{"id":20988,"date":"2019-10-18T10:07:50","date_gmt":"2019-10-18T15:07:50","guid":{"rendered":"https:\/\/blog.planview.com\/the-flow-framework-treating-your-software-features-as-business-assets\/"},"modified":"2019-10-18T10:07:50","modified_gmt":"2019-10-18T15:07:50","slug":"the-flow-framework-treating-your-software-features-as-business-assets","status":"publish","type":"post","link":"https:\/\/blog.planview.com\/the-flow-framework-treating-your-software-features-as-business-assets\/","title":{"rendered":"The Flow Framework\u2122 \u2013 Treating your software features as business assets"},"content":{"rendered":"<figure>\n<div class=\"feature-image\"><img decoding=\"async\" class=\"aligncenter size-full\" src=\"https:\/\/media.planview.com\/tasktop_blog\/wp-content\/uploads\/2019\/10\/tasktop-flow-framework-features-850x550.png\" alt=\"The Flow Framework\u2122 \u2013 Treating your software features as business assets\"><\/div>\n<\/figure>\n<p><span style=\"font-weight: 400;\">If you who haven&#x2019;t read <\/span><a href=\"http:\/\/projecttoproduct.org\/\"><i><span style=\"font-weight: 400;\">Project to Product<\/span><\/i> <\/a>yet <span style=\"font-weight: 400;\">or any of my previous posts on the <\/span><a href=\"\/trevor-bruner\"><span style=\"font-weight: 400;\">four key flow items<\/span><\/a><span style=\"font-weight: 400;\"> from <\/span><a href=\"https:\/\/flowframework.org\/\"><span style=\"font-weight: 400;\">the Flow Framework&#x2122;<\/span><\/a><span style=\"font-weight: 400;\">, let me give you a bit of background. <\/span><span style=\"font-weight: 400;\">There are <\/span><b>four flow items<\/b><span style=\"font-weight: 400;\"> that provide value to the end-user of your software product: <\/span><b>features<\/b><span style=\"font-weight: 400;\"> (new business value), <\/span><b>defects<\/b><span style=\"font-weight: 400;\"> (quality),<\/span><b> technical debt<\/b><span style=\"font-weight: 400;\"> (removal of impediments to future delivery) and <\/span><b>risk<\/b><span style=\"font-weight: 400;\"> (security, governance, compliance).<\/span><span style=\"font-weight: 400;\">&#xA0;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Dr. Mik Kersten&#x2014;the author of the Amazon best-selling book and creator of the pioneering framework&#x2014;goes into incredible detail explaining this concept. The framework, he expounds, can be used to gain real-time business insights into the product development process to improve the flow of business value across the IT organization. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">While scrutinizing Mik&#x2019;s assertions, however, I realized these flow items have very similar concepts to the world of financial accounting. That if great insights can be gleaned from a company&#x2019;s financial statements, the same could be true for product development teams.&#xA0;<\/span><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/blog.planview.com\/the-flow-framework-treating-your-software-features-as-business-assets\/#Features_as_business_assets\" >Features as business assets<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/blog.planview.com\/the-flow-framework-treating-your-software-features-as-business-assets\/#The_Flow_Framework_a_year_later_%E2%80%93_DevOps_Enterprise_Summit_2019_Las_Vegas\" >The Flow Framework a year later &#x2013; DevOps Enterprise Summit 2019, Las Vegas<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"Features_as_business_assets\"><\/span>Features as business assets<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">I&#x2019;m not going to go into <\/span><i><span style=\"font-weight: 400;\">why<\/span><\/i><span style=\"font-weight: 400;\"> we build <strong>features<\/strong>; it&#x2019;s self-evident why it&#x2019;s important to continue to provide customer-facing value. What I do want to go into is how to relate features to entries on a balance sheet.&#xA0;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">I posit that the relationship between features and a product is analogous to revenue-generating assets in a company. They are long-lived, tangible things that generate revenue. Often they are also the most expensive items purchased, but their reward is that customers pay for them and as such, they generate real direct value to the company.&#xA0;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It&#x2019;s unclear to me at this time whether features (like real assets) depreciate over time or if they retain their value indefinitely. A killer feature that serves as a competitive advantage today will eventually turn into a table-stakes feature that&#x2019;s simply expected by customers. That said, the feature is still valuable to customers and to the business.&#xA0;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Features are somewhat different than the other flow items in that they generate positive value to the company. For the most part, the other three flow items reduce the likelihood of negative value:&#xA0;<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Fixing a <\/span><b>defect<\/b><span style=\"font-weight: 400;\"> doesn&#x2019;t explicitly bring in new revenue per se. It does, however, correlate to product quality, a smooth customer experience and protects the integrity of the brand. Nail these last three and customer retention rates will increase to lock-in future revenue for stronger financial planning.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Allocating more resources to <\/span><b>risk<\/b><span style=\"font-weight: 400;\"> work isn&#x2019;t necessarily going to generate more sales, but it reduces the chance of a security breach leading to a loss of customers and potential legal action.&#xA0;<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">Shoring up <\/span><b>technical debt<\/b><span style=\"font-weight: 400;\"> isn&#x2019;t going to improve the company&#x2019;s bottom line <\/span><i><span style=\"font-weight: 400;\">this<\/span><\/i><span style=\"font-weight: 400;\"> quarter, but will make it easier to generate value <\/span><i><span style=\"font-weight: 400;\">next <\/span><\/i><span style=\"font-weight: 400;\">quarter.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">While all the flow items provide value to you and your customers, <\/span>features <span style=\"font-weight: 400;\">are typically seen as more positive than other flow items. I believe this is why companies often find themselves caught in a feature death spiral.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Since features are so often prioritized as inherently more important than the other flow items, companies can focus too much on the short-term gains of pumping out features instead of taking a holistic view of their flow distribution (a measure to determine if you&#x2019;re prioritizing work that is creating business value). For more on flow metrics, check out my colleague Dominica DeGrandis&#x2019; article for Dzone &#x2018;<a href=\"https:\/\/dzone.com\/articles\/flow-metrics-software-delivery-metrics-for-busines\">Flow Metrics: software delivery metrics for business leaders<\/a>&#x2018;.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Likewise, spending all your engineering resources to purchase features without paying down debt is analogous to cutting down the fruit tree to get the fruit faster. Yes, you get more fruit today, but tomorrow, you&#x2019;ll have nothing.&#xA0;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Next time I&#x2019;ll explore how these all fit together in a Product Balance Sheet and Product Income Statement.&#xA0;<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"The_Flow_Framework_a_year_later_%E2%80%93_DevOps_Enterprise_Summit_2019_Las_Vegas\"><\/span>The Flow Framework a year later &#x2013; DevOps Enterprise Summit 2019, Las Vegas<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Find out what have we learned over the past 12 months working at the vanguard of the project to product movement and by attending one of our three sessions at <a href=\"https:\/\/events.itrevolution.com\/us\/\">DOES 2019<\/a>, <\/span>where we&#x2019;ll also be exhibiting (booth 403).<\/p>\n<p><b>Monday, October 28 | 11:25 &#x2013; 11:55 | Chelsea Ballroom<\/b><\/p>\n<p><b>Shift Happens: Do You Have the Right Team for Managing Work by Product? &#x2013; <\/b><b>Dominica DeGrandis (Principal Flow Advisor, Tasktop)<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Do new ways of working have you wondering how to structure your IT teams? As more organizations start managing work by product, some long-standing roles will become less important &#x2014; and others will become mission-critical. In this talk, you&#x2019;ll learn which roles are at risk and three new roles to consider for your IT organization. You&#x2019;ll also learn a useful tool that helps you hire for these new roles &#x2014; by starting with your own people.<\/span><\/p>\n<p><b>Tuesday, October 29 | 2:35pm &#x2013; 3:05pm | Mont-Royal 1<\/b><\/p>\n<p><b>Using Flow Metrics to Drive an Integrated Toolchain for Service Delivery, Agile, DevOps and PPM &#x2013; Nicole Bryan (VP, Product Development) and Jeff Zahorchak <\/b><b>Manager, Enterprise Applications, Select Medical<\/b><\/p>\n<p><span style=\"font-weight: 400;\">As an IT professional, prioritizing demand while delivering exemplary customer service is always the expectation. However, completing project work, fulfilling customer requests and mitigating service interruptions while making sure that leadership is informed, and nothing slips through the cracks can be daunting. While IT teams are measuring improvements in process, productivity, quality, cost, revenue, and adherence to standards &#x2013; they still can&#x2019;t identify the rate of value delivery as correlated to desired business outcomes. During this session, attendees will learn about Select Medical&#x2019;s journey to implement a fully automated, integrated toolchain for Service Delivery, Agile, DevOps and PPM, and how Flow Metrics are allowing for continuous optimization in the pursuit of achieving greater value to the organization, faster.<\/span><\/p>\n<p><b>Wednesday, October 30 | 11:10am &#x2013; 11:40am | Chelsea Ballroom<\/b><\/p>\n<p><b>Project To Product: Beyond the Turning Point &#x2013; Dr. Mik Kersten (CEO &amp; Founder, Tasktop)<\/b><span style=\"font-weight: 400;\">&#xA0;<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In many enterprises, Agile and DevOps transformations are starting to get board-level visibility as the need to become a software innovator becomes critical to company survival and success. But how many of these transformations are on track in terms of producing the results that the business is expecting? How many of these organizations are tracking the results of these transformations, rather than just the activities, such as training and tool deployments? The fundamental problem is that the way these transformations are structured has a very different meaning to the technology side than it does to the business. Key concepts that should be shared by both sides, such as technical debt, are not part of the common language. It is these disconnects that cause large-scale transformations to fall off the rails.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In this talk, Dr. Kersten will present the lessons and flow diagnostics learned from the past year of organizations&#x2019; shifts from project to product. He will then present predictions and prescriptions to help our organizations and careers thrive beyond the Turning Point.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Click on the front cover below to grab a copy of <\/span><a style=\"font-size: 1.125rem;\" href=\"http:\/\/projecttoproduct.org\/\"><i>Project to Product<\/i><\/a> <span style=\"font-weight: 400;\">to see how the Flow Framework can help you better manage how business value flows across your software delivery value stream:<\/span><\/p>\n<p><a href=\"https:\/\/www.amazon.ca\/Project-Product-Survive-Disruption-Framework\/dp\/1942788398\/ref=asc_df_1942788398\/?tag=googleshopc0c-20&amp;linkCode=df0&amp;hvadid=292998652735&amp;hvpos=1o1&amp;hvnetw=g&amp;hvrand=17484829716514504727&amp;hvpone=&amp;hvptwo=&amp;hvqmt=&amp;hvdev=c&amp;hvdvcmdl=&amp;hvlocint=&amp;hvlocphy=9001551&amp;hvtargid=pla-561298050842&amp;psc=1\"><img class=\"lazyload\" alt height=\"283\" data-src=\"https:\/\/media.planview.com\/tasktop_blog\/wp-content\/uploads\/2019\/08\/porject-to-product.jpg\"><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you who haven&#x2019;t read Project to Product yet or any of my previous posts on the four key flow items from the Flow Framework&#x2122;, let me give you a bit of background. There are four flow items that provide value to the end-user of your software product: features (new business value), defects (quality), technical&#8230;<\/p>\n","protected":false},"author":228,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_editorskit_title_hidden":false,"_editorskit_reading_time":0,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","footnotes":""},"categories":[9544],"tags":[],"class_list":["post-20988","post","type-post","status-publish","format-standard","hentry","category-project-to-product-shift"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.4) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>The Flow Framework\u2122 - Treating your software features as business assets | Tasktop Blog<\/title>\n<meta name=\"description\" content=\"How does software delivery work on features relate to entries on a company&#039;s balance sheet?\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/blog.planview.com\/the-flow-framework-treating-your-software-features-as-business-assets\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Flow Framework\u2122 \u2013 Treating your software features as business assets\" \/>\n<meta property=\"og:description\" content=\"How does software delivery work on features relate to entries on a company&#039;s balance sheet?\" \/>\n<meta property=\"og:url\" content=\"https:\/\/blog.planview.com\/the-flow-framework-treating-your-software-features-as-business-assets\/\" \/>\n<meta property=\"og:site_name\" content=\"Planview Blog\" \/>\n<meta property=\"article:publisher\" content=\"http:\/\/www.facebook.com\/pages\/Planview-Inc\/89422974772\" \/>\n<meta property=\"article:published_time\" content=\"2019-10-18T15:07:50+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/media.planview.com\/tasktop_blog\/wp-content\/uploads\/2019\/10\/tasktop-flow-framework-features-850x550.png\" \/>\n<meta name=\"author\" content=\"Trevor Bruner\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@Planview\" \/>\n<meta name=\"twitter:site\" content=\"@Planview\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Trevor Bruner\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"6 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/blog.planview.com\\\/the-flow-framework-treating-your-software-features-as-business-assets\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/blog.planview.com\\\/the-flow-framework-treating-your-software-features-as-business-assets\\\/\"},\"author\":{\"name\":\"Trevor Bruner\",\"@id\":\"https:\\\/\\\/blog.planview.com\\\/#\\\/schema\\\/person\\\/3369430e6c83599e46fe909d3eb1e3dd\"},\"headline\":\"The Flow Framework\u2122 \u2013 Treating your software features as business assets\",\"datePublished\":\"2019-10-18T15:07:50+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/blog.planview.com\\\/the-flow-framework-treating-your-software-features-as-business-assets\\\/\"},\"wordCount\":1214,\"publisher\":{\"@id\":\"https:\\\/\\\/blog.planview.com\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/blog.planview.com\\\/the-flow-framework-treating-your-software-features-as-business-assets\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/media.planview.com\\\/tasktop_blog\\\/wp-content\\\/uploads\\\/2019\\\/10\\\/tasktop-flow-framework-features-850x550.png\",\"articleSection\":[\"Project to Product Shift\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/blog.planview.com\\\/the-flow-framework-treating-your-software-features-as-business-assets\\\/\",\"url\":\"https:\\\/\\\/blog.planview.com\\\/the-flow-framework-treating-your-software-features-as-business-assets\\\/\",\"name\":\"The Flow Framework\u2122 - 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