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Scrum in the Fourth Industrial Revolution
Paolo Sammicheli
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http://leanpub.com/Scrum-for-Hardware/
Discover the SCRUM for HARDWARE pioneers: from Wikispeed to the first Scrum for Hardware Gathering and the Agile Product Charter. The book is divided in two parts: the first one made of stories and the second one with a methodological description.
Scrum for Hardware - The Book
Released Under the BY-SA Creative Commons License.
Available in Italian and English
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https://www.youtube.com/watch?v=SCGV1tNBoeU
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In the new world, it is not the big fish which eats
the small fish, it's the fast fish which
eats the slow fish.
Klaus Schwab Founder and Executive Chairman World Economic Forum
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What does this mean?
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Is it a new Revolution?The elements that experts say will determine the current as the Fourth Industrial Revolution, and not a continuation of the third, are mainly three:
• Speed. Unlike the previous industrial revolutions, the current one is evolving at an exponential rate rather than at a linear one. This is due to the interconnection of the world through a dense communication satellite network, the spread of Internet and cost reduction of land and air transport.
• Width and depth. Current technologies bring new paradigms and deep changes in economy, society and individuals. The transformation is not just about products or their production process: even key concepts like identity and property are experiencing a crisis.
• Systemic impact. The transformations affect a system that extends beyond the boundaries of companies, industries and countries, involving the entire planet.
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What are the impacts in term of business for Manufacturing
Industries?
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Time to market
Credits: https://www.flickr.com/photos/numb3r/
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User Expectation
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Innovation
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Demand Variability
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“The Winner takes it all”
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The 4th Industrial Revolution will be the Revolution of the
Complexity
- Paolo Sammicheli
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CYNEFINA DECISION-MAKING FRAMEWORK BY DAVE SNOWDEN
Photo Credts: http://all-that-is-interesting.com/starling-murmuration
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The Cynefin Frameworkby Dave Snowden.
Obvious
Complicated
Sense-Categorise-Respond
Sense-Analyse-Respond
Act-Sense-Respond
Best Practice
Good Practice
Novel Practice
Known knowns
Known unknowns
Unknowable unknowns
Complex
ChaoKc
Probe-Sense-Respond
Emergent Practice
Unknown unknowns
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Further informations
https://hbr.org/2007/11/a-leaders-framework-for-decision-making
DECISION MAKING
A Leader’s Framework forDecision Makingby David J. Snowden and Mary E. Boone
FROM THE NOVEMBER 2007 ISSUE
In January 1993, a gunman murdered seven people in a fast-food restaurant in Palatine, a
suburb of Chicago. In his dual roles as an administrative executive and spokesperson for
the police department, Deputy Chief Walter Gasior suddenly had to cope with several
different situations at once. He had to deal with the grieving families and a frightened
community, help direct the operations of an extremely busy police department, and take
questions from the media, which inundated the town with reporters and film crews. “There
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What can we do?
«Disruption also flows from agile, innovative competitors who, by accessing global digital
platforms for research, development, marketing, sales and distribution, can overtake well-
established incumbents faster than ever by improving the quality, speed or price at which they
deliver value.»
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What does this mean?
«Businesses, industries and corporations will face continuous Darwinian pressures and as such, the philosophy of “always in beta” (always evolving)
will become more prevalent.»
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WEF Center for the Fourth Industrial Revolution
https://www.youtube.com/watch?v=CwBSWOqaM40
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WEF Center for the Fourth Industrial Revolution
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Mapping Global Transformations
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Mapping Global Transformations
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Mapping Global Transformations
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What does this mean?
«All these different impacts require companies to rethink their operating
models. Accordingly, strategic planning is being challenged by the need for companies
to operate faster and with greater agility.»
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Agile Organization
« An Agile Organization is one that is quick in responding to changes in the marketplace or
environment »
Source: https://www.mbaskool.com/business-concepts/it-and-systems/6703-agile-organization.html
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Agile Organization
Source: https://www.mckinsey.com/business-functions/organization/our-insights/the-five-trademarks-of-agile-organizations
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SCRUM FOR HARDWARE IN THE FOURTH
INDUSTRIAL REVOLUTION
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FESTO
Founded 1925 18.700 employees 250 subsidiaries 61 countries Turnover € 2,74 Billion
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Level 4
Learning Factory
Level 2
Machining department
with electroplating
Gate 2
Gate 1
Canteen
Car park
220 m²Learning Factory covering
22 m building height
20 %electricity from own power generation
66,000 m²fl oor space
4levels
1,200 employees
Facts and fi gures
Festo AG & Co. KG6
Level 4
Hotbeds for ideas
Level 3
Assembly with VUVG lines
Level 3
Atrium
Level 3
Electronics production
Technical centre
Level 4
Customer solutions
Scharnhausen Technology Plant: Facts and fi gures 7
Scharnhausen Technology Plant https://www.festo.com/group/en/cms/10967.htm
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© Paolo Sammicheli 2018
SCRUM FOR HARDWARE
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PRACTICES
PROCESSES
PRINCIPLES
VALUES
© Paolo Sammicheli 2018
SCRUM FOR HARDWARE
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© Paolo Sammicheli 2018
SCRUM FOR HARDWARE
Scrum
Scrum at Scale
PROCESSES
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© Paolo Sammicheli 2018
SCRUM FOR HARDWARE
PRACTICES
WikispeedScrum for Hardware Book
Object Oriented Design
Continuous IntegrationDesign Pattern
User Story
Aggressive Pairing Test Driven Development Continuous Delivery
Management 3.0 Empathy Mapping
Personas Product Canvas Cross Functional Feature Team
User Story Mapping Scrum Patterns Impact Mapping
Hardware Compiler HiTech Anticipation …
Lift Off
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PRINCIPLES
Complexity Thinking
AGILELEAN
eXtreme Manufacturing
© Paolo Sammicheli 2018
SCRUM FOR HARDWARE
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VALUES
AGILELEAN SCRUM
AGILE PRODUCT CHARTER
© Paolo Sammicheli 2018
SCRUM FOR HARDWARE
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PRACTICES
PROCESSES
PRINCIPLES
VALUES
© Paolo Sammicheli 2018
SCRUM FOR HARDWARE
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Case StudyScrum for Hardware at Scale
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Scrum at Scale
Source: https://www.scrumatscale.com
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A fractal is a geometrical object which repeat his own form at
different scales, so that zooming a part of it you get a figure similar to
the original.
https://wikipedia.org/wiki/Fractal
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Context• Italian Company - IOT sector • Annual Revenue: 200 Millions Euro • Around 1000 employees • Project ongoing - Under NDA • Internal Staff around 25 people + external
suppliers • Initially estimated for 2,5 years elapsed • Started with traditional method. After one year
they realized the urgent need to change method so they asked me to help them to adopt Scrum
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Strategic Vision• The project started with a LiftOff (as described in
Diana Larsen’s book) of two days where we shared the Vision, formed the teams, defined the working agreements and created the backlog with a User Story Mapping.
Purpose
Alignment Context
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Initial User Story Map• Stories where covering
a l l t h e i n t e r a c t i o n s i n c l u d i n g S o f t w a r e interfaces (web interface, mobile apps, etc) and H a r d w a r e D e v i c e s (Switch, Sensors, etc)
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Organizational Structure
SoS
HQ
Team 1 Team
2
Team 3
Remote SiteTeam
4
Supplier ASupplier B
Team ext1
Team ext2
Team ext3
Supplier C
Team ext4
PO
PO PO
SM
CPO
SSM
PO
CPO Chief Product Owner SSM Senior Scrum Master
PO Product Owner SM Scrum Master
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Team Level Process
MoTu We Th Fr MoTu We Th FrPlanning Review
Retro
Morning
Afternoon
Refinement 1 Splitting e
rePrioritization
Refinement 2 Readiness
Refinement 3 Readiness
SoS Daily
SoS Daily
SoS Daily
SoS Daily
SoS Daily
SoS Daily
SoS Daily
SoS Daily
Morning
Afternoon
Refinement 0 Prioritization
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Deployment• Deployment / Review
Room • The different products
are installed in several movable panels. They can be taken to the team room during the Sprint for convenience.
• This photo has been taken at the beginning of the development and shows the empty panels and no new products.
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Buffet Sprint Planning
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Results Cumulated Yesterday’s Weather
0,00
15,00
30,00
45,00
60,00
Sprint 1 Sprint 3 Sprint 5 Sprint 7 Sprint 9 Sprint 11 Sprint 13 Sprint 15 Sprint 17 Sprint 19 Sprint 21 Sprint 23 Sprint 25
Cumulated HQ Teams Yesterday’s Weather
Sprint 8 = 6sp Sprint 14 = 23sp Sprint 26 = 55sp
In one Year x 9.16 faster!
Yesterday’s Weather is the average velocity of the last 3 Sprints
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«The fascination for Industrie 4.0 is twofold. First, for the first time an industrial revolution is predicted a-priori, not observed ex-post. This provides various opportunities for companies and research institutes to actively shape the future. Second, the economic impact of this industrial revolution is supposed to be huge.»(Hermann, Pentek, Otto, 2015, p.2Design Principles for Industrie 4.0 Scenarios: A Literature Review)
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Scrum for Hardware
http://leanpub.com/Scrum-for-Hardware/c/Minneapolis18
Discover the SCRUM for HARDWARE pioneers: from Wikispeed to the first Scrum for Hardware Gathering and the Agile Product Charter. The book is divided in two parts: the first one made of stories and the second one with a methodological description.
FREE COPY!