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Become

More Agile with Lean


and Enterprise Architecture
Marc Lankhorst & Peter Matthijssen

Marc Lankhorst

+31 6 44 092 359


m.lankhorst@bizzdesign.com
http://nl.linkedin.com/in/marclankhorst
http://blog.bizzdesign.com
http://www.bizzdesign.com
http://www.twitter.com/marclankhorst

Service line manager for Enterprise Architecture


Enterprise architect, trainer, coach, project manager
Lead author of books Enterprise Architecture at Work and
Agile Service Development
Manager of the development of ArchiMate
TOGAF and ArchiMate certified

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Peter Matthijssen

+31 6 48 98 10 67
p.matthijssen@bizzdesign.com
http://nl.linkedin.com/in/pmatthijssen
http://blog.bizzdesign.com
http://www.bizzdesign.com

Consultant and trainer at BiZZdesign


Service lines manager for Lean and Business Process Management
Certified Lean Six Sigma Black belt
Finance, Government, Healthcare, Production,
Author of several books and publications, like Thinking in processes
(2012), Working with Lean (2013), Questioning BPM (2015)

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About BiZZdesign

Scientific Passionate Focused on Hundreds of Global, Fast Worldwide


DNA People Software- Customers Growing Partner
founded in over 80% with Based on 6 continents Company Network
2000 as a advanced across all with a direct leading global
spin-off from a degrees and Solutions industries
to innovate, presence in consultancies,
Dutch research over 10% with more than 10 boutique
institute doctorates, design,
transform and countries consultancies
known for the sharing and resellers
ArchiMate knowledge, manage the
standard open Digital
innovation Enterprise

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BiZZdesign: Building Strong Organizations!

Organizations increasingly need to deal with


time-pressured business improvements and
high-impact transformation in a truly complex
business and IT reality.

BiZZdesign believes that organizations should have


the change capabilities to improve their business
to realize their mission

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Agenda

Introduction to Agility
Dealing with Change different roles
Vision on Lean
Vision on Agile Development
Vision on Enterprise Architecture
Improving Agility using
Lean & EA Collaboration!

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INTRODUCTION TO AGILITY

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Why do organizations need

to be Agile?
Changing Competitive Field

Traditional view (Hyper)competition


Profits from Profits Company has already
sustained from moved to the next
competitive series of competitive advantage,
advantage actions due to innovation

Counterattack
Exploitation Counterattack Exploitation

Launch Launch

Time Time

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Increase in Complexity

25% more functionality doubles the complexity of a system


(analysis by Cynthia Rettig, MIT Sloan Management Review) 10
How do Organizations Handle Change?

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There is no way back

These graphs and developments dont lie

All developments go up, except for the company


lifespan

What developments are affecting your business?


What is your business in 2020? 12
Speed is Everything

If everything seems under control,


youre not going fast enough.
Mario Andretti, 1978 Formula 1 Champion and four-time IndyCar
Champion

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Adaptive to Change

What we do today, is not good enough for tomorrow


We need to constantly adapt and improve 14
Strategic Importance of Agility

Pace of change increases for many organizations


Customers/citizens expect innovation
If you are not the fastest, your competitor will win
Winner takes all due to the network effects of the Internet
Regulatory pressure increases
New laws and regulations may take up your entire change
budget
Use your agility to outmanoeuvre competitors!
Use continuous feedback from customers
Rapidly adapt to changing environment
Change markets through blue ocean strategies

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Aspects of Agility

Business:
Agility as a
strategy

Agility

Process: Structure:
Organization
Agile work and IT

Enterprise architecture has an impact on all these areas!


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About Agile Business

Delivering customer value


Iterative development: incremental and learning
Collaboration and communication

Agility in the large (strategic) also requires


agility in the small (daily work)
Agility requires a combination of change and stability

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HOW DO WE HANDLE CHANGE?

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Raise hands

Supporting change
is part of my job

How do WE handle change?

I love my EA, BPM, BA, Ohoh,


Lean, DM, management, He has a
TOOLS! new toy?

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Architecture and Change

Integral view; coherence between business and IT


Well thought out and conceptual
Long term vision
Based on strategy and
principles
Graphical models

Powerful, but sometimes abstract and complex21


Agile Development and Change

Focused on customer value


Short cycles, rapid learning
Small teams
Delivering working products
High speed of change

Practical, but can the rest of the organization


keep up with the pace of change? 22
Lean Management and Change

Continuous improvement (Kaizen)


Doing the work a little bit better
every day
Aim at customer value and flow,
and avoiding waste
Common sense

Quick results, but are these aligned with strategy?


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Management and Change

Henri Fayol: To manage is to forecast and to plan,


to organize, to command, to co-ordinate and to control

Directing resources to achieve a policy's objectives


Coordinating efforts towards a common goal
Authority and responsibility to make decisions
Based on hierarchy

Responsible for change! But change is also a threat and


cannot always be controlled 24
We All Work on Change!

Do we align our activities sufficiently? 25


Different Focus .?!

Short cycles Well thought through


Involve people Coherence
Common sense Principles
Quick results Long term results

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VISION ON LEAN MANAGEMENT IN AN AGILE CONTEXT

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About Lean Management

Originated from the Japanese auto industry (TPS)


Techniques and best practices
Continuous improvement

Lean is a mindset Lean Thinking


Lean is about people
There is NO blue-print for Lean

You cannot be Lean,


you can only become Lean [Masaaki Imai]
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House of Lean

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Lean vs. Agile Business

Agile business Lean management


Customer value Customer value
Process Process
Trust by management Management commitment
Cyclic change Cyclic improvement
Integral design & IT Process improvement
People People
Learning Learning
Stable foundation Standardization
Continuous change Continuous improvement
Lean and Agile share goals and principles 30
VISION ON AGILE DEVELOPMENT

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Manifesto for Agile Software Development

We are uncovering better ways of developing software by doing it and


helping others do it. Through this work we have come to value:
Individuals and interactions over processes and tools
Working software over comprehensive documentation
Customer collaboration over contract negotiation
Responding to change over following a plan
That is, while there is value in the items on the right, we value the
items on the left more.

(http://agilemanifesto.org/, Kent Beck et al., 2001)

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Waterfall vs. Agile: Collaboration is Key

Waterfall Agile

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Agile Process: Lean for Software Development

daily
work
Product backlog, Daily
prioritized on standup
business value meeting
by Product Owner
...
Retro-
9 user stories Iteration spective
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7
(2-4 weeks)
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Iteration
5
Iteration review
4 planning 4 meeting
3 meeting 3
2 2
1 1

Iteration backlog Workable


product increment

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Need for Enterprise Architecture in Agile Projects

Product owners are focused on functional requirements


of single solutions
Solution architecture of these solutions is responsibility of
the agile teams
But who ensures coherence?
Enterprise architecture vertically translates business
strategy to wider-ranging architectural decisions, and
horizontally links different teams and initiatives
This ensures consistency and prevents that each initiative
builds its own agile silo

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IMPROVING AGILITY USING LEAN & EA

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Powerful Lean Principles Applied to EA

1. Focus on Customer Value


2. Improve Flow
3. Reduce Complexity
4. Standardize
5. Iterate and Learn
6. Collaborate

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1. Customer value

How to define value?


Solve my problem completely
Provide exactly what I want
Provide it where I want it
Provide it when I want it
Dont waste my time (and money)
Dont cause new problems

Customer value is not the same as a product or service


What do customers want to pay for? 38
Value of Architecture

visible invisible

positive
Feature Architecture
value

negative
Bug Technical Debt
value

(Philippe Kruchten) 39
2. Improve Flow

Undeveloped Flow Developed Flow

Continuous movement 40
Enterprise architecture flow
Scaled Agile Framework Big Picture

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www.scaledagileframework.com
3. Reduce Complexity

Simplify, then add lightness.


Colin Chapman, founder of Lotus Cars
To create complex products we need
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a simple process and organization [Scania]


Complexity: Enemy of System Agility

Complexity: many relations between elements,


everything is related to everything
Also results from a lack of alignment between business
capabilities and structure of IT systems
Create autonomous business capabilities that are
responsible for their own processes, systems and data
Separate units that should be changed independently
Contain the propagation of changes within organizational units

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Snowman Architecture

Business
architecture Business
architecture

Application Application
architecture
architecture

Data architecture
Data
architecture

Roger Sessions, Simple Architectures for Complex Enterprises (blog)

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4. Standardize: Stability vs. Agility ?

Without Standardization there can be no Kaizen


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Standardization and Agility

Standards are often seen as an enemy to agility


But when applied in the right way, standardization may
enhance flexibility and agility
Easier to combine and reuse building blocks if their
interfaces are standardized
Like standardized power plugs or Lego bricks
But make sure you standardize the right stuff!

We need stability to be Agile 46


Good Standardization

Lengthwise standardization

Auto Register Accept Adjudicate Pay


Crosswise variation

Health Register Accept Adjudicate Pay

Life Register Accept Adjudicate Pay

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Bad Standardization

Lengthwise standardization
Crosswise standardization

Auto

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Life

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Sustainability with an Architectural Runway

Balanced Investment

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5. Short Cyclic Improvement

C
D
I
M
A

Doing the work a little bit better, every day 50


TOGAF and Scaled Agile Framework

Strategy Portfolio Business epics


Program portfolios
Iteration
Enterprise architecture

Program
Agile Release Train
Solution architecture Iteration

Architecture runway DevOps

Team Daily
work

Agile development
Iteration
4
3
Continuous delivery
2
1

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6. Collaboration

... Architect

Process
Manager management
practitioner

Lean
Business Management
Analyst practitioner

Aligning and aiming activities to Customer Value52


Enterprise Architecture as Knowledge Hub:
Relating and Supporting Other Disciplines

Strategy

Governance, Risk Capability-Based


& Compliance Planning

Process, Rule & Enterprise Enterprise Portfolio


Data Management Architecture Management

Service Program & Project


Management Management
Design, Development
& Delivery

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Conclusions

The environment changes ever faster; agility is key


Agility is an enterprise-wide challenge

Lean powerfully supports Agility in the small


Architecture is indispensable for Agility in the large
Lean lessons improve architectural impact

Therefore Lean and EA need to collaborate!

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Collaboration between Lean and EA

Interest and insight in different disciplines: What is


happening outside my world? What can I learn?

Respect and trust: How can we share


a North star and align activities?

Flexibility of practitioners:
Where can we move along
with other insights?

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More information

Blog.bizzdesign.com
Lean and Enterprise Architecture : Lean lessons for EA, and EA lessons for Lean
ArchiMate series : provides an overview of ArchiMate combined with best practices
TOGAF series : helps you getting started with TOGAF

A copy of the slides: go to www.bizzdesign.com/downloads and select webinars"

General information about BiZZdesign:


Downloadable versions of the full http://www.bizzdesign.com
specifications of ArchiMate and The website of our Academy:
TOGAF at http://www.opengroup.org http://www.bizzdesign.com/training
Many whitepapers, and recorded Our Tool, Enterprise Studio
webinars http://www.bizzdesign.com/tools/bizzdesign-
enterprise-studio/

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