lean portfolio management
DESCRIPTION
Delivered at PMI Central Ohio Professional Development Day, 10/24/2014TRANSCRIPT
Lean Portfolio ManagementGetting Started, Getting Going.
-Dave Ungar, PfMP, PMP
#PMICOC@daveungar225
We are living under the tyranny of the prevailing style of management. Most people imagine that this style of management has always existed and is a fixture. Actually, it is a modern invention, a trap that has led us into decline. Transformation is required.
-W. Edwards DemingThe New Economics: For Industry, Government, Education
Systems thinking.
Engage your right brain…
Basics of Lean:
Portfolio Strategy“economic” view - common currency for measuring value
Unmatchable offer
Portfolio Strategywhy brand identity is important to mode of operation
Michael Treacy and Fred WiersemaThe Discipline of Market Leaders: Choose Your Customers, Narrow
Your Focus, Dominate Your Market
Portfolio Strategyinvestment categories
Geoffrey MooreEscape Velocity
Basics of Lean:
Team A Team B Component A
Component B Team C Team D Team E Team F
Initiative 1X X X X
Initiative 2X X X
Initiative 3X X X X
Initiative 4X
Initiative 5X X
Initiative 6X X
Initiative 7X X XConflicts
Value Stream Analysis
Basics of Lean:
Value through the system first.
(MORE value through the system later)
Basics of Lean:
Basics of Lean:
What to Measure?
• Measure what enables flow and throughput.• Measure value delivered.• Measure how these affect financial results.
1.Adopt systems thinking.
2.Understand what Value is.3.Fix Flow.
(use data.)
You
Your
Por
tfolio
takeaways
questions
action
(food for th
ought)
Contact/ References
Slideshare - slideshare.net/dave225Twitter - twitter.com/daveungar225Email – [email protected] - linkedin.com/in/daveungar/
PMO LIG - PMI Central Ohio Chapter PMOLIGGroup for Portfolio Management - Central Ohio Lean Portfolio Management
Reading List:Everything you can find, and also:• Escape Velocity - Moore, G. A. (2011). Escape velocity: Free your company's future from the pull of the past. New York,
NY: HarperBusiness.• The Lean Startup - Ries, E. (2011). The lean startup: How today's entrepreneurs use continuous innovation to create
radically successful businesses. New York: Crown Business.• Principles of Product Development Flow - Reinertsen, D. G. (2009). The principles of product development flow:
Second generation lean product development. Redondo Beach, Calif: Celeritas.• The new economics for industry, government, education - Deming, W. E. (1993). The new economics for
industry, government, education. Cambridge, MA: Massachusetts Institute of Technology, Center for Advanced Engineering Study.
• Drawing on the Right Side of the Brain – Edwards, B. (1979). Drawing on the right side of the brain: A course in
enhancing creativity and artistic confidence. (leave your frame of reference!)
• http://ScaledAgileFramework.com• http://www.lean.org/LeanPost/Posting.cfm?LeanPostId=243#.U9EYi5cvnzU.twitter
More at LEAN.ORG
"Efforts guided by instinct do more harm than good“ "Knowledge for management must come from the outside. Never intrinsic."
-Deming , Feb 1990
Appendix
Roadmap
•Feel Sick•Call to schedule an appointment•Wait on hold•Make appointment•Wait for appointment day to arrive•Check in at office•Wait for nurse to take BP•Wait for doctor•Talk to doctor•Doctor leaves the room•Doctor returns, he’s going to give you a prescription•Wait in lobby to get prescription•Drive to the pharmacy•Fill prescription•Go home•Take pills•Feel better
Roadmaphow to prioritize strategic initiatives
Roadmaphow to prioritize projects
http://ppmexecution.com/tag/portfolio-optimization/
Roadmaphow to prioritize projects
Valu
e (c
urre
ncy)
Do nothing
Steady stream
accelerated
(e.g
. Rev
enue
)
Priorities tug from all directions. Resources are at a premium. Perspectives and agendas differ, and teams are asking for more focus. In this session, learn how Lean planning addresses these issues and what strategies, tools and techniques can help clarify your portfolio strategy and roadmap.
Defining a project backlog is the easy part of portfolio management; Anything you can dream of goes into the backlog. Prioritizing the backlog is more difficult, especially if your organization is keeping up with multiple initiatives. Demand management can be an even greater challenge – How can you be sure to have the right resources available when the business needs them? Do you have a solid portfolio strategy and roadmap methodology to make data-based decisions? What if all of the key stakeholders don’t value the same outcomes? How engaged are the development teams when it comes to delivering outcomes and not just software? How often should you replan?This session will take a brief look at Lean planning methodology, followed by strategies, tools, techniques and models for defining a portfolio strategy, allocating resources to investment categories, and creating a portfolio roadmap.Some of the concepts covered: Brand Identity and Operational Mode, Analytical Hierarchy Process, Common Economic Value, Solution Matrix, Outcome Forecasting, Investment Categories.
Presentation Abstract: Defining a project backlog is the easy part of portfolio management. Prioritizing the backlog is more difficult, especially if your organization is keeping up with multiple initiatives. Demand management can be an even greater challenge – How can you be sure to have the right resources available when the business needs them? This session will take a brief look at Lean planning methodology, followed by strategies, tools, techniques and models for defining a portfolio strategy, allocating resources to investment categories, and creating a portfolio roadmap.