experimenting with agile to maximize value delivery

Gerardo Ponte London, June 2016

Experimenting with Agile to maximize value delivery

Agile supports the digitization journey

[http://www.mckinsey.com/Business-Functions/Business-Technology/Our-Insights/An-operating-model-for-company-wide-agile-development]

ü  Adopt a product-oriented organizational structure ü  Improve interactions between the business and IT ü  Redefine managerial roles and responsibilities ü  Reconsider budgeting and planning models


Some BBVA facts

≈ 15 million digital customers


Progressive acceleration of the demand for convenience (zero tolerance for waiting or going to a branch… if there is no clear value

added)

High expectation of customization of the product, price & experience

Key drivers of digital disruption in banking

1

3,5 3

6

10

14

Branch only + ATM and call center + Web basic +App basic +Servicing (web and app)

+Purchase (web and app)

Relative # of interactions per customer


However, two years ago we were still working with a business-like-usual approach: silos...

Digital Payments

Digital Sales

Digital Acquisition

Digital Servicing

PFM

...


BizDev

BizDev

IT

IT

IT

... and predictive methodologies (waterfall)


mid-2014

Digital Banking

CEO

Digital Transformation

New Digital Businesses Big Data Open Platforms

...

But... "if you want different results, do not do the same things"


- Is Lean and Agile

- Can grow and scale

- There is evidence it works

- Has a common vocabulary

- Has an implementation roadmap

- Standard practices (Scrum, XP...)

- Good support from Agile communities

And Scaled Agile showed up as an option

Digital Payments

Digital Sales

Remote capabilities PFM Digital

Acquisition ...


Digital Transformation

System Teams

A Big Bang followed by organic growth

From 10 teams, 150 FTEs

to 35+ teams, 500+ FTEs


Embedding a Design process is uncomplicated


Compensate

Time

Productivity

(Disclaimer: It will get a little worse before it gets better)


Agile Team

CoP Scrum Masters

Business CoPs (PO's, BA's)

Technical CoPs (Testers, Front Dev's, Back Dev's...)

Portfolio + Program Managers

Program 1

Program 2

...

Agile requires relentless improvement (kaizen)


Main benefits so far

- Unique remote experience, blending digital and assisted channels

- Significant increase in digital acquisition and digitization

- Unprecedented increase in digital sales


Summary of lessons learned

- Top management support is crucial

- Executives must play the role of change agents

- Agile coaching is essential at all levels

- Keep internal staff in key positions (e.g., POs, SMs)

- Establish Inspect & Adapt at Portfolio level

- Transition from tactical approaches to a strategic vision

- Spare no efforts to ensure software quality

- Take good care of the business guys!

Gerardo Ponte linkedin.com/in/GPonte

Scrumastering.com Experimenting with Agile to maximize value delivery