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Lean IT

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Information Technology is supposed to enable business performance and innovation, improve service levels, manage change, and maintain quality and stability, all while steadily reducing operating costs. Yet when an enterprise begins a Lean transformation, too often the IT department is either left out or viewed as an obstacle. What is to be done? Winner of a 2011 Shingo Research and Professional Publication Prize, this book shares practical tips, examples, and case studies to help you establish a culture of continuous improvement to deliver IT operational excellence and business value to your organization.

Praise for:

...will have a permanent place in my bookshelf.
Gene Kim, Chief Technology Officer, Tripwire, Inc.
... provides an unprecedented look at the role that Lean IT will play in making this revolutionary shift and the critical steps for sustained success.
Steve Castellanos, Lean Enterprise Director, Nike, Inc.

Twenty years from now the firms which dominate their industries will have fully embraced Lean strategies throughout their IT organizations.
Scott W. Ambler, Chief Methodologist for Agile and Lean, IBM Rational

a great survival manual for those needing nimble and adaptive systems.
Dr. David Labby, MD, PhD, Medical Director and Director of Clinical Support and Innovation, CareOregon

makes a major contribution in an often-ignored but much-needed area.
John Bicheno, Program Director MS in Lean Operations, Cardiff University

a comprehensive view into the world of Lean IT, a must read!
Dave Wilson, Quality Management, Oregon Health & Science University

370 pages, Hardcover

First published September 3, 2010

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About the author

Steven C. Bell

17 books5 followers

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Profile Image for Steven Bonacorsi.
15 reviews601 followers
December 12, 2010
Lean IT
Enabling and Sustaining Your Lean transformation
- By Steven C. Bell and Michael A. Orzen
Steady Improvement

Book Review by: Steven Bonacorsi, Lean Six Sigma Master Black Belt, ITIL Master, Honorary Advisor to the International Six Sigma Council, Agilest, and Founder of the Lean Six Sigma Group.

Chapter 1: Why Does Lean IT Matter?
The authors outline the key disconnects in areas such as the lack of Integration and synchronization between IT and the business as caused by unnecessary complexity. I cannot agree more, as the business complexity increases with supply chains, mergers and acquisitions, various in customer and employee needs increase, as does the complexity of information systems increase. Lean IT engages people, using the framework of lean principles, systems, and tools, to align and synchronize the IT Organization with the business to provide quality information fast and effective information systems that are accurate and complete. Lean IT outlines how Information Technology systems can change quickly to respond to rapidly changing customer and business requirements.

Chapter 2: Foundations of Lean
Beginning in 1890 with the Age of Scientific Management and Frederic Taylor, Henry Ford, then on to The Age of Engagement following World War 2 with Edward Deming, Joseph Juran, Goldratt’s Theory of Constraints, and the Toyota Production System, thru 1995 to the Age of Integration with the evolution of Lean and Six Sigma. The Authors clearly cover the Lean Principles, in that they are about fixing processes, not people, for fact-based improvements. Kaizen, culture, Value Stream Mapping (IT Examples), A3 thinking, and the 7 Wastes are all cover in addition to many other Lean tools and methods, specifically used in IT.

Chapter 3: The Lean IT and Business Partnership
The Authors recognize that Traditional IT organizational practices typically move slowly and carefully to avoid instability and business disruption, while Lean encourages every individual to notice and fix problems by making small improvements each and every day. System life cycle and legacy system are compared to a maturity model such as CMMI, ISO, ITIL, Prince 2, or SCOR. Information Waste and Quality is explored and the Authors clarify ways to identify and measure the waste, including how to identify Green Lean and IT and how environmental consequences can be minimized.

Chapter 4: Lean IT and Business Process Improvement
Information Technology’s role as a catalyst in business process improvement to bridge functional silos is discussed in detail, with the convergence with strategy, IT Systems, and Lean Thinking. The balance between Efficiency and Agile flexibility is reviewed so that information is provided at the right time, in the right format, to the right audience. Leveraging best practices and benchmarking aide in comparing current processes using effective and compliant measurements. Business Process Management (BPM) is reviewed but a real gem in the book is the prioritizing process improvement with strategy, including Innovation processes that reinvent the business and establish differentiation in the eyes of the customer.

Chapter 5: Lean IT Lessons Learned from Lean Manufacturing: Flow and Pull
This is a deep dive into the Lean tools and methods, such as Information Kanban, Demand planning and Management, Scheduling, Line Balancing, Constraints in flow, and workflow capacity. Sales and Operations Planning (S&OP) are outlined with examples on how to respond when demand exceeds capacity.

Chapter 6: Lean Management Systems
The authors point out that most Lean transformations efforts are unable to sustain themselves over time as organizations lose momentum and regress to familiar, wasteful behaviors. The success of a Lean management system relies on collaboration and a smooth flow of quality information. The section on Communication and Knowledge management is brilliant. The authors provide insight into collaborative workspaces, IT Service Desk, performance measurement (including Lean business intelligence) and rapid acquisition and Integration. Strategy deployment and how to measure value with Lean vs. Traditional Accounting helps the reader compare and contrast the importance of the Lean Management System

Chapter 7: Lean IT Operations: ITIL and Cloud Computing
Functional Silos vs. Value-Adding Service Center is brought attention by the authors with an excellent overview of ITIL (Information technology Infrastructure Library) established best practices and the integration with Lean IT. Next Cloud Computing and Its innovative disruption of IT Systems are presented with success tips for IT service adoption. This chapter was high value to me and confident the reader will walk away with a holistic view of how to integrate these various frameworks into a unified model.

Chapter 8: Lean Software Development
Software development is a creative process and differs from many repetitive IT processes. Agile Lean Development is compared to more traditional models such as waterfall. The Lean Software Development Life Cycle is covered from requirements definition using the Voice of the Customer (VOC), demand management, Execution and test iterations, to customer support and measurements. While I would have preferred to see a section on application development estimation techniques like Function Point Analysis, Pert and Critical Path Methods, Use case Points and Test Case Points, used to estimate the size, schedule, complexity, resource effort, and costs, it would have been beyond the scope of the book to cover completely. But the Implementation and Integrations Lessons Learned were very helpful with leading vs. lagging metrics discussed.

Chapter 9: Applying Lean to Project Management
Project Management Institute (PMI) has set the standard for project management and subscribes to the triple constraint that Quality, Cost, and Scope are all linked so that a change in any one area (let’s say an increase in quality) will influence other constraints (such as an increase in cost and/or scope). The authors outline how applying Lean thinking to Project Management which will diminish the triple constraint since Lean targets the waste that reduces costs and scope at the same time as increasing quality. Plan-Do-Check-Act is covered at both a Macro and Micro level with examples of each phase, demonstrating how Lean Project Management enables the Lean Enterprise.

Chapter 10: Leading the Lean IT Transformation
A critical chapter for Lean IT transformations, where clear strategic objective can be measured for progress, success, and the effect of the change on the business, customers, and supply chain is crystal clear. Transformation Leadership as it relates to the strategy deployment, effective management systems, demand management, and business process management and governance are well explained. A maturity model of 3 levels of management systems is presented in a simple to understand and execute framework, displayed with comparative differences between the business focus, lean focus, and Information systems focus at various levels of the organization, to enable the Integration of Lean IT.

Chapter 11: A Lean IT Roadmap
This chapter is a Deployment Champions lifeline, guiding the leaders with a roadmap from how to start the Lean IT Transformation, linking strategy of the leadership vision, to the building of the teams and toolkits for rapid project execution. Change management at both the strategic and tactical are discussed so the best setting for the pace of the change can be managed effectively.

Lean IT Case Studies
While numerous company examples are discussed throughout the book, the 8 case studies walk the reader through various IT Transformation projects, tools and methods, and lessons learned.

Appendix A: A Brief History of Continuous Improvement
Appendix B : How Lean and Six Sigma Work Together
Appendix C: Information Wastes
Appendix D: IT Service Desk: A3 Example

Overall Summary:

Lean IT is the extension of lean manufacturing and lean services principles to the development and management of information technology (IT) products and services. Steven Bell and Michael Orzen leave the reader with a clear understanding of how Lean IT can enable and sustain your Lean transformation. Its central concern, applied in the context of IT, is the elimination of waste, where waste is work that adds no value to a product or service.

Although lean principles are generally well established and have broad applicability, their extension from manufacturing to IT is only just emerging. Indeed, Lean IT poses significant challenges for practitioners while raising the promise of no less significant benefits. And whereas Lean IT initiatives can be limited in scope and deliver results quickly, implementing Lean IT is a continuing and long-term process that may take years before lean principles become intrinsic to an organization’s culture. With the Lean IT book in the transformation leader’s hand, they will have a better understanding of the sand pits and best practices learned through the successful implementation in numerous businesses, globally.

If you are a Lean Six Sigma Champion, Black Belt, Master Black Belt, or Executive Leader, I recommend adding Lean IT to your Business Process Improvement Library, as I am confident it will be an invaluable aide in planning your Lean Transformation and roadmap for IT in how they can actively participate in the overall operational excellence goals.
Lean IT by Productivity Press ISBN: 9781439817568
http://books.google.com/books?id=WL4_...

Warm Regards,

Steven Bonacorsi, LSS MBB
603-401-7047
sbonacorsi@comcast.net
http://www.linkedin.com/in/StevenBona...
Profile Image for Robert Daniels.
7 reviews1 follower
February 8, 2017
Love it, I have taken these principles and began a transformation on my company. Highly recommend this book for anyone looking to bring efficiencies to your organization.
83 reviews13 followers
February 2, 2016
Highly recommended, especially for IT focused organizational managers/scrummasters. Charlie Sheen says this one is a "WINNER". I agree with him in this case. Includes a look at how Lean relates to things like ITIL, and the relationship with Agile Software Development. Comprehensive, clear, and very helpful.
Profile Image for Eduardo.
50 reviews1 follower
April 1, 2014
The basis for Lean IT certification, is an assorted journey by the IT world, applying lean thinking principles on the way. Good enough for an introduction.
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