Objective: learn how to apply "Real Options", a decision making technique that underlies Agile and Lean methods, through a game.
Contents:
Lean tells us to "delay decisions to the last responsible moment". Good advice, but what is the last responsible moment? Real Options tells us when to decide.
Real Options can explain the paradox of user stories: we can write better requirements with less information by postponing the writing of requirements so that we only work on the questions that really need to be answered.
Real Options makes the Lean principle of set-based concurrent engineering applicable to other domains: increase your chances of successful delivery by constantly evaluating your existing options and increasing your number of options.
Real Options - Bottled Common Sense
Real Options is a decision-making process for managing uncertainty and risk. It's a simple and powerful approach that helps us make better informed decisions by understanding and responding to the psychological effects uncertainty has on our behaviour, both as individuals and in groups.
This session is an introduction to Real Options and aims to give you the theory you need to put it into practice at work and at home.
A Real Option has:
- A value.
- An expiration date or condition.
- A cost for buying the option as well as exercising the option.
Real Options thinking means:
- You don't have to decide now, but you do know when you have to make a decision.
- You keep as many options open for as long as possible.
- You actively gather information to maximise your understanding of each option until the moment you have to decide.
- You only commit when you must or when you have a good reason to.
The Real Options Game: Real Options – The New Frontier*
Come join us and put Real Options theory into practice in an interstellar space adventure to maintain peace across the galaxy. This is a friendly and interactive session designed to maximise your understanding of Real Options.
* No aliens were harmed in the making of the game
Format and length: simulation game, 90 min
Audience and prerequisite knowledge: no previous knowledge required. Everybody can learn and benefit from Real Options.
Authors
· Pascal Van Cauwenberghe
· Portia Tung
History
· Tryout in London: Pascal's blog
· Agile North: Pascal's blog, Portia's blog and Agile North site
· XP Days France: Pascal's blog
· The handout with the summary of Real Options can be downloaded from http://www.agilecoach.net/Materials.html
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