Lean and Agile Capabilities
Organizations that want to achieve substantially superior business results apply Lean principles to drive revenue production and optimize cost models. Actionable Strategies pragmatically applies the Lean principles proven in the Toyota Production System as well as selected tools from Six Sigma. Breakthrough results have been achieved across process optimization and product development projects.
Our Lean methodology has been proven in manufacturing and applied in a variety of services industries. Best applied at the strategic level, Lean delivers demonstrable and durable results. Actionable Strategies is pragmatic in the application of Lean and Agile techniques. The scope and depth depends upon the client’s posture towards and ability to absorb change.
Organizations that want to achieve substantially superior business results apply Lean principles to drive revenue production and optimize cost models. Actionable Strategies pragmatically applies the Lean principles proven in the Toyota Production System as well as selected tools from Six Sigma.
Range of Services
All Lean services target and deliver specific ROI and range in horizon from strategic to tactical.
Lean targets specific business benefits without regard to implementation constraints such as the following.
- Removes waste for performance gains that do not tie up capital
- Dramatically compresses new product introduction cycle
- Accelerates order-to-cash realization
- Increases service delivery or production efficiency and customer service performance
- Migrating Lean upstream improves supplier efficiencies with lower delivered costs
By focusing on early benefits capture, iterative projects deliver successive returns that yield early ROI. As benefits realization accelerates, focus turns to the large value chain. The resulting optimized supply chain is a result of driving both internal supply chain efficiencies and driving change in external vendors.
Initial planning is “light and tight” and results in actionable work streams from the onset.
For specific details on how we can help you realize benefits that are immediate but paradoxically sustainable, please contact your Account Manager.
Lean Product Development Methodology
Accelerating product strategy and development is critical to competitive and growing organizations. Lean product development directly addresses challenges by applying Lean and Agile principles from concept to market adoption. Actionable Strategies has applied this methodology for clients in a variety of industries to move quickly from ideation to launch.
Predictive Analytics – Product Strategy and Development
The client is a Fortune 500 company and provider of business process outsourcing and human capital management solutions. The company has revenues of $12B from 700,000 clients in 112 countries.
After conducting a strategic competitive analysis, Actionable Strategies was subsequently tasked with defining a product strategy for delivering products that provide predictive analytics. The client then asked us to build the initial product which won “Top HR Product” in HR Executive Magazine.
To remain competitive with new entrants into the market, the company wanted to provide more advanced capabilities as part of their current product sets. Our competitive analysis and market research demonstrated a willingness to pay for advanced analytical capabilities. We utilized our Lean Product Development approach for the project lifecycle.
Actionable Strategies worked with the client to identify predictive measures and other meaningful analytics and turn them into product offerings.
- Predict turnover in different parts of the business and determine potential actions
- Show how business measures of costs and revenue loss related to human capital factors such as attrition and overtime
- Align compensation with market measures including by geography
- Provide flexible views of workforce demographics
- Recruit effectively by providing insight into compensation and other metrics
- Analyze turnover, tenure, retention and other key indicators across different views of the business
Essentially, Disciplined Agile Delivery was followed. Keys to success and other takeaways include:
- Actionable Strategies conducted market research and competitive analysis to determine potential projects.
- New work items (stories) were added as part of the Lean Product Development process described above.
- The architecture served JSON objects to the browser, but used sample data until the middle tier could be built to transform cleansed production data.
- Evolving the WoW (way of working) involved reducing the iteration length to 1 week with the Chinese development team working late at night to collaborate with U.S. product stakeholders.
- The infrastructure evolved with all data and servers eventually moved into a Tier 1 production data center.
Actionable Strategies collaborated closely with business and marketing leaders to conceive and build the product.
- The initial prototypes were well received by key customers, when previewed at trade shows, and to the press
- After formally launching the product, the client received the “Top HR Product” award by HR Executive Magazine
- The client immediately realized sales and testimonial customers from the enterprise segment of their business
- Actionable Strategies fully transitioned the Agile software development operation to the client IT organization when it was ready, from story cards to automated testing
- The client continued to extend the capabilities of the product into the mid-market segment, which is the most profitable area of their business
Today the client has a broad product offering and has elevated data delivery and analytics capabilities in their product and services mix.
Process Automation – Wealth Management
Click here to view the case study on process automation. Applying Lean principles, Actionable Strategies automated trade processing for tax reporting. The client is one of the 50 largest wealth managers and realized an ongoing reduction in processing time, costs and error rates.
Product Development Metrics
Measuring product development can be very imprecise without the proper approach and techniques. In addition to the traditional difficulty of measuring software development productivity, the myriad of factors related to differing cultures, environments and processes must be normalized to provide meaningful measures. Actionable Strategies applies practical experience in measurement systems and modeling to create a sustainable metrics framework that can be applied across a diverse enterprise.
Organizations apply metrics to achieve leaner development organizations.
- Better metrics provide a foundation for decision making such as global locations, centers of excellence and process improvement
- Application of lean approaches yields business results such as increased throughput and alignment, resulting in an optimized cost structure
- Governance and operating models with low bureaucracy
- Metrics and quantifiable targets without rigidity
In addition to raw throughput measures, the many factors affecting productivity are gathered. In the sample chart shown here, effort is broken down by actual product / software development and other activities that are performed. This is one of the methods for rationalizing differences in development organizations such as SDLCs, security models and compliance.
The identification of non-value add activities (work that does not directly produce software) as well as overhead may produce opportunities for process optimization and are a critical part of this exercise.
By applying proven models and techniques, combined with client specific measures, an accurate model unique to the client is constructed. Verification against the pilot and later re-calibration against a larger footprint of the organization ensures that the model remains accurate and adaptable as the firm evolves.
Actionable Strategies’ modeling experience provides practical guidance in such key areas as rationalizing feature and software delivery, incorporation of models such as COCOMO and building political consensus.
An iterative approach to modeling and measurement is applied by starting with a pilot phase. This structure enables clients to assume ownership of ongoing activities and reduce total project cost.
Pragmatism – The Key To Enterprise Agile
In this presentation to the Project Management Institute, CEO Jeffrey Wu discusses techniques to deploy Agile across a large enterprise. He advocates pragmatic approaches based on personal successes and the challenges faced. It is focused on enterprise level transformation and not the deployment of low-level tools and practices.
The presentation contains practical advice on how to overcome constraints and internal resistance. It also includes feedback from other technology executives who underwent similar transformation.
Behavioral Indications that Agility is Required
This white paper was published to help organizations identify candidates for Agile practices. It was written early in the adoption cycle of Agile and the fundamental principles remain true today.
Several destructive behaviors are identified based on years of practical experience. They demonstrate that stakeholders are desperate for better performance in the delivery and quality of software. These include the “feature game”, business DIY, and treating development as a vendor rather than a business partner.
The paper concludes with practical advice to introduce agile practices into the organization.