Many businesses focus upon improvement to their technical capability harnessing DevOps practices such as Continuous Deployment to "Build The Thing Right", but in the drive to deliver more rapidly, repeatedly and predictably have business units evolved and integrated effectively? Essentially, are we "Building The Right Thing"?
12. “The Business”
Finance, Marketing, Product, Customer Service and IT
The solution can be the problem!
The End Goal!
Product CProduct A Product B
Product D Product E Product F
Most companies will
not achieve this
(and probably don’t
want to)
13. So How Can “The solution be the problem”?
To embrace DevOps practices and patterns IT will have made major
organisational, process, technology, people and financial changes.
• Have business functions evolved at the same pace?
• Have you reached the “real” goal yet?
• Do you know your users?
• What makes them happy?
15. Do you know your users?
Product Owner
Product Team
Customer
Services
Marketing Finance
Users aren’t your
stakeholders….
What do your users
need?
Communication Communication Communication
Communication
(by proxy)
Users
Commun
16. Do you know your users?
What internal data have you been collecting to
understand your users? What do they like, what fell
flat, why?
Competitors and partners – What they doing? And
Why?
What’s the happening in the wider marketplace and
within your specific industry?
What Political, Economic, Social, Technological, Legal
and Environmental factors which need to be
considered?
All of the above help to define the competitive
landscape for your company which helps to
visualise the opportunities available
Do you know your current position?
Competitive Landscape
17. Interlude: A Quiz!
• Born 1948; grew up in England
• Married twice
• 2 children
• Successful in business
• Wealthy
• Spends the winter in the
Alps
• Likes dogs
18. Do you know your users?
Have you met your users? Virtual or
real-life!
Example taken from HSCIC - Identity Access Management
Personas
19. Do you know your users?
• Key Partners
• Key Activities
• Key resources
• Value Propositions
• Relationships
• Channels
• Customer Segments
• Cost Structure
• Revenue Streams
Business Model Canvas
Do you have a business model canvas?
20. Do you know your users?
Extended Product Team
PersonasCompetitive Landscape Business Model Canvas
An extended team should
include Marketing, Finance,
CS etc
You have the
information, so what’s
next?
Help to build the right
thing!
22. Help to build the right thing
Vision, Mission, Objectives, Strategies and Tactics (VMOST)
Weighted Shortest Job First (WSJF)
2 techniques:
A strategic framework to visual business change
A method to quickly prioritise your backlog (by value)
23. Help to build the right thing - VMOST
VMOST Framework
I want to work in a place where….
We will reach that place by….
We will measure our success by…
We will focus on…
We will do…
.
.
.
.
.
A cyclical
process
24. Help to build the right thing - VMOST
VisionMissionObjectivesStrategies
Tactics
(inscope)
Tactics
(descoped)
Aplacewherewewant tobe...
Howweregoingtoget there(anumber of missions)
Howweknowwegot there(KPIs)
Areas of focus
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Changes
Points
Cost: xx
Benefit: xx
Cost: xx
Benefit: xx
nd
Change
Marketing /
Comm.
Change
Process /
Org Change
Product
Change
Technology
Change
30
Estimated
cost of
Change
(Points)
s
e
25. Help to build the right thing - VMOST
Belief:
Tactics:
Blogger
Tactics:
Google+
Tactics:
Google
Docs
Vision:
Our visionisaplacewheretheworldhasaccesstoclearlysortedandrelevant information.
Dataisalreadycollatedandtransformedintoinformationreadyfor consumptioninnewandexcitingwaysaroundtheworld
–not just therichcountries. Informationisalsonolonger drivenbyhistorical occurrences.Whilst dataobtainedfrompast
eventsisstill important,it istransformedandutilisedtoassist current andfuturehumanneeds.
Thenext periodof
worldchangewill be
built onorganisedand
availableinformation
Tactics:
Google
Drive
Tactics:
You
Tube
Mission:
Changehow
organisationsinteract
withinformation.
Mission:
Useinformationto
facilitatecommunication
andideasharingbetween
people
Mission:
IntegrateInformation&
Knowledgeintoeveryday
life
Strategy:
Focuson traditional
e-communication
methods
Tactics:
GMail
Tactics:
Android
Phones
Tactics:
Google
Translate
Objective:
1:3adultstoassociateonline
sharing&collaborationwith
Googlebrandsby2015
Objective:
Handle40%of theworlds
personalcommunications
within3years
Strategy:
Focuson
Broadcast
capabilities
Strategy:
FocusonPeer to
Peer Sharing
ExampleVMOST
for Google
26. Help to build the right thing - VMOST
VisionMissionObjectivesStrategies
Tactics
(inscope)
Tactics
(descoped)
Our vision is a place where the world has access to clearly sorted and relevant information.
Data is already collated and transformed into Information ready for consumption in new and exciting ways around the world – not just the rich
countries. Information is also no longer driven by historical occurrences. Whilst data obtained from past events is still important it is transformed and
utilised to assist current and future human needs.
Use information to facilitate communication and idea
sharing between people
Change
Marketing /
Comm.
Change
Process /
Org Change
Product
Change
1:3 adults to associate online
sharing & collaboration with
Google brands by 2015
Technology
Change
Focus on Idea
Broadcast
capabilities
Focus on
traditional
e-communication
methods
TV
Superbowl
Ad
Google
Translate
Google +
Blogger
Youtube
Focus on
Peer to Peer
Sharing
Google
Docs
Google
Drive
30
Estimated
cost of
Change
(Points)
30
30
3050
25
10
We handle 40% of the
worlds personal
communications within 3
years
Integrate Information & Knowledge
into everyday life
Change how organisations
interact with information.
Gmail
30
Google
Earth
20
Google
Maps
Glass
Focus on
wearable
technology
Focus on the
world around
us
Google
Wear OS
Google
Weather
App
Google
Analytics
Street
view
Focus on
obtaining
information
Google
Keywords
Focus on
mobile
access
Nexus 5
Nexus 6P
Android
M
Google
Calendar
Google
Apps
Google
Keep
Focus on
office tools
& software
40
20
30
50
70
30
45
40
30
80
20
45
20
33% increase in
interactions outside of
the office
environment by 2020
Wifi
Partners
40% increase in
Hardware sales
by 2017
30
Blogger
10
Blogger
10
There’s a visualised
plan, so how do we
order the backlogs?
WSJF!
28. Help to build the right thing - WSJF
SizeBusiness
Value
Risk
Reduction
Time
Criticality
CoD - Cost of Delay
29. Help to build the right thing - WSJF
WSJF
Business Value Time Criticality RR/OE
Job Size
EPIC BV TC RR/OE CoD SIZE WSJF
Feature D
Feature B
Feature A
Feature E
Feature C
30. Help to build the right thing - WSJF
WSJF
Business Value Time Criticality RR/OE
Job Size
EPIC BV TC RR/OE CoD SIZE WSJF
Feature D 5
Feature B 2
Feature A 1
Feature E 8
Feature C 3
31. Help to build the right thing - WSJF
WSJF
Business Value Time Criticality RR/OE
Job Size
EPIC BV TC RR/OE CoD SIZE WSJF
Feature D 5 3
Feature B 2 1
Feature A 1 2
Feature E 8 8
Feature C 3 5
32. Help to build the right thing - WSJF
WSJF
Business Value Time Criticality RR/OE
Job Size
EPIC BV TC RR/OE CoD SIZE WSJF
Feature D 5 3 2
Feature B 2 1 5
Feature A 1 2 8
Feature E 8 8 1
Feature C 3 5 3
33. Help to build the right thing - WSJF
WSJF
Business Value Time Criticality RR/OE
Job Size
EPIC BV TC RR/OE CoD SIZE WSJF
Feature D 5 3 2 10
Feature B 2 1 5 8
Feature A 1 2 8 11
Feature E 8 8 1 17
Feature C 3 5 3 11
34. Help to build the right thing - WSJF
WSJF
Business Value Time Criticality RR/OE
Job Size
EPIC BV TC RR/OE CoD SIZE WSJF
Feature D 5 3 2 10 1
Feature B 2 1 5 8 2
Feature A 1 2 8 11 3
Feature E 8 8 1 17 5
Feature C 3 5 3 11 8
35. Help to build the right thing - WSJF
WSJF
Business Value Time Criticality RR/OE
Job Size
EPIC BV TC RR/OE CoD SIZE WSJF
Feature D 5 3 2 10 1 10.0
Feature B 2 1 5 8 2 4.0
Feature A 1 2 8 11 3 3.7
Feature E 8 8 1 17 5 3.4
Feature C 3 5 3 11 8 1.4
To understand that it’s not just delivery, it’s operations & evolution too:
The focus needs to turn to DevOps, which is the practice of operations and development engineers participating together in the entire service lifecycle, from design through the development process to production support.
DevOps is also characterised by operations staff making use many of the same techniques as developers for their systems work.
Essentially, what DevOps hopes to bring is the understanding and practice that software isn’t done until it’s successfully delivered to a user and meets their expectations around availability, performance, and pace of change.
New - Dosis
There are no users on this diagram
Corporate – What internal data have you been collecting to understand your users - analytics tools, multi-variant testing, a/b testing, propensity for x-sell, upsell etc. What have they done. What do they like, what fell flat, why?
Competitors and partners – What they doing? And Why?
Market Place – What’s the happening in the wider marketplace and within your specific industry? Also what’s are the Political, Economic, Social, Technological, Legal and Environmental factors which need to be considered for any product?
All of the above help to define the competitive landscape for your company which helps to visualise the opportunities available.
Corporate – What internal data have you been collecting to understand your users - analytics tools, multi-variant testing, a/b testing, propensity for x-sell, upsell etc. What have they done. What do they like, what fell flat, why?
Competitors and partners – What they doing? And Why?
Market Place – What’s the happening in the wider marketplace and within your specific industry? Also what’s are the Political, Economic, Social, Technological, Legal and Environmental factors which need to be considered for any product?
All of the above help to define the competitive landscape for your company which helps to visualise the opportunities available.
Corporate – What internal data have you been collecting to understand your users - analytics tools, multi-variant testing, a/b testing, propensity for x-sell, upsell etc. What have they done. What do they like, what fell flat, why?
Competitors and partners – What they doing? And Why?
Market Place – What’s the happening in the wider marketplace and within your specific industry? Also what’s are the Political, Economic, Social, Technological, Legal and Environmental factors which need to be considered for any product?
All of the above help to define the competitive landscape for your company which helps to visualise the opportunities available.
It is a visual chart with elements describing a firm's or product's value proposition, infrastructure, customers, and finances.[3] It assists firms in aligning their activities by illustrating potential trade-offs.
Infrastructure
Key Activities: The most important activities in executing a company's value proposition. An example for Bic would be creating an efficient supply chain to drive down costs.
Key Resources: The resources that are necessary to create value for the customer. They are considered an asset to a company, which are needed in order to sustain and support the business. These resources could be human, financial, physical and intellectual.
Partner Network: In order to optimize operations and reduce risks of a business model, organization usually cultivate buyer-supplier relationships so they can focus on their core activity. Complementary business alliances also can be considered through joint ventures, strategic alliances between competitors or non-competitors.
Offering
Value Propositions: The collection of products and services a business offers to meet the needs of its customers. According to Osterwalder, (2004), a company's value proposition is what distinguishes itself from its competitors. The value proposition provides value through various elements such as newness, performance, customization, "getting the job done", design, brand/status, price, cost reduction, risk reduction, accessibility, and convenience/usability.
The value propositions may be:
Quantitative- price and efficiency
Qualitative- overall customer experience and outcome
Customers
Customer Segments: To build an effective business model, a company must identify which customers it tries to serve. Various sets of customers can be segmented based on the different needs and attributes to ensure appropriate implementation of corporate strategy meets the characteristics of selected group of clients. The different types of customer segments include:
Mass Market: There is no specific segmentation for a company that follows the Mass Market element as the organization displays a wide view of potential clients. e.g. Car
Niche Market: Customer segmentation based on specialized needs and characteristics of its clients. e.g. Rolex
Segmented: A company applies additional segmentation within existing customer segment. In the segmented situation, the business may further distinguish its clients based on gender, age, and/or income.
Diversify: A business serves multiple customer segments with different needs and characteristics.
Multi-Sided Platform / Market: For a smooth day-to-day business operation, some companies will serve mutually dependent customer segment. A credit card company will provide services to credit card holders while simultaneously assisting merchants who accept those credit cards.
Channels: A company can deliver its value proposition to its targeted customers through different channels. Effective channels will distribute a company’s value proposition in ways that are fast, efficient and cost effective. An organization can reach its clients either through its own channels (store front), partner channels (major distributors), or a combination of both.
Customer Relationships: To ensure the survival and success of any businesses, companies must identify the type of relationship they want to create with their customer segments. Various forms of customer relationships include:
Personal Assistance: Assistance in a form of employee-customer interaction. Such assistance is performed either during sales, after sales, and/or both.
Dedicated Personal Assistance: The most intimate and hands on personal assistance where a sales representative is assigned to handle all the needs and questions of a special set of clients.
Self Service: The type of relationship that translates from the indirect interaction between the company and the clients. Here, an organization provides the tools needed for the customers to serve themselves easily and effectively.
Automated Services: A system similar to self-service but more personalized as it has the ability to identify individual customers and his/her preferences. An example of this would be Amazon.com making book suggestion based on the characteristics of the previous book purchased.
Communities: Creating a community allows for a direct interaction among different clients and the company. The community platform produces a scenario where knowledge can be shared and problems are solved between different clients.
Co-creation: A personal relationship is created through the customer’s direct input in the final outcome of the company’s products/services.
Finances
Cost Structure: This describes the most important monetary consequences while operating under different business models. A company's DOC.
Classes of Business Structures:
Cost-Driven - This business model focuses on minimizing all costs and having no frills. e.g. SouthWest
Value-Driven - Less concerned with cost, this business model focuses on creating value for their products and services. e.g. Louis Vuitton, Rolex
Characteristics of Cost Structures:
Fixed Costs - Costs are unchanged across different applications. e.g. salary, rent
Variable Costs - These costs vary depending on the amount of production of goods or services. e.g. music festivals
Economies of Scale - Costs go down as the amount of good are ordered or produced.
Economies of Scope - Costs go down due to incorporating other businesses which have a direct relation to the original product.
Revenue Streams: The way a company makes income from each customer segment. Several ways to generate a revenue stream:
Asset Sale - (the most common type) Selling ownership rights to a physical good. e.g. Wal-Mart
Usage Fee - Money generated from the use of a particular service e.g. UPS
Subscription Fees - Revenue generated by selling a continuous service. e.g. Netflix
Lending/Leasing/Renting - Giving exclusive right to an asset for a particular period of time. e.g. Leasing a Car
Licensing - Revenue generated from charging for the use of a protected intellectual property.
Brokerage Fees - Revenue generated from an intermediate service between 2 parties. e.g. Broker selling a house for commission
Advertising - Revenue generated from charging fees for product advertising.
New - Dosis
Beliefs - What we stand for. Why we exist and why the world needs another ‘X’.
Values - How we portray our beliefs to the outside world.
Destiny - Where our values will take us.
Vision - A physical description of what the future will look like.
Reference - Simon Sinek (2009, Start with Why) suggests that the most successful organizations use the “golden circles” in their planning. The inner and most important circle is “Why?” – this is the vision and mission of your board and the inspiration for your work. The second circle is “How?” and the third is “What?” These last two circles describe the operational, day to day aspects of the board’s work. As Sinek asserts, “The Golden Circle provides compelling evidence of how much more we can achieve if we remind ourselves to start everything we do by first asking why.”
Mission - A series of operations, using people and resources, to affect a change to the current scenario.
Objectives - Metrics that provide a definition of success in a given area.
Strategies - Areas to focus on in order to achieve one or more objectives.
Tactics – The specific changes = projects
Projects – A top level wrapper for a piece of work to deliver change. Comprised of:
Themes - A group of changes that map to a common outcome
Epics - Large pieces of work that have multiple functionality but a shared business benefit
Stories - A smaller self contained feature change that benefits a particular user. Different types – Spike / Bug / Tech Debt
Four Stage Mission Board Formation
Brainstorming of ideas – a skeleton outline of a number of visions, missions, strategies, and sporadic tactics
Refinement - Missions, Objectives, Strategies, Tactics are refined and clarified. (Board likely to be ‘too busy’ at this point)
Reflection – Vision condensed and agreed, usually to 1 statement (and 3-4 missions, 3-6 strategies per mission, 'n' number of tactics per strategy). Links formed between layers
Reality – Benefits and effort to complete Tactics estimated. Identify how many can be completed within an agreed period (usually 12 months).
It is important that business change activities and tactics are identified and estimated, not just IT delivery effort
Beliefs - What we stand for. Why we exist and why the world needs another ‘X’.
Values - How we portray our beliefs to the outside world.
Destiny - Where our values will take us.
Vision - A physical description of what the future will look like.
Reference - Simon Sinek (2009, Start with Why) suggests that the most successful organizations use the “golden circles” in their planning. The inner and most important circle is “Why?” – this is the vision and mission of your board and the inspiration for your work. The second circle is “How?” and the third is “What?” These last two circles describe the operational, day to day aspects of the board’s work. As Sinek asserts, “The Golden Circle provides compelling evidence of how much more we can achieve if we remind ourselves to start everything we do by first asking why.”
Mission - A series of operations, using people and resources, to affect a change to the current scenario.
Objectives - Metrics that provide a definition of success in a given area.
Strategies - Areas to focus on in order to achieve one or more objectives.
Tactics – The specific changes = projects
Projects – A top level wrapper for a piece of work to deliver change. Comprised of:
Themes - A group of changes that map to a common outcome
Epics - Large pieces of work that have multiple functionality but a shared business benefit
Stories - A smaller self contained feature change that benefits a particular user. Different types – Spike / Bug / Tech Debt
Beliefs - What we stand for. Why we exist and why the world needs another ‘X’.
Values - How we portray our beliefs to the outside world.
Destiny - Where our values will take us.
Vision - A physical description of what the future will look like.
Reference - Simon Sinek (2009, Start with Why) suggests that the most successful organizations use the “golden circles” in their planning. The inner and most important circle is “Why?” – this is the vision and mission of your board and the inspiration for your work. The second circle is “How?” and the third is “What?” These last two circles describe the operational, day to day aspects of the board’s work. As Sinek asserts, “The Golden Circle provides compelling evidence of how much more we can achieve if we remind ourselves to start everything we do by first asking why.”
Mission - A series of operations, using people and resources, to affect a change to the current scenario.
Objectives - Metrics that provide a definition of success in a given area.
Strategies - Areas to focus on in order to achieve one or more objectives.
Tactics – The specific changes = projects
Projects – A top level wrapper for a piece of work to deliver change. Comprised of:
Themes - A group of changes that map to a common outcome
Epics - Large pieces of work that have multiple functionality but a shared business benefit
Stories - A smaller self contained feature change that benefits a particular user. Different types – Spike / Bug / Tech Debt
Beliefs - What we stand for. Why we exist and why the world needs another ‘X’.
Values - How we portray our beliefs to the outside world.
Destiny - Where our values will take us.
Vision - A physical description of what the future will look like.
Reference - Simon Sinek (2009, Start with Why) suggests that the most successful organizations use the “golden circles” in their planning. The inner and most important circle is “Why?” – this is the vision and mission of your board and the inspiration for your work. The second circle is “How?” and the third is “What?” These last two circles describe the operational, day to day aspects of the board’s work. As Sinek asserts, “The Golden Circle provides compelling evidence of how much more we can achieve if we remind ourselves to start everything we do by first asking why.”
Mission - A series of operations, using people and resources, to affect a change to the current scenario.
Objectives - Metrics that provide a definition of success in a given area.
Strategies - Areas to focus on in order to achieve one or more objectives.
Tactics – The specific changes = projects
Projects – A top level wrapper for a piece of work to deliver change. Comprised of:
Themes - A group of changes that map to a common outcome
Epics - Large pieces of work that have multiple functionality but a shared business benefit
Stories - A smaller self contained feature change that benefits a particular user. Different types – Spike / Bug / Tech Debt
