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Metrics for Business Agility (whatever that means)
1.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Metrics for Business Agility (whatever this means) Gaetano Mazzanti @mgaewsj agile42
2.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Business Agility - WTF?
3.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016
4.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 !!!
5.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016
6.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016
7.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016
8.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2015 you can’t run change initiatives like projects you can’t manage change in predefined steps there’s no schedule to meet no specific budget to allocate the outcome is unknown months/years
9.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Business Agility - WTF?
10.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 going faster?
11.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 What does faster mean to you? What are you trying to optimize for? Would you be willing to go slower and build less, if it led to superior business results?
12.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 better to go slow in the right direction than fast in the wrong one ~Catalano mmm does a right direction exist?
13.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Business Agility - WTF?
14.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Business Agility? decision quality and decision velocity
15.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 High Velocity Decision Making some decisions are reversible some are not
16.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Type 1 Decisions - irreversible some [few] decisions are consequential and irreversible or nearly irreversible. you can’t get back to where you were before. these decisions must be made methodically, carefully, slowly, with great deliberation and consultation.
17.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Type 2 Decisions - reversible most decisions are changeable, reversible, two-way doors. if you’ve made a mistake, you can quickly reopen the door and go back through. these decisions can use a lightweight process and should be made quickly by high judgment individuals or small groups. this implies trust
18.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 timing: some decisions are made too early here we have very little knowledge decisions risk / uncertainty knowledge at times we tend to overestimate the quality of data and info that we use to make decisions
19.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 timing: some decisions are made too late here it's too late decisions risk / uncertainty knowledge at times we spend enormous effort and time to seek for data and info with the illusion to get certainty
20.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Decisions: Portfolio Management – Old Style Yearly Budget (wasting money pretending to know how you will make money) Hippo Push People assigned to projects “Resource” allocation Tetris Teams dismantled after project completion Obsolete pretty soon Decisions made too early
21.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Decisions: Portfolio Management – Lean/Agile Portfolio as a pool of Options Balance Demand and Capacity Policy based selection Selecting vs. Prioritizing Pull Teams choose projects Stable Teams Decisions made and reviewed continuously
22.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Group decision making - old style King Rules (beheaded sooner or later) Majority (may not last for long – minority believes they will be majority one day) Consent (not against) Consensus (tends to stick [harder to achieve]) Speed Risk
23.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Group decision making - new Quickly get to the right (now) answer and avoid “I never agreed to that” (later) Consensus is not always necessary Agreement that persists over stress and time is the purpose Supported by rituals (i.e. Perfection Game, Ritual Dissent) Disagree and Commit
24.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 we tend to underestimate how many decisions are made by ourselves by our team(s) i.e. during a Standup, a Replenishment Meeting, a Retro, a Review etc.
25.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Measure decisions Who? How many? How much time it takes? How long they last? How often are they changed? Why?
26.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 analysing how decisions are made helps us understand how a company works that’s a key ingredient if we want to change it
27.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Decisions and Culture Organizational Culture National Culture i.e. Controlling vs Collaborative i.e. polychronic vs monochronic top-down vs consensus based
28.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2015 The “Results Pyramid” is copyright of Partners in Leadership LLC beliefs, actions, results Experiences Beliefs Actions Results Culture
29.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Assessing Your Culture structured conversations to share stories from the company past and present agree on a cultural profile
30.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Narrative Landscapes
31.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Narrative Landscapes
32.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Fitness Landscapes
33.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2015 Check You are Moving in an Appropriate Way mmmh Adapt!desired actual Pressure from management Pressure self-imposed Do it Right Do it Fast this could be ok
34.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Right away Within the hour Within the day Within the week Within the month Took forever I don’t know 0 10 20 30 40 count TimeTaken Decision was made ... 20 40 60 80 100 20 40 60 80 100 20 40 60 80 100 Rational analysis Decisive action Collaborative consensus building T5: To make the decision was needed ... mapping decision making speed T5: To make the decision was needed… Rational Analysis Decisive/ Action Collaborative Consensus building
35.
agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 How long did different decision makers take to decide? Advisor/Expert A group Not sure Me The Team Manager/Leader 0 10 20 0 10 20 0 10 20 Right away Within the hour Within the day Within the week Within the month Took forever I don’t know Right away Within the hour Within the day Within the week Within the month Took forever I don’t know count TimeTaken Decision was made ... Decision was made by…
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Culture… and then Domain
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Decisions and Domain Context Domain is defined by the nature of cause-effect relationships Depending on the context, the assessment of the situation and the way the decision-making process will be implemented varies significantly
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Obvious Complicated Complex Chaotic Cynefin - David Snowden disorder Categorize Best Practices Rigid Constraints Analyze Good Practices Governing Constraints Probe Emergent Practices Enabling Constraints Act Novel Practices Absence of Constraints We Are Here Cynefin – a decision making framework
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Characteristic of Complex Systems The behavior of the system is determined by the nature of the interactions, not by what is contained within the components. Since the interactions are rich, dynamic, fed back, and, above all, nonlinear, the behavior of the system as a whole cannot be predicted from an inspection of its components. The notion of “emergence” is used to describe this aspect. The presence of emergent properties does not provide an argument against causality, only against deterministic forms of prediction. Paul Cilliers
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 so what about decisions in a complex domain? “the presence of emergent properties does not provide an argument against causality, only against deterministic forms of prediction”
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Decisions in a complex domain we need to accept that we don’t always know what is going to happen and that this isn’t some failing on our part
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2015 we ultimately have to choose uncertainty run multiple experiments it’s ok if some of the experiments fail learn early, fail fast less establish a regular cadence
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 so there is no predefined path, no magic recipe, if you want to go agile
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 ideas pre biz analysis rough tech analysis external parking Gate 1 done detailed tech analysis biz analysis prioritizationGate 2 resource allocation queue development external parking external parking test external parking deploy external parking business agility is much more than just agile development Gate 3
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 check for external dependencies ideas next in progress external parking done ideas next in progress external parking doneideas next in progress external parking done ideas next in progress external parking done ideas next in progress external parking done ideas next in progress external parking done how many? thanks to @klausleopold
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 reminder: velocity has very little to do with being fast to market customer needs something chit chatting commitment, clock starts ticking feature a feature b feature c US 1 US 2 US 3 US 4 US 1 US 2 US 3 US 4 US 1 US 2 US 3 US 4 velocity lead time
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Avoiding dependencies We need to design a decoupled system to remove unnecessary synchronization And to establish effective working agreements which grant collective responsibility and ownership. Inter-dependence between teams emerges based on needs, and it is temporary.
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Need some Kanban to WIN WIN - What Is Next? @drunkcod Limit the ongoing Manage the going on Watch out: Limiting user stories is (almost) pointless if you don’t limit the number of features/epics Limiting features/epics is pointless if you don’t limit the number of projects
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Value and Flow The goal of the system is rapid and sustainable flow of value Teams should understand value and obsess about flow Product Managers should understand flow and obsess about value Dan North
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Flow Obsess about lead time Obsess about feedback Obsess about collaboration Focus on finishing tasks, stories, features, projects
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 How do you measure flow? Lead Time ideas pre biz analysis rough tech analysis external parking Gate 1 done detailed tech analysis biz analysis prioritizationGate 2 resource allocation queue development external parking external parking test external parking deploy external parking Gate 3 ideas next in progress external parking done
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 watch out: Lead Time distribution is not gaussian don’t use averages frequency lead time SLA source: Actionable Agile Metrics for Predictability
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Process Efficiency ___ process efficiency = total time active time ________ 20 5 = 25% !1!!2!!3!!4!!5!!6!!7!!8!!9!10!11!12!13!14!15!16!17!18!19!20! elaborate do validate deliver waiting active
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 How big are your batches? Small batches Reduce delays Reduce long tuning phases Increase predictability
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Measurement - what for Where we are Where we want to go (improve)
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Measuring improvement: where should the focus go what is done properly or what is not done properly? both, but more of the 2nd things that should have been done but weren’t vs things that should have not been done but were done anyway both, zero overlap :)
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Measurement Don’ts Focus just on what can be easily measured Disregard what can’t be measured If it can’t be measured easily it should not be important If it can’t be measured it doesn’t exist Yankelovich, 1977 Measurement Dos focus on trends (not on absolute values)
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 How many measures are too many? 3? 5? Too many -> people will always have some in which they are good Managers will always find at least one in which people are not good
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 No physical boards Traditional annual budget Too many dependencies Decisions No distinction between Type 1 and Type 2 Consensus: top-down or unanimity some Key Indicators you will never make it but what about people? this is all about people!
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Business Agility is not having agile dev/IT teams; using Scrum in sales, mktg or HR is about value & flow, flow of value, information flow is about mindset, interactions, rituals; trust these can be “measured”
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agile42 | The
Agile Coaching Company www.agile42.com | All rights reserved. Copyright © 2007 - 2016 Gaetano Mazzanti @mgaewsj gaetano.mazzanti@agile42.com agile42
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