Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

How to grow your organization resilience and anti-fragility

Bringing agility to an organizational level requires a set of new skills and practices to emerge. While we have plenty of example on how agility can impact teams performance, by adopting well proven practices, there is still a lot of uncertainty in what to bring to an organizational level. Inspecting and adapting as an organization requires different structures and a more strategic approach, if we want to maximize the learning effect. Chaotic and uncontrolled experimentation and local adaptations can rapidly tear an organization apart. Focus on value and customers are important to set a common direction, but to roll out a shared strategy we need a solid and coherent cultural context, or the strategy will fail. Explicitly measuring and designing culture is a key enabler towards agility and can provide incredible advantages to an organization development. Understanding how to lead such change and enabling people to participate in creating rapid value, is the one thing that might save your company in the rough waters of today's market... Are you ready for the challenge?

How to grow your organization resilience and anti-fragility

  1. 1. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2016. How to grow organizational resilience and anti-fragility Or why does it matter to your organization? What can agility help you to achieve…
  2. 2. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. The World around us is changing faster than we think…
  3. 3. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Technology can be one of the main drivers in this change…
  4. 4. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. And most of the time it is considered a “commodity” which we are willing to compromise and outsource…
  5. 5. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015.
  6. 6. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. What is Fragility? We are trying to reduce the impact of volatility by controlling the knows… forgetting that when the unknowns are hitting us, they will generate immensely more harm…
  7. 7. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Fire…
  8. 8. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Fighting…
  9. 9. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Prevention…
  10. 10. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Brush…
  11. 11. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. So what are Resilience and Anti-Fragility? Let’s try to understand what these two words mean and how can help us improving our organizations…
  12. 12. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. “Resilience is the capacity of a system to absorb disturbance and reorganise while undergoing change so as to still retain essentially the same function, structure, identity, and feedbacks.” [Brian Walker, 2004]
  13. 13. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. “Antifragility is a property of systems that increases in capability, resilience, or robustness as a result of stressors, shocks, volatility, noise, mistakes, faults, attacks, or failures” [Nassim Nicholas Taleb]
  14. 14. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014.agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2009. Individuals & interactions Working software Customer collaboration Responding to change Processes & tools Comprehensive documentation Contract negotiation Following a plan o v e r We recognize the value here...We value this more….
  15. 15. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Client & Value focus Self-Organization &Autonomy Iterative & Incremental change to reduce the risk Continuous Improvement
  16. 16. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. How to improve resilience and antifragility of a team? Ever experienced teams of champions not delivering as much as expected? Here is a couple of reasons why…
  17. 17. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. What makes a team fragile? Notice that they are sinking…
  18. 18. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014.agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2009.agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2009. Lack of understanding of customer’s needs What is this?
  19. 19. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014.agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2009. self- organized managed leader
  20. 20. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 1 Resilience: Antifragility: Low High
  21. 21. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 3 Resilience: Antifragility: Low High
  22. 22. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 6 Resilience: Antifragility: Low High
  23. 23. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 10 Resilience: Antifragility: Mid High
  24. 24. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 15 Resilience: Antifragility: Mid High
  25. 25. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 21 Resilience: Antifragility: High Mid
  26. 26. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 28 Resilience: Antifragility: High Low
  27. 27. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Team size between 5 and 9 people, why? Relations of trust: n*(n-1)/2 36 Resilience: Antifragility: High Low
  28. 28. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Specialization makes a team more fragile… I People Profiles T X Evolve Evolve
  29. 29. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014. Enabling Constraints Clear Direction Creative Environment CDE Containers… How to foster self-organization?
  30. 30. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2009. Encourage to retrospect often
  31. 31. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2009. Encourage forming Community of Practice
  32. 32. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. If people fear to fail, they will fear to change… and if they never change, your organization will not evolve Encourage Team Experimentation Allow for failure to happen fast and often
  33. 33. agile42 | The Agile Coaching Company www.agile42.com | All rights reserved. Copyright ©2007-2016 Forming Storming Norming Performing Tuckman, Katzenbach & Smith… Performance Team Effectiveness (Maturity) Working Group Pseudo Team Potential Team Real Team High Performing Team Antifragility
  34. 34. agile42 | The Agile Coaching Company www.agile42.com | All rights reserved. Copyright ©2007-2016 Tuckman, Katzenbach & Smith… (with Coaching) Performance Team Effectiveness (Maturity) Forming Storming Norming Performing Pseudo Team Potential Team Real Team High Performing Team Working Group
  35. 35. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. How to improve resilience and antifragilty of an organization? Can we really design an organization which is ready and prepared to recover from failure? Can failure make your organization stronger?
  36. 36. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Hierarchy Compliance What makes an organization fragile? Rigidity
  37. 37. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. 1st Principle: focus on small incremental changes Whenever changing from one way of working to another, we will go through a hybrid situation where the coexistence of two different ways generates attrition, duplications and other forms of waste. The awareness of this fact should push us in delivering changes fast and in small increments…
  38. 38. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. The traditional approach to change management… …focused on standardization, before stabilization… t Design Documentation Rollout Fix Issues > 3-4 months…
  39. 39. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. The agile approach to change management… …focused on stabilization with emergent standardization… Design Rollout Doc Rollout Doc Rollout Doc Coach ≤ 12 weeks t Design Coach Rollout Doc Rollout Doc Experimentations allows for better approaches to emerge
  40. 40. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Goal PSF NC Agile Strategy Map™ Define the Goal we want to achieve Possible Success Factor (PSF) represents a hypothesis about a key factor that would enable us to achieve the Goal Necessary Condition (NC): what is needed in order to fulfill the Success Factor
  41. 41. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Strategy Map from March 2014 • The Goal for 2015 has been established • The Transition Team identified at least 7 PSFs that would provide a powerful leverage to achieve the final Goal
  42. 42. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Strategy Map June 2014 • Break out groups worked on detailing the various PSFs into actionable experiments to validate the hypothesis for organizational improvement Safe-To-Fail Experiments
  43. 43. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. 2nd Principle: focus on value and organize accordingly Focusing on value means to make sure that there are as few obstacles as possible in the direction of the value streams…
  44. 44. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. The matrix organization… SubSystem1 SubSystem2 SubSystem3 Infrastructure Operations PMO Project 1 Project 2 Project 3 … optimized for utilization, not value delivery… Handovers and coordination Value Client Push in the lines
  45. 45. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Stream 1 Stream 2 Stream 3 The agile organization… SubSystem1 SubSystem2 SubSystem3 Infrastructure Operations … optimized for value delivery and time to market Value Client Pull on the streams
  46. 46. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Opportunity Canvases to create context and focus on Customer Value… Lean Portfolio Canvas™ have been created by agile42 and are licensed using Creative Common 3.0 with attribution (BY), non commercial usage (NC) and share alike (SA) options. You can reuse and modify the template, but you will always have to leave the logo on it. OpportunityName (title) 1. Opportunity 2. Customer Segments What is the problem to be solved? What type of customers & users will benefit from this solution? How is the customer solving the problem right now? 3. Possible Solution What are the key points of a possible solution to the presented problem? 4. Benefits What are the benefits for the customers? 6. Measuring Success What metrics will be best measure the success of the feature? 5. Business Readiness What steps are required from the business side to be able to use this capability? 7. Cost of Delay Which profile better represent the cost of delay (CoD)? 8. Costs Structure How does the cost structure look like for such a feature? One time, ongoing costs, contractors expenses, development costs? 9. Value to Customer and Business What are the expected incremental revenue for selling this feature, and what are the strategic and tactical benefit? What are the intangible values (usability, performance, customer knowledge obtained...) Opportunity Owner (name)
  47. 47. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015.agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Unified Portfolio and Program System to increase transparency, to visualize Customer Value and dependencies
  48. 48. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015.agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015.
  49. 49. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015.agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015.
  50. 50. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. 3rd Principle: decentralize control whenever possible Decentralization of control and decision making, reduces the feedback loops, and enables faster reaction times. It requires defining goals and constraints to allow for autonomous decision making.
  51. 51. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014. Control ! Worker 1 Sub 1 Worker 2 Sub 2 Sub 3 The hierarchical organization… Centralized Control, ends up overloaded, introducing delays Requests Authorization the design is based on mistrust… Information&power
  52. 52. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014. Container for empowerment Worker 3Worker 2 The agile organization… Decentralized Control reduces overhead, and encourage collaboration the design is based on trust… Worker 1 Collaboration Information&power
  53. 53. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014. • Both on the “budget” level, as well as on the expected delivery and preparation levels • This level of transparency allows to build trust between Portfolio Management and self-organizing teams • Clear Policies describing the range of autonomy the teams have
  54. 54. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2014. • Every team has two “avatars” to volunteer on upcoming Opportunities • The Opportunity Owner will get in touch with the team to get their input and enrich the backlog
  55. 55. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. And don’t forget about culture and context… Ok, now you get which patterns can help your organization and your teams improve their resilience and antifragility so what do you need to make it happen?
  56. 56. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. 5th Principle: make your culture explicit Organizational culture exists, whether we acknowledge it or not, and making explicit allows for better alignment and context creation
  57. 57. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. “This is how we do things around here…” Culture is the set of behaviors that have been established and accepted within an organization
  58. 58. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Culture Type: Hierarchy Orientation: Controlling Leader Type: Coordinator, Monitor, Organizer Value Drivers: Efficiency, Timeless, Consistency and Uniformity Theory of Effectiveness: Control and efficiency with capable processes produce effectiveness Culture Type: Market Orientation: Competing Leader Type: Hard driver, Competitor, Producer Value Drivers: Market share, Goal achievement, Profitability Theory of Effectiveness: Aggressively competing, customer focus produce effectiveness Culture Type: Adhocracy Orientation: Creative Leader Type: Innovator, Entrepreneur, Visionary Value Drivers: Innovative outputs, Transformation, Agility Theory of Effectiveness: Innovativeness, vision, and new resources produce effectiveness Culture Type: Clan Orientation: Collaborative Leader Type: Facilitator, Mentor, Team Builder Value Drivers: Commitment, Communication, Development Theory of Effectiveness: Human development and participation produce effectiveness Flexibility & Discretion Stability & Control Internalfocus&Integration Externalfocus&Differentiation Organizational Culture Profile (CVF)
  59. 59. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Organization Cultural Profile (CVF) 10 20 30 40 50 60 10 20 20 20 10 10 30 40 50 60 30 40 50 60 30 40 50 60 Ad-hocracy Hierarchy M arket Clan Flexibility & Discretion Stability & Control Internalfocus&Integration Externalfocus&Differentiation Most of mature organizations today have a strong Hierarchy oriented profile They struggle to introduce a more agile and lean approach to work, because the hierarchical culture is not supportive of agile values and principles Agile Values & Principles
  60. 60. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Organization Cultural Profile (CVF) 10 20 30 40 50 60 10 20 20 20 10 10 30 40 50 60 30 40 50 60 30 40 50 60 Ad-hocracy Hierarchy M arket Clan Flexibility & Discretion Stability & Control Internalfocus&Integration Externalfocus&Differentiation Most of the organization today have a strong Hierarchy oriented profile They struggle to introduce a more agile and lean approach to work, because the hierarchical culture is not supportive of agile values and principles To create the right context to move toward a more agile and lean culture, we need to transition toward Clan or Ad- Hocracy
  61. 61. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. “If you can make culture explicit, you can agree where you stand, and where you want to go…” There are two ways of encouraging behaviours within an organization: 1. Story telling and role-modeling (e.g: empathy and tradition, walk the talk) 2. Ritualization (e.g: Scrum events, Ritual Dissent, Open Space)
  62. 62. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. 6th Principle: create the appropriate context Often time we have the instinct to define processes, rules and even culture, independent of the context in which we want to apply them… We learned that the context matters, and can be a great leverage for you to succeed
  63. 63. agile42 | We advise, train and coach companies building software www.agile42.com | All rights reserved. Copyright © 2007 - 2009. Ordered Unordered Obvious ComplicatedComplex Chaotic Sense Categorize Respond Best Practices Good Practices Sense Analyze Respond Probe Sense Respond Act Sense Respond Emergent Novel Disorder Cynefin Framework
  64. 64. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. t Context dependency Early Adopters Early Majority Late Majority Laggers Chasm CultureTools Ad-hocracy Clan/Market Hierarchy Hierarchy Chaotic (Novelty) Complex (Emergent) Com plicated (G ood Practices) Obvious (Best Practices) Rapid Prototyping/XP Scrum/
 XP Scrum/
 Kanban Kanban
  65. 65. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Thank You!
  66. 66. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. More food for thought... http://slideshare.net/tumma72
  67. 67. agile42 | the agile coaching company www.agile42.com | All rights reserved. Copyright © 2007 - 2015. Copyrights notice All material produced in this presentation is protected by the Creative Common License 4.0 (by-nc-sa). The brands and logos of agile42, Enterprise Transition Framework ETF (http://agile42.com/etf/), Team Coaching Framework TCF (http://tcf.agile42.com/) and Agile Strategy Map (http://www.agile42.com/en/agile-transition/agile- strategy-map/) are Copy Rights and Trademarks of agile42 GmbH, and agile42 International GmbH and can’t be reused without written authorization

×