IAD2024 Easy Value Determination with the Value Framework
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The presentation by Derk-Jan de Grood focuses on the importance and challenges of value determination, providing a framework for easy evaluation. It emphasizes understanding financial impact, customer opportunity, compliance, and operational impact to prioritize value delivery effectively across teams. The framework aims to streamline discussions around value, enhance comparability of projects, and align outcomes with organizational goals.
IAD2024 Easy Value Determination with the Value Framework
- 1. Easy Value Determination with the Value Framework Derk-Jan de Grood IAD Nov 2024
- 2. Aim of this presentation THE IMPORTANCE & CHALLENGES OF VALUE DETERMINATION PROVIDE A A EASY TO USE FRAME-WORK CREATE AWERENESS OF THE PITFALLS HOW TO SET VALUE OVER TEAM-RESULTS 3
- 5. 6 Clear cases….. Money: Decom this server saves X Euro anually Resources: Automating this proces saves x times y Euro every day New revenue: this new function wil attract x new subcribers that pay z euro every month Customer satisfaction: This wil make x users smile a bit more…..
- 6. 7 But this item will make us a million
- 8. 9 And what about…. Team likes it Retention Quality Innovation Allignment with company goals Risk
- 9. 10 T-shirt sizing Poker Relative “WSJF” Cost of delay Determinating value
- 10. 11 Example
- 12. 13 5 0 2 0 1
- 13. 14 When to give a 3 or 2 or 4 ? Factors 0 1 2 3 4 5 Financial impact No financial impact or costs higher than gains <15,000 euros Between 15,000 and 30,000 euros Between 30,000 and 45,000 euros Between 45,000 and 60,000 euros >60,000 euros = 1 FTE Complianc e No impact on compliance Indirectly provides a limited positive contributio n to Compliance Indirectly provides a significant positive contribution to Compliance Logged as a compliance issue with low status Logged as a compliance issue with medium status Logged as a compliance issue with high status Operationa l Impact No operational impact 0-4 hours savings in operational tasks per 4-8 hours savings in operational tasks per 8-16 hours savings in operational tasks per 16-40 hours savings in operational tasks per >40 hours savings in operational tasks per
- 16. 17 The new Value framework • Financial Impact • Customer Opportinutiy • Compliance • Enabler (epic) • Enabler (team/time)
- 17. Value Framework 18 0 1 2 3 4 5
- 18. 19 Sort by value
- 19. 20 Clearify your choice No more cheating !
- 20. Advantages • Makes value estimation more controllable • Provides guidelines for value to give • Drives discussing on what is value? • Enables comparing value of items other teams are working on, so we can maximize value delivery • Saves time needed to priotize items • Techitems are prioritized as well • Link with organisational goals • Easy to challenge and check 21
- 21. Advantages • Makes value estimation more controllable • Provides guidelines for value to give • Drives discussing on what is value? • Enables comparing value of items other teams are working on, so we can maximize value delivery • Saves time needed to priotize items • Techitems are prioritized as well • Link with organisational goals • Easy to challenge and check 22
- 22. Team A Team B Team C Value 4 Value 3 Value 2 Committed items Uncommitted items Value 15 Value 14 Value 11 Value 11 Value 14 Value 14 Value 13 Value 10 Value 10 Value 12 Value 12 Value 12
- 23. Team A Team B Team C Value 4 Value 3 Value 2 Committed items Uncommitted items Value 15 Value 14 Value 11 Value 11 Value 14 Value 14 Value 13 Value 10 Value 10 Value 12 Value 12 Value 12
- 24. Team A Team B Team C Value 4 Value 3 Value 2 Committed items Uncommitted items Value 15 Value 14 Value 11 Value 11 Value 14 Value 14 Value 13 Value 10 Value 10 Value 12 Value 12 Value 12
- 25. 26 Cross team optimization Enables comparing value of items other teams are working on, so we can maximize value delivery Should we reteam? Should we Skill-up?
- 26. Interesting discussion? Should all team teams use the same framework ? Should all team teams use the same factors ? Should all team teams use the same values ? 27
- 27. If you want to try this…. 28 THINK OF A SET OF CRITERIA VALIDATE IN THE ORGANISATION (LEADERSHIP, OTHER TEAMS IN ART, ETC) DEFINE GUIDELINES FOR RATING START USING, EVALUATE AND ADAPT!
- 28. 29 Success!
- 29. Aim of this presentation THE IMPORTANCE AND CHALLENGES OF VALUE DETERMINATION PROVIDE A A EASY TO USE FRAME-WORK CREATE AWERENESS OF THE PITFALLS HOW TO SET VALUE- DELIVERY OVER TEAM- RESULTS 30 ✓ ✓ ✓ ✓
- 30. Questions? Contact me anytime… Derk-Jan de Grood Principal Consultant, Value Delivery Advisor, Agile Transformation Expert, RTE coach & Author. Tel +31 6 51 80 78 78 Mail derkjandegrood@gmail.com Blog djdegrood.wordpress.com/ LinkedIn www.linkedin.com/in/derkjandegrood