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# Balance Demand Against Throughput: Kanban Recipe for Success Step 4

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Balance Demand Against Throughput: Kanban Recipe for Success Step 4

Sydney Limited WIP Society session

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### Balance Demand Against Throughput: Kanban Recipe for Success Step 4

1. 1. Balance Demand Against Throughput Kanban Recipe for Success: Step Four Jason Yip j.c.yip@computer.org jcyip@thoughtworks.com @jchyip http://jchyip.blogspot.com
2. 2. HOMEWORK CHECK
3. 3. What step(s) did you take to start Reducing WIP and Delivering Often?
4. 4. The Recipe for Success 1. 2. 3. 4. 5. 6. Focus on Quality Reduce WIP Deliver Often Balance Demand Against Throughput Prioritise Attack Variability to Improve Predictability
5. 5. BALANCE DEMAND AGAINST THROUGHPUT
6. 6. What’s wrong with this picture?
7. 7. “…we will set the rate at which we accept new requirements into our software development pipe to correspond with the rate at which we can deliver working code…As work is delivered, we will pull new work (or requirements) from the people creating demand.” David Anderson, Kanban
8. 8. HIGHLIGHT THE BOTTLENECK (THEORY OF CONSTRAINTS)
9. 9. Boy scout story • http://www.toc.tv/TV/video.php?o=p16245&ac=sus&mtr=p16245&open=excerpt&id=17#.UmIfyRa1d F8 (4:40)
10. 10. Theory of Constraints Five Focusing Steps 1. Identify the constraint 2. Exploit the constraint (aka keep constraint busy all the time) 3. Subordinate to the constraint 4. Elevate the constraint 5. Do not let inertia become the constraint (aka goto step 1)
11. 11. Limiting to the constraint creates slack outside of the constraint, which creates capacity for improvement
12. 12. THE PACEMAKER SETS THE PACE (TPS)
13. 13. “…TPS does not allow a bottleneck to set the pace of the value stream. After all, the bottleneck may exist for any number of problematic reasons – excessive downtime, poor quality, long changeover times, etc. Why would I choose to let an operation with such problems determine the way I flow my entire value stream? Of course, I have to deal with the problem operation (the bottleneck), and there are numerous techniques to do so, but I will not let it dictate the pace (takt) of my entire product flow!” John Shook, http://www.lean.org/Library/Shook_on_VSM_Misunderstandin gs.pdf
14. 14. AKA the slowest kid doesn’t set the pace
15. 15. “…we should help Herbie lose weight!” http://lssacademy.com/2007/04/19/toc-bottleneck-versus-lean-pacemaker_19/
16. 16. YOUR FIRST PRIORITY IS NOT FINDING BOTTLENECKS (REINERTSEN)
17. 17. Product development bottlenecks are stochastic, not deterministic
18. 18. What do actual boy scouts do? • Split up into two groups (aka smaller batches) • Integration points (stream crossings, forks in the trail) • Stay in contact: visual + radio • The lead group replenishes water and prepares camp
19. 19. “…I always suggest reducing batch size before adding capacity at bottlenecks.” Don Reinertsen, Principles of Product Development Flow
20. 20. All very interesting… how might you apply this in practice?
21. 21. HOMEWORK
22. 22. What is the smallest step you could take to move 1 level up (or more)?
23. 23. What is your plan to start that step tomorrow?