Transcript So many decisions, more time than we thought Barely Sufficient Portfolio Management Todd Little.

So many decisions, more
time than we thought
Barely Sufficient Portfolio
Management
Todd Little
Managing the Coming Storm
Inside the Tornado
Project Kickoff
When will we get the requirements?
All in good time, my little pretty, all in good time
But I guess it doesn't matter anyway
Just give me your estimates by this afternoon
Team Unity
Not so fast! Not so fast! ... I'll have to give the matter a little
thought. Go away and come back tomorrow
No, we need something today!
Ok then, it will take 2 years.
No, we need it sooner.
Doesn't anybody believe me?
I already promised the customer it will be out in 6 months
You're a very bad man!
We’re not in Kansas
Anymore
Developer Hero
I may not come out alive, but I'm goin' in there!
Reorg
The Great and Powerful Oz has got matters well in hand.
My! People come and go so quickly here!
Testing
"Hee hee hee ha ha! Going so soon? I wouldn't
hear of it! Why, my little party's just beginning!
The Problem(s)
The Development Funnel
Evaluation and
Selection
Development
Projects
New Products
/Services
Real Funnels: Group B
Quality
Research Control
OEM
Customer
Cont.
Marketing
Engineering
Strategic
Planning
Real Funnels: Group C
1 1/2 – 2 years
Central
Research
leaky
8 –12 months
2– 3
hours
NIH
Resistor
RELAUNCH
HERE
(abrasion;
slows
down the flow)
LAUNCH
HERE
Product "A"
Tech
Prod'n
Local
Inputs
Competitor
Boot
Board Heat
Log
Sales
What can we do to get useful
Portfolio Management?
Value Models?
How Do You
Determine Costs?
Costs
Benefits
Value
Model
How Do You
Determine Benefits?
Business Value
A Value Model?
Decisions, Decisions
What do
we do?
Framework for Conversations
Considerations
When do
we do it?
Purpose
Costs and Benefits
When do
we
decide?
Decisions, Decisions,
Decisions
What do we do?
When do
we do it?
When do we decide?
Real Options
Deciding Is Not a Once in a
Lifetime Event
 Knowledge Improves
 Business Conditions
Change
 Project Conditions
Change
 Do You Know Why
You Are Deciding
Early?
Considerations
Risks
Assumptions
Constraints
Risks – Types of Uncertainty
Cost/Time Uncertainty
General
Market
Uncertainty
Feature Acceptance
Uncertainty
Purpose-Based Alignment
High
Partner
Differentiating
Who Cares?
Parity
Market
Differentiating
Low
High
Low
Mission Critical
Purpose Does Not Equal Priority
Example: Health Insurance
Purpose Alignment
High
Healthcare
analytics
Pharmacy
Dental
Market
Differentiating
Disability
Insurance
Member
Medical Home
Claims Processing
Enrollment
Customer Service
Low
High
Low
Mission Critical
Example: Apple
High
New Product
Design
User Experience
Content
Distribution
ATT
Market
Differentiating
Peripherals
Other Software
MS Office
Intel Hardware
Low
High
Low
Mission Critical
By the Book Gaming
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Action
Infrastructure
Fantasy
You Betcha
By the Book Gaming
Product Line
2008
Head
Count
2008
Revenue
($Thousands)
2009
Revenue
Target
($Thousands)
2010
Revenue
Target
($Thousands)
Action
8
8,000
12,000
18,000
Fantasy
8
0
4,000
6,000
Infra
8
0
0
0
You
Betcha
Total
8
2,000
4,000
6,000
10,000
20,000
30,000
32
Simulation
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Get into teams
Choose a representative to the Portfolio Team
Prepare your case (25 minutes)
Pitch your case (20 minutes)
Break (finalize investment)
Simulate 2009 (20 minutes)
Revisit Investment Options (20 minutes)
Simulate 2010 (20 minutes)
Debrief (30 minutes)
Iteration 1
Iteration 2
Debrief/Retrospective
Stand Back and Deliver
New book by Pixton,
Nickolaisen, Little, and
McDonald
Published by Addison
Wesley in Early 2009
Drafts:
www.accelinnova.com
/booklogin.php
Contact
Todd Little
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www.toddlittleweb.com
www.accelinnova.com
+1713-504-5365
[email protected]