KevinMann_AgileDevelopmentatSeagate7-Nov-13.pdf

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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