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lsoftware development
                                   e a n
                   Build the Right Thing
   There is nothing so useless as doing efficiently
  that which should not be done at all. – Peter Durcker
mary@poppendieck.com     Mary Poppendieck    www.poppendieck.com
Disruptive Technologies


    Computers           Mobile Phones                 Open Source               Voice Over IP

Does Not Make Sense in Existing Markets
       Doesn’t Meet Current Customer Needs
       But is:          Smaller    Uses Less Power
                                   Cheaper             Easier to Maintain

Needs a Market Outside the Mainstream
       Grows Strong
                                                                      “The fact is that because of the
       Takes Over Mainstream Markets                                 cloud, today a young upstart can



                                                          l e a n
                                                                      take market share without an
    Innovators’ Dilemma, by Clayton M. Christensen, 2000.             incumbent having time to react.”
                                                                      – Werner Vogles, Amazon.com
2        December,      Copyrignt©2002 Poppendieck.LLC
Customer Discovery

      Most product failures are caused by
             a lack of Customers.
Do a Job Better:
    What job do customers want to do?
    How is your approach an improvement?
Create a Business Hypothesis:
     What is the improvement worth to customers?
Test the Hypothesis Early and Often:

3
    Fail Fast to Learn Fast
      June 11   Copyright©2010 Poppendieck.LLC   l e a n
Observe the Job




    What annoys people when doing the job?
    What causes stress – even unnoticed?
    When do things go exceptionally well?
    What should be: Minimized? Increased?

4        June 11    Copyright©2010 Poppendieck.LLC   l e a n
                                                      Don Chadwick & Bill Stumpf
                                                         Herman Miller 1994
Think Like a Customer

Brilliant Systems are the result of a matching of
mental models between those developing a system
and those who will be using the system.

“Don’t to what customers
say they want, understand
their problems and solve
them.”      – Per Haug Kogstad,
    founder, Tandberg (now Cisco)

5    June 11   Copyright©2010 Poppendieck.LLC   l e a n
Case Studies
GE Healthcare
“We realized that the biggest
impediment was that we were
selling what we were making
[rather than] making what the
customers here needed.”*



                                                                The MAC-i: EKG’s for Rs 9

                                            “Our engineering and marketing teams now interact
                                            closely with the customers here [in India] to understand
                                            their requirements. We look at their work flow, their
                                            environmental limitations, their profitability issues and
The Vscan: $8000 Ultrasound unit            other factors and we then price, design and manufacture
the size of a mobile phone. Based
on designs originating in China, it
will revolutionize global healthcare.
6          June 11            Copyright©2010 Poppendieck.LLC   l e a n
                                            the products accordingly”**      **Ashish Shah, general manager,
                                                                                    global technology, GE Healthcare

                                                                 *V. Raja, president and CEO of GE Healthcare-South Asia.
What Customers Value

Consider the IBM PCjr.
One day after it was announced in 1984, newspapers
 called it a failure. They were right.
Why didn’t IBM know those criteria ahead of time?

Consider the Lexus
The first year it ranked first in every criteria
  “Car and Driver” used to rank luxury cars.
This was precisely the design criteria set by the chief

7
  engineer: rank top in every rated category.
     June 11   Copyright©2010 Poppendieck.LLC   l e a n
Determining the Best
                      Opportunities
    Satisfaction




8                  June 11
                                      Importance
                             Copyright©2010 Poppendieck.LLC   l e a n
Design
                                   Dieter Rams:
                                   Ten Principles of Good Design
                                   Good design:
                                    1. Is innovative
                                    2. Makes a product useful
    Dieter Rams – Braun             3. Is aesthetic
            1958
                                    4. Makes a product understandable
                                    5. Is unobtrusive
                                    6. Is honest
                                    7. Is long-lasting
                                    8. Is thorough down to the last detail
                                    9. Is environmentally friendly


9
    Jonathan Ive – Apple
           2001
          June 11          Copyright©2011 Poppendieck.LLC   l e a n
                                    10. Is as little design as possible
From Complexity to Clarity




10       June 11   Copyright©2011 Poppendieck.LLC   l e a n
     Simulates the Flying Experience – Not the Buying Experience
lsoftware development
                                   e a n
                       Thank You!
             More Information: www.poppendieck.com

mary@poppendieck.com     Mary Poppendieck      www.poppendieck.com

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First Build the Right Thing, Mary Poppendieck @ MoMo Tallinn 06.06.11

  • 1. lsoftware development e a n Build the Right Thing There is nothing so useless as doing efficiently that which should not be done at all. – Peter Durcker mary@poppendieck.com Mary Poppendieck www.poppendieck.com
  • 2. Disruptive Technologies Computers Mobile Phones Open Source Voice Over IP Does Not Make Sense in Existing Markets  Doesn’t Meet Current Customer Needs  But is:  Smaller  Uses Less Power  Cheaper  Easier to Maintain Needs a Market Outside the Mainstream  Grows Strong “The fact is that because of the  Takes Over Mainstream Markets cloud, today a young upstart can l e a n take market share without an Innovators’ Dilemma, by Clayton M. Christensen, 2000. incumbent having time to react.” – Werner Vogles, Amazon.com 2 December, Copyrignt©2002 Poppendieck.LLC
  • 3. Customer Discovery Most product failures are caused by a lack of Customers. Do a Job Better: What job do customers want to do? How is your approach an improvement? Create a Business Hypothesis:  What is the improvement worth to customers? Test the Hypothesis Early and Often: 3 Fail Fast to Learn Fast June 11 Copyright©2010 Poppendieck.LLC l e a n
  • 4. Observe the Job What annoys people when doing the job? What causes stress – even unnoticed? When do things go exceptionally well? What should be: Minimized? Increased? 4 June 11 Copyright©2010 Poppendieck.LLC l e a n Don Chadwick & Bill Stumpf Herman Miller 1994
  • 5. Think Like a Customer Brilliant Systems are the result of a matching of mental models between those developing a system and those who will be using the system. “Don’t to what customers say they want, understand their problems and solve them.” – Per Haug Kogstad, founder, Tandberg (now Cisco) 5 June 11 Copyright©2010 Poppendieck.LLC l e a n
  • 6. Case Studies GE Healthcare “We realized that the biggest impediment was that we were selling what we were making [rather than] making what the customers here needed.”* The MAC-i: EKG’s for Rs 9 “Our engineering and marketing teams now interact closely with the customers here [in India] to understand their requirements. We look at their work flow, their environmental limitations, their profitability issues and The Vscan: $8000 Ultrasound unit other factors and we then price, design and manufacture the size of a mobile phone. Based on designs originating in China, it will revolutionize global healthcare. 6 June 11 Copyright©2010 Poppendieck.LLC l e a n the products accordingly”** **Ashish Shah, general manager, global technology, GE Healthcare *V. Raja, president and CEO of GE Healthcare-South Asia.
  • 7. What Customers Value Consider the IBM PCjr. One day after it was announced in 1984, newspapers called it a failure. They were right. Why didn’t IBM know those criteria ahead of time? Consider the Lexus The first year it ranked first in every criteria “Car and Driver” used to rank luxury cars. This was precisely the design criteria set by the chief 7 engineer: rank top in every rated category. June 11 Copyright©2010 Poppendieck.LLC l e a n
  • 8. Determining the Best Opportunities Satisfaction 8 June 11 Importance Copyright©2010 Poppendieck.LLC l e a n
  • 9. Design Dieter Rams: Ten Principles of Good Design Good design: 1. Is innovative 2. Makes a product useful Dieter Rams – Braun 3. Is aesthetic 1958 4. Makes a product understandable 5. Is unobtrusive 6. Is honest 7. Is long-lasting 8. Is thorough down to the last detail 9. Is environmentally friendly 9 Jonathan Ive – Apple 2001 June 11 Copyright©2011 Poppendieck.LLC l e a n 10. Is as little design as possible
  • 10. From Complexity to Clarity 10 June 11 Copyright©2011 Poppendieck.LLC l e a n Simulates the Flying Experience – Not the Buying Experience
  • 11. lsoftware development e a n Thank You! More Information: www.poppendieck.com mary@poppendieck.com Mary Poppendieck www.poppendieck.com