www.vsmconsortium.org Value Stream Management’s Impact on High-Performance Helen Beal, Chair at VSM Consortium

www.vsmconsortium.org Overview of VSM 2

www.vsmconsortium.org A Short History of VSM 3 1918 1900 1988 1991 2021 1937 1995 1913 2000 1925 1950 1975 2000 2018 Founded 1st VSM Wave Report Published 2004 The internet happened here!

www.vsmconsortium.org What and WHY 4 Delighted customers mean higher organizational performance Optimizing value flow and realization results in sublime customer experience “Value Stream Management is a combination of people, process and technology that maps, optimizes, visualizes, measures, and governs business value flow through heterogeneous software delivery pipelines from idea through development and into production.” Forrester Value stream management optimizes value flow and realization

www.vsmconsortium.org The Duality of VSM VALUE FLOW REALIZATION Outputs (value stream health) Outcomes (customer experience) Flow is the journey of work from idea to realization. Its travel should be friction-free. It’s a continuous steady stream of value for customers. Realization is the fulfillment of desired outcomes. It’s when a customer experiences the value intended. ● Speed of flow ● Frequency of delivery ● Waste in the value stream ● The work types underway ● Customers actively using capability ● Rate at which new customers arrive ● Customers’ description of experience ● Value stream finance health 5

www.vsmconsortium.org VSM & Organizational Performance 6

www.vsmconsortium.org Who is VSM for? Enterprises, Start-Ups, Scale-Ups? 7 “By 2023, 70% of organizations will use value stream management to improve flow in the DevOps pipeline, leading to faster delivery of customer value.” Gartner

www.vsmconsortium.org What Do You Want to Do? 8 ● Know how long it takes to deliver value to your customers ● Accelerating value delivery to customers ● Gain insights into where waste is ● Collaborate end-to-end on your product lifecycle ● Have data-driven conversations ● Have traceability through your DevOps toolchain ● Estimate the value your work will deliver ● Build hypotheses for the value of your work ● Understand how much value your work realized ● Amplify and shorten feedback loops ● Make better informed business decisions ● Maximise your value stream’s profitability FLOW REALIZATION Flow is the journey of work from idea to realization. Its travel should be friction-free. It’s a continuous steady stream of value for customers. Realization is the fulfillment of desired outcomes. It’s when a customer experiences the value intended.

www.vsmconsortium.org The State of Value Stream Management Report 2021 The State of VSM Report Flagship research, published July 2021

www.vsmconsortium.org Value Stream Visibility 10

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www.vsmconsortium.org IT IS ‘The Business’ 12

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www.vsmconsortium.org VSMC Learning Value Stream Management Foundation Course & Certification History and Evolution Identifying Value Streams Mapping Value Streams Connecting Toolchains Value Stream Metrics Inspecting the Value Stream Organizing as Value Streams Evolving Value Streams AVAILABLE NOW: FREE TO ALL MEMBERS

www.vsmconsortium.org Guidance: The Time is Now 15

www.vsmconsortium.org Thank you! Follow us: @vsmconsortium @Value Stream Management Consortium Download The State of Value Stream Management Report 2021 at vsmconsortium.org/research 16