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© 1993-2015 Jeff Sutherland & Scrum Inc. 1 Certified Scrum Master October 17-18, 2016 November 7-8, 2016 Certified Scrum Product Owner September 20-21, 2016 September 27-28, 2016 November 10-11, 2016 Contact Avi Schneier 917 459 6394 [email protected]

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© 1993-2015 Jeff Sutherland & Scrum Inc.

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Certified Scrum Master

October 17-18, 2016

November 7-8, 2016

Certified Scrum Product Owner

September 20-21, 2016

September 27-28, 2016

November 10-11, 2016

Contact Avi Schneier

917 459 6394

[email protected]

The Shu Ha Ri of Scrum @ Scale Silicon Valley Agile Leadership Network

19 Jul 2016

© 1993-2016 Jeff Sutherland & Scrum Inc.

Scrum@Scale is based on decades of

research at the Harvard Business School

• The five conditions for enabling team performance

• Real team

• Compelling direction

• Enabling team structure

• Supportive organizational context

• Expert team coaching

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Different Companies Have Different Needs

Large Defense

Contractor

• Top-down agile transformation motivated by perceived external market pressure

• Company vision to halve the cost of projects

Mid-size Software

Company

• Opportunistic agile implementation triggered by acquisition of a small Scrum company

• Market leader Looking to stay ahead of competition

Growing “Agile Native”

Company

• Disruptive technology innovator with successful product looking to scale to keep up with demand

• Leadership are steeped in agile principles

A B C

NameClassified Autodesk Spotify

Key Context:• Complex, integrated multi-

year hardware/software projects

• Each project has one customer

• Reliability a key priority• Must deliver to detailed

contract requirements

Key Context:• Redeploying a legacy

software product to cloud-based SaaS model

• Goal to increase pace of innovation

• Historically, releases a disruption for customers

Key Context:• Web/app-based product• Product and company set

up modularly • Allows teams to work

independently with minimal coordination

• Teams co-located

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Strategic Objectives Determine Scaling Approach

Innovation

Convergent Design

Contin

uous Im

pro

vem

ent

Follow

the R

ule

s

Adapted from Michael Cottmeyer 5

1

Product

Process

© 1993-2016 Jeff Sutherland & Scrum Inc.

Modular Framework for Scaling Scrum

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Product Ownership Cycle

Scrum Master Cycle

Backlog Prioritization

Backlog Decomposition &

Refinement

Release Planning

Team-Level Process

Release Management

Product & Release Feedback

Metrics & Transparency

Continuous Improvement & Impediment Removal & Personnel Issues

Cross-Team Coordination

Strategic Vision

Organization Level

Enterprise

Business Unit

Team

Leadership Development

© 1993-2016 Jeff Sutherland & Scrum Inc.

Scrum at Scale Modules are Defined by their Goals, Inputs and Outputs

Goals to be achieved

Required Inputs

Outputs to other modules

Goals Define what the module is intended to accomplish

InputsDescribe the information or resources needed from other modules to accomplish those goals

OutputsOutline what information or product this module generates that are needed by other modules

ANY specific practice that meets the module’s required Goals,

Inputs and Outputs will work with all of the other Scrum at Scale

modules…This is “Contract-First Design.”

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Autodesk

Modularity Supports DifferentImplementation Paths

SpotifyNameClassified

Start Current

8

3

© 1993-2015 Jeff Sutherland & Scrum Inc.© 2011 Scrum Inc.

Scrum@Scale

starts with

Leadership Development

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Moore’s Law Applied to Software

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TransistorsonaChip StoriesinaSprint

Beginner

ReadyReady

DoneDone

Continuous

Delivery

© 1993-2016 Jeff Sutherland & Scrum Inc.

Transformation Requires Leadership

Without Agile Mindset in command, there will be no Agile Execution by the body!

Sun Tzu Miyamoto Musashi Colonel John Boyd

© 1993-2016 Jeff Sutherland & Scrum Inc.

Martial Arts are Simple but Not Easy

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Sifu Avi Schneier, Scrum Master

Tai Chi championWilly Wijnands, Eduscrum.com

Aikido master

© 1993-2015 Jeff Sutherland & Scrum Inc.

Agile Mindset - Female Variant

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Alelu Sutherland

© 1993-2016 Jeff Sutherland & Scrum Inc.

Understanding Dual Operating Systems John P. Kotter. Accelerate: Building Strategic Agility for a Faster Moving World. HBR Press 2014.

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Moving from Windows API to Mac OS

1. Question

I'm a Windows (native, not .NET) programmer and I'd like to port an application to the

Mac. Actually, I believe it will be more of a rewrite, as the original depends on many

ActiveX controls.

As I have never used a Mac in my entire life, I'll need some guidance. O:-)

Thanks in advance

2. Answer

Cocoa [Mac framework] is a very different way of thinking then MFC and its kin

[Windows framework] …It is possible to write MFC-style code for Mac, but you will

always be fighting the framework if you do.

You would be amazed how fast Objective-C can be to code once you understand the

patterns. It really can be stunning compared to C++ in my experience…

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© 1993-2016 Jeff Sutherland & Scrum Inc.

General Electric Implements Dual Operating Systems

• Building a Software Start-Up Inside GE, Brad Power, Harvard Business Review, JANUARY 29, 2015

• $1B investment in Silicon Valley startup in 2011

• Revenue over $1B by 2014

• https://hbr.org/2015/01/building-a-software-start-up-inside-ge

• How GE Applies Lean Startup Practices, HBR, Brad Power, APRIL 23, 2014

• Fastworks uses lean startup principles and cross-functional teams

• CEO helps teams sidestep corporate bureaucracy

• https://hbr.org/2014/04/how-ge-applies-lean-startup-practices/

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© 1993-2016 Jeff Sutherland & Scrum Inc.

FrAgile - Shu State CEO does not have Agile Mindset

• Traditional management hierarchy creates project teams

• “Scaling frameworks” are often used to provide scaffolding for the

legacy organization until it can evolve

• This is a translation layer that provides insulation and

must ultimately be removed to get high performance

• Usually get 20-30% improvement in production although

bureaucracy or changes in management often cripple and/or

destroy agile implementation

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Waterfall

Translation Layer

FrAgile

© 1993-2015 Jeff Sutherland & Scrum Inc.

“Scrum in name only” vs Scrum@Scale

18Data published on SAFe website http://scaledagileframework.com/john-deere/

At John Deere they tried this… Then they tried this!

• Velocity of all teams up 200% across the board in 2 months.

• Peak Velocity was up 7.2x in 16 months.

• Employee engagement & management effectiveness up over more than 69% (from the bottom 1/3 to the top 1%)

© 1993-2016 Jeff Sutherland & Scrum Inc.

Agile - Ha State CEO changes management roles

• Management coaches the teams to self-organize and self-manage. Managers become leaders.

• Teams self-form against a prioritized backlog to maximize production.

• Leaders create virtual teams that drive communities of practice across company.

• Leadership refactors the organization - target is minimum 200-400% increase in production and reduction in time to market

19S

us

tain

ab

le

Managers become leaders Teams self-manage

© 1993-2016 Jeff Sutherland & Scrum Inc.

Managers become Leaders

• Provide challenging prioritized goals for the teams

• Eliminate organizational debt • Create a business plan/organization that works

• Provide all resources the teams need

• Identify and remove impediments for the teams • Assure teams are set up to maximize velocity

• Remove waste - eliminate technical debt

• Hold Product Owners accountable for value delivered per point

• Hold Scrum Masters accountable for process improvement and team happiness

• Hold Development Teams accountable for quality increase and technical debt remediation

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Generative Organization Can Deal With Organizational Debt

Agile Enterprise Metrics - 2015 48th Hawaii International Conference on System Sciences Daniel R Greening, Senex Rex

[email protected]

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Anti-Fragile - Ri State The Leading Edge of Organizational Development

• Hierarchy still exists but becomes competency based and enabling

• Teams self-organize product direction and refactor the organization

• Leadership supports wherever their skills are needed

• Swarming makes organization stronger under stress and can generate 500-100% increase in production

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Anti-fragile

Company is customer facingTeams drive strategy

© 1993-2015 Jeff Sutherland & Scrum Inc.

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Descale the Organization First

@

Evolving Scrum

Shu

Ha

Ri

© 1993-2016 Jeff Sutherland & Scrum Inc.

9 Teams, 10 3-Week Sprints

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Faster, Cooler, Cheaper

• Scrum@Scale team is equivalent to 5 Scrum teams

• Faster - only takes a few sprints to boot up

• Cooler

• Product Owner is removing technical debt

• Points are allocated to innovation

• Teams are more motivated to produce better product

• Cheaper

• Product is produced at 20% of the cost of competitors products.

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© 1993-2016 Jeff Sutherland & Scrum Inc.

Scrum, XP, the MetaScrum and DevOps

• 1993 - first Scrum implemented all XP practices

• 1995 - Ken/Jeff defined Scrum management practices and gave Kent Bent data for his development of XP engineering practices

• 2005 - Jeff publishes “Future of Scrum”. Multiple live hospital deployments with thousands of doctors and nurses during every sprint. Today this has evolved into Scrum@Scale and DevOps.

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© 1993-2016 Jeff Sutherland & Scrum Inc.

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DevOps automates the final, cost and labor-intensive step of delivering … products and services to billions of global

end-users in fractions of a second, transparently recalling them if necessary without penalty or cost, and ever so gradually

refining, optimizing, and repairing them in real-time without interrupting the operation or daily lives of global end-users.

David Rico, Business Value, ROI, & CoQ of DevOps, 2016

© 1993-2016 Jeff Sutherland & Scrum Inc.

Extending the Life Span of Organizations

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@

© 1993-2015 Jeff Sutherland & Scrum Inc.

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Scrum@ScaleTheory of Transformation

© 1993-2015 Jeff Sutherland & Scrum Inc.

Delivering the Steady State Universe

• Transforming the corporate universe through Scrum application.

• Diffusing The Cloud of Crap (von Clausewitz - the fog of war).

• Affecting real change (Musashi - short term and long term).

• Delivering real value.

• Stopping wasteful practices (Sun Tzu - win without fighting).

• Saving Companies (John Boyd - OODA loop).

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© 1993-2015 Jeff Sutherland & Scrum Inc.

Deal with Metaissues

• Change the organization

• eliminate organizational debt

• Align the organization

• every team has a clear prioritized backlog every sprint

• management is supporting, not disrupting the backlog

• Deliver early and often

• move teams toward deployment on sprint cadence or more often

• Scrum the Scrum

• use Scrum to continuously improve the transformation

• If 80% of 125 teams double production, there will be

$100M of additional product development unleashed

year after year.

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© 1993-2015 Jeff Sutherland & Scrum Inc.

Components That Need to Work

• Executive Action Team

• Change the rules

• Eliminate organizational debt

• Metascrum

• Establish Product Owner organization

• Align the enterprise with Product Owner team and management with a Metascrum on sprint cadence

• Scrum of Scrums

• Responsible for deployment all teams together

• Real leadership - not just chatting about impediments

• Scrum Masters and Product Owners trained to double production and value delivery

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© 1993-2015 Jeff Sutherland & Scrum Inc.

Scrum Maturity Assessment

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Before After 1 Sprint

© 1993-2015 Jeff Sutherland & Scrum Inc.

Agile Leaders Need to Understand Team Capabilities

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Scrum is continuous process improvement. Agile Leaders measure Scrum Masters on process improvement and team happiness.

Scaling @ Spotify, Anders Ivarsson & Henrik Kniberg, Scrum Alliance Gathering Paris, 6 Feb 2013

© 1993-2015 Jeff Sutherland & Scrum Inc.

Next Steps After Getting Started

• Need to tie the Scrum Transformation to real improvements in Quality, Revenue, Profit.

• Need to demonstrate process improvements and waste elimination.

• Need to build case studies to record success.

• Extend Scrum to the business and sales divisions.

• Value Stream Mapping and Process Improvements (A3).

• Embedded coaches help drive these items.

37

© 1993-2016 Jeff Sutherland & Scrum Inc.

Real Results from Scrum @ Scale

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Pegasystems 10K

© 1993-2015 Jeff Sutherland & Scrum Inc.

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Certified Scrum Master

October 17-18, 2016

November 7-8, 2016

Certified Scrum Product Owner

September 20-21, 2016

September 27-28, 2016

November 10-11, 2016

Contact Avi Schneier

917 459 6394

[email protected]