ING’s Lean IT journey started in 2009. Now the transition covers more than 300 employees in IT operations and 50 Agile Teams in development. At the European Lean IT Summit, Jael Schuyer and David Bogaerts from ING Bank presented what they have learned along the way. More Lean IT presentations and videos on www.lean-it-summit.com

1. Copyright © Institut Lean France 2012
22 & 23 November, 2012
Paris, France
Combining the Best of Two Worlds:
Building a Lean Agile Enterprise
Jael Schuyer - ING
David Bogaerts - ING

2. Who are we?
Jael Schuyer David Bogaerts
M: +31 6 54230087 M: +31 6 11953416
E: jael.s.schuyer@ing.nl E: david.bogaerts@ing.nl
Jael & David are Senior Lean Agile Coaches at ING Bank in the Netherlands. They both started in the Lean Office
environment before moving into Lean IT and Agile. At the moment they are working on the Lean Agile transition in the IT
department Domestic Banking ING.
Jael has worked as a Lean Coach since September 2005. Before working as a Lean Coach, Jael was a Team Manager for
ING. During this period she was introduced to Lean Management and experienced Lean from ‘the other side’.
David has worked as a Lean Coach since February 2007. Before working as a Lean Coach, David was a change manager,
and business consultant for ING. During this period he was involved in reorganization, outsourcing and risk management
projects.
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3. About ING
ING Profile
• ING is a global financial institution of Dutch origin, offering banking, investments,
a variety of life insurance, non-life insurance and retirement services to meet the
needs of a broad customer base
• With more than 94,000* employees, we serve over 67 million* private, corporate
and institutional customers in over 40 countries in Europe, North America and
Latin America, Asia and Australia
*including Insurance Asia & IM Asia
ING NL
• 27,201 employees serve 8.2 million private and 66,000 corporate customers
• CIO NL is responsible for maintaining and developing IT applications for ING NL
• 2000+ employees work for CIO NL
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4. Our journey
1 Why we started our journey
On our journey, we started to explore and change the dark
2
places of our world
3 It takes two to tango
4 So where are we now?
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5. A Brief History of our Lean Journey
Becoming more Lean
Agile every day
2011: Acceleration of Lean
Agile roll out
2010: Agile is introduced
2010: Lean starts in Development
2009: Lean IT starts in Operations
2004: Start Lean Office
People ‘touched’ by Lean Agile: Results*:
60+ Lean Agile teams in Software Development 37+ % faster time to market of IT changes
350+ employees in IT Operations 20+ % efficiency gain
More than 1000 people trained in Lean & Agile 50+ % reduction of incidents by PDCA
*Some examples. Results differ per value chain depending on maturity
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6. Why we need Lean IT
Economic crisis:
Customer behavior and
• Banks are nobody’s expectations are
favorite influenced by IT
• Effects on our cost- possibilities (Facebook,
income ratio Google, Apple)
To be cheaper, faster and more adaptive…
and our people are the key to success
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7. Our journey
1 Why we started our journey
On our journey, we started to explore and change the dark
2
places of our world
3 It takes two to tango
4 So where are we now?
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8. We came from classic waterfall with a length and size
that competes with Niagara
And in the end our customers didn’t get what they wanted
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9. We seriously improved the output of our software
delivery processes by…
accepting we don’t exactly know what we want upfront
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10. We started breaking up huge projects in small chunks
of shippable software
To create a flow of value
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11. So we are switching towards a focus on value,
but need to keep an eye on the whole as well
Company
Vision
Product
Vision
Epic
Theme
Shippable
software
12 months 6 months time 3 months time 2-3 weeks time
time frame frame frame frame
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12. So we are switching towards a focus on value,
but need to keep an eye on the whole as well
Company
Vision
?Product
Vision
Epic
Theme
Shippable
software
12 months 6 months time 3 months time 2-3 weeks time
time frame frame frame frame
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13. So we are switching towards a focus on value,
but need to keep an eye on the whole as well
Company
Vision
Product
Vision
Epic
Theme
Shippable
software
So,frame are gettingframetime aren’t we? frametime
we
12 months
time
there,
6 months 3 months 2-3 weeks time
frame
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14. Well, we also encountered some issues getting our
So we are switching towards a focus on value,
value easily keep an eye on the whole as well
but need to in production
Company
Vision
Product
Vision
Epic
Theme
Shippable
software
So, we are gettingframetime aren’t we? frametime
12 months
time frame
there,
6 months 3 months 2-3 weeks time
frame
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15. Well, we also encountered some issues getting our
value easily in production
Availability
Test environments
Shippable
software
Processes &
Procedures
Deployment
Silo’s Authorizations
Manual
test effort
Some examples of what we encounter, Software in
production
have been solved or are still ongoing
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16. Closing the gap step by step
Examples of experiments we did: Plan
• (Ownership of) Test environments
• Automated build
• Automated testing
Act Do
• Automated deployment
• Steps towards Agile Governance
Check
But it is hard to automate automation
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17. We needed a focus point. It became Continuous
Delivery
“Continuous delivery is about putting the release schedule in the hands of the
business, not in the hands of IT. Implementing continuous delivery means
making sure your software is always production ready throughout its entire
lifecycle – that any build could potentially be released to users at the touch of
a button using a fully automated process in a matter of seconds or minutes.
Jez Humble, David Farley: Continuous Delivery
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18. Our journey
1 Why we started our journey
On our journey, we started to explore and change the dark
2
places of our world
3 It takes two to tango
4 So where are we now?
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19. It takes two to change a large organization
Management & Employees
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20. Started bottom up with top down support
We want change,
so go for it
We want change
…and had to learn all the way through
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21. Struggle: empowerment is a very thin cord to
balance on
Management Funnel*
Strategic Objective Direction (Lean
Level (or Problem) Agile Roadmap)
Management
Tactical Pre Execution of
Level conditions roadmap
Employees Operational People excelling
(Teams) Level How in their craft
Conflict pyramid*
Managing an empowered team means being closer to the
team than before
* Based on Leidinggeven zonder bevelen – Filip Vandendriessche
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22. Training for both management and employees is
essential to become Lean Agile
Example of a 5 days training program for first line and middle management of the IT Value Stream
Time Monday Tuesday Wednesday Thursday Friday
09:00 1 Introduction 9 Review Previous Day 9 Review Previous Day 9 Review Previous Day 9 Review Previous Day
10:00 2 Why and What of Agile 10 Flow 15 Seeing the whole 20 Starting Agile & Scaling 24 Commitment
(systems thinking) up
11:00 11 Kanban
16 Continuous 21 Agile: Practical
Improvement Exercise Experiences
3 Lean & Agile Principles 12 Operational
12:00 Management & KPI’s
13:00 Lunch Lunch Lunch Lunch Lunch
4 Basics of Scrum 12 KPI’s, cont. 17 Leading the Change 22 Performance 24 Commitment, cont.
14:00 Management
13 Portfolio Management & 18 Being a Change Role
5 OM of Self Directed Planning Model 25 Evaluation
15:00 Teams
6 Mindset & Behavior 14 Continuous improve 19 Agile: Practical 23 Agile Safari
16:00 7 Waste towards perfection Experiences
8 Reflection on your Why 8 Reflection on your Why 8 Reflection on your Why 8 Reflection on your Why
17:00 & What of Agile & What of Agile & What of Agile & What of Agile
Drinks
18:00
19:00
First line and middle management are in the driver’s seat
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23. To resolve problems structurally and capture
solutions at every level…
Structural Problem Solving at every Level
Senior Management
Middle Management
Lean Agile Coaches
High Performing Teams
Management
•Problems which can not •Prioritized problems Inattention
Solution
be resolved without help •Status on resolving to results
•Solutions which might be
Delivery impediments
useful for others •Solutions Avoidance of
Plan accountability
Lean Agile Lack of commitment
Teams Act Do
Check Fear of conflict
Absence of trust
From: The five dysfunctions of a team – Patrick Lencioni
we need to become a learning organization
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24. Our journey
1 Why we started our journey
On our journey, we started to explore and change the dark
2
places of our world
3 It takes two to tango
4 So where are we now?
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25. We are getting clear results*
37+ % faster time to market of IT changes
20+ % efficiency gain
50+ % reduction of incidents by PDCA
*Some examples. Results differ per value chain depending on maturity
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26. And our customers feel it*
“Well done ING. Do continue”
We are on the right track, but with every issue solved
more problems become visible
* Customer Feedback on Mobile Banking ING App
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27. We have just started on our journey and are
determined to go forward
The bag’s not for what I take, Colson -
it’s for what I find along the way
MacGyver, 1985
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28. Photo rights reserved:
Slide Photo Photographer Image bank
8 Changed priorities ahead Domeheid Flickr
9 Waterfall DrStarbuck Flickr
10 Big Ship Lyng883 Flickr
Sailing boats Ian Sane Flickr
19 Tango Katagaci Stock.xchng
28 Road Alaskan Dude Flickr
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