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12:29 In <strong>Team</strong> WikiSpeed we had to try a different approach, and I have a<br />

software development background as do most of the people <strong>in</strong> this room. I<br />

was used to th<strong>in</strong>k<strong>in</strong>g I can’t design a whole solution at once, it was to big to<br />

even have <strong>in</strong> my head at once. I had to split it up <strong>in</strong>to pieces, modules.<br />

Object Oriented Programm<strong>in</strong>g says: first have a clear <strong>in</strong>terface, and then<br />

have classes, then you can change those classes, and you have hotswappable<br />

loosely-coupled modules. That’s exactly how we eng<strong>in</strong>eered the<br />

car. The car’s built <strong>in</strong> eight parts, or modules, and they switch <strong>in</strong>dependently.<br />

This means we can roll out the gasol<strong>in</strong>e eng<strong>in</strong>e and roll <strong>in</strong> an electric drive<br />

tra<strong>in</strong>, a bio-diesel drive tra<strong>in</strong>, a methanol or ethanol drive tra<strong>in</strong>, <strong>in</strong> about the<br />

time it takes to change a tire. This means we can change the entire car body<br />

from a convertible to a pick-up truck. This lets us change quickly, and this<br />

also gives a level of flexibility for our customers that they’ve never had <strong>in</strong> the<br />

automotive space before.<br />

13:29 The team works us<strong>in</strong>g agile, lean, scrum, kanban, XP, and what I’ll call<br />

XM, but its really just exactly the same processes, and we’ve taken the word<br />

“software” and changed it to “customer visible value”. Here we see the team<br />

do<strong>in</strong>g a swarm. They’ve just taken the car apart <strong>in</strong>to its eight pieces, and<br />

now they’re putt<strong>in</strong>g them back together. This picture was taken at the X-<br />

Prize. The X-Prize was a $10 million dollar prize purse, to see if it was even<br />

possible to build road-legal cares that were safe, that achieved over 100<br />

miles per gallon. Nobody knew if it could even happen. 136 cars entered<br />

from all over the world, and we tied for 10 th place <strong>in</strong> the ma<strong>in</strong>stream class.<br />

We didn’t w<strong>in</strong>. We didn’t get the $10 million prize. but we cam <strong>in</strong> ahead of<br />

over 100 other cars, <strong>in</strong>clud<strong>in</strong>g cars from companies like Tesla, MIT, and Tata<br />

motors <strong>in</strong> India. I th<strong>in</strong>k the only reason this was possible is because we used<br />

agile project management and agile delivery, and we had a modular car.<br />

14:33 When other teams were figur<strong>in</strong>g out their plann<strong>in</strong>g phase, say<strong>in</strong>g how much is this go<strong>in</strong>g to cost, how long is<br />

this go<strong>in</strong>g to take, what materials are we go<strong>in</strong>g to make it out of, who’s go<strong>in</strong>g to do it, who’s our team – we just built<br />

tests, test-driven development, say<strong>in</strong>g we need to pass the side impact test, we need to pass the offset frontal test,<br />

we need to achieve more than 100 miles per gallon on the EPA UDDS city driv<strong>in</strong>g cycle. And we had fail<strong>in</strong>g tests, and<br />

said all right what’s the fastest leanest th<strong>in</strong>g we can build that will pass this test, how about this test? And never<br />

asked ourselves how much cost will this be, where will we build it, what materials will we build it out of, who will do<br />

the work – <strong>in</strong>stead we just had clear tests to know when we were done, and iterated as rapidly as possible on those.<br />

And we had a Scrum master as a servant-leader. They are a process steward, but more importantly they’re there to<br />

do anyth<strong>in</strong>g they can do to accelerate the speed of the team. They’ll hand someone a screwdriver if they see they<br />

might need it, they’ll run and get coffee, they’ll run and get lemonade, they’ll change the lights, they’ll see if they can<br />

adjust the temperature. Anyth<strong>in</strong>g they can do to <strong>in</strong>crease the velocity, they susta<strong>in</strong>able velocity of the team, without<br />

be<strong>in</strong>g <strong>in</strong> their way. And they’re a process steward. But by the time a team has done 10 daily stand-ups they’re call<strong>in</strong>g<br />

for the daily stand-ups themselves. And it only takes then a very savvy coach, scrum master, who studied some team<br />

psychology to be able to add additional value.<br />

15:56 – This is what a vertical slice of a car looks like <strong>in</strong> our<br />

world. We had to have someth<strong>in</strong>g on the road quickly to know<br />

if we were on the right track, and so we could iterate. That<br />

meant, just like <strong>in</strong> software, where we’ll have the user<br />

<strong>in</strong>terface layer, the bus<strong>in</strong>ess layer, the data layer, our n-tier<br />

design if that’s how we’re do<strong>in</strong>’ it. We had to have a complete<br />

version of someth<strong>in</strong>g that’s road legal to beg<strong>in</strong> test<strong>in</strong>g. We<br />

were able to develop this <strong>in</strong> three months. When we compare<br />

that with the design and development cycles of traditional<br />

automotive manufactur<strong>in</strong>g the difference is two orders of<br />

magnitude <strong>in</strong> time.<br />

15:45 – Two years later we have this. I hope what you’re able<br />

to see is that these methods might not only apply <strong>in</strong> broader<br />

<strong>in</strong>dustry, but that they might be able to accelerate the pace of<br />

new product development extremely, and that they might<br />

even yield products that people might want to use. What I hop<br />

you guys are start<strong>in</strong>g to get out of this is that everyone <strong>in</strong> this<br />

room is now not just on the avant guard of the transformation<br />

of the software <strong>in</strong>dustry. We might be, everyone <strong>in</strong> this room,<br />

on the transformation of what hardware development<br />

manufactur<strong>in</strong>g, enterta<strong>in</strong>ment, the f<strong>in</strong>ancial sector, energy and<br />

oil, government – might be do<strong>in</strong>g. It’s because it’s predicated

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