road2lean agile software product development at sap in the

Road2Lean

Agile Software Product Development

at SAP in the Context of Lean

Christian SchmidkonzChief Development Architect, SAP AG

CSM, CSPO, CSP

Products & Solutions LEAN Center

Agile Center of Expertise

Dr. Alexander GerberDevelopment Project Manager, SAP AG

CSM, CSP

TIP CORE Lean/Agile Core Team

TIP CORE LM

Content

• The „Why“ and „What“ of our lean transformation

• How did we do it?

• Results, challenges and outlook

• Questions

© SAP AG 2011, C.Schmidkonz , A.Gerber Agile&Lean@SAP/ Page 1

Connection to the topic: Myth or fact about

Lean and Agile at SAP


•SAP has external support for it„s Lean implementation

• Lean at SAP is implemented on the whole product value chain

• After two years Lean implementation at SAP, goals are almost met

• Agile and Scrum enabled SAP for the implementation of Lean

• SAP uses Scrum as standard prouct development approach

• Communities at SAP enable sustainable Implementation of Lean & Agile

• SAP managed to implement a consistent Lean approach

• Change and Communication are key success factors for Lean at SAP

Content




• Questions


BlaSAP Corporate Profile – Facts & Figures


Canada

India

China

Germany

SAP Development

Locations

USA

Hungary

Israel

SAP AG

53.000+ employees

Presence in 50+ countries

100.000+ customers in 120+

countries

€ 12,00 billion revenue in 2010

Products/Solutions

150+ Products and 40+ Solutions

More than 25 Industry Solutions

30+ languages supported

Approx. 500 developers work in

parallel on a new release of a solution

France

Bulgaria

With Lean and Scrum, we want to tackle the root causes

of some issues in our development process

Stakeholders do not

consume deliveries

Very long release cycles,

split into phases Perception in the development teams:

everybody works like crazy,

output comparatively poor

... and we soon found out that with some agile development teams

here and there, you won„t change the big picture

New initiatives every

year which tried to

address these issues

Shipments late,

not fitting to customer needs,

operation costs too high

Integration of team results

very cumbersome

Quality issues


In order to get where we are, we had to involve

many people in our organization


*number of employees estimated

empowering our PEOPLE.

by example.

COACH.

STANDARDS.

CONTINUOUSLY IMPROVING.

The Lean Thinking House outlines the

complete picture of Lean@SAP

Respect for

People JIT principles

(flow, takt, pull, zero defects)

Eliminate waste

KAIZEN/

Continuous

Improvement

LEAN Leadership

Maximize Customer Value and Speed

Takt

Standard

Process

Prioritized

Backlog at

All TimesQ/C/D

in One

Hand

Cross

Functional

Team

Usable

Software

each Takt

Transparency

on Processes

and Product

Maturity

Employee

Empowerm

ent

Continuous

improvement

Process and

Sructure


Scrum addresses the team level, Lean gives

you a perspective on the whole value stream


Cross-Functional TeamProduct Owner

Scrum at a Glance


Input from Portfolio Process

ReleaseBacklog of Features

Sprint Planning Meeting

Potentially Shippable Product Increment

Sprint Backlog of Tasks

Team selects how much to commit to

each sprint

Release Backlog Adjustment and

Refinement

Solution Owner Sprint

Review

Retrospective

ScrumMaster

Daily Scrum Meeting and Artifacts Update

Cross-Functional TeamProduct Owner

Team-based organization

Demand

Define

Define

Define

Develop&

Test

Accept

Accept & Integrate

Accept & Integrate

Consume

CPO

APO

PO

Stakeholder

Customer

Release Burndown

Area Release Burndown

Sprint Burndown

Mini Release Mini Release Production

and Reamp-

Up

Pro

duct

accounta

bili

ty


The SAP Lean Development Model shows the

core structure of the new approach

Planning Phase

Scrum Product Owner (PO)

Teams belonging to Product Team

Optional, depending on size of product and product unit

Product Unit Head

Balance product vs.

component interests

Stability

Line Manager teams

Component axis = SUPPLY

People and skills incl. staffing of implementation teams Sustainable technical and functional excellence Quality of the component or technology

PO

PO

…

PO

PO

PO

Fle

xib

ilit

y

PO

PO

Product

Team

Product axis= DEMAND

Customer view

Product demand

Budget

Product

Teams

PO

PO

The Lean Development Model is instantiaded

by a matrix of line of business and products

Generic organizational structure


This is how the Continuous Improvement Process

will look like in the near future (by end of 2011)

Cross

Product Group

Level

The majority of

impediments will be

handled close to the

value stream

Managers as CI Specialists


Recap: The „Why“ and „What“ of our lean

transformation


Let„s try and come up (as a group) with 10 important facts about

the „why“ and „what“ of SAPs lean transformation (5 minutes)

Content




• Questions


LeanTransition Team

LeanImplementation

Team n

Lean Center

LeanImplementation

Team 1

LeanCore Team

LeanImplementation

Team 2


The Lean transformation is driven by teams which

use the process model they want to implement

TaktEmployee

empowerment

Standard

process

Prioritized

backlog at all

times

Q/C/D in one

hand

Cross

functional

Team

“Team of ten”

Continuous

improvement

process

Usable

software each

Takt

Transparency

on product/

process

maturity

The 9 Core Elements of Lean serve as the

common framework for implementing Lean


Cross

functional Team

“Team of ten”

© SAP AG 2009. All rights reserved. / Page 17

BlaWe used the 9 Lean Core Elements document

for structuring our LIT backlogs

Example Element: Cross

Functional Teams („Team

of Ten“)

Minimum

An employee can be

assigned to two projects

at maximum

Standard

An employee can only be

assigned to one project at

a time

Future

...


BlaWe have a mix of generic Lean/Scrum trainings, as

well as training for specific topics

1 day lean awareness for everybody

1 day Scrum Basic for Scrum teams

2 days ScrumMaster

2 days Produt Owner

2 day Continuous Improvement specialist training and coaching for managers

1 day Q-workshop for Scrum teams

Story mapping workshops

„Agile Software Engineering“ program in pilot phase (for Java and ABAP)

Important: we follow the „Hilfe zur Selbsthilfe“ principle (with TTTs*), whenever appropriate

*Train-the-Trainer

http://www.amazon.com/Training-Back-Room-Aside-Learn/dp/0787996629/ref=sr_1_1?s=books&ie=UTF8&qid=1288853152&sr=1-1


BlaScrum Master role and how it is brought

across in the training


Bla

In our trainings, we mix standard content with

SAP-specific parts

Bla

Pow Wows with top mgmt.

Coffee Corner

Sessions

Lean Round Tables

Events with Externals

Community Platform

Open Space meetings

Communities and other topic related events

enable participation


Recap: How did we do the transformation?


Think about what you have learned in the last chapter (the „how“). If

you had to make up a test question about it, what would you ask? Be

prepared to let the group know what your question is.

(If you are not comfortable with writing the question in English, use

German, we„ll translate for you, if necessary.)

Content




• Questions


We start to see some encouraging results

Results


Perception of LEAN is

positive

People expect

increasing productivity

and a positive impact

on SAP

New „Business by

Design“ release

successfully

delivered in good

quality on time

Regular taktbased

deliveryBugs are found earlier

There are some challenges with properly

establishing the ScrumMaster role

We don‘t yet have a standardized lean

development model for scaled development

Page 27

Some of our challenges are:• A „local optimization“ culture• We do not document and roll-out

proven approaches• Getting to an aligned standard

model just wasn‘t the focus of our work

• The standard would have to fit to a huge variety of different contexts (e.g. Product organization between 50 and 500 people)

BlaWe thought establishing a continuous

improvement process would be easier...

Poor follow up after workshops

Standards missing for CI

Summary: CI not yet part of culture

Scrum is a perfect fit for

real development teams

But is it the best approach

for service teams or teams

with a high maintenance

load?

Or do we have to try

something else?

How about Kanban

(actually a combination of

Scrum and Kanban)?

Page 29

Bla

One

One size fits all?

We have to be clear about whether what we

invested pays off: lean business goals

Page 30

Text

Foster

employee

satisfaction

Improve

quality

Improve

development

efficiency

Optimize

time to

market

Increase

value for

customers

An Outlook on our next steps

Outlook

• Define and measure lean business goals

• Reduce stress level for employees

• Expand usage of agile engineering practices


• CIP Implementation• Establish standard lean

development model• Improve communication about

lean• Work on agile method for

service teams

Recap: Results, challenges and outlook


Write a one-sentence summary of the information we have covered

in the last section of our presentation. Compare your summary with

someone seated near you. Are your summaries similar or different?

Be prepared to read out your sumary.

(Again, if you prefer to write it down in German, do so. We„ll translate

for you, in case you want to read it out.)

Questions


Action Plan: What are YOUR next steps … ?!?


© SAP AG 2009, C.Schmidkonz / Page 35

Thank you!

Christian SchmidkonzProducts & Solutions LEAN Center

Agile Center of Expertise

Dietmar-Hopp-Allee 16

69190 Walldorf

[email protected]

www.sap.com

Dr. Alexander Gerber TIP CORE Lean/Agile Core Team

Dietmar-Hopp-Allee 16

69190 Walldorf

[email protected]

www.sap.com


http://www.sap.com/

http://www.sap.com/

http://www.sap.com/

road2lean agile software product development at sap in the

Documents