PACTIFY - a methodology for cross-company transformation programs

A process and tool for

cross-company transformations

AGENDA

-2- © 2013 Pactify Software. All rights reserved.

• Introduction

• Axis 1&2 : Quantity and progress

• Axis 3 : Quality

• Screenshots

The 4 key issues Pactify addresses

• Companies are setting up an ever increasing number of projects/ initiatives, yet the follow-up of

them is often still old fashioned

– No central, online management of documents and process, but offline and unstructured

documents, ad-hoc emails and meetings, …

• For leaders (sponsors of initiatives), it is less and less visible how progress is really going, they

lack a transparent, objective view trough all the layers and into all corners

• There is less and less employee engagement but we need it more and more

– Engagement (motivation) is falling

– Yet crucial to tackle today’s strategic complexities (evidence : the carrot&stick don’t motivate

anymore and do NOT produce optimum individual performance, on the contrary even)

• There is less and less true co-operation, but we need it more and more

– Two key reasons why we avoid co-operation

• Over-focus on our own departments (heavy processes, KPI’s, reporting requirements, ….)

• No incentive/ a risk : individual contributions in group results are not measured

– Yet crucial for today’s competitive advantage: do more with less resources, faster


1

2

3

4


Pactify is a process and tool to foster and execute cross-

company transformation initiatives (I/II)

• The process

– Forum with a core group of people

• Weekly/ 2-weekly meetings

– To capturing idea’s, set-up teams, monitor progress

– Full transparency, minimum hierarchy

– Maximum autonomy and co-operation

– Can start “empty” or with existing list of initiatives

• The tool

– Web based platform

– Automating administration from idea to impact

• Documentation (objective& approach)

• Justification (the “case”)

• Decision

– Planning and tracking “the essence of what ties

them together” – the “co-operation” items:

• Milestones

• Actions

• Target impact


Pactify is a process and tool to foster and execute cross-

company transformation initiatives (I/II)

Pactify aims at developing your cross-company

transformation program in “3 axes”:

1 Quantity

• # of idea’s/ teams

• Reach critical mass

2

Progress (outside)

• Between idea & impact

• Delivery vs plan 3

Quality (inside)

• Autonomy

• Co-operation

How our process and tool help along the 3 axes


• Idea generation at core, as

recurring activity

• Maximises involvement

throughout organisation

(transparency& communication)

• Easy to adopt and deep

reach into organisation

• Transparency breeds new

idea’s

The process The tool

1 Quantity

• # of idea’s/ teams

• Reach critical mass

2 Progress (outside)

• Between idea& impact

• Delivery vs plan

3 Quality (inside)

• Autonomy

• Co-operation

• Validation and steering of

progress

• Users are “guided” trough the

tool (communication, stage-

gate, forecasting, …)

• Projects reviewed based on

their co-operation quality

• Owners stimulated to

autonomously participate,

manage, communicate, …

• Guidance allows them to grow

in autonomy

• Manage a strong “tie” within

teams trough action/ milestone

follow-up

• Immediate goal based

feedback system

‒ Replace boss -> full

autonomy

‒ Measures co-operation ->

removing barriers

AGENDA


• Introduction



• Screenshots

Initiatives can be flexibly structured and structure itself can

be expanded on the go


Sub-program / taskforce 1

Program 1

Sub-program / taskforce 2

Projects/ initiatives

TO

DA

Y

Do J De I


“ “ Sub-program / taskforce 3


Program 2 …

All projects go trough planning and execution tracking of

gates, milestones, actions and impacts


Do J De Im time

Documented Justified Decided Actions Milestone Actions Milestone Implemented

Impact

Formulate

objective&

approach

Form team

/ Develop

business

case

Develop

milestone/

resource

plan

Plan

actions to

achieve

milestones

Follow-up : validate status / adjust planning /

re-forecast impact

The

idea

Stages ( : Do, J, De, Im), milestones ( ) and actions ( ) each have :

• A description

• An owner

• A target & forecast date

• A status (Done/ Achieved, On track, Delayed, Off track)

KPI impacts have:

• Monthly target & forecast value

Planning and execution of projects is managed in 7 tabs in Pactify


• Name

• Description (objective/ approach)

• Team

• Implementation risk/ impact

• Detail at start

• Update for key changes

• Be clear to everyone else

Content Changes (when/ how)

• “Elevator pitch” on your project

‒ Latest status

‒ Recommendation of the team

• For every steerco

• After every team meeting

• Add new milestone when

planning update requires so

• For all milestones:

‒ Owner

‒ Description

‒ Target& forecast date, status

• Change forecast date & status

• Add new actions

• Change descriptions / delete

items

• For all milestones and actions:

‒ Owner

‒ Description

‒ Target& forecast date, status

• Set target at start

• Update forecast series when

required

• Monthly target and forecast of

chosen KPI

• KPI linked to “implemented”

milestone”

• Whenever needed for sharing

or presenting within the team /

steerco

• Uploaded documents

• Pact Value : immediate goal-based

feedback system

Back-up

Important difference between “co-operation management”

and “project management” software


• Follows a specific embedded business process

– Key process focus : realize business target

• Stage-gate/ goal based plans/ impact

measurement

– Effective communication with sponsors

• Flexible navigation (portfolio/project/ indiv.)

• Milestone commitments as linking pin between

sponsor and team

• Teams recommend, iso just showing their work

Co-operation management software

• Offers a collection of features,

without a specific embedded

process

– User can develop own process by

choosing and configuring features

• Focuses on 1 person mostly: the

project manager and his/ her needs

Project management software

Differences:

• Wave (McKinsey)

• RB Point (Roland Berger)

• Pactify

• MS project

• Basecamp, Asana, Trello, …

Examples:

• Behavior triggered: autonomy and co-operation

within large groups

• For “horizontal” projects : across different

entities, unfamiliar teams, change projects

• Behavior triggered : better project mgt

skills for some key users

• For “vertical” projects: within one

entity, direct control over resources,

business-as-usual activities

Back-up

AGENDA


• Introduction


• Axis 3 : Quality (autonomy and co-operation)

• Screenshots

Definitions: intrinsic motivation (and relation to autonomy)


• Comes from the outside

• Carrot (reward) / Stick (avoid punishment)

Extrinsic Intrinsic

• Comes from the inside, you are

motivated because you enjoy what you

are doing

• 3 requirements: autonomy, mastery,

purpose

Definitions: co-operation


• Contributing what you want to contribute

yourself, but not what the common objective

really requires

• Focusing on your contribution only, not on

helping the others perform

• Focusing on developing good personal

relationships, liking each other

• Informing each other but avoiding

confrontation and constraints

What it is NOT

• Team work focused on creating 1 joint output,

• Your individual contribution must serve the

common goal, which is not necessarily your

own objectives/ needs

• Your individual contribution might even not be

recognised in the end result

• Focus is also on helping the others in

becoming more effective (not noticed often)

– By understanding the others’ needs and

constraints

• Deal with (don’t avoid) confrontations,

constraints and “hard choices”

What it IS

“Easy” “Hard”

Co-operation is like 2 protons having to approach each other:

you have to get close enough to counter the repulsion ;-)


Distance

between protons

Force

Attraction

(Strong

nuclear force)

Repulsion

(Coulomb force)

0

+

-

Tipping point : force switches

from repulsion to attraction

P P

Back-up

Why autonomy? (I/IV)


How to fix a lit candle on a wall in a way so the candle wax won't drip onto the

table below ?

Why autonomy? (II/IV)


Test group with a reward

underperform vs group without

reward

Rewards narrow our thinking ability,

they are not good motivators for

complex tasks that require thinking and

creativity.

Rewards mostly lead to worse

performance for these type of tasks

Why autonomy? (III/IV)


In this setting, test group with a

reward outperform vs group

without reward

Extrinsic rewards are good

motivators for fairly standard,

straightforward tasks

Why autonomy? (IV/IV)

19 © 2013 Pactify Software. All rights reserved.

Milestone Action The plan/

The progress

The sponsor

Team autonomy Team autonomy

The team

By the way, autonomy is not anarchy, but guided : sponsors and team “meet” in the formulation& follow-

up of the milestones

Why co-operation ?


It’s more and more a strategic imperative !

• Urgency to do more with less costs

• Need to remove costs from no co-operation

• Need for speed

Our aim on autonomy: move people along 4 gradual

levels (autonomy as seen from the outside)


“Confidence and

traction”

• Confidence twds sponsor

‒ Anticipate their feedback

‒ Defend your recommendations

‒ Impact the decisions

• Traction

‒ No Stop&Go, continuous focus

‒ Stay inside : concentrated,

curious

‒ Fight distractions (reward/ blame,

other work, …)

• Develop your own, clear understanding

• Define all required milestones clearly

• Based on milestones, define required actions

“Clarity and goal-

focus”

• Always one step ahead of the sponsor

• Fully inside of the project – 100% focus “Self-steering”

1

0

3

2

4

Level of autonomy of the individuals on the team

“Acceptance”

• Understand and accept the mission

• Work autonomously from day 1

“I need to do this for my boss and it comes on top of everything else ”

“I find it valuable, WANT to achieve it and will be proud!”


“Team traction”

• Maintain performing cycle of activities :

individual work vs team work vs

reporting to steerco

• Keep seeking right balance skill vs

complexity for all tasks in entire team

• Develop a common goal and specific

milestone plan together

• Be open to accept milestones& actions to

contribute to the team

“Openness & goal

focus”

• No individual objectives / 1 group

objective

• No steering needed

“Self-steering

as a group”

1

0

3

2

4

“Acceptance”

• Come together in 1 place / 1 platform

• Get to know each other

• Describe and align a joint team objective and approach

“My boss sent me in here, I’ll defend our department’s interests first”

“Our objective is crucial for the company and our team acts as 1”

Level of co-operation within the team

Our aim on co-operation: move teams along 4 gradual

levels (co-operation as seen from the outside)

How do we enable autonomy and co-operation (as seen from the

outside) ? … By working from the inside …


Co-

operation Autonomy

Use immediate

feedback/

measurement system

Develop a linking/ interest in

what you “have” to do (flow)

Develop the team to “act as one”,

focusing on delivering the

common goal (team flow)

Help the others find balance

To re-enforce : “Pactify” your project, use “Pact Value” as immediate goal-based

feecback

Measure progress behavior : motivating

and allowing pure autonomy

On goal and team, not on external factors

(develop concentration, curiosity, interest)

When making the plan and during

execution

Visibly contribute to the team (barrier

to co-operation removed trough

measurement)

Help the others to keep focus

Balance skill vs

complexity

Focus internally

How to achieve autonomy and co-operation on the outside:

by working from the inside


“Acceptance”

“Clarity and goal-

focus”

“Confidence and

traction”

“Self-steering”

“Acceptance”

“Openness & goal

focus”

“Team traction”

“Self-steering as a

group”

1

2

3

4

1

2

3

4

Co-

operation

Autonomy

The outside The inside

Develop a linking/

interest in what you

“have” to do (flow)

Develop the team to “act

as one”, focusing on

delivering the common

goal (team flow)

Use immediate feedback/

measurement system

• Measure progress

behavior: motivating and

allowing pure autonomy

• Measure co-operation:

remove barriers

Focus internally

• On team/ goal, not external

things (excuses)

• Helps others to do so

Balance skill vs

complexity for all

• For plan and execution,

small steps first

• Help the others to do so

What is our feedback system ?


• The Pledge

– To “PACT-ify” your project

• The goal-based feedback system

– The “Pact Value”

A voluntary, explicit signal from the team that they …

• Value and like the project

• Believe in their plan & want to deliver

• Want to take over autonomy in execution

• Will co-operate and help each other

… and want to form a Pact to make this concrete

Points based system measuring the (cumulative) team

activity and performance vs plan

• All planned actions and milestones by everyone on the

team contribute

– More for a milestone than for an action

– The more ahead of plan, the higher (and vice versa)

• 1 value for the whole team, every team member has an

impact on this value

• “Actual”, “forecast” compared to “target pact value”

1) The Team

2) The challenge

• Objective

• Milestone plan

• Progress

3) The goal-based feedback

Our definition of a Pact


Feelings inside the Pact:

curiosity, purposefulness, concentration,

proudness, self-confidence, relatedness, fun, ….

Feelings outside of a Pact:

frustration, boredom, fear, tiredness

(wasted energy) …

A PACT is a bond or commitment to you help yourself and the others to:

2) keep all distractions and potential

blockers outside of the PACT :

This way, the team will develop autonomy, the only mindset that really allows to outperform on

complex challenges

+ all the other work to be done …

+ other handbrakes, umbrella’s, politics

+ ….

1) develop and maintain a genuine liking of the

team and challenge, and an appetite to deliver

The goal-based feedback system – “The Pact Value”

27 © 2013 Pactify Software. All rights reserved.

TODAY

= Our current cumulative

performance vs plan

= What we

promised

= Our remaining

intention

When team members achieve sufficient “Pact Value”, they

will experience FLOW


(Perceived) skill

(Perceived)

complexity

BOREDOM

/

“OUTSIDE”

FRUSTRATION

/

“OUTSIDE”

PACT VALUE CREATION

Project stages

Project milestone

Actions / decisions

FLOW CHANNEL

(“IMMERSED”)

The 5 root causes for lack of individual autonomy and team co-

operation – and how our goal-based feedback (“Pact Value”) helps


Co-

operation

Autonomy

The relevant steps of progress are not

visible (let alone recognised) so not

motivating

Risk that individual contribution will not

get noticed

5 root causes

We rely on boss to tell what to do

Continuous distractions and fear of not

getting it done (or even excuses)

Lack of interest to continuously

contribute to the common goal

How PACT-ifying and Pact Value

helps

Pact Value measures all small,

meaningful steps forward,

immediately (you “feel” it)

Individual contributions are

measured

Pact Value gives goal based

guidance (allows pure autonomy)

Pact Value focuses : 1 value, and

clear how to grow it (look forward/

help each other)

One value, linked to the common

goal, for everyone to grow

1

2

3

4

5

How does our feedback system helps fostering autonomy?

• Autonomy is personal, don’t expect or push it, just ask : “Do you want to Pactify?”

• In pure autonomy, no boss around, but still goal guidance needed

• All small steps of progress immediately visible : a key intrinsic motivator

• Maximizing your Pact Value drives all the “good” behaviors:

– Realistic but solid plans – with all required milestones aligned

– Maximum amount of required tasks to achieve milestones (traction)

– Deliver vs what you promise : the quicker, the more Pact Value

• Incl. helping others to deliver on their action/ milestone for the Pact

• We make them feel autonomy, instead of telling them “they should be autonomous”

– Trough immediate, activity-based feedback, you start feeling it

– Feeling it sticks much longer than having to hear you should …


Back-up

How does our feedback system helps making co-operation work ?

• Most important reason people don't co-operate enough in companies (besides over-

focus on their own departments' requirements): fear that their individual contribution will

not get noticed in the group/ team result.

– This fear is understandable, and a problem as long as we still don't measure these

contributions specifically (which no company does systematically yet).

– With "Pact Value", these activities/ behaviors are automatically measured.

• All co-operation activity contributes directly to the measurement, one value for the team

– Including helping the others to deliver their action/ milestone for the Pact

– Then, fear gets replaced by intrinsic motivation to contribute (visibly) to a group objective.

• And this is not about "what gets measured gets done" (which is too simple to assume) but

"measuring to remove the hurdle to start co-operating" ... (halfway only however, but most

important part done)

• Trough the immediateness of the measurement, you make them feel co-operation,

instead of telling them “they should co-operate”

– Trough immediate, activity-based feedback, you start feeling it

– Feeling it sticks much longer than having to hear you should …


Back-up

AGENDA


• Introduction



• Screenshots

Screenshot – subprogram overview


Screenshots – Milestone heat map


Screenshots – initiative tabs


Screenshot – project progress timeline with actions and

milestones


Screenshots – Pact Value Creation across the entire program


Pact Value charts – immediate goal-based feedback system


Business

PACTIFY - a methodology for cross-company transformation programs