Why Agile Transformations Fail. What You Need to Know to Transform Any Sized Organization into an Agile Enterprise

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1 Why Agile Transformations Fail What You Need to Know to Transform Any Sized Organization into an Agile Enterprise

2 DEREK HUETHER Enterprise Transformation Consultant /derekhuether

3 Brief Agenda Discuss why adopting agile isn t one size fits all Explore the fundamentals of agile transformation How to craft an agile transformation roadmap

4 Brief Agenda Discuss why adopting agile isn t one size fits all Explore the fundamentals of agile transformation How to craft an agile transformation roadmap

5 Brief Agenda Discuss why adopting agile isn t one size fits all Explore the fundamentals of agile transformation How to craft an agile transformation roadmap

6 Brief Agenda Discuss why adopting agile isn t one size fits all Explore the fundamentals of agile transformation How to craft an agile transformation roadmap

7 ONE SIZE DOES NOT FIT ALL

8 Predictability Adaptability

9 Emergence Predictability Adaptability Convergence

10 Emergence Predictability PE AE PC AC Adaptability Convergence

11 Quadrant One Predictive Emergent Ad-Hoc Low Trust Emergence Predictability PE AE PC AC Adaptability Convergence

12 Quadrant Two Predictive Convergent Ad-Hoc Low Trust Emergence Predictability PE AE PC AC Adaptability Become Predictable Traditional Convergence

13 Quadrant Three Adaptive Convergent Ad-Hoc Low Trust Emergence Predictability PE AE PC AC Adaptability Become Predictable Traditional Reduce Batch Size Agile Convergence

14 Quadrant Four Adaptive Emergent Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Predictability PE AE PC AC Adaptability Become Predictable Traditional Reduce Batch Size Agile Convergence

15 We don t all belong in the same quadrant Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple! Predictability PE AE PC AC! Adaptability??? Become Predictable Traditional Reduce Batch Size Agile Convergence

16 THE THREE THINGS

17 s

18 s

19 Working Tested Software s Working Tested Software

20 WHAT DO I MEAN?

21 Working Tested Software s Working Tested Software INVEST Small enough for the team to develop in a day or so Everything and everyone necessary to deliver Meets acceptance criteria No known defects No technical debt What Do I Mean?

22 Working Tested Software s Working Tested Software INVEST Small enough for the team to develop in a day or so Everything and everyone necessary to deliver Meets acceptance criteria No known defects No technical debt What Do I Mean?

23 Working Tested Software s Working Tested Software INVEST CCC Small enough for the team to develop in a day or so Everything and everyone necessary to deliver Meets acceptance criteria No known defects No technical debt What Do I Mean?

24 Working Tested Software s Working Tested Software INVEST CCC Small enough for the team to develop in a day or so Everything and everyone necessary to deliver Meets acceptance criteria No known defects No technical debt What Do I Mean?

25 WHY ARE THEY IMPORTANT?

26 Working Tested Software Clarity Accountability Measureable Progress People have clarity around what to build People understand how it maps to the big picture can be held accountable for delivery No indeterminate work piling up at the end of the project 90% done Why Are They Important?

27 Working Tested Software Clarity Accountability Measureable Progress People have clarity around what to build People understand how it maps to the big picture can be held accountable for delivery No indeterminate work piling up at the end of the project 90% done Why Are They Important?

28 Working Tested Software Clarity Accountability Measureable Progress People have clarity around what to build People understand how it maps to the big picture can be held accountable for delivery No indeterminate work piling up at the end of the project 90% done Why Are They Important?

29 Working Tested Software Clarity Accountability Measureable Progress People have clarity around what to build People understand how it maps to the big picture can be held accountable for delivery No indeterminate work piling up at the end of the project 90% done Why Are They Important?

30 WHAT MOTIVATES US?

31 Working Tested Software Purpose Autonomy Mastery Understanding the backlog gives meaning to work Local decision making gives people a sense of power and control over their work People can demonstrate that they are good at what they do What Motivates Us?

32 Working Tested Software Purpose Autonomy Mastery Understanding the backlog gives meaning to work Local decision making gives people a sense of power and control over their work People can demonstrate that they are good at what they do What Motivates Us?

33 Working Tested Software Purpose Autonomy Mastery Understanding the backlog gives meaning to work Local decision making gives people a sense of power and control over their work People can demonstrate that they are good at what they do What Motivates Us?

34 Working Tested Software Purpose Autonomy Mastery Understanding the backlog gives meaning to work Local decision making gives people a sense of power and control over their work People can demonstrate that they are good at what they do What Motivates Us?

35 WHAT DO THEY LOOK LIKE AT SCALE?

36 Working Tested Software Governance Structure Metrics & Tools Governance is the way we make economic tradeoffs in the face of constraints The way we form teams and foster collaboration at all levels of the organization What do we measure, how do we baseline performance and show improvement? What Do They Look Like at Scale?

37 Working Tested Software Governance Structure Metrics & Tools Governance is the way we make economic tradeoffs in the face of constraints The way we form teams and foster collaboration at all levels of the organization What do we measure, how do we baseline performance and show improvement? What Do They Look Like at Scale?

38 Working Tested Software Governance Structure Metrics & Tools Governance is the way we make economic tradeoffs in the face of constraints The way we form teams and foster collaboration at all levels of the organization What do we measure, how do we baseline performance and show improvement? What Do They Look Like at Scale?

39 Working Tested Software Governance Structure Metrics & Tools Governance is the way we make economic tradeoffs in the face of constraints The way we form teams and foster collaboration at all levels of the organization What do we measure, how do we baseline performance and show improvement? What Do They Look Like at Scale?

40 STRUCTURE

41 Product & Services Team Team Team Team Team Team Team

42 Program Team Team Team Product & Services Team Team Team Team Team Team Team

43 Portfolio Team Program Team Team Team Product & Services Team Team Team Team Team Team Team

44 GOVERNANCE

45 Portfolio Team Program Team Team Team Product & Services Team Team Team Team Team Team Team

46 Portfolio Team Program Team Team Team Product & Services Team Team Team Scrum Team Team Team Team

47 Portfolio Team Program Team Team Team Kanban Product & Services Team Team Team Scrum Team Team Team Team

48 Portfolio Team Kanban Program Team Team Team Kanban Product & Services Team Team Team Scrum Team Team Team Team

49 METRICS

50 Portfolio Team Kanban Program Team Team Team Kanban Product & Services Team Team Team Scrum Team Team Team Team

51 Portfolio Team Kanban Program Team Team Team Kanban Product & Services Size Velocity Burndown Escaped Defects Commit % Ratio Acceptance % Ratio Scope Change Scrum

52 Portfolio Team Kanban Program Product & Services Cycle Time Features Blocked Rework/Defects Size Velocity Burndown Escaped Defects Commit % Rate Acceptance % Ratio Scope Change Kanban Scrum

53 Portfolio Program Product & Services Takt Time/Cycle Time Time/Cost/Scope/Value RIO/Capitalization Cycle Time Features Blocked Rework/Defects Size Velocity Burndown Escaped Defects Commit % Ratio Acceptance % Ratio Scope Change Kanban Kanban Scrum

54 WHAT GETS IN THE WAY?

55 Working Tested Software Business Dependencies Requirements management Process flow Value streams Bottlenecks Too much in process work Organizational Dependencies Matrixed Organizations Non instantly available resources Lack of SME Technical Dependencies Technical Debt Defects Tight Coupling Low Cohesion What Gets in the Way?

56 Working Tested Software Business Dependencies Requirements management Process flow Value streams Bottlenecks Too much in process work Organizational Dependencies Matrixed Organizations Non instantly available resources Lack of SME Technical Dependencies Technical Debt Defects Tight Coupling Low Cohesion What Gets in the Way?

57 Working Tested Software Business Dependencies Requirements management Process flow Value streams Bottlenecks Too much in process work Organizational Dependencies Matrixed Organizations Non instantly available resources Lack of SME Technical Dependencies Technical Debt Defects Tight Coupling Low Cohesion What Gets in the Way?

58 Working Tested Software Business Dependencies Requirements management Process flow Value streams Bottlenecks Too much in process work Organizational Dependencies Matrixed Organizations Non instantly available resources Lack of SME Technical Dependencies Technical Debt Defects Tight Coupling Low Cohesion What Gets in the Way?

59 WHAT DO YOU NEED TO CHANGE?

60 Working Tested Software Defining Work Known and knowable requirements How to deal with unknowns Estimating Allocating People Fungible resources Individual utilization Productivity metrics Measuring Progress Activity over outcome What Do You Need to Change?

61 Working Tested Software Defining Work Known and knowable requirements How to deal with unknowns Estimating Allocating People Fungible resources Individual utilization Productivity metrics Measuring Progress Activity over outcome What Do You Need to Change?

62 Working Tested Software Defining Work Known and knowable requirements How to deal with unknowns Estimating Allocating People Fungible resources Individual utilization Productivity metrics Measuring Progress Activity over outcome What Do You Need to Change?

63 Working Tested Software Defining Work Known and knowable requirements How to deal with unknowns Estimating Allocating People Fungible resources Individual utilization Productivity metrics Measuring Progress Activity over outcome What Do You Need to Change?

64 WHY AGILE FAILS

65 User Story User Story User Story User Story User Story User Story User Story Team Screen Database Report Lack of Clarity

66 User Story User Story User Story User Story User Story User Story User Story Team Screen Database Report Lack of Clarity Lack of Accountability

67 User Story User Story User Story User Story User Story User Story User Story Team Screen Database Report Lack of Clarity Lack of Accountability Lack of Measureable Progress

68 WHY AGILE FAILS AT SCALE

69 User Story User Story User Story User Story User Story User Story User Story Team Screen Database Report Lack of Clarity Lack of Accountability Lack of Measureable Progress

70 User Story User Story User Story User Story User Story User Story User Story Team Screen Database Report Lack of Governance Lack of Accountability Lack of Measureable Progress

71 User Story User Story User Story User Story User Story User Story User Story Team Screen Database Report Lack of Governance Lack of Structure Lack of Measureable Progress

72 User Story User Story User Story User Story User Story User Story User Story Team Screen Database Report Lack of Governance Lack of Structure Lack of Metrics & Tools

73 A THEORY OF TRANSFORMATION

74 A Theory of Transformation Agile is about forming teams, building backlogs, and regularly producing increments of working tested software

75 A Theory of Transformation Agile at scale is about defining structure, establishing governance, and creating a metrics and tooling strategy that supports agility

76 A Theory of Transformation Anything that gets in the way of forming teams, building backlogs, and producing working tested software is an impediment to transformation

77 TRANSFORMATION IS A JOURNEY

78 Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Predictability PE AE PC AC Adaptability Become Predictable Lean/Agile Reduce Batch Size Agile Convergence

79 Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Predictability PE AE PC AC Adaptability Become Predictable Lean/Agile Reduce Batch Size Agile Convergence

80 Phase One Stabilize the System Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Predictability PE AE PC AC Adaptability Phase One Become Predictable Lean/Agile Reduce Batch Size Agile Convergence

81 Phase Two Reduce Batch Size Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Predictability PE AE PC AC Adaptability Phase One Phase Two Become Predictable Lean/Agile Reduce Batch Size Agile Convergence

82 Phase Three Break Dependencies Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Predictability PE AE PC AC Phase Three Adaptability Phase One Phase Two Become Predictable Lean/Agile Reduce Batch Size Agile Convergence

83 Phase Four Increase Local Autonomy Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Predictability PE AE PC AC Phase Three Phase Four Adaptability Phase One Phase Two Become Predictable Lean/Agile Reduce Batch Size Agile Convergence

84 Phase Five Invest to Learn Ad-Hoc Low Trust Emergence Lean Startup Fully Decouple Phase Five Predictability PE AE PC AC Phase Three Phase Four Adaptability Phase One Phase Two Become Predictable Lean/Agile Reduce Batch Size Agile Convergence

85 Incrementally and Iteratively Transform Structure Metrics Define the End State Governance Team Assessments Change Management & Communication Form Sustain Make the Change Stick Targeted Improvement Coach Make the Change Teach Practices Establish Structure Develop The Set up for Sustainability Manage Change and Communication

86 Develop Your Roadmap Identify the Business Goals Align in the four quadrants Identify Impediments to Structure Identify Impediments to Governance Identify Impediments to Metrics Create the Transformation Plan

87 DEREK HUETHER Enterprise Transformation Consultant /derekhuether

88 Why Agile Transformations Fail What You Need to Know to Transform Any Sized Organization into an Agile Enterprise

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