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AW5 Agile Development Concurrent Session 11/12/2014 1:30 PM
"Why Agile Fails in Large Enterprises—and What to Do
about It"
Presented by:
Mike Cottmeyer LeadingAgile, LLC
Brought to you by:
340 Corporate Way, Suite 300, Orange Park, FL 32073 888-268-8770 ∙ 904-278-0524 ∙ [email protected] ∙ www.sqe.com
LeadingAgile cofounder and president Mike Cottmeyer is passionate about solving the challenges associated with agile in larger, more complex enterprises. To that end, his company is dedicated to providing large-scale agile transformation services to help pragmatically, incrementally, and safely introduce agile methods. Mike spends most of his time leading and growing LeadingAgile, and providing strategic coaching for clients. He was on the steering committee that created the PMI-ACP certification and co-led the creation of the DSDM Agile Project Leader certification. A fellow of the Lean Systems Society, Mike served on the boards of the APLN and the Lean Software and Systems Consortium.
11/4/2014
1
WHY AGILE IS FAILINGIN LARGE ENTERPRISES
WHY AGILE IS FAILINGIN LARGE ENTERPRISES
…and what you can do about it
11/4/2014
2
MIKE COTTMEYER
www.leadingagile.comtwitter.com/mcottmeyer
facebook.com/leadingagilelinkedin.com/in/cottmeyer
A BRIEF HISTORICAL PERSPECTIVE
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Hirotaka Takeuchi & Ikujiro NonakaThe New New Product Development Game
DSDN ConsortiumDynamic SystemDevelopment Method Jeff de Luca
Feature Driven
Robert CharetteLean Development
Taiichi Ohno Toyota Production SystemKanban
1943
1950-1960s
1985
1990
1995
1996
1997
1998
2000
2001
USAF & NASA
DevelopmentKanban
Hardware Software
USAF & NASAX‐15 hypersonic jetIterative Incremental Delivery
1990 - Sutherland & SchwaberScrum Framework
1996 - Beck, Cunningham, JeffriesExtreme Programming
Alistair CockburnCrystal Methodologies
THEAGILE
MANIFESTO
We are uncovering better ways of developing software by doing it and helping others do it. Through this work we have come to value:
MANIFESTO VALUES
Individuals & interactions Processes & toolsover
Working software Comprehensive documentationover
Customer collaboration Contract negotiationover
Responding to change Following a planover
That is, while there is value in the items on the right, we value the items on the left more.
Source: www.agilemanifesto.org
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Satisfy the Welcome Deliver Collaborate
MANIFESTO PRINCIPLES
Satisfy the Customer
Welcome Change
Deliver Frequently
Collaborate Daily
Support & Trust Motivated
Teams
Promote Face-to-Face Conversations
Deliver Working Software
Promote Sustainable
Pace
Promote Technical
Excellence
Maximize Through Simplicity
Have Self-Organized
Teams
Reflect & Adjust
Regularly
Source: www.agilemanifesto.org
BELIEFS ABOUT AGILE & TRANSFORMATION
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Culture
BELIEFS…
PracticesStructure
• Focused on changing hearts and minds
CULTURE DRIVEN
Culture
PracticesStructure
hearts and minds• Focused on being agile
rather than doing agile• Focused on values and
principles
PracticesStructure
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• Focused on changing hearts and minds
CULTURE DRIVEN
Culture
PracticesStructure
hearts and minds• Focused on being agile
rather than doing agile• Focused on values and
principles• Belief that delivery
systems will emergePracticesStructure systems will emerge based on new thinking
• Focused on the things that you do
PRACTICES DRIVEN
Practices
StructureCulture
that you do• Focused on roles,
ceremonies, and artifacts• Can be management
driven or technically driven
StructureCulture
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• Focused on the things that you do
PRACTICES DRIVEN
Practices
StructureCulture
that you do• Focused on roles,
ceremonies, and artifacts• Can be management
driven or technically drivenB li f th t il iStructureCulture • Belief that agile is a process or way to work
• Focused on forming teams and governing the
STRUCTURE DRIVEN
Structure
CulturePractices
teams and governing the flow of value
• Focused on aligning the organization first
CulturePractices
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• Focused on forming teams and governing the
STRUCTURE DRIVEN
Structure
CulturePractices
teams and governing the flow of value
• Focused on aligning the organization first
• Belief that culture and practices only emerge within a rational structuralCulturePractices within a rational structural and planning framework
Culture... all three are essential, but where you start
WHERE TO START?
PracticesStructure
is also essential…
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LEADINGAGILE THEORY OF TRANSFORMATION
Theory of Transformation
Agile transformation beginsAgile transformation begins by defining a rational system of delivery for the enterprise
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Theory of Transformation
Tr e agilit comes bTrue agility comes by breaking dependencies between teams across the
organization
Theory of Transformation
Health c lt re and solidHealthy culture and solid practices emerge within a
rational delivery framework
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WHY AGILE WORKS
Team
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User Story
User Story
TeamUser Story
User Story
User Story
User Story
User Story
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
Clarity
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
Clarity Accountability
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M blClarity Accountability Measureable Progress
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M blClarity Accountability Measureable Progress
Few if any dependencies
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WHY AGILE WORKS AT SCALE
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M blClarity Accountability Measureable Progress
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16
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M blGovernance Accountability Measureable Progress
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M blStructure Measureable Progress
Governance
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M t i &Structure Metrics & Tools
Governance
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M t i &Structure Metrics & Tools
Governance
Teams have autonomy across the organization
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WHY AGILE FAILS
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
Lack ofClarity
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
Lack ofClarity
Lack ofAccountability
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
L k fLack ofClarity
Lack ofAccountability
Lack ofMeasureable
Progress
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
L k fLack ofClarity
Lack ofAccountability
Lack ofMeasureable
ProgressOften caused by
too many external dependencies
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WHY AGILE FAILS AT SCALE
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
L k fLack ofClarity
Lack ofAccountability
Lack ofMeasureable
Progress
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
L k fLack ofGovernance
Lack ofMeasureable
Progress
Lack ofAccountability
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
L k fLack ofStructure
Lack ofMeasureable
Progress
Lack ofGovernance
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
L k fLack ofMetrics &
Tools
Lack ofGovernance
Lack ofStructure
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
L k fLack ofMetrics &
Tools
Lack ofGovernance
Lack ofStructure
Too much coordination
between teams
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ORGANIZATIONAL BARRIERS TO AGILE
Team
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Matrixed Organizations
Team
Matrixed Organizations
Non-instantly Available
Resources
Team
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Matrixed Organizations
Non-instantly Available
Resources
Limited Access to Subject Matter
ExpertiseTeam
Matrixed Organizations
Non-instantly Available
Resources
Limited Access to Subject Matter
ExpertiseTeam
Shared Requirements
Between Teams
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Matrixed Organizations
Non-instantly Available
Resources
Too Much Work In Process
Limited Access to Subject Matter
ExpertiseTeam
Shared Requirements
Between Teams
Matrixed Organizations
Non-instantly Available
Resources
Too Much Work In Process
Limited Access to Subject Matter
Expertise
Large Products with Diverse Technology
Team
Shared Requirements
Between Teams
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Matrixed Organizations
Non-instantly Available
Resources
Too Much Work In Process
Limited Access to Subject Matter
Expertise
Large Products with Diverse Technology
Team
Shared Requirements
Between Teams
Technical Debt & Defects
Matrixed Organizations
Non-instantly Available
Resources
Too Much Work In Process
Limited Access to Subject Matter
Expertise
Large Products with Diverse Technology
Team
Low Cohesion & Tight Coupling
Shared Requirements
Between Teams
Technical Debt & Defects
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Corollary One:
Sol ing for the iss es that getSolving for the issues that get in the way of effectively
practicing agile is what should guide your agile
transformation initiative
MAPPING YOUR AGILE TRANSFORMATION
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Pred
icta
bilit
y Adaptability
Emergence
Pred
icta
bilit
y Adaptability
Convergence
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Emergence
Pred
icta
bilit
y Adaptability
Convergence
Emergence
Pred
icta
bilit
y Adaptability
AEPC
Convergence
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Emergence
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
EmergenceAd-Hoc
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
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EmergenceAd-Hoc
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional
EmergenceAd-Hoc
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
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EmergenceAd-Hoc Lean Startup
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
EmergenceAd-Hoc Lean Startup
Project
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
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EmergenceAd-Hoc Lean Startup
Project Pilot
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
EmergenceAd-Hoc Lean Startup
Project Pilot
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
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EmergenceAd-Hoc Lean Startup
Adopt Pilot
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
EmergenceAd-Hoc Lean Startup
LOB
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
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EmergenceAd-Hoc Lean Startup
LOB
Low Trust
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
EmergenceAd-Hoc Lean Startup
LOB
Low Trust
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
LOB
Become Predictable
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EmergenceAd-Hoc Lean Startup
LOB
Low Trust
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Traditional Agile
LOB
Become Predictable
EmergenceAd-Hoc Lean Startup
LOB
Low Trust
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Lean/Agile Agile
LOB
Become Predictable
11/4/2014
39
EmergenceAd-Hoc Lean Startup
LOB
Low Trust
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Lean/Agile Agile
LOB
Become Predictable
LOB
Reduce Batch Size
EmergenceAd-Hoc Lean Startup
LOB LOB
Low Trust Fully Decouple
Pred
icta
bilit
y Adaptability
AEPEPC AC
Convergence
Lean/Agile Agile
LOB LOB
Become Predictable Reduce Batch Size
11/4/2014
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Corollary Two:
Agile can mean differentAgile can mean different things to different companies and not all agile approaches
will work well for every organization
INCREMENTAL AND ITERATIVE IMPROVEMENT
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EmergenceAd-Hoc Lean Startup
OrgSlice
Low Trust Fully Decouple
Pred
icta
bilit
y Adaptability
AEPEPC AC
Slice
Convergence
Lean/Agile AgileBecome Predictable Reduce Batch Size
EmergenceAd-Hoc Lean Startup
OrgSlice
Low Trust Fully Decouple
Pred
icta
bilit
y Adaptability
AEPEPC AC
Slice
Convergence
Lean/Agile AgileBecome Predictable Reduce Batch Size
Phase One
11/4/2014
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EmergenceAd-Hoc Lean Startup
OrgSlice
Low Trust Fully Decouple
Pred
icta
bilit
y Adaptability
AEPEPC AC
Slice
Convergence
Lean/Agile AgileBecome Predictable Reduce Batch Size
Phase One
Phase Two
EmergenceAd-Hoc Lean Startup
OrgSlice
Low Trust Fully Decouple
Pred
icta
bilit
y Adaptability
AEPEPC AC
Slice
Phase Three
Convergence
Lean/Agile AgileBecome Predictable Reduce Batch Size
Phase One
Phase Two
11/4/2014
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EmergenceAd-Hoc Lean Startup
OrgSlice
Low Trust Fully Decouple
Pred
icta
bilit
y Adaptability
AEPEPC AC
Slice
Phase Three
Phase Four
Convergence
Lean/Agile AgileBecome Predictable Reduce Batch Size
Phase One
Phase Two
EmergenceAd-Hoc Lean Startup
OrgSlice
Low Trust Fully DecouplePhase Five
Pred
icta
bilit
y Adaptability
AEPEPC AC
Slice
Phase Three
Phase Four
Convergence
Lean/Agile AgileBecome Predictable Reduce Batch Size
Phase One
Phase Two
11/4/2014
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Corollary Three:
Organi ational change can beOrganizational change can be mapped out in such a way
that outcomes are measureable and predictable
and economically justified
DEVELOPING YOUR ROADMAP
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M t i &Structure Governance Metrics & Tools
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M t i &Structure Governance Metrics & Tools
11/4/2014
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Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M t i &Governance Metrics & Tools
Structure
Screen
User Story
User Story
Team
Database
Report
User Story
User Story
User Story
User Story
User Story
M t i &Governance Metrics & Tools
Structure
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STRUCTURE
Services Teams – These teams support common services across product lines. These teams support the needs of the product teams.
Team
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Product Teams – These teams integrate services and write customer facing features. This is the proto-typical Scrum team.
Team
Services Teams – These teams support common services across product lines. These teams support the needs of the product teams.
Team
Programs Teams – These teams define requirements, set technical direction, and provide context and coordination.
Product Teams – These teams integrate services and write customer facing features. This is the proto-typical Scrum team.
Team
Team
Services Teams – These teams support common services across product lines. These teams support the needs of the product teams.
Team
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Portfolio Teams – These teams govern the portfolio and make sure that work is moving through the system.
Programs Teams – These teams
Team
define requirements, set technical direction, and provide context and coordination.
Product Teams – These teams integrate services and write customer facing features. This is the proto-typical Scrum team.
Team
Team
Services Teams – These teams support common services across product lines. These teams support the needs of the product teams.
Team
TeamTeamTeam
Product & ServicesTeams
Team Team Team Team
11/4/2014
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ProgramTeam Team Team
TeamTeamTeam
Product & ServicesTeams
ProgramTeams
Team Team Team Team
Team
Program
PortfolioTeams
Team Team Team
TeamTeamTeam
Product & ServicesTeams
ProgramTeams
Team Team Team Team
11/4/2014
51
GOVERNANCE
Team
Program
PortfolioTeams
Team Team Team
TeamTeamTeam
Product & ServicesTeams
ProgramTeams
Team Team Team Team
11/4/2014
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Team
Program
PortfolioTeams
Product & ServicesTeams
Scrum
Team Team Team
TeamTeamTeam
ProgramTeams
Team Team Team Team
Program
PortfolioTeams
Kanban
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
11/4/2014
53
Program
PortfolioTeams
Kanban
KanbanTeam
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
METRICS
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Program
PortfolioTeams
Kanban
KanbanTeam
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
Program
PortfolioTeams
Kanban
KanbanTeam
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
• Backlog Size• Velocity• Burndown• Escaped Defectsp• Commit % Ratio• Acceptance % Ratio• Scope Change
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Program
PortfolioTeams
Kanban
KanbanTeam
• Cycle Time
Product & ServicesTeams
ProgramTeams
Scrum
Kanbany• Features Blocked• Rework/Defects• Backlog Size• Velocity• Burndown• Escaped Defectsp• Commit % Rate• Acceptance % Ratio• Scope Change
Program
PortfolioTeams
Kanban
Kanban
• Cycle Time
• Takt Time/Cycle Time• Time/Cost/Scope/Value• RIO/Capitalization
Product & ServicesTeams
ProgramTeams
Scrum
Kanban
• Backlog Size• Velocity• Burndown• Escaped Defects
y• Features Blocked• Rework/Defects
p• Commit % Ratio• Acceptance % Ratio• Scope Change
11/4/2014
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Corollary Four:
Organi ational constr ctsOrganizational constructs, governance models, metrics
and controls can be established without violating
the principles of agile
INCREMENTALTRANSFORMATION
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Program
PortfolioTeams
Kanban
KanbanTeam
Agile Pilot
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
Increment One
Program
PortfolioTeams
Kanban
KanbanTeam
Agile Pilot Agile Rollout
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
Increment One Increment Two
11/4/2014
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Program
PortfolioTeams
Kanban
KanbanTeam
Agile Pilot Agile Rollout
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
Increment One Three - N
ITERATIVETRANSFORMATION
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Program
PortfolioTeams
Kanban
KanbanTeam
Agile Pilot
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
Iteration One
Program
PortfolioTeams
Kanban
KanbanTeam
Agile Pilot
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
Iteration Two
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Program
PortfolioTeams
Kanban
KanbanTeam
Agile Pilot
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Team Team Team Team
Iteration Three
Program
PortfolioTeams
Kanban
Kanban
Agile Pilot
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team Team
TeamTeamTeam
Iteration Four
Team Team Team Team
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Program
PortfolioTeams
Kanban
Kanban
Agile Pilot
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team
TeamTeamTeam
Team
Iteration Five
Team Team TeamTeam
ITERATIVE & INCREMETNAL CHANGE
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Program
PortfolioTeams
Kanban
Kanban
Agile Pilot
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team
TeamTeamTeam
Team
Iteration One
Team Team TeamTeam
Program
PortfolioTeams
Kanban
Kanban
Agile Pilot
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team
TeamTeamTeam
Team
Team Team TeamTeam
Iteration Two
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Program
PortfolioTeams
Kanban
Kanban
Agile Pilot Agile Rollout
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team
TeamTeamTeam
Team
Iteration Three Iteration One
Team Team TeamTeam
Program
PortfolioTeams
Kanban
Kanban
Agile Pilot Agile Rollout
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team
TeamTeamTeam
Team
Iteration Four Iteration Two
Team Team TeamTeam
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Program
PortfolioTeams
Kanban
Kanban
Agile Pilot Agile Rollout
Team
Product & ServicesTeams
ProgramTeams
Scrum
KanbanTeam Team
TeamTeamTeam
Team
Iteration Five Iteration Three
Team Team TeamTeam
Corollary Five:
Organi ations can adopt agileOrganizations can adopt agile safely and pragmatically by iteratively and incrementally
introducing structure, governance, and metrics and maturing practices and culture
over time
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SUMMARY
Theory of Transformation
Agile transformation beginsAgile transformation begins by defining a rational system of delivery for the enterprise
11/4/2014
66
Theory of Transformation
Tr e agilit comes bTrue agility comes by breaking dependencies
between teams across the organization
Theory of Transformation
Health c lt re and solidHealthy culture and solid practices emerge within a
rational delivery framework
11/4/2014
67
Corollary One:
Sol ing for the iss es that getSolving for the issues that get in the way of effectively
practicing agile is what should guide your agile
transformation initiative
Corollary Two:
Agile can mean differentAgile can mean different things to different companies and not all agile approaches
will work well for every organization
11/4/2014
68
Corollary Three:
Organi ational change can beOrganizational change can be mapped out in such a way
that outcomes are measureable and predictable
and economically justified
Corollary Four:
Organi ational constr ctsOrganizational constructs, governance models, metrics
and controls can be established without violating
the principles of agile
11/4/2014
69
Corollary Five:
Organi ations can adopt agileOrganizations can adopt agile safely and pragmatically by iteratively and incrementally
introducing structure, governance, and metrics and maturing practices and culture
over time
Summary
B foc sing on the f ndamentalsBy focusing on the fundamentals of agile delivery, while
systematically and methodically breaking dependencies, we can achieve true enterprise agility
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70
WHY AGILE IS FAILINGIN LARGE ENTERPRISES
…and what you can do about it
