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26/11/19
Sergej Berendsen
The Agile Value Paradox
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METRI proposition
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Agile is all about ValuePrinciples behind the Agile Manifesto
We follow these principles:
Our highest priority is to satisfy the customer
through early and continuous delivery
of valuable software.
Welcome changing requirements, even late in
development. Agile processes harness change for
the customer's competitive advantage.
. . and 10 other principlesagilemanifesto.org
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How to determinevalue? WSJF.
Feature Business
user value
Time
criticality
RR | OE
value
CoD Job Size WSJF
÷
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÷
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+
+
+
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+
=
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=
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:
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AGILE method WSJF: Weighted Shortest Job First
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How to determinevalue?
Increase
client
revenue
Increase
IT/OPS
perfor-
mance
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Agile is out of control –destroyingvalue
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Losingvaluedue to lackof control
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AssessSoftware Quality& productivity
Risk of critical failures in
production
Risk of performance / scaling issues
Risk of security breaches
Ease and speed of modifying
Ease and speed of learning
RISK MAINTAINABILITY
PRODUCTIVITY
Overall application functional size
Performance and productivity
OMG Standards for
automated function points
BENCHMARK
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9Software Resiliency
64100 50 0 50 100
C#
Software Agility
42.6100 50 0 50 100
C#
Software Elegance
42100 50 0 50 100
C#
Focus on speed creates:loweragility& higher TCO
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Different value in the Application lifecycle
•Question marks
•Stars
•Cash cows
•Dogs
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Applicatie lifecycle
Application is functionally or
technically obsolete and is
phased out within 1 year
Legacy applications that require
minimal changes
Research and disruption.
Creating accepted
Minimal Viable Products
Rebuilding MVPs as
full-fledged applications on the
target architecture
Stable applications that need
controlled change to respond to
changing environmental
conditions
Question-mark
Dogs
Cash CowsStars
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Shiftingbalance in valuecreation
QUESTIONMARK STARS CASH COWS DOGS
Business Control Innovation output quality / productivity cost
Financial control
fixed budget
(mostly CAPEX)
business case
(mostly CAPEX)
TCO/Margin
(mixed CAP/OPEX)
Declining budget
(mostly OPEX)
Operating Model
lean start-up agile safe / lean /
devops
lean / oper.excell.
Market VALUE product leader
customer intimacy /
product leader operational excellence operational excellence
Revenue 0 strong inclining stabile declining
Cost Fixed strong inclining stabile declining
€ €
Break even RIP
€ €
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17Focus on:
•Creating value
•Creating the RIGHT value
•Finding a proper balance between:
•Market Value
•Product Value
•Operational Value
•Being agile in using the RIGHT agile toolbox
Solving the Agile valueparadox
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