Many people think of lean, agile, and lean startup as separate processes. In this presentation we'll talk about how they actually evolved from each other, share the same mindset, and can be combined to be more powerful.

1. Agile
Lean
-and In Between-
Peter Green Hart Shafer
@tptman @3jhs

2. 2
Outline
• Lean
– Why Lean?
– History of the approach
– Core Principles
• Agile
– Why Agile?
– History of the approach
– Core Principles
• Lean Startup
– Why Lean Startup?
– History of the approach
– Core Principles
• Overlap of Lean, Agile, and Lean Startup

3. The Problem Lean was Trying to Solve
• Large inventory gave economies of scale but:
– Slow response to change
– Slow response to custom orders
• Opportunity for Toyota:
– Build system that minimized time from request to
delivery
3

4. History of Lean
4

5. 5
Core Lean Principles
1. Understand Value from the
customer’s perspective
2. Optimize the Value Stream
3. One Piece Flow
4. Pull Production
5. Continuous Improvement

6. The problem Agile was trying to solve
6

7. History of Agile
7
Jeff Sutherland

8. Core Agile Principles
8
1. Collaboration
2. Deliver working software
early and continuously
3. Adapt to change
4. Continuous Improvement
5. Technical Excellence through
self-organization

9. The Problem Lean Startup was Trying to Solve
9
Build The
Right Thing

10. History of Lean Startup
10
Agile Development
Customer +
Product Discovery
Lean Principle:
Eliminate Waste
Steve Blank Eric Ries

11. Core Lean Startup Principles
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1. Define your assumptions
2. Generate validated learning
by using experiments with as
little waste as possible
3. Scale experiment investment
as risk decreases and confidence
increases
4. Pivot until you find a
product/market fit
5. Measure and Scale

12. Timeline: Agile, Lean and In Between
12
1950s: Deming Cycle and Mindset
• System Thinking
• Fast Feedback
Loops (PDCA)
• Trust People
1970s: Lean Manufacturing
• Manufacturing
Excellence
• Toyota
Production
System
1990s: Agile Software Development
• Software
Development
Excellence
• Scrum
• XP
2010: Lean Startup
• Market
Excellence
• Customer
Development
• Product
Discovery
Future: Leadership
& Org-wide Agility
• Organizational
Excellence
• Customer
Delight
• Collaborative
Structures
• Leadership
Science
Complex
Domains
 Complexity and Interconnectedness are occurring
at an increasing pace
 Old mindsets are not effective in highly complex systems
 New way of working based on:
 Simple Rules
 Trusting People
 Learning Organizations
Complicated
Domains
New
Mindset

13. A new mindset for doing business…
Feedback Loops:
PDCA (lean)
Inspect & Adapt (agile)
Build Measure Learn (lean startup)
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 Complexity and
Interconnectedness are
occurring at an increasing pace
 Old mindsets are not effective in
highly complex systems
 We need a different way of
working:
 Simple Rules
 Trust People
 Learning Organization

14. Combining the practices: a few examples…
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Eliminate
Map Waste
Value
Stream
Agile Practices
Limit Work
In Progress
Frequent
Iteration on
Solution
Fast
Feedback
Loops,
Learning
Mindset
Customer
Experiments
Self
Organizing
Teams

15. Using the practices in a typical product life cycle
 Note: the phases are not actually linear
 Often they overlap and feedback loops exist (and should)
LLeeaann
Agile
Startup
The mindsets of the three approaches are completely aligned
Combine the practices of each to make the others work better
This is not an “either or” situation – understand and use each
to improve the overall system of work
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Customer
Discovery
Solution
Build &
Refine
Support Maintenance Marketing Sales
Agile
Lean
Startup