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Creating Your Agile Enterprise
Agile 2009 Tutorial
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©2009 Collective Edge Coaching, llc
(C) 2009 Collective Edge Consulting
Creating Your Agile EnterpriseCreating Your Agile EnterpriseCreating Your Agile EnterpriseCreating Your Agile EnterpriseA Seven Layer Framework for Agile Adoption
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Michael K. SpaydCollective Edge Coaching & Consulting
www.Collective-Edge.com
Overview of TodayOverview of TodayOverview of TodayOverview of Today
� You will create…1. A Customized Plan
2. All Enterprise Levels
3. Solicit Feedback
4. Create Accountability
Creating Your Agile Enterprise
Agile 2009 Tutorial
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©2009 Collective Edge Coaching, llc
Agile Adoption DimensionsAgile Adoption DimensionsAgile Adoption DimensionsAgile Adoption Dimensions
What does the INDIVIDUAL do in Agile? Does it fit who they are as a person?
What does Agile look like on a TEAM? What is healthy Agile team functioning?
What does Agile look like in MANAGEMENT? What is a manager’s role with a self-organized team?
What does Agile look like at the PROGRAM level? What metrics, goals & processes are tracked and improved ?
What does Agile look like in the BUSINESS & STRATEGYlevel? How does it work within the business?
What does Agile look like at the LEADERSHIP level? What is Agile Leadership? How does it interact with the com pany’s strategy?
What does Agile look like at the ORGANIZATION level?Organizational
Leadership / Strategic
Individual
Business / Strategic
Program
Management
Team
©2009 Collective Edge Consulting, llc
The The The The ‘‘‘‘BigBigBigBig’’’’ PicturePicturePicturePictureWhat What What What EveryoneEveryoneEveryoneEveryone Needs to KnowNeeds to KnowNeeds to KnowNeeds to Know
Organizational Layer: Culture
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Layer SevenLayer SevenLayer SevenLayer Seven
OrganizationalOrganizationalOrganizationalOrganizational
� Key Question◦ Is your core culture consistent with Agile?
� Discipline◦ CultureTek™ Four Core Cultures
� Practices◦ Organization Culture Assessment
◦ Aligning Strategy, Culture and Leadership
How Important is Culture?How Important is Culture?How Important is Culture?How Important is Culture?Collins & Collins & Collins & Collins & PorrasPorrasPorrasPorras –––– Built to Last
• “What’s the difference between “visionary and comparisons?”
• A Strong, Integrated and Consistent Culture
• Most critical: Alignment –
• where all elements of the organization work in concert
Stock Market Performance of Visionary vs. Comparison Companies
($100 invested)
1926
1990
1926
1990
$0
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
1926
Visionary
Comparison
Adapted from Jim Collins & Jerry Porras, Built to Last
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(C) 2009 Collective Edge Consulting
Four Types of CULTURE
CollaborationEgalitarian Diversity
InvolvementUnited we stand…
ControlOrder
Predictability / StabilitySystematism
StandardizationCertainty
CultivationGrowth
HumanismValues
Purpose / MeaningfulnessCreativity
CompetenceProfessionalism
Pursuit of ExcellenceAutonomy / Indiv. FreedomContinuous Improvement
CraftsmanshipFrom Schneider, Aligning Strategy, Culture and Leadership
How Important is Culture?How Important is Culture?How Important is Culture?How Important is Culture?William Schneider William Schneider William Schneider William Schneider –––– CultureTekCultureTekCultureTekCultureTek™™™™ ROIROIROIROI
• 81 Organizations / 14 Industries
• Ranked on:
• Profitability
• Cash flow strength
• Debt-equity ratio
• Bottom-line difference makers:
• Focus
• Alignment
• Integration
Degree of Degree of Degree of Degree of IntegraIntegraIntegraIntegra----tiontiontiontion
YesYesYesYes15
YesYesYesYes14
YesYesYesYes
YesYesYesYes
YesYesYesYes
Unaligned & Unaligned & Unaligned & Unaligned & UnfocusedUnfocusedUnfocusedUnfocused
Aligned & Aligned & Aligned & Aligned & FocusedFocusedFocusedFocused
RankRankRankRank
YesYesYesYes1
YesYesYesYes2
YesYesYesYes3
YesYesYesYes4
YesYesYesYes5
YesYesYesYes6
16
13
12
YesYesYesYes11
YesYesYesYes10
YesYesYesYes9
YesYesYesYes8
YesYesYesYes7
Adapted from William Schneider, Return on Invesment CultureTek, unpublished study
Unaligned & Unaligned & Unaligned & Unaligned & UnfocusedUnfocusedUnfocusedUnfocused
15
14
Degree of Degree of Degree of Degree of IntegraIntegraIntegraIntegra----tiontiontiontion
Aligned & Aligned & Aligned & Aligned & FocusedFocusedFocusedFocused
RankRankRankRank
1
2
3
4
5
6
16
13
12
11
10
9
8
7
< 40%
< 40%
44%
< 40%
< 40%
44%
51%
51%
51%
51%
51%
51%
63%
63%
63%
63%
Degree of Degree of Degree of Degree of IntegraIntegraIntegraIntegra----tiontiontiontion
YesYesYesYes15
YesYesYesYes14
YesYesYesYes
YesYesYesYes
YesYesYesYes
Unaligned & Unaligned & Unaligned & Unaligned & UnfocusedUnfocusedUnfocusedUnfocused
Aligned & Aligned & Aligned & Aligned & FocusedFocusedFocusedFocused
RankRankRankRank
YesYesYesYes1
YesYesYesYes2
YesYesYesYes3
YesYesYesYes4
YesYesYesYes5
YesYesYesYes6
16
13
12
YesYesYesYes11
YesYesYesYes10
YesYesYesYes9
YesYesYesYes8
YesYesYesYes7
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©2009 Collective Edge Coaching, llc
The The The The ‘‘‘‘LocalLocalLocalLocal’’’’ ViewViewViewViewWhat What What What TeamsTeamsTeamsTeams & & & & CoachesCoachesCoachesCoaches Need to KnowNeed to KnowNeed to KnowNeed to Know
Individual Layer
Team Layer
Layer OneLayer OneLayer OneLayer One
IndividualIndividualIndividualIndividual� Key Question◦ Can I find satisfaction:� a) if ‘team’ becomes more important than ‘me’?
� b) working outside my role-based skill set?
� Discipline◦ Self-Leadership
� Practices◦ Deliberate Practice
◦ Pair switching
◦ Personal Retrospective
Creating Your Agile Enterprise
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©2009 Collective Edge Coaching, llc
Layer TwoLayer TwoLayer TwoLayer Two
TeamTeamTeamTeam� Key Question◦ Will this group become a performing team?
◦ What will sustain them over time?
� Discipline◦ ‘Conscious Teaming’
� Practices◦ Self-organized Team Selection
◦ Discovery Sessions –Process, Project, Team
◦ Team Startup – Designed Partnership Alliance
©2007-2008 Collective Edge Consulting
Team Performance12
Working group
Pseudo Team
Potential Team
Real Team
High Performance Team
Perfo
rman
ce Im
pact
Perfo
rman
ce Im
pact
Perfo
rman
ce Im
pact
Perfo
rman
ce Im
pact
Team EffectivenessTeam EffectivenessTeam EffectivenessTeam EffectivenessSource: Katzenbach & Smith, The Wisdom of Teams
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High Team ProductivityLow Team Productivity
High Positivity
Low Positivity
High Positivity/Low Productivity
• Collegial, Friendship Based
• Lack of Effective Focus
• Insufficient Sense of Urgency
• Change Resistant — Don’t “Rock
the Boat”
• Incompetence Tolerated
• Not Results Oriented
• Sense of Connection and Fun
High Positivity/High Productivity
• Successful, Fun
• Synchronicity, Flow
• Challenging Goals, Inspiring Vision
• Change Proactive
• Open Communication
• Great Teamwork — “ How do we
continue to improve?”
Low Positivity/Low Productivity
• Atmosphere of Criticism, Blame &
Cynicism
• Overwhelm
• No Fun
• Fear of Job Loss and/or Company
Failure
• “Firefighting”, Short-term Orientation
• Turf Protection
• One Step Forward; Two Steps Back
• Poor Teamwork
Low Positivity /High Productivity
• Focus is efficiency
• “Just Do It!”, Bottom-Line
Orientation
• Retention Problems, High
Turnover, Burnout
• Guarded
• Clear Objectives
• Driven
• Competitive
A Comprehensive Model A Comprehensive Model A Comprehensive Model A Comprehensive Model
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Measuring the SystemMeasuring the SystemMeasuring the SystemMeasuring the System
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
9.0Trust
Respect
Camaraderie
Communication
Constructive Interaction
Values Diversity
Optimism
Alignment
Goals & Strategies
Accountability
Proactive
Decision Making
Resources
Team Leadership
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©2009 Collective Edge Coaching, llc
The The The The ‘‘‘‘MiddleMiddleMiddleMiddle’’’’ ViewViewViewViewWhat What What What Middle MgmtMiddle MgmtMiddle MgmtMiddle Mgmt / / / / Agile Agile Agile Agile ProgProgProgProg MgrMgrMgrMgr Need to KnowNeed to KnowNeed to KnowNeed to Know
Management Layer
Program Layer
Layer ThreeLayer ThreeLayer ThreeLayer Three
ManagementManagementManagementManagement
� Key Question◦ Does middle management have a place in your adoption?
� Discipline◦ Eight Competencies of an Agile Manager
� Practices◦ Management Standup
◦ Team-based Performance Review
◦ Agile Portfolio Management
◦ Agile Metrics & Reporting
Creating Your Agile Enterprise
Agile 2009 Tutorial
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©2009 Collective Edge Coaching, llc
(C) 2009 Collective Edge Consulting
Four LEADERSHIP Styles
ParticipativeTeam Builder * Coach
* Close partner w/Customers * Integrator * Push for consensus * Conflict manager * Amiable
* Pragmatist
DirectiveAuthoritative * Conservative *
Driver firm & assertive * Definitive * Realist
CharismaticCultivator * Catalyst * People
Steward * Idealist * Commitment Builder * Expressive * Idealist
Standard SetterConceptual visionary *
Challenger of others * Spurs competition * Tough
taskmaster * Stretcher of people * Analyst
From Schneider, Aligning Strategy, Culture and Leadership
©2007-2008 Collective Edge Consulting
The Organizational Ecosystem
The Context for Agile Management18
Creating Your Agile Enterprise
Agile 2009 Tutorial
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©2009 Collective Edge Coaching, llc
©2007-2008 Collective Edge Consulting
Eight Competencies for Agile Managers
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Managing Agile Teams
ResourceManagement
PerformanceManagement
Managing Teams
Suppliers & Outsourcing
Internal PartnerManagement
OrganizationChange & Culture
Meta Skills
Managing Investments
Metrics & Reporting
Managing thePortfolio
TeamDisciplineBasics
Managing the Environment
Layer FourLayer FourLayer FourLayer Four
ProgramProgramProgramProgram
� Key Question◦ What needs to be the same across teams?
◦ What can be different?
� Discipline◦ Balancing the Crystal approach vs. Defined Organizational Process
� Practices◦ Program Steering Council
◦ Agile Metrics
◦ TOC Metrics
Creating Your Agile Enterprise
Agile 2009 Tutorial
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©2009 Collective Edge Coaching, llc
The The The The ‘‘‘‘ExecutiveExecutiveExecutiveExecutive’’’’ PerspectivePerspectivePerspectivePerspectiveWhat What What What ExecutivesExecutivesExecutivesExecutives Need to KnowNeed to KnowNeed to KnowNeed to Know
Business Layer
Leadership / Strategic Layer
Layer FiveLayer FiveLayer FiveLayer Five
Business / StrategicBusiness / StrategicBusiness / StrategicBusiness / Strategic� Key Question: Will the business drive? What is the relationship between business & IT? Does Agile support or hinder business strategy?
� Discipline◦ Lean Thinking
� Practices◦ Lean Tools (e.g., Value Stream Map, Kaizen, Kanban, etc.)◦ Strategy Analysis◦ Agile Business Projects◦ Product Owner career path
Creating Your Agile Enterprise
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©2009 Collective Edge Coaching, llc
Layer SixLayer SixLayer SixLayer Six
Leadership / StrategicLeadership / StrategicLeadership / StrategicLeadership / Strategic
� Key Question: Do we want to become an Agile Enterprise?◦ What can happen if the organization becomes Agile, not just delivery teams?◦ Does Agile focus the culture, or diffuse it?
� Discipline◦ Envisioning the Agile Enterprise◦ Leadership Agility
� Practices◦ Strategic vs. Tactical Adoption◦ Culture Assessment◦ Strategy Alignment
(C) 2009 Collective Edge Consulting
Four Core STRATEGIES
SynergyClose partnership * High
customization * Total solution * High personalization * Co-development * Incremental
relationship
CertaintyDependability * Efficiency
* Commodity * Predictability * Convenience
Enrichment* Growth of Customer * Raising of human spirit *
Realization of ideals, value, higher-order purposes * Take customer to another plateau
SuperiorityOne of a kind * Unmatched
Product or Service * Excellence * Constant
Innovation * Product Leadership
From Schneider, Aligning Strategy, Culture and Leadership
Creating Your Agile Enterprise
Agile 2009 Tutorial
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©2009 Collective Edge Coaching, llc
(C) 2009 Collective Edge Consulting
Why Management Ideas Fail
Collaboration• Self-directed Teams
• Management by Consensus
• Participative Management
• Agile
Control• Six Sigma (precision)
• Statistical Process Control
Cultivation• Principle-center Leadership• Open Book Management
• Spirit at Work• Seeking Employee
Commitment• Agile
Competence• Best Practice / Benchmarking
• Six Sigma (excellence)• Knowledge Capital
• XP ?
Adapted fom Schneider
The The The The ‘‘‘‘BigBigBigBig’’’’ PicturePicturePicturePictureWhat the What the What the What the Senior SponsorSenior SponsorSenior SponsorSenior Sponsor Needs to KnowNeeds to KnowNeeds to KnowNeeds to Know
Organizational Layer: Change
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©2009 Collective Edge Coaching, llc
Layer SevenLayer SevenLayer SevenLayer Seven
OrganizationalOrganizationalOrganizationalOrganizational
� Key Question◦ How does this organization change?
� Discipline◦ Eight Critical Success Factors Model of Change
� Practices◦ “Selling the Problem”
◦ Stakeholder Analysis
◦ Job & Role Impact Analysis
◦ Communication Plan
Arc of the Transition JourneyArc of the Transition JourneyArc of the Transition JourneyArc of the Transition Journey
� BeginningBeginningBeginningBeginning◦ Pent up demand for change◦ Easy wins are, well……easy
◦ Early Adopters are…..friendly
� MiddleMiddleMiddleMiddle◦ Benefits of the change are evident, but the threats it creates also start to manifest
◦ Late Adopters are…..challenging◦ You may lose your compass bearings
◦ Beware subversion by the dominant paradigm
� EndEndEndEnd◦ How do we know we are done?
◦ The difficulty of dissolving
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©2009 Collective Edge Coaching, llc
©2007-2008 Collective Edge Consulting
� A Burning Platform is Driving the Change
� A Compelling Vision is Pulling the Change
� A Cascading Chain of Sponsorship Forms
� A Change Team with a Change Architect Maintaining Awareness
� Key Stakeholders are Meaningfully Engaged and Have Influence
� All Stakeholders are Empowered to Make the Change with Dignity
� The Organization Becomes Aligned around the Change
� The ‘Magic of Time’ has a Chance to Work
Eight Keys to a Successful Journey
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Thank You!
CONTACT:
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Agile 2009 Tutorial
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©2009 Collective Edge Coaching, llc
©2007-2008 Collective Edge Consulting
Response to ‘Positive’ Change31
Source: Daryl Conner, Managing at the Speed of Change