The Three Things You Need to Know to Transform Any Size Organization Into an Agile Enterprise

THE THREE THINGS You Need to Know to Transform Any Sized Organization into an Agile Enterprise

mike@leadingagile.com 404-312-1471 www.leadingagile.com twitter.com/mcottmeyer facebook.com/leadingagile linkedin.com/in/cottmeyer MIKE COTTMEYER

Brief Agenda • Discuss why adopting agile isn’t ‘one size fits all’ • Explore the fundamentals of agile transformation • How to craft an agile transformation roadmap

ONE SIZE DOES NOT FIT ALL

Predictability Adaptability

Predictability Adaptability Emergence Convergence

Predictability Adaptability Emergence Convergence AE PC

Predictability Adaptability Emergence Convergence AEPE PC AC

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Quadrant One • Predictive Emergent

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Traditional Quadrant Two • Predictive Convergent

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Traditional Agile Quadrant Three • Adaptive Convergent

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Traditional Agile Lean Startup Quadrant Four • Adaptive Emergent

THE THREE THINGS

Backlog Backlog Backlog Backlog Backlogs

Teams Backlog Backlog Backlog Backlog Backlogs Teams

Teams Backlog Backlog Backlog Backlog Working Tested Software Backlogs Teams Working Tested Software

Teams Backlog Backlog Backlog Backlog Working Tested Software • INVEST • CCC • Small enough for the team to develop in a day or so • Everything and everyone necessary to deliver • Meets acceptance criteria • No known defects • No technical debt What Do I Mean? Backlogs Teams Working Tested Software

Teams Backlog Backlog Backlog Backlog Working Tested Software Why Are They Important? Clarity Accountability Measureable Progress • People have clarity around what to build • People understand how it maps to the big picture • Teams can be held accountable for delivery • No indeterminate work piling up at the end of the project • 90% done, 90% left to do

Teams Backlog Backlog Backlog Backlog Working Tested Software Why Are They Important? Purpose Autonomy Mastery • Understanding the backlog gives meaning to work • Local decision making gives people a sense of power and control over their work • People can demonstrate that they are good at what they do

Teams Backlog Backlog Backlog Backlog Working Tested Software What Do They Look Like at Scale? Governance Structure Metrics & Tools • Governance is the way we make economic tradeoffs in the face of constraints • They way we form teams and foster collaboration at all levels of the organization • What do we measure, how do we baseline performance and show improvement?

STRUCTURE

Team Team Team Team TeamTeamTeam Product & Services Teams

Team Team Team Team Team Team Team TeamTeamTeam Product & Services Teams Program Teams

Team Team Team Team Team Team Team Team TeamTeamTeam Product & Services Teams Program Teams Portfolio Teams

GOVERNANCE

Team Team Team Team Team Team Team Team TeamTeamTeam Product & Services Teams Program Teams Portfolio Teams

Product & Services Teams Scrum Team Team Team Team Team Team Team Team TeamTeamTeam Program Teams Portfolio Teams

Product & Services Teams Program Teams Portfolio Teams Scrum Kanban Team Team Team Team Team Team Team Team TeamTeamTeam

Product & Services Teams Program Teams Portfolio Teams Scrum Kanban Kanban Team Team Team Team Team Team Team Team TeamTeamTeam

METRICS

Product & Services Teams Program Teams Portfolio Teams Scrum Kanban Kanban Team Team Team Team Team Team Team Team TeamTeamTeam

Product & Services Teams Program Teams Portfolio Teams Scrum Kanban Kanban Team Team Team Team • Backlog Size • Velocity • Burndown • Escaped Defects • Commit % Ratio • Acceptance % Ratio • Scope Change

Product & Services Teams Program Teams Portfolio Teams Scrum Kanban Kanban Team • Cycle Time • Features Blocked • Rework/Defects • Backlog Size • Velocity • Burndown • Escaped Defects • Commit % Rate • Acceptance % Ratio • Scope Change

Product & Services Teams Program Teams Portfolio Teams Scrum Kanban Kanban • Backlog Size • Velocity • Burndown • Escaped Defects • Commit % Ratio • Acceptance % Ratio • Scope Change • Cycle Time • Features Blocked • Rework/Defects • Takt Time/Cycle Time • Time/Cost/Scope/Value • RIO/Capitalization

Teams Backlog Backlog Backlog Backlog Working Tested Software What Gets in the Way? Business Dependencies Organizational Dependencies Technical Dependencies • Requirements management • Process flow • Value streams • Bottlenecks • Too much in process work • Matrixed Organizations • Non instantly available resources • Lack of SME • Technical Debt • Defects • Loose Coupling • Low Cohesion

Team

Matrixed Organizations Team

Matrixed Organizations Non-instantly Available Resources Team

Matrixed Organizations Limited Access to Subject Matter Expertise Non-instantly Available Resources Team

Matrixed Organizations Limited Access to Subject Matter Expertise Non-instantly Available Resources Shared Requirements Between Teams Team

Matrixed Organizations Limited Access to Subject Matter Expertise Non-instantly Available Resources Too Much Work In Process Shared Requirements Between Teams Team

Matrixed Organizations Limited Access to Subject Matter Expertise Non-instantly Available Resources Too Much Work In Process Shared Requirements Between Teams Large Products with Diverse Technology Team

Matrixed Organizations Limited Access to Subject Matter Expertise Non-instantly Available Resources Too Much Work In Process Shared Requirements Between Teams Technical Debt & Defects Large Products with Diverse Technology Team

Matrixed Organizations Limited Access to Subject Matter Expertise Non-instantly Available Resources Too Much Work In Process Low Cohesion & Tight Coupling Shared Requirements Between Teams Technical Debt & Defects Large Products with Diverse Technology Team

Teams Backlog Backlog Backlog Backlog Working Tested Software How Do I Need to Change? • Known and knowable requirements • How to deal with unknowns • Estimating • Fungible resources • Individual utilization • Productivity metrics • Activity over outcome Defining Work Allocating People Measuring Progress

A THEORY OF TRANSFORMATION

A Theory of Transformation Agile is about forming teams, building backlogs, and regularly producing increments of working tested software

A Theory of Transformation Agile at scale is about defining structure, establishing governance, and creating a metrics and tooling strategy that supports agility

A Theory of Transformation Anything that gets in the way of forming teams, building backlogs, and producing working tested software is an impediment to transformation

TRANSFORMATION IS A JOURNEY

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Traditional Agile Lean Startup

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Traditional Agile Lean Startup Low Trust

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Traditional Agile Lean Startup Low Trust Become Predictable

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Low Trust Become Predictable

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Low Trust Become Predictable Reduce Batch Size

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Low Trust Become Predictable Reduce Batch Size Fully Decouple

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Teams Low Trust Become Predictable Reduce Batch Size Fully Decouple

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Teams Low Trust Become Predictable Reduce Batch Size Fully Decouple Phase One Phase One • Stabilize the System

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Teams Low Trust Become Predictable Reduce Batch Size Fully Decouple Phase One Phase Two Phase Two • Reduce Batch Size

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Teams Low Trust Become Predictable Reduce Batch Size Fully Decouple Phase One Phase Three Phase Two Phase Three • Break Dependencies

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Teams Low Trust Become Predictable Reduce Batch Size Fully Decouple Phase One Phase Three Phase Four Phase Two Phase Four • Increase Local Autonomy

Predictability Adaptability Emergence Convergence AEPE PC AC Ad-Hoc Lean/Agile Agile Lean Startup Teams Low Trust Become Predictable Reduce Batch Size Fully Decouple Phase One Phase Three Phase Four Phase Two Phase Five Phase Five • Invest to Learn

mike@leadingagile.com 404-312-1471 www.leadingagile.com twitter.com/mcottmeyer facebook.com/leadingagile linkedin.com/in/cottmeyer MIKE COTTMEYER

THE THREE THINGS You Need to Know to Transform Any Sized Organization into an Agile Enterprise