Now that I've read the comic book, here a few thougts: Part I of ... Now that I have understood the benefits of Real Options*, how to apply it for everyday...
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Model
modelpractic...
Jun 7, 2010 8:59 am
Kanban (TDD/ BDD) Think Real Options are a great way to explain to your boss that interrupting your work with `this and that' the whole day is not for free. So...
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Eric Willeke
erwilleke
Jun 7, 2010 2:23 pm
Looks like an early send, sorry... We reduced liquidity in exchange for a higher performing team. Keep in mind that some kanban implementations maintain these...
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Eric Willeke
erwilleke
Jun 7, 2010 2:36 pm
We reduced liquidity in exchange for a higher performing team. Keep in mind that some kanban implementations maintain these interruption activities as a class...
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Model
modelpractic...
Jun 8, 2010 5:05 am
... yes exactly, that's what I'm looking for. now 'liquidity in exchange' translates to volatility - in financial terms, but what is 'higher performing team'?...
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Model
modelpractic...
Jun 8, 2010 9:28 pm
some more remarks: 1. I strongly agree that in the coordination of the work of Analysts and Testers (and also Documenters) lies a large potential. But keep in...
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thierry henrio
thierry.henrio
Jun 9, 2010 9:04 pm
Hello Model ... Couldn't it be because 'high performing' is a team where 'peaks and valley' are leveled ? That is not [0, 0, 0, 160], but [40, 40, 40, 40] ...
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Eric Willeke
erwilleke
Jun 9, 2010 9:45 pm
If you look at CD's, you could see something (with entirely made-up interest rates) where you get a 5% yield on a 7-day CD, but you get a 9% yield on a 1-year...
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Robin Dymond
rdymond1
Jun 10, 2010 12:02 am
Why does multi-tasking have to be described in financial terms?? This sounds like waste. Describe multi-tasking for what it is. Have your boss do Clark Ching's...
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Eric Willeke
erwilleke
Jun 10, 2010 4:50 am
Multi-tasking is a very obvious form of excessive WIP, and is definitely a very early target. However, there are quite a few other sources that are quite often...
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Model
modelpractic...
Jun 10, 2010 11:30 am
... yeah, now for the price of what - that's what I'm puzzeling about. No idea yet. ¦= PS only investment advisors can reduce risk for free ;o) (risk = option...
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Eric Willeke
erwilleke
Jun 10, 2010 3:36 pm
Liquidity in finance is the ability to convert to cash insturments, allowing quick exercising of options as they arise. Liquidity in software is the ability of...
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Robin Dymond
rdymond1
Jun 10, 2010 3:56 pm
On the topic of specialization: 1. Check out the good article on generalizing specialists http://www.agilemodeling.com/essays/generalizingSpecialists.htm by...
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Eric Willeke
erwilleke
Jun 10, 2010 5:28 pm
Wow - my apology - I was about to call you out for being off topic and here I was the one that had lost the original post! Sorry, Robin!...
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Model
modelpractic...
Jun 11, 2010 6:52 am
... I totally agree on this, but It's not new at all. It's simply a well founded education. So call it T-Shaped, Spegeneralized, whatever, as long as it...
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Model
modelpractic...
Jun 14, 2010 9:10 am
as far as my understanding goes, the volatility of the underlying corresponds to the varying tasks the developer has to complete. So reducing the volatility...
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Model
modelpractic...
Jun 22, 2010 9:47 pm
I like the make/ break the model approach, since it brings the most valuable technique of Analysis to the point: the swift application of abstraction and...
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Matt Wynne
mattwynneatf...
Jul 6, 2010 4:04 pm
I just stumbled across this article from 2005: http://www.ibm.com/developerworks/rational/library/nov05/mckenna/index.html I've only skimmed it but it looks...
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David Anderson
netherby_uk
Sep 1, 2010 4:08 am
Real Options has been kicking around the Value-based Software Engineering (academic) community for at least 5 years probably a whole decade. The book Value...
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Chris
chrisjmatts1968
Nov 19, 2010 2:10 pm
Dear All For the past few years I've believed that an option cannot have a negative value. It has been suggested that it is possible for an option to have a...
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David Peterson
dpeterson72
Nov 19, 2010 2:32 pm
If you factor in the carrying costs (physically and/or mentally), many options have negative value, don't they? I'm not going to carry a bottle of water that...
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Nick de Voil
nickdevoil
Nov 19, 2010 2:44 pm
Surely if an option is out of the money, it won't be exercised so its value is exactly 0. That asymmetric payoff is fundamental to what an option is. I think...
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Olav Maassen
olavmaassen
Nov 19, 2010 2:53 pm
Hi Nick, A real option can certainly have a negative value. When we are talking about financial options you are right, as soon as the option is out of the...
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David Peterson
dpeterson72
Nov 19, 2010 3:24 pm
I don't get this. If the option is out of the money, the value isn't zero, but negative whatever the option cost to buy / maintain / check. Why are we ignoring...
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David Peterson
dpeterson72
Nov 19, 2010 3:41 pm
I think the options are only negative compared to your current situation, but at the time you exercise the options you are in a different place. If they're...
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Nick de Voil
nickdevoil
Nov 19, 2010 3:43 pm
Hi Olav I don't know much about real options - I'm here to learn! - but to my mind, coming from a financial background, in this situation the two possibilities...
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Olav Maassen
olavmaassen
Nov 19, 2010 4:53 pm
I'm rephrasing what you are saying in my own words to see if I understand you correctly. Please confirm or correct me if my understanding is wrong. The values...
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David Peterson
dpeterson72
Nov 19, 2010 5:09 pm
Yes, that sounds about right. An option is the ability to choose between possibilities. The value of the possibilities (hence the value of the option) depends...
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Anthony Panozzo
panozzaj
Nov 20, 2010 12:02 am
For the sake of argument, would the following scenarios be equivalent? 1) It's Friday at the end of the day. Your boss tells you starting Monday, you must...
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Josephine Gemson
josephine4685
Nov 20, 2010 8:41 am
Hi, In finance, options are mainly in the form of calls and puts which are financial options which give the holder a choice of whether to do something (buy /...
