{"id":14528,"date":"2020-08-21T12:00:00","date_gmt":"2020-08-21T17:00:00","guid":{"rendered":"https:\/\/blog.planview.com\/?p=14528"},"modified":"2022-09-26T13:16:05","modified_gmt":"2022-09-26T18:16:05","slug":"operational-vs-development-value-streams-whats-the-difference","status":"publish","type":"post","link":"https:\/\/blog.planview.com\/operational-vs-development-value-streams-whats-the-difference\/","title":{"rendered":"Operational vs. Development Value Streams: What\u2019s the Difference?"},"content":{"rendered":"\n<p><\/p>\n\n\n\n<div class=\"wp-block-media-text alignwide is-stacked-on-mobile\"><figure class=\"wp-block-media-text__media\"><img loading=\"lazy\" decoding=\"async\" width=\"800\" height=\"450\" src=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/08\/Value-Streams.gif\" alt=\"\" class=\"wp-image-14532 size-full\"\/><\/figure><div class=\"wp-block-media-text__content\">\n<div class=\"wp-block-cover is-light is-layout-flow wp-block-cover-is-layout-flow\"><span aria-hidden=\"true\" class=\"has-background-dim-100 wp-block-cover__gradient-background has-background-dim\"><\/span><div class=\"wp-block-cover__inner-container\"><\/div><\/div>\n<\/div><\/div>\n\n\n\n<p>For many organizations, Agile gains a foothold in a small set of teams that plainly demonstrate its potential. Excited by the results, <a rel=\"noreferrer noopener\" href=\"https:\/\/www.planview.com\/resources\/articles\/what-is-agile-program-management\/\" target=\"_blank\">leaders begin to focus on scaling Agile<\/a> \u2013 but soon discover that it requires some fundamental shifts. One of the most important components of Agile at scale is switching the way work gets done, from temporary, project-based teams to alignment around value streams. <\/p>\n\n\n\n<p>What are value streams, and how do they work? And what is the difference between operational vs. development value streams? Read on.<\/p>\n\n\n\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\/operational-vs-development-value-streams-whats-the-difference\/#What_is_a_value_stream\" >What is a value stream?<\/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\/operational-vs-development-value-streams-whats-the-difference\/#Aligning_around_value_Two_types_of_value_streams\" >Aligning around value: Two types of value streams<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/blog.planview.com\/operational-vs-development-value-streams-whats-the-difference\/#Focus_on_what_matters_customer_value\" >Focus on what matters: customer value<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\" id=\"h-what-is-a-value-stream\"><span class=\"ez-toc-section\" id=\"What_is_a_value_stream\"><\/span><strong>What is a value stream?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>A value stream is defined as an end-to-end business process and the associated steps an organization takes to deliver customer value. It can also be understood as a line of business that delivers value, typically a product or service, to a customer. In practice, this looks like a number of teams working together in teams of teams, also known as Agile Release Trains (ARTs), tribes, or flights, to manage, plan, and coordinate work together.<\/p>\n\n\n\n<p>Value streams differ from traditional project models in several ways:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>They are comprised of long-lived, cross-functional teams and teams of teams instead of temporary groups organized around a specific project.<\/li><li>Because the teams operate on an on-going basis, they are able practice continuous improvement. Temporary teams, on the other hand, are always starting from scratch, with little opportunity to improve performance and efficiency.<\/li><li>As the name suggests, value streams connect work back to the ultimate value that it delivers to the customer and\/or business. With traditional projects, the real value is often obscured by project-centric metrics like being on-time and on-budget.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-aligning-around-value-two-types-of-value-streams\"><span class=\"ez-toc-section\" id=\"Aligning_around_value_Two_types_of_value_streams\"><\/span><strong>Aligning around value: Two types of value streams<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Defining the precise value that your organization delivers, to whom, is the first step in any value stream initiative. This may be simple or trickier than you would expect. It\u2019s an important exercise to uplevel beyond project metrics and operational checkpoints to truly understand why your organization does what it does.<\/p>\n\n\n\n<p>When you have defined the value provided by the business, you can begin to construct your value streams. The exact composition of value streams will look different at different organizations. Most, however, fall into two categories: operational value streams and development value streams. Both result in the creation of value for a customer (internal and\/or external) and can come in the form of products, services, or a combination of the two.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-operational-value-streams-correspond-directly-to-a-specific-value-driver\"><em>Operational value streams<\/em> correspond directly to a specific value driver.<\/h3>\n\n\n\n<p> They:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Represent the flow of business and the nature of the business<\/li><li>Deliver end-customer value indefinitely as long as an organization continues to offer a given product or service<\/li><li>Are supported by development value streams<\/li><li>Use <a href=\"https:\/\/blog.planview.com\/okrs-objectives-and-key-results\">OKRs (objectives and key results) to set, communicate, and monitor goals<\/a><\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\" id=\"h-development-value-streams-support-operational-value-streams\"><em>Development value streams<\/em> support operational value streams. <\/h3>\n\n\n\n<p>They serve as the subsystems that ensure the operational value stream can operate successfully.<\/p>\n\n\n\n<p>Development value streams:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Build and operate the systems and capabilities that enable operational value<\/li><li>Can be customer-facing systems or internally-facing systems<\/li><li>Improve systems and capabilities that the operational value stream needs to function<\/li><\/ul>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"878\" height=\"379\" src=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/08\/Op-v-dv-2.png\" alt=\"A screenshot of a cell phone\n\nDescription automatically generated\" class=\"wp-image-14531\" srcset=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/08\/Op-v-dv-2.png 878w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/08\/Op-v-dv-2-300x129.png 300w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/08\/Op-v-dv-2-768x332.png 768w\" sizes=\"auto, (max-width: 878px) 100vw, 878px\" \/><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-focus-on-what-matters-customer-value\"><span class=\"ez-toc-section\" id=\"Focus_on_what_matters_customer_value\"><\/span><strong>Focus on what matters: customer value<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Value streams offer a construct for businesses to organize and operate around what really matters: the value they deliver to customers. While the process may initially seem complex, it often results in much greater clarity into the relationships between the work that gets done and the value that it provides. That insight, in turn, opens the door to the many benefits of Agile, from efficiency to productivity and beyond.<\/p>\n\n\n\n<p>For a deeper dive into the two types of value steams and for a specific example to help illustrate how operational and development value streams work together, I invite you to download the eBook: \u201c<a rel=\"noreferrer noopener\" href=\"https:\/\/info.planview.com\/defining-value-streams-_ebook_lad_en_reg.html\" target=\"_blank\">The 2 Types of Value Streams: Aligning the Organization Around Value<\/a>\u201d or watch the on-demand webinar \u201c<a rel=\"noreferrer noopener\" href=\"https:\/\/info.planview.com\/how-to-identify-your-value-streams-_webinar_lad_en_reg.html\" target=\"_blank\">How to Identify Your Value Streams<\/a>\u201d with Jon Terry, Chief Evangelist Lean-Agile Strategy at Planview, and Siraj Sirajuddin, Co-Founder of Temenos + Agility. They will &nbsp;teach you why identifying your value streams is a critical Agile transformation.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>For many organizations, Agile gains a foothold in a small set of teams that plainly demonstrate its potential. Excited by the results, leaders begin to focus on scaling Agile \u2013 but soon discover that it requires some fundamental shifts. One of the most important components of Agile at scale is switching the way work gets&#8230;<\/p>\n","protected":false},"author":132,"featured_media":0,"comment_status":"closed","ping_status":"open","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":[521,7548,9543],"tags":[],"class_list":["post-14528","post","type-post","status-publish","format-standard","hentry","category-lean-agile","category-lean-portfolio-management","category-value-stream-management"],"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>Operational vs. Development Value Streams: What\u2019s the Difference? - Planview Blog<\/title>\n<meta name=\"description\" content=\"Learn the difference between Development Value Stream and Operational value stream. Get access to a new eBook around the topic and on-demand webinar.\" \/>\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\/operational-vs-development-value-streams-whats-the-difference\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Operational vs. Development Value Streams: What\u2019s the Difference?\" \/>\n<meta property=\"og:description\" content=\"Learn the difference between Development Value Stream and Operational value stream. 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