integrating quality into portfolio management, pmi silicon valley chapter dinner meeting jan 2011
DESCRIPTION
This presentation focused on two themes: asserting quality - an opportunity agile presents - and leveraging adaptive planning, which is a consequence of agile software development. AgileEVM became a big part of this talk when the audience requested more information about it at dinner.TRANSCRIPT
Integrating Quality into Portfolio Management
PMI Silicon Valley ChapterJan 17, 2011Brent Barton
1
© 2009-2011,
Brent Barton - Sterling Barton, LLC
Partner: Sterling Barton, LLC and President: AgileEVM, Inc.
Former CTO, Development Manager, PMO Manager, Agile Coach, Mentor, Certified Scrum Trainer, ScrumMaster, Product Owner
Active practitioner delivering value using Agile and helping others do it; from small Product companies to very large IT organizations
Agile Articles“Manage Project Portfolios More Effectively by Including Software Debt in the Decision Process”, Cutter Journal 2010
“AgileEVM – Earned Value Management in Scrum Projects”, IEEE 2006
“Implementing a Professional Services Organization Using Type C Scrum”, IEEE
“Establishing and Maintaining Top to Bottom Transparency Using the Meta-Scrum”, AgileJournal
“All-Out Organizational Scrum as an Innovation Value Chain”, IEEE
Email: [email protected]@agileevm.com
Web: www.agileevm.comwww.sterlingbarton.comBlog: gettingagile.com
Follow me on Twitter: brentbarton
2
© 2009-2011,
Two Important Themes for Tonight
Asserting Quality
Leveraging Adaptive Planning
➡Opportunity from Agile
➡Consequence of Agile
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© 2009-2011,
Complexity Requires Adaptive Planning
It is not possible to completely specify an interactive system.
Wegner’s Lemma, 1995
Uncertainty is inherent and inevitable in software development processes and products.
Ziv’s Uncertainty Principle, 1996
For a new software system the requirements will not be completely known until after the users have used it.
Humphrey’s Requirements Uncertainty Principle, c.1998
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© 2009-2011,
Meet Earl - Strategic Planner
Earl just finished the annual portfolio budgeting process for the new fiscal year!
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© 2009-2011,
Meet Geoff -Project Manager
Geoff was a Software Developer
and is now in charge of Saturn
Saturn is a key part of a company-wide strategy
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© 2009-2011,
Portfolio is Done for the year! (This month is the beginning of our new Fiscal Year)
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© 2009-2011,
Three Months Later...
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© 2009-2011,
3 months later, things aren’t looking as good
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© 2009-2011,
So...what is happening? Who is affected?
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© 2009-2011,
Another Month Later...
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© 2009-2011,
Defect Containment is helping...not solving
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© 2009-2011,
Continuous Integration is “My Friend”
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© 2009-2011,
Meet Huang -Test Engineer
Huang is a Software Development Engineer in Test - SDET
Huang wants to proud of the quality of every release
How can I help?
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© 2009-2011, 15
© 2009-2010,
Meet Sonia - Program Manager
Sonia is a Program Manager
Uses Scrum well...good servant leader
How can I help ensure better
Quality?
© 2009-2010,
Definition of Done
Defines the work products that will be delivered with each item as it is ready for acceptance
Typical entries in Definition of Done
Code includes unit tests, reviewed, checked in
Tests described and executed
Build, release notes
Compliance documentation updated to include current functionality
What else?17
© 2009-2010,
Definition of Done as a Compliance Checklist
Acceptance defined criteria for each user story
Unit tests written and passed
Code compiles with no errors and no warnings
New code doesn’t break existing code
Test case review (Dev to review test case written)
Architectural impact assessed and artifacts updated if necessary
Comments in code
Error codes added
Code reviewed by peer
Code checked in with reference to US#/Task#
Tested on FE
Integration test written & passes
Test code reviewed
Environment requirements documented
Interface document updated/added and checked in to SVN
Acceptance criteria verified complete
All P1-P3 bugs for the story are closed
Test approves user story
Story demonstrated to product owner and accepted on Target Platform
© 2009-2010,
How does a “Release Definition of Done” help?
Every release should have clear quality criteria
With a “Release Definition of Done” you can understand targets better
Measure the gap between the teams’ Definition of Done and a Release Definition of Done.
This gap is a source of quality issues and represents significant risk to schedule
© 2009-2011,
[Pause for enlightening discussion]
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© 2009-2011,
Two Important Themes for Tonight
Asserting Quality
Leveraging Adaptive Planning
21
© 2009-2011,
Meet Earl - Strategic Planner
How do I balance Value and Quality?
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© 2009-2011,
Balancing Signal Indicators - (some weaker than others)
Value
Quality Constraints(Schedule, Cost, Scope)
Source: Jim Highsmith 23
© 2009-2011,
Project Portfolio Defined
source: PMI The Standard for Portfolio Management — Second Edition
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A portfolio is a collection of projects or programs and other work that are
grouped together to facilitate effective management of that work to meet
strategic business objectives.
© 2009-2011,
We want to measureoutcomes, not outputs
YES: Business Value
not so much: Completed Projects
Project Portfolio Management
Time
BusinessValue
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© 2009-2011,
Effective Project Portfolio Management Requires:
Prioritization to maximize Business Value
Effective delivery to minimize costs
Re-allocation of resources when costs are too high or the benefit is too low
source: Cutter Journal 26
Agile partially supports Portfolio Management• Prioritize to maximize
Business Value
• Effectively deliver to minimize costs
• Re-allocate resources when costs are too high or the benefit is too low
Agile
Agile
Earned Value Management (EVM)
Proj
ecte
d Sl
ippa
ge
Management Reserve
Earned Value
(PV)
Total Allocated Budget
TimeNow
CompletionDate
$PMB
EAC
Time
Over Budget
Planned Value
(AC)Actual Cost
Project Management Baseline
Estimate at Complete
(EV)Earned Value
EVM Performance Indicators
CPI < 1 CPI = 1 CPI > 1
Over Budget On Budget Under Budget
SPI < 1 SPI = 1 SPI > 1
Behind Schedule On Schedule Ahead of Schedule
Cost Performance Index (CPI=EV/AC)
Schedule Performance Index (SPI=EV/PV)
Strengths of EVM
• Integrates cost and schedule management
• Forecasts in financial units based on units used for actual cost
• Decades of use
• Part of PMBOK (ANSI/PMI 99-001-2008)
• Part of EVMS (ANSI/EIA-748-B-2007)
Weaknesses of Traditional EVM
• Expects everythingfully defined up front
• No assertion of quality
• Claiming value is earned on intermediate work products
Ugh!
Agile + EVM• We want to measure
outcomes, not outputs
• Prioritize to maximize Business Value
• Effectively deliver to minimize costs
• Re-allocate resources when costs are too high or the benefit is too low
Agile
Agile
EVM
Agile EVM+
[Pause for Reflection]
AgileEVM
AgileEVM Background
• Mathematically proven that Release Dates based on average velocity (story points)≡ estimate at complete (dollars)
• Key Assumption: The ratio of (story points completed)/(total story points in a release) is a good measure of Actual Percent Complete
Scenario 1: Commit
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Scenario 2: Transform
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40
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Quality Criteria asserted by team
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Scenario 3: Kill
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Saturn RC-1 Forecasts
Mercury Forecasts
What are some options?
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© 2009-2011,
Questions?
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© 2009-2011,
Brent Barton - Sterling Barton, LLC
Partner: Sterling Barton, LLC and President: AgileEVM, Inc.
Former CTO, Development Manager, PMO Manager, Agile Coach, Mentor, Certified Scrum Trainer, ScrumMaster, Product Owner
Active practitioner delivering value using Agile and helping others do it; from small Product companies to very large IT organizations
Agile Articles“Manage Project Portfolios More Effectively by Including Software Debt in the Decision Process”, Cutter Journal 2010
“AgileEVM – Earned Value Management in Scrum Projects”, IEEE 2006
“Implementing a Professional Services Organization Using Type C Scrum”, IEEE
“Establishing and Maintaining Top to Bottom Transparency Using the Meta-Scrum”, AgileJournal
“All-Out Organizational Scrum as an Innovation Value Chain”, IEEE
Email: [email protected]@agileevm.com
Web: www.agileevm.comwww.sterlingbarton.comBlog: gettingagile.com
Follow me on Twitter: brentbarton
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