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Calen Legaspi, Orange and Bronze CEO, talks about how IT projects work, what causes delays and failures, and how Agile software development can be one solution to make IT projects successful.
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Why Most IT Projects Fail
1/21/2013
How Projects Really Work
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How the customer explained it
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How the project leader understood it
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How the analyst designed it
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How the programmer wrote it
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How the business consultant described it
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How the project was documented
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How much the project cost
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What the customer really needed
1995 – The CHAOS ReportFirst comprehensive study on success and
failure of software projects– Conducted by The Standish Group
– Updated roughly every two years
Survey of IT executive managers– large and small businesses
– various industries • inc. banking, securities, manufacturing, retail,
wholeale, health care, insurance, services and government
Classifications•• ““SuccessfulSuccessful””
– On time, on budget, all features•• ““ChallengedChallenged””
– Completed but over-budget, over time estimate, missing features
•• ““ImpairedImpaired””– Canceled
Result of first study - 1994 data
Successful16%
Challenged53%
Canceled31%
Reasons for Challenged/Canceled, 1994
Lack of User Involvement
Incomplete Requirements
Changing Requirements
Lack of Executive Support
Unrealistic Expectations
Unrealistic Time Frames
Lack of Planning
Project No Longer Needed
Lack of Resources
Lack of Competence with Technology Used
Reasons for Success, 1994 User InvolvementUser Involvement Executive
Management Support
Clear Statement of Requirements
Proper Planning
Realistic Expectations
Smaller Project Smaller Project MilestonesMilestones
Competent Staff
OwnershipOwnership Clear Vision &
Objectives
Hard-Working, FocusedFocused Staff
How Are Big IT Projects Run?IT is left to IT
Lack of involvement by stakeholders
Matrix organizationsPeople not dedicated & focusedAccountability is to department head, not project
leadPoor communication
• No co-location• Simple issues take a long time to resolve
How Are Big IT Projects Run?Big, upfront requirements
Stakeholders will ask for the moonDocumentation so voluminous that often inconsistent &
conflicting• Thick documentation = false sense of confidence
Business outcomes poorly/not definedLack of measurable, observable criteria for success
despite voluminous requirements documentation• Ex. cost reduction targets, customer satisfaction,
market share, process handling time
The Problem with “Waterfall”
Mistakes are hard to find in early stages
Change becomes more expensive in later stages
CHAOS Results, '94 - '08
1994 1996 1998 2000 2002 2004 2006 2008
Successful 16% 27% 26% 28% 34% 29% 35% 32%
Challenged 53% 33% 46% 49% 51% 53% 46% 44%
Canceled 31% 40% 28% 23% 15% 18% 19% 24%
1994 1996 1998 2000 2002 2004 2006 20080%
10%
20%
30%
40%
50%
60%
1994 1996 1998 2000 2002 2004 2006 2008
Successful 16% 27% 26% 28% 34% 29% 35% 32%
Challenged 53% 33% 46% 49% 51% 53% 46% 44%
Canceled 31% 40% 28% 23% 15% 18% 19% 24%
1994 1996 1998 2000 2002 2004 2006 20080%
10%
20%
30%
40%
50%
60%
Reasons for Success, '04 - '08
• User involvement
• Executive management support
• Clear businessbusiness objectives
• Optimizing scope
•• Agile processAgile process
• Project manager expertise
• Financial management
• Skilled resources
• Formal methodology
• Standard tools and methodology
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What is Agile?Family of methodologies that
advocate “lightweight” and “human” software development processes– Extreme Programming (XP), Scrum,
Kanban, Lean, Crystal, Agile Unified Process...
Coined in 2001 by the creators of similar methodologies reacting to “heavyweight” methodologies– “heavyweight”: too much work that does
not contribute to successful software project
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What is Agile?Emphasis on
Customer satisfactionJob satisfactionRemoval of things that do not contribute to above
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What is Agile?Culture
Values and attitude of people involved are just as important as processes
Automation for Quick FeedbackAutomated tests, code quality metrics, acceptance
criteria, automated build & deployment...
Agile Adoption, Forrester 2009
Agile35%
No Formal Process31%
Iterative21%
Waterfall13%
Aspects of Software Development
• Project Management
• Engineering• Business Analysis• Quality Assurance• User Experience• Others...
- No one methodology covers all aspects
- No one methodology covers all situations
Some Agile PracticesInterdisciplinary, co-located teams
Ex. Qwest Communications project
Short iterationsDeliver working systems for customer feedback
Test-Driven DevelopmentDefine success before you build, down to the
smallest unit
Some Agile PracticesContinuous Integration
Automatically build and deploy entire system multiple times a day, running automated tests and other quality tools
RefactoringConstantly improving code design to make it easy
to accommodate change
DevOpsIntegrate development and operations into a
seamless, automated practice
Are Agile PracticesAgile Practices the Answer?
NO
Many organizations have adopted Agile practices with poor results
Are Agile PracticesAgile Practices the Answer?
Beware of the hypehype surrounding Agile
Why Agile Fails• Culture of mistrust• Performance measures not aligned towards
collaboration• Capability of personnel• Agile authors and consultants that preach
silver bullets & snake oil– Example... “leaderless teams”... what?
Improving the Success Rate• No silver bullets
– Slow and steady changes– Each company is different
• Changing not just practices, but also culture and performance measures– Align towards collaboration
• Ex: Reward overall project success, not just specific department deliverables
• Smaller project scopes, measurable outcomes
Improving the Success Rate• Focused, multidisciplinary, co-located teams
– Avoid matrix organization– IT is too important to leave to IT!
• Teams with end-to-end responsibility– Requirements definition, design, development,
testing, deployment, and business results• Did I say no silver bullets?
– Experienced, pragmatic coaches can help
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The Agile ManifestoWe are uncovering better ways of developing software
by doing it and helping others do it. Through this work we have come to value:
Individuals and interactions over processes and tools
Working software over comprehensive documentation
Customer collaboration over contract negotiationResponding to change over following a planThat is, while there is value in the items on the right,
we value the items on the left more.
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Agile at Agile at OrangeOrange & & BronzeBronzeBeen doing Agile since its foundation in 2005Been doing Agile since its foundation in 2005
Before it became mainstreamBefore it became mainstreamWe've tried different methodologies and practicesWe've tried different methodologies and practices
XP, Scrum, Kanban, Lean...XP, Scrum, Kanban, Lean...Not all practices work in all conditionsNot all practices work in all conditions
The first to offer The first to offer training & coaching in Agiletraining & coaching in Agile methodologies and practicesmethodologies and practicesScrum, TDD, Agile Business Analysis, Agile QA, etcScrum, TDD, Agile Business Analysis, Agile QA, etcTrainers/coaches are seasoned practitionersTrainers/coaches are seasoned practitioners
Officers & architects speak at Agile conferences Officers & architects speak at Agile conferences here and abroadhere and abroad
Some of Our ClientsSome of Our ClientsSoftware DevelopmentSoftware Development Training & CoachingTraining & Coaching
BothBoth