"lean it practices, from theory to application" by mike orzen

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Copyright © Institut Lean France 2011 Lean IT From Theory to Application Moving beyond the what to the how! Mike Orzen Lean Enterprise Institute The Shingo Prize www.maorzen.com

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Mike Orzen's presentation at the 1st European Lean IT Summit held in Paris in October 2011.

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Page 1: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

Lean IT From Theory to Application

Moving beyond the what to the how !

Mike OrzenLean Enterprise Institute

The Shingo Prizewww.maorzen.com

Page 2: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

Level Set

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 2Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

Page 3: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

Paradigm s

3

Page 4: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

Where is Value in IT?

4Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

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Copyright © Institut Lean France 2011

• IT enables people to solve problems and create value

� Information is primary

� Functionality is secondary

The IT Myth

5Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

Page 6: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

The “Weave”

6Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

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© Copyright 2011 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved.E

nterprise Architecture

Application Delivery Value Stream

Service Desk Value Stream

IT Services Value Streams

Client Services Value Stream

Security, Stability Value Stream

Operations

Help D

esk & S

upport

Governance, B

udget

Infrastructure Engineering

Portfolio M

gt.

App D

ev/Maintenance,

PM

O and R

esource Mgt.

Prioritization, D

elivery

7

Page 8: "Lean IT practices, from theory to application" by Mike Orzen

© Copyright 2011 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved.E

nterprise Architecture

Application Delivery Value Stream

Service Desk Value Stream

IT Services Value Streams

Client Services Value Stream

Security, Stability Value Stream

Operations

Help D

esk & S

upport

Governance, B

udget

Infrastructure Engineering

Portfolio M

gt.

App D

ev/Maintenance,

PM

O and R

esource Mgt.

Prioritization, D

elivery

8

Page 9: "Lean IT practices, from theory to application" by Mike Orzen

© Copyright 2011 Mike Orzen & Associates, Inc. www.maorzen.com All rights reserved.E

nterprise Architecture

Application Delivery Value Stream

Service Desk Value Stream

IT Services Value Streams

Client Services Value Stream

Operations

Help D

esk & S

upport

Governance, B

udget

Infrastructure Engineering

Portfolio M

gt.

App D

ev/Maintenance,

PM

O and R

esource Mgt.

Prioritization, D

elivery

9

Security, Stability Value Stream

Page 10: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

• The good: expertise and execution/collaboration and communication

• The bad: silo based thinking, local optimization, conflicting priorities

• The ugly: unnecessary complexity and tech debt

About the “Weave”

10Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

Page 11: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

• Firefighting to methodical cadence of work

IT vs. Lean - Behaviors

11Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

Page 12: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

1 Understand the real work

2 Streamline communication

3 Simplify the process

4 Adopt hypothesis-driven problem solving

4 Steps

12Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

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Copyright © Institut Lean France 2011

Projects

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 13

Business

Problems

Barriers &

Opportunities

Counter

Measures &

Solutions

Page 14: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

Working Sequence

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 14

Process

Improvement

Process

Improvement

• Quality,

Speed,

Cost

Information

Requirements

Information

Requirements

• Accurate, Timely,

Actionable, Formatted,

Accessible

System

Requirements

System

Requirements

• Stable,

Trusted,

Secure

Page 15: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

• “Know the business better than the business”

• 4 DNA elements applied to information

An Example

15Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

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Copyright © Institut Lean France 2011

1. Specifications document all work processes and include content, sequence, timing and outcome.� VSM� Volume, quality and timing measures� Focused process mapping� Problem solving

Processing “Client” Records

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 16

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Copyright © Institut Lean France 2011

Processing “Client” Records

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Copyright © Institut Lean France 2011

2. Connections with clear YES/NO signals directly link every customer and supplier.� Collaborate all the players� Coordinate information systems� Establish clear signals and business rules

Processing “Client” Records

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 18

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Copyright © Institut Lean France 2011

Processing “Client” Records

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 19

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Copyright © Institut Lean France 2011

3. Every product and service travels a single, simple and direct flow path.� Clearly define the target value stream� Keep it simple and direct� Coordinate information systems

Processing “Client” Records

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 20

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Copyright © Institut Lean France 2011

Processing “Client” Records

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Copyright © Institut Lean France 2011

4. Workers at the lowest feasible level, guided by a coach, improve their own work processes using scientific methods.� Keeps the people closest to the work engaged

in CPI� Keeps work instructions from becoming

“invisible”� Works as a disinfectant to reactive firefighting

behavior

Processing “Client” Records

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 22

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Copyright © Institut Lean France 2011

Processing “Client” Records

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 23

Page 24: "Lean IT practices, from theory to application" by Mike Orzen

Copyright © Institut Lean France 2011

Why is Lean IT So Difficult?

24Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

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Copyright © Institut Lean France 2011

• Conflicting forces

• Event-driven thinking

• Culture of heroic effort

• Leading with technology to solve a process problem (missing the point)

The Trouble with CPI and IT

25Lean IT - From Theory to Application, Mike Orzen www.maorzen.com

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Copyright © Institut Lean France 2011

• Server Deployment• App and H/W Maintenance• Dev/Ops Coordination• Break/Fix Process• Offshore Coordination• Coverage Process• Help Desk• Prioritization

Examples of Applied Lean IT

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Copyright © Institut Lean France 2011

Questions & Comments

Lean IT - From Theory to Application, Mike Orzen www.maorzen.com 27

Mike OrzenLean Enterprise InstituteThe Shingo Prizewww.maorzen.comTwitter: MikeOrzenLeanIT

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Copyright © Institut Lean France 2011

www.lean-it-summit.com