lean thinking on business analysis

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2010 2010 “Lean Thinking on Business Analysis” Lean Thinking on Lean Thinking on Business Analysis Business Analysis Continuous Discovery and Delivery of Business Transformations

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Talk presented at "Pensando Lean" in 2010, Sep 3 (São Paulo, Brazil). Based on Lean principles and two Business Analysis Knowledge Areas (BA Planning and Enterprise Analysis), this presentation explores how DISCOVERY and DELIVERY are both focus of Business Analysis in agile projects.

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Page 1: Lean Thinking on Business Analysis

20102010

“Lean Thinking on

Business Analysis”

““Lean Thinking onLean Thinking on

Business AnalysisBusiness Analysis””

Continuous Discovery and Delivery of Business Transformations

Page 2: Lean Thinking on Business Analysis

Do you know what isDo you know what isBusiness Analysis?Business Analysis?Business Analysis?Business Analysis?Business Analysis?Business Analysis?Business Analysis?Business Analysis?

Page 3: Lean Thinking on Business Analysis

Definition Definition based onbased on BABOK/IIBA:BABOK/IIBA:

““““““““Business Analysis is a set of practices and tools that Business Analysis is a set of practices and tools that Business Analysis is a set of practices and tools that Business Analysis is a set of practices and tools that Business Analysis is a set of practices and tools that Business Analysis is a set of practices and tools that Business Analysis is a set of practices and tools that Business Analysis is a set of practices and tools that allow us to understand the structure, polices and allow us to understand the structure, polices and allow us to understand the structure, polices and allow us to understand the structure, polices and allow us to understand the structure, polices and allow us to understand the structure, polices and allow us to understand the structure, polices and allow us to understand the structure, polices and operations of an organization in order to recommend operations of an organization in order to recommend operations of an organization in order to recommend operations of an organization in order to recommend operations of an organization in order to recommend operations of an organization in order to recommend operations of an organization in order to recommend operations of an organization in order to recommend solutions that could contribute to achieve its goals.solutions that could contribute to achieve its goals.solutions that could contribute to achieve its goals.solutions that could contribute to achieve its goals.solutions that could contribute to achieve its goals.solutions that could contribute to achieve its goals.solutions that could contribute to achieve its goals.solutions that could contribute to achieve its goals.””””””””

2004-2009

Page 4: Lean Thinking on Business Analysis

Ok! But this is not what Ok! But this is not what Ok! But this is not what Ok! But this is not what many people do over there many people do over there many people do over there many people do over there

� Agile Development� Business Intelligence� Business Process Management� Business Rules� Decision Analysis and Game Theory� Enterprise Architecture� Governance and Compliance Frameworks� IT Service Management� Lean and Six Sigma� Organizational Change Management� Project Management� Quality Management� Service Oriented Architecture� Software Engineering (particularly Requirements Eng.)� Software Process Improvement� Software Quality Assurance � Strategic Planning� Usability and User Experience Design

Business AnalystsBusiness AnalystsBusiness AnalystsBusiness AnalystsBusiness AnalystsBusiness AnalystsBusiness AnalystsBusiness AnalystsSystems AnalystsSystems AnalystsSystems AnalystsSystems AnalystsSystems AnalystsSystems AnalystsSystems AnalystsSystems Analysts

Requirements AnalystsRequirements AnalystsRequirements AnalystsRequirements AnalystsRequirements AnalystsRequirements AnalystsRequirements AnalystsRequirements Analysts

Process AnalystsProcess AnalystsProcess AnalystsProcess AnalystsProcess AnalystsProcess AnalystsProcess AnalystsProcess Analysts

Product ManagersProduct ManagersProduct ManagersProduct ManagersProduct ManagersProduct ManagersProduct ManagersProduct Managers

Product OwnersProduct OwnersProduct OwnersProduct OwnersProduct OwnersProduct OwnersProduct OwnersProduct Owners

Business ArchitectsBusiness ArchitectsBusiness ArchitectsBusiness ArchitectsBusiness ArchitectsBusiness ArchitectsBusiness ArchitectsBusiness Architects

Management ConsultantsManagement ConsultantsManagement ConsultantsManagement ConsultantsManagement ConsultantsManagement ConsultantsManagement ConsultantsManagement ConsultantsProject ManagersProject ManagersProject ManagersProject ManagersProject ManagersProject ManagersProject ManagersProject Managers

UX DesignersUX DesignersUX DesignersUX DesignersUX DesignersUX DesignersUX DesignersUX Designers

Page 5: Lean Thinking on Business Analysis

Determine how to complete a

business analysis effort

Determine how to complete a

business analysis effort

Define a solution that can

feasibly be implemented by the

business

Define a solution that can

feasibly be implemented by the

business

Determine which solution

best fits the business need

Determine which solution

best fits the business need

Ensure that stakeholders and

team remain in agreement

on the solution

Ensure that stakeholders and

team remain in agreement

on the solution

Business Analysis Knowledge AreasBusiness Analysis Knowledge AreasBusiness Analysis Knowledge AreasBusiness Analysis Knowledge AreasBABOK® Guide Version 2.0

Identify and understand

needs and concerns

Identify and understand

needs and concerns

Support the effective

performance of

business analysis

Support the effective

performance of

business analysis

Enable the team to implement a

solution that will meet the needs

of the sponsoring organization

and stakeholders

Enable the team to implement a

solution that will meet the needs

of the sponsoring organization

and stakeholders

Page 6: Lean Thinking on Business Analysis

Is it trueIs it truethat all of that all of

Business Analysis Business Analysis professionals follow theprofessionals follow the

WATERFALL WATERFALL WATERFALL WATERFALL WATERFALL WATERFALL WATERFALL WATERFALL Model?Model?Model?Model?Model?Model?Model?Model?

Page 7: Lean Thinking on Business Analysis

In 2006, by recognizing that the agile approach is In 2006, by recognizing that the agile approach is significantly contributing to the way people are significantly contributing to the way people are developing software, the IIBA determined that developing software, the IIBA determined that BABOK version 2.0 (2009) should be compatible BABOK version 2.0 (2009) should be compatible with this way of thinking.with this way of thinking.

Plan DrivenPlan DrivenPlan DrivenPlan DrivenXXXX

Change DrivenChange DrivenChange DrivenChange Driven

BABOK Agile Extension will be published in 2011

Page 8: Lean Thinking on Business Analysis

LetLetLetLet’’’’s play s play s play s play a game!a game!a game!a game!

LetLetLetLet’’’’s play s play s play s play a game!a game!a game!a game!

Page 9: Lean Thinking on Business Analysis

Large Lots x Small LotsLarge Lots x Small LotsLarge Lots x Small LotsLarge Lots x Small LotsLarge Lots x Small LotsLarge Lots x Small LotsLarge Lots x Small LotsLarge Lots x Small Lots

AnalystAnalystAnalystAnalyst DesignerDesignerDesignerDesigner ProgrammerProgrammerProgrammerProgrammer TesterTesterTesterTester CustomerCustomerCustomerCustomer

Team SetupTeam SetupTeam SetupTeam Setup

Game GoalGame GoalGame GoalGame Goal

Deliver to the customer 10 software requirements analyzed, designed, coded and tested in the shortest time.

Page 10: Lean Thinking on Business Analysis

Experiment ResultsExperiment ResultsExperiment ResultsExperiment ResultsExperiment ResultsExperiment ResultsExperiment ResultsExperiment Results

1111 2222 3333 4444 5555 6666 7777 8888 9999 0000

AnalysisAnalysisAnalysisAnalysis DesignDesignDesignDesign CodingCodingCodingCoding TestingTestingTestingTesting

1111 2222 3333 4444 5555 6666 7777 8888 9999 0000 1111 2222 3333 4444 5555 6666 7777 8888 9999 0000 1111 2222 3333 4444 5555 6666 7777 8888 9999 0000

Operating in Large Lots

Total Time = 40 UT 1º. Feedback = 31 UT77.5% of total time and 90% of functionalities at high risk.

AnalysisAnalysisAnalysisAnalysis

DesignDesignDesignDesign

CodingCodingCodingCoding

TestingTestingTestingTesting

1111 2222 3333 4444 5555 6666 7777 8888 9999 0000

1111 2222 3333 4444 5555 6666 7777 8888 9999 0000

1111 2222 3333 4444 5555 6666 7777 8888 9999 0000

1111 2222 3333 4444 5555 6666 7777 8888 9999 0000

Operating in Small Lots (Unitary Flow)

Total Time = 13 UT 1º. Feedback = 4 UT30.8% of total time and 60% of functionalities at zero risk.

Velocity Gain = 40 / 13 = 3.07Velocity Gain = 40 / 13 = 3.07Velocity Gain = 40 / 13 = 3.07Velocity Gain = 40 / 13 = 3.07

Final Lead Time = 13 / 40 = 32.5%Final Lead Time = 13 / 40 = 32.5%Final Lead Time = 13 / 40 = 32.5%Final Lead Time = 13 / 40 = 32.5%

Feedback Time= 4 / 31 = 12.9%Feedback Time= 4 / 31 = 12.9%Feedback Time= 4 / 31 = 12.9%Feedback Time= 4 / 31 = 12.9%

Page 11: Lean Thinking on Business Analysis

Questions to our Questions to our Questions to our Questions to our Questions to our Questions to our Questions to our Questions to our managersmanagersmanagersmanagersmanagersmanagersmanagersmanagers::::::::

1. Is your organization really interested in developing software projects so slowly?

2. If it’s really not of interest of doing this, what keeps your organization culture wedded to waste?

3. Do the “stakeholders” have any perception about the risks they are facing by keeping that logistics?

4. Do you believe that a low performance anda high risk project can affect business results?

5. So, what could be the interest of a Business Analyst by discussing this scenario?

Page 12: Lean Thinking on Business Analysis

““““““““Not only the solution scopeNot only the solution scopeNot only the solution scopeNot only the solution scopeNot only the solution scopeNot only the solution scopeNot only the solution scopeNot only the solution scopebut the way how it is delivered tobut the way how it is delivered tobut the way how it is delivered tobut the way how it is delivered tobut the way how it is delivered tobut the way how it is delivered tobut the way how it is delivered tobut the way how it is delivered to

our customers could affectour customers could affectour customers could affectour customers could affectour customers could affectour customers could affectour customers could affectour customers could affecttheir business results.their business results.their business results.their business results.their business results.their business results.their business results.their business results.””””””””

XXXXXXXX

Page 13: Lean Thinking on Business Analysis

Question No. #1Question No. #1Question No. #1Question No. #1Question No. #1Question No. #1Question No. #1Question No. #1How Lean Thinking couldHow Lean Thinking couldaffect the Planning of ouraffect the Planning of our

Business Analysis Activities?Business Analysis Activities?

Page 14: Lean Thinking on Business Analysis

TheTheTheThe DudeDudeDudeDude’’’’s s s s LawLawLawLaw

Value = Why

How By DavidHussman

Page 15: Lean Thinking on Business Analysis

1 to 3 weeks cycle

BusinessAnalyst

Facilitator

Tom Gilbhttp://stakeholdervalues.com/Value+Product+Owner

Stakeholder

PrioritizePrioritize

BusinessVision

ProductOwner

PrioritizePrioritize

ProductVision

Ver

ify

Bu

sin

ess

Vis

ion

Ver

ify

Bu

sin

ess

Vis

ion

Product ManagementProduct Management

SCRUM

Ver

ify

Pro

du

ct V

isio

n

Ver

ify

Pro

du

ct V

isio

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11111111ºººººººº. Guiding the organization to an Iterative and. Guiding the organization to an Iterative and. Guiding the organization to an Iterative and. Guiding the organization to an Iterative and. Guiding the organization to an Iterative and. Guiding the organization to an Iterative and. Guiding the organization to an Iterative and. Guiding the organization to an Iterative andIncremental Culture of Business ValueIncremental Culture of Business ValueIncremental Culture of Business ValueIncremental Culture of Business ValueIncremental Culture of Business ValueIncremental Culture of Business ValueIncremental Culture of Business ValueIncremental Culture of Business Value

PRODUCTPRODUCTPRODUCTPRODUCT

Value ManagementValue Management Value Manag.Value Manag.

BUSINESSBUSINESSBUSINESSBUSINESS BUSINESSBUSINESSBUSINESSBUSINESS

ProductChampion

1 to 3 weeks cycle�

Page 16: Lean Thinking on Business Analysis

Sprint N

Sprint N+1

Day 1 Day 2 Day 3 Day 4 Day 5 Day 1 Day 2 Day 3 Day 4 Day 5 Day 1

ApprovalProject Charter

ApprovalProject Charter

General ConceptsBusiness Case

General ConceptsBusiness Case

P1P2

P1P2

Sprint Planning 2 of N

Sprint Planning 1 of N

RSR

RSR

Retrospective of N

Sprint Review of N

DS DS DS DS DS DS DS DS

Daily Scrum

RW2

RequirementsWorkshop of N+1

RW2RW1 RW1

RequirementsWorkshop of N+2

VAL2VAL1 VAL2VAL1

Validation

Production CycleProgressive Detailing

Production CycleProgressive Detailing

Sprint 2

Production CycleProgressive Detailing

Production CycleProgressive Detailing

Sprint 1

JIT

22222222ºººººººº. Guiding Stakeholders to a JIT Thinking. Guiding Stakeholders to a JIT Thinking. Guiding Stakeholders to a JIT Thinking. Guiding Stakeholders to a JIT Thinking. Guiding Stakeholders to a JIT Thinking. Guiding Stakeholders to a JIT Thinking. Guiding Stakeholders to a JIT Thinking. Guiding Stakeholders to a JIT Thinking

Environment SetupSelf-Organizing

Environment SetupSelf-Organizing

Sprint 0

Page 17: Lean Thinking on Business Analysis

HenrikHenrikHenrikHenrik KnibergKnibergKnibergKnibergQConQConQConQCon, , , , SanSanSanSan FranciscoFranciscoFranciscoFrancisco

NovNovNovNov 18, 200918, 200918, 200918, 2009

33333333ºººººººº. Stimulating a Continuous and Pull Flow. Stimulating a Continuous and Pull Flow. Stimulating a Continuous and Pull Flow. Stimulating a Continuous and Pull Flow. Stimulating a Continuous and Pull Flow. Stimulating a Continuous and Pull Flow. Stimulating a Continuous and Pull Flow. Stimulating a Continuous and Pull Flowof Business Demandsof Business Demandsof Business Demandsof Business Demandsof Business Demandsof Business Demandsof Business Demandsof Business Demands

Page 18: Lean Thinking on Business Analysis

Stelios Pantazopoulos, Project Vital SignsProject Vital SignsProject Vital SignsProject Vital Signs (http://www.projectvitalsigns.com/)

44444444ºººººººº. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production

Page 19: Lean Thinking on Business Analysis

David J. AndersonDavid J. AndersonDavid J. AndersonDavid J. Andersonhttp://www.agilemanagement.net/Articles/Weblog/Archives/June2009.html

44444444ºººººººº. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production. Contributing to Balance the Production

Page 20: Lean Thinking on Business Analysis

55555555ºººººººº. Stimulating Continuous Improvements of. Stimulating Continuous Improvements of. Stimulating Continuous Improvements of. Stimulating Continuous Improvements of. Stimulating Continuous Improvements of. Stimulating Continuous Improvements of. Stimulating Continuous Improvements of. Stimulating Continuous Improvements ofValue Stream through the Logistic ChainValue Stream through the Logistic ChainValue Stream through the Logistic ChainValue Stream through the Logistic ChainValue Stream through the Logistic ChainValue Stream through the Logistic ChainValue Stream through the Logistic ChainValue Stream through the Logistic Chain

Page 21: Lean Thinking on Business Analysis

TheTheTheThe DudeDudeDudeDude’’’’s s s s LawLawLawLaw

Value = Why

How By DavidHussman

Lead Time Lead Time Lead Time Lead Time ReductionReductionReductionReduction

Page 22: Lean Thinking on Business Analysis

Question No. #2Question No. #2Question No. #2Question No. #2Question No. #2Question No. #2Question No. #2Question No. #2How Lean ThinkingHow Lean Thinking

could affect ourcould affect ourEnterprise Analysis?Enterprise Analysis?

Page 23: Lean Thinking on Business Analysis

By DavidHussman

Page 24: Lean Thinking on Business Analysis

� Value is seen through the eyes of those who pay for the use and benefit from the systems we develop.

� Waste is anything that consumes resources in time, effort, space and money without adding value to the customer.

A Thinking Focused on Value DeliveryA Thinking Focused on Value DeliveryA Thinking Focused on Value DeliveryA Thinking Focused on Value DeliveryA Thinking Focused on Value DeliveryA Thinking Focused on Value DeliveryA Thinking Focused on Value DeliveryA Thinking Focused on Value Deliveryand Waste Reductionand Waste Reductionand Waste Reductionand Waste Reductionand Waste Reductionand Waste Reductionand Waste Reductionand Waste Reduction

Page 25: Lean Thinking on Business Analysis

Generally, new resources are "pushed" to the environment, while not adding value to its users, either to the business ...

If we work guided to deliver onlyreal value to the business, we will add new resources in a software

product only when a businessvalue is pulled by the customer.

“Feature Injection” By Chris Matts

Page 26: Lean Thinking on Business Analysis

Do you really knowDo you really knowDo you really knowDo you really knowwhat could be value to awhat could be value to awhat could be value to awhat could be value to abusiness environment?business environment?business environment?business environment?

Page 27: Lean Thinking on Business Analysis
Page 28: Lean Thinking on Business Analysis

A Hierarchical Model for the Project ScopeA Hierarchical Model for the Project ScopeA Hierarchical Model for the Project ScopeA Hierarchical Model for the Project ScopeA Hierarchical Model for the Project ScopeA Hierarchical Model for the Project ScopeA Hierarchical Model for the Project ScopeA Hierarchical Model for the Project Scope

Authored byLuiz C. Parzianello

Page 29: Lean Thinking on Business Analysis

Market orMarket orMarket orMarket orEnvironmentEnvironmentEnvironmentEnvironment�

ActorsActorsActorsActorsBehaviorBehaviorBehaviorBehavior�

determine

CapabilitiesCapabilitiesCapabilitiesCapabilitiesand Strategiesand Strategiesand Strategiesand Strategies�

supported by

Beliefs andBeliefs andBeliefs andBeliefs andPersonal ValuesPersonal ValuesPersonal ValuesPersonal Values�

developed by

IdentityIdentityIdentityIdentityand Missionand Missionand Missionand Mission�

guided by

ResultsResultsResultsResults�generates

relative to

that has business valuethat has business valuethat has business valuethat has business value�

Software ProductSoftware ProductSoftware ProductSoftware Product

respects

improves

supports

IdealIdealIdealIdealguided by

Authored by Luiz C. Parzianellobased on Robert Dilts’ Logical Levels

Page 30: Lean Thinking on Business Analysis

A Business Transformation ModelA Business Transformation ModelA Business Transformation ModelA Business Transformation ModelA Business Transformation ModelA Business Transformation ModelA Business Transformation ModelA Business Transformation Model

TimeTimeTimeTimeTimeTimeTimeTime

Release #1 Release #2 Release #3 Release #4Bu

sines

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Busin

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New Capabilities:New Capabilities:New Capabilities:New Capabilities:• Who?• What?• Why?

New Results:New Results:New Results:New Results:• What?• Where?• When?• How much?

New Capabilities:New Capabilities:New Capabilities:New Capabilities:• Who?• What?• Why?

New Results:New Results:New Results:New Results:• What?• Where?• When?• How much?

STRA

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New Behaviors:New Behaviors:New Behaviors:New Behaviors:• Who?• What?• How?

New Features:New Features:New Features:New Features:• What?• How?• Why?

New Behaviors:New Behaviors:New Behaviors:New Behaviors:• Who?• What?• How?

New Features:New Features:New Features:New Features:• What?• How?• Why? O

PERA

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< My User Story >< My User Story >< My User Story >< My User Story >

In order to <new or improved business capability><new or improved business capability><new or improved business capability><new or improved business capability>, as a <role><role><role><role>, I need to <new or improved behavior><new or improved behavior><new or improved behavior><new or improved behavior> by using <a software product or component><a software product or component><a software product or component><a software product or component>.

Business ValueBusiness ValueBusiness ValueBusiness Value:::: X Other AttributesOther AttributesOther AttributesOther Attributes:::: ABCD …

Acceptance CriteriaAcceptance CriteriaAcceptance CriteriaAcceptance Criteria:::: ConstraintsConstraintsConstraintsConstraints::::

- Funct. Reqs.? - Non-Funct. Reqs.?

- BDD? - Business Rules

Page 31: Lean Thinking on Business Analysis

““““Until people prove otherwise, most of requirementsUntil people prove otherwise, most of requirementsUntil people prove otherwise, most of requirementsUntil people prove otherwise, most of requirementsare hypothesis awaiting for confirmation.are hypothesis awaiting for confirmation.are hypothesis awaiting for confirmation.are hypothesis awaiting for confirmation.””””

ScientificScientificScientificScientificMethodMethodMethodMethod

Page 32: Lean Thinking on Business Analysis

“What defines a winner is not how fast we deliver, but how fast we learn from what we deliver”

Jason Gorman

““““First be sure you are building First be sure you are building First be sure you are building First be sure you are building the right thing. Then make sure the right thing. Then make sure the right thing. Then make sure the right thing. Then make sure

you are building the thing right.you are building the thing right.you are building the thing right.you are building the thing right.””””““““TheTheTheThe PoppendiecksPoppendiecksPoppendiecksPoppendiecks””””

Page 33: Lean Thinking on Business Analysis

Success Criteria to be observedSuccess Criteria to be observedSuccess Criteria to be observedSuccess Criteria to be observedby the end of a Software Project:by the end of a Software Project:by the end of a Software Project:by the end of a Software Project:

� A customer satisfied with his/her investment;

� A service provider satisfied with his/her profit;

� Users satisfied and praising the product;

� A team satisfied and proud of its results;

� Team members even more competent;

� Everybody ready to run a new project!

Page 34: Lean Thinking on Business Analysis

The practice should not be merely a meanor a way to reach the goal, enlightenment.

The practice is, by itself, the goal, as well as the goal (enlightenment) is, by itself,

the practice itself.

Zen Teaching

KAIZEN FOR EVER …

Page 35: Lean Thinking on Business Analysis

ThankThankThankThank youyouyouyou!!!!

Luiz Claudio [email protected]

http://twitter.com/lcparzianellolcparzianellolcparzianellolcparzianellohttp://www.slideshare.net/parzianelloparzianelloparzianelloparzianello