spire Building Strategic Agility for the Fast-Moving World!

Introducing SAFe for Lean Enterprises

28 September 2017 - IIBA

www.ap3m.com

Be the best. It’s the only market that isn’t crowded!

Minds are like parachutes.

They function best when open.

Introducing:

Strategic Agility & Adaptive Capacity

Why?

What is it?

It is NOT a spectator sport – Experience it!

How can I use/apply it?

- Adoption 1-2-3

- [the dreaded] Change Management [taken care of!]

What’s in it for me (Business Analyst)

Kanban

On-A-Page

Create your Name Tent

Your Name

Your Role Your experience with enterprise Agility

3

C = External Consultant 5 = Expert

4 = Very experienced

3 = Experienced

2 = Some experience

1 = Very little/no experience

A = Internal Change Agent

L = Leader/Manager

L

Darren Radford Executive Advisor | PPM | P3O | Enterprise Agility Transformation Strategist

Business and IT-enabled Transformation Strategy & Business Planning P3O (Portfolio, Program, Project Offices) P3M (Portfolio, Program, Project Management) Enterprise Agile (SAFe, Kanban) Governance & RIO Management

MBA (Oxford) - Strategy & Business Transformation MSc – Project Management & Leadership LL.B (Hons) Law MoP (Management of Portfolios) MSP (Managing Successful Programs) PRINCE2, PMP & DSDM (Project Management) SPC4 (Scaled Agile Program Consultant) SASM (SAFe Advanced Scrum Master) AHF - Agility Health Certified Facilitator

A change leader and business transformation specialist that

enables organizations manage change and build strategic

agility.

With twenty two years' business and IT-enabled transformation

experience in both private and public sectors, Darren typically

enables the effective organization of large scale or critical

initiatives.

Reputation is built on enabling new capability development,

change or solution/initiative delivery predictably, in the shortest

sustainable lead time.

Core competence centres on Strategy, Portfolio Program

Management (PPM), Enterprise Agile Operating Models and

Enterprise P3Os/Governance. Darren has implemented more

than a dozen Enterprise P3Os and start-up companies, steered

numerous large scale transformations, programs, projects and

organizational initiatives.

Qualifications Highlights

Executive and Board-level advisory (inc. Fortune 500 companies)

Member, Institute of Corporate Directors

Keynote Speaker & Published Author (Leading & executing large scale change)

Boeing 2014 Hallmark Award - Digital Aviation program management approach method

Leadership roles in 4 multi-year transformation initiatives ($50m - >$1bn)

First Scaled Agile Gold Partner and APMG-International Accredited Organisation in Canada

Designed and implemented organizational structures, P3Os, business and IT operating models

Experience creating and managing high-performance Enterprises in Europe, Canada and the US

Experience

Written

Expertize

Setting the Scene (and Opening of Minds)

Would you believe me if…

Why? Avoid retrospectives like this:

VUCA environment

Customer doesn’t

always know what they

want

Solutions/requirements

difficult to define in

advance

Ensure “backlog” of

desired work reflects

current need/direction

Focus on finishing

work/delivering value

vs doing work

What is SAFe for Lean Enterprises

70% US Fortune 100 enterprises have

SAFe certified professionals

1.7 million Annual visitors to SAFe

and Scaled Agile websites

130 Scaled Agile Partners

in 35 countries

130,000 SAFe certified

professionals

in 100+ countries

Fastest Growing Method

11th Annual State of Agile Survey by VersionOne

28% cite SAFe as preferred method for scaling

Agile, making SAFe the most popular scaling

method above Scrum and Scrum of Scrums 28% Annual Gathering

Configurable

SAFe is able to accommodate enterprises

of all sizes and industries

SAFe is a

framework of

mindset, principles,

and practices for

scaling Lean-Agile

development

throughout the

enterprise

Pledged 1%

Scaled Agile stock

equity & employee time

to Pledge 1% campaign

Freely Available

SAFe’s body of knowledge is freely

available at scaledagileframework.com

Model to deliver change (Projects/Initiatives?)

or

Business Operating Model?

4.10 © 2016 Scaled Agile, Inc. All Rights Reserved.

Exercise: Define Agile

Summary description of “Agile”

Select from those that were 3 or above

on Agile awareness poll ()

Use post-it to capture definition

Be prepared to explain

5 min

What – Essential SAFe

Essentials

Vision & Backlog and Economic

Prioritization deliver business results

by focusing on the right initiatives.

Lean-Agile Leadership – educating

management to enable them to lead

the adoption of different ways of

working.

Initiatives organized around Value

Streams and comprising Agile Teams

that frequently produce integrated

increments of value to stakeholders.

Program Increment Planning,

Demonstration and Inspect & Adapt

assure the teams plan together,

deliver together and routinely

improve processes.

Architectural Runway provides just

enough foundation/ infrastructure

and/or technical enablement to keep

program velocities high and avoid

excessive redesign.

Innovation & Planning (IP) Iteration

is the extra oxygen in the tank;

without it, programs may start

gasping under the pressure of the

tyranny of the urgent, a plan that

forgives no mistakes, nor provides

dedicated time for innovation.

A synchronized Program Increment and

Iteration Cadence provides the

Operating Rhythm. Periodic

synchronization of all work across the

enterprise limits variance to a single

time interval.

SAFe Principles provide the basis for

every successful adoption and guide

decision making as the process evolves

and adapts.

What – Full SAFe for Large Enterprises

What – Approaches

Documents Solution

Predictive Life-Cycle

Adaptive Life-Cycle

P

D C

A

Attributes:

Plan-driven (BDUF)

Sequential

Fix Scope, Flex Time & Cost

Change resistant

Applied when:

Solution well understood

Full solution mandatory

Low risk/uncertainty

Attributes:

Change-driven (EDUF)

Iterative (PDCA)

Fixed Time & Cost

Assumes change

Applied when:

Solution difficult to define

Dynamic environment

High risk/uncertainty

WHY:

Early realization of value

Validated learning

Ensure “backlog” reflects need

What - Business Results over Method Debates

#1-Take an economic view

#2-Apply systems thinking

#3-Assume variability; preserve options

#4-Deliver incrementally with fast, integrated learning cycles

#5-Base milestones on objective evaluation of working solutions

#6-Visualize and limit WIP, reduce batch sizes, and manage queue lengths

#7-Apply cadence, synchronize with cross-domain planning

#8-Unlock the intrinsic motivation of knowledge workers

#9-Decentralize decision-making

Principles

based

approach

100 books

100 implementations

What - Operating Model

Portfolio

Backlog

Program

Backlog

Enter

Initiative

Justification

Made

visible by

Ka

nb

an

Prioritized

Capabilities

Enablers

Team

Backlog

Ka

nb

an

IPIP

Iterations

[8-12 week Increment]

Ite

rati

on

Pla

n

Demo

RetroI&A

Increment

Objectives

Increment

Planning

Business

Objectives

Portfolio Management

Strategic

Implementation

Delivery Planning

SelectBalancePrioritizeKanban

Intake

Strategic Management

Vision Direction Analysis Choice

Portfolio Kanban (Definition Cycle)

Strategic

Priorities

Budget

Translate

to

Business

Feature

Enablers

Review

Value Stream 1

E.g. Community Planning

Value Stream 2

E.g. Parks & Recreation

Value Stream 3

E.g. Moving People

Exe

cu

te

Delivery Execution

Team Execution

Initiative/Solution Delivery

Lightweight

Business CaseValue

Cost of Delay

MVS/MVP

Complexity

Size

Risk

Cost

Resource

Dependencies

Business Need

Pressure to Change

Vision Led

Emergent

New Strategic Themes

Long-Range Business Plan

Expressed

by

Off-Cycle Idea

EmergencyRefine

Understanding

Business Value Prioritization

Roadmap

| | | |

Next Program

Increment (PI)PI 2 PI3

100%

Committed

50-70%

Committed

30-50%

Committed

Definition

of Done

Mid-Iteration

Review

Acceptance

Criteria

Mid-PI

Review

Ka

nb

an

Cost of Delay

Sequencing

Delivery Schedule

Capacity Plan

Backlog Management

Refined Estimation

CapEx

OpEx

Prioritized

Features

Enablers

IPIP

Analyze

Not a Spectator Sport

Hands on Activities:

Relative Estimation

Economic Prioritization

Limit WIP to Improve Flow of Work

Large vs Small Batch Size

Decentralized Decision Making

4.18 © 2016 Scaled Agile, Inc. All Rights Reserved.

Exercise: Relative size estimating

Use Estimating Poker to relatively estimate

the mass of a set of animals

As a team at your table, identify the

smallest animal and mark it as 1

Estimate the remaining animals using

values 1, 2, 3, 5, 8, 13, 20, 40, 100

Giraffe

Gorilla Hyena Elephant

Horse Crocodile

Chicken 5

min

3.19 © 2016 Scaled Agile, Inc. All Rights Reserved.

Exercise: Economic Prioritization (Weighted Shortest Job First)

5 min

Scale for each parameter: 1, 2, 3, 5, 8,13, 20

Note: Do one column at a time, start by picking the smallest item and giving it a “1.”

There must be at least one “1” in each column!

The job with the highest WSJF provides the greatest economic benefit.

3.20 © 2016 Scaled Agile, Inc. All Rights Reserved.

© 2016 Scaled Agile, Inc. All Rights Reserved.

Exercise: Work in progress constraints

Consider the BVIR on the next page, then discuss:

What would the effect be of a three-story WIP constraint

on Development and Test?

Scenario: You’re a developer. You just finished story 6.

What would you do if:

a. There is no WIP constraint?

b. The three-story WIP constraint is in place?

Which scenario has the highest throughput?

5 min

Visualize and Limit WIP

How is this team doing? How do you know that?

Today

One team’s Big Visible Information Radiator (BVIR)

3.22 © 2016 Scaled Agile, Inc. All Rights Reserved.

Exercise: Large batch push

Create groups of five people, with 10 coins per group.

One person is the timekeeper. The remaining four people

process the coins.

Person by person, flip all coins one at a time,

recording your own results (heads or tails)

Pass all coins at the same time to the next person

Time keeper records time from the start of the first flip to the

completion of the last flip for the group 5 min

3.23 © 2016 Scaled Agile, Inc. All Rights Reserved.

Exercise: Small batch pull

Similar four person process

Each person flips each coin one at a time and

records the result

But, passes each coin as flipped

The time keeper records the time from the start of the

first flip to the completion of the last flip

5 min

3.24 © 2016 Scaled Agile, Inc. All Rights Reserved.

Exercise: Decentralize decision-making

Consider three significant decisions you are currently facing

Rate each item using the table below

Would you centralize or decentralize the decision?

Decision Frequent?

Y=2 N=0

Time-critical?

Y=2 N=0

Economies of

scale?

Y=0 N=2

Total

Scale: 0-2 (Low to high) Then add the total: 0-3: Centralize; 4-6: Decentralize 10 min

How – Embrace Lean Agile Values

House of Lean

Individuals and interactions over processes and tools

Working software over comprehensive documentation

Customer collaboration over contract negotiation

Responding to change over following a plan

Agile Manifesto

LEADERSHIP

Re

spe

ct

for

pe

op

le a

nd

cu

ltu

re

Flo

w

Inn

ova

tio

n

Re

len

tle

ss

imp

rove

me

nt

VALUE

Value delivered predictably in the

shortest sustainable lead time

That is, while there is value in the items on the right, we value the items on the left more.

We are uncovering better ways of [developing software] by doing it and helping others do it. Through this work we have come to value:

How?

Framework comprising behaviors, principles, practices and techniques and proven

adoption roadmap with integrated enterprise change management.

Remember: Proven success patterns…

…follow the recipe and the cake will rise!

Adoption1-2-3

Orientation/Training Build Capability Delivery Excellence LAY THE FOUNDATIONS DEVELOP & PREPARE THE ORGANIZATION PREDICTABLE, SUSTAINABLE, REPEATABLE DELIVERY

1 2 3

LOW risk: Pilot on a single, small team/initiative and let the team report back…scale as/when needed…

Adoption Model = Enterprise Change Management

Step 4Communicate the vision for buy-in

Step 8

Step 2Create the guiding coalition

Step 3Develop a change vision

Step 6Generate short term wins

Step 7Never let up

Inco

rpo

rate

ch

an

ge

in

to t

he

cu

ltu

re

Step 1Establish a sense of urgency

Step 5Empower broad based action

Create a

Climate for

Change

Engage & Enable

the Whole

Organization

Implement

& Sustain

Change

Kotter’s Change Model

(includes Prosci ADKAR) SAFe Enterprise Change Management Baked-in via adoption

WIIFM?

Kanban

Backlog

Priortization Cut-Line

| | | |

Next Program

Increment (PI)PI 2 PI3

100%

Committed

50-70%

Committed

30-50%

Committed

RoadmapStrategic

Themes10

9

8

8

8

7

6

5

5

Cost of Delay Prioritization

PI 1

PI 2, 3, n

Business Value Prioritization

Dependency/Risk Prioritization

Relentless Improvement Prioritization

POAnalyze & PlanSolution

(Design/Options)

Committed Ready In Progress

Generate [Experiment, Deliverable, Recommendation] Accepted

Fix

ed

Da

te

4 3 3 2 3 2Ready/Validated

Learning

Exp

ed

ite

Sta

nd

ard

In Progress Done

Primary

Enabler

Progress Board

POWhat went well?[continue doing]

What could have gone better?[do different, stop doing, try doing]

Actions[improvement & appreciations]

To Do WIP Implemented

Prioritized – Move to Backlog

Kanban for work to do to be able to

prioritize/add to backlog if prioritized

Recognition

Improvement Board

Attributes of KanbanModel activity/workflow

Low cost holding pattern

Classification: Standard, fixed date, expedite

Enables self-organization

Balances urgent vs date-driven work

Optimal demand management

Welcome changing priorities/new items

Focus on finishing work before starting new work

WIP limits increase flow/productivity

Plan Do Check Adjust (PDCA) Cycle

Benefits of KanbanVisibility – all can see what’s happening

Enables stakeholders to question, ask for/offer to help

Sustainable and light-weight

Outcome/Results/Action orientated

Proven to get things done

Informs all of true capacity to get work done

Informs planning/forecasting

Identifies patterns and type of ‘demand’

Validated learning by doing

Enables evolutionary capability development

· Nothing is off the board

· See something you don’t understand/agree with -ask a question!

· Everything in backlog first

· Priority score is visible on committed work – challenge welcome!

· Define what ‘good’ and ‘finished’ looks like

· Pull from Committed/Ready column NOT Backlog

· Only Executive can modify WIP Limits

· Min. monthly meetings to populate Committed or as needed to maintain WIP

· Add name on tasks if assigned or want to volunteer

Policies (examples)

Strategic Priorities (Roadmap)

Progress Board Improvement Board

Predictability & Sustainability

Building high performing teams through

continual improvement

Capture ideasUnderstand the

Business CaseRank and select the

right investments

Resource Planning &

Annual FundingExecution

Plan

Fast FeedbackAdjust

Teams conduct a short retrospective, then systematically

address the larger impediments that are limiting velocity

Problem Solving Workshop

The PI Predictability Measure shows whether achievements fall in

an acceptable process control band

Target: effective process

control range

Predictability sufficient

to run the business

Handles common

variations

Special causes may still

cause excess variation

PI 2 PI 3 PI 4PI 1 PI 5

The PI (Release) Predictability Measure shows whether

achievements fall in an acceptable process control band

Target: effective process

control range

Predictability sufficient to

run the business

Handle common

variations

Special causes may still cause

excess variation

Consistent

Objective

Repeatable

Comprehensive

Trending

Measurable (Growth)

Cross-team rollup

Cross-team analysis

Team Agility Assessment

Lean “Product Development Flow” and “Validated Learning”

What is our ability

to deliver?

Enforces Proven

Practice

Capability Inputs forPEOPLE

Capability Mapping

Growth Measurement GOVERNANCEPerformance Control

Learning Cycle Management

Decision Making

METRICSPortfolio, Program/Release and Team Level

Delivery Predictability Measurement

Shortest Sustainable Lead Time

Inspect & Adapt

Innovation & Planning

Benefits Realization

Business Goals & Objectives

Customer Feedback (Demo)

Operating

Rhythm

Essential Real-World

Feedback

How are we

doing?

Delivery Predictability Toolkit

PROCESSPerformance Cycle

Learning Cycle

Lean-Agile

Enterprise Delivery Capability

Delivery Predictability Toolkit

Requirements to Working Solution

Enters

Initiative

JustificationSelectBalancePrioritize

Kanban

Vision

Strategic

Themes

Translates to

Business

Feature

Enablers

Review

Institutional

Need

Informs

Portfolio

Definition

Pressure

to Change

Objectives Analyse

Requirements

Classification:

FEATURES

Program

Backlog

NFRs

Ka

nb

an

Requirements

Classification:

STORY

Team

Backlog

NFRs

Ka

nb

an

Features &

Enablers

IPIP

Iterations

[8-12 week Increment]

Ite

rati

on

Pla

n

Demo

RetroI&A

Increment

Objectives

Increment

Planning

Iteration

Goals

Exe

cu

te

Program

Delivery

Team

Execution

Portfolio

Backlog

NFRs

Program

Identification

Requirements

Classification:

Strategic Initiatives (EPICS)

Ka

nb

an

Capabilities &

Architectural Epics

The Enterprise Backlog Model comprises:

- Portfolio Backlog which contains high-level Institutional Initiatives and Enablers (broken down into capabilities where optional

value stream layer not warranted)

- Value Stream Backlog (optional) which comprises Capabilities typically around sub-portfolios of value

- Program Backlog which contains Features and Technology Enablers

- Team Backlog which contains Stories (Institutional Value & IT Enablers)

The backlogs contain prioritized functionality and enablers. Enablers are the exploration, architecture, and infrastructure needed to support the

desired functionality.

High-level desired strategic outcomes (Epics) are identified and progressively elaborated as they flow through the hierarchical Kanban system.

The Kanban system makes the strategic initiatives visible and brings a structured analysis process driven by economics/other balancing factors.

There are Kanban systems at all levels of the backlog model to manage the progressive elaboration.

Epics (large initiatives that typically cross organizational boundaries) are broken down into Capabilities.

Prioritization is guided by the Institutional Objectives, Solution Roadmap and Value Streams as align to the Institutions drivers.

Capabilities are broken down into Features.

Features are then broken down into Stories which are executed by delivery teams.

A Capability, Feature, or Story may emerge within the context of the Value Stream, Portfolio, Program or Team and not have a parent.

Management techniques, tools and templates are leveraged to effectively filter, prioritize, sequence, balance, plan (program increment and 2 week

delivery iterations) how work is decomposed, defined, organized and governed.

Requirements

Classification:

CAPABILITIES

Value Stream

Backlog

NFRs

Ka

nb

an

Program

Delivery

Capabilities &

Architectural Epics

Optional Layer to accommodate

sub-portfolios aligned by value

stream – e.g. R&D, Digital

Banking, Infrastructure etc.

Team Level Flow of Value

Scalable Definition of Done

“Essential” Reading

Strategic Management | Business Transformation | PPM | P3O | SAFe® | Kanban | Governance & Risk

PPM | SAFe® | ITSM | Enterprise Change Management | Cyber Resilience

Making People Effective

Building Enterprise Agility

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