stop scaling... start growing an agile organization!

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Stop scaling… Start growing an agile organizationCompanies of all sizes need to grow their own agile way of working, becoming more agile is a journey, not a destination, it is not implementing a model or another…


Andrea TomasiniAgile Coach & Trainer [email protected]

@tumma72@agile42/coaches

mailto:[email protected]


What to scale?


Delivery Model?

Organizational Structure? Teams and

Processes?

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We’ll have larger Projects, we

need to scale…

I think scaling culture will be the real

challenge…


Why scale?


CorporateHi

erar

chy

Compliance

Individ

ual


Agile Pilot Success! Teams demonstrated that Agile can deliver value faster, higher quality, and is motivating

Organizations are pressed into Agile, as they can’t seem to find a way back...


The heartbeat of an agile organization…


Client & Value focus

Self-Organization

& Autonomy

Iterative & Incremental

change to reduce the

risk

Continuous Im

provement


Simple

ComplicatedComplex

ChaoticSense�� Categorize�� Respond

Best�� Practices

Good�� Practices

Sense�� Analyze�� Respond

Probe�� Sense�� Respond

Act�� Sense�� Respond

Emergent

Novel

Disorder

The Cynefin Framework


Cultivation Competence

Control

Peopl

eIm

personal

Actuality

Possibility

Collaboration

William Schneider - The four Core Cultures

Agile Values & Principles

The 4 core organizational cultures


Asses

smen

t Strategy

Pilot Projects

Rollout

Enterprise Transition Framework


New Organization

(up to 60 people)

Grown Organization (from 60 to 500 people)

Corporation (from 500 to many thousands people)

“One size fits all?”… Not in practice… but in Principles!


Basic principles and recurring patterns for growing agile…


1st Principle: focus on small incremental changesWhenever changing from one way of working to another, we will go through a hybrid situation where the coexistence of two different ways generates attrition, duplications and other forms of waste. The awareness of this fact should push us in delivering changes fast and in small increments…


The traditional approach to change management…

…focused on standardization, before stabilization…

t

Design

Documentation

Rollout

Fix Issues

> 3-4 months…


The agile approach to change management…

…focused on stabilization with emergent standardization…

Design

RolloutDoc

RolloutDoc

RolloutDoc

Coach

≤ 12 weeks t

Design Coach

RolloutDoc

RolloutDoc


Goal PSF NC

Agile Strategy Map™

Define the Goal we want to achieve

Possible Success Factor (PSF) represents a hypothesis about a key factor that would enable us to achieve the Goal

Necessary Condition (NC): what is needed in order to fulfill the Success Factor


Strategy Map from March 2014

• The Goal for 2015 has been established

• The Transition Team identified at least 7 PSFs that would provide a powerful leverage to achieve the final Goal


Strategy Map June 2014

• Break out groups worked on detailing the various PSFs into actionable experiments to validate the hypothesis for organizational improvement


Example: Build the right teams…

• Problem: by analyzing the amount of skills necessary to create ideal cross-functional teams, it appears that we would have teams with more than 30 people. Teams today don’t have 100% dedicated participants, and are not collocated.

• Hypothesis: if people would be teamed up with 100% capacity to only one team, and team would be stable over time, they would learn from each other and reduce the skill gaps, allowing for smaller teams in the future.

• Experiment: try different configuration, to validate that collocation and stability are potentially solving knowledge sharing issue.

• What happened is that we started 6 teams, and intentionally used different level of constraints for each of them, ranging from volunteering people vs assigned people, team sizes ranging from 5 to 18 people, with 100% and less than 30% allocation. 4 teams out of 6 reached the expected results providing a nice set of constraints required to start team effectively.


2nd Principle: focus on value and organize accordinglyFocusing on value means to make sure that there are as few obstacles as possible in the direction of the value streams…


The matrix organization…

Sub

Syst

em 1

Sub

Syst

em 2

Sub

Syst

em 3

Infra

stru

ctur

e

Ope

ratio

ns

PMO

Project 1

Project 2

Project 3

… optimized for utilization, not value delivery…

Handovers and coordination

Value

Client

Push in the lines


Stream 1

Stream 2

Stream 3

The agile organization…

Sub

Syst

em 1

Sub

Syst

em 2

Sub

Syst

em 3

Infra

stru

ctur

e

Ope

ratio

ns

… optimized for value delivery and time to market

Value

Client

Pull on the streams


Goal PSF#1

PSF#1: we believe that by consolidating all projects in one Portfolio, we will be able to make better business decisions

NC#1.1

NC#1.2

NC#1.1.1

To validate the hypothesis, we define what is needed to run a pilot which will measure the validity of the PSFNC#1.1: we need to list at least 3 projects per product area

NC#1.1.1: we need to choose projects and define comparable dimensions such as: business value, strategic alignment, cost...NC#1.2: we need to define a sample Portfolio funnel, and check that Teams can deliver with the provided information

Agile Strategy Map™


Ideas Potential ROIF Ready to PullSuccess: we can compare the value of projects easily (using defined KPIs) and make consistent business decisions.Failure: we still have endless discussions about priority and it’s costly to prepare project info for the portfolio process

High

Mid

HighHigh HighHigh

Dev Team

Unified Portfolio & Program System to focus on Customer Value…


Lean Canvases to create context and focus on Customer Value…

Lean Portfolio Canvas™ have been created by agile42 and are licensed using Creative Common 3.0 with attribution (BY), non commercial usage (NC) and share alike (SA) options. You can reuse and modify the template, but you will always have to leave the logo on it.

Opportunity Name (title)

1. Opportunity 2. Customer SegmentsWhat is the problem to be solved? What type of customers & users will

benefit from this solution?

How is the customer solving the problem right now?

3. Possible SolutionWhat are the key points of a possible solution to the presented problem?

4. BenefitsWhat are the benefits for the customers?

6. Measuring SuccessWhat metrics will be best measure the success of the feature?

5. Business ReadinessWhat steps are required from the business side to be able to use this capability?

7. Cost of DelayWhich profile better represent the cost of delay (CoD)?

8. Costs StructureHow does the cost structure look like for such a feature? One time, ongoing costs, contractors expenses, development costs?

9. Value to Customer and BusinessWhat are the expected incremental revenue for selling this feature, and what are the strategic and tactical benefit? What are the intangible values (usability, performance, customer knowledge obtained...)

Opportunity Owner (name)

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• Unified Portfolio and Program System to increase transparency, to visualize Customer Value and dependencies


3rd Principle: decentralize control whenever possibleDecentralization of control and decision making, reduces the feedback loops, and enables faster reaction times. It requires defining goals and constraints to allow for autonomous decision making.


Control !

Worker 1

Sub 1

Worker 2

Sub 2 Sub 3

The hierarchical organization… Centralized Control, ends up overloaded, introducing delays

RequestsAuthorization

the design is based on mistrust…


Container for empowerment

Worker 3Worker 2

The agile organization… Decentralized Control reduces overhead, and facilitates collaboration

the design is based on trust…

Worker 1

Collaboration


• Both on the “budget” level, as well as on the expected delivery and preparation levels

• This level of transparency allows to build trust between Portfolio Management and self-organizing teams

• Clear Policies describing the range of autonomy the teams have


4th Principle: avoid synchronization of flows unless necessaryDe-synchronization is unintuitive, but allows for parallel distributed work, without having to carry the excessive burden of coordination and handovers.


t

Project 2

Project 3

Project 1

The plan driven organization… Synchronization of all Projects for a release, decreases efficiency and increases coordination costs

Release

Pm 3

Pm 1

Pm 2

…fixed scope and fixed date…


t

The agile organization… De-synchronization of development teams to reduce cost of release

…variable scope and variable date…

Feature A

Release

Team 1

Team 2

Team 3

Team 4

Feature B

Release Release

Feature C

Release

Feature D

Release

Feature E

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Release incrementally, with higher quality

Automated testing in short cycles

Delivered serviceable Product in just 2 months


Continuos Integration & Delivery…

Switch from big product releases to incremental change, every feature is released on all platforms

“Focusing on one Feature at a time allowed for faster feedback also involving stakeholders was easier… deliver fast to learn fast”


Overall lessons learnedChanges in behaviour happened thanks to focus on principles and values, the resulting emergent systems showed recurring and reusable patterns to produce similar behaviours.


EDD Hendrik Esser | Commercial in confidence | © Ericsson AB 2015 | 2015-02-11 | Page 2

Commitment – We have moved from the question “are you committed?” to “how can we

deliver?”

Distribution instead of hierarchy – Planning/forecasting is distributed: many people do this from different

angles (Strategy, Product Roadmap, Product Release, Feature, Sprint) – Each party trusts the other that they do their part of the whole. – Continuous flow of planning, follow-up and adaptation

Collaboration instead of co-existence

– No “contracts” between parts of Ericsson – Collaboration with a lot of interaction to drive alignment and by this enable

autonomy.

Most significant Changes after 7 years through transition


Page 14 MC Conference | May 2014 Gunther Birk / I DT MC R&D 11 Restricted © Siemens AG 2014. All rights reserved

Fast Lane PLC319F Lean transformation in practice

Learnings

•  Direct communication is the enabler for doing the necessary things at the right time

•  Timeboxed development is mandatory to establish learning methods

•  Ranked backlog / visualization creates unknown transparency on where we stand - over 7 teams, with more than 40 people

•  Giving responsibility into the teams leads to outstanding engagement and results

•  Thinking in customer value within each iteration gives us control on the functionality of our deliverables


Page 12 MC Conference | May 2014 Gunther Birk / I DT MC R&D 11 Restricted © Siemens AG 2014. All rights reserved

Fast Lane PLC319F Adopting lean thinking to hardware development

The Question How can we be sure, that our redesign will be o.k.?!

Parallel Sourcing - Serial material - Testing Equipment - Rapid Prototypes

Parallel Qualification - Typetest - Loadtest

Risk Exclusion -  Execute Complete DVT -  Evaluate Production process -  Build up production samples

•  Speed-up by 40%

•  Enhanced Quality

•  Enhanced Design for Production

Blog: LEAN@MC - english Blog


1. There is no blueprint for an Agile Organization, as from the moment you’ll try to define one, it won’t be Agile anymore!

agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2015.


2. Scaling is not about the delivery or a model it’s about culture change, and continuous improvement



3. Becoming an Agile organization it is not a goal, it is a conscious decision to embrace a journey towards continuous improvement



4. Experience shows that there are recurring patterns emerging by embracing specific principles. Using this experience can be extremely valuable on your own journey



Thank

You!


More food for thought...

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stop scaling... start growing an agile organization!

Leadership & Management