HW7
An Agile Approach for Implementing Enterprise Software
Kevin Mann November 7th, 2013
A Look Back…
Before…
Longer lead times for delivering business value.
Now… Software releases deliver new business value every 1 to 2 months.
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A Look Back…
Before…
A significant proportion of features were rarely or never used.
Now… New features are highly anticipated by users and quickly adopted.
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A Look Back…
Before…
Releases were followed by large backlogs of change requests.
Now… Releases deliver the expected results without surprises.
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A Look Back…
Before…
The project team was “locked-in” on specific program objectives.
Now… The team reacts quickly to unplanned changes in business priority.
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Our Agile Story…
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Agenda ● Seagate Overview ● Enterprise Software Implementation Overview ● Initial Results (then…) ● Scrum Decision ● What is Scrum? ● Scrum Team ● Scrum Process ● Scrum Results (now…)
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• Seagate is the world's leading provider of storage devices – Q4FY2013*: 53.9 million drives shipped; revenue of $3.4 billion
• Provides storage for enterprise, desktop, mobile computing, consumer electronics and retail markets – Builds hard disk, solid state hybrid and solid state drives – 41% overall market share – Broadest product offering in the industry—largest customer base
• Owns and vertically integrates critical technologies: heads and media
• Approximately 52,002** employees worldwide
Seagate: Storage Leader
* For fourth fiscal quarter ended June 28, 2013 ** Includes interns and agency temps
Seagate Products, Customers and Markets Internal Storage Branded Products Services
Consumer Electronics
Personal Storage
Consumer Brand Sharing
Video Capture
Wireless Storage
SMB Storage
Computing
Cloud
Seagate Global Presence
Oklahoma City, OK Teparuk & Korat, Thailand
Paris, France
Longmont, CO
Dublin, Ireland
Wuxi, China
Maidenhead, UK
Munchen, Germany
Shanghai, China
Tokyo, Japan
Beijing, China
Delhi, India
Shrewsbury, MA
Suzhou, China
Taiwan
Amsterdam, Netherlands Shakopee, MN
Bloomington, MN
Fremont, CA
Science Park, Singapore
Johor & Penang, Malaysia
Woodlands, Singapore
Sydney, Australia
Ang Mo Kio, Singapore
HQs, Admin and/or Sales Design
Customer Support Drive & Component Mfg
Springtown, N. Ireland
Scotts Valley, CA
Gwanggyo, South Korea
Cupertino, CA
Manaus, Brazil
São Paulo, Brazil
How Big Is the Digital Universe?
Zettabytes
40
10
20
30
Source: IDC Digital Universe Study, sponsored by EMC, December 2012
Using the IDC / EMC Study of the Topic
The Digital Universe The measure of all digital data
created, replicated and consumed in a single year
= 40 Zettabytes
in 2020
CAGR = 42%
1 zettabyte = 1 thousand exabytes = 1 billion terabytes
Digital Universe Driven by Emerging Markets
Source: IDC Digital Universe Study, sponsored by EMC, December 2012
0
5
10
15
20
25
30
Emerging Markets Mature Markets*
Z et
ta by
te s
*United States, Western Europe, Japan, Australia, New Zealand
Share of the bit streams in 2020 will double to
60% China alone will
account for
20%
62% 25%
Consumer Electronics Client Compute Cloud Computing Tablets & Smartphones
Location of Exabytes Shipped
In 2010, 62% of the storage was shipped into the client market
This Move Toward Mobility Is Shifting the Location of the Data
400 exabytes
Source: Seagate Strategic Marketing and Research 2013
5%
31%
56%
8% Location of Exabytes Shipped
This Move Toward Mobility Is Shifting the Location of the Data
62%
25%
Consumer Electronics Client Compute Cloud Computing Tablets & Smartphones
By 2020, that will dramatically shift to the cloud
Source: Seagate Strategic Marketing and Research 2013
Enterprise Software Implementation Overview ● Target User Groups: Pricing, Sales & Finance ● Price Management
Price lists generated periodically to support invoice pricing for Distributors and Retailers
● Deal Management Price Agreements
Capture iterative negotiations between Sales and Pricing Teams Support invoice pricing for direct OEMs
Rebate Agreements Capture rebate terms and conditions Integrate with Price Agreements to calculate “Net Price”
Ship and Debit Agreements Capture point-of-sale discounting terms and conditions for
Distributors and Retailers CRM Integration
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Enterprise Software Implementation Overview ● On-premise Pricing software integrated with hosted CRM front-end
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CRM Enterprise Pricing
F ire
w al
l Customers Submit Agreements
Pricing Team Approves Agreements
Web Service API
Waterfall Project Plan
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Requirements
Design
Develop
Unit Test
QA Test
User Acceptance Test
Deploy
Release Timeline
● 4 major planned releases over 3+ years
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Phase 1 April 2008 to Dec 2008
Phase 2 Aug 2008 to Sept 2009
Phase 3 April 2009 to Jan 2010
“High-Priority” Corporate Initiative Feb 2010 to Jul 2011
= Planned Release
Release Results ● Unused features is a common problem.
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45%
19%
16%
13%
7%
Features Used
Never
Rarely
Sometimes
Often
Always
Source: Standish Group, CHAOS Report 2006
Decision Point: Waterfall or Agile? ● New Program Objective: Deliver highest Business priority change
requests and defect fixes grouped as “Bundled Solutions”. ● Option 1: 3-phased waterfall program with fixed scope.
● Option 2: Agile / Scrum program with flexible scope.
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Phase 1: Aug 2011 to Apr 2012
Phase 2: Jan 2012 to Nov 2012
Phase 3: Aug 2012 to May 2013
Approx. 2 Releases per Quarter
8 Month Delay for any Business Value!
What is Scrum? Scrum in 100 words ● Scrum is an agile process that allows us to focus on delivering
the highest business value in the shortest time. ● It allows us to rapidly and repeatedly inspect actual working
software (every two weeks to one month). ● The business sets the priorities. Teams self-organize to
determine the best way to deliver the highest priority features. ● Every two weeks to a month anyone can see real working
software and decide to release it as is or continue to enhance it for another sprint.
…With Thanks to Mountain Goat Software, LLC
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What is Scrum?
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24 hrs
2-4 wks
Product Backlog Sprint Backlog Sprint Tested, Working Increment of Software
What is Scrum?
Plan Driven
Estimates
Features
Cost Schedule
The planned features (scope) first are defined in detail, driving the cost / schedule estimates.
Waterfall Project
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What is Scrum?
Value / Vision Driven
Constraints
Estimates Features
Cost Schedule
Cost and schedule are fixed, and the team works to implement the highest value features as defined by the customer, so that scope remains flexible.
Agile Project
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What is Scrum?
Plan Driven
Constraints
Estimates
Features
Cost Schedule
Waterfall
Value / Vision Driven
Cost Schedule
Features
Agile The plan creates cost /
schedule estimates. The vision creates feature estimates.
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Selling Agile to Executive & Stakeholders Education Benefits Trade-offs Good Fit
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Scrum Team
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Role Count Primary Responsibilities
Contracted Solution Architect & Developer
2 • Design • Development • Guide Internal Developers
Developer 2 • Design • Development
Quality Assurance 2 • Develop Test Plans • Execute QA Tests
Business Analyst 1 • Develop Requirements • Reduce Overhead for Product Owner
Product Owner 1
• Define “User Stories” (aka Backlog Items) • Prioritize Product Backlog • Define Acceptance Criteria • Control Points:
• Requirements Sign-off • Test Plan Sign-off • UAT Sign-off
Scrum Master 1 • Facilitate Scrum Process • Coordinate with Cross Functional Teams
Scrum Process ● 2 week “Sprints” ● Daily “Scrum”
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24 hrs
2 wks
Product Backlog Sprint Backlog Sprint Tested, Working Increment of Software
Point Estimating
Points Definition 1 “extra-small” 2 “small” 3 “medium” 5 “large” 8 “extra-large”
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● The team estimates “Points” for each Backlog Item.
Sprint Burn Down
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Sprint Velocity
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● Averaging 15 story points per 2-week sprint.
Keys to Success ● Ownership of Code ● Automated Daily Build ● Automated Regression Tests ● Documented Requirements & Test Plans ● Engaged & Empowered Product Owner
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Releases & Business Reaction ● 6 releases in the first 7 months
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Aug Sept Oct Nov Dec Jan Feb
Defect fixes from prior project
Usability improvements targeting Sales and Pricing users
Changes to support Samsung integration
= Release
Agile Results vs. Waterfall
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Aug Sept Oct Nov Dec Jan Feb
= Release
Aug Sept Oct Nov Dec Jan Feb
Agile: 6 Releases
Waterfall: 0 Releases
Results ● Increased Flexibility ● Reduced Time to Value ● Reduced Risk of Failure
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Q & A
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