Group items tagged

Venture-capital financing model This can be used with any of the above contract forms. In this model, the sponsor gives a round of financing for a certain amount of work, and the contracted company must produce results in order to get more funding. The sponsor can cut their losses at any time if they are not getting the results they need. They can presumably alter the terms of the contract after each work period. The result of a work period need not be working software; it could be a paper study, or a requirements document, or anything the sponsor selects. The venture-capital finance model works well with agile providers, since the agile provider is used to delivering useful, working software early and regularly. I find it an odd irony that the venture capital financiers running start-ups that I have encountered don’t take advantage of their own model to the extent agile teams do. The venture financiers let the evaluation markers occur too far apart in time. If they attached funding to monthly releases, that would oblige the start-up team to think through what it really can accomplish each month. The monthly progress would give the financiers a better sense of the start-up company’s real progress.

Venture-capital financing model This can be used with any of the above contract forms. In this model, the sponsor gives a round of financing for a certain amount of work, and the contracted company must produce results in order to get more funding. The sponsor can cut their losses at any time if they are not getting the results they need. They can presumably alter the terms of the contract after each work period. The result of a work period need not be working software; it could be a paper study, or a requirements document, or anything the sponsor selects. The venture-capital finance model works well with agile providers, since the agile provider is used to delivering useful, working software early and regularly. I find it an odd irony that the venture capital financiers running start-ups that I have encountered don’t take advantage of their own model to the extent agile teams do. The venture financiers let the evaluation markers occur too far apart in time. If they attached funding to monthly releases, that would oblige the start-up team to think through what it really can accomplish each month. The monthly progress would give the financiers a better sense of the start-up company’s real progress.

Bob Martin’s idea Bob Martin of Object Mentor posted an interesting variant to get around this problem: a base fee per story point, plus a lower-than-usual (close-to or below cost) fee per hour. This biases the contracted company’s to deliver early, but gives them some protection in case work proceeds slower than expected. Bob Martin described it this way:”[A]gree to pay a certain amount for each point completed, plus a certain amount for each hour worked. For example, let’s say you’ve got a project of 1000 points. Let’s also say that a team of four has established an estimated velocity of 50 points per week. This looks like about an 80 man-week job. At $100/hour this would be a $320,000 job. So lets reduce the hourly rate to $30/hour, and ask the customer for $224 per point. This sets up a very interesting dynamic. If the job really does take 80 man-weeks, then it will cost the same. If it takes 100 man-weeks then it will cost $344,000. If it takes 70 man-weeks it will cost $308,000. Notice that this is a small difference for a significant amount of time. Notice also that you, as developer feel strong motivation to be done early, since that increases your true hourly rate.” I have not seen that model in action myself, but several people have written in recommending it.

Identify the technical leaders within projects; those that are “self-driven to produce quality results on time … combine technical ability with enough people skills …are trusted and respected by both their managers and fellow developers, are determined to make the team succeed, and usually live the work.” (Chief programmers, Chapter 2:  A Practical Guide to FDD).

Sell them the vision: if you cannot sell these people on the benefits to them, their colleagues and the organization of the new way of working then something is wrong

Provide in-depth training and on-going coaching. It is better to have a single lead person trained in-depth who can coach his teammates through the basics than to have the whole team trained on the basics with no-one on the team to turn to when the basics are not enough.

The Roadmap consists of a series of planned release dates, each of which has a theme and a prioritized feature set.

While it is a simple thing mechanically to represent the Roadmap, figuring out the content for anything beyond the next release is another matter entirely. The topic of what else the team plans to ship and when can be a fascinating and contentious topic in agile

the easiest way to think about the Roadmap is that it is an output, rather than an input to the Release Planning process.

Tom Grant, a Forrester analyst who covers agile and product management, brought early results of his research on business agility to P-Camp. He has divided technology companies into An agile "vanguard" implementing first-wave improvements in their software development models, and Agile "transformation" companies making broad corporate-wide improvements in understanding customers and cross-departmental coordination.

"the end of Soviet-style development." He reminded us that Soviet five-year plans had little to do with the reality of hungry Russians and empty store shelves. In the same vein, technology companies with top-down command-and-control waterfalls tend to be unresponsive and overly optimistic. They often lack good market-sensing mechanisms or useful bottoms-up development metrics, so they routinely deliver unexciting products later than planned.

Responsibilities Vary by Software Business TypeSince the business mission, organization, operating methods, roles, titles and responsibilities differ dramatically across industry segments, it follows that the patterns of agile adoption vary across these segments as well

Information Systems/Information Technology (IS/IT) -teams of teams who develop software to operate the business; accounting, CRM, internal networks, sales force automation and the like. Customers are primarily internal to the enterprise.

Embedded Systems (embedded) - teams of teams who develop software that runs on computers embedded in other devices - cell phones, electronic braking systems, industrial controls and the like. Customers may be either internal or external to the enterprise.