Stakeholders and their values. GilbFest 2017

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1 Stakeholders and their values GilbFest

2 Agenda Stakeholder Value: Why we persistently fail to deliver value for money, how to avoid failure; risk management, case studies in persistent real value success. In any domain, not just IT, especially if IT might learn from the ideas. Historical and cultural ideas welcome. As usual, this is intended as an umbrella theme, to give interesting people scope to discuss their special interest, in this light. Your talk must stay within the broad theme of STAKEHOLDER VALUE: case studies, theories, practices, personal experiences, not just about IT, but of any systems, cultures, nature, history, business management, charity management, education etc. We encourage as usual colourful imaginative, fun, challenging, innovative presentations. They do not have to be your personal experiences. They can be analysis of other exciting innovation ideas and experiences. The main thing is that participants are thrilled and deeply impressed by your depth and clarity, and innovation. Think TED Talk (see below) 2

3 Concept *269 Value Value is perceived benefit: that is, the benefit we think we will get from something. Notes: 1. Value is the potential consequence of system attributes, for one or more stakeholders. 2. Value is not linearly related to a system improvement: for example, a small change in an attribute level could add immense perceived value for one group of stakeholders for relatively low cost. 3. Value is the perceived usefulness, worth, utility or importance of a defined system component or system state, for defined stakeholders, under specified conditions. One man s meat is another man s poison. Old proverb 4. Benefit is when some perceived value is actually produced by a defined system. 5. Value is relative to a stakeholder: it is not absolute. Quality, for example, is stated in terms of the objective level of how well a system performs, irrespective of how this level is appreciated by any stake- holders. Some defined levels of quality only have a value to some stakeholders. The same is true for all attributes. There are many Planguage ways of indicating that a stakeholder values an attribute. These include using Value, Stakeholder, Authority, Impacts, and Source parameters. Nowadays, people know the cost of everything and the value of nothing. Oscar Wilde. 3

4 Stakeholder Attributes Some attributes of stakeholders which can be defined in more detail, and can be quantified status estimated and potentially improved 4

5 Planguage Definition A stakeholder is any person, group or object, which has some direct or indirect interest in a defined system. Stakeholders can exercise control over both the immediate system operational characteristics, as well as over long-term system lifecycle considerations (such as portability, lifecycle costs, environmental considerations, and decommissioning of the system). Notice: or object. This includes laws, regulations, plans, policies, customs, culture, standards. Inanimate. you cannot ask them or discuss with them. But you can analyze them, their priority, the degree of relevance. They can determine if your system is illegal, or acceptable. Determine success or failure. Icon O<- (Source of requirement) 5

6 3 Basic Stakeholder Types Groups Inanimate Individual 6

7 Gilb s Stakeholder Principles. 1. Some stakeholders are more critical to your system than others. 2. Some stakeholder needs are more critical to your system than others. 3. Stakeholders are undisciplined: they may not know all their needs, or know them precisely, or know their value. But they can be analyzed, coached, and helped to get the best possible deal. 4. Stakeholders may be inaccessible, unwilling, inanimate, oppositional, and worse: but we need to deal with them intelligently. 5. Stakeholders might well ask for the wrong thing, a means rather than their real ends. But they can be guided to understand that. Or their requests can be interpreted in their own real best interests. 6. Stakeholders do not want to wait years, get delays, invest shitloads of money, and then little or no value. They want as much value improvement of their current situation, as they can get, as fast as they can get it. For as little cost as possible, 7. Stakeholders cannot have any realistic idea of what their needs and demands will cost to satisfy. So their adopted requirements need to be based on value for costs, not on value alone. Delivering small increments, based on high value-to-cost, is one smart way to deal with this. 8. If you think you have found all critical stakeholders, I think you should assume there is at least one more, and when you find that one,. They will emerge, and they are not all there at the beginning. 9. If you think you have found all critical needs of a stakeholder, there will always be at least one more need hiding. 10. If you do not understand, and act on the principles above; you might blame your failure on system complexity, and the unexpected and wicked problems. But in reality, it is your own fault and responsibility; deal with it - up front and constantly. SOURCE, 2016 Paper Stakeholder Power:The Key to Project Failure or Success including 10 Stakeholder Principles (COPY FEB 2017) (FEB 2016) 7

8 Stakeholder Costs 8

9 Stakeholder Costs 9

10 Adding Strategies for Improving Stakeholder Attributes 10

11 Stakeholder Ends and Means the???? signifies that we did not yet estimate the effectiveness of the ideas for getting better 11

12 12

13 Accessibility defined quantitatively 13

14 Adaptability Value defined 14

15 Known Unknowns 15

16 SLIDES GIVING ROUGH DRAFT OF SUBJECTS 16

17 Priorities Stakeholder priorities (which one gets current attention and resources) depend on their multiple attributes, evaluated in real time like power, fragility, value produced & also depends on their set of critical requirements and their costs and current satisfaction and depends on OUR chosen priority policy like value/costs and risks See Value Planning, Chapter 6 Prioritization Evaluation 17

18 Tools Tools for dealing with Stakeholders Planguage Needsand Means stakeholder.com Lack of Decent Tools Agile/Scrum Enterprise Architecture Lean? Decent tools allow many stakeholders quantify stakeholder needs directly relate needs:stakeholders can update complex sets 50+ each. Stakeholder explicitly in the dev. cycle 18

19 Processes Stakeholder driven development cycle 19

20 Learn Stakeholders Measure Values Value Management Learning Process Deliver Solutions Develop Decompose 20

21 Learn Stakeholders Measure Values Identify Stakeholders Who and what cares about the outcome of our project? Deliver Solutions Develop Decompose 21

22 Learn Stakeholders Measure Values Value Capturing Find & specify quantitatively Stakeholder Values, Product Qualities & Resource improvements. Deliver Solutions Develop Decompose 22

23 Learn Stakeholders Measure Values Solution Prioritization Find, Evaluate & Prioritize Solutions to satisfy Requirements. Deliver Solutions Develop Decompose 23

24 Learn Stakeholders Measure Values Evo Cycles Decompose the winning Solutions down into smaller entities, then package them so they deliver maximum Value. Deliver Solutions Develop Decompose 24

25 Learn Stakeholders Measure Values Develop Develop the packages that deliver the Value. Deliver Solutions Develop Decompose 25

26 Learn Stakeholders Measure Values Deliver Deliver to Stakeholders improved Value. (not always a thing or code) Deliver Solutions Develop Decompose 26

27 Learn Stakeholders Measure Values Measure Change Measure how much the Values changed. Deliver Solutions Develop Decompose 27

28 Learn Stakeholders Measure Values Learn & Change Learning is defined as a change in behavior. Deliver Solutions Develop Decompose 28

29 Learn Stakeholders Measure Values Value Management Learning Process Deliver Solutions Develop Decompose 29

30 Reality (Business/Architecture/Engineering/ Development) Learn Stakeholders Measure Values Deliver Value Management Learning Process Evo Development / Scrum Business Analyst Architecture / Engineering Solutions Develop Decompose 2008 Kai Gilb Kai@Gilb.com 30

31 Learn Stakeholders Measure Values Value Management Learning Process Scrum Deliver Solutions Develop Decompose 31

32 Eternal Cycles: Stakeholder Competition Deming: as long as there is competition PDSA and Kai s Value Delivery cycle 32

33 The Basic Design Steps Logic: a summary 1. Environment Scope helps identify stakeholders. 2. Stakeholders have values and priorities 3. Values have many dimensions 4. Stakeholders determine value levels Requirements 5. Design hypotheses should be powerful and efficient ideas, for satisfying stakeholder needs 6. Design hypotheses can be evaluated quantitatively, with respect to all quantified objectives and resources 7. Designs can be decomposed, to find more efficient design subsets, that can be implemented early Design 8. Designs can be implemented sequentially, and their value-delivery, and resource costs, measured 9. Designs that unexpectedly threaten achievement of objectives, or excessive use of resources, can be removed or modified. 10. Designs that have the best set of effects on objectives, for the least consumption of limited resources, should generally be selected for early implementation. Deploy 11. A design increment can have unacceptable results, in combination with previous increments, and they, or it, might need removal or modification 12. When all objectives are reached, the process of design is complete: except for possible optimization of operational resources, by even-better design. 13. When deadlined and budgeted implementation-resources are used up, it might be reasonable to negotiate additional resources; especially if the incremental values are Re-design worth the additional resources. 14. When deadlined and budgeted implementation-resources are used up, it might be reasonable to negotiate additional resources; especially if the incremental values are worth the additional resources. The Logic of Design: Design Process Principles. Tom Gilb, 2016, Paper.

34 Critical ={Stakeholders, Requirements} prioritization tactic Critical Factor Concept *036 A critical factor is an attribute level or condition in a system, which can on its own, determine the success or failure of the system under specified conditions. We prioritize critical factors like critical stakeholders and their critical requirements until all are satisfied then we should probably stop 34

35 Stakeholder Rights Stakeholders should have the Right to have a voice Right to be consulted Right to be warned Right to suggest Right to review Right to measure Right to complain Right to be informed Right to change their mind Right to understand costs Right to understand value/resources Right to understand risks Right to set their priorities 35

36 Stakeholder Power Stakeholder power is rarely absolute Stakeholder power needs to be balanced with all other stakeholders Stakeholder power will vary through time Stakeholder power is less relevant when their needs are satisfied 36

37 Stakeholder Ethics Stakeholders will have highly varied ethics, and motivations We can influence stakeholder ethics by a variety of actions 37

38 Stakeholder Feedback Types Stakeholders have a variety of ways to feedback, react, and influence the process gradual measurement of value delivered versus value expected complaints Sensemaker feedback 38

39 Stakeholder-Driven Value Delivery all projects are about delivering values to stakeholders 39

40 Dynamic Priority selecting next actions. the next strategy implementations with stakeholders to deliver value depend on the degree of value delivery the depletion of limited resources new emerging requirements which are not very predictable so, it is hard to know what you will prioritize doing, in advance but you can compute it logically step by step 40

41 Sensemaker: Stakeholders stakeholder crowds are analyzed to find requirements designs that work well show up in crowd chatter Dave Snowdon 41

42 Fail or Succeed Role, of Stakeholder stakeholders can, depending on their value satisfaction refuse to buy or pay give bad reviews declare a system to be illegal give rave reviews 42

43 Stakeholder Education, Training, Coaching 43

44 Stakeholder in other cultures Scrum Product Owner, User 44

45 Structures Hierarchies Dependencies 45

46 Sensing Stakeholders 46

47 Rejecting Stakeholders 47

48 Rejecting Some Needs 48

49 Decomposition 49

50 Stakeholder Risks 50

51 slides needing placement 51

52 Defining a list of stakeholders which are related to an Objective 52

53 The Scale definition, scale parameters - give additional information regarding stakeholders: such as where, when, which type, under what circumstances 53