The Objective of this Manifesto is to define guiding principles around the Customer-Supplier working environment with regards to working on Scrum projects. The assumptions made are:
- The environment is customer-supplier (i.e. an outsourced environment)
- The environment is distributed and may not be co-located
- The environment involves multiple vendors
Opening Statement
The Customers and Suppliers are integrated elements of a working environment in a project. The Customers and Suppliers will work together with a common goal and that is “Producing Value for the End Customer”. This manifesto supports the Manifesto for Agile Software Development Tenet “Customer Collaboration over Contract Negotiation”.
There are 12 principles which will support the Agile Value and are presented below in a format of Left over Right. The items on the left are valued more than the ones on the right.
The 12 principles
Risk Sharing over Risk Transfer
The Customer Management and Supplier Management should own the risk collectively to create a joint ownership
Featured Based Payments over Milestone Based
Payments are based on Business value i.e. payments are made when features are
completed or released or when Business Value is delivered)
Outcome Based Productivity over Utilization Based
Productivity should be measured in the Scrum Projects. However, the contract should propose productivity measures based on the business value generated vs the utilization of the resources
Team Based Ownership over Management Based
Commitments in a contract should be endorsed by the teams. The contracts should support the endorsement of teams for the work to be executed by the teams
One Team over Partnership
Culture of one team one vision will lead to a long-lasting relationship and create a win-win for the Customer and Supplier
Long Term Relationships over Fungible Contracts
Considering Profit, Stability and Business Value as 3 pillars for a Customer-Supplier relationship to provide business value, it is important to have long-term commitments that leads to more ownerships and alignment to the vision of the Customer
End to End Contracts over Horizontal Contracts
Contracts should be made based on Products/Feature Based Deliverables (Vertical Slice or end-to-end) over activity/skill-based based contract (Horizontal slice e.g. Development, Testing, Acceptance etc)
Customer Management mindset must facilitate cross-functional (Vertical Slice)
contracts.
Focus on Products over Activities
Focus on product delivery rather than on delivering activities.
Business KPI over Operational KPI (Key Performance Indicators)
Focus on Business KPI over Operational KPI will give opportunity to bring down the cost of correction thus increasing the value yielded by the organization.
Transparency over Bureaucracy
Transparent Culture between Customer and Supplier will facilitate collaboration and reduction in escalation and bureaucracy
Respond over React
Contracts Governance should enable alignment between customer and Supplier
Management so that potential escalations are responded at the earliest
Contingency in Scope over Contingency in Time and Cost
Contracts should enable high-priority changes to be incorporated even late in the delivery cycle without increasing the time and cost of the project
Authors:
| Amit Kulkarni | Gaurav Rastogi | Carlos Martin |
| Jeyaprakash Rajaram | Anand Sular Murugan | Subrahmaniam SRV |
Executive Sponsor: Madhur Kathuria
Released on: 2nd February 2016, Goa, India
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