The Emergence of Business Agility - Agile Cymru (July 2018)

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©2018ActineoConsultingLLP
@actineo_xyz @jose_casal
BUSINESS
THE EMERGENCE OF
AGILITY
JOSÉ CASAL
@jose_casal

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AS A BUSINESS,
ARE WE AS EFFECTIVE
AS WE CAN BE?
WHAT WOULD “BETTER”
LOOK LIKE?

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USUALLY… FASTER
CHEAPER
FEWER DEFECTS
LESS RISKY
MORE PREDICTABLE

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LET’S DO AN AGILE
TRANSFORMATION

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@actineo_xyz @jose_casalSOURCE: http://bit.ly/2rpN0tP

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MANY AGILE
TRANSFORMATIONS
DISSOLVE WITHOUT
A TRACE

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WE CAN DO
BETTER

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VISIBLE
FORMAL
SYSTEM
INVISIBLE
INFORMAL
SYSTEM
Roles Process Tools
Org Chart
Customs
Language
Behaviour
Traditions
Taboos
Stereotypes
Beliefs
Values
CULTURE
SOURCE: http://bit.ly/2r51s7p

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VISIBLE
FORMAL
SYSTEM
INVISIBLE
INFORMAL
SYSTEM
Roles Process Tools
Org Chart
Customs
Language
Behaviour
Traditions
Taboos
Stereotypes
Beliefs
Values
CULTURE
MISALIGNED
ORGANISATION
SOURCE: http://bit.ly/2r51s7p

THE DOMINANT PARADIGM
FOR MANAGING PRODUCT
DEVELOPMENT IS
WRONG(DON REINERTSEN)

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Complicated Complex
1. Repetitive
2. Predictable
3. Fixed
4. Visible
1. Unique
2. Unpredictable
3. Evolving
4. Invisible
- VS -

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BUSINESS COMPLEXITYWITH CYNEFIN
16
CHAOTIC OBVIOUS
COMPLEX COMPLICATED
Relations &
Command
Command
Relations
Individuals
Sense > Analyse > Respond
Sense > Categorise > Respond
Probe > Sense > Respond
Act! > Sense > Respond
Best Practice
Good PracticeEmergent Practice
Novel Practice

IF WE HAVE UNCERTAINTY &
INTERDEPENDENCE…
WE MUST USE
EXPERIMENTATION &
DISCOVERY
(AMY EDMONDSON)

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Myths of Product Development
1
2
3
Customers know what they want
Creatives know how to build it
Nothing changes along the way

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Myths of Product Development
discover
Reality
expect
discover
1
2
3
Customers know what they want
Creatives know how to build it
Nothing changes along the way

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The Tyranny of the Team
SOURCE: http://bit.ly/2rpGcMG

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Organising for Complexity
T
T
T
T
T
T
T
T
T T
T
T
SOURCE: http://bit.ly/2rpGcMG

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@actineo_xyz @jose_casalSOURCE: http://bit.ly/2rpN0tP

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End-to-End Flow Efficiency
Fuzzy front-end
Lead time
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46Week
Risk reduction
Wait waste
Value add
Captured
PoC
(3 days)
Dev & test
( 4 day) Go Live!
18 weeks waiting 11 weeks waiting 9 weeks waiting
SOURCE: http://bit.ly/2r6MwaR

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Flow vs Resource Management Mindsets
TIME TO
COMPLETE
& COST OF
IDLE TIME
UTILISATION
Cost of
Idle Capacity
Time to
Complete
Total
Cost
Economically
Optimal
Utilisation
Point
0% 100%
SOURCE: http://bit.ly/2rpEKtI

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FLOW
UTILISATION IS THE
ENEMY OF

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The Iron Triangle
TIME
COST SCOPE
QUALITY

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@actineo_xyz @jose_casal SOURCE: http://bit.ly/2qoisEB

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FOR BUSINESS AGILITY, THIS IS
NOT GOOD ENOUGH

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The Iron Triangle
TIME
COST SCOPE
ON
ON ON
Buffers
Slower
More
Expensive
Contingency
Up-Front Analysis
& Big Batches
Business Risk
& Wasteful
SOURCE: http://bit.ly/2r4W2JG

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Break away from this thinking…
TIME
COST SCOPE
Impact Fit For Purpose
Flow
SOURCE: http://bit.ly/2r4W2JG

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Principles for Business Agility
LEARNINGPEOPLE
FITNESS
FOR
PURPOSE
FLOW
FFLIPIMPACT

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Business Agility is about people
LEARNINGPEOPLE
FITNESS
FOR
PURPOSE
FLOW
FFLIPIMPACT

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IS NOT AN OPTION
AGILITY
BUSINESS
IT IS A MATTER OF
BUSINESS SURVIVAL

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1 Visualise
2 Limit Work in Progress
3 Manage & Measure Flow
4 Make Policies Explicit
5 Implement Feedback Loops
6
Improve Collaboratively.
Evolve Experimentally
Principles Practices
1 Start with what you do now
2
Agree to pursue evolutionary
change
3
Encourage act of leadership
at all levels

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WHAT 3 INSIGHTS
THANK YOU
HAVE YOU HAD?

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References
• Value Flow Quality by Emergn http://valueflowquality.com
• A. Neus. P. Scherf. "Opening minds: Cultural change with the introduction of open-source collaboration methods"
2005. http://dimsboiv.uqac.ca/8INF851/tp/paper/neus.pdf
• Donald G. Reinertsen. “The Principles of Product Development Flow: Second Generation Lean Product Development”.
2009. ISBN 9781935401001D.
• Snowden "Cynefin Framework" http://cognitive-edge.com/
• N. Pflaeging “Organize for Complexity” 2014. ISBN 978-0991537600. https://www.organizeforcomplexity.com/
• H. Forss "The Red Brick Cancer" https://hakanforss.wordpress.com/2012/09/14/lean-lego-the-red-brick-cancer/
• N. Modig and P. Åhlström "This is Lean: Resolving the Efficiency Paradox" 2012. ISBN 978-9198039306
• P. Brodzinski “Economic Value of Slack Time” http://brodzinski.com/2015/01/slack-time-value.html
• Version One "Benefits of Agile Software Development" https://www.versionone.com/agile-101/agile-software-
development-benefits/
• J. Yip. “Benefits of Agile From a Financial Perspective” https://www.slideshare.net/jchyip/benefits-of-agile-from-a-
financial-perspective
• A. Shalloway, G. Beaver, and J. Trott "Lean-Agile Software Development" 2010. ISBN 9780321647993

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Picture Credits
• "Finally Agile" http://geek-and-poke.com/geekandpoke/2016/4/26/finally-agile
• "Donald Reinertsen" http://leanmagazine.net/lean/cost-of-delay-don-reinertsen/
• "Ford Factory 1920" https://www.pinterest.co.uk/pin/375135843933270183/
• "Millennium Stadium Seats" http://www.free-city-guides.com/cardiff/millennium-stadium/
• "The Sorting Hat" https://www.hp-lexicon.org/wp-content/uploads/2016/09/the_sorting_hat_by_sahinduezguen-
d47mwt5.png
• "The A-Team" http://img2.tvtome.com/i/u/37295f7da7244819c8563a00f5229dbd.png
• "The Iron Triangle" https://www.atlassian.com/agile/agile-iron-triangle
• "Benefits of Agile" https://www.versionone.com/wp-
content/uploads/2015/07/agile_development_value_proposition.gif
• "Accelerated ROI" http://valueflowquality.com

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