To this end, organizing SAFe portfolios around value streams enables visualizing the flow of work to produce solutions, and it offers the following benefits :
- Fewer handoffs and delays, allowing the teams to work with smaller batch sizes
- Enables long-lived, stable teams that focus on delivering value, instead of projects, which focus on task completion
- Allows faster learning and shorter time-to-market
- Contributes to higher quality and more productivity
- Supports leaner development and budgeting methods
- Fewer handoffs and delays, allowing teams to work with smaller batch sizes.
- Enable long-lived, stable teams that focus on delivering value instead of projects which focus on task completion.
- Allows faster learning and shorter time-to-market.
What are the benefits of value streams in organizational development?
Organizing around value streams offers substantial benefits to the organization, including faster learning, shorter time-to-market, higher quality, higher productivity, and leaner budgeting mechanisms.
Why should safe portfolios be organized around value streams?
To this end, organizing SAFe portfolios around value streams enables visualizing the flow of work to produce solutions, and it offers the following benefits : Fewer handoffs and delays, allowing the teams to work with smaller batch sizes
How to organize your business by value stream?
The key to organizing by Value Stream is to understand value. You need to understand what type of customers you have and what they value from your service. That could be different market segments, buyer personas, products, product lines or services. These are the real value streams.
What are the benefits of organizing around value?
Organizing around value offers substantial benefits to the organization, including faster learning, shorter time-to-market, higher quality, higher productivity, and leaner budgeting mechanisms. It results in value streams that are a better fit for the intended purpose.
What is one of the benefits of organizing people in value stream?
To this end, organizing SAFe portfolios around value streams enables visualizing the flow of work to produce solutions, and it offers the following benefits : Fewer handoffs and delays, allowing the teams to work with smaller batch sizes.
What is the importance of a value stream?
The purpose of a value stream map is to view the entirety of a process flow from start to finish and create a plan to optimize efforts in getting the company to its desired outcomes. By illustrating the current state, a value stream map allows you to know where there are current gaps.
What are two benefits of funding value streams rather than projects?
Funding value streams vs. projects delivers several benefits: Empowers local content authority, which moves decisions to where the information lives, enabling faster and better decision-making. Improved clarity of spending through value stream budgets.
What is value stream organization?
Value stream management (VSM) is a proven lean business technique that focuses on the value of software development and delivery initiatives across an organization's software development lifecycle (SDLC).
How do you manage value streams?
To manage value streams from end-to-end, operational silos between tools and teams must first be broken down. By converging toolchains throughout the portfolio with value stream management platforms, teams can view the flow of work across the organization in real-time.
What is meant by value stream management?
Value Stream Management is a management technique or practice that focuses on increasing the flow of business value from customer request to customer delivery.
What are two types of value streams?
There are two types of value streams – operational value streams and development value streams.
What are two benefits of communities of practice choose two?
Fostering trust. Ensuring the rapid flow of communication and shared awareness. Increasing the shared body of knowledge developed in the CoP.
What is value stream funding?
Funding by Value Stream: A value stream is defined as an end-to-end business process and the associated steps an organization takes to deliver customer value, or it may refer to a line of business that delivers value, typically a product or solution, to a customer.
What are value stream activities?
The value stream is the entire collection of activities necessary to produce and deliver a product or service. Value stream analysis separates those activities that contribute to value creation from activities that create waste, and identifies opportunities for improvement.
What elements are included in value streams?
The 4 key elements of a Value Stream MapCustomer. The first thing to draw on the value stream map is the customers. ... Supplier. Next draw on the suppliers. ... Product Flow. The product flow shows how material is moved through the process. ... Information Flow. The information flow governs the product flow.
How many value streams are there?
Note that there are two types of value streams [1] as illustrated in Figure 2. Operational Value Streams – Contains the steps and the people who deliver end-user value using the business solutions created by the development value streams.
What is the meaning of value stream?
A value stream begins, ends, and hopefully continues with a customer. A value stream is the set of actions that take place to add value for customers from the initial request through realization of value by the customers.
What is an example of a value stream?
Operational value streams (OVS) are the sequence of activities needed to deliver a product or service to a customer. Examples include manufacturing a product, fulfilling an order, admitting and treating a medical patient, providing a loan, or delivering a professional service.
Why is the concept value stream so important in DevOps?
Value streams are a visual tool that allows organizations to objectively measure and track what is most important to them and what they believe will actually bring value to customers in the end. Here is a non-exhaustive list of why your DevOps teams should utilize VSM: Helps identify bottlenecks and pain points.
What best defines a value stream quizlet?
A value stream map takes into account not only the activity of the product, but the management and information systems that support the basic process. This is especially helpful when working to reduce cycle time, because you gain insight into the decision making flow in addition to the process flow.
Lean Budgeting For Development Value Streams
Identifying the value streams and understanding the flow through the organization is an essential step in improving value delivery. It also unlocks...
Value Stream Coordination
There are typically two types of coordination activities required with value streams: 1. Coordinating multiple value streams within a portfolio – V...
Reducing Time-To-Market With Value Stream Mapping
Finally, there is another significant benefit to identifying the value streams and organizing release trains around them. Each value stream provide...
What is value stream?
Value streams are defined by the steps, the people, and the flow of information and material necessary to deliver customer value. Value streams optimize the flow of value across divisions and functional departments and through the system as a whole to the customer.
What are the two types of value streams in SAFe?
SAFe describes two types of value streams, operational and development . While the structure of operational value streams varies significantly based on the purpose and type of value delivered, the structure of development value streams has a standard form, as summarized in Figure 2.
How long do value streams, ARTs, and Agile teams live?
Value streams, ARTs, and Agile Teams live for as long as the solutions they develop and support thrive in the marketplace. But they are not fixed over all time. Some new value streams will be created, others will need to be adjusted, and some will be eliminated as solutions are decommissioned. In other words, when necessary, the Network can evolve very quickly, while the Hierarchy can remain relatively stable. (Figure 8)
How to organize portfolio?
Organizing a portfolio this way offers many benefits: 1 Helps assure customer and product focus across the entire portfolio 2 Aligns strategy to execution by bringing visibility to all the work 3 Provides the basis for Lean Budgets, which eliminates the friction and cost accounting overhead of traditional project-based work 4 Supports measuring success via outcome-based key performance indicators (KPIs) 5 Improves workflow with smaller batch sizes
What are the three organizational patterns used in SAFe?
This principle highlights three specific organizational patterns—Value Streams, ARTs, and Agile Teams —that SAFe enterprises use to build the second operating system. This network is far more adaptable and can respond more quickly to market changes than the hierarchical system. People and teams can flex naturally to the demands of the incoming work without disturbing any of the reporting or other relationships present in the hierarchical system. And yet, even in a sea of constant change, the standardization these patterns provide adds structure, focus, and stability for the people who do this important work.
What happens to the work of the hierarchy overtakes the work of the entrepreneurial network?
The result can be a seemingly decreasing ability to deliver the right products to the right customer at the right time. And success is no longer assured.
Why is focus on the customer natural?
People just naturally do whatever needs to be done. Focusing on the customer is natural, too, because without that, Darwinism takes hold and business failure is quick and catastrophic.
Why Organize People in Value Streams?
The reason we organize around value streams is simple. We want to accelerate the time to value (or market). We do that by optimizing the flow of value through the system as a whole. After all, an enterprise that doesn’t have a clear picture of what it delivers and how can’t improve it.
Why is it important to identify development value streams?
Identifying development value streams and understanding the flow through the organization is an essential step in improving value delivery . It also offers the opportunity to implement Lean Budgets, which can substantially reduce overhead and friction and further accelerate flow.
What is value stream mapping?
Each value stream provides an identifiable and measurable flow of value to a customer. As such, it can be systematically measured and improved to increase delivery velocity and quality using value stream mapping—which is an analytical process, teams can use first to understand, and then improve, time-to-market.
What is value stream?
A value stream is the primary construct for understanding, organizing, and delivering value in SAFe. Each value stream is a long-lived series of steps used to create value. A trigger starts the flow of value, and there’s some form of monetization or value delivered at the end. The steps in the middle are the activities used to develop or deliver the value.
What are the different types of value streams?
Types of Value Streams 1 Operational value streams – Contains the steps and the people who deliver end-user value using solutions created by the development value streams 2 Development value streams – Contains the steps and the people who develop solutions used by operational value streams
What is the most critical step in implementing SAFe?
Defining development value streams and designing ARTs is one of the most critical steps in implementing SAFe and is described in the Identifying Value Streams and ARTs article.
Is value stream coordination required?
However, there is likely to be some coordination required to ensure that the enterprise moves forward with each value stream in lockstep with the enterprise and portfolio objectives. Value stream coordination is the entire subject of the Coordination article.
What is value stream?
The value-stream is the organization of your value-adding activities. Your traditional structure at the top (e.g., vice presidents of sales, marketing, engineering, human resources, operations, finance, and information technology) can largely stay the same.
What is the problem with Value Stream?
The problem is that most companies don’t understand value. The key to organizing by Value Stream is to understand value. You need to understand what type of customers you have and what they value from your service. That could be different market segments, buyer personas, products, product lines or services.
Principle #10 – Organize Around Value
How Safe Organizes Around Value
- This principle,Principle 10-Organizing around value, describes how applying this second operating system frees the enterprise to arrange itself to optimize value delivery. It accomplishes this in three nested parts: 1. Build technology portfolios of development value streams 2. Realize value streams with product-focused Agile Release Trains (ARTs) 3. Form Agile teams that can directl…
Reorganizing Around Value
- This principle highlights three specific organizational patterns—Value Streams, ARTs, and Agile Teams—that SAFe enterprises use to build the second operating system. This network is far more adaptable and can respond more quickly to market changes than the hierarchical system. People and teams can flex naturally to the demands of the incoming work ...