Kanban method in Agile
Varghese Chacko
Technology Executive | Director of Engineering & AI Strategy | Enterprise AI, GenAI & Automation Leader | Scaling AI-Powered Cloud & DevOps | Digital Transformation
In the dynamic world of project management and software development, the need for methodologies that promote flexibility, efficiency, and continuous improvement is paramount. Among the various Agile methodologies that have emerged to meet these needs, Kanban stands out for its simplicity and effectiveness. Originally developed in the manufacturing sector as a part of the Toyota Production System, Kanban has evolved into a powerful tool in the Agile toolkit, particularly suited for managing and improving work processes in a wide range of industries.
The essence of Kanban
At its core, Kanban is a visual system for managing work as it moves through a process. The Kanban method enables teams to visualize their workflow, limit work-in-progress (WIP), and maximize efficiency (or flow). It's particularly effective in environments where work requirements are continuously changing, making it a popular choice for teams in software development, IT, business, and other sectors.
Visual management and continuous delivery
Kanban's visual nature, typically embodied in a Kanban board, allows teams to see the status of every piece of work at any time. This transparency helps in identifying bottlenecks and inefficiencies in the process, paving the way for continuous improvement. By limiting the amount of work in progress, Kanban also encourages teams to complete work items before taking new ones, thus promoting a steady flow of work and frequent delivery of value.
Adaptability and evolution
While Kanban originated in manufacturing, its principles are universal. The method has been adapted to fit the unique demands of knowledge work and software development. Unlike some Agile methodologies that prescribe specific roles and ceremonies, Kanban provides a more flexible framework, focusing on gradual improvements and evolving processes based on team feedback and changing requirements.
History of Kanban
The origins of the Kanban method are deeply rooted in the manufacturing sector, specifically in the Japanese automotive industry. The method was developed in the late 1940s and early 1950s by an industrial engineer and businessman named Taiichi Ohno, who worked for Toyota. The Kanban system was a part of a broader approach known as the Toyota Production System (TPS), which is also often referred to as "Just-In-Time" (JIT) production.
Context and need for innovation:
- Post-World War II, Japan faced significant resource constraints. Toyota, in particular, needed a system that could maximize efficiency and minimize waste.
- The company sought a flexible approach to production that could respond quickly to changes in customer demand.
The inspiration:
- Taiichi Ohno was inspired by the supermarket concept he observed in the United States. Supermarkets stock just enough products to meet consumer demand, restocking shelves based on what the customers actually buy.
- This observation led to the development of a similar demand-driven replenishment system in Toyota's factories.
Key developments in Kanban:
- Visual signals: The word "Kanban" in Japanese translates to "visual signal" or "card." In Toyota’s factories, Kanban cards were used as a signaling system to trigger the replenishment of stock.
- Pull system: Unlike traditional manufacturing methods that used a "push" approach (producing as much as possible, regardless of demand), Kanban introduced a "pull" system. Production was driven by actual demand, with items being replenished only when there was a need.
- Continuous flow and waste reduction: The focus was on maintaining a continuous flow of production and reducing waste, particularly excess inventory.
Evolution into software development and beyond:
- In the late 20th and early 21st centuries, the principles of the Kanban system began to be applied outside manufacturing, especially in software development and IT.
- David J. Anderson is credited with adapting Kanban for knowledge work, formalizing the Kanban Method as it is known in software development and IT today.
- The core principles of visualizing work, limiting work in progress, managing flow, making process policies explicit, and continuously improving were retained, with adaptations to suit the nuances of knowledge work and project management.
The Kanban method’s journey from Toyota's production floors to its widespread application in various industries underscores its versatility and effectiveness in managing and improving processes. Its evolution from manufacturing to knowledge work demonstrates its adaptability and relevance in different contexts, particularly in environments characterized by uncertainty and rapid change.
Kanban principles
Kanban method is structured around a set of key principles that guide its application and effectiveness. These principles include Visualizing work, Limiting work in progress, Managing flow, Making process policies eExplicit, and Improving collaboratively. Let’s explore each of these in detail.
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1. Visualize work
The principle of visualizing work is central to the Kanban method. It involves creating a visual model of the work and workflow to help team members and stakeholders understand the state of the work at any given time.
Key Aspects:
- Kanban board: A physical or digital board is used to represent tasks in various stages of the workflow (e.g., To Do, In Progress, Done).
- Cards and columns: Each task or work item is represented by a card on the board, and columns represent different stages of the workflow.
- Transparency: This visualization provides transparency about the status of work items and helps in identifying bottlenecks and inefficiencies.
2. Limit work in progress (WIP)
Limiting WIP is crucial in Kanban to ensure that the team is not overburdened and can focus on completing tasks efficiently.
Key aspects:
- WIP limits: These are set for each stage of the workflow to prevent overloading any part of the system.
- Focus on completion: By limiting WIP, team members are encouraged to complete current tasks before starting new ones, leading to a more efficient flow of work.
- Reducing bottlenecks: WIP limits help in identifying and addressing bottlenecks in the workflow.
3. Manage flow
Managing the flow of work is about monitoring and optimizing the movement of work items through the production process.
Key aspects:
- Flow efficiency: This involves measuring and managing the time taken for work items to move through the entire workflow.
- Continuous delivery: The aim is to achieve a steady and continuous flow of work, delivering value to customers regularly.
- Metrics and monitoring: Teams use various metrics, like lead time and cycle time, to monitor and improve flow.
4. Make process policies explicit
Explicit process policies ensure that all team members have a clear understanding of the workflow, process rules, definitions of done, and operational guidelines.
Key aspects:
- Clear guidelines: Clearly defined policies for how work is done, criteria for moving tasks between workflow stages, and definitions of completion.
- Alignment and consistency: Helps in maintaining alignment and consistency in how the team approaches work.
- Facilitates onboarding: New team members can quickly understand and adapt to the team’s processes.
5. Improve collaboratively
Continuous improvement is a cornerstone of Kanban, emphasizing that teams should regularly evaluate and improve their workflows.
Key aspects:
- Feedback loops: Regular meetings and reviews provide opportunities for the team to discuss improvements.
- Collective responsibility: Improvement is seen as a collective responsibility of the team.
- Kaizen: Borrowing from lean manufacturing, Kanban encourages 'Kaizen' or continuous, incremental improvement.
By adhering to these principles, teams using Kanban can enhance their efficiency, responsiveness, and overall effectiveness in managing work. The Kanban method’s flexibility allows it to be adapted to a wide range of environments and work types, making it a valuable tool for teams aiming to improve their workflow and deliver value more consistently.
Senior Project Manager @ EPAM Systems | Agile & Waterfall Methodologies
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