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Agile Development @ SAP

Christian Schmidkonz

[email protected]

Entwicklertag 2006

Development Challenges @ SAP Product Innovation Lifecycle Introduction Agile Pilot Questions

Development Challenges @ SAP Product Innovation Lifecycle Introduction Agile Pilot Questions

SAP Corporate Profile ­ Facts & Figures Development Locations

Canada USA

Germany Hungary Bulgaria France Israel

China Japan

India

SAP AG*)

35.000+ employees Presence in 50+ countries 32.000 customers 100.000+ installations 12 million users in 120+ countries 8,513 billion revenue in 2005

*) data as of March 2006

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 4

Products/Solutions

150+ Products and 40+ Solutions More than 25 Industry Solutions thereof 30+ languages supported Approx. 500 developers work in parallel on a new release of a solution

Challenges of Developing Complete Software Solutions 6 Key Questions:

How to develop complete solutions that can be adapted flexibly to customer and market requirements? How to reach a favorable TCO for customers? (TCO = Total Cost of Ownership) How to ensure that development both finishes in time and meets market requirements? How to foster a high level of reuse and industrialization of software development? How to realize distributed development at a number of international locations? Given the context and challenges above, how to maintain a high level of quality?

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 5

Development Challenges @ SAP Product Innovation Lifecycle Introduction Agile Pilot Questions

Product Innovation Lifecycle (PIL): Overview

Portfolio Management Phases Solution Management

Invent

Define

Develop

Deploy

Optimize

Market Strategy Processes Industry Strategy Application Strategy Opportunity Prioritization

Requirements Definition Architecture Definition High Level Planning

Detailed Planning Detailed Design Implementation & Unit Test Integration & Acceptance Test Assembly & Validation

Ramp-up Planning Knowledge Transfer Phased Ramp-up

Correction & Change Staged Release Transition Product Transition

Phase Transitions

Qualified Opportunities

Development Contract

SAPvalidated Product

Marketvalidated Product

Market accepted Product

Decision to Define

Decision to Develop

Decision to Deploy

Decision to Volume Ship

Decision to Re-Invent

Management of Internal Controls

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 7

Product Innovation Lifecycle (PIL): Overview

Portfolio Management Phases Solution Management

Invent

Define

Develop

Deploy

Optimize

Market Strategy Processes Industry Strategy Application Strategy Opportunity Prioritization

Requirements Definition Architecture Definition High Level Planning

Detailed Planning Detailed Design Implementation & Unit Test Integration & Acceptance Test Assembly & Validation

Ramp-up Planning Knowledge Transfer Phased Ramp-up

Correction & Change Staged Release Transition Product Transition

Phase Transitions

Qualified Opportunities

Development Contract

SAPvalidated Product

Marketvalidated Product

Market accepted Product

Decision to Define

Decision to Develop

Decision to Deploy

Decision to Volume Ship

Decision to Re-Invent

Management of Internal Controls

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 8

How Agile & PIL Match

Invent

Define

Develop

Deploy

Optimize

Classical ­ Phase-Driven Project Execution

Scrum ­ Agile Development

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 9

Development Challenges @ SAP Product Innovation Lifecycle Introduction Agile Pilot Questions

Agile Pilot "Sprint I" Scrum @ SAP Results Next Steps ­ "Sprint II"

Agile Pilot ­ "Sprint I"

Schedule

October 2005 to March 2006

Scrum Pilots

Max. 2 locations / time zones Teams with up to max. 12 persons No high-risk projects Committed by management AND team

Key Targets

Evaluate how to do Scrum @ SAP First process draft Support min. 8 projects Min. 3 different locations Min. 3 different development areas Provide an own SAP Scrum training Build up SAP Scrum knowledge

Scrum Pilot Rules

Do Scrum as proposed by methodology for at least 3 Sprints Stick to Scrum roles All team members must have participated in the Scrum training beforehand All SAP Standards are still valid (e.g. legal, reporting ..)

Success Measures

Project business goals are met in time Team members love to do it! Management is satisfied with results

Set-up

SAP Coach External trainers Tools: VersionOne (Pilot) / Excel

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 12

Agile Pilot ­ "Sprint I" Scrum Project Locations

Montreal USA

Walldorf Budapest France Sofia Ra`anna Bangalore

China Japan

5 Dev. areas: Netweaver ERP Industry Solutions SBS Suite Optimization

6 single-site projects: Walldorf, Ra`anna, Budapest

11 multi-site projects: Walldorf-Budapest, Walldorf-Bangalore, 3 ,,Scrum project types" Walldorf-Sofia, Evaluation Walldorf-Montreal, Composites Bangalore-Montreal ,,Standard"

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 13

Agile Pilot ­ Scrum @ SAP

Approved Business Case

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 14

Agile Pilot ­ Scrum @ SAP Enhanced SAP Scrum best practices

Management and team commitments for Scrum Approved business case Architecture, high-level specification, UI mock-up as precondition Product Owner One per Team Deals with stakeholders Technology Coach (some) Combined role Scrum Master/Product Owner (some) Scrum Master is responsible for Management Reporting SAP Standard: Product Standards, Risk Management, Budget, Reporting, Quality & Test Specification, design, docu and test are done incrementally (Sprint) Product Backlog: Requirements, test, docu./docs (Specifiacation, Design), Product Standards Sprint Backlog: Tasks, test, documentation, Product Standards

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 15

Agile Pilot ­ Results Project Majority

Majority of all agile projects @ SAP produce excellent results from the very first month onwards

Project Minority

Minority of all agile projects @ SAP produce good results, but need a few months to get to optimal performance

Rare Exceptions

Rare exceptions of all agile projects @ SAP had a different kind of happy ending...

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 16

Agile Pilot ­ Results

Schedule

October 2005 to March 2006

Scrum Pilots

Key Targets

E Evaluate how to do Scrum @ SAP (bigger projects in Sprint II) E First process draft E Support min. 8 projects (17) E Min. 3 different locations (5) E Min. 3 different development areas (5) E Provide an own SAP Scrum training E Build up own Scrum knowledge

Success Measures

E Max. 2 locations / time zones E Teams with up to max. 12 persons E No high-risk projects E Commited by management and team

Scrum Pilot Rules

E Do Scrum as proposed by Sprints methodology for at least 3 E Stick to Scrum roles E All team members must have participated in the Scrum training E

beforehand All SAP Standards are still valid SAP Coach External trainers Tools: VersionOne / Excel

Set-up

E Project business goals are met in time E Team Members love it! E Management is satisfied with results

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 17

Agile Pilot ­ Results SAP Scrum Benefits

High transparency on project status Sprint Burndown, Sprint Review / Demo Topics to be discussed / improved became visible very early Excellent communication of all actors in the process One Product Owner per team Improved team building and collective project responsibility Enhanced team creativity for development Improved productivity Team decides on what to do when during Sprint leads to an accelerated development High team motivation - teams love it and adopt fast and early Some teams finished Sprints earlier Most teams delivered very quickly more than was expected

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 18

Example: Scenario Tests Are Typically Late in Development

Goal of Development

Scenario 2 Scenario 1

Component A

Component B

Component C

Component D

Status at end of Development

Component A

Component B

Component C

Component D

Status at end of Correction

Scenario 2 Scenario 1

Component A

Component B

Component C

Component D

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 19

Scrum: Early Scenario Tests Are Easier and More Natural 1/2

Goal of Development

Scenario 2 Scenario 1

Component A

Component B

Component C

Component D

Status at end of Sprint 1

Scenario 1 Component A Component B Component C Component D

Status at end of Sprint 2

Scenario 1 Scenario 2 Component A Component B Component C Component D

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 20

Scrum: Early Scenario Tests Are Easier and More Natural 2/2

Status at end of Sprint 3

Scenario 1 Scenario 2 Component A Component B Component C Component D

Status at end of Development

Scenario 2 Scenario 1

Component A

Component B

Component C

Component D

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 21

Agile Pilot ­ Results SAP Scrum Benefits

Sprint Planning Excellent team building Improved and realistic effort estimations (by team) Improved and accelerated common knowledge on what to develop Excellent communication (within team and with Product Owner) Early identification and clarification of product-related topics Improved Planning-for-Development activities (by team) Daily Scrum Excellent team building (cross-location) Improved team communication (cross-location) Common understanding on project status Sprint Review Transparency on project status Early key decisions (product-related topics, technology) Team building Process improvements (Team only)

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 22

Agile Pilot ­ Results SAP Scrum Learnings

SAP-specific adoptions for Scrum Common Scrum ,,message" Product Owner training Team experience Strong key roles (Product Owner / Scrum Master) Adoption to Agile takes time ... Some keep falling back to old habits SAP Scrum Coach PIL integration Coaching, Coaching, Coaching...

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 23

Agile Pilot ­ Next Steps "Sprint II" Schedule

April 2006 to October 2006

Key Targets

Experience with bigger projects Final integration into PIL Enhancement of coaching expertise Local experts eXtreme Programming 20+ teams already trained since April 2006 ...

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 24

Development Challenges @ SAP Product Innovation Lifecycle - Introduction Agile Pilot Questions

THANK YOU FOR YOUR ATTENTION !

QUESTIONS ­ SUGGESTIONS ­ DISCUSSION

Christian Schmidkonz

[email protected]

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 26

Copyright 2006 SAP AG. All Rights Reserved

No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG. The information contained herein may be changed without prior notice. Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors. Microsoft®, WINDOWS®, NT®, EXCEL®, Word®, PowerPoint® and SQL Server® are registered trademarks of Microsoft Corporation. IBM®, DB2®, DB2 Universal Database, OS/2®, Parallel Sysplex®, MVS/ESA, AIX®, S/390®, AS/400®, OS/390®, OS/400®, iSeries, pSeries, xSeries, zSeries, z/OS, AFP, Intelligent Miner, WebSphere®, Netfinity®, Tivoli®, Informix and Informix® Dynamic ServerTM are trademarks of IBM Corporation in USA and/or other countries. ORACLE® is a registered trademark of ORACLE Corporation. UNIX®, X/Open®, OSF/1®, and Motif® are registered trademarks of the Open Group. Citrix®, the Citrix logo, ICA®, Program Neighborhood®, MetaFrame®, WinFrame®, VideoFrame®, MultiWin® and other Citrix product names referenced herein are trademarks of Citrix Systems, Inc. HTML, DHTML, XML, XHTML are trademarks or registered trademarks of W3C®, World Wide Web Consortium, Massachusetts Institute of Technology. JAVA® is a registered trademark of Sun Microsystems, Inc. JAVASCRIPT® is a registered trademark of Sun Microsystems, Inc., used under license for technology invented and implemented by Netscape. MarketSet and Enterprise Buyer are jointly owned trademarks of SAP AG and Commerce One. SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned are the trademarks of their respective companies. Data contained in this document serves information purposes only. National product specifications may vary.

© SAP AG 2006, Entwicklertag 20066 / Agile Development @ SAP / C.Schmidkonz/ 27

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