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TO KICK-START YOUR AGILE JOURNEY OR GET IT BACK ON TRACK VALUE STREAM MAPPING WORKSHOPS: Presented @ Keep Houston Agile, Feb 11, 2017 by: Scott Frost, Katy, Texas Enterprise Agile Transformation Coach & SAFe SPCT Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

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Page 1: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

TO KICK-START YOUR AGILE JOURNEY OR GET IT BACK ON TRACK

VALUE STREAM MAPPING WORKSHOPS:

Presented @ Keep Houston Agile, Feb 11, 2017by: Scott Frost, Katy, Texas

Enterprise Agile Transformation Coach & SAFe SPCT

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

Page 2: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

WHO AM I?Scott Frost, SAFe SPCT, CSP, CSM, CSPO

Connect on LinkedIn: linkedin.com/in/getfrosty

@GetFrosty@solutionsIQ#AgileAmped#[email protected]

Enterprise Agile Transformation Coach / Trainer for SolutionsIQ

¨ 29 years of “loving what I do”¨ Enterprise SAFe Transformations in Fortune 100

Companies; Dozens of Agile Train Launches¨ Developer, QA, Architect, VP¨ Coaching Agile Team, Program, Portfolio levels

“Where we believe in the boundless potential of people”

Page 3: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

SolutionsIQ is the world’s largest and most experienced leader in Agiletransformation and product innovation solutions for business and technology.

Our team of 225 Agile professionals includes management consultants, Agilecoaches, software developers, and Scrum Alliance CSTs and SAFe SPCT trainers,serving large globally-distributed enterprises throughout the world.

Page 4: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

IN ENTERPRISE

AGILITY,

WE USE THEVALUE STREAM

CONSTRUCT LIKE THIS:

We move from silo management to …

OUR VALUE FLOWS LIKE THIS…

into Teams of Agile Teams

Page 5: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

AGILE MANIFESTO PRINCIPLE #1 –

“OUR HIGHEST PRIORITY IS TO SATISFY THE CUSTOMER THROUGH EARLY AND

CONTINUOUS DELIVERYOF VALUABLE SOFTWARE.”

– AGILEMANIFESTO.ORG

ORGANIZING AROUND VALUE IS THE KEY TO AGILITY

Page 6: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

WHY ORGANIZE AROUND VALUE?

Aligns the organization around product lines.

ü Fewer handoffs, faster value delivery

ü Easier to build in product quality (Lean Product Dev)

ü Alignment between the business and development

ü Optimizes the system as a whole (Systems Thinking) - Allen Ward

Result: Faster delivery, higher quality, higher customer satisfaction

Page 7: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

“A SYSTEM CANNOT UNDERSTAND ITSELF.

THE TRANSFORMATION REQUIRES A VIEW FROM

THE OUTSIDE”- Dr. W. Edwards Deming

Page 8: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

VALUE STREAM MAPS HELP US VISUALIZE

By Applying Systems Thinking and using

Lean Thinking Value Stream Mapping tools we,

See how our customer value flows

Create a true picture of the process

ID the relationship of process steps

Create a baseline & Vision of future process

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

Page 9: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

DEFINING AVALUE STREAM MAP

“A lean-management method for analyzing thecurrent state and designing the future state forthe series of events that take a product or servicefrom it’s beginning through to the customer.”

- Wikipedia

Page 10: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

2 TYPES OF VALUE STREAM

MAPPING

§ Detailed Process level Mapping§ Looking for bottlenecks and opportunities for

efficiency gain§ Uses cycle & lead time to continuously improve

and reduce transport batches (hand offs)

§ Enterprise Value Stream Mapping§ Maps the Flow of Value Through the Enterprise§ Uses the relationships between ‘how our

customers interact’ with us to improve the processes, people, and products that delivery that customer value

1. OPTIMIZING PROCESS STEPS 2. OPTIMIZING BUSINESS CAPABILITIES & PEOPLE

Page 11: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

“Whenever there is a product for a customer, there is a value stream.

The challenge lies in seeing it.”Mike Rother & John Shook

– Learning to See: Value Stream Mapping to Add Value and Eliminate MUDA

Page 12: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

TYPE #1 OPTIMIZATION

Page 13: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

STEPS TO IMPROVE95% of quality [ and delivery ] problems are in the process,

not the person. But 95% of the

time we blame the person and

fail to improve the process.”

- W. Edwards Deming

q Wait or idle time between activitiesq Rework loops – reduce and/or removeq Simplify the existing processq Eliminate steps (if possible) that:

q Don’t add valueq Are not essentialq Don’t change the product or service

q Improve efficiency of the bottleneck

Page 14: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

TYPE #2 ENTERPRISE

VALUE STREAM

1. Starts with visualizing the ways our customers interact

2. Then decomposes into our Business Capabilities

3. That then decompose into Products/Solutions that delivery those Business Capabilities

4. That then decompose into Systems those Products/Solutions rely on

5. While finally showing the people who work on the systems

A LEAN PRODUCT DEVELOPMENT AND SYSTEMS THINKING CONSTRUCT

Page 15: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

“Sustainably shortest lead time. Best possible quality and value to people and society.”

—House of Lean, Scaled Agile Framework, Scaled Agile Inc.

Source: https://www.safaribooksonline.com/library/view/safe-40-reference/9780134538297/ch84.html

Page 16: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

ENTERPRISE VALUE STREAM MAPPING WORKSHOP

PLANNING MUST-HAVES:A Lean Process Coach to facilitate Cross-functional, cross-domain participationAttendees:

Value Stream Owners, SponsorsProcess Advisors (IT & LOBs)Enterprise Architecture (Business & Technology)Product Directors/Managers (Own Products in the V.S.)Lots of colored sticky notes, painters tape, sharpies, and a big wall

Page 17: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

INPUTS & OUTCOMESOF A WORKSHOP

q Customer Triggers

q Business Value lines (LOBs)

q Product/Services Flow

q Business Capabilities Maps

q Enterprise or Systems Architecture Models

q Organizational charts

q Value Stream Maps

q Alignment of leadership on how customer value flows through your products/services and

q The systems and people who work on those systems.

q New understanding of how you might organize your teams

“Goes – In” “Comes - Out”

Page 18: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

1 Identify operational Value Stream(s)

3 Identify supporting/target systems

4 Identify development Value Stream and teams that work on the systems

2 Identify Business Capabilities & ProductSolutions and Services

5 Identify Teams of Agile Teams

Page 19: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

Routing & TransitAuthentication

Our Online Filing System

IT Development Org.

Team of Agile Teams

Agile Team #1: Feature Dev Team –

Cucumbers

Agile Team 4: Component Platform

Middleware

Agile Team 6: Integration TeamAgile Team #2:

Feature Dev Team –Cucumbers

Agile Team #3: Feature Dev Team –

Cucumbers

Agile Team 5: Component Platform

Middleware

Bus. Development Org.

1

3

4

2

5

Operational Value Stream(s)

Systems

Development Value Stream

Business Capabilities, ProductSolutions and Services

Teams of Agile Teams

Transaction ProcessingE

X

A

M

P

L

E

Page 20: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

Operational Value Stream

BusinessCapabilities

SupportingSystems

DevelopmentalValue Streams

Teams of AgileTeams (ARTS)

Online Transaction Processing

ATM

EMV Chip

Signature Debit

Pin-less

Debit

Pin Debit

Mobile

Back Office Invoicing

Disputes Services

Marketing & Sales Core Products

Routing & Transit

Authentication

Network Docs

InternalReporting

External Reporting

Analytics

Enhanced Data Export Services

Switch Systems

Settlement System

BIN File System Fee Billing

ODS

Data Warehouse GL & Accounting

B.I. System

B.I. System

Disputes

Marketing Hub

SalesForceCRM

Exchange

Dispute Services

Card Mgmt/ Program Services

Fraud Services

Reconcile

AdjustsGateway Services

Account Implementation

Services

Switch Dbase

View Portal (web)

Revenue Mgmt.comDebit

Security

Debit Dashboard

Certified / Compliance

Testing System

DIGITAL Stuff REVENUE Stuff CRM / Marketing Solutions

Even More Good Stuff

External AGILE Train – Digital

15 Teams

ART 1:[ Placeholder ] X Team members;

RTE=Name; PM=Name

ART 2:[ Placeholder ] X Team members;

RTE=Name; PM=Name

5 Teams 27 Agile Teams

Today’s Project Teams or Dept

Our enterprise

“ecosystem” is highly complex.

Visualizing complexity reminds us to simplify.

Page 21: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

USING THE VALUE STREAM MAPPING IN

FUTURE STATE PLANNING

Helps with Alignment Between Operations & DevelopmentProvides Transparency and Visualizes Product EnhancementsHelps Improve your organization of Teams of Agile TeamsImproves Flow of Value through smaller batches

Page 22: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

HELPS IMPROVEEnterprise

Value Stream

Mapping

Creates Better

Alignment,

Transparency,

Execution,

And Quality

Improve Alignment Between Operations (Bus) & Development (IT)Provides Transparency and Visualizes Product EnhancementsHelps Improve your organization of “Teams of Agile Teams”Improves Flow of Value

Page 23: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

WHEN TO USE VALUE STREAM MAPPING WORKSHOPS?

Corporate AgilityEnterprise

Agility

OptimizationHR, Operations,

Marketing, Finance

Doing Agile

Foundation PracticesAlign, Transparent,Communication

Execution Predictability

Being Agile

AccelerationAdvanced, Flexibility

Speed to Market

“Shu”

“Ha”

“Ri”

ßPlan Agile Team Launches Alignment to Product Solutions

ßIncrease Bus. Capability Flow & Innovate Dev. Processes

ßIncrease Bus. Capability Flow& Org Agility

Page 24: VALUE STREAM MAPPING WORKSHOPS · 2017-08-21 · §Enterprise Value Stream Mapping §Maps the Flow of Value Through the Enterprise §Uses the relationships between ‘how our customers

Copyright 2017 Scott Frost, SolutionsIQ All Rights Reserved

THANK YOUFollow me:@GetFrosty or @SolutionsIQLinkedIn/GetFrosty

Contact me:[email protected]