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BUILDING BUSINESS CAPABILITY 2017

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BUILDING BUSINESS CAPABILITY 2017

CEO, Agile Coach & Trainer

Enterprise Agile Coach

Organizations ranging from 2 to 85,000

people

Minority Owner of NFL team

Led World’s Largest Agile Transformation

17 years in

Software/IT… last

11 using Agile

methods

Co-Founder

of AgileIndy

(1300+

members)

Innovation Award Winner

Founder of 2 Tech Startups My kids still think I’m

cool!

National

Science

Foundation

grant award

winner

Business

Agility

Evangelist

One of only 40 CST & CEC World

Traveler…

46 countries

and counting! Only Certified

Enterprise Coach

(CEC) in Indiana

Time Man of

the Year 2006

NOTABLE CLIENTS

9"Nov"17( ©(2017(Project(Brilliant(LLC( 4"

ROBOTS WILL RULE THE EARTH SOON! ;-)

• 2"BILLION"jobs(will(disappear(by(2030("(hAp://www.futuristspeaker.com/business"trends/2"billion"jobs"to"disappear"by"2030(

•  Forrester(forecasts(that(cogniKve(technologies(such(as(robots,(arKficial(intelligence((AI),(machine(learning,(and(automaKon(will(replace(7%(of(US(jobs(by(2025.(

"hAps://www.forrester.com/Robots+AI+Will+Replace+7+Of+US+Jobs+By+2025/"/E"PRE9246(

9"Nov"17( ©(2017(Project(Brilliant(LLC( 5"

PAINS & SYMPTOMS

*Too"slow"

*Highest"value?"

*Being"out*innovated"

*IT"is"“black"hole”"

*Un*predictable"

*Big"project"failures"

*High"acFvity,"low"results"

9"Nov"17( ©(2017(Project(Brilliant(LLC( 7"

NEED TO ADDRESS…

• PrioriKzaKon(• Adaptability(• End"to"end(cycle(Kme(

9"Nov"17( ©(2017(Project(Brilliant(LLC( 8"

HOW DID WE GET HERE - TAYLORISM

9"Nov"17( ©(2017(Project(Brilliant(LLC( 9"

Fredrick Taylor Scientific Management Early 1900s

HOW DID WE GET HERE - WATERFALL

Requirements"

Design"

Analysis"

Test"

Code"/"Build"

Deploy"

-Dr. Winston Royce Father of “Waterfall” From Managing the Development of Large Software System

”…the implementation described above is risky and invites failure.”

TRANSPARENCY TO THE LINEAR PATH

9"Nov"17( ©(2017(Project(Brilliant(LLC( 11"

IT Delivery

Business Decision Making

Go To Market

“…RISKY AND INVITES FAILURE.”

9"Nov"17( ©(2017(Project(Brilliant(LLC( 12"

Value

Risk

Time

AGILE 3X MORE SUCCESSFUL THAN WATERFALL

13"

STACEY MATRIX & COMPLEXITY

9"Nov"17( ©(2017(Project(Brilliant(LLC( 14"

WHAT

HOW

WHAT IS AGILE?

Agile(is(a(mindset(of(intenKonal(iteraFve(and(incremental(delivery(of(customer(value(through(collaboraFon(and(conFnuous(improvement.(

www.agilemanifesto.org

9"Nov"17( ©(2017(Project(Brilliant(LLC( 18"

AGILE PRINCIPLES

1.  Our highest priority is to satisfy the customer through early and continuous delivery of valuable software.

2.  Welcome changing requirements, even late in development. Agile processes harness change for the customer's competitive advantage.

3.  Deliver working software frequently, from a couple of weeks to a couple of months, with a preference to the shorter timescale.

4.  Business people and developers must work together daily throughout the project.

5.  Build projects around motivated individuals. Give them the environment and support they need, and trust them to get the job done.

6.  The most efficient and effective method of conveying information to and within a development team is face-to-face conversation.

7.  Working software is the primary measure of progress.

8.  Agile processes promote sustainable development. The sponsors, developers, and users should be able to maintain a constant pace indefinitely.

9.  Continuous attention to technical excellence and good design enhances agility.

10. Simplicity -- the art of maximizing the amount of work not done -- is essential.

11. The best architectures, requirements, and designs emerge from self-organizing teams.

12. At regular intervals, the team reflects on how to become more effective, then tunes and adjusts its behavior accordingly.

SaKsfy(the(Customer(

Welcome(Change(

Progress(=(Done(

Sustainable(Pace(

High(Quality(

Keep(it(Simple(

Self"Organizing(Teams(

ConKnuous(Improvement(

Deliver(Frequently(

Biz(+(Dev(Daily(

Leadership(support(

Co"locaKon(

Sprints, User Stories, Backlogs, Daily Scrum, TDD, BDD, Pair Programming, WIP

Limits, Story Mapping, Product Owner, etc.

Scrum, Kanban XP, SAFe, LeSS, DA, Nexus,

FDD, Crystal Clear

Satisfy the Customer Welcome Change Deliver Frequently Biz + Dev Daily Leadership Support Sustainable Pace Progress = Done Co-location High Quality Keep it Simple Self-Organizing Teams Continuous Improvement

Individuals & Interactions Working Software

Customer Collaboration Adapting to Change

• Agile(is(a(mindset(• Scrum(is(a(framework(for(solving(complex(problems(

• Focus(on(Incremental"+"IteraFve"value(delivery(

• Being(vs.(Doing(Agile(

SUMMARY

NEED TO ADDRESS…

• PrioriKzaKon(• Adaptability(• End"to"end(cycle(Kme(

9"Nov"17( ©(2017(Project(Brilliant(LLC( 22"

PRIORITIZATION OF VALUE

Paradigm(Shig(From(Plan"Driven(to(Value"Driven(Development(

23"

Fixed"

EsFmated"

Requirements"

Time($(

Time(

Features"

Plan""

Driven"

Value"

Driven"

The$Plan$drives$cost/schedule$es3mates$

Release$dates$and$fixed$cost$$drives$priori3za3on$

Waterfall" Agile"$(

MAXIMIZING VALUE & MANAGING RISK

9"Nov"17( ©(2017(Project(Brilliant(LLC( 24"

Value

Value

Risk

Risk

Time

Time

VALUE STREAM & LEAD TIME

9"Nov"17( ©(2017(Project(Brilliant(LLC( 25"

IT Delivery

Business Decision Making

Go To Market

AGILE SUCCESS METRICS

9"Nov"17( 26( ©"Project"Brilliant"LLC"

•  200"600%(throughput(increase(from(teams(• Defect(rates(approaching(zero((none(in(6(months)(•  80%(increase(in(business(value(delivery(•  70%(increase(in(predictable(delivery(•  Increased(employee(engagement(

– retenKon(rates,(employee(happiness,(NPS(scores,(etc.(

9"Nov"17( ©(2017(Project(Brilliant(LLC( 27"

RECENT OUTCOMES FROM A CLIENT

ALIGNING TEAMS FOR VALUE DELIVERY

29"

UI Team

Messaging Team

Bus Logic Team

Database Team

Application Team

Feature 1

Feature 2

Feature 3

UI

Messaging

Bus Logic

Database

Application

Feature Team

1

Feature Team

2

Feature Team

3

Feature Team Component Team

Optimize the flow of value by using Scrum.

Scrum Master Referee & Change Agent

SCRUM ROLES

30"

PO"+"SM"+"6"(+/*"3)"Development"Team"members"dedicated"to"1"team"

“T-SHAPED” PEOPLE

31"

Dep

th o

f Exp

ertis

e Breadth of Skills

Java(

Doc(

Javascript(

UI(

QA(

DBA

(

iOS(

BARRIERS TO AGILE ADOPTION

9"Nov"17( 32( ©"Project"Brilliant"LLC"

REINVENTING ORGANIZATIONS – LALOUX CULTURE MODEL

33"

CULTURE FOLLOWS STRUCTURE

9"Nov"17( ©(2017(Project(Brilliant(LLC( 34"

© Trail Ridge Consulting, Pete Behrens

Business Agility is an organization’s capability to embrace change, to the point of purposefully initiating change, because it has the ability to respond faster than its competitors in seizing the resulting opportunities.

BUSINESS AGILITY – RESPONSIVE ORGANIZATION

35"

LARGE SCALE SCRUM (LESS)

9"Nov"17( ©(2017(Project(Brilliant(LLC( 36"

NEW RULES, NEW TOOLS

• Systems(modeling(• OrganizaKonal(change((KoAer,(OSA,(etc.)(• Canvases(

– Lean,(TransformaKon,(Business(Model(• Lean(Startup(&(experimentaKon(

9"Nov"17( ©(2017(Project(Brilliant(LLC( 37"

SYSTEM OPTIMIZING GOALS?

• Customer"Value"

• Adaptability"• End*to*end"cycle"Fme"

•  Personal(secrecy(•  IdeaKon(•  Busyness(• Management(bonuses(

38"

“Indirect(Wishes”((desired(outcomes)(•  Increase(Revenue(•  Reduce(Cost(•  Increase(InnovaKon(

SYSTEMS THINKING & MODELING

39"

THE CANVASES (OR IS IT CANVI?)

9"Nov"17( ©(2017(Project(Brilliant(LLC( 40"

Transformation Canvas

Lean Canvas Business Model Canvas

ORGANIZATIONAL CHANGE FRAMEWORKS

9"Nov"17( ©(2017(Project(Brilliant(LLC( 41"

© Kotter International Open Space Agility (OSA)

LEAN STARTUP & EXPERIMENTS

9"Nov"17( ©(2017(Project(Brilliant(LLC( 42"

SUGGESTIONS FOR THE BA ROLE…

•  Sorry,(there(is(no(Business(Analyst(in(Agile(delivery.(– Agile(promotes(the(eliminaKon(of(this(role!(

•  However,(there(are(BIG"business(problems(to(be(solved(using(evolving(Business(Analysis(skills(

•  Focus(on(the(organizaKonal(system(and(front(end(of(the(process(

•  Become(a(business"scienFst…(experiment(early(and(ogen!(

9"Nov"17( ©(2017(Project(Brilliant(LLC( 43"

IN CLOSING…

•  Execs(are(really(looking(to(address…(– Customer(value(– Adaptability(– Cycle(Kme(

•  OrganizaKonal(agility(opKmizes(to(solve(the(above(•  Business(Analysts(can(help(drive(change,(but(in(new(ways,(in(new(areas,(with(new(tools.(

9"Nov"17( ©(2017(Project(Brilliant(LLC( 44"

Thank you!

Aaron Kopel - CEO [email protected] 317.253.8500 @aakopel Linkedin.com/in/aaronkopel

Project Brilliant, LLC 450 E. 96th St. Suite 500 Indianapolis, IN 46240