97
Opening Sequence The Case and Mental Model For Agile Credits to come ….

Lean Agile Governance - a leadership guide for executives

Embed Size (px)

DESCRIPTION

a

Citation preview

Page 1: Lean Agile Governance - a leadership guide for executives

Opening Sequence

The Case and Mental Model For Agile

Credits to come ….

Page 2: Lean Agile Governance - a leadership guide for executives

Technology organizations are still relying on century old thinking

2

Page 3: Lean Agile Governance - a leadership guide for executives

Cost, as easy metric to measure, causes us to focus on driving efficiency within our organization

3

Page 4: Lean Agile Governance - a leadership guide for executives

Build that Widget

“A Comprehensive Manual”

R D B T D

Acme Acme

You can have any

car you like as

long as it’s black!

Acme

Acme

Acme

Acme

Acme

Acme

Acme

AcmeAcme

Traditional thinking is suited to times of economic scarcity

4

Page 5: Lean Agile Governance - a leadership guide for executives

R D B T D

You can have any

car you like as

long as it’s black!

Expires 9/9/9999

#FAIL!

70 % chance of rain

15 months from now

Expires 2033Expires 2014Tomorrow!

Today’s business environment takes a radically different approach

5

Page 6: Lean Agile Governance - a leadership guide for executives

• Agile manifesto

• Principles of Lean software development

• Toyota principles • Test-driven development

• User stories

• A3

• Behavior-driven development

• Retrospectives

• Daily standups

• Sprint planning

• Scrum

• Extreme Programming

• Kanban

Agile and Lean provide a vision for success in a complex customer-centric world

6

Page 7: Lean Agile Governance - a leadership guide for executives

An overview of Lean & Agile

What is Lean? Maximize Value through

Experimentation & Innovation

What is Agile? Maximize Customer

Feedback & Iterate

7

5. Learn &

Adjust

1. Identify

Value &

Plan

2. Build

Experiment

3. Deliver

Value

4. Measure

Impact

• A framework that guides organizations to manage

complexity through constant learning

• Employees at all levels are empowered to experiment

• Value is delivered in small batches to increase

feedback & improvement

• Focus is on delivering working software frequently

• Emphasis on collaboration and face-to-face

conversation

• Team behavior regularly reviewed and adjusted for

continuous improvement

Page 8: Lean Agile Governance - a leadership guide for executives

Lean and Agile in Action: Taking inspiration from other industries

http://www.youtube.com/watch?v=szr0ezLyQHY

8

Page 9: Lean Agile Governance - a leadership guide for executives

May, 2014

IT Lean-Agile Governance

An Executive Toolkit

The title of this presentation could be…

Page 10: Lean Agile Governance - a leadership guide for executives

May, 2014

Governing an Ecosystem of Complex Highly

Randomized, First Order Learning Entities That

Constantly Adapt to Produce Value

An Executive Toolkit

or the title of this presentation could be…

Page 11: Lean Agile Governance - a leadership guide for executives

May, 2014

A Survival Guide To Hosting My Extended Family

Over the Summer Holidays

An Executive Toolkit

For now lets title the presentation…

Page 12: Lean Agile Governance - a leadership guide for executives

Talk about

• Known Chicago Journalist

• RIP Google 2014

A story about my uncle john

during the last year of his

life

Page 13: Lean Agile Governance - a leadership guide for executives

Dimensions of complexity when planning a family event

13

John was determined to organize a family get

together, dauntingly complex affair

Page 14: Lean Agile Governance - a leadership guide for executives

A distributed team of interested contributors quickly self organized to realize

Jon’s vision into a plan based on delegated authority

I know this is a way off but, FYI, I

thought I'd let you know that my children

are planning a celebration in honor of the

50th anniversary of my emigration to

Chicago which is coming up in June.

Actual logistics are a little fuzzy but it

appears that everybody (me, Pamela,

three kids, six grandchildren) will be in

Montréal for the centerpiece of the

event, a gathering-cookout, probably in

Tim and Karen's backyard on Sunday

afternoon, June 16th.

If you and Tom are anywhere in the

vicinity, we'd love to see you.

love from,

Jon + Pamela.

(Similar message sent to Heather.)

love from,

Jon.

Event Date Owner Attendees?

Stay-overJune 12-

June 16

Jon 25

Chicago Bus

tour

June 13 Pamela 12

Parkside

BBQ

June 14 Karen 20

Family

Restaurant

June 15 Tim 20

Kids day @

the Pool

June 14 Karen 10

Night of

Hockey &

Beer

June 15 Jeff 10

Other?

Other?

The Vision The Plan

14

Page 15: Lean Agile Governance - a leadership guide for executives

No amount of planning could have anticipated the inherent variation in the problem space

“I was just speaking to Heather and she said that she never

received an email invite from you and has since spent the

last few weeks in therapy wondering what she did wrong

(LOL)…”

“Jeff, my son just grabbed your 2 year old daughter. They are on

a 5th floor of the fire escape!!!!!”

“Aunt Flory got redirected to the Boston airport and is now

stuck until tomorrow”

15

Page 16: Lean Agile Governance - a leadership guide for executives

Successful family event planning requires complex behavior that is both adaptive and emergent

• Realizing value is assessed through common units of measure

(attendance)

• Addressing cost, constraints & risk became an emergent

responsibility based on individual capability

• Centrally defined vision, distributed planning responsibilities,

execution through individual adaptation

• Constant feedback used to alter the plan just-in-time

• Teams formed organically to resolve issues just-in-time as they arose

• Cost while important was subordinate to both timing & value

16

Page 17: Lean Agile Governance - a leadership guide for executives

May, 2014

ES Lean-Agile Governance

An Executive Toolkit

A.K.A. Governing an Ecosystem of Complex

Highly Randomized, First Order Learning Entities

That Constantly Adapt to Produce Value

Page 18: Lean Agile Governance - a leadership guide for executives

Agile Governance is the practice of enabling continuous change based on the outcome of uncertain events

Stories

DeliveryPlanning

Project Idea

Validate

Production ready

code

Every 2 WeeksEvery Month Every 2 Months

Team Lvl Work

Visualization

Program Lvl Work

Visualization Methods

Improvement

Every WeekEvery

Month

Vision &

Strategy

Capability &

Results

Execution &

Experimentation

Team is delivering according to

expected lead times

Impediments to the team are quickly

dealt with by management

The team is continually learning

and improving as necessary to

improve productivity

Team is frequently building and demonstrating business value

with customer

Realization of value is measured according to

throughput & velocity

1

2

3

54

Execs

Every Month

Managemen

t

18

Page 19: Lean Agile Governance - a leadership guide for executives

Agile governance supports the emergent, adaptive behavior necessary to manage the complexity found in delivering value in the modern technology environment

• Make commitments that are fine-grained, and based on agreed-upon

capability and capacity

• Use centralized authority to design decision rules that enable local

innovation required to address global concerns

• Use feedback and flow as the primary input to determine

organizational performance, problems, and potential

• Deliver all value as a sequence of experiments, optimizing outcomes

through continuous course correction

• Build structure to deliver through diverse, stable, and cross functional

teams

• Manage and measure to the maximum creation of value, not the

minimal cost incurred

Agile Governance Principles

19

Page 20: Lean Agile Governance - a leadership guide for executives

Exercise: Design The First Iteration Of Your Lean–Agile Governance

Instructions:

- Split into groups and discuss

- Which principles resonate with you?

- Which would you try to implement first?

- Work together to design a solution based on one or more of these principles into

your group

- Provide a specific description of solution

- Explain how you would implement it

20

Page 21: Lean Agile Governance - a leadership guide for executives

The remainder of this session will be dedicated to practical applications of

techniques that you can use to enable agile governance

Kanban

• Flow, focus, fine-grained units of value

• Continuous improvement & constant

innovation

• Self organized, empowered knowledge

workers

Cost Of

Delay

• Estimating value

• Optimizing on lead-time

• Avoiding “Black Swan” events

Beyond

Governance

• Define centralized objectives through

simple metrics and explicit decision rules

• Achieve objectives through local innovation

• Target global optimization over local ones

Agile for

Execs

• Principles, practices, and methods to enable

delivery agility

• Key thinking tools and terms that describe

how IT will deliver

21

Page 22: Lean Agile Governance - a leadership guide for executives

Agile 4 Execs

Page 23: Lean Agile Governance - a leadership guide for executives

Agile Governance can be enabled through the application of

Kanban systems and Lean Continuous Improvement methods

Execution Teams

Quality Management Office

Enterprise Improvements

Improvement Kanban

Enterprise Execution Metrics

Operational Reviews

Enterprise Portfolio

Performance, Productivity &

Problems

Team Improvements

Enterprise Risk / Issues / Blockers

Projects

Small

Enterprise Kanban Portfolio Metrics

Prioritized MMFs

23

Page 24: Lean Agile Governance - a leadership guide for executives

24

Key Agile Thinking Tools

Page 25: Lean Agile Governance - a leadership guide for executives

25

Breaking down work enables delivery teams to self organize around realizing business value incrementally

“Epics ”

Business or Architecture goals to be realized by the system e.g. Get ready for work

Overarching business capability or long lived business processe.g. Go to work

Map the “Story” of the Product / Application

Break

work

down

units of

value and

prioritize

“User Story”

Meaningful unit of work that can be completed by a team within a sprint, typically one

distinct function e.g. wear socks

Page 26: Lean Agile Governance - a leadership guide for executives

Delivering incremental value through a re-occurring set of

activities maximizing feedback

Product Owner

Inputs from Business,

Customers, Managers,

Execs

Product

Backlog

Scrum Team

Iteration

Backlog

Scrum

Master

Daily Stand-up

Meeting

Iteration end date

and scope remain

fixed

Acceptance Review

Completed Stories

(Ready for E2E

Int. Test)

Iteration

Retrospective

2–4 Week

Iteration

Story Elaboration,

Development

1

2 3

4

5

6

7

Iteration

Planning

26

Page 27: Lean Agile Governance - a leadership guide for executives

Excellence is achieved through knowledge workers who can self organize through

explicit constraints and dynamic team interaction to avoid risk and deliver value

27

Page 28: Lean Agile Governance - a leadership guide for executives

28

We often suffer from a lack of

common awareness in our work

Detailed plans are only accurate

to a short time horizon

Good long term

planning means

being prepared with

the right tools to

respond to likely

challenges

Visualization of

work makes it

possible to change

tactics in real time

Lean–Agile Visualization (Kanban) allow organizations reduce the reliance on long-term planning to achieve business results

Page 29: Lean Agile Governance - a leadership guide for executives

29

Make fine-grained commitments by breaking down larger ones into the smallest possible increment the value ( Minimum Marketable Feature Set)

Project

Project

Minimum

Marketable

Features

(MMF)

Business

Valued

Stories

Big projects and big

releases are hard!

Lots of variability and

unknowns!

Lots of dependencies!

Page 30: Lean Agile Governance - a leadership guide for executives

30

The Lean Change approach focuses on an approach that is based on learning, co-creation, and experimentation

Page 31: Lean Agile Governance - a leadership guide for executives

Exercise: Incorporate Agile Thinking Tools into your Lean–Agile governance model

Instructions:

- Split into groups and discuss

- Which agile thinking tools would you incorporate?

- How would you prioritize

- Work together to design/enhance your solution based on one or more of these

principles into your group

- Provide a specific description of solution

- Explain how you would implement it

Page 32: Lean Agile Governance - a leadership guide for executives

Kanban

Page 33: Lean Agile Governance - a leadership guide for executives

Make a promise and keep it

Deliver when we say we will

When there are surprises we will make sure we don't make the same

mistake twice

Our performance will improve over time

Visualize Work

Limit Work in Progress

Measure and Manage Flow

Make Process Policies Explicit

Enable Continuous Improvement

Kanban core properties

The Kanban Promise

Kanban is a method built on “lean thinking” to help IT organizations deliver on their promises to the business

33

Page 34: Lean Agile Governance - a leadership guide for executives

Kanban is about introducing a set of small J-Curve effects to a less

disruptive path to agility

Performan

ce

Tim

e

Old

“waterfall”

world

New “agile”

world

Big “C” change

approach

Kanban allows teams to apply “Lean” thinking to everyday work and acts as an incremental change agent

Kanban

approach to

change

34

Page 35: Lean Agile Governance - a leadership guide for executives

GetKanban

Page 36: Lean Agile Governance - a leadership guide for executives

Background

• Your team is a leading product development company.

• You make products with a subscription-based revenue model.

• The more subscribers you can attract, the more money you will make.

• You bill your customers at the end of every third day. We call this the

billing cycle.

• Your goal is to maximize profit by attracting subscribers and therefore

growing your revenue stream.

36

Page 37: Lean Agile Governance - a leadership guide for executives

37

Page 38: Lean Agile Governance - a leadership guide for executives

Each Ticket Represents a unit of Product Functionality (Feature)

Marketing has estimated the market value of each Standard ticket as High, Medium, or Low. High value tickets

are expected to attract more subscribers. Marketing is usually right, but not always.

38

Page 39: Lean Agile Governance - a leadership guide for executives

As you roll dice during the game, you will strike work off the corresponding section of the ticket.You may choose to assign your team members to work in other specialties, but they are generally not as

effective.

2 Analysts

(Product / BA)3 Developers

2 Testers

Your Team

This is your team. You have two analysts, represented by two dice with large red numbers, three developers

represented by blue dice, and two testers represented by green dice.

Developer

assigned to

Analysis

39

Page 40: Lean Agile Governance - a leadership guide for executives

If you choose to, you may divide the dice among the team, such that one player

is responsible for Analysis, another for Development, and another for Testing

Pro

ject M

an

ag

er

CFD

Tra

cker

Choose your Role & Divide Material Among the Team

40

Page 41: Lean Agile Governance - a leadership guide for executives

Rules: Dice, Work, Tickets

• Dice allocation must be done at the stand-up meeting. All dice must be

allocated before any are rolled.

• Tickets within each column should be prioritized during the stand-up

meeting. When work is struck off tickets, start with the ticket at the top

of the column, and work down (i.e. in priority order).

• Tickets may be pulled in any order, both from the backlog, and across

the board, and may be pulled into any position in the receiving column.

• Tickets must be pulled to satisfy WIP limits if possible.

• There are no additional rules to restrict how dice are rolled, how work is

struck off tickets, or how tickets are selected or pulled.

41

Page 42: Lean Agile Governance - a leadership guide for executives

Let’s get started!

Page 43: Lean Agile Governance - a leadership guide for executives

Debrief

Congratulations to the winning team!

The CFD

What stories does your CFD tell? Can you see the

impact of the events that transpired in the game?

The Team

Did you choose to divide the dice among the team?

If so:

• how did the players responsible for each

specialization interact with each other?

• what impact did the visibility of flow across the

value stream have on decision making?

What sorts of things were you discussing in your

stand-up meetings?

How did you make decisions, were you making

quantitative, objective assessments? If so, what data

were you using?

Who was participating in the analysis and decision

making, one person, or many people? How well did

this work?

The Work

Did you analyze the backlog to select which tickets

to pull, and if so, what factors did you take into

account?

The Blocker

How long did it take teams to resolve the blocker?

Was there high variability in resolution times

between the teams?

Carlos’ Testing Policies

What did you observe when Carlos arrived?

What caused this effect?

Why did the problem become manifest so quickly?

Are the effects of policy decisions always so

obvious? Why, or why not?

General Questions

Several different events took place during the

course of the game. Can you see the effects of

these on the charts? Can you see immediate

impact? Can you see longer lasting effects?

What are they?

What policies were made explicit? Did these

help to streamline discussion?

Was planning effective? What information was

used on a day-to-day basis to make decisions?

Did we see “swarming” happening in the game?

When did it happen? Was it effective?

43

Page 44: Lean Agile Governance - a leadership guide for executives

Identifying risk using Kanban

Page 45: Lean Agile Governance - a leadership guide for executives

Kanban scenario one: What issue would you highlight on this board?

45

Page 46: Lean Agile Governance - a leadership guide for executives

Kanban scenario two: What issue would you highlight on this board?

46

Page 47: Lean Agile Governance - a leadership guide for executives

Kanban scenario three: What issue would you highlight on this board?

47

Standard work

Legend

Expedite Fixed date Competitive advantage

Page 48: Lean Agile Governance - a leadership guide for executives

Kanban scenario four: What issue would you highlight on this board?

48

Page 49: Lean Agile Governance - a leadership guide for executives

Kanban scenario five: What is wrong with this picture?

49

Page 50: Lean Agile Governance - a leadership guide for executives

Cumulative Flow Diagrams (CFD) help teams to monitor WIP levels

50

WIP

At the end of sprint 5, approximately how much WIP

is in Design?

WIP in Design = Done Analysis – Done Design

WIP in Design = 45 – 28 = 17 user stories

17 stories

Page 51: Lean Agile Governance - a leadership guide for executives

Cumulative Flow Diagrams (CFD) help teams to predict future cycle time trends

51

Process Cycle Time

How many sprints does it take to deploy the first 10 stories?

Cycle Time = End of sprint where 10th story was deployed – Start

of sprint where 10th story was taken in

Cycle Time = Sprint 5 end – Sprint 1 start = 5 Sprints

5 sprints

Page 52: Lean Agile Governance - a leadership guide for executives

Cumulative Flow Diagrams (CFD) visualize a team’s throughput and can help in setting project timelines

52

What is the approximate throughput of the team?

Calculate the slope of the straight line between sprint 1 and the

final sprint.

Throughput = 25 stories / 8 sprints = 3 stories / sprint

Page 53: Lean Agile Governance - a leadership guide for executives

Exercise: 50 features in 15 weeks, can the team deliver?

53

Current Week

15 features in 11 weeks

implies: 1.4 features

per week on average

4 weeks

remaining implies:

5 additional

features at current

throughput

Page 54: Lean Agile Governance - a leadership guide for executives

Exercise: Jagged flow, what can we understand from this graph?

What could these

parallel jagged lines

mean?

54

What could this jagged

flow mean?What could this flat

lines mean?

Page 55: Lean Agile Governance - a leadership guide for executives

Exercise: Is this team doing well?

55

Where could there be bottlenecks?

At what points would you have been worried about the status/progress of this project?

Page 56: Lean Agile Governance - a leadership guide for executives

Exercise: Idleness and resource utilization

56

During sprint 5, which process could have been idle? How should’ve these resources been utilized?

Page 57: Lean Agile Governance - a leadership guide for executives

Metrics will promote a culture of continuous improvement and, in context, can tell the narrative of the team

57

Metrics can provide the indicators for when and where

management can assist

Page 58: Lean Agile Governance - a leadership guide for executives

Beyond Governance

Page 59: Lean Agile Governance - a leadership guide for executives

59

In which are values most important?

Which is most efficient?

Which is most difficult?

Page 60: Lean Agile Governance - a leadership guide for executives

Beyond Governance – why it’s different, difficult, and powerful

60

Agile

GovernanceIdea

Recip

e

Theory X Theory Y

Many leadership theories

Complex theory

Lean, Agile, Holacracy

Balanced Scorecard

Budgeting

TQM, ABC etc…

Granularity

Coverage

Page 61: Lean Agile Governance - a leadership guide for executives

Many “Ambition to Action’s” across the company

61

…and more

Internal competition will lead to an increase in

experimentation, and ultimately to global optimization

Page 62: Lean Agile Governance - a leadership guide for executives

From fixed targets to relative targets

62

Team to Team

(Throughput)

1. Team A 5

2. Team B 6

3. Team C 10

4. Team D 11

5. Team E 12

6. Team F 15

7. Team G 25

8. Team H 26

9. Team I 27

10. Team J 30

Department to

Department

(Avrg MMF Lead Time)

1. Dept. A 5

2. Dept. B 6

3. Dept. C 10

4. Dept. D 11

5. Dept. E 12

6. Dept. F 15

7. Dept. G 25

8. Dept. H 26

9. Dept. I 27

10. Dept. J 30

Area to Area

(Avrg Time to Market)

1. Area A 2 months

2. Area B 3 months

3. Area C 5 months

4. Area D 6 months

5. Area E 7 months

6. Area F 8 months

7. Area G 10 months

8. Area H 13 months

9. Area I 15 months

10. Area J 16 months

Comparison to

• Peers

• Competitors

• World Class

Benchmark

Page 63: Lean Agile Governance - a leadership guide for executives

Exercise: Incorporate these concepts into your Lean–Agile governance model

Instructions:

- Split into groups and discuss

- Which aspects of beyond governance would you incorporate?

- How would you prioritize

Page 64: Lean Agile Governance - a leadership guide for executives

Using value as the primary driver of behavior

Page 65: Lean Agile Governance - a leadership guide for executives

How much does queuing cost us?

65

Week 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40

Value Add

Risk Reduction

Waiting

Opportunity

Identified

10 Weeks waiting 11 Weeks waiting 9 Weeks waiting

PoC

(24 hrs)

Dev & Test

(160 hrs)Go-Live

• Your organization has identified an Epic with the cost of delay being

$150,000 per week. The value stream below illustrates the progression of

the Epic through an organization’s system of work:

• How much did queuing, or waiting time cost this organization?

The 30 weeks that this opportunity spent waiting in various queues cost the

organization $4.5m in lost revenues

Page 66: Lean Agile Governance - a leadership guide for executives

Cost of Delay: Putting a price tag on time

66

Cost of Delay

Business value of the

feature or Epic

Information

Discovery of Value

How value decays

over time

Page 67: Lean Agile Governance - a leadership guide for executives

A framework for thinking about value

67

Protect Revenue

Reduce Costs

Increase Revenue

Avoid Costs

Increasing sales to new or existing customers. Delighting

or Disrupting to increase market share and size

Improvements and incremental innovation to sustain

current market share and revenue figures

Costs that we are currently incurring, that can be reduced.

More efficient, improved margin or contribution

Improvements to sustain current cost base. Costs we are

not currently incurring but may do in the future

Page 68: Lean Agile Governance - a leadership guide for executives

Why should we put a cost on time?

68

Why? Why?

Increase

Revenue

Protect

Revenue

Reduce

CostsAvoid Costs

If we can’t estimate the value, is it worthless?

Page 69: Lean Agile Governance - a leadership guide for executives

1. Long-life, unaffected peak

69

Delay

Cost

Time

$ B

en

efi

ts /

Week

Late Entry

Page 70: Lean Agile Governance - a leadership guide for executives

2. Short-life, affected peak

70

Delay

Cost

Time

$ B

en

efi

ts /

Week

Late Entry

Reduced Peak

Page 71: Lean Agile Governance - a leadership guide for executives

3. Long-life, affected peak

71

Delay

Cost

Time

$ B

en

efi

ts /

Week

Late Entry

Reduced Peak

For ideas with a very long-life, with reduced peak due to later delivery

Page 72: Lean Agile Governance - a leadership guide for executives

4. Seasonal or Date-Driven

72

Delay

Cost

Time

$ B

en

efi

ts /

Week

Late

Entry

Last responsible

moment

Page 73: Lean Agile Governance - a leadership guide for executives

Black Swans: Value is rare and extreme

73

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

0 5 10 15 20 25

Co

st o

f D

ela

y /

week

Requirements sorted by Cost of Delay

A small number of

features have a very high

Cost of Delay

Page 74: Lean Agile Governance - a leadership guide for executives

For scheduling decisions: CD3 Cost of Delay Divided by Duration

74

Cost of Delay

Business value of the

feature or Epic

Information

Discovery of Value

How value decays

over time

Duration

CD3

Score

Page 75: Lean Agile Governance - a leadership guide for executives

Without information about

VALUEthe system optimizes for other things

Why should this surprise anyone?

Page 76: Lean Agile Governance - a leadership guide for executives

Cost of delay

o Creates focus on value for money

o Enables better trade-off decisions

o Changes the focus of the conversation

Page 77: Lean Agile Governance - a leadership guide for executives

Value

Increase Revenue

Increasing sales to new or

existing customers. Delighting or

disrupting to increase market

share and size to attract

additional revenue

Protect Revenue

Sustaining our current

market share and

revenues through

incremental innovation

and improvements for

existing customers

Reduce Costs

Reducing costs that we are

currently incurring. Ideas

that make things more

efficient, improving

margin or contribution

Avoid Costs

Costs that we are not

currently incurring but

may do in the future.

Improvements to avoid

likely increases in our cost

base

Urgency1. Long-life cycle. Peak unaffected by delay 2. Short-life cycle. Peak affected by delay

3. Long-life cycle. Peak affected by delay 4. Impacted by an external deadline

Cost of Delay profiles

Page 78: Lean Agile Governance - a leadership guide for executives

One of your colleagues has a bright idea to

offer business cards on LinkedIn. Using profile

data (name, job title, phone number, email) you

will display a customized business card

alongside users’ profiles.

Users will be able to easily design and order

business cards using their details on LinkedIn,

saving them time

Imagine your work for Vistaprint

Page 79: Lean Agile Governance - a leadership guide for executives

An example of a typical LinkedIn profile

Page 80: Lean Agile Governance - a leadership guide for executives

Title

LinkedIn Business CardsCD3 Priority Score

What is the idea / problem / opportunity?Increase Revenue Protect Revenue

Reduce Cost Avoid Cost

What are the benefits for the organization?

What are the key assumptions we need to test?

Urgency Profile

Cost of Delay

Duration

Page 81: Lean Agile Governance - a leadership guide for executives

Key Takeaways

Page 82: Lean Agile Governance - a leadership guide for executives

Recognizing adoption challenges amongst managers

82

Change Planning – Evidence

of experimentation based

improvements

Managers coaching in Lean-

Agile

Actively removing

impediments and escalating

when necessary

Team retrospectives are

occurring on a regular

cadence

Team standups are occurring

on a regular cadence

• Recognize opportunities to develop the

manager community in areas where

adoption is challenged

• Celebrate areas with the highest

adoption and continue to refine

behavior to ensure it remains dominant

Agile Adoption in the Manager Community

at Grainger

Executive

Community

Agile Behaviors

• Moving to Agile puts the most change pressure on the managers of the organization

• It is important to recognize the characteristics of an effective Agile team manager and enable

the organization to develop Agile management capability

• Executives must keep a pulse on the health of Agile adoption by first observing the manager

community and identifying challenged areas with opportunities for improvement

• There are several Agile Manager

behaviors that can be tracked to

determine the level of adoption

amongst managers

Managers are key to the success of the Agile adoption.

Your Agile COE has their hand on the pulse of the adoption and the needs of the

managers to be successful

Participating in EKB standups

Page 83: Lean Agile Governance - a leadership guide for executives

The transformation pilot kanban is our mechanism to surface and address challenges

managers are facing related the change

83

Socializing

Transformation

Canvas

Training Create

Change

Solution

Design lean-agile

system, Onboard

work

Standup, Iterating systems, Frequent

demonstration of value, recurring

replenishment

Verify change

through

metrics

Limitin

g work

Page 84: Lean Agile Governance - a leadership guide for executives

Change Persona: Agile Executive Leader

84

Observable Behavior

Learn Fast

Do Less

Be visible & be

collaborative

Limit work in progress at portfolio level, create focus, do

less in parallel, keep things simple

(e.g. Limit the prioritized backlog)

Hypothesis: 4-9 weeks (by Kernel Adoption)

Short feedback loops, tolerate mistakes, value

learning and continuous improvement

(e.g. create experiments to validate assumptions)

Hypothesis: 4-9 weeks (by Kernel Adoption)

Attend team events every week. Play nicely, be

supportive, give your people time, actively participate

in projects

(e.g. Perform Gemba walks, attend stand ups)

Hypothesis: 1 week

1. If I want my teams to be truly agile, my behaviors are supporting an environment where

agile can succeed

2. I am setting up agile for success within ES and with my business partners

3. I have the desire and patience for the team to self-sustain Agile

Critical Assumptions for Success

Page 85: Lean Agile Governance - a leadership guide for executives

Executive Leader Persona continued

85

One Team, One

Goal

Focus on value

Lead By

Example

Focus on value over cost, deliver value earlier and

incrementally, concentrate on building the right product (e.g.

determine the cost of delay)

Hypothesis: 9 weeks (by Kernel Adoption)

Avoid silos by setting up product-oriented, co-

located, multi-disciplined teams with one shared

purpose; squash politics

(e.g. shared but explicit policies / agreements)

Hypothesis: 4-9 weeks (by Kernel Adoption)

Be Agile yourself, use Agile techniques, exhibit Agile

principles, adopt a servant leadership style

(e.g. reformat existing meetings into Agile ceremonies)

Hypothesis: 2-4 weeks

Actively

remove

impediments

Focus on resolving impediments that are getting in the

way of the organization delivering value

(e.g. attending Enterprise Kanban standups)

Hypothesis: 1 week

Observable Behavior

Page 86: Lean Agile Governance - a leadership guide for executives

Key Takeaways

86

Lean & Agile will decrease lead time – if

we focus on smaller batches, managing

WIP and actively removing impediments

Use Kanban tools to manage the

system and focus on flow across

teams, departments and IT

Use of Agile thinking tools promote

collaboration and better decision making, help

enable this through empowerment

The ES Agile Transformation is well underway with teams

demonstrating adoption and many more teams about to initiate their

localized journeys

Think about value as an continuously

incurring cost to the organization by not

being in the market

Enabling a healthy internal competition

spawns local innovation which will lead to

global optimizationTo govern an agile organizations requires

executives to be comfortable with

empowering their teams to continuously

change and adapt

Managers are key to the success of the

Agile transformation and adoption

The organization’s success in self-

sustaining Agile is dependent on my

behaviors and actions

Page 87: Lean Agile Governance - a leadership guide for executives

Appendix- Answers for CFD Exercises

- Answers for Kanban Exercises

Page 88: Lean Agile Governance - a leadership guide for executives

Cumulative Flow Diagrams (CFD) visualize a team’s throughput and can help in setting project timelines

88

What is the approximate throughput of the team?

Calculate the slope of the straight line between sprint 1 and the

final sprint.

Throughput = 25 stories / 8 sprints = 3 stories / sprint

Page 89: Lean Agile Governance - a leadership guide for executives

CFD Review: 50 features in 15 weeks, can the team deliver?

89

Current Week

15 features in 11 weeks

implies: 1.4 features

per week on average

4 weeks

remaining implies:

5 additional

features at current

throughput

Page 90: Lean Agile Governance - a leadership guide for executives

CFD Review: Is this team doing well?

90

Where could there be bottlenecks?

At what points would you have been worried about the status/progress of this project?

Page 91: Lean Agile Governance - a leadership guide for executives

CFD Review: Jagged flow, what can we understand from this graph?

What could these

parallel jagged lines

mean?

91

What could this jagged

flow mean?What could this flat

lines mean?

Page 92: Lean Agile Governance - a leadership guide for executives

CFD Review: Idleness and resource utilization

92

During sprint 5, which process could have been idle? How should’ve these resources been utilized?

The Testing process could have been idle, as they had finished all the work they had pulled from

Development by the end of sprint 4

Page 93: Lean Agile Governance - a leadership guide for executives

Kanban scenario one: What issue would you highlight on this board?

93

WIP Exceeded

Page 94: Lean Agile Governance - a leadership guide for executives

Kanban scenario two: What issue would you highlight on this board?

94

BottleneckDev Idle

Page 95: Lean Agile Governance - a leadership guide for executives

Kanban scenario three: What issue would you highlight on this board?

95

Standard work

Legend

Expedite Fixed date Competitive advantage

Majority of tickets are high risk (Expedite, Fixed date)

Page 96: Lean Agile Governance - a leadership guide for executives

Kanban scenario four: What issue would you highlight on this board?

96

Bottleneck is

forming

Page 97: Lean Agile Governance - a leadership guide for executives

Kanban scenario five: What is wrong with this picture?

97

WIP limit

exceeded

WIP limit

exceeded

WIP limit

exceeded

Developers

are idle

Analysts may

be

underutilized

WIP limit

exceeded