptance criteria of the deliverables.
– Refine project processes based on factors like team experience
and organization preferences.

3. 8/18/21
3
“Value – Driven” Delivery?
• Delivery value early
10
Build
Test
Deploy
Plan
Design
Build
Test
Deploy
Plan
Design
Envision
High Level
Plan Build
Test
Deploy
Plan
Design
Release
Assessing Value
• Financial Assessment Metrics
– [T&T] Return on Investment (ROI)
– [T&T] Internal Rate of Return (IRR)
– [T&T] Net Present Value (NPV)
• [T&T] Earned Value Management (EVM)
• [T&T][K&S] Regulatory Compliance
• [K&S] Key Performance Indicators (KPIs)
• Managing Risk
• [K&S] Agile Project Accounting
11
Assessing Value
• [T&T] Earned Value Management (EVM)
– One tool commonly used to track project spending is an “S-curve.”
18
Assessing Value
• [T&T] Earned Value Management (EVM)
– Constructing an Agile Earned Value Tool
19

4. 8/18/21
4
Assessing Value
• [T&T][K&S] Regulatory Compliance
– Typically projects that are subject to regulatory compliance
require special documentation to prove that the required
practices were followed.
– There are two simple approaches for incorporating
regulatory compliance work into agile projects
• Doing the compliance work “as you go” keeps it linked
and relevant to the current work
• Doing the compliance work after product development
doesn’t allow us to tweak our practices on the go, but it
does avoid the issue of rework
• Most organizations adopt a hybrid approach
20
Assessing Value
• [K&S] Key Performance Indicators (KPIs)
– Rate of progress
• How many features or user stories are getting completed and
accepted by the product owner per week or month?
– Remaining work
• How much work is left in the backlog?
– Likely completion date
– Likely costs remaining
21
2. PRIORITIZING VALUE
Prioritizing Value
• [T&T] Customer – Value
Prioritization
• [K&S] Prioritization
Schemes
– [T&T] MoSCoW
– CARVER
– Simple Scheme
– Risk & Value
– Kano’s Model
– Others
• [T&T] Relative
Prioritization/Ranking
26

5. 8/18/21
5
9
9
Customer Value Prioritization [K&S] Prioritization Schemes > CARVER
• CARVER relative to the objective and mission of the project
– Criticality – how important to be done up front
– Accessibility – can work on it immediately? or depends on other work
/ skills?
– Return – ROI / NPV / IRR
– Vulnerability – how easy to achieve the desired results?
– Effect – what are the effects on the project (help moving towards the
goal of the project)?
– Recognizability – have the goals been clearly identified?
28
[K&S] Prioritization Schemes
– Simple Schemes
• rank from high to low (priority 1, 2, 3, ...)
– MoSCoW
– Monopoly Money
• the project budget and ask them to distribute those funds
amongst the system features
30 29
2
9
Prioritization Schemes > Kano’s Model

6. 8/18/21
6
30
3
0
Prioritization Schemes > Kano’s Model
12
1
2
Prioritization Schemes > Risk and Value
Prioritizing Value
• [T&T] Relative Prioritization/Ranking
38
20 Product Prioritization Techniques:
A Map and Guided Tour
https://foldingburritos.com/product-
prioritization-techniques/

7. 8/18/21
7
3. DELIVERING INCREMENTALLY
[K&S] Delivering Incrementally
• [T&T] Minimal Viable Product (MVP)
• [T&T] Agile Tooling
– Low Tech, High Touch Tools
• [T&T] Task/Kanban boards
• [T&T] Work in Progress (WIP)
• [T&T] WIP Limits
• [T&T] Cumulative Flow Diagrams
(CFDs)
41
Minimal Viable Product (MVP)
42
• The concept is somewhat similar to Minimally Marketable Feature
(MMF) in which MVP is the first shippable product with the first
set of MMF.
Minimal Viable Product (MVP)

8. 8/18/21
8
[T&T] Agile Tooling
• The Agile Manifesto values “Individuals and interactions over
processes and tools,”
è agile teams prefer low-tech. High-touch tools over
sophisticated computerized models.
– Sophisticated scheduling tools can also exclude team
members from interacting with the tools and discourage
whole-team collaboration
– Let’s look at these problems in more detail
• Data accuracy perception increases
• Barriers for stakeholder interaction are created
44
[T&T] Agile Tooling
• Low Tech, High-Touch Tools
– Instead of using high-tech tools, agile teams prefer to employ
a “low- tech” approach to planning and tracking
• Ex: Trello (Demo with Trello in managing user story)
– With low-tech, tangible objects promote communication and
collaboration, which is where learning and knowledge
transfer really occur on a project
45
[K&S] Delivering Incrementally
• [T&T] Task/Kanban boards
46
• An "information radiator" - ensures efficient diffusion of information
• Can be drawn on a whiteboard or even a section of wall
• Makes iteration backlog visible
• Serves as a focal point for the daily meeting
• Story cards can be quickly and easily moved to update status
[K&S] Delivering Incrementally (TASK BOARD)

9. 8/18/21
9
[K&S] Delivering Incrementally
• [T&T] Work in Progress (WIP)
• [T&T] WIP Limits
48
[T&T] Cumulative Flow Diagrams (CFDs)
– Little’s Law
49
Delivering Value throught Timeboxing
PROBLEM:
• Student syndrome: a person will only start to apply themselves to
an assignment at the last possible moment before its deadline
• Parkinson’s law: work expands so as to fill the time available for its
completion
SOLUTION (TIMEBOX)
• Timeboxing is setting a fixed time limit to activities
• If something cannot be accomplished in a timeboxed period, it is
deferred to the next period
• Allows velocity to be determined between iterations and sprints
39
3
9
Delivering Value throughtQuality
• Agile embeds quality throughout theproject lifecycle.
Quality is “built in” in agileapproach
• Quality Practices
• Pair programming
• Test Driven Development
• Test-FirstDevelopment
• Acceptance Test Driven Development
• Collaborative definition of done
• Continuousintegration

10. 8/18/21
10
40
4
0
Delivering Value throught Continuous Improvement
• Daily standup
• Sprint demos => Ex: Spring Review Event in Scrum
• Retrospectives
• Highest value on quality
• ContinuousIntegration
• Process Improvement
48
4
8
Tracking Value – Reporting Progress
Burndown Chart
Cumulative Flow Diagram
4. [K&S] AGILE CONTRACTING
[OPTION]
Agile Contracting
• Agile Constraints and Contracts
• Money for Nothing and Change for Free
• Graduated Fixed-Price Contract
• Fixed-Price Work Packages
• Customized Contracts
55

11. 8/18/21
11
Agile Contracting
• Money for Nothing and Change for Free
– Changes will be free if the total amount of contracted work has not
changed
– “Money for nothing” allows the customer to terminate the project
early when they feel there is no longer sufficient ROI in the backlog to
warrant further iterations
56
Agile Contracting
• Graduated Fixed-Price Contract
– both parties share some of the risk and reward associated with schedule
variance
• Fixed-Price Work Packages
• Customized Contracts
57
5. Verifying and Validating Value
Verifying and Validating Value
• [T&T] Frequent Verification and Validation
• [T&T] Testing and Verification in Software Development
• Exploratory and Usability Testing
• [T&T] Continuous Integration
• Test Driven Development
• Acceptance Test-Driven Development (ATDD)
59

12. 8/18/21
12
Verifying and Validating Value
• [T&T] Frequent Verification and Validation
60
Verifying and Validating Value
• [T&T] Testing and Verification in Software Development
61
Verifying and Validating Value
• Exploratory Testing
– Exploratory testing differs from scripted testing that
attempts to exercise all the functional components of a
system; instead , it relies on the tester’s autonomy, skill,
and creativity in trying to discover issues and unexpected
behavior.
• Usability testing
– attempts to answer the question, “How will an end user
respond to the system under realistic conditions?
62
Verifying and Validating Value
• [T&T] Continuous Integration
63
• Test Driven Development

13. 8/18/21
13
Verifying and Validating Value
• Acceptance Test-Driven Development (ATDD)
64
Review
• Agile contracting
• Agile tooling
• Compliance/regulatory compliance
• Cumulative flow diagrams (CFDs)
• Customer-valued prioritization
• Earned value management (EVM)
for agile projects
• Frequent verification and validation
• Incremental delivery
• Managing with agile KPIs
• Minimal viable product (MVP)
– Minimal marketable feature (MMF)
65
• Prioritization schemes
– Kano analysis
– MoSCoW
– Relative prioritization /
ranking
• Software Development
Practices
– Continuous integration
– Exploratory and usability
testing
– Red, Green, Refactor
– TDD, TFD, ATDD
• Task/Kanban boards
• Value-driven delivery
• Work in progress
– WIP limits
References
• PMI-ACP Exam Prep 2015 By Mike Griffiths, PMI-ACP, PMP
• Many other resources from Internet
66
Thank you for your attention!
67

14. 8/18/21
14
20 Product Prioritization Techniques:
A Map and Guided Tour
https://foldingburritos.com/product-
prioritization-techniques/