kanban - the alternative path to agility
TRANSCRIPT
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Kanbanthe alternative path to agility
How do Bruce Lee, a Red Squirrel & a London Taxi
relate to business survivability?
David J. AndersonChairman, Lean Kanban Inc
Capability CountsAlexandria VA, May 2017
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What do we mean by agility?
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Capability Optionality
Agility
What do we mean by “agility”?
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Maximum optionality
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Agility = Capability x Optionality
SkillsExperienceCapacity
# Options x Frequency of decision making
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Bruce Lee’s Journey in Martial Arts
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Bruce Lee rejected traditional teachingand styles of Chinese martial arts
There are some parallels in the story of Bruce Lee and the emergence of his approach to Kung Fu
Lee rejected the idea of following a particular style of Chinese Martial Arts
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Snake
Monkey
Mantis
Tiger
Kung Fu Panda simplified the art to only five styles
Crane
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There are in fact very many styles…
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“Dry land swimming” provides a false sense of capability
The only way to learn is to train with a live opponent
Lee rejected the many styles of martial arts for various reasons, mainly that they gave the practitioners a false sense of capability, putting them at risk in real combat situationsHe was against Kata (learning patterns without an opponent) and described them in derogatory terms such as "dry land swimming.“
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Lee believed he had to train martial artists to adopt an adaptive style of fighting – to inherently know how to
modify their tactics in response to the competitive threat
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Kanban rejects the idea of defined Agile “methodologies”!
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Lee wanted to start from first principles and core concepts
Four ranges of combat
• Kicking
• Punching
• Trapping
• Grappling
*Apparently still called the Five Ways, there are actually now six **with the later inclusion of SAA**The fact that The Five Ways has six elements is evidence of evolution in action***Incorporated core ideas such as "center line" and single fluid motion from Wing Chun and parrying from Epee Fencing********Not a Chinese Martial Art and hence evidence of "no limitation as limitation"
Five* Ways of Attack***• Single Direct Attack (SDA)• Attack By Combination (ABC)• Progressive Indirect Attack
(PIA)• (Hand) Immobilization Attack
(HIA)• Attack by Drawing (ABD)• Single Angle Attack (SAA)
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The Kanban Method
General Practices
1. Visualize (with a kanban board 看板)
2. Limit work-in-progress (with kanbanかんばん)
3. Manage flow
4. Make policies explicit
5. Implement feedback loops
6. Improve collaboratively, evolve experimentally
(using models & the scientific method)
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Lee’s approach still needed a name
He named his approachJeet Kune Do - the way of the intercepting fist - after one of the practices taught in his method
He was quick to point out that it was just a name, a way of communicating a set of ideas. He was passionate that practitioners shouldn't get hung up on the name or the inclusion of any one move or action.
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Kanban is just a name!
The Kanban Method is named for use of kanban systems
- a single practice within a wider philosophy of evolutionary process
development
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Jeet Kune Do
Using no way as way
Having no limitation as limitation
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Kanban – follow your own path to agility!
Kanban is the Agile method without a “methodology”!
There is no defined Kanban Process!
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Jeet Kune Do encourages development of a uniquely personal style
a framework from which to pick & develop a personal style
an evolutionary approach where adoption of maneuvers is learned & reinforced by training with an opponent
Nothing was sacred
"absorb that which is useful“
discard the remainder
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Training with an opponent provides the core feedback loop to drive adaptation
Lee pursued ever more elaborate approaches to protected real combat training to enable the closed loop learning that was core to the evolutionary nature of JKD
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Kata are not adaptive
In comparison with JKD, patterned styles of martial arts taught with "kata" were open loop and not adaptive. There is no adaptation of style from practicing kata. Instead you must follow the style precisely.
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The Kanban Method
Change Management Principles
1. Start with what you do now Understanding current processes, as actually practiced
Respecting existing roles, responsibilities & job titles
2. Gain agreement to pursue improvement through evolutionary change
3. Encourage acts of leadership at all levels
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What is a kanban system?(かんばん)
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A Kanban Systems consists of “kanban” (かんばん) signal cards in
circulation
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What are kanban systems good for?
Deferred commitment – “just-in-time”, “last responsible moment”
Limiting work-in-progress – focus on quality workmanship
Reducing delay
Less inventory, less work queuing
Improved “flow efficiency”
Shorter & more predictable lead times
Implication: If you suffer from over-committing, committing too early, poor quality or long & unpredictable delivery times, kanban systems will help
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Kanban systems are a point solution
Like the “incepting fist” maneuver, you use kanban systems for specific reasons
However, it turns out that limiting WIP creates stress that catalyzes the evolutionary process
Limiting WIP provokes conversation about why work isn’t flowing in an optimal fashion
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The Kanban Method– an alternative path to agility!
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You are part of a professional services business!
An ecosystem of professionals providing interdependent services, often with complex dependencies.
Professional
Service
organizations
build intangible
goods
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Seeing Services
Learn to view what you do now as a set of services (that can be improved):
Service-orientation Paradigm…
• Creative & knowledge work is service-oriented
• Services have a requestor who both requests a product or service and accepts or acknowledges delivery of the finished item or condition
• Service delivery may involve workflow
• Workflow involves a series of knowledge discovery activities
• The way in which a request is treated defines its class of service
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Treat each service separately
Dem
and
ObservedCapability
Dem
and
Dem
and
ObservedCapability
ObservedCapability
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Kanban Cadences
StrategyReview
RiskReview
Monthly
ServiceDeliveryReview
Bi-WeeklyQuarterly
KanbanMeeting
Daily
OperationsReview
Monthly
Replenishment/Commitment
Meeting
Weekly
DeliveryPlanningMeeting
Per delivery cadence
change change
change
change
change
change
change change
change
info
info
info
info
info
infoinfo
info
info
change info
Focus on Service Delivery
Driving improvement…
Higher level management function
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Organizational Improvements Emerge
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FF
OM
NK
J
I
Pull
For each service implement a Kanban “pull” system
Ideas
D
DevReady
G
5Ongoing
Development Testing
Done
3 3
TestReady
5
F
B
CPull
Pull
*
There is capacity here
UATReleaseReady
∞ ∞
Pulling work from development will create capacity here too –
the pull signals move upstream!
Now we have capacity to replenish our ready
buffer
Kanban has been called “Iterationless” Agile. Batches of
work are replaced with continuous flow of work
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Commitment is deferred
ED
Commitment point
FF
FFF
F F
G
Pull
Wish to avoid aborting after commitment
IdeasDev
Ready
5Ongoing
Development Testing
Done
3 3
TestReady
5
UATReleaseReady
∞ ∞
We are committing to getting started. We are certain we want
to take delivery.
Ideas remain optional and (ideally) unprioritized
Kanban implements the Lean principle of “just in time”
through the practice of deferred commitment
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TestReady
FF
FFF
F F
Decoupled Cadence Improved Optionality
EG
D
Replenishment
Discarded
I
Pull
IdeasDev
Ready
5Ongoing
Development Testing
Done
3 35
UATReleaseReady
∞ ∞
The frequency of system replenishment should reflect arrival rate of new
information and the transaction & coordination costs of holding a meeting
Lead time
The frequency of delivery should reflect the transaction & coordination
costs of deployment plus costs & tolerance of customer to take delivery
Delivery
For software development skill in configuration management is an enabling capability for Kanban
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Agility = Capability x Optionality
SkillsExperienceCapacity
# Options x Frequency of decision making
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Delivery Capability has 3 Dimensions
Service Delivery Agility
Commitment frequencyLead TimeDelivery
Frequency
Lea
d T
ime
Short
Long
Del
iver
y
Service Delivery Agility
Com
mitm
ent
Frequent
Seldom
Frequent
Seldom
MoreAgile
LessAgile
Kanban system dynamics
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The Red SquirrelEvolution in Action
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The Red Squirrel
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The Grey Squirrel
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Marginalization of Red Squirrel
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All the gingers are on the Celtic Fringe of Europe!
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In evolutionary processes, alternative solutions often compete to demonstrate which is “fitter” for the environment
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“Fit for purpose”
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LTI
Product ComponentService Delivery
Component
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Achieve “Fitness for Purpose”
+
These must be balanced to deliver what your customers need and expect: to be “fit for purpose”
Product component (capability/brand/non-functional elements)
Service delivery component
demand /customer expectations/ customer satisfaction)
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What makes a pizza delivery service “fit for purpose” ?
Fitness criteria are metrics that measure things customers value when selecting a service again & again
Delivery time
Quality
Predictability
Safety (or conformance to regulatory requirements)
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Evolutionary Processes
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Punctuated Equilibrium
Punctuation Points
• Financial crisis, regulatory changes, political changes, merger, acquisition, divestiture, split, IPO, outsourcing, CEO change, key man exit, reorganization, arrival of a disruptive innovation/insurgents in your market
• Easy to insert change
• First 100 days• Honeymoon period, blame predecessor
Periods of Equilibrium
• Need emotional motivation for change
• Immersive experiential learning
• Stressor
• New species competes for fitness in existing environment• Grey squirrel, red squirrel
• Galapagos Island Effect• Protect mutations
• Isolation strategy
• Innovator’s Solution
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Evolution leaves stuff behind
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Evolution can be hard to explain…
Four ranges of combat
• Kicking
• Punching
• Trapping
• Grappling
*Apparently still called the Five Ways, there are actually now six **with the later inclusion of SAA**The fact that The Five Ways has six elements is evidence of evolution in action***Incorporated core ideas such as "center line" and single fluid motion from Wing Chun and parrying from Epee Fencing********Not a Chinese Martial Art and hence evidence of "no limitation as limitation"
Five* Ways of Attack***• Single Direct Attack (SDA)• Attack By Combination (ABC)• Progressive Indirect Attack
(PIA)• (Hand) Immobilization Attack
(HIA)• Attack by Drawing (ABD)• Single Angle Attack (SAA)
Five
Six
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Posit Science Feature Request
Requested by:______________________________________ Date Requested_____________
Feature name__________________________________________________________________
Format: [customer] [action] [purpose]
Description____________________________________________________________
________________________________________________________________________
________________________________________________________________________
Cost of Delay Classification (required)
Check the type of Feature per the cost of delay.
Expedite – critical and immediate cost of delay
Fixed date – cost of delay goes up significantly after deadline….date:_________
Standard- cost of delay goes up increasingly over time
Intangible – cost of delay incurred significantly later
Provide information on one or more of the following (optional)
Projected Revenue______________________________________
Opportunity Cost
• Estimated 6 month revenue loss if not implemented_____________________________
• Estimated 6 month operating expenses if not implemented_______________________
• Estimated cost of man hours or other resources if not implemented_________________
Qualitative Value (customer experience, quality of service, etc)____________________
Suggested stories (optional)
Old“red squirrel”
New“grey squirrel”
This portion of the form quickly fell out of use. It is
an example of an evolutionary relic
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Developing Evolutionary DNA21st Century Strategy
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Built to Last - 1994
3M – the Minnesota Mutation Machine
An Example of a Resilient, Robust &
Antifragile organization
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Survivability = Agility x Adaptability
Capability x Optionality
Capability(to manage change)
Frequency of change opportunitiesx
SkillsExperienceOrg maturity
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Capability
OptionalityAdaptability
Agility
Survivability
Out-maneuvered
Unfit for purpose
failure
failure
FragileEasily disrupted
RobustAntifragileEvolutionary
Capability
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Capability
OptionalityAdaptability
Delivered as management training & coaching
Focus on managers at all levelsBusiness unit scale
HorizontalApplicable to all professional services (not just IT)
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Capability
OptionalityAdaptability
Typical AgileMethod
Delivered as methodologies, process improvement & coaching
Focus on individuals and teams
VerticalTends to be IT, or software engineering specific
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Organizational Maturity
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Emerging
Chaotic/Adhoc
Defined
Managed
QuantitativelyManaged
Optimizing5
4
3
2
1 No consistency of process or outcome
Luck/Individual heroics
Chaos
Consistency of processHeroic management ???
Consistency of outcome
Consistency of economics
Model-driven improvement
“kaizen culture”
Sense & respond
Continually “fit for purpose”
Resilient
Fragile
Robust
Anti-fragile
“Einheit”
Maturity Level
“Built to Last”Under
str
ess
Follow procedure& improve
Panic & Regress
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Sprinkle on a little “Jerry Weinberg”*
* Weinberg, Quality Software Management, Vol 1, 1997
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Emerging
Oblivious
Defined
Managed
QuantitativelyManaged
Optimizing
6
5
4
3
2
1
0
No consistency of process or outcome
Luck/Individual heroics
Ambivalent / Chaotic
Consistency of processHeroic management ???
Consistency of outcome
Consistency of economics
Model-driven improvement
“kaizen culture”
Sense & respond
Continually “fit for purpose”
“Einheit”
Maturity Level
ContinuallyCongruent
Under
str
ess
Follow procedure& improve
Panic & Regress
Resilient
Fragile
Robust
Anti-fragile
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Kanban Implementations correlate withOrganizational Maturity
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Personal Kanban
Aggregated Personal Kanban
Team Kanban
Emergent/Undefined Workflow
Per Person WIP Limit
CONWIP
Physical spacekanban
Physical token kanban
Virtual Kanban
Classes of serviceCapacity allocation
Liquidity optimization
Aggregated teams
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Personal Kanban
Aggregated Personal Kanban
Team Kanban
Emergent/Undefined Workflow
Per Person WIP Limit
CONWIP
Physical spacekanban
Physical token kanban
Virtual Kanban
Classes of serviceCapacity allocation
Liquidity optimization
Aggregated teams
Benefits of improving maturity
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Evolutionary Change
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The Essence of Kanban in Action
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Lea
rnin
g &
im
pro
vem
ent
Formula for evolutionary change …
Stressor Reflection Mechanism Leadership
Str
esso
r
Ref
lect
ion M
echanism
KanbanMeeting
Risk Review & SDR
Ops Review
Strategy Review
Personal WIP Limit
Column WIP Limit
RowWIP Limit
Strategy vs Capability
Visualization
Replenishment & Delivery
Planning
Personal Reflection
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Kanban Maturity Model
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Work-in-progress on Kanban Maturity Model
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0 Oblivious
0 -> 1
1 Emerging
1 -> 2
2 Defined
2 -> 3
3 Managed
3 -> 4
4Quantitatively
Managed4 -> 5
5 Optimizing
5 -> 6
6Continually
Congruent
Feedback
Loops
Improve &
EvolveMaturity Level
General PracticeVisualize Limit WIP
Manage
Flow
Explicit
Policies
Kanban Maturity Model
Approximately 100 Kanban practices have been mapped to the 7 levels
and 6 transition states
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0 Oblivious
0 -> 1
1 Emerging
1 -> 2
2 Defined
2 -> 3
3 Managed
3 -> 4
4Quantitatively
Managed4 -> 5
5 Optimizing
5 -> 6
6Continually
Congruent
Feedback
Loops
Improve &
EvolveMaturity Level
General PracticeVisualize Limit WIP
Manage
Flow
Explicit
Policies
Kanban Maturity Model
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0 Oblivious
0 -> 1
1 Emerging
1 -> 2
2 Defined
2 -> 3
3 Managed
3 -> 4
4Quantitatively
Managed4 -> 5
5 Optimizing
5 -> 6
6Continually
Congruent
Feedback
Loops
Improve &
EvolveMaturity Level
General PracticeVisualize Limit WIP
Manage
Flow
Explicit
Policies
Kanban Maturity Model
Enterprise Services Planning (ESP) practices will be mapped to higher maturity levels & deeper Kanban
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0 Oblivious
0 -> 1
1 Emerging
1 -> 2
2 Defined
2 -> 3
3 Managed
3 -> 4
4Quantitatively
Managed4 -> 5
5 Optimizing
5 -> 6
6Continually
Congruent
Feedback
Loops
Improve &
EvolveMaturity Level
General PracticeVisualize Limit WIP
Manage
Flow
Explicit
Policies
Kanban Maturity Model
Official launch scheduled for September 2017
Lean Kanban India, Bangalore
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Conclusions
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Conclusions
Agility lies at the intersection of capability & optionality
Survivability lies at the interaction of agility & adaptability
The Kanban Method has all the elements needed to help professional services businesses improve their agility & adaptability across all knowledge worker activities
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Conclusions
Pursuing a non-prescriptive, evolutionary approach has enabled a rich ecosystem of design solutions to emerge
An understanding of the CMMI model enabled us to put these implementations in context and correlate patterns to maturity levels
Understanding the mapping of “depth of kanban” to benefits further enriched the model
The Kanban Maturity Model is set to become a key coaching tool enabling consultants & change agents to catalyze improvement by stressing organizations just enough but not so much as to break them
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Guided evolution with the Kanban Method- The future of business agility
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Thank you!
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About
David Anderson is an innovator in management of 21st Century businesses that employ creative people who “think for a living” . He leads a training, consulting, publishing and event planning business dedicated to developing, promoting and implementing new management thinking & methods…
He has 30+ years experience in the high technology industry starting with computer games in the early 1980’s. He has led software organizations delivering superior productivity and quality using innovative methods at large companies such as Sprint and Motorola.
David defined Enterprise Services Planning and originated Kanban Method an adaptive approach to improved service delivery. His latest book, published in June 2012, is, Lessons in Agile Management – On the Road to Kanban.
David is Chairman of Lean Kanban Inc., a business operating globally, dedicated to providing quality training & events to bring Kanban and Enterprise Services Planning to businesses who employ those who must “think for a living.”
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Teodora Bozheva has been and continues to e an invaluable contributor to the Kanban Maturity Model
Hakan Forss played a key role in provoking the development of the Kanban Cadences and the Depth of Kanban Assessment Framework
Irina Dzhambazova captured many of the case studies that enabled the observation of kanban implementations correlating to organizational maturity levels
The global community of accredited trainers and coaches (AKTs & KCPs) in the Lean Kanban community contribute to the development of this on-going work
Acknowledgements
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Appendices
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Emerging
Oblivious
Defined
Managed
QuantitativelyManaged
Optimizing
6
5
4
3
2
1
0
No consistency of process or outcome
Luck/Individual heroics
Ambivalent / Chaotic
Consistency of processHeroic management
Consistency of outcome
Consistency of economics
Model-driven improvement
“kaizen culture”
Sense & respond
Continually “fit for purpose”
“Einheit”
Maturity Level
ContinuallyCongruent
Under
str
ess
Follow procedure& improve
Panic & Regress
Resilient
Fragile
Robust
Anti-fragile
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2010 – Kanban “blue book”
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2012 Lessons in Agile Management
The heavily under-rated book that underpins the Kanban Coaching Masterclass and most of the theory behind the Kanban Method
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2014 Kanban from the Inside
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2016 Essential Kanban Condensed
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