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Project to Product:
Measuring Digital
Transformation with
the Flow Framework®
Dr. @mik_kersten (Tasktop, Founder & CEO)
© Tasktop 2022
Amazon Bestseller
© 2021 Tasktop
@mik_kersten
Master Software at Scale
© 2020 Tasktop
Every enterprise is a software company…
But most struggle to perform like one
Heavy planning and funding processes
Starting and stopping from frequent
cancellation, replanning and
reprioritization
IDEATE RELEASE
CREATE
8% 44%
48%
Waiting for
Approval
Waiting for
Capacity
Waiting for
Analysis Backlog
On hold/
Blocked In progress
Waiting for
Test
Waiting for
Acceptance
Waiting for
Release Done
Idea
Waiting
for Biz
Case
“Agile” but not nimble
Relative acceleration
during development
DevOps but not at scale
Delivery slowed down by
dependencies,
tech debt and manual processes
OPERATE
Poor quality creates
unplanned work
Incidents and war rooms
throw off plans
Where is your bottleneck?
© 2022 Tasktop
@mik_kersten projecttoproduct.org
of features are cancelled
after code has been written
20%
of products have zero capacity
for new work for 12+ months
35%
95%
of value streams do not know
what their flow efficiency is
85%
of products under-invest in
security and debt
8%
of what’s planned by Agile
teams gets delivered
Findings from value streams data collected via Tasktop Viz®
The key constraints are unknown and unmeasured
Project to Product Catalyzes Change
Architecture: decoupling for fast
flow
Automation: removing bottlenecks
Budgeting: funding of value streams
Reporting: flow metrics & outcomes
Org Design: autonomy & alignment
Aligned
Autonomous
Cross-functional
Customer-centric
Functions
Hierarchies
Geographies
Sourcing partners
Value Streams
The Messy Matrix
Role of Leadership
Configure
Run
Design
organization
Assess
organization
Pattern language
Flow Framework®
Structure
Dynamics
Job Toolkit Principles
Design
Team Topologies
SAFe®, Scrum, Spotify, STO,
…
Flow Framework®
Assess
© 2022 Tasktop
@mik_kersten
What flows in software delivery?
Features
Defects
Risks
Debts
New business value, pulled by customer
Quality improvements, pulled by customer
Security, availability, compliance, pulled by risk officers
Technical debt improvements, pulled by teams
Flow Items are MECE*
*Mutually Exclusive and Comprehensively Exhaustive
© 2022 Tasktop
@mik_kersten
© 2022 Tasktop
@mik_kersten
© 2022 Tasktop
@mik_kersten
© 2022 Tasktop
@mik_kersten
© 2022 Tasktop
@mik_kersten
© 2022 Tasktop
@mik_kersten
© 2022 Tasktop
@mik_kersten
Master Software at Scale
© 2022 Tasktop
Paying Down Technical Debt
Unlocking capacity and accelerating growth
In a highly competitive market, Flow Metrics exposed that
time-to-market for digital channel value streams had nearly doubled,
up from 22 days to 40 days, with a Flow Efficiency of only 20%.
Tasktop Viz identified the bottleneck in a legacy core backend
component, where self-service testing was not possible due to
technical debt. The huge investment the firm was making in digital
channels would have no ROI until this debt was paid down.
Rebalancing investments to modernize the backend services will
accelerate capabilities in revenue-generating digital channels.
45%
Feature acceleration capacity
after tech debt reduction
+$150M
Top line growth potential from
revenue pull forward
Securities $3.15B Revenue (2020)
Success story
Master Software at Scale
© 2022 Tasktop
Risk cost mitigation
Avoiding breaches and fines
When Flow Metrics were baselined, Risk (security and compliance)
work was not visible at the value stream level.
First, to make work visible and assign vulnerability patching faster, an
integration was introduced to auto-create Jira issues from scans and
route them to the right value stream’s backlog.
Next, after baselining Risk Flow Time at approx. 5 weeks, process
improvements were put in place to address vulnerabilities in a timely
manner. The result was a 60% improvement from identification to
mitigation.
60%
Improvement in risk mitigation
time for security vulnerabilities
15%
Reduced risk of breach by
patching vulnerabilities <30 days
Healthcare $38B Revenue (2020)
Success story
© 2022 Tasktop
@mik_kersten projecttoproduct.org
© 2022 Tasktop
@mik_kersten projecttoproduct.org
Why Flow?
#1 job is improving flow
• To increase flow, we must
know the bottleneck
• “Any improvements made anywhere
besides the bottleneck is an illusion”
– Gene Kim, Phoenix Project
© 2022 Tasktop
@mik_kersten projecttoproduct.org
© 2022 Tasktop
@mik_kersten projecttoproduct.org
Bad plans
• Micromanage teams & deliverables & dates
• Do not account for flow & bottlenecks
• Ignore capacity, increase WIP
Good plans
• Cascade business goals to value streams
• Measure flow of value, surface bottlenecks
• Prioritize learning and improvement
© 2022 Tasktop
@mik_kersten projecttoproduct.org
© 2022 Tasktop
@mik_kersten projecttoproduct.org
Become the most innovative insurer in our industry
Example
30% Market share growth
50% Reduction in time to provision policy
10% Flow Efficiency improvement
© 2022 Tasktop
@mik_kersten projecttoproduct.org
© 2022 Tasktop
@mik_kersten projecttoproduct.org
Customers love our mobile experience
Example: Policy Value Stream
◦ Flow Efficiency experiments with process improvement
◦ Verification turned out to be the bottleneck
◦ Team targeted “0 days wait state on business input”
◦ Flow Time reduced by 70%, NPS started climbing
◦ Helped company KR of 50% less time to provision policy
20% Mobile customer NPS improvement
30% Flow Time reduction for features
© 2022 Tasktop
@mik_kersten projecttoproduct.org
© 2022 Tasktop
@mik_kersten projecttoproduct.org
Example: Platform Value Stream
Market share growth KR limited by cloud hosting cost
◦ Platform team focused on reducing tech debt from initial launch
◦ Better of use of storage services cost bubble by 75%
2022-04 VMware DevOps Loop.pptx.pdf
© 2021 Tasktop
@mik_kersten projecttoproduct.org
© 2021 Tasktop
@mik_kersten projecttoproduct.org
Measuring Flow
Improving daily work is even more
important than doing daily work
(Gene Kim, The Phoenix Project)
To improve flow, we need an effective
way of measuring flow
© 2022 Tasktop
@mik_kersten projecttoproduct.org
Start Learning with
Flow Institute
Discover more around the concepts
of flow, Flow Metrics and value
stream management (VSM) with:
• On-demand courses
• Interactive workshops
• Executive roundtables
• Slack community
flowframework.org/flow-institute
© 2022 Tasktop
@mik_kersten projecttoproduct.org
@mik_kersten
tasktop.com/mik
flowframework.org
projecttoproduct.org
Amazon Best Seller
eBook, audiobook available
All author proceeds go to charitable programs
supporting women & minorities in technology.
Project to Product 

More Related Content

2022-04 VMware DevOps Loop.pptx.pdf

  • 1. Project to Product: Measuring Digital Transformation with the Flow Framework® Dr. @mik_kersten (Tasktop, Founder & CEO) © Tasktop 2022 Amazon Bestseller
  • 2. © 2021 Tasktop @mik_kersten Master Software at Scale © 2020 Tasktop Every enterprise is a software company… But most struggle to perform like one Heavy planning and funding processes Starting and stopping from frequent cancellation, replanning and reprioritization IDEATE RELEASE CREATE 8% 44% 48% Waiting for Approval Waiting for Capacity Waiting for Analysis Backlog On hold/ Blocked In progress Waiting for Test Waiting for Acceptance Waiting for Release Done Idea Waiting for Biz Case “Agile” but not nimble Relative acceleration during development DevOps but not at scale Delivery slowed down by dependencies, tech debt and manual processes OPERATE Poor quality creates unplanned work Incidents and war rooms throw off plans
  • 3. Where is your bottleneck?
  • 4. © 2022 Tasktop @mik_kersten projecttoproduct.org of features are cancelled after code has been written 20% of products have zero capacity for new work for 12+ months 35% 95% of value streams do not know what their flow efficiency is 85% of products under-invest in security and debt 8% of what’s planned by Agile teams gets delivered Findings from value streams data collected via Tasktop Viz® The key constraints are unknown and unmeasured
  • 5. Project to Product Catalyzes Change Architecture: decoupling for fast flow Automation: removing bottlenecks Budgeting: funding of value streams Reporting: flow metrics & outcomes Org Design: autonomy & alignment
  • 7. Role of Leadership Configure Run Design organization Assess organization Pattern language Flow Framework® Structure Dynamics Job Toolkit Principles
  • 8. Design Team Topologies SAFe®, Scrum, Spotify, STO, … Flow Framework® Assess
  • 9. © 2022 Tasktop @mik_kersten What flows in software delivery? Features Defects Risks Debts New business value, pulled by customer Quality improvements, pulled by customer Security, availability, compliance, pulled by risk officers Technical debt improvements, pulled by teams Flow Items are MECE* *Mutually Exclusive and Comprehensively Exhaustive
  • 17. Master Software at Scale © 2022 Tasktop Paying Down Technical Debt Unlocking capacity and accelerating growth In a highly competitive market, Flow Metrics exposed that time-to-market for digital channel value streams had nearly doubled, up from 22 days to 40 days, with a Flow Efficiency of only 20%. Tasktop Viz identified the bottleneck in a legacy core backend component, where self-service testing was not possible due to technical debt. The huge investment the firm was making in digital channels would have no ROI until this debt was paid down. Rebalancing investments to modernize the backend services will accelerate capabilities in revenue-generating digital channels. 45% Feature acceleration capacity after tech debt reduction +$150M Top line growth potential from revenue pull forward Securities $3.15B Revenue (2020) Success story
  • 18. Master Software at Scale © 2022 Tasktop Risk cost mitigation Avoiding breaches and fines When Flow Metrics were baselined, Risk (security and compliance) work was not visible at the value stream level. First, to make work visible and assign vulnerability patching faster, an integration was introduced to auto-create Jira issues from scans and route them to the right value stream’s backlog. Next, after baselining Risk Flow Time at approx. 5 weeks, process improvements were put in place to address vulnerabilities in a timely manner. The result was a 60% improvement from identification to mitigation. 60% Improvement in risk mitigation time for security vulnerabilities 15% Reduced risk of breach by patching vulnerabilities <30 days Healthcare $38B Revenue (2020) Success story
  • 19. © 2022 Tasktop @mik_kersten projecttoproduct.org © 2022 Tasktop @mik_kersten projecttoproduct.org Why Flow? #1 job is improving flow • To increase flow, we must know the bottleneck • “Any improvements made anywhere besides the bottleneck is an illusion” – Gene Kim, Phoenix Project
  • 20. © 2022 Tasktop @mik_kersten projecttoproduct.org © 2022 Tasktop @mik_kersten projecttoproduct.org Bad plans • Micromanage teams & deliverables & dates • Do not account for flow & bottlenecks • Ignore capacity, increase WIP Good plans • Cascade business goals to value streams • Measure flow of value, surface bottlenecks • Prioritize learning and improvement
  • 21. © 2022 Tasktop @mik_kersten projecttoproduct.org © 2022 Tasktop @mik_kersten projecttoproduct.org Become the most innovative insurer in our industry Example 30% Market share growth 50% Reduction in time to provision policy 10% Flow Efficiency improvement
  • 22. © 2022 Tasktop @mik_kersten projecttoproduct.org © 2022 Tasktop @mik_kersten projecttoproduct.org Customers love our mobile experience Example: Policy Value Stream ◦ Flow Efficiency experiments with process improvement ◦ Verification turned out to be the bottleneck ◦ Team targeted “0 days wait state on business input” ◦ Flow Time reduced by 70%, NPS started climbing ◦ Helped company KR of 50% less time to provision policy 20% Mobile customer NPS improvement 30% Flow Time reduction for features
  • 23. © 2022 Tasktop @mik_kersten projecttoproduct.org © 2022 Tasktop @mik_kersten projecttoproduct.org Example: Platform Value Stream Market share growth KR limited by cloud hosting cost ◦ Platform team focused on reducing tech debt from initial launch ◦ Better of use of storage services cost bubble by 75%
  • 25. © 2021 Tasktop @mik_kersten projecttoproduct.org © 2021 Tasktop @mik_kersten projecttoproduct.org Measuring Flow Improving daily work is even more important than doing daily work (Gene Kim, The Phoenix Project) To improve flow, we need an effective way of measuring flow
  • 26. © 2022 Tasktop @mik_kersten projecttoproduct.org Start Learning with Flow Institute Discover more around the concepts of flow, Flow Metrics and value stream management (VSM) with: • On-demand courses • Interactive workshops • Executive roundtables • Slack community flowframework.org/flow-institute
  • 27. © 2022 Tasktop @mik_kersten projecttoproduct.org @mik_kersten tasktop.com/mik flowframework.org projecttoproduct.org Amazon Best Seller eBook, audiobook available All author proceeds go to charitable programs supporting women & minorities in technology. Project to Product