5 Mental Models
There are 5 Mental Models used in LPM (Lean Portfolio Management) … that you can also apply in life and any other aspects of your work (i.e., ART-level work or Team-level work):
Mental Model #2: Capacity Is a Real Constraint.
Old Mental Model: “Capacity? What capacity… forget that! Just assign the work to the teams. They will figure it out.”
New Mental Model: “We cannot commit beyond real capacity.”
Think of Capacity just like you would think about money. Capacity as currency.
- You must budget it… you cannot go beyond your means. Something must yield.
- Allocate it accordingly. Have a balanced budget: Spend it on huge initiatives; and, for those small-sized things that matter — like the work (i.e., refactoring, addressing technical debt, maintenance, and experiments) to improve the system.
- Think of “Opportunity Cost“. The $ spent on something cannot be spent on another thing — that $ is gone, and opportunity of the one not chosen is also gone. Choose wisely. Spend it wisely.
This Mental Model #2 —Â knowing that Capacity Is a Real Constraint —Â Calms, even stops, the Chaos of Overcommitment.
To be continued …
