Going Beta Will Set You Free by Jake Bennett of POP - Seattle Interactive Conference 2014

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In this session, we’ll explore how the Agile Movement and Maker Culture provide us with new business models to achieve innovation. And we’ll see some real-world examples of how DIY hackers are able to find solutions to challenging business problems by rapidly prototyping with emerging technologies like iBeacon, Raspberry Pi and mobile computing.

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GOING BETAWILL SET

YOU FREE

@jakebenn#SIC2014

HELLOmy name is

Jake BennettCTO, POP

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

Hidden Industrial EraBusiness Practices

Three

@jakebenn#SIC2014

@jakebenn#SIC2014

Project Management1

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@jakebenn#SIC2014

Henry GanttBethlehem Steel

@jakebenn#SIC2014

Gantt Chart, Old School

@jakebenn#SIC2014

Waterfall Method, circa 1970

@jakebenn#SIC2014

Waterfall Method, circa 1970

“I believe in this concept, but the implementation described above is risky and invites failure.”

- Winston Royce

@jakebenn#SIC2014

Cost of Canceled and Failed Software Projects

Was

hing

ton

Stat

e (1

997)

Unite

d W

ay (1

999)

Kmar

t (20

01)

Allsta

te In

sura

nce

(199

3)

McD

onal

d's (2

002)

CIGNA (2

002)

- $50M

$100M $150M $200M $250M $300M $350M $400M $450M $500M

$40M

$120M $130M $130M $170M

$445M

@jakebenn#SIC2014

Cost of Canceled and Failed Software Projects

Was

hing

ton

Stat

e (1

997)

Unite

d W

ay (1

999)

Kmar

t (20

01)

Allsta

te In

sura

nce

(199

3)

McD

onal

d's (2

002)

CIGNA (2

002)

FAA (1

994)

IRS

(199

7) -

$500M $1,000M $1,500M $2,000M $2,500M $3,000M $3,500M $4,000M $4,500M

$40M $120M $130M $130M $170M $445M

$2,600M

$4,000M

@jakebenn#SIC2014

Waterfall

Requirements/Discovery

Design / UX

Development

Testing

Maintenance

@jakebenn#SIC2014

Plan Execute

Defined Process

@jakebenn#SIC2014

But the world has changed since the 1900s

@jakebenn#SIC2014

Back Then Today

Work was piecemeal. Components could be developed independently.

Work must be done in teams. Components are highly interconnected.

@jakebenn#SIC2014

Back Then Today

The workforce was largely uneducated

The workforce is highly educated

@jakebenn#SIC2014

Back Then Today

Data collection was costly and limited

Data collection is cheap and far reaching

@jakebenn#SIC2014

Back Then Today

Products were simple and mechanically oriented

Products are highly complex and software oriented

@jakebenn#SIC2014

Back Then Today

Limited variation Huge variation and customization

@jakebenn#SIC2014

Back Then Today

Technical advancement happened slowly

The pace of technological change is insane

@jakebenn#SIC2014

Inspect

Adapt

Empirical Process

@jakebenn#SIC2014

Sprint 1

Agile/Scrum

Sprint 2 Sprint n

WorkingSoftware

Requirements

Design / UX

Development

Testing

Maintenance

WorkingSoftware

Requirements

Design / UX

Development

Testing

Maintenance

WorkingSoftware

Requirements

Design / UX

Development

Testing

Maintenance

@jakebenn#SIC2014

Leaders today face the

same challenges as

Software Developers

@jakebenn#SIC2014

So why not use Agile as

a management

philosophy?

@jakebenn#SIC2014

Progress gauged on empirical results, not paper representations

Improvements get into “market” faster

Testing can start earlier and inform future decisions

Creates a sense of accomplishment—a powerful motivator

Allows learning and adaption for future Sprints

Advantages of Agile Leadership

@jakebenn#SIC2014

Progress gauged on empirical results, not paper representations

Improvements get into “market” faster

Testing can start earlier and inform future decisions

Creates a sense of accomplishment—a powerful motivator

Allows learning and adaption for future Sprints

BUT…you give up the

illusion of control

Advantages of Agile Leadership

@jakebenn#SIC2014

Traditional Hierarchy2

@jakebenn#SIC2014

Five Functions of Management1. To forecast and plan2. To organize3. To command or direct4. To coordinate5. To control

Henri Fayol“Father of Business

Administration”

@jakebenn#SIC2014

Fredrick Taylor“Father of Scientific

Management”

Key PrinciplesGive workers clear instructions on what to do and supervise them while they do it.

Divide work between managers and workers, so that the managers plan scientifically”what is to be done, and the workers then do it.

“All possible brain work should be removed from the shop”

@jakebenn#SIC2014

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@jakebenn#SIC2014

Managers

Contributors

@jakebenn#SIC2014

Managers

Contributors

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Managers

Contributors

Thinkers

Doers

@jakebenn#SIC2014

Managers

Contributors

Thinkers

Doers

@jakebenn#SIC2014

Managers

Contributors

Thinkersand Doers

@jakebenn#SIC2014

Managers

Contributors

Thinkersand Doers

@jakebenn#SIC2014

Contributors

Managers

Thinkersand Doers

@jakebenn#SIC2014

Goal

Processvs.

@jakebenn#SIC2014

Pigs

Chickensvs.

@jakebenn#SIC2014

Motivation via Compensation

3

@jakebenn#SIC2014

@jakebenn#SIC2014

Piecemeal Work

Fredrick Taylor“Father of Scientific

Management”

@jakebenn#SIC2014

Piecemeal Work?

Fredrick Taylor“Father of Scientific

Management”

@jakebenn#SIC2014

24+ Studies30+ YearsResults are Conclusive

@jakebenn#SIC2014

…people who expect to receive a reward for completing a task or for doing that task successfully simply do not perform as well as those who expect no reward at all.

“”Alfie Kohn, Harvard Business Review, 1993

@jakebenn#SIC2014

50+ StudiesWe find that financial incentives…can result in a negative impact on overall performance.

“”

Dr. Bernd Irlenbusch, London School of Economics, 2009

@jakebenn#SIC2014

Types of Motivation

Extrinsic Intrinsic

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

Key Stakeholders + Team

Key Stakeholders + Team

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

Key Stakeholders + Team

Key Stakeholders + Team

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

Key Stakeholders + Team

Key Stakeholders + Team

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

Key Stakeholders + Team

Key Stakeholders + Team

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

Key Stakeholders + Team

Key Stakeholders + Team

Sprint Retrospective

@jakebenn#SIC2014

Goals

Autonomy

Feedback

Mastery

Purpose

What does motivate?

Key Stakeholders + Team

Key Stakeholders + Team

Sprint Retrospective

Project/Product VisionCompany Vision

@jakebenn#SIC2014

Corporate Rain Dance

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

Yet the origin of the Maker Movement is found in something quite personal: what I might call “experimental play.”“ ”

Dale Dougherty, Founder and CEO of Make Media

@jakebenn#SIC2014

A growth mindset tolerates risk and failure, while a fixed mindset avoids risk and its accompanying frustration.“ ”

Dale Dougherty, Founder and CEO of Make Media

@jakebenn#SIC2014

Embrace Experimentation & Failure

@jakebenn#SIC2014

ROI ROL=

In an environment of high uncertainty

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@jakebenn#SIC2014

Beta

@jakebenn#SIC2014

@jakebenn#SIC2014

Sets an expectation about imperfection

Sets an expectation about frequency of change

Liberates you from having to plan EVERYTHING upfront

Establishes you as an innovator

Draws in early adopters

Slows down mainstream users

Advantages of Beta

Is a simple step toward cultivating a

culture of experimentation

@jakebenn#SIC2014

Cultivating a Maker Culture

@jakebenn#SIC2014

@jakebenn#SIC2014

@jakebenn#SIC2014

POP Star Vending Machine

@jakebenn#SIC2014

Beacon Prototype

@jakebenn#SIC2014

@jakebenn#SIC2014

Now ditch the committee and go Make something!

@jakebenn#SIC2014

POP www.popagency.com

Email jake.bennett@popagency.com

My Blog www.RandomAnt.net

Twitter @jakebenn

LinkedIn linkedin.com/in/jakebennett

Stay in touch!

“Mixee Me” Jake

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