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Agile organization design workshop
- 1. Agile Organization Design LvYi @ Odd-e
- 2. Introduction
- 3. What is organization? “An organization is a social entity that has a collective goal and is linked to an external environment.” - Wikipedia
- 5. Star Model
- 6. Strategy • Set the organization’s direction • Encompass company’s vision and mission, as well as its short- and long-term goals • The cornerstone of organization design process
- 7. Structure • Determine where formal power and authority are located • It comprises the organizational components, their relationships, and hierarchy • It is what is shown on a typical organization chart, including roles and responsibilities
- 8. Processes • Structure alone creates barriers to collaboration • Lateral capabilities to overcome (from informal to formal)
- 9. Rewards • Metrics help align individual behaviors and performance with the organizational goals • Reward and recognition system communicates what the company values
- 10. People • The people (HR) practices create organizational capability from the many individual abilities resident in the organization • Different strategies require different people practices in the area of selection, performance feedback, and learning and development
- 12. Strategy
- 14. Origin of Scrum
- 15. Scrum in the Context Strategy Product Organizational capability Speed and flexibility Organizational design (explicit) Structure and Processes (implicit) Rewards and People
- 16. Agile transformation is to increase organizational agility
- 17. Exercise: What is Organizational Agility?
- 19. PerfectionVision Create the organizational ability to respond to changes by being able to deliver or change direction at any time without additional cost - Craig Larman - BasVodde
- 20. Agility is the ability to create and respond to change in order to profit in the turbulent business environment. An enterprise’s ability to take advantage of opportunities, respond to challenges, and to do so while controlling risk. - Jim Highsmith - Ken Schwaber
- 21. Performance • Speed • Flexibility • Value • Quality • Productivity
- 22. Begin with the end in mind
- 24. M-MGW We believe that fundamental changes needed in our minds to succeed with this journey are as follows: • More people initiative and less top down control • More team players and less individual heroes • More courage and less risk avoidance • More conversations and less one way communication • More personal growth and less comfort zone
- 25. My own experience • Quality crisis • Responding to change • “I felt that our organization were like a school where we learned together”
- 26. Structure
- 29. Functional Structure + Knowledge sharing + Specialization + Leverage with vendors + Economies of scale + Standardization - Managing diverse products or service - Cross-functional processes
- 30. Product Structure + Product development cycle + Product excellence + Broad operating freedom - Divergence - Duplication - Lost economies of scale - Multiple customer points of contact
- 31. Customer Structure + Customization + Relationships + Solutions - Divergence - Duplication - Scale
- 32. Scrum Roles Product Owner Team ScrumMaster
- 33. Scrum Teams as Organizational Unit
- 34. Cross-functional Team • All skills needed to build the product • Balancing specialization with generalization • Close cross-functional collaboration
- 35. Self-managing Team Team together has the authority to: ✓Design, plan, and execute their task ✓Monitor and manage their progress ✓Monitor and manage their process
- 36. Authority Matrix
- 37. Feature team vs. Component team
- 38. Item 1 Item 2 Item 3 Item 4 ... … system comp C Team comp A Work from multiple teams is required to finish a customer-centric feature. These dependencies cause waste such as additional planning and coordination work, hand-offs between teams, and delivery of low-value items. Work scope is narrow. Product Owner comp B Team comp A Team comp B comp C Item 1 Item 2 Item 3 Item 4 ... … Team Wu Product Owner Team Shu Team Wei system comp A comp B comp C Every team completes customer- centric items. The dependencies between teams are related to shared code. This simplifies planning but causes a need for frequent integration, modern engineering practices, and additional learning. Work scope is broad. Component teams Feature teams www.craiglarman.com www.odd-e.com Copyright © 2010 C.Larman & B. Vodde All rights reserved.
- 39. Feature team vs. Feature project
- 40. Product Project
- 41. Exercise: How does Scrum team support your strategy?
- 43. Exercise: Where do they fit? Product Owner Team ScrumMaster Others
- 45. Product Manager as Product Owner
- 46. Change!!! ✓ Product Manager is used to “throwing the project over the wall” and holding engineering responsible for meeting needs. ✓ Scrum puts this responsibility back on the Product Owner and customers through the inspect and adapt and the Sprint Review. Make decisions regarding ROI every Sprint end.
- 49. Avoid or Transform PMO? http://blog.odd-e.com/yilv/2014/10/the-future-of-project-managers.html
- 51. Manager as ScrumMaster? Experience report from Nokia Siemens Networks
- 53. Fewer Managers? • Probably yes, with flatter organization • “My ideal is to have one supervisor for every one hundred workers” - Ishikawa • My experience: 3-5 teams for experienced manager, 2-3 teams for new manager
- 54. Processes
- 57. Scrum in a Nutshell
- 58. From Ready to Done • Sprint, from Ready to Done • What happens before Ready? • What happens after Done?
- 60. Before Ready
- 61. Is Release Planning predictive or adaptive?
- 63. release N release N+1 repeat cross-functional Scrum feature teams do all work so that product can potentially be released each iteration a 2-4 week iteration true release potential release potential release continuous product development eliminates projects in product development; there is simply an ʻendlessʼ series of iterations, each of which is similar in activities and each of which ends in a potentially shippable product increment Product Backlog www.craiglarman.com www.odd-e.com Copyright © 2009 C.Larman & B. Vodde All rights reserved.
- 64. Dual-track Scrum
- 65. Discovery Delivery Opportunity backlog Product backlog Discovery team Delivery team Collaborative Self-organizing Continuous Scrum flow Getting Ready Getting Done
- 66. After Done
- 67. “Undone” work Plan Review Plan Review Plan Review Plan Review Release? Undone Undone Undone Undone Plan Review Delay Risk Release Stabilization Sprint
- 68. “Undone” unit is a trap!
- 70. Continuous Delivery • From sprint-based delivery to continuous delivery • Customer impact assessment
- 72. Kanban in a Nutshell Visualize Limit WIP Manage flow Explicit polices Feedback loops Improvements
- 73. Kanban System
- 74. Maintenance
- 77. Kanban in a Nutshell Visualize Limit WIP Manage flow Explicit polices Feedback loops Improvements
- 79. At regular intervals, the team reflects on how to become more effective, then tunes and adjusts its behavior accordingly
- 82. ImprovementVision • Emerging - The most painful problems from the past • Envisioning - What is the perfection?
- 83. Rewards & People
- 86. Functions of Performance Evaluation Feedback and Communication Staffing and Development Coaching and Guidance Improvement Compensation Legal Document
- 87. Rewards
- 88. “I hate my work, I only do it for the money, i don’t want to think for myself, indeed, I’d rather just do as little as I can.” “I like to work, it’s part of my life, i want to do well, and I will work hard if given the responsibility and recognition I deserve.”
- 89. Video: Drive by Dan Pink
- 90. 1. 2.
- 91. Compensation • Make sure the promotion system is unassailable • De-emphasize the merit pay system • Tie profit sharing to economic drivers
- 93. Exercise: How does Agile help “drive”?
- 94. Improvement
- 96. “Improving systems and processes improves the performance of the organization.” “Individual improvement initiatives are most effective when they are combined with serious efforts toward improving the work climate, systems, and processes.” “Improving individuals’ performance improves organizational performance.”
- 97. “Remove barriers that rob people in management and in engineering of their right to pride in workmanship. This means, inter alia, abolishment of the annual or merit rating and of management by objective” W. Edwards Deming
- 99. Performance • Speed • Flexibility • Value • Quality • Productivity
- 100. Metrics for Agile Adoption • The ratio of fixing work to feature work • Cycle time • Number of defects escaping to production http://www.estherderby.com/2011/10/metrics-for-agile.html
- 101. Measure Organizational Agility • Frequency of releases (months) • Stabilization time for releases • # of customers on current release • Time to get small change to customer • Maintenance as % of development budget • Total defects • Customer satisfaction • Employee satisfaction
- 102. Exercise: Leading vs. Lagging metrics
- 104. Span of Control Span of Influence
- 105. Team Goal • Give all of the members of an Agile team the same performance goals • “How did you help achieve the team goal?”
- 106. Values and Behaviors
- 107. Culture • Behavior is the manifestation of an organization’s culture • No matter how clearly the organization’s values are stated, it is the way that people act that defines the culture
- 110. Development
- 111. Team Development Goals • Baseline current team skill profile • Define team development goals • Align individual development goals
- 112. Individual Development Goals • Set individual goals for individual development • Make sure individual goals are aligned with team goals
- 113. Generalizing Specialist • Avoid job titles and job descriptions • Try simple general job descriptions
- 114. Manager as Coach • Teach at work • Toyota coaching Kata • Mentor/Mentee dialogue • Supported by A3 report
- 115. Staffing
- 117. Team Behaviors Value highly the personal traits, characteristics, and behaviors of good team members
- 118. Team hiring
- 119. Reference