December 9, 2021

Value Stream Management Report 2021 Announcement

New research finds a growing correlation between the use of value stream management (VSM) and improved digital transformation initiatives. Sponsored by Broadcom and conducted by Dimensional Research, the survey of more than 500 executives, IT, and business leaders found 42% are currently using value stream management practices today, and that is expected to grow to 70% in the next two years. Nearly all respondents believe the benefits of VSM will positively impact their business.

Value stream management enables businesses to focus on innovation

As enterprise leaders look to respond to their organizations’ urgent transformation objectives, VSM is emerging as a key strategy. It provides the data transparency and overall management to address these issues.

According to the survey, 85% of respondents currently use value streams today. The data confirms those companies experience numerous benefits which directly support their product development and broader digital transformation initiatives, including:

faster delivery of solutions (56%)
improved data-driven decision making (55%)
increased transparency (54%)

“VSM optimizes processes and creates alignment for all the teams included in the entire product lifecycle from concept to customer value,” said Laureen Knudsen, Chief Transformation Officer, Broadcom. “Through optimization and alignment, VSM improves business outcomes in all areas of an organization. And judging by the research findings, business leaders are catching on.”

Digital transformation highlights development challenges

The survey found enterprise organizations continue to implement digital transformation in their businesses. More than 96% of survey respondents said their companies are already in the process of adopting digital transformation. To support their transformation efforts, respondents cited several strategic objectives for the year ahead including increasing efficiencies (70%), improving product quality (67%), and improving customer value (63%).

However, the accelerated development schedules brought about by the pandemic have also highlighted development challenges. In fact, 92% of respondents report product development challenges for 2022. Lack of visibility throughout the product lifecycle and inefficient processes were selected as companies’ biggest development challenges, followed by insufficient resources and lack of understanding across the enterprise of how products deliver customer value.

In direct opposition to achieving these objectives, 89% of business leaders report they still struggle with organizational silos between strategic development and operations. Most believe silos create barriers that prohibit customer value, and 93% believe better alignment between teams would increase the ROI delivered by products.

“When I speak with our customers, their biggest concerns revolve around product development and how to make the process more unified and integrated to ensure the end result is the right result,” said Jean-Louis Vignaud, Head of ValueOps, Broadcom. “Through a well-executed VSM initiative, backed by powerful enterprise solutions, businesses can dramatically improve alignment of their strategic planning and execution, and in turn, improve customer satisfaction.”

VSM poised to help enterprises meet digital transformation goals

To improve product development processes and increase digital transformation efficiency, respondents pointed to seamless workflow throughout the product lifecycle (from concept to production) and access to real-time insights (data transparency across organizations) as top priorities in 2022. VSM has been shown to support these priorities by enhancing teams’ ability to prioritize, plan, and develop value streams, fueling agility at scale.

The research indicates there is opportunity for growth for VSM solution providers as 95% believe value stream management would optimize their product lifecycle process. In addition, nearly all respondents believe a quality VSM technology solution would accelerate the adoption of VSM at their company.

According to the survey, VSM is the next practice companies are adopting after DevOps. Of those companies not currently using VSM, 72% are planning to adopt it in the next 18+ months.

Value Stream Management (VSM) Trends for 2022

On December 16 at 12:00pm EST, Broadcom CTO, Laureen Knudsen will present the survey findings and discuss the VSM trends shaping 2022 and beyond. Interested parties can register here:

Reigster Here

A report of the complete survey findings can be found here.

Tag(s): ValueOps

Marla Schimke

Marla brings more than 20 years of experience in marketing leadership for both start-ups and Fortune 500 companies including CA Technologies, Microsoft and Ernst & Young. She is a thought leader who combines a unique blend of technology and marketing experience to successfully position cutting-edge solutions to B2B...

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