5 Lean Principles for Software Development: How to Apply Them?

Lean Manufacturing is undoubtedly one of the most widely used methodologies by companies, regardless of their business sector. A methodology that generates productivity gains by reducing production time is always a great way to increase profits and improve service quality. Here, we'll learn more about the Lean methodology and principles, as well as its application to software development.

What are the 5 Lean principles?

The Lean Manufacturing methodology is based on 5 principles:

1 – Value:

Value is the opposite of price. While price simply represents the cost of the product, value is established based on a series of criteria that go beyond the product itself. Value represents all the processes the product undergoes until it reaches the consumer. Thus, the customer creates the value of the product when they choose how much they want to pay for it, as well as for the entire environment in which it is inserted. A good example is situations in which metonymy occurs, which is precisely when brands become better known than the products. The customer chooses to buy that product, even if they often pay a higher price, simply because of the credibility the brand represents.

2 – Value Stream:

The value stream is directly related to value. While value is related to the processes that determine the product's cost, the value stream is related to the mapping of these processes that add value to the product. Thus, the value stream encompasses the entire context/processes in which the product is involved until it is released for sale—that is, from production to marketing.

3 – Continuous Flow:

Continuous flow is one of the most important Lean principles. It encompasses the entire production concept, following every step of the product's production process. Within this principle, we find the constant pursuit of reducing steps, aiming for the most accurate and lean production possible, always avoiding waste, whether of raw materials or labor.

4 – Pull Production:

This principle directly impacts a company's working capital. Avoiding excess and producing according to demand is essential to avoid resource shortages and over-occupation of the organization's physical space. Pull production helps companies avoid compromising their working capital and leases. The company operates according to its sales pace, establishing consistency dictated by customers.

5 – Perfection:

The fifth principle of Lean represents the ultimate goal of all companies: achieving perfection in production methods. Perfection should be seen as a challenge and a long-term goal, as it can only be achieved through continuous improvement. By applying leaner methods, the company will present a scenario in which it displays its best productivity and profit, achieving perfection.

How can Lean principles be applied to software development?

Lean principles involve a lean work methodology. When applied to software development, we have a concept that emphasizes optimizing efficiency and minimizing waste in the software development process. According to this concept, efficiency can be applied and waste can be managed at all levels of the process, whether individual, within departments, in interdepartmental operations, and even in relationships with customers and suppliers. To apply the Lean methodology to software development, we list seven tips derived from the five principles:

1. Eliminate waste: Identify waste and develop a plan to eliminate it. Anything that doesn't add value to the product must be eliminated.
2. Build with quality: Techniques that ensure product quality must be incorporated into the process.
3. Expand learning: Knowledge acquired by one must be shared with everyone. This knowledge is acquired through reviews, sharing, and alignment meetings.
4. Defer commitment: Conduct tests and experiments before committing to irreversible decisions. Features and functionalities should be incorporated at the end of the project to avoid rework. The market is always subject to change.
5. Deliver fast: Products must be launched quickly; customer feedback will be a barometer for improvements. If the product is going to fail, it must be done quickly and serve as a learning experience.
6. Respect people: A healthy environment, with proactive communication and constant feedback tends to generate a productive and collaborative atmosphere.
7. Optimize: The process must be evaluated from beginning to end, with the goal of making the flow as efficient as possible.

The main objective of Lean principles in the area of Information Technology (IT) is to reduce process time and make them better, implementing innovation and automation within the company's culture.