Agile Digital Product Development

María M. Redondo

FINAL EXAM

PROJECT MANAGEMENT

What’s a project (main attributes): Planned program of work (with goals and objectives)
requiring definite time, effort, & planning to be completed in a fixed time and budget.

Why projects normally fail?

- Unclear business goals and project requirements.
- Insufficient planning and unrealistic deadlines.
- Poor communication between teams.
- Lack of project management. *Account managers (external communication) &
project management (internal communication).
- No user research completed before building the software.

Some examples:
(1) VIDEO - Heathrow Terminal:
Ok Bad What could have been done differently
- On time - Coordination - Iterations among phases.
- On budget - Space-employees. - Test IT systems.
- Preparation (Demand) - Training-adaptation. - Train employees.
- Communication plan. - Preparation (Demand). - Beta testing (splitted) -
- B.A. message - Quality control. challenge: centralized
- IT systems. systems.
- Overconfidence.
(2) Google Glass: Product failed: Targeted wrong audience; bad timing and product
(compared to iPhone).

Companies that underwent Digital Transformation:

1. Pfizer: 10 years ago, most of Pfizer legacy systems were different; now are all
replaced by a unified enterprise system. Result: Produced 3M additional vaccines.

2. Ikea: Warehouses are expensive, thus they expanded to unreachable areas due to
costs by opening micro-stores as a sales channel for those hard-to-reach consumers.

3. Lego: About to be bankrupt, the company decided to (i) digitalize its supply chain
processes; (ii) migrate human resources apps to a centralized-enterprise-wide
system; (iii) digitalized system in shop floor to get better insights on productivity
impacts; (iv) enterprise-level product lifecycle management solution; (v) created
customer portal where customer could suggest product ideas (e.g., Minecraft).

App prototyping using Software-Project Management Methodologies: Agile vs. Waterfall

HISTORY - Origin of the new era:

1979:
- Trial and error; many barriers; companies spent money in failures, but they
learned about what’s tech for and what not (76% projects failed - never used nor
delivered).
- Happening today with the new techs (AI, Big Data, Cloud, Blockchain).
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María M. Redondo
- Waterfall methodology created.
1985:
- US required Waterfall Certification that to work with Department of Defense.
- Software development cycle needed to include Waterfall 6 phases.
2001:
- Success Ratio of projects increased with Waterfall. However, about 30% of the
projects fails and that is too much in terms of IT projects. Only 13% finished on
time and on budget. As well, about 45% of the functionality of the method was not
used (and was paid for).
- Agile methodology & Agile Alliance created by 17 software methodology experts.
2004:
- SCRUM Alliance creation.
2010:
- US Department of Defense requires Agile Techniques on all IT projects.
2017:
- Only 8% of Agile projects failed; 42% fully successful (success rate improved).

WATERFALL:

Methodology: Sequential design process (phases flow from one to another; one phase
needs to be finalized before starting the other). *18-24 months for mid-complexity project.

1. Business Requirements: Product Requirement Document. Gather the concept or idea

of what the customer wants to do (the most time is spent here), the problems to be
solved and functionalities to implement.
2. Design: Software architecture (logical [diagram]and physical design).
3. Implementation: Software (building the design into the actual software - the coding).
4. Integration of Software Units and Test (Verification) - If requirements are not met,
it’s sent back to verification.
5. Release-deployment. Once verified it’s released. Phase may be deployed into
subphases (e.g., first launched in one location).
6. Maintenance.

Advantages and Disadvantages:

- Advantages: Easy to understand and manage, fewer production issues, better
budget management, best for small projects where requirements are clear, clearly
defined stages, well understood milestones /each phase has specific deliverables.
- Disadvantages: Not flexible, doesn’t handle well unexpected risks, not good for
complex, long-term projects, difficult to capture all the requirements upfront and
to measure progress within stages, difficult to accommodate changes
requirements, integration is done as Big-Bang.

Main Challenges:
- Many of the needs of digital transformation cannot be done using Waterfall
method (requires faster time to market and product-centricity that Waterfall does
not offer).
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María M. Redondo
- It’s not flexible at all, too slow, and inaccurate for digital work (the longer the
projects the more requirements change - which Waterfall is not good for).

AGILE:

Agile: It’s an adaptive model, based on both iterations and incremental development, that is
from an idea to a final product reducing time-to-market (contraposes the traditional
approach that only follows an incremental development - small steps towards a predefined
deliverable).
- Interactive & incremental
- Small iterations with fix costs & duration (from budget to scope - budget and time
are fixed, but scope is variable).
- Considers feedback for next deliverables and iterations (plan, do, act, check,
plan…).

The Golden Triangle:

Four Values of the Agile Manifesto:

1. Individuals and interactions value more than processes and tools.

2. Working software value more than comprehensive documentation.
3. Customer collaboration value more than contract negotiation.
4. Responding to change value more than following a plan.

12 Agile Principles:
1. Satisfy the customer.
2. Welcome changing requirements.
3. Deliver working software frequently.
4. Working together.
5. Motivated individuals.
6. Face-to-face conversations.
7. Working software.
8. Sustainable development.
9. Technical Excellence (to become an expert, training is needed).
10. Simplicity.
11. Self-organizing teams.
12. Reflect on how to improve.
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María M. Redondo
Remove distractions:

* Hierarchy is not welcome in Agile, teamwork is (making team members responsible for
the projects). Open format offices:
- Cons: Cost effective; Productivity; Flexibility; Control - KPY.
- Pros: People conn…; Less hierarchy - allows for more agile decision-making (more
approachability).

Agile and Digital Transformation: To achieve DT you must work on processes and IT (Agile
can help implement both productively and efficiently) -- Concentrate on processes.

Agile Frameworks: Scrum, Kanban, XP, DSDM, Crystal, FDD

SCRUM FRAMEWORK *Most used form all.

Scrum Essentials:

1. Values: Commitment, Focus, Openness, Respect, Courage.

2. Accountabilities: Product Owner, Developers, Scrum Master.
a. Acceptance criteria: Threshold on how development team should execute each task. Done is
the contract that binds what the Product Owner wants to what the Development Team
delivers  represents how user will use the app and how development team should execute
the tasks.
3. Artifacts:
a. Product Backlog: List of items that must be implemented in the project.
 Entries should add value to the customer, must be prioritized, and
estimated (easy, medium, hard).
 It’s continuously modified by User Stories entries.
 User Stories: Helps capture simplified, high-level descriptions
of user’s requirements written from their perspectives.
Structure: Who, What, Why.
o User Stores estimations: 1p (simple); 2p (normal); 3p (complex). Ex. If complete 3
normal (6p) + 1 complex (3p), you’ll need 34 sprints to complete a projects
w/300p.
o User Stories must be: (1) Independent; (2) Negotiable; (3) Valuable; (4) Estimable;
(5) Small-easier to understand; (6) Testable  INVEST.
b. Sprint Backlog.
c. Increment. Not necessary to have the best/most complete product to test it
in the market and pivot if it’s not gaining traction.

4. Events: Sprint. Sprint Planning. Daily Scrum. Sprint Review. Sprint Retrospective.
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María M. Redondo
Process (Scrum Framework):

Step #0 - Set goals and vision for the product (by Scrum Team).
Step #1 - Product Backlog: Draft User Stories and grouped them in Epics.
Step #2 - Sprint Start:
- (C1) Sprint Planning: Select & rate the User Stories to be implemented in current
sprint (Sprint Backlog).
o Inputs: Product Backlog, Capacity and Velocity, Constraints, Intent.
o Maximum duration: 4h for 2-week sprint.
o Attendees: Product Owner, Developers, Scrum Master.
o Output: Sprint Backlog (user stories to be implemented in said Sprint).
- (C2) Dailies: Each session starts some minutes dedicated to put in common what
each team member did in the previous session and what will do in the current one.
o Input: Daily progress, Sprint Backlog.
o Max. Duration: 15 minutes each day.
o Attendees: Developers, Scrum Master (optional).
o Outputs: Sprint Backlog (revised).
Step #3 - Sprint End:
- (C3) Sprint Review: At the end of the sprint, at least 5 minutes to show the Product
Owner what has been implemented.
o Inputs: Sprint Backlog, Increment.
o Maximum Duration: 2h for 2-week sprint.
o Attendees: Product Owner, Developers, Scrum Master, Internal and External
Stakeholders.
o Outputs: Product Backlog (revised), Product Roadmap.
- (C3) Sprint Retrospective: At least 5 minutes introspecting for product (define
iterations needed) and team “fine-tuning”).
o Input: Sprint Data, Challenges, Review Feedback.
o Maximum Duration: 1 ½ hours for 2-week sprint.
o Attendees: Product Owner, Developers, Scrum Master.
o Outputs: Definition of Ready and Done, Improvement Actions, Team Health.
Step #4 - Start next Sprint (repeat from Step 2).
Step #5 - Increment.

Roles:

1. Product Owner:
a. Set goals and vision for the product: Accountable for maximizing the value of
the product resulting from the work of the SCRUM team.
b. Draft the User Stories: Define the functionalities to be covered by the app
from the viewpoint of all the personas.
c. Manage Product Backlog / Priority and trade-off decisions: Reduce
functionalities or push team for more, according to what’s needed.
d. Sprints Planification: the release and sprint goals (which items of the product
backlog goes to each sprint).
e. Accept or reject work results throughout Sprints.
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María M. Redondo

2. Scrum Master:
a. Clear obstacles: E.g., lack of knowledge in the team, bad attitude, stress.
b. Ensure good relationship: & support each team member and give the
Product Owner feedback (so it can do the corresponding trade-offs).
c. Protect the team from outside interruptions and distractions.
d. Gives support to the Product Owner: Create user stories, provide continuous
feedback to Product Owner, and help him/her in the trade-off decision
making.

3. Designer & Tester:

a. Design user experience: Design all the interfaces to ensure great and simple
(no complex functionalities) experiences for the users
b. Ensure homogeneous look & feel: Define APP layout and reject the
functionalities that don’t match the aesthetics (even if they function well).
c. Test functionalities to ensure no issues: Test to reject and approve each
functionality prototyped by the Developers.
d. Define navigation flow among the different app screens.
e. Create as much User Stories as he/she wants.

4. Developers: Prototypes the functionalities required by the Product Owner using the
User Stories.
a. User Stories Rating: In terms of complexity and implementation viability.
b. User Stories implementation: Implement the functionalities according to the
User Stories descriptions.
c. Implement the navigation flow (“touch points”) defined by the
Designer/Tester.
d. Create extra User Stories if deemed necessarily while prototyping the
functionalities (or discard those not well defined).

Speaker presented (CERVEST EARTH).

The product owner creates backlog:

- Framework of double diamond: Divided in 2 (tries to respond the questions of
whether I am building the right thing and if I am building it rights - Product
strategy & product development).
- The framework goes from problem [understand customer requirement & define
strategy] to roadmap & backlog [design solution and test it] to solution (in
between there are funnels).
o 4 Design principles: People-Centered; communicate; collaborate & co-create
and iterate.
o Starts with a challenge and finishes with outcome.
o 4 processes: discover, define, develop and deliver.
o All needs to be enclosed in a particular culture affecting the leadership.
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María M. Redondo

Discovering the product: There is no failure, only feedback.

- Identify needs not requirements.
- Customer is the best feedback.
- Small and fast feedback loops. Fail fast.
- Make hypothesis and validate them (A/B testing, KPIs, surveys).

Backlog prioritization:
- Value Matrix: Urgency or Complexity
o Rank user stories in relation to business value vs. urgency; value vs.
complexity. It’s easy to implement but some variables are not easy to define
(ex. What is business value).
- MoSCoW: Each story is Must, Should, Could or Won’t.
o Easy to visualize too priorities; won’t are stories that will be done in the
future, not now; risk of everything is a Must; how prioritize Musts?
- Experiments:
o Small customer experiments (Surveys, Questions, etc.).
o Priorities based on feedback & text can be fast but needs to be concise.

Backlog ready for the team? What gets committed is not entirely what the product owner
says, but also the team.
- 3 amigos: Find a small team. Design, engineer, and product  bring their feedback
to the table as well (bring other needs to the backlog).
- Investment: Independent, needs to be negotiable, always need to bring value,
estimable, small (can be done on the time of the sprint), product needs to
testable.
- Acceptance criteria: Clear and valid acceptance criteria; what needs to be
accomplished must be understood clearly by the whole team.
- Priorities: Backlog is always prioritized; the backlog is a living artefact.