We will explore the differences between systems with high resource efficiency and systems focused on flow efficiency. You will learn how to understand and improve the end to end flow in your system.
5. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
6.
7.
8. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
9. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
10. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
11. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
12. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
13. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
14. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
15. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
16. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
17. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
18. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
19. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
20. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
21. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
22. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
23. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
24. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
25. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
26. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
27. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
28. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
29. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
30. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
31. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
32. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
33. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
34. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
35. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
36. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
37. > 1000 hours < 60 hours
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
39. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
40. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
41. Optimized for Resource efficiency
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
42. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
43. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
44. Optimized for Flow efficiency
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
45. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
46. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
47. What process is most expensive?
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
48. Non value adding: Wait time
Non value adding: Required waste
Value adding: Actual demand
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
49. Common bricks
Waiting in a queue
Waiting for a decision
Waiting of someone to finish
their work
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
50. Common bricks
Rework due to
Defects
Handovers
Lack of understanding the requirements
Over processing, backlog maintenance
Reporting and status meetings
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
51. Flow efficiency in numbers
Usually 1-5% value added of
total lead time
20% value added is a high
number
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
52. How many
and
bricks do you have?
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
53. The three ”laws”
Little’s Law
Law of bottlenecks
Law of variation
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
54. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
55. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
56.
57.
58. Little’s Law
Work-in-Process
Lead Time =
Throughput
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
59. Little’s Law
12
1 min =
12 / min
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
60. Little’s Law
6
0.5 min =
12 / min
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
61. Little’s Law
24
2 min =
12 / min
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
62. ABC ABC ABC
AAA BBB CCC
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
63. The three ”laws”
Little’s Law
Law of bottlenecks
Law of variation
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
65. You can’t go faster than your bottleneck
Capacity = 6 Capacity = 4 Capacity = 6
Throughput = 4
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
66. You can’t go faster than your bottleneck
Capacity => 4 Capacity = 4 Capacity > 4
Throughput = 4
As long as capacity in front of the bottleneck is equal to or grater
than the bottleneck you will go as fast as your bottleneck
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
67. You can’t go faster than your bottleneck
Capacity = 6 Capacity = 4 Capacity > 4
Throughput = 4
Full use of a higher capacity in front of the bottleneck will make
lead time go up
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
68. You can’t go faster than your bottleneck
Capacity => 4 Capacity = 4 Capacity >= 4
Throughput = 4
As long as capacity is equal to or greater after the bottleneck you
will go as fast as your bottleneck
Higher capacity after the bottleneck than at the bottleneck will
not improve throughput over time
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
69. The three ”laws”
Little’s Law
Law of bottlenecks
Law of variation
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
72. Common sources of variation
Arrival rate
Work size and complexity
Ad-hoc processes, swarming
Available capacity
Available and needed competence
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
73. Common ways to improve
Flow efficiency
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
74. Reducing batch size
Smaller features
MMF, MVP
Deliver continuously
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
75. Reduce work-in-process
Use a kanban system to limit
work-in-process
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
76. Improve quality
Continuous Integration
Pair programming and TDD
Stop the line and root cause
analysis of defects
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
77. Reduce process variation
Reduce batch size
Reduce length or remove iterations
Use a mixed feature portfolio
Avoid swarming and ad-hoc
processes
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
78.
79. Time to choose side
Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
80. Created by Håkan Forss @hakanforss http://hakanforss.wordpress.com
The RED brick cancerACE! ConferenceOn Lean and Agile best practices2013 15-16 April, Krakow, Poland
Let me tell you two short stories of two Swedish women in their thirties.We will follow them both through their interaction with the Swedish healthcare system.We will start with Maria.
It is Monday morning and as Maria gets dressed she discovers a lump in her left breast.She is concerned, and with just cause.Breast cancer is the most common cancer among women in Sweden.
She contacts here local healthcare center and gets an appointment the next day with her family doctor.
She meets with the family doctor.He makes the examination but can’t rule out that the lump is cancer.He refers her for a consultation to the breast clinic at the local hospital.
Maria is told she will receive the time for the consultation in the mail.
Maria is worried and what to get the examination over with. She checks her mail every day for the appointment.
After ten days she has still not received her appointment letter. She calls to try to find out status.After some searching the nurse on the phone finds her referral and promise it will be processed later today.
Four days later she receives the appointment letter.The appointment is scheduled for the next week.
Today it’s time for the mammography and ultra sound.Maria arrives a little bit early. She sits down in the waiting room.15 minutes after the scheduled time her name is calledThe mammogram and ultra sound just takes few minutes.
She is once again sent home as the referral to the breast surgeon is sent.
Ten(10) days later she is due back at the breast surgeon at the local hospital.
The breast surgeon has analyzed the images but unfortunately he can’t rule out cancer. He need to refer her to a cytologist so they can take a tissue sample.
Maria is sent home and she is now out of herself of worry and can’t remember a thing the surgeon told her.Would she be sent a new appointment or should she schedule one her self? The next day she calls back to the hospital,but can’t get by the automatic machine. She leaves a message.
Later that same day she is called back by a nurse. She explains that a referral has been sent to the cytologist.
She is told that she has an appointment in two weeks.
Two weeks of constant worries Maria meets the cytologist. He takes a tissue sample.He explains that the sample now needs to be analyzed and the result will be sent to the breast surgeon she meet earlier. The doctor don’t know exactly how long the analysis will take as the lab is usually very busy.
She will receive an appointment in the mail.
After six long weeksMaria is back at the breast surgeon for the diagnose.
Nowletusmeet Anna.
It is a gray Tuesday morning and when in the morning showerAnna discovered a lump in her breast.At lunch she shares her worry about the lump with her best friend. She tells Anna about the “One stop breast clinic” at the local hospital. Anna decides to check it out as soon as the lunch is over.
Back at her computer Anna finds the information on the “One stop breast clinic”.Next time it is open is in two days. She decides to go.
It is now Thursday afternoon and she walks into the clinic.She immediately gets examined by a nurse. The lump defiantly needs to be examined.
Anna is sent to the waiting room and will be called as soon as the doctor is available
Only 15 minutes later a breast surgeon calls her name. He examines her breast. He can’t rule anything out.He want to take a ultrasound and a mammogram.
Anna is one again sent back to the waiting room. You will be called as soon the nurse is available, she is told. She prepares herself for a long wait.
But just after a few minutes her name is called and a specially trained nurse take the mammogram and thena doctor performs the ultrasound. They confirm the lump in the breast. But a tissue sample is needed.
The nurse follows Anna to a cytologist who takes a tissue sample.He apologues as he asks Anna to take seat in the waiting room again as the sample is sends off for analysis.
Anna is one again back in the waiting room. She buys a soft drink in the vending machine and starts reading a magazine.
A few minuteslater, to her surprise,she is back to the breast surgeon and he gives her the diagnose.
Both Maria and Anna went through the same diagnose process steps but with two totally different experiences. For Maria it took over 1000 hours to get her diagnose but it took less than 60 hours for Anna. How come they had such different experiences? Maria’s process time line is full of red LEGO bricks. Anna's not so much. Why?
The two different process has been optimized based on two different business strategies.
Maria’s process is optimized from the different healthcare units perspectives. It has been optimized for resource efficiency. This means that the process is optimized to keep the doctors, nurses and machines as busy as possible. This is supposed to drive down the cost per activity. The result is most often a process full of red bricks.
On the other hand, Anna’s process is optimized for flow efficiency. The process is also optimized on her as the customer. This means that the process is optimized to have Anna go through the process as fast as possible with as little wait time as possible, not so many red bricks. How busy the doctors, nurses and machines are is a secondary concern.
You may think that the process Anna went through is much more expensive than the process Maria went through. But in fact the “One stop shop” concept that focus on flow efficiency costs the same or less. This is often due to the fact that most yellow bricks, failure demand, can be removed from the process.
If you would build a LEGO time line of your processes, would they be mostly red and yellow? Or would they be mostly green?
Queuing theory.Little’s Law states that the more things in process, the longer the cycle time.If we have an average completion rate of 1 feature a week and we have 3 features in process we get a cycle time of 3 weeks per feature. If we instead are working on 1 feature at a time, we get a cycle time of 1 week per feature.