Four Principles, Four Cultures, One Mirror Israel Gat Agile Roots Salt Lake City, UT June 16, 2009

Israel Gat

Agile Roots

Salt Lake City, UT

June 16, 2009

Timeless Principles Intrinsic Obstacles

Obstacles Experienced in my Agile Journey Individuals and interactions over processes and tools Re-crossing the chasm between customer and vendor The “Sausage Syndrome”

Individuals and interactions

over processes and tools

Re-crossing the chasm between customer and vendor

The “Sausage Syndrome”

Obstacles Experienced in my Agile Journey Working software over comprehensive documentation License revenues versus service revenues: up to a 1:4 ratio The economics of replacing enterprise software in mature markets

Working software

over comprehensive documentation

License revenues versus service revenues: up to a 1:4 ratio

The economics of replacing enterprise software in mature markets

Obstacles Experienced in my Agile Journey Customer collaboration over contract negotiation How do you “codify” Agile principles in contracts based on mutual worst case assumptions? Technical debt

Customer collaboration

over contract negotiation

How do you “codify” Agile principles in contracts based on mutual worst case assumptions?

Technical debt

Obstacles Experienced in my Agile Journey Responding to change over following a plan The market development myth The primary vehicle by which things happen

Responding to change

over following a plan

The market development myth

The primary vehicle by which things happen

A Worrisome Perspective “ I estimate that 75% of those organizations using Scrum will not succeed in getting the benefits that they hope for from it… The intention of Scrum is to make [their dysfunctions] transparent so the organization can fix them. Unfortunately, many organizations change Scrum to accommodate the inadequacies or dysfunctions instead of solving them.” [AgileCollab Interview with Ken Schwaber, February 19, 2009] Remember This Figure

“ I estimate that 75% of those organizations using Scrum will not succeed in getting the benefits that they hope for from it… The intention of Scrum is to make [their dysfunctions] transparent so the organization can fix them. Unfortunately, many organizations change Scrum to accommodate the inadequacies or dysfunctions instead of solving them.”

[AgileCollab Interview with Ken Schwaber, February 19, 2009]

By rolling out Agile, you create a systemic duality and possibly a conflict Culture = “how we do things around here in order to succeed” [Schneider, 1994] The Agile Manifesto=“how we do software in order to succeed” Hypothesis: Cultural Duality

By rolling out Agile, you create a systemic duality and possibly a conflict

Culture = “how we do things around here in order to succeed” [Schneider, 1994]

The Agile Manifesto=“how we do software in order to succeed”

Cultural Considerations

Taxonomy of Core Cultures 8 Actuality Impersonal Possibility Personal Collaboration Affiliation Family/Athletic team Nurse Control Power Military Surgeon Competence Achievement University Research scientist Cultivation Self-actualization Religious institutions Minister, priest, rabbi Source [Schneider, 1994]

Collaboration

Affiliation

Family/Athletic team

Nurse

Control

Power

Military

Surgeon

Competence

Achievement

University

Research scientist

Cultivation

Self-actualization

Religious institutions

Minister, priest, rabbi

Culture to an Organization is like Character to an Individual “ Individuals and corporate personality are constituted in much the same way. Both are living forces characterized by energy and direction… Each corporation has a psychic center, too, which consists of the beliefs, values, mission, attitudes and objectives that determine its-long term direction and short-term goals” [Harmon & Jacobs, 1985] 9

“ Individuals and corporate personality are constituted in much the same way. Both are living forces characterized by energy and direction… Each corporation has a psychic center, too, which consists of the beliefs, values, mission, attitudes and objectives that determine its-long term direction and short-term goals”

[Harmon & Jacobs, 1985]

Agile Rollout Strategies

Rollout Strategy #1 Build on strengths of the current culture “… culture is singularly persistent… changing [organizational] behavior works only if it can be based on the existing ‘culture.’” [Drucker, 1991] 9

Build on strengths of the current culture

“… culture is singularly persistent… changing [organizational] behavior works only if it can be based on the existing ‘culture.’” [Drucker, 1991]

Rollout Strategy #1 Build on strengths of the current culture “… culture is singularly persistent… changing [organizational] behavior works only if it can be based on the existing ‘culture.’” [Drucker, 1991] 9 There is always a Duck…

Build on strengths of the current culture

“… culture is singularly persistent… changing [organizational] behavior works only if it can be based on the existing ‘culture.’” [Drucker, 1991]

Rollout Strategy #2 Move toward an adjacent culture “ A decade is a short period of time in which to expect to institutionalize cultural changes within a large organization.” [Denison, 1990] 9

Move toward an adjacent culture

“ A decade is a short period of time in which to expect to institutionalize cultural changes within a large organization.” [Denison, 1990]

Rollout Strategy #3 Move toward an opposite culture Unlikely to succeed within a formed culture even if you are the company founder... 9

Move toward an opposite culture

Unlikely to succeed within a formed culture even if you are the company founder...

Schwaber’s 75% Failure Rate For any culture: One cultural identity Two adjacent cultures One opposite culture ¾=75%

For any culture:

One cultural identity

Two adjacent cultures

One opposite culture

¾=75%

Scaling and Culture

Scale Up Likely to be least disruptive up to a point – you will probably stay within the culture in which you already demonstrated success Furthermore, you are likely to be able to use the same Agile infrastructure

Likely to be least disruptive up to a point – you will probably stay within the culture in which you already demonstrated success

Furthermore, you are likely to be able to use the same Agile infrastructure

Scale Out In this era you are likely to be adding local culture(s) into the mix – Bangalore, Beijing, Moscow, Sao Paolo, etc. The various variants of Distributed Agile might not be optimal, but their use is inevitable in an era characterized by off-shoring and outsourcing Key to success is minimizing implementation variances against the Manifesto principles

In this era you are likely to be adding local culture(s) into the mix – Bangalore, Beijing, Moscow, Sao Paolo, etc.

The various variants of Distributed Agile might not be optimal, but their use is inevitable in an era characterized by off-shoring and outsourcing

Key to success is minimizing implementation variances against the Manifesto principles

Scale “Diagonally” Leveraging Agile success in R&D to drive change in downstream functions is an effective strategy… … as long as you are mindful of the cultural boundaries you are crossing Typical border crossing: R&D  Marketing  Sales  Finance

Leveraging Agile success in R&D to drive change in downstream functions is an effective strategy…

… as long as you are mindful of the cultural boundaries you are crossing

Typical border crossing:

R&D  Marketing  Sales  Finance

Limit on Scaling You can’t effectively scale up, scale out or scale diagonally beyond the joint infrastructure that serves constituencies which are affected by Agile The data the culture pays attention to The process by which decisions are made

You can’t effectively scale up, scale out or scale diagonally beyond the joint infrastructure that serves constituencies which are affected by Agile

The data the culture pays attention to

The process by which decisions are made

Example from BMC Software Circa 2006: Diagonal Scaling, Multiple Constituencies, Joint Manual Tools “ xi” release Marketing Release Train “ uber” release 60-90 days 60-90 days 60-90 days 60-90 days R&D Release Train Engineering & Product Management Driven Frequency Market Driven Frequency “ beta” release “ maintenance” release Collaborative Asynchronous R1 R2 R3 R4 R5 GTM Processes

Mirror, Mirror on the Wall, Who is the Fairest Organization of Them All?

Using Your Mirror Look at the organizational mirror to determine your core culture Whatever your current culture might be, it is easier to build on its strengths than to try to change it No single culture is right for Agile (Note: this is different from a culture being a good fit for a certain endeavor)

Look at the organizational mirror to determine your core culture

Whatever your current culture might be, it is easier to build on its strengths than to try to change it

No single culture is right for Agile

(Note: this is different from a culture being a good fit for a certain endeavor)

Behavioral Changes through Tools Good Agile tools are likely to induce behavioral changes (in good time) without necessitating a big cultural push The data dimension: Single source of truth The process dimension: Natural and automatic – like the response to an exciting video game

Good Agile tools are likely to induce behavioral changes (in good time) without necessitating a big cultural push

The data dimension: Single source of truth

The process dimension: Natural and automatic – like the response to an exciting video game

Principles for Applying Timeless Principles

Know Thyself Subtleties of culture over the fine points of one Agile method versus another

Subtleties of culture

over

the fine points of

one Agile method versus another

Be True to Thyself Build on the strengths of your culture versus trying to quickly change it

Build on the strengths of

your culture

versus

trying to quickly change it

Behavioral Changes Through Tools Joint Agile infrastructure over explicit cultural change pushes

Joint Agile infrastructure

over

explicit cultural change pushes

Other Cultures are Part of your Mirror “ The essence of organizational health is Cultural Balance, a condition in which the tendency toward excess that characterizes any ‘pure’ organizational culture is mitigated by the opposing tendencies of the other cultures” [Harrison, 1987]

“ The essence of organizational health is Cultural Balance, a condition in which the tendency toward excess that characterizes any ‘pure’ organizational culture is mitigated by the opposing tendencies of the other cultures”

[Harrison, 1987]

Continuing our Dialog Israel Gat [email_address] www.TheAgileExecutive.com