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Path to Agility Measuring And Implementing Sustainable Business Practices For Competitive Advantage Ralph Jocham effective agile., Scrum.org Software Quality Days 2014 People Agility Value . . Scrum.org

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Page 1: Path to Agility - Effective Agile › ... › 12 › Path-to-Agility.pdf · Path to Agility Measuring And Implementing Sustainable Business Practices For Competitive Advantage Ralph

Path to Agility Measuring And Implementing Sustainable Business Practices For Competitive Advantage

Ralph Jocham effective agile., Scrum.org Software Quality Days 2014

People Agility Value. .

Scrum.org

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2 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

MIN

1.  Who is doing Scrum? –  Who is combining this with eXtreme Programming (or similar)?

2.  Does Scrum make you and your organization ‘Agile’? –  Yes? –  No?

3.  What is so important about being ‘Agile’?

Warming-up Poll 3

Remember:  ‘Agile’  refers  to  the  mindset,  the  values  and  the  principles  expressed  in  the  “Manifesto  for  Agile  So?ware  Development”.  

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3 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Is agility an opportunity for us?

•  Does the competition move market share with innovative products and services? •  Do we respond so quickly to the moves of competitors that they can’t consolidate

gains from their innovations? •  Are we frequently enough first-to-market with innovations which move market

share? •  Are we able to take advantage of changes in markets, customer preferences,

technology to improve our market position? •  Are we able to adapt ideas and products from other markets to the benefit of our

customers?

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4 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

“The Economist”

OrganisaEonal  agility:  How  business  can  survive  and  thrive  in  turbulent  Emes  -­‐-­‐  The  Economist  

•  VolaElity  is  likely  to  remain  a  constant  …  it  will  conEnue  to  roil  tradiEonal  business  and  operaEng  models  for  some  Eme  to  come.  

•  To  be  compeEEve,  companies  must  respond  quickly  and  nimbly  to  the  changing  environment  ...  their  ability  to  respond  to  market  movements  is  core  to  sustainability.    

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5 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Importance of Agility

OrganisaEonal  agility:  How  business  can  survive  and  thrive  in  turbulent  Emes  -­‐-­‐  The  Economist  

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6 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Agile Is More Successful…

The  CHAOS  Manifesto,  Copyright  2011  1  Agile  means  iteraEve,  incremental  so?ware  development  project.  2.  Successful  means  all  requirements  delivered  for  budget  on  predicted  date.  

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7 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

MIN

Have you had agile initiatives?

Agile Initiative 3

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8 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

In Your Organization’s Agile Initiative:

What has been the return on this investment?

•  <0 •  >0 •  You don’t know

How much money has been invested in agility per person?

•  <$1,000 •  <$10,000 •  <$100,000 •  >$100,000 •  You don’t know

Has your organization’s agility changed?

•  Up •  Down •  Stayed the same •  You don’t know

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9 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

MIN

How does management know if your organization is becoming agile?

Agile Enterprise 3

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10 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

My Manager Has Told Me - We Need To Be Agile!

I am a member of ….. team that is investigating moving our development to a Scrum/Agile model. At the moment, we are looking to get some on site training for our developers/testers/managers/product owners. We are hoping to have the same training run onsite with our global team (Berne, Vienna, St. Petersburg) I'm initiating this request for additional information on how we can get started. Signed,

Build and Release Engineer

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11 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

MIN

Where are you on the Path to Agility?

Agile Path 3

•  Agile? •  Becoming Agile? •  Have been told to be Agile and are going to

start soon? •  Not in your our immediate horizon?

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12 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

40.0%

16.6%

12.7%

12.2%

18.5%

Under 25%

Between 25% and 49%

Between 50% and 74%

Between 75% and 99%

100%

“How many development teams in your organization have implemented Agile practices?”

(Select one)

Base:  205  organizaEons  who  are  implemenEng  or  have  implemented  Agile  Source:  November  2011  Global  Agile  So?ware  ApplicaEon  Development  Online  Survey  

Almost  20%  of  our  survey  respondents  have  adopted  Agile  at  100%.  68.4%  of  these  are  ISVs  and  professional  services  and  31.6%  end  user  IT  organizaEons.  

Almost 20% have adopted Agile at 100%

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13 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Yet, …

Professional  prac.ce  required  for  Agility   Percentage  doing  the  prac.ce  

Use  a  source  code  management  system   82%  

Use  TDD,  ATDD,  or  BDD  in  their  organizaEon  or  team   2%  

Believe  that  self-­‐organizaEon  works   1%  

Surveyed  at  Eclipsecon  2013,  ALM  Summit  2011,  and  a  recent  Forrester  survey  

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14 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Yet, …

Professional  prac.ce  required  for  Agility   Percentage  doing  the  prac.ce  

Use  a  source  code  management  system   82%  

Use  TDD,  ATDD,  or  BDD  in  their  organizaEon  or  team   2%  

Believe  that  self-­‐organizaEon  works   1%  

Surveyed  at  Eclipsecon  2013,  ALM  Summit  2011,  and  a  recent  Forrester  survey  

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15 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

So, how do we get Agile?

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16 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Two Approaches To Become Agile

Become  Agile  

Buy  &  Install  It  

…   …   …  

Earn  It  

Path  to  Agility  

Extremely  important,  key  differenEator  –  40%  

Somewhat  important,  contribuEng  to  our  success  –  48%  

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OR…

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18 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Bottom-up, from the Trenches

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19 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

To Gain Agility

Management  inspects  progress  toward  agility  

and  makes  improvements  and  changes  Status  

Changes  

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20 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Organizational and Foundational Metrics

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Foundational and Organizational Metrics

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22 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

ProducEvity  

Quality  

Value  

Management Measures Agility

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23 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

•  Calculation of weighted metrics •  Range from no Agility

to complete Agility •  Accelerates across time

Agility Index Summarizes Progress towards Agility

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Increase Agility

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25 © 1993-2014 Scrum.org, All Rights Reserved effective agile.

Domains That Impact Agility

Domain   Func.ons  ProducEvity   So?ware  and  product  development  Value   Product  management,  release  management,  

PMO,  Product  Owners  Quality   Infrastructure,  architecture,  tools,  standards,  

convenEons,  QA  Process   Scrum  Masters  Enterprise   Above  plus  rest  of  organizaEon  

(includes  John  Kojer’s  8  Step  process)  

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Improve Overall Practices That Lead to Agility

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Adapting Practices Should Improve Domain Performance

Enterprise  

Value  

ProducEvity  Quality  

Scrum  

0  1  2  3  4  5  6  7  8  9  

Frequency  of  releases  (months)  

stabilizaEon  Eme  for  releases  (months)  

Number  of  customers  

Time  to  get  a  small  change  to  a  customer  

Number  of  customers  on  

current  release  or  

Maintenance  as  %  of  product  

development  budget  

Customer  saEsfacEon  

Employee  saEsfacEon  

Review  1  Review  2  Review  3  

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Path to Agility

As  we  develop  so?ware,  we  conEnuously  improve  our  agility  and  management  our  investments.  

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29 © 1993-2014 Scrum.org, All Rights Reserved effective agile. Source:  www.sap.com/germany/about/investor/xls/boersenzahlen.xls  

SAP  |  Financial  Figures|  1988  –  2011     The Return Per Employee increases again after moving to Scrum as development standard

Blue Line: Number of employees Green Line: Return Per Employee

SAP re-evaluated its way of bringing products to market every time the Return Per Employee took a dip

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As  We  Create  Our  Agile  

OrganizaEon  

X  

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Your Customers Will See Your Agility

Agile  Score  94                                                              Agile  Score  32                                                              

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 Index   Product  

14   Call  wai.ng  ...  and  wai.ng  ...  and  wai.ng  On  Jan.  15,  1990,  around  60,000  AT&T  long-­‐distance  customers  tried  to  place  long-­‐distance  calls  as  usual  -­‐-­‐  and  got  nothing.  Behind  the  scenes,  the  company's  4ESS  long-­‐distance  switches,  all  114  of  them,  kept  rebooEng  in  sequence.  

3   Mariner  1's  five-­‐minute  flight  On  July  22,  1962,  the  first  spacecra?  of  NASA's  Mariner  program  blasted  off  on  a  mission  to  fly  by  Venus.  The  booster  did  its  job,  taking  the  spacecra?  from  its  Cape  Canaveral  launchpad,  but  a?er  a  few  minutes,  Mariner  1  began  to  yaw  off  course.  The  guidance  system  failed  to  correct  the  trajectory,  and  guidance  commands  failed  to  correct  it  manually.  

96   The  Apollo  spacecraG  guidance  system,  built  by  the  MIT  InstrumentaEon  Lab.  In  1969,  this  so?ware  got  Apollo  11  to  the  moon,  detached  the  lunar  module,  landed  it  on  the  moon's  surface,  and  brought  three  astronauts  home.  It  had  to  funcEon  on  the  Eny  amount  of  memory  available  in  the  onboard  Raytheon  computer-­‐-­‐it  carried  8  Kbytes,  not  enough  for  a  printer  driver  these  days.  And  there  wouldn't  be  Eme  to  reboot  in  case  of  system  failure  when  the  cra?  made  re-­‐entry.  It's  just  as  well  Windows  wasn't  available  for  the  job.  

“Action without knowledge is useless” -- Aku Abar

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 Index   Product  

14   Call  wai.ng  ...  and  wai.ng  ...  and  wai.ng  On  Jan.  15,  1990,  around  60,000  AT&T  long-­‐distance  customers  tried  to  place  long-­‐distance  calls  as  usual  -­‐-­‐  and  got  nothing.  Behind  the  scenes,  the  company's  4ESS  long-­‐distance  switches,  all  114  of  them,  kept  rebooEng  in  sequence.  

3   Mariner  1's  five-­‐minute  flight  On  July  22,  1962,  the  first  spacecra?  of  NASA's  Mariner  program  blasted  off  on  a  mission  to  fly  by  Venus.  The  booster  did  its  job,  taking  the  spacecra?  from  its  Cape  Canaveral  launchpad,  but  a?er  a  few  minutes,  Mariner  1  began  to  yaw  off  course.  The  guidance  system  failed  to  correct  the  trajectory,  and  guidance  commands  failed  to  correct  it  manually.  

96   The  Apollo  spacecraG  guidance  system,  built  by  the  MIT  InstrumentaEon  Lab.  In  1969,  this  so?ware  got  Apollo  11  to  the  moon,  detached  the  lunar  module,  landed  it  on  the  moon's  surface,  and  brought  three  astronauts  home.  It  had  to  funcEon  on  the  Eny  amount  of  memory  available  in  the  onboard  Raytheon  computer-­‐-­‐it  carried  8  Kbytes,  not  enough  for  a  printer  driver  these  days.  And  there  wouldn't  be  Eme  to  reboot  in  case  of  system  failure  when  the  cra?  made  re-­‐entry.  It's  just  as  well  Windows  wasn't  available  for  the  job.  

“Action without knowledge is useless” -- Aku Abar

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Con.nuous  Improvement.  Compe..ve  Advantage.  

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Questions

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Ken’s Assertion

1.  OrganizaEons  are  desperate  to  be  agile.  2.  Scrum  is  a  foundaEon  for  organizaEonal  agility.  3.  The  path  to  agility  is  connecEng  updated  agile  business  

processes  to  Scrum’s  capabiliEes.  4.  If  this  linkage  does  not  occur  and  organizaEons  don’t  see  

the  value  of  Scrum  to  their  business,  Scrum  (et.  al)  will  be  just  a  fad  in  that  organizaEon,  rather  than  a  prerequisite  to  organizaEonal  compeEEveness.  

5.  We  in  the  Agile  movement  are  not  demonstraEng  our  part  in  business  agility  very  well.  

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Ralph Jocham

•  Agile Coach •  eXtreme Programming since 2001 •  Scrum since 2003 •  Professional Scrum Trainer •  Founder of effective agile. •  Active in the swiss agile community •  Regular speaker at conferences •  Agility Path – Engagement Manager

Mail [email protected] Twitter @rjocham

Personal Blog http://effectiveagile.com/blog

About