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Keystone Habits of Organizational Agility
- 1. TO PM Half day Tutorial 11/12/2013 1:00 PM "Keystone Habits of Organizational Agility" Presented by: Ahmed Sidky Sidky Consulting Group Brought to you by: 340 Corporate Way, Suite 300, Orange Park, FL 32073 888 268 8770 904 278 0524 sqeinfo@sqe.com www.sqe.com
- 2. Ahmed Sidky SCG Inc. Ahmed Sidky, aka Dr. Agile, combines more than fifteen years of software development experience with research from his Ph.D. in agile transformation and agility assessment to guide enterprise agile transformations in Fortune 100 companies. Ahmed helps small to medium companies worldwide realize sustainable organizational agility and educates people—CEOs to developers—on the agile mindset and creating lean high-performing teams. The principal consultant at SCG Inc. and coauthor of Becoming Agile in an Imperfect World, Ahmed consults, teaches, and writes. He co-founded the International Consortium for Agile, sat on the steering committee for the creation of the PMI-ACP® certification, and is a frequent speaker at agile conferences worldwide.
- 3. Keystone Habits of Organizational Agility ! ! An Interactive Tutorial lead by Ahmed Sidky, Ph.D. !
- 4. Tutorial Contents 01! Ahmed Sidky, Ph.D. .......................................................................................................... 3! 02! What is Organizational Agility ............................................................................. 4! 03! How we build Stuff? ...................................................................................................6! 04! Knowledge Work ....................................................................................................... 10! 05! The Agile Mindset ..................................................................................................... 13! 06! Definition of Agile ..................................................................................................... 19! 07! How do we learn to be Agile? .......................................................................... 23! 08! The Organizational Ecosystem............................................................................ 26! 09! Cultural Alignment: the Key to Sustainable Transformations ........ 32! 10! Common Transformational Approaches ......................................................... 36! 11! Culture-Led Transformation ................................................................................ 41! 12! Habits................................................................................................................................ 46! 13! Learning and Education.......................................................................................... 50! 14! An Agile Transformation Roadmap .................................................................. 55! 15! Measurements ................................................................................................................. 61! 16! The Agile Tree Analogy ........................................................................................... 64! 17! Good Reads ...................................................................................................................... 66! ! 2!
- 6. 02 What is Organizational Agility ! 4!
- 7. Many!leaders!are!increasingly!feeling!overwhelmed!by!the!pace!of!change!and!are! being!constantly!challenged!to!understand!the!causes!of!major!disruptions!in!the! marketplace!and!in!their!organizations.!The!rate!of!change!will!only!increase!as!their! organizations!and!their!marketplaces!become!more!networked!and!technology! continues!to!advance.!In!light!of!this!organizational!agility!is!the!ability!of!the! organization!and!its!leaders!to!respond!in!a!healthy!and!disciplined!manner!to!the! constant!change!on!disruptions.! For!purposes!of!this!tutorial!we!would!like!to!define!organizational!agility!as:! ! Culture$ Why$ Ecosystem$ How$ Habits$ What$ Organizational! Agility! is! a! culture! based!on!the!values'and'principles' of! Agile,! supported! by! the! organizational' ecosystem' (Leadership,! Strategy,! Structure,! Processes! and! People)' and! manifested! through! personal' and' organizational' habits' (how% work% really%gets%done%in%the%organization).' ! At!the!heart!of!the!concept!and!definition!of!organizational!agility!is!the!idea!that! agility!is!a!culture.!That!understanding!is!critical!to!truly!understanding!the! motivation!or!“Why”!behind!having!organizational!agility.!The!first!section!of!the! tutorial!will!focus!on!the!idea!of!agility!being!a!culture!not!a!process.!The!second! component!is!how!this!culture!of!agility!can!be!supported!and!realized.!In!that! section!we!will!discuss!in!detail!the!idea!of!the!Organizational!Ecosystem!and!how! the!transformation!process!to!agility!occurs.!The!last!component!of!the!definition!is! the!way!by!which!agility!is!manifested!in!organizations!and!there!we!will!discuss!in! greater!detail!the!concept!of!organizational!habits!and!especially!keystone!habits.!! ! ! ! ! 5!
- 8. PART 1: AGILITY AS A CULTURE – THE “WHY” 03 How we build Stuff? ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! 6!
- 9. Idea% Design%/%Explore% Do%Work%(Execute%/%Implement)%% %to%produce%desired%outcome% Define%Outcome%% % Plan%/%Procure% (what%the%customer%actually%needs) Get%Outcome% Get%Reward% ! Without!diving!into!specific!agile!or!traditional!processes,!we!would!like!to!take!an! even!larger!look!at!the!thought*process-of!how!we,!as!people,!think!about!building! “stuff.”!!! 1. An Idea Building!anything!usually!starts!with!someone!that!has!an!idea!or!a!need!that! they!are!trying!to!fulfill.! 2. Design / Explore Usually!the!idea!the!person!has!is!not!complete!or!needs!to!be!refined!before! it!is!formulated!into!a!final!outcome.!So!we!usually!enter!into!a!phase!of! designing!and!exploring.!In!this!phase!we!start!to!explore!what!are!the! possibilities!for!this!idea,!we!start!to!look!at!variations!and!we!start!to!decide! what!it!is!exactly!that!we!are!trying!to!build! 3. Define Outcome The!output!of!this!designing!and!exploring!phase!is!usually!to!define!exactly! what!the!outcome!is!that!we!will!be!building.!The!hope!is!that!we!engaged!the! customer!during!the!design!and!explore!phase!and!that!this!outcome!is! representative!of!what!the!actual!needs!of!the!customer!are.! ! 7!
- 10. 4. Plan/Procure After!the!outcome!has!been!defined!and!decided!on,!next!comes!the!planning.! So!the!big!question!we!are!trying!to!answer!in!this!phase!is!how!do!we!build! the!outcome!we!just!decided!on.!So!we!start!to!identify!all!the!tasks!and! activities!needed!to!build!the!outcome.!We!also!identify!what!are!the! components!that!need!to!be!procured!or!purchased.!We!look!into!estimates! of!time!and!money!and!we!decide!how!many!resources!we!will!have!or!need! to!build!the!product.!! 5. Do the Work Once!we!have!completed!the!planning,!the!next!step!is!to!start!the!real!work.! So!what!ever!needs!to!be!procured!is!procured,!the!resources!needed!for!the! project!are!recruited!and!work!starts!according!to!the!plan!that!was! developed.!Managers!closely!supervise!workers!to!make!sure!that!they!are! doing!the!tasks!assigned!to!them!correctly!and!according!to!the!plan.!! 6. Get Outcome The!assumption!is!that!if!all!the!workers!do!their!jobs!correctly!and! according!to!plan,!then!(assuming!the!planning!phase!was!done!correctly)! everything!will!fall!into!place!and!we!will!have!the!product!on!time!and! within!budget! 7. Get Reward Once!the!outcome!is!received!the!workers!and!managers!get!their!rewards! for!a!job!well!done.!! Challenges with this thought-process to building “stuff” Keep!in!mind!these!overall!steps!of!building!things.!As!you!can!see!this!is!obviously! an!over!simplification!of!various!processed!for!product!development.!However!what! we!are!trying!to!illustrate!is!the!thought!process.!This!thought!process!is!very! natural!and!what!most!people!are!used!to.!The!challenges!we!are!facing!in!our!jobs! today!also!stem!from!this!thought!process!because!of!the!following!challenges! 1. The!thought!process!is!liner!and!most!of!the!work!we!do!can!no!longer!we! done!in!a!linear!fashion! 2. There!is!a!fundamental!assumption!in!this!thoughtZprocess,!which!is!that!the! outcome!is!“knowable”!in!advance.!The!assumption!is!that!if!we!do!a!good! thorough!job!during!the!design!and!explore!phase,!then!we!can!accurately! identify!the!desired!outcome.!Is!every!outcome!“knowable!in!advance?”! 3. The!planning!and!procurement!phase!usually!focuses!on!creating!work! breakdown!structures!and!identifying!“things!that!need!to!purchased!to! finish!the!job.!However,!in!the!knowledge!era!we!work!in!today,!can! ! 8!
- 11. everything!be!planned!in!advance,!what!if!there!is!nothing!to!be!purchased?! What!is!all!the!elements!needed!to!finish!the!product!were!knowledge!and! elements?!How!does!that!change!the!planning?!Even!if!you!can!plan!these! tings!upfront,!what!is!the!anticipated!rate!of!change,!if!the!project!doesn’t! require!expensive!tangible!components,!but!it!is!mostly!based!on!“knowledge! work”!–!how!does!that!change!the!planning!and!procurement!activities.!! 4. The!execution!approach!to!most!work!today!is!based!on!a!coordination!and! control!approach.!While!that!approach!works!in!manufacturing!domains,! assembly!lines!and!task!work,!most!of!us!today!work!in!the!“knowledge!work”! space.!How!can!we!coordinate!and!control!the!thinking!process!of!the! developers,!testers,!customers!and!everyone!else!needed!to!complete!the! outcome.!The!nature!of!our!work!has!changed!from!physical!task!work!to! intangible!knowledge!work,!yet!way!we!manage!the!execution!of!work!has! not.!! Exact&outcome&is&& knowable&in&advance& Outcome&based&on&tangible& &&physical&components& Defined&Process& to&realize&outcome& Exact&outcome&is&& not&knowable&in&advance& Outcome&based&on&intangible,&& thoughts,&and&knowledge& Empirical&Process&& to&realize&outcome& Knowledge work Mentality Assembly line mentality The!graphic!below!is!a!summary!of!what!we!believe!of!three!critical!factors!that!are! changing!the!way!we!build!stuff.!The!degree!of!agility!needed!depends!on!where!in! the!spectrum!one!lies!with!regard!to!these!three!factors.! !! $ ! 9!
- 12. PART 1: AGILITY AS A CULTURE – THE “WHY” 04 Knowledge Work ! 10!
- 13. ! Knowledge!workers!are!employees!who!have!a!deep!background!in!education!and! experience!and!are!considered!people!who!"think!for!a!living."!They!include!doctors,! lawyers,!software!developers,!engineers,!teachers,!nurses,!financial!analysts!and! architects.!As!businesses!increase!their!dependence!on!information!technology,!the! number!of!fields!in!which!knowledge!workers!must!operate!has!expanded! dramatically.! What!differentiates!knowledge!work!from!other!forms!of!work!is!its!primary!task!of! "nonZroutine"!problem!solving!that!requires!a!combination!of!convergent,!divergent,! and!creative!thinking.!On!average,!knowledge!workers!spend!38%!of!their!time! searching!for!information.!! Even!though!they!sometimes!are!called!"gold!collars,"!because!of!their!high!salaries,! as!well!as!because!of!their!relative!independence!in!controlling!the!process!of!their! own!work,!current!research!shows!that!they!are!also!more!prone!to!burnout.!! To what degree can you coordinate and control all the “players” needed to develop the outcome? The!traditional!planZbased!approach!isn’t!flawed!in!and!of!itself;!it!just!isn’t!suitable! for!today’s!software!industry.!In!the!construction!industry,!the!planZbased!approach! is!suitable:!the!blueprints,!which!are!the!requirements,!are!fixed!and!probably!won’t! change!while!the!building!is!being!built.!You!can!estimate!how!long!it!will!take!to! build!the!steel!pillars,!pour!the!concrete,!and!so!forth.!The!reason!why!the! traditional!planZbased!approach!is!suitable!for!the!construction!industry!but!not!for! the!software!industry!comes!back!to!the!difference!in!the!way!we!control!empirical! systems!(like!software!development)!and!the!way!we!control!defined!systems!(like! construction!or!manufacturing).$ There!are!two!major!approaches!to!controlling!any!process:! • • The!defined!process!control!model.! The!empirical!process!control!model.! The!defined!process!control!model!requires!that!every!piece!of!work!be!completely! understood.!Given!a!wellZdefined!set!of!inputs,!the!same!outputs!are!generated! every!time.!A!defined!process!can!be!started!and!allowed!to!run!until!completion,! with!the!same!results!every!time.!The-defined-process-control-model-providesand-exercises-control-through-planning,'coordination'and'control.--The!defined! process!control!model!is!usually!suitable!when! • ! No!creativity!or!“new!thought”!is!needed!during!execution! 11!
- 15. PART 1: AGILITY AS A CULTURE – THE “WHY” 05 The Agile Mindset ! 13!
- 16. ! Dr.!Carol!Dweck!is!a!worldZrenowned!professor!and!researcher!about!how!people! think.!Her!book!“Mindset:%The%New%Psychology%of%Success”%highlights!the!two! different!mindsets!people!have!–!the!fixed!mindset!and!the!growth!mindset.!!! The!fixed!mindset!believes!that!their![Intelligence,-Personality,-Character]-is! lockedZdown!or!fixed.!Their!potential!is!determined!at!birth.!It!doesn’t!change.! The!growth!mindset!believes!that!their![Intelligence,-Personality,-Character]!can! be!continuously!developed.!Their!true!potential!is!unknown!and!unknowable.! ! Fixed'Mindset' Ability is inherent and static! Demonstrate Ability! Growth'Mindset' Ability can grow! Develop Ability! ! ! Leads to a desire to look good/smart! Looking!good!and!avoiding! challenges!and!obstacles!because!it! is!a!risk!for!failure!and!will!make! them!look!bad.!! Desire!to!avoid!failure!and!look! smart!in!every!situation!and!prove! myself.! Stick!to!what!they!know!and!can! do!and!as!a!result!achieve!less!than! their!full!potential.!! Feedback!and!criticism!is!personal! as!it!impacts!selfZimage.! They!don’t!change!or!improve! much!with!time,!if!at!all,!and!so!to! them!this!confirms!that!“they!are! as!they!are”.!! ! Leads to a desire to learn! Embracing!challenges!because! they!will!learn!something!new!or! they!will!fail!and!that!is!an! opportunity!to!learn!also.! Desire!continuous!learning.! Confront!uncertainties.!! Not!afraid!to!put!lots!of!effort!to! learn!and!master!something!new!! Feedback!and!criticism!is!not! about!them!but!about!current! capabilities!! ! View!feedback!as!a!source!of!new! information!that!encourages!them! to!keep!learning!and!improving.! ! ! ! 14!
- 18. In!summary,!whether!people!have!a!fixed!mindset!or!an!agile!mindset,!they!both! want!to!reduce!the!level!of!uncertainty!in!their!projects;!the!difference!is!how!they! reduce!the!uncertainty.!The!fixed!mindset!will!reduce!uncertainty!by!“fixing”!things! and!freezing!it.!The!Agile!mindset!(or!growth!mindset)!reduces!uncertainty!by! learning!quickly!and!inspecting!and!adapting.!! $ $ Fixed'Mindset' Fixed-MindsetAbility is inherent and static! Assembly!Line!Mentality! Demonstrate Ability! Growth'Mindset' Agile-MindsetAbility can grow! Knowledge!Work!Mentality! Develop Ability! ! Work!evolves!as!work!is! executed! ! Work!is!defined!upfront! and!shouldn’t!change! Leads to a desire to look good/smart! Reducing!uncertainty!by!“nailing! things!down.”!and!“fixing”!them! Looking!to!fix!and!confirm!things.!! Aims!to!be!successful!by!looking' good'and'delivering'planned' results'as'defined'upfront! Wants!to!reduce!uncertainty!by! asking!the!“customer”!to!confirm! exactly!what!they!want!(change!is! not!desired)! Wants!to!reduce!uncertainty!by! confirming-that!“developers”! know!exactly!how!to!build!it!(and! learning!is!not!encouraged)! Assumes!and!hopes!that!nothing! will!change!along!the!way! Leads to a desire to learn! Reducing!uncertainty!by! discovering!and!learning.! Looking!to!learn!and!discover!in! the!most!efficient!way!possible.!! Aims!to!be!successful!by!learning' and'delivering'desired'results'as' the'evolve! Wants!to!reduce!uncertainty!by! allowing!the!“customer”!to!learn! and!discover!what!they!want!when! they!see!it!and!experience!it.! (Change!is!welcome)! Wants!to!reduce!uncertainty!by! allowing!the!“developers”!to! discover!how!to!build!it!when!they! build!it!(learning!is!encouraged)! ! ! ! 16!
- 19. Iterations with an Agile Mindset verses a Fixed Mindset This!picture!below!shows!how!a!practice!like!iterations!can!be!used!with!a!fixed! mindset!or!an!agile!mindset!and!yields!a!different!approach!to!development.!With! the!fixed!mindset!(top!row),!the!fundamental!premise!is!that!I!need!to!know!what! the!customer!wants!in!order!to!start!on!the!first!iteration.!In!the!topZrow,!the! purpose!of!the!iterations!is!not!to!learn!and!discover!what!the!customer!wants,!its! more!or!less!to!“phase”!the!delivery!and!get!“some!feedback”!about!what!the! customer!“confirmed”!that!they!wanted.!Moreover!the!process!of!discovery!and! learning!is!not!as!efficient!as!it!could!be!because!the!development!team!is!not!getting! the!maximum!amount!of!feedback!they!can!get!from!the!process,!they!are!getting! modular!or!siloed!feedback!(piece!by!piece)!not!feedback!that!is!based!on!the! customer!experiencing!the!product!endZtoZend.!The!top!row!exemplifies!what!liner! thinking!looks!like.! Fixed&Mindset&approach'to'delivery'(Assembly'Line)' Must&“nail&down”&the&output&in&order&to&start&delivery&(Liner&Thinking)& Growth&Mindset&approach'to'delivery'(Knowledge'Work)' Discover&and&learn&through&valuable&output&and&welcoming&change&(Circular&Thinking&–&IKIWISI)& ! The!bottom!row!shows!how!iterations!can!be!used!using!an!Agile!mindset!to!truly! discover!what!the!customer!wants!by!using!a!circular!way!of!thinking!and!by! building!slices!of!the!system!with-the-intent!of!allowing!the!customer!to!learn!and! discover!what!they!want!when!they!see!it!and!experience!it.!The!Agile!mindset!does! not!have!to!“lockZdown”!what!the!customer!wants!before!they!get!started,!on!the! ! 17!
- 21. PART 1: AGILITY AS A CULTURE – THE “WHY” 06 Definition of Agile ! 19!
- 23. !Small!valueZadd!slices! !Learn!through!Discovery! !Continuous!Improvement!! ! As!depicted!the!illustration!below,!the!mindset!can!be!applied!to!any!domain!or! industry.!However!since!the!term!Agile!started!in!the!software!industry,!this! mindset!was!defined!through!4!values!and!12!principles!(which!are!the!Agile! Manifesto).!The!interesting!thing!is!that!most!people!think!of!Agile!not!in!terms!of! Mindset,!value!and!principles!but!rather!in!terms!of!practices.!Since!they!are!the! visible!manifestation!of!the!mindset,!values!and!principles.!We!encourage!people!to! make!a!clear!distinction!that!Agile!is!really!just!the!mindset,!values!and!principles! not!a!specific!set!of!practices.!Actually!it!is!important!to!understand!that!teams!and! organization!may!need!to!change!or!create!new!practices!to!make!sure!they! manifest!the!agile!mindset,!values!and!principles!in!their!environment.!! • • • So#ware( Development(( ce ( an Opera2ons( ?(Values( ?(Principles( ? ( P ? (V a rin lu cip es( le s( Fin g( ?(Values( ?(Principles( Educa2on( 2n ke ar M s( ( ue s al iple ?(V rinc ?(P 4(Values( 12(Principles( ! Unfortunately,!another!common!misconception!surrounding!Agile!is!that!Scrum!and! Agile!are!the!same!thing;!they!are!not!!Scrum!is!a!set!of!practices!bundled!together! into!a!process!framework.!Scrum!has!roles,!artifacts!and!process!activities!–!agile! does!not.!Agile!is!broader!and!grounded!in!the!mindset,!values!and!principles!not! any!of!the!practices.!eXterme!Programming!is!the!same!as!Scrum!–!a!process! methodology!consisting!of!a!number!of!Agile!practices.!! ! 21!
- 25. PART 1: AGILITY AS A CULTURE – THE “WHY” 07 How do we learn to be Agile? ! 23!
- 26. There!are!many!learning!models!however!we!found!that!ShuZHaZRi!is!the!best!model! used!to!describe!the!learning!journey!of!Agile.!ShuZHaZRi!is!a!learning!model!that! comes!from!the!martial!art!of!Aikido,!and!Alistair!Cockburn!(coZauthor!of!Agile! manifesto)!introduced!it!as!a!way!of!thinking!about!learning!techniques!and! methodologies!for!software!development.! First Stage of Learning – Shu In!this!beginning!stage!the!student!follows!the!teachings!precisely.!S/he! concentrates!on!how!to!do!the!task,!without!worrying!too!much!about!the! underlying!theory.!If!there!are!multiple!variations!on!how!to!do!the!task,!s/he! concentrates!on!just!the!one!way!being!taught.! Second Stage of Learning – Ha At!this!point!the!student!begins!to!branch!out.!With!the!basic!practices!working!s/he! now!starts!to!learn!the!underlying!principles!and!theory!behind!the!technique.!S/he! also!starts!learning!from!others!and!integrates!that!learning!into!his!practice.! ! 24!
- 27. Third Stage of Learning – Ri Now!the!student!isn't!learning!from!other!people,!but!from!his/her!own!practice.! S/he!creates!her/his!own!approaches!and!adapts!what!has!been!learned!to!the! particular!circumstances.! So!progression!moves!from!obeying!the!rules!(Shu!–!to!Obey),!consciously!moving! away!from!the!rules!(Ha!–!to!Break),!and!finally!unconsciously!finding!an!individual! path!(Ri!–!to!Separate).! A!good!practical!illustration!to!use!is!the!concept!of!driving.!Think!about!when!you! are!learning!to!drive!a!car.!You!follow!the!rules!by!the!letter!to!pass!the!driving!test.! You!have!to!think!through!each!operation!(moving!from!drive!to!reverse,!turning!on! the!lights,!signaling,!etc.)!That!was!Shu.!Contrast!this!with!a!Ri!level,!where!driving! has!become!second!nature,!and!you!are!making!changes!to!routes!unconsciously! based!on!the!conditions!you!encounter!on!the!road.! Any!introductory!class!has!many!elements!that!are!taught!at!a!Shu!level.!HOWEVER,! the!reason!it!is!necessary!to!spend!time!talking!about!the!mindset!and!underlying! principles!behind!Agile!is!to!avoid!getting!stuck!in!the!“Shu!box.”!That!is,! understanding!the!theory!and!what!an!organization!is!trying!to!achieve!makes!it! possible!to!get!to!Ri!more!quickly.!That!is,!the!organization!gets!to!a!point!where!it! can!invent!new!practices!“on!the!fly.”! More%Information%can%be%found%at:%http://alistair.cockburn.us/Shu+Ha+Ri% ! 25!
- 28. PART 2: THE ORGANIZATIONAL ECOSYSTEM – THE “HOW” 08 The Organizational Ecosystem ! 26!
- 29. In!Part!1!of!this!tutorial!we!explained!that!Agile!is!not!a!process,!framework!nor! methodology;!it!is!a!mindset,!a!culture,!a!way!of!thinking.!This!understanding!is! foundational!to!discussing!the!transformational!effort!needed!to!achieve! organizational!agility.!When!organizations!view!Agile!as!just!another!process!(even! if!it!is!viewed!as!an!efficient!process!that!enables!a!team!to!embrace!change)!then! the!transformation!journey!is!simply!about!adopting!a!new!process.!But!when!agile! is!correctly!viewed!as!a!set!of!cultural!habits,!then!the!agile!transformation!now! entails!the!change!of!the!entire!organizational!culture.!Even!those!who!view!Agile!as! a!process!(which!is!unfortunately!a!majority!of!teams!and!organizations)!try!to!scale! agile!across!the!organization,!but!typically!encounter!challenges!associated!with!the! existing!organizational!culture.!!The!table!below!shows!a!quick!comparison!between! the!elements!that!go!into!a!process!change!verses!those!that!go!into!a!cultural! change.! Process Change Culture Transformation Focus on Process and Technology Focus on People Cascading Decisions Shared Vision Training Educating Communication Buy-in Compliance Commitment ! For!the!past!six!years!the!State!of!the!Agile!Dev.!Survey!by!VersionOne,!shows!that! the!greatest!barrier!to!adopting!agile!is!the!ability!of!an!organization!to!change!its! culture!(See!diagram!below).!! ! 27!
- 30. Changing a culture: Creating Strawberry Jam The!analogy!we!use!to!better!explain!an!agile!transformation!is!that!of!creating! strawberry!jam.!If!we!think!of!one!team!doing!agile!as!!a!strawberry,!where!it!is! sweet!and!it!has!benefits!(just!like!an!agile!team),!!it!is!not!yet!strawberry!jam! (where!jam!represents!organizational!agility).!When!an!organizations!sees!success! with!the!one!strawberry!(one!agile!team)!it!develops!a!desire!to!!startZup!more!agile! teams!in!the!hope!of!achieving!organizational!agility.!That!is!like!adding!more! strawberries!to!a!bowl!and!hoping!that!the!result!will!be!strawberry!jam.!The!reality! is!that!by!starting!more!agile!teams,!you!end!up!with!an!agile!team!in!a!nonZagile! organization.!There!is!a!transformation!process!that!needs!to!occur!to!change!the! strawberries!to!jam.!There!is!a!chasm!between!teamZlevel!agile!(strawberries)!and! enterpriseZlevel!agile!–!that!is,!!organizational!agility!(the!jam).!The!chasm!exists! because!usually!teamZlevel!agile!is!achieved!by!a!change!of!process!and!roles,!and! perhaps!in!some!cases!the!“culture”!and!behaviors!of!the!team!members,!but!that!is! very!different!from!talking!about!a!change!in!organizational!culture.!For! organizational!agility!to!happen!and!be-sustainable!it!must!entail!a!transformation! of!culture.!!! Single)Team)Agile) Individual)Mindsets)and)) Team)(Sub))Cultures)need)to)) be)aligned)with)Agile) Mul=ple)Team)Agile) Chasm)between)Transforma=on)and)Adop=on) Organiza=onal)) Culture)needs)to)be)) Aligned)with)Agile) Enterprise)Agile) At!this!point!we!have!laid!out!our!reasons!for!asserting!that!transforming!an! organization!to!become!more!agile!requires!more!than!just!process!change.!Rather,! it!requires!a!complete!culture!shift.!Moreover,!we!assert!that!an!effective!agile! transformations!is!only!sustainable!when!it!impacts!the!entire!culture!of!an! organization!–!which!means!transforming!all!the!elements!of!the!culture!such!as,! leadership!style,!leadership!values,!work!structures,!reward!systems,!processes,!and! of!course!the!work!habits!of!people.!! ! 28!
- 31. The Ecosystem: The Elements of Culture The!following!diagram!attempts!to!illustrate!how!we!view!culture!and!the! relationship!between!culture!and!the!elements!of!the!organizational!ecosystem! (Leadership,!People,!Strategy,!Processes,!and!Structures).!Note!that!we!picked!the! shape!of!a!triangle!to!represent!an!organization!for!the!sake!of!simplicity,!not!to! imply!that!there!is!a!notion!of!a!hierarchy.!Furthermore,!!we!see!this!representation! as!a!working!model!that!we!continue!to!evolve.!The!culture!of!an!organization!is! represented!as!the!red!“bungeeZcord”!or!“rubberZband”!that!is!shaped!by!all!these! elements!and!at!same!time!holds!all!these!elements!in!alignment!with!each!other.!! Leadership Strategy (Goals,)Measures)of)Success,)Rewards) ) ' Structure re ltu Cu Cu ltu re ' (Style,)Values,)Habits) ) (Roles)and)Responsibili?es,)Decisions,)Organiza?on) ) ) Process (Value)Chain,)Policies,)Opera?ons,)Business)Processes) ) People (Values,)Beliefs,)A.tudes,)Norms,)Habits) ) Culture' Leadership In!the!diagram!above,!when!we!refer!to!leadership,!we!are!interested!in!various! elements!of!leadership,!starting!with!the!overall!style!of!leadership.!Is!it! collaborative,!or!commandZandZcontrol,!or!something!else!like!consensusZdriven?! We!are!also!looking!at!the!values!that!leadership!holds.!What!are!the!things!that! leadership!truly!aspires!towards!every!day!in!practice,!not!what!is!published!in! some!brochure!as!the!“values?”!Do!leaders!really!aspire!towards!transparency,! creativity,!sustainability,!or!do!they!aspire!towards!perfection,!compliance!and! protection?!Do!they!value!effort!or!do!they!only!value!getting!it!right!the!first!time?! What!are!their!habits!when!it!comes!to!dealing!with!challenges!or!constraints?!How! do!leaders!react!naturally!(and!automatically)!when!problems!start!to!surface?!Do! ! 29!
- 34. PART 2: THE ORGANIZATIONAL ECOSYSTEM – THE “HOW” 09 Cultural Alignment: the Key to Sustainable Transformations ! ! 32!
- 35. The!sum!total!of!all!the!five!elements!presented!in!the!previous!section!(Leadership,! Strategy,!Structure,!Process!and!People)!creates!the!culture!of!the!organization!and! the!culture!keeps!these!five!elements!in!alignment!and!harmony.! Leadership Cu ltu re ' (Style,)Values,)Habits) ) Strategy (Goals,)Measures)of)Success,)Rewards) ) Cu ltu re ' Structure (Roles)and)Responsibili?es,)Decisions,)Organiza?on) ) ) Change' Process (Value)Chain,)Policies,)Opera?ons,)Business)Processes) ) People (Values,)Beliefs,)A.tudes,)Norms,)Habits) ) Culture' When!we!look!at!a!large!sample!of!organizations!trying!to!adopt!agile,!we!see!that! due!to!their!understanding!of!agile!as!a!process,!the!change!efforts!focus!on! changing!the!process!element!of!the!model!(as!depicted!in!the!diagram!above).!As! teams!adopt!agile!they!introduce!more!collaborative!processes!and!practices!(for! instance,!!daily!standZups,!group!estimation,!collaborative!planning,!and!team! rooms).!However!by!only!changing!the!“process”!element!of!the!diagram!they!have! thrown!the!organizational!culture!into!a!state!of!misalignment!and!unsustainability.! The!misalignment!comes!from!the!fact!that!now!the!processes!are!pushing!towards! a!collaborative!culture!but!the!remaining!elements!of!the!culture!are!not!in!sync.!For! example,!it!is!common!to!see!that!leaders’!values!and!habits!have!not!changed!to!be! more!collaborative,!nor!have!the!reward!systems!changed!to!encourage!the!new! collaborative!processes.!The!misalignment!then!leads!to!lack!of!sustainability!of!the! change!because!the!culture!will!eventually!“push!back”!on!the!processes!element! and!try!to!align!it!with!the!rest!of!the!elements!makingZup!the!culture.!! Causing the Culture to be Misaligned It’s!not!just!about!the!process!element.!But!if!you!change!any!one!or!even!two! elements!but!keep!the!rest!the!same,!the!same!results!can!be!expected.!For!example,! Scrum!teams!change!the!process!element!to!introduce!collaborative!practices!and! also!change!the!roles!and!responsibilities!of!a!typical!team!by!introducing!two!roles;! the!ScrumMaster!and!Product!Owner.!However,!those!changes!may!still!be!at!odds! with!the!rest!of!the!organization!if!none!of!the!other!elements!change.!You!can!see! this!misalignment!manifested!in!behaviors!such!as!teams!constantly!complaining! that!they!can’t!get!“buyZin”!from!leadership!to!dedicate!people!to!certain!roles!and! ! 33!
- 36. even!the!people!in!those!roles!may!have!habits!and!beliefs!that!don’t!enable!them!to! be!effective!in!their!role,!and!!don’t!help!them!facilitate!collaboration!between!the! team.!! Even!beyond!collaboration,!agile!adoption!efforts!change!process!elements!and! introduce!new!processes!and!practices!that!encourage!learning!and!discovery!(e.g.! early!feedback!and!retrospectives)!but!again,!are!the!rest!of!the!organizational! elements!in!alignment?!Do!the!people!value!learning!and!discovery!or!do!they!see! learning!as!indicator!for!the!lack!of!competency.!!Does!leadership!encourage! learning!and!reward!!it,!or!is!there!a!culture!of!“get!it!right!the!first!time”!and! learning!is!viewed!as!a!lack!of!proper!planning?!Is!learning!and!discovery!included! as!part!of!!goals,!!strategies!and!rewards?! These!are!the!real!challenges!that!confront!!agile!“transformation”!efforts!that!only! (or!primarily)!focus!on!changing!!one!or!two!of!!elements!without!truly!!changing! the!culture.!The!other!interesting!phenomenon!is!that!once!the!change!agent!or! sponsor!exerting!the!pressure!to!change!the!process!element!(thereby!going!against! the!culture)!goes!away,!the!culture!(represented!in!the!bungee!cord!or!rubber!band! around!the!triangle)!pushes!the!process!element!back!into!alignment!with!the!rest! of!the!organization!and!all!that!investment!in!“change”!turns!out!to!be!not! sustainable.!!! For!transformations!to!be!successful!they!must!be!sustainable!and!live!on!to! become!the!new!culture!of!the!organization.!For!that!to!happen!successfully!the! culture!as!a!whole!needs!to!transform!by!evolving!and!changing!all!of!its!elements! together!as!part!of!a!shared!journey.!Cultural!alignment!is!the!key!to!a!successful,! sustainable,!transformation.! Importance of Cultural Alignment Research!conducted!by!Jim!Collins!and!Jerry!Poras!(in!their!book!Built%to%Last:% Successful%Habits%of%Visionary%Companies)!shows!that!the!key!distinguishing!factor! for!high!performing!organization!is!the!existence!of!a!strong%aligned!culture.!An! aligned!culture!is!where!all!elements!of!the!organization!work!in!concert!together.!! For!example,!if!the!leadership!style!is!commandZandZcontrol!and!that!is!aligned!with! the!strategy!and!measures!of!success,!then!the!structures!are!designed!to!promote! command!and!control.!Additionally,!the!policies,!procedures!and!processes!are!all!in! alignment!with!promoting!and!supporting!the!command!and!control!culture.!It!is! therefore!not!surprising!that!the!people!in!the!organization!believe!that!command! and!control!culture!is!best!for!the!organization.!At!that!point,!when!all!the!elements! are!in!harmony!together,!then!we!have!an!aligned%culture.!! Aligned!cultures!are!the!most!critical!differentiating!factor!for!highZperforming! organizations.!Whether!the!culture!is!command!and!control!or!collaborative!does! not!matter!as!much!as!whether!all!the!elements!in!the!organization!are!aligned!and! ! 34!
- 37. consistent!with!the!culture.!!A!strained!or!unaligned!culture!occurs!when!one!or! more!elements!are!not!in!harmony!!with!the!others.!! Keeping the Culture Aligned during the Transformation Many!people!that!“deploy”!a!new!agile!process!or!“rollout”!a!new!agile!tool!deem! themselves!agile.!However,!it!doesn’t!matter!if!we!say!the!organization!is!now!an! agile!organization!or!not,!the!reality!is!that!the!culture!will!always!!bring!things!back! toward!an!equilibrium.!So!we!want!to!find!a!way!to!transform!to!agile!that!will!not! misalign!the!organization’s!culture!during!the!transformation!journey!so!that!we! can!sustain!the!transformational!journey!and!actual!transform!the!organization!and! all!it!elements.!!If!we!don’t!ensure!that!the!culture!is!aligned!throughout!the! transformational!journey,!the!culture!(the!bungee–cord)!will!be!constantly!pushing! back!against!the!changes!and!therefore!jeopardizing!the!possibility!of!any!true! transformation!from!happening.!! Organizational!cultures!that!are!misaligned!(as!shown!in!the!illustration!above)! need!to!be!avoided!at!all!cost,!but!how!is!the!key!question!here.! ! 35!
- 38. PART 2: THE ORGANIZATIONAL ECOSYSTEM – THE “HOW” 10 Common Transformational Approaches ! ! 36!
- 39. In!the!this!section!we!will!illustrate!two!common!transform!approaches!(processZ led!and!organizationZled)!that!cause!the!organizational!culture!to!be!misaligned! throughout!the!period!of!the!transformation,!thereby!putting!the!transformation! effort!at!risk,!and!more!importantly!usually!resulting!in!unsustainable!agile! transformation.!! As!we!present!these!two!approaches,!the!diagram!we!use!will!show!the!different! stages!of!the!transformation!from!the!current!state!(represented!by!the!blue! triangle)!to!the!end!state!(represented!by!the!green!triangle).!The!color!red!will!be! used!to!show!how!the!culture!becomes!misaligned.!After!presenting!the!two! common!approaches!for!transformation,!we!will!present!a!third!approach!(cultureZ led)!that!transforms!the!culture!in!a!manner!that!keeps!the!alignment!of!culture! intact!(not!red)!as!much!as!possible!during!the!transformation.!! Approach #1: Process-led Transformations ! The!term!agile!was!coined!and!made!popular!though!the!software!industry!and,! unfortunately,!many!people!have!boiled!agile!down!to!a!set!of!practices!and! processes!for!developing!software.!Some!have!extended!it!beyond!the!software! world!and!even!then!limited!it!to!a!management%process%or!methodology.!Therefore! naturally!the!agile!transformation!will!start!with!changing!the!process!element!of!an! organization.! ! 37!
- 43. PART 2: THE ORGANIZATIONAL ECOSYSTEM – THE “HOW” 11 Culture-Led Transformation ! ! ! 41!
- 48. PART 3: CHANGING HABITS– THE “WHAT” 12 Habits ! ! 46!
- 50. Keystone!habits!are!habits!that!have!the!power!to!start!a!chain!reaction!changing! other!habits!across!the!organization.!Keystone!habits!start!a!process!that,!over!time,! transforms!everything.!! For!example,!a!nonZkeystone!habit!is!turning!the!water!off!while!you!brush!your! teeth.!While!this!is!a!great!habit,!there!is!little!probability!that!this!habit!will!change! the!rest!of!your!life.!On!the!other!hand,!Regular!physical!activity,!is!a!keystone!habit,! because!for!many!people!it!starts!other!habits!like!eating!healthy,!proper!sleeping! and!so!on.!!They!key!to!a!keystone!habit!is!that!it!commonly!has!ripple!effect!beyond! the!original!habit.!!The!healthy!eating!and!proper!sleeping!are!not!part!of!the! original!goal!(the!exercise);!instead,!these!healthy!changes!are!part!of!a!chain! reaction!that!happens!when!you!incorporate!the!keystone!habit.! Big Change in Small Slices Any!major!transformation!goes!through!phases!of!change.!One!of!the!change!models! that!illustrate!the!different!phases!of!change!is!the!VirginiaZSatir!change!model.!! New*Comfort*Zone* Current** Comfort** Zone* Short*Term*Gain*/*Excitement** Performance* Resistance* Integra<on* Chaos* Introducing* Change* Time* Transforming* Idea* ! ! The!VirginiaZSatir!change!curve!illustrates!how!change!initiatives!cause! organizations!to!go!through!an!intense!period!of!resistance!and!chaos!and!how! these!periods!cause!a!drop!in!the!performance!of!organizations.!The!VirginiaZSatir! model!also!indicates!that!if!an!organization!can!go!through!this!period!of!chaos!and! resistance!and!embrace!new!transforming!ideas,!then!the!chaos!will!decrease!and! the!performance!will!increase!to!a!new!higher!level!than!the!previous!status!quo.! The!risk,!however,!is!that!some!organizations!may!not!be!able!to!handle!these! ! 48!
- 52. PART 3: CHANGING HABITS– THE “WHAT” 13 Learning and Education ! 50!
- 54. The$keys$for$sustainably$transforming$the$ culture$ ! • • • Establishing!a!measurement!system!that!is! consistently!monitoring!the!alignment!of!the! culture!$ Primary!measure!of!progress!is!the!mindset!shift! and!the!transformation!of!personal!and! organizational!work!habits$ Reporting!progress,!as!a!function!of!culture! change!not!process!change,!nor!structure! change.!$ Sustainable Transformation through Learning and Education Education!is!a!critical!component!in!a!sustainable!agile!transformation.!Sustainable! agile!is!realized!when!people!have!truly!change!the!way!they!think!–!and!this! requires!education.!If!we!truly!understand!that!we!need!to!change!the!mindset!of! everyone!in!the!organization,!including!its!leaders,!then!we!need!a!combination!of! education!and!coaching!and!mentoring!to!successfully!equip!people!with!the! knowledge!and!skills!they!need!to!develop!and!execute!the!agile!habits!we!talked! about!earlier.!If!we!think!of!agile!as!a!process,!not!a!mindset,!then!we!default!to! training!instead!of!education.! There!is!a!clear!difference!between!education!and!training!Z!education!is!about!the! changing!of!the!way!people!think!about!their!dayZtoZday!work!–!how!to!govern!an! agile!project,!while!keeping!flexibility,!how!to!build!code!while!reducing!the!cost!of! change,!to!undertake!analysis!by!focusing!on!vertical!slices!of!business!value.! Training!is!about!the!mechanics!of!how!practices!are!done,!such!as!a!template!for! writing!a!user!story.!Education!will!focus!on!changing!the!thought!process!to!focus! on!value!and!enable!the!educated!to!think!and!decide!what!works!for!them!and!for! their!team.!! Lots!of!agile!teams!have!gone!through!Scrum!training,!or!even!better,!Agile!training.! While!we!believe!there!is!value!in!these!trainings,!what!we!are!illustrating!here!is! way!beyond!that.!Most!of!these!training!sessions!discuss!the!practices!and! ceremonies!of!the!practices,!like!how!to!do!release!planning,!how!to!write!user! stories!or!how!to!facilitate!a!daily!standZup.!While!this!training!is!needed,!this!is!not! education.!Education!goes!beyond!the!practices!and!into!the!dayZtoZday,!minuteZbyZ minute!thought!process!of!people.!Education!will!help!people!BE!agile!not!just!DO! agile.!Education!illuminates!their!hearts!and!minds!and!helps!them!realize!how!an! agilist!acts!and!thinks!inZbetween!and!beyond!the!daily!meetings!and!workZsessions.! It!changes!their!beliefs,!values!and!habits.!That!is!truly!when!agility!becomes! sustainable!–!when!it!is!embodied!in!the!DNA!of!the!people!running!the!organization! (at!both!leadership!and!staff!levels).!! ! 52!
- 55. The!illustration!below!lays!out!how!much!of!one’s!time!is!consumed!by!agile! practices!during!a!typical!2Zweek!iteration.!Most!training!focus!on!the!practices!–! how!to!do!them!better,!different!ways!of!doing!them,!etc.!What!we!are!emphasizing! is!that!since!Agile!is!really!a!very!different!way!of!thinking!–!its!not!just!about!the! changing!the!way!people!“do”!the!practices,!people!need!change!the!way!they!think! about!their!work!–!which!includes!all!the!time!they!are!not!doing!practices!as!well.! That!is!the!focus!of!education!and!learning!compared!to!training.! ! 9"10% 10"11% 11"12% 12"1% 1"2% 2"3% 3"4% 4"5% Day$1$ Day$2$ Day$3$ Day$4$ Day$5$ Day$6$ Day$7$ Day$8$ Day$9$ Day$10$ Other$ Itera5on$Planning$ Stand>up$ Demo$ Retrospec5ve$ Release$Planning$ The International Consortium for Agile While!we!acknowledge!our!bias!towards!the!learning!roadmap!published!by!the! International!Consortium!of!Agile!(ICAgile.com),!we!truly!believe!that!it!is!the!most! comprehensive!roadmap!in!the!agile!community!that!focuses!on!a!common! education!roadmap!for!agile!and!agility,!which!is!not!limited!to!training!on!a! particular!agile!methodology.!ICAgile!has!gathered!experts!from!around!the!world! and!they!have!collaborated!to!define!an!education!roadmap!for!every!discipline! needed!to!change!how!the!organization!as!a!whole!works,!and!provides!education!as! a!foundation!for!sustainable!organizational!agility.!(Focus!on!people!not!process,! education!not!training)! We!believe!that!ICAgile!provides!a!set!of!learning!objectives!that!creates!a!clear! learning!roadmap!for!what!people!need!to!learn!within!each!discipline!(such!as! Development,!Testing,!Leadership,!and!Coaching)!to!become!knowledgeable!and! ! 53!
- 57. PART 3: CHANGING HABITS– THE “WHAT” 14 An Agile Transformation Roadmap ! 55!
- 59. ! Keystone Habit #1 Keystone Habit #2 Keystone Habit #3 What needs to change for our Structure to enable, support and promote this keystone habit? * Structure* What needs to change for our Processes to enable, support and promote this keystone habit? * Process* What do People need to know, or do to enable, support and promote this keystone habit? People* * ! Keystone Habit #4 Keystone Habit #n What needs to change for our Strategies to enable, support and promote this keystone habit? What does Leadership need to know, or do to enable, support and promote this keystone habit? * Strategy* * Leadership* ! 57!
- 61. ! 59! Enhancing communication and collaboration Keystone Habit: Collaboration Keystone Habit #2 Keystone Habit #3 Keystone Habit #4 Keystone Habit #n ! Agile mindset ! Knowledge work management ! Facilitative leadership What does Leadership need to know, or do to enable, support and promote this keystone habit? * Leadership* * ! Create a cross-silo portfolio value team ! Management level rewarding system for team collaboration not heroics What needs to change for our Strategies to enable, support and promote this keystone habit? Strategy* * ! Each project has a delivery team and a value teams ! Establish team facilitators What needs to change for our Structure to enable, support and promote this keystone habit? Structure* * Chartering Information radiators Collaboration tools 15 minute daily touch points ! Retrospectives ! ! ! ! What needs to change for our Processes to enable, support and promote this keystone habit? Process* ! Agile fundamentals (including agile mindset) What do People need to know, or do to enable, support and promote this keystone habit? People* *
- 62. ! Things to Keep in Mind about Your Roadmap Since!each!organization!is!unique,!each!organization!should!have!a!different! roadmap.!The!key!to!making!sure!that!your!roadmap!is!correct!is!to!frequently! inspect!and!adapt!it.!Just!like!in!knowledge!work!you!won’t!know!if!you!got!it!right! till!you!do!it,!similarly,!your!first!roadmap!probably!won’t!be!completely!right!and!it! is!also!probably!the!best!starting!point!you!have.!The!most!important!thing!is!to! inspect!and!adapt!and!discuss!what!changes!need!to!happen!to!the!roadmap!as! execution!begins.!Don’t!try!to!take!a!“checklist!mentality”!or!“linear!approach”!to! agile!transformation!–!that!would!be!pretty!ironic.! We!can!also!give!you!a!couple!of!important!things!to!key!in!mind!when!building!your! roadmap.! The!first!thing!to!keep!in!mind!is!that!it's!going!to!be!a!fairly!long!journey,!definitely! not!a!switch!of!a!button.!The!strategy,!structure!and!processes!of!companies!are! established!(and!deeply!rooted)!elements!in!an!organization.!Sudden!change!to! them!may!work!in!some!cases,!but!in!most!cases!it!doesn’t.!So!just!as!the!educational! journey!for!leadership!is!multiZstage!and!probably!multiZyear,!the!transformational! roadmap!for!the!strategy,!structure!and!process!also!will!probably!be!multiZstage! and!multiZyear!–!it!actually!should!go!handZinZhand!with!the!educational!component! of!the!roadmap.!! The!second!thing!to!be!very!conscious!of!is!that!the!transformational!journey!should! span!the!entire!organization.!The!entire!organization!is!engaged!in!a!common! journey!to!reach!a!shared!vision.!By!having!one!part!of!the!organization!change!and! not!the!other!we!are!creating!misalignment!again!within!the!overall!culture.!Due!to! the!size!of!the!change!it!is!very!tempting!to!“try!it!out”!in!a!“small!contained!group”! within!the!organization!first!to!see!if!the!new!changes!work!first.!Our!advice!in!this! situation!is!to!make!smaller!changes!–!if!needed!Z!but!keep!everyone!in!the! organization!engaged!–!not!just!one!“pilot”!group.! ! 60!
- 64. The!final!component!that!needs!to!be!addressed!in!a!cultureZled!transformation!is! measurement.!One!of!the!main!reasons!we!promote!a!cultureZled!transformation!is! that!we!want!to!ensure!that!the!culture!doesn’t!get!misaligned!and!strained!during! the!transformation.!So!to!do!that!a!strong!measurement!system!needs!to!be! established.!The!measurement!system!is!primarily!established!to:!! • • • Validate!quantitatively!the!progress!of!the!transformation! Validate!quantitatively!the!impact!of!the!transformation! Validate!quantitatively!the!alignment!of!the!culture! Progress of the transformation Any!agile!transformation,!especially!multiZyear!transformations!like!the!one! discussed!in!this!paper,!need!to!show,!via!quantitative!evidence,!that!the! transformation!people!are!investing!time,!energy,!money,!and!other!resources!in!is! progressing.!The!team!needs!to!define!what!progress!means!and!establish!a! measurement!system!to!show!evidence!of!!progress.!!While!the!impact!of!the! transformation!(!as!described!in!the!next!section)!is!really!the!more!important! measure!from!our!perspective,!measuring!progress!is!still!important,!because!for! the!impact!to!be!substantial,!it!will!take!time,!and!if!progress!is!not!being!tracked,! funding!for!the!transformation!may!get!cut!before!the!impact!can!be!realized.!! Impact of the transformation While!measuring!progress!is!important!to!justify!the!investment!put!into!the! transformation,!the!true!measure!of!the!transformation!is!its!impact.!Measures!need! to!be!defined!upfront!for!what!the!anticipated!impact!from!the!transformation!will! be,!and!then!measurement!systems!(how!to!measure)!need!to!be!established!from! day!one!to!show!the!impact!of!the!transformation!–!even!if!it!is!small.!The!challenge! here!is!that!defining!the!measurements!and!establishing!a!system!to!measure!them! is!not!easy,!and!so!many!transformation!efforts!skip!doing!it!and!just!start!the! transformation.!The!power!of!starting!the!measurement!of!impact!from!day!one!is! that!first!of!all!it!forces!the!organization!to!think!about!what!!impact!they!expect!!the! transformation!to!have,!and!more!importantly!how!to!measure!that!impact.! Measures!of!impact!provide!a!sense!of!accomplishment!for!the!team!and!the! organization!along!their!journey,!while!at!the!same!time!they!illustrate!what!the! return!on!investment!realized!from!the!journey!has!been.!! Alignment of the culture The!last!piece!of!the!measurement!system!needs!to!be!a!mechanism!to!monitor!the! mindset!and!culture!that!are!changing!across!the!organization.!Basically,!the! organization!needs!to!be!aware!when!the!“triangle”!is!not!moving!together!and! when!one!element!is!causing!the!culture!to!be!misaligned!or!strained.!Today!most! ! 62!
- 66. 16 The Agile Tree Analogy ! 64!
- 69. 1. The%Principles%of%Product%Development%Flow!by!Donald!Reinerstsen! 2. Management%3.0%by!Jurgen!Appelo! 3. Chasing%the%Rabbit!by!Steven!Spear! 4. The%Lean%Startup:%How%Today's%Entrepreneurs%Use%Continuous%Innovation%to% Create%Radically%Successful%Businesses%by!Eric!Ries! 5. Mindset:%The%New%Psychology%of%Success%by!Carol!Dweck!! 6. The%Power%of%Habit:%Why%We%Do%What%We%Do%in%Life%and%Business%by!Charles! Duhigg! 7. The%Art%of%Explanation:%Making%your%Ideas,%Products,%and%Services%Easier%to% Understand%by!Lee!LeFever! 8. Becoming%Agile%…%in%an%imperfect%world%by!Greg!Smith!and!Ahmed!Sidky! 9. Agile%Retrospectives:%Making%Good%Teams%Great%by!Esther!Derby,!Diana!Larsen! 10. Fearless%Change:%Patterns%for%Introducing%New%Ideas%by!Mary!Lynn!Manns!and! Linda!Rising! 11. Agile%Estimating%and%Planning%!by!Mike!Cohn,! 12. User%Stories%Applied:%For%Agile%Software%Development%by!Mike!Cohn,!! 13. Agile%Project%Management:%Creating%Innovative%Products%by!Jim!Highsmith,!! 14. Organizational%Patterns%of%Agile%Software%Development%by!James!O.!Coplien,!! 15. Coaching%Agile%Teams%by!Lyssa!Adkins! 16. Innovation%Games%by!Luke!Hohmann!! 17. Implementing%Lean%Software%Development:%From%Concept%to%Cash%by!Mary! Poppendieck,!Tom!Poppendieck,!! 18. Collaboration%Explained:%Facilitation%Skills%for%Software%Project%Leaders%by!Jean! Tabaka!,!! 19. Agile%Software%Development:%The%Cooperative%Game%(2nd%Edition)%by!Alistair! Cockburn! 20. The%Art%of%Agile%Development%by!James!Shore!and!Shane!Warden,! ! ! ! ! 67!