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Copyright © 2004 Lean 360° LLC
Developing the Software Product Concept
Ammon CooksonVP Product DevelopmentProWorks Corporation
Principal, Lean360°
2Copyright © 2004 Lean360° LLC
Lean
Pioneered by Toyota over the last 50 years. Enabled sustained competitive advantage.
#2 Car maker #1 in Profitability
Adapted for Software Lockheed Martin Timberline Software ProWorks
3Copyright © 2004 Lean360° LLC
Intro to Lean – 4 Principles
1. The customer defines value
2. Make value flow – “along streams”
3. Data driven decisions
4. Continuous improvement
4Copyright © 2004 Lean360° LLC
Lean Enterprise
Uses time and the relentless pursuit of waste elimination as competitive leverage
Any activity which absorbs resources but does not create value
Does it improve the fit, form, or function of the product or service?
Is the customer willing to pay for it?
Principle #1: The customer defines value
5Copyright © 2004 Lean360° LLC
Value Delivery System
Good
Customer
Good
Good
Good
Good
Company/Customer Boundary
Company/Customer Boundary
Software Company
Customer
Customer’s Customer
The Value Delivery System Customer Chain
6Copyright © 2004 Lean360° LLC
360°
What are the areas/functions required to delivery software product to customers and make a profit? Value Delivery System Elements
Strategy/Owner Marketing Sales Engineering QA Publications Client Support Services Operations
7Copyright © 2004 Lean360° LLC
What makes good product concepts Great Products?
8Copyright © 2004 Lean360° LLC
What makes good product concepts Great Products?
Identify the right customer personas/stakeholders
Translate spoken and unspoken customer requirements into the right mix of must-be and attractive features.
Create a product concept trajectory Release 1.0 Release 2.0
9Copyright © 2004 Lean360° LLC
Concept Phase
Define Process Identify
Personas/Stakeholders Interview Personas Feature Discovery KANO analysis
Validate Process Working models Customer testing
Define
Validate
SPC
Strategy
10Copyright © 2004 Lean360° LLC
Define: Personas
Consider the personas from a 360° view. Identify the personas and make them real. Consider micro-market segmentations.
11Copyright © 2004 Lean360° LLC
Define: Interviews
Create a Topic Guide Interview personas
Lots of interviews Everyone on the team
does interviews.
12Copyright © 2004 Lean360° LLC
Define: Feature Discovery
Team reviews the interviews. Generates a list of possible features.
13Copyright © 2004 Lean360° LLC
KANO
Connects the voice of the customer to facts and data.
Makes facts and data the center of the conversation around requirements and features across all stakeholders.
Enables scope/feature trade off decisions to be based on facts.
Helps balance scope between must-be and attractive.
14Copyright © 2004 Lean360° LLC
Spoken and Unspoken Customer Requirements
M=Must be present- Implied- self-evident- not expressed- obvious
A=attractive- Not expressed- cool! Wow!- cause delight- Harley vs Honda
O=one-dimensional- articulated- specified- measurable- technical
R=reversing- negative- e.g. animated paper clip in MS Office
X= Product Functionality
Y= Customer Satisfaction (WOW) Factor
+
-
+
-
15Copyright © 2004 Lean360° LLC
Kano Steps
1. Create survey with present/absent questions for each potential feature.
2. Evaluate each respondent’s answers for each feature using the KANO Priority Matrix.
(M) Must be, (A) Attractive, (O) One-dimensional, (I) Indifferent, (R) Reversing, (Q) Questionable
3. Total feature preference scores for all features– for all users.
16Copyright © 2004 Lean360° LLC
For each feature, ask how would you feel if it were PRESENT and ABSENT?
How would you feel if you DID NOT have a central place (such as a repository) to store all estimates for cross estimate reporting and analysis? ______ I would be delighted to find it that way. ______ I expect it to be that way. ______ I am neutral. ___X__ I don't like it that way but I can live with it. ______ It must not be that way. ______ None of the above
How would you feel if you could have a central place (such as a repository) to store all estimates for cross estimate reporting and analysis? __X__ I would be delighted to find it that way. ______ I expect it to be that way. ______ I am neutral. ______ I don't like it that way but I can live with it. ______ It must not be that way. ______ None of the above
How do you feel if the feature is PRESENT?
How do you feel if the feature is ABSENT?
Create feature question pairs…
Delighted!
Expect!
Nuetral
Live With.
Must NOT Be!
Delighted!
Expect!
Nuetral
Live With.
Must NOT Be!
17Copyright © 2004 Lean360° LLC
Determine Feature Preference
How would you feel if the feature were
PRESENT?
Delighted!
Expect!
Nuetral
Live With.
Must NOT Be!
Delighted! Expect! Nuetral Live With.Must NOT
Be!
Q
Q
A A A O
MM
M
RR
RR R R R
III
III
III
How would you feel if the feature were
ABSENT?
Feature [A]
A M O R IAttractive Must-Be One-Dim. Reversing Indifferent
Feature [B]
KANO Survey:Judith’s responses
KANO Survey:Judith’s responses
Feature [A]
1
2KANO Survey:
Susan’s responses
KANO Survey:
Susan’s responses
KANO Survey:
Sally’s responses
KANO Survey:
Sally’s responses
18Copyright © 2004 Lean360° LLC
Feature Priority Matrix – Survey Totals
Feature [A]
A M O R IAttractive Must-Be One-Dim. Reversing Indifferent
5 pts. 3 pts. 1 pts. -5 pts. 0 pts.
2 4 1
10 12 12323
Composite Score
19Copyright © 2004 Lean360° LLC
KANO Survey Totals Example
A M O R I
20Copyright © 2004 Lean360° LLC
KANO Survey Totals Example
Feature Description Score Attractive Must-doOne-
Dimensn. Reversing
Be able to filter the repository and get estimates based on specific user defined criteria. 54 40 15 4 -5
Have a central repository for doing cross estimate reporting and analysis. 52 45 6 6 -5
Be able to apply different productivity factors for different locations. 48 45 6 2 -5
Be able to store in the central repository estimated and actual costs. 46 40 3 8 -5
Be able to apply factors and percentages to adjust for different locations. 37 35 3 4 -5
Be able to generate a new estimate that's based on the averages of the estimates filtered. 32 25 6 6 -5
Create the estimate in one currency than see the estimate in a different currency. 25 25 3 2 -5
Have a table of currency conversion rates. 19 25 4 -10