Category: Requirements

Allan Kelly from Allan Kelly Associates

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For years people have been comparing software construction with building construction. Think about how we talk about “architecture” or foundations, or the cost of change and so on. As I’ve said before, building software is not like building a house. Now it occurs to me that a better metaphor is the ongoing ownership of the building.

Every building requires “maintenance” and over time buildings change – indeed buildings learn. While an Englishman’s home is his castle those of us, even the English, who are lucky enough to own a house don’t have a free hand in the changes we make to our houses

Specifically I’m thinking about the Product Owner. Being a Product Owner is less about deciding what you want your new house to look like, or how the building should be constructed, its not even about deciding how many rooms the house should have. The role of the Product Owner is to ensure the house continues to be liveable, preferably the house is getting nicer to live in, and the house is coping with the requests made on it.

I own a house – a nice one in West London. As the owner I am responsible for the house. I do little jobs myself – like painting the fences. More significantly I have to think about what I want to do with the house: do we want to do a loft conversion? What would that entail and when might I be able to afford that?

I am the Product Owner of my own house. I have to decide on what is to be done, what can wait and what trade-offs I can accept.

When I bought the house the big thing to change was the kitchen and backroom. There was little point in any other works until those rooms were smashed to bits and rebuilt. I had to think though what was needed by my family, what was possible and what the result might be like. I received quotes from several builders – each of whom had their own ideas about what I wanted. I hired an architect for advice. I looked at what neighbours had done. And I had a hard think about how much money I could spend.

An Englishman’s home is his castle – I am the lord of my house and I can decide what I want, except…

My wife and children have a say in what happens to the house. Actually my wife has a pretty big say, while the children have less say there needs are pretty high on my list of priorities.

My local council and even the government have a say because they place certain constraints on what I can do – planning permission, rules and building codes. The insurance company and mortgage bank set some constraints and expectations too.

My neighbours might not own my house but they are stakeholders: I can’t upset them (too much) and they impose some constraints. (In my first flat/apartment the neighbours were a bigger issue because we shared a roof, a garden and the walls.)

So while I may be lord of my own house I am not a completely a free agent. And the same is true with Product Owners.

The secret with Product Owners is: they are Owners. They are more than managers – managers are just hired help. But neither do POs have a free hand, they don’t have unlimited power, the are not dictators, they are not completely free to do what they want and order people around.

Like me, Product Owners have limited resources available: how much money, how many helpers, access to customers and more. I have to balance my desire for a large loft conversion (with shower, balcony and everything else) with the money I can afford to spend on it. That involves trade-off and compromises. I could go into debt – increase my mortgage – but that comes with costs.

Product owners have responsibilities: to customers and users, to the those who fund the work (like the mortgage bank), to team members and peers to name a few. Some decisions they can make on their own, but on other decisions they can only lead a conversation and guide it towards a conclusion.

What the homeowner metaphor misses entirely is the commercial aspect: my house exists for me to live in. I don’t expect to make money out of it. The house next door to mine is owned by a commercial landlord who rents it out: the landlord is actively trying to make money out of that house.

Most Product Owners are trying to further some other agenda: commercial (generating money), or public sector (furthering Government policies), or third sector (e.g. a charity). In other words: Product Owners are seeking to add value for their organization. This adds an additional dimension because the PO has to justify their decisions to a higher authority.

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Allan Kelly from Allan Kelly Associates

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Today I’m giving away my crown jewels. Once you have read this post I can’t run my favourite exercise with you. There is a bit of experiential learning I can’t give you. So if you’ve rather have the experience stop reading and go and book yourself on my May workshop.

I’m describing an exercise that models what happens in “the real world(tm).” Plenty of the people who have done the exercise recognise it was a real life problem. The insights are many, and some a little disturbing.

Dozens of teams and the answers are always the same. I live in dread that someone will guess and ruin the exercise but it never happens. Now I’m telling the world that might change.

On screen I put a story something like:

As a widget maker I want an online store to sell my widgets so that I can make money

I separate the room into teams. Each team represents a technology supplier – an agency, an outsourcer, whatever. I want each team to competitively bid on a piece of work. Each team gets to think about the problem and estimate the work. At the end I want each team to be ready to name their price, how long it will take and how many people they need. They may add any more details they like, e.g. staging, design, technology, etc. (and most do).

The teams on the right get a story which says:

As an international widget maker I want to sell direct to customers so that I can cut out distributors. I anticipate $10million turnover within 3 years and have budgeted $1.2m for this project.

15 minutes later the teams on the right read out their bids. They always want a million give or take. They want months, if not years. They want teams of half a dozen or more engineers, testers, UXD, analysts and project managers. They may propose an ongoing maintenance contract too.

Very disconcerting for these teams is that while they are answering and taking questions the other teams, those on the left, often burst out laughing – literally – when they hear these proposals.

What neither side knows is that they have different stories. The teams on the left get a story saying:

As an artisan widget maker I want to sell my widgets to customers so that I can give up my day job. When I make $100,000 a year in sales I can live my dream. My accountant tells me a WordPress website will cost $5,000.

These teams want a week or two, an engineer or two and perhaps $10,000 tops. In some cases they say “We can do it this afternoon, we’ll set up Etsy.” Even if they don’t want to use Esty or eBay they probably propose an OpenSource solution.

So what do you think?

True, it is a semi-artificial set-up but I would argue that these situations happen all the time in “the real world” work environment. However they are usually well disguised and hard to see. Maybe now you will spot them.

That aside there are many potential lessons this exercise illustrates, almost everyone is worth a discussion in its own right. To keep things brief I’ll just highlight some of them:

• Anchoring (cognitive bias): individuals are anchored to those numbers, bigger number lead them to frame their answers as bigger numbers.
• Assumptions: people jump to assumptions, people automatically fill in the blanks when they lack information and the information they fill in flows from the numbers mentioned. Few questions get asked.
• Different solutions: the key lesson for me, confronted with similar problems, people (especially engineers) are capable of formulating very different solutions. Those solutions have different time and cost implications.
• Problem bounding: presenting the same problem with different bounding constraints results in massively different solutions.
• Effort estimates, and therefore cost estimates, flow from value: whether through anchoring assumptions or solution designs the estimates (time and money) flow from the value available NOT the other way around.
• Prior experience often goes out the window. In one run a low-end teams told me: “We did this last week. A digital consultant showed us how to install WordPress and Magento for online retail in the morning and in the afternoon we did it ourselves.” While this team came up with a low cost proposal their colleagues who were given the $1m story forgot everything they learned last week.
• People don’t ask questions: I answer questions while teams are creating their answers but people rarely challenge what is asked for. Maybe its because I’m usually in some position of authority as a consultant or workshop trainer and my word should be followed.

Occasionally a team with the million dollar story say “We could do this with eBay/WordPress/Shopify.” I keep a poker face and let them be. Inevitably left alone for long enough they talk themselves into a much more complex and expensive bid.

In fact, the longer I give teams the higher the estimates go. I heard a team in Australia say three times “Those estimates look low, lets double them.” And they did. (Again, planning has diminishing returns.)

So far nobody has offered two solutions: you could offer up a Shopify solution and a custom build solution but nobody has.

While we are going through the exercise the minimal viable product idea often gets mentioned – usually by the teams on the right. So recently I introduced a third story. This read the same as the international widget maker but has an extra paragraph underneath:

MacAllan consulting has advised the company to take an iterative and agile approach to this work using a minimally viable product model.

How do you think teams respond?

Think for a minute… your answer is?

It makes no difference.

Or rather, so far I’ve not had any of the million dollar teams propose anything close to the $5,000 solution. In one case a team with the MVP story actually came in more expensive – and longer – than the million dollar team without the MVP clause.

My learning here: talking MVP makes no difference. If you want an MVP you have to impose constraints. (Hence try an MVT.)

People continue to fill in the blanks after the charade is exposed. I’ve heard software architects argue forcefully they these are different problems because of the money involved and therefore require different architecture. They clearly feel cheated and want to justify the proposal they have made. I suspect they feel I’ve made them look silly and want to undo that impression, I’m sorry if I’ve made anyone feel silly.

I wonder how often that happens in the work place? How many of us would back down in real life? I’d like to think I would but I would probably first try and justify my position.

The architects have a point, in many ways the stories are functionally the same but the differences lie in the non-functional requirements: load, throughput, security and so on. But all of that is inferred by people from the price tag without question.

It makes me said that teams ask so few questions. People easily see themselves as a tailor not as a consultant (my Tailor or Image consultant post.)

Then there are the questions about the bidding process and companies bidding on the work.

Imagine you are the buyer: one supplier bids really low, the others were much higher but inline with your expectations. Would you trust the low bid? Have they blow their credibility?

And as a bidder: if you know the client plans to spend $1,000,000 why bid lower? The engineers cost estimates and designs aren’t relevant. Ideally you bid just below the competition. You are the lowest price with all the credibility and maximum revenue.

For that matter, should you be bidding on this at all?

If you work for a small e-commerce provider in rural Cornwall you may never know about, let alone, bid on a million dollar piece of work from an American multi-national. And if you did, would anyone take you seriously?

Suppose you got your big break: you walk in and offer a quick, low cost solution based on something like Shopify. Would they take you seriously? Would they want to listen?

Do corporations increase their own costs simply by being?

Conversely, if you work for a big consultancy and bid on million dollar deals every week will you be interested in bidding on a $5,000 piece of work? Of course not!

But that also means that if a corporation approaches you for a million dollar online shop, even if you could deliver it in a week’s time running on a third party platform do you have any incentive?

I don’t have answers to these questions. Indeed, there aren’t any right answers. All answers are valid, just some answers are “better” in some places than others.

Ultimately the lesson I take away from this is: we craft solutions within constraints.

More specifically: Engineers engineer within constraints, that is what engineers do.

That reinforces my belief that one needs to really understand benefit (value) and how that changes with time. From there we can work back to a solution.

If you would like to see this exercise for real then book yourself my Requirements, Backlogs and User Stories workshop. If you are in London Learning Connexions are running this again in May.

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Allan Kelly from Allan Kelly Associates

At the end of January I’m running my 1-day Requirements, User Stories and Backlogs workshop in London with Learning Connexions. I get great feedback from people who attend the course, perhaps because it is mostly exercised based.

If your interested check out the Learning Connexions page – its just one day and won’t break the bank! Hope to see you there.

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Allan Kelly from Allan Kelly Associates

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I feel compelled to write this blog because I keep coming across the wrong type of Product Owner. I feel bad about writing this blog because a) I’ve made these points before in other forums so I’m repeating myself, and b) at the end of the day you, your team, and your organization, is free to define and use any title you like for any role you like, you are free to define any given role as you like.

So let me set out my model of a Product Owner and then at least there is a model to compare any other definition with.

Our old friend the Triangle of Constraints can help here – also know as “The Iron Triangle” and pictured above (I like to call it the FRT triangle). Now notice the version I use is slightly different from the more common model:

• Rather than “cost” I label one side of the triangle “People”. I could label it resources but in software development resources are overwhelmingly people and the knowledge they bring. People deserve respect, calling them “resources” makes them sound like paperclips.
• For software development costs are function of how many people you have and how long you have them for: costs = people x time. OK, there are some other “resources” to add to costs, e.g. buying laptops, renting time in the cloud, and so on but these are often themselves a function of the number of people you have. Such costs are a small increment on top of the wage bill.

Now the number of people you have is fixed in the short term, or to be more accurate: it is upward fixed. People can get ill or resign at anytime but adding people takes time. So in the short run one can consider that dimension fixed.

Time is also fixed. There is usually a business deadline, or rather a business benefit which is time elastic so you have a date to aim for. And on agile teams there are sprint deadlines (two-weeks, two-weeks, two weeks). So a large part time is fixed.

The final side of the triangle is labelled features or functionality, but might be labelled “requirements”, “the what” or “what are we building” – I like to think of it as the demand side.

With me so far? – so far that should be uncontroversial.

Now the traditional Project Manager role, and to a lesser degree the newer Delivery Manager role, tend to regard the third side – the what side – as fixed. There is a thing to be delivered. It is a known thing. It has been decided on and the manager’s job is to get it delivered.

To this end Project Managers are trained to regard the “thing to be built” as a given, preferably fixed, thing. Their training centres on the other sides: cost and time. They are trained both in rationing these commodities and allocating them in an efficient way. When things go wrong these managers ask for more time (which means more money because the same people need paying) or more people (which both costs more and makes things worse because of Brook’s Law).

So to summarise: traditional Project Managers focus on “when” and the input variables: people/resources and money.

Can you guess what I’m going to say next?

Product Owners – plus Product Managers and Business Analysts – focus on the “what”. What do we need to build next? What has the most benefit? What should we be building for the future?

For Product Owners the time and people are fixed. (This is most obvious in an agile environment but is actually true everywhere sooner or later.)

The thing being built is negotiable, the desired outcome may be achieved by different routes, different technologies and different solutions – the different time and cost will be a consideration but outcome is the primary focus.

In other words: Product Owners are all about the what.

In order to operate in the what-space product owners need authority and legitimacy to flex what they are building. When they don’t have that they are reduced to backlog administrators simply ordering the backlog and feeding it to technical teams. That turns the role into a type of Project or Delivery Manager.

So if you need to tell a real Product Owner from all the other misinterpretations of the role ask:

• Does the product owner focus on what?
• Can the product owner discuss different solutions and approaches to achieve an outcome?
• Is the PO flexible about the backlog? (as opposed to slavishly trying to deliver it all)

Real product owners can answer Yes to all three.

(Notice I’m deliberately being careful in what I say about “Delivery Managers.” This role is still emerging and as such its wrong to generalise about it too much. In so much as a Delivery Manager brings management skills, communication and organization to an effort it can be a positive role. When a Delivery Manager is relabelling of the Project Manager role it can be damaging.)

Now that said, the fact that some organizations choose to define the “Product Owner” role as a role closer to “Project Manager” or “Delivery Manager” rather than a role closer to “Product Manager”, “Business Analyst” or (heaven forbid) business owner causes a lot of confusion.

Perhaps I’m wrong here, perhaps the “Product Owner” is a type of “delivery manager” but I think the majority of writers, thinkers and practitioners agree with me.

Even if you disagree with me I hope we can agree on one thing: because there are different interpretations and implementations of the role there is room for confusion; and that confusion makes it harder to fill the role and harder to be seen as a successful Product Owner.

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