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The Art of Strategy - Steps Towards Business Agility

Would you like to have a quick, hands-on introduction to strategy in a Lean/Agile context? Then, please join me on this tour over 2500 years where we discover patterns useful for individual, team and business agility - starting from a mindset of collaborative success together with your stakeholders via strategic learning loops to maps of your business landscape.

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The Art of Strategy - Steps Towards Business Agility

  1. 1. The Art of Strategy
 Steps Towards Business Agility Erik Schön 
 Agile Leadership Day #ALD2019
 March 13, 2019 @ Stockholm If you want to read more: The Art of Strategy — Introduction
  2. 2. @erik_schon #ALD2019
  3. 3. @erik_schon #ALD2019
  4. 4. Sustainably thrive
 in a world where
 the rate of change
 will never be slower
 than today Why Strategy? @erik_schon #ALD2019
  5. 5. CHOICES
 of harmonized direction
 for the organization
 or parts of the organization
 done regularly DECISIONS & ACTIONS
 in a harmonized direction
 by everyone everywhere
 in the organization What is Strategy? @erik_schon #ALD2019
  6. 6. @erik_schon Product Development Executive | Product Strategist | Executive Performance Coach DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.@erik_schon #ALD2019
  7. 7. @erik_schon #ALD2019
  8. 8. Art of War
 Sun Tzu ~400 BC 
 How to be
 certain to win
 and avoid fighting wars@erik_schon #ALD2019
  9. 9. Art of War
 The Essence Be prepared 
 Be influential
 Be fast
 Be adaptable
 Be innovative@erik_schon #ALD2019
  10. 10. Art of War
 Be Prepared Purpose Landscape ASSESSMENTS Who has more influential purpose? Who has more skilled leadership? Who is favored by landscape and climate? Who carries out doctrine more skillfully? Who has more capabilities? Who has more highly trained people? Who provides feedback more clearly? Doctrine Leadership Climate Avoid engagement until assessments indicate certain success
  11. 11. Skilled combinations of 
 surprise and the expected
 is 
 
 as infinite as heaven and earth
 
 as inexhaustible as rivers and seas
  
 ending only to begin again 
 like the sun and the moon 
 
 dying only to live again 
 like the four seasons Art of War
 Be Innovative When engaging with stakeholders, first do what is expected, then use surprise to succeed
  12. 12. Example
 Be Innovative: The Expected and the Surprise Expected: call, mail, browse & listen to music just works Surprise: in the same device with awesome touch interface Outcome: customer delight & extreme loyalty@erik_schon #ALD2019
  13. 13. @erik_schon #ALD2019
  14. 14. Who’s the Real Top Gun? @erik_schon #ALD2019
  15. 15. A Discourse on Winning and Losing
 Briefed 1976-1997 by John Boyd “He who can handle the quickest rate of change survives”
  16. 16. A Discourse on Winning and Losing
 The Essence Keep competition off balance Build alliances Harmonize creativity & initiative Decide & learn in fast(er) cycles @erik_schon #ALD2019 Chet Richards @FuentesDeOnoro
  17. 17. Keep Competition
 Off Balance Observe Orient Decide Act Change situations faster than competition can figure out, again & again ... OODA
 Loop
  18. 18. Example
 Keep Competition Off Balance: Change situations faster than competition Develop and manufacture trucks faster, cheaper and with better quality @erik_schon #ALD2019
  19. 19. Observe Orient Decide Act OODA
 “Loop” @erik_schon #ALD2019
  20. 20. Observe Orient Decide Act Unfolding 
 circumstances Outside
 information IMPLICIT guidance & control Unfolding interactions with environment Use what we have learned and current strategy Learn new things, revise strategy AND break out of old habits, even if successful so far Decide and Learn in Fast(er) Cycles Chet Richards @FuentesDeOnoro@erik_schon #ALD2019 Model of how the world is working
 Situational Awareness
  21. 21. Decide and Learn in Fast(er) Cycles
 Example: Regular Strategy Retro- & Prospectives March June September Current Situation? New Insights? Revise Strategy? Revise Targets? December @erik_schon #ALD2019
  22. 22. Decide and Learn in Fast(er) Cycles
 Example: Real-Time Management 08.00-08.15 Teams …… … … Daily Standups 08.45-09.00 CTO’s leadership team Issues that cannot be resolved 
 by CTO’s direct reports’ teams,
 solution plan reported back within 24 hours 08.15-08.30 Management teams ……… Issues that cannot be resolved
 by teams, solution plan
 reported back within 24 hours 08.30-08.45 CTO’s direct reports’ 
 management teams … Issues that cannot be resolved 
 by management teams,
 solution plan reported back within 24 hours @erik_schon #ALD2019 Create a CADENCE OF ACCOUNTABILITY
  23. 23. Katya Knyazeva
  24. 24. Characteristics 
 of a Map Visual Context-specific Position Components Anchor Movement x How can we
 do this in
 business? Katya Knyazeva
  25. 25. Wardley Maps Visualize
 value chain evolution &
 enable strategic choices Market position? Competition
 
 Expected market changes?
 
 Focus? Strategic gameplays?
 
 In-house, off-the-shelf, outsource?
 Capabilities?
 Methodologies?
 Organization? Simon Wardley @swardley
  26. 26. Wardley Maps Visualize
 value chain evolution &
 guide strategic choices Visual Context-specific Movement
 (Evolution) Position
 (Relative to Anchor) Component Anchor
 (User Needs) Simon Wardley @swardley
  27. 27. Wardley Maps Expected market changes Focus Outsource Outsource In-House In-House Off-the-Shelf Off-the-Shelf Off-the-Shelf EXAMPLE: Gaming Visualize
 value chain evolution &
 guide strategic choices! Howard Rees @Howard_Rees
  28. 28. Novel Emerging Good Best Evolution Find the right home Build the 
 thing right Client side build Build Server side 
 build PRACTICES Server side test Collaboration with
 database analysts Client side test ValueChainVisibleInvisible Wardley Maps Maturity Mapping:
 context-specific
 capability assessments Example: 
 Finding the right home
 in the housing market
 online
 
 Chris McDermott @chrisvmcd
  29. 29. Simon Wardley @swardley 
 Faster MAP:
 User Need
 Value Chain
 Position
 Movement Anticipate change
 Economic patterns
 Competitors’ actions Study & use gameplay Study & use principles for 
 ways of operating, communicating & organizing Sun Tzu’s Five Factors
 Boyd’s OODA “Loop”
 Wardley Mapping
  30. 30. @erik_schon #ALD2019
  31. 31. Agile
 Ability to adapt to and influence new situations @erik_schon #ALD2019
  32. 32. Agility
 Ability to adapt to and influence new situations
 more rapidly than your competitors @erik_schon #ALD2019
  33. 33. Business
 Succeed together with your stakeholders @erik_schon #ALD2019
  34. 34. Business Agility
 Ability to adapt to and influence new situations
 more rapidly than your competitors
 in order to succeed together with your stakeholders @erik_schon #ALD2019
  35. 35. The Art of Strategy
 To succeed 
 by securing harmony among stakeholders and keeping competition off balance 
  through evolving better capabilities to adapt and map @erik_schon #ALD2019
  36. 36. The Art of Strategy
 To succeed 
 by securing harmony among stakeholders and keeping competition off balance 
  through evolving better capabilities to adapt and map What would YOU
 like to try? @erik_schon #ALD2019
  37. 37. The Art of Strategy
 To succeed 
 by securing harmony among stakeholders and keeping competition off balance 
  through evolving better capabilities to adapt and map Q&A @erik_schon #ALD2019
  38. 38. For Further Learning Articles McDermott, Mapping Maturity (2018) Richards, Boyd’s OODA Loop. It’s Not What You Think (2018) Schön, Doing Strategy the Interactive & Flexible Way  (2018)
 Schön, The Art of Strategy — Introduction (2019) Wardley, An Introduction to Wardley (Value Chain) Mapping (2015) 
 Books Boyd, A Discourse on Winning and Losing (2018) Richards, Certain to Win (2004) Schön, The Art of Strategy (2019) Sun Tzu, The Art of War (2008) Wardley, Wardley Maps (2018) 
 Videos Richards, On OODA Loops, Adaptability & John Boyd (2012) Schön, Doing Strategy the Interactive & Flexible Way (2018) Wardley, Crossing the River by Feeling the Stones (2017) @erik_schon #ALD2019
  39. 39. Thanks for Inspiration! Melissa
 Perris Rita
 Gunther
 McGrath Nilofer
 Merchant Chet
 Richards Simon
 Wardley Stockholm
 Lean Coffee
 Roger
 Martin @erik_schon #ALD2019

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