agile Marina Pochinok_1_ENG-2

M. Pochinok, 2016
Totally new employee experience thanks to
agile HR services
Assistance in getting Agile
by transforming organizational structure,
culture, management model, and HR
processes
HR + Agile =
2

M. Pochinok, 2016
Contents
 Agile organization
 Agile organization: differentiators
 Agile organization: structure
 Roles in Agile
 Working in Agile
 Agile culture
 Agile implementation
 Agile HR
3

M. Pochinok, 2016
What is Agile?
4

M. Pochinok, 2016
No top-down control
Everyone really cares
of what they do
A team can initiate
leader change
The amount of salary is
determined by colleagues
Multiple small teams
No personal goals
The amount of salary has
nothing to do with the number of
subordinates
No boss
Free communications
flow

M. Pochinok, 2016
Agile
Leading transformation approach

M. Pochinok, 2016
What is Agile organization?
Results
Agile organization can quickly
adapt to ever-changing
conditions in a cost-effective
way thanks to
• Fast implementation
• Continuous innovation
• Fast hit-and-miss learning
Inside
Every employee does right
things in a right way thanks to
• Shared objective
• Self-organization and
independence
• Collaboration

M. Pochinok, 2016
HR roles and tasks
Control
Speed
Start-up
Stagnation
Agile
Bureaucratic
Chaos
What is Agile organization?

M. Pochinok, 2016
Agile: Myths and Reality
▪ Universal solution to solve all problems
▪ No documentation and planning
▪ No discipline
▪ Multiple reworking cycles
▪ Disregarding architecture
and contradicting its requirements
▪ No testing
▪ Fast and disciplined implementation
▪ Better return on investment
thanks to frequent releases
▪ Iteration product development in small
parts from the very beginning
▪ Minimized risks due to fast feedback from
end users
▪ Business/IT alignment
Agile: Myths… … and Reality

M. Pochinok, 2016
Agile proved to be more efficient, transparent, high-quality, and cost-
effective than traditional approaches
Source: Tenth State of Agile Report 2016 by VersionOne;
1,321 projects in Numetrics software database; examples of customers
-70%
Comparison of Scrum teams and teams
using traditional software development
methods in terms of efficiency
Performance
Number of
defects per
standard
requirement
Date slippage
Development cost
+27%
More efficient distributed group management 80
Faster implementation 79
Better software quality 78
Lower project risks 77
Better coordination between business and IT 73
More disciplined design 70
Improved software maintainability 62
Better predictability 81
Better team morale and motivation 81
More transparent projects 84
Improved performance 85
Change management ability 87
Benefits achieved, % of respondents who noticed benefits
-30%
-40%

M. Pochinok, 2016
Companies have been using Agile for a long time
2000s 2010s1950s
2001 –
Agile Manifest

M. Pochinok, 2016
Agile: it's not a process, it's the way we work
People
and interaction
Working
software
Customer
collaboration
Responding to
change
Processes
and tools
Comprehensive
documentation
Contract
negotiation
Following an initial
plan
over

M. Pochinok, 2016
What is corporate culture?
Our top priority is to meet customer
needs through regular and early
value delivery
A team should regularly analyze
possible ways to improve efficiency
and make relevant adjustments to
its working style
Agile:it'snotaprocess,it'sthewaywework

M. Pochinok, 2016
Contents
 Roles in Agile
 Agile culture
 Agile HR
14

M. Pochinok, 2016
Traditional approach Agile approach
Top-down functional siloes Bottom-up cross-functional teams and tribes
built around client needs
Agile organization: key differentiators*)
…
…
…
…
…
Scaling aimed at outcome, 100%
efficiency, and focus
Structure
Processes
People
Operations model
*)From McKinsey presentation

M. Pochinok, 2016
Partial involvement in a project Full involvement in a project
Sprint result (working product) demonstration and
key stakeholder feedback collection
Long-term bureaucratized process of getting
requirement/result approvals from many
customers
Decision making is escalated to management Decision making is delegated to teams
Traditional vs Agile
Many review meetings Regular stand-ups
Task setter hierarchy One task setter: product owner who makes
decisions

M. Pochinok, 2016
Fixed requirements Requirements are updated as feedback is collected
Personal KPI Team KPI
Traditional vs Agile
Non-iterative development Continuous feedback and visible progress
Gantt chart with fixed sequence Scrum board supporting flexible priority
management

M. Pochinok, 2016
Contents
 Roles in Agile
 Agile culture
 Agile HR
18

M. Pochinok, 2016
Structure
…
…
…
…
Tribe is a group of interrelated teams
formed around a product (business
objective) and responsible for business
results
Team is a cross-functional working group
of specialists having skills, tools,
authorities necessary to create a product
Chapter is a group of specialists
competent in the same field
Team 1 Team 2 Team 2 Team N
Chapter 1
Chapter 2
Chapter N
Tribe

M. Pochinok, 2016
Structure
TRIBE
up to 150 persons
or up to 1,500 if clusters
are used
CLUSTER
up to 150 persons
optionally
TEAM
up to 10-12 persons
CHAPTER
up to 10-12 persons
"If you can't feed a team with two
pizzas, it's too large"
"Tribe/cluster size is limited by
Dunbar's number, which is the
number of people with whom one can
maintain stable social relationships
and is equal to 125-150"
Jeff Bezos,
Amazon CEO
Robin Dunbar,
a British anthropologist
20

M. Pochinok, 2016
Contents
 Roles in Agile
 Agile culture
 Agile HR
21

M. Pochinok, 2016
Roles in Agile
…
…
…
…
Team 1 Team 2 Team 2 Team N
Chapter 1
Chapter 2
Chapter
N
Tribe
 Tribe leader
 Tribe architect
 Agile coach
 Product owner
 Scrum master
 Chapter leader
 Team member

M. Pochinok, 2016
Roles in Agile
…
Team 1
 Tribe leader is in charge of product management and achievement of tribe's business
objectives
 Tribe scrum master is in charge of release management, work synchronization, and process
efficiency
 Agile coach is in charge of Agile approach development and adoption
 Product owner is in charge of releasing a product that meets customer needs
 Scrum master is in charge of work process efficiency, collaboration with other teams and
business units, and making a team more mature
 Chapter leader is a member of one of the teams who is in charge of chapter administrative
management and competence development
 Team member is a specialist who participates in product creation within the scope of their
competence

M. Pochinok, 2016
Contents
 Roles in Agile
 Agile culture
 Agile HR
24

M. Pochinok, 2016
Working in Agile
Super sprint is a tribe work cycle during
which new versions of tribe products
are created as a result of joint efforts
of all teams
Fixed duration: 12 weeks
Consists of 6 or 12 sprints of tribe teams depending
on a selected cycle (1-week or 2-week sprint)
Sprint is a team work cycle during
which a new version of a product
is created
May include market research, product analysis, prototyping,
development, testing, implementation, and debugging
processes or any other processes, depending on the tasks set
Must have a specific purpose and is completed by the delivery
of a new value for a product
Fixed duration: 1 week or 2 weeks
TRIBE
TEAMS
Super sprint
12 weeks
Sprint 1
2 weeks
Sprint 2
2 weeks
Sprint 3
2 weeks
Sprint 4
2 weeks
Sprint 5
2 weeks
Sprint 6
2 weeks
25

M. Pochinok, 2016
Tribe stream
Epic
Feature
Story
Description of customer experience with
products or services
Working in Agile
Description of one element of customer
experience or service
Example of entire customer experience
with products or services
A way to achieve business results in a
certain business segment

M. Pochinok, 2016
Working in Agile
TRIBE
TEAMS
Super sprint
12 weeks
Sprint 1
2 weeks
Sprint 2
2 weeks
Sprint 3
2 weeks
Sprint 4
2 weeks
Sprint 5
2 weeks
Sprint 6
2 weeks
Sprint
2 weeks
Tue Wed Thu Fri Mon Tue Wed Thu Fri Mon
T2
T3
T1 T4 T5
Daily stand-up
Team backlog update
Sprint planning Demonstration Retrospective
27

M. Pochinok, 2016
Working in Agile
 Super sprint planning is forming an objective and a backlog for the next super sprint, team
planning of backlog implementation and result achievement
 Sprint planning is forming sprint objective and backlog
 Daily stand-up is a daily meeting to make a day plan and define problems
 Backlog update is a meeting to plan the next sprint
 Demonstration is a working product demonstration, confirmation of sprint objective
achievement, and feedback collection
 Retrospective is discussion of factors that hinder effective performance, team work process
improvement

M. Pochinok, 2016
•Agile challenges
•How to overcome them
•What is the biggest challenge?

M. Pochinok, 2016
Contents
 Roles in Agile
 Agile culture
 Agile HR
30

M. Pochinok, 2016
Culture
ORGANIZATIONAL CHANGES
 Flattened structure
 Cross-functional teams
 High level of trust and authority delegation
 New competencies and design thinking
 Team goals
 Evaluation by peers
 Change of HR processes

M. Pochinok, 2016
T-shaped people

M. Pochinok, 2016
Culture. Personal qualities
 Self-ogranization
 Collaboration
 Empathy
 Acknowledgment of mistakes
 Result-focused approach
 Continuous self-improvement
 Psychological safety

M. Pochinok, 2016
Culture
CHANGE OF ATTITUDE AND VALUES
• Client-centric approach
• De-bossing
• Team goals over personal ambitions
• Enthusiastic and responsible team members
• Work environment is not politically charged
• Friendly motivating working climate
• Team members are encouraged to try new things and
not punished for mistakes
• Engaging in informal communication and immediate
feedback
• Free communications flow
• Living in uncertainty is normal

M. Pochinok, 2016
Culture
SPACE REMODELING
Open space
Team zones
Socializing zones
Dress code

M. Pochinok, 2016
Contents
 Roles in Agile
 Agile culture
 Agile HR
36

M. Pochinok, 2016
"Island changes"*)
The rest of the company:
• Continues operating as usual
• New structure is adopted stage-
by-stage
• Individual elements of a new
culture are implemented
throughout the company
Some employees act as a 'bridge'
between old and new structures
Pilot business units:
• New flattened structure, small
self-managed teams
• Standalone workplaces
• New motivation and outcome
measurement principles
• Digital culture
*)M. Rozin

M. Pochinok, 2016
Potential criteria for an 'island'
• Immediate significant effect for a client
• External threat level
• Limited group of business customers
• Optimal scale

M. Pochinok, 2016
How to start Agile if you are not 'on the island'
• Constantly ask yourself how the work that you do creates value for a client
• Ask for and create feedback from end client
• Build a cross-functional team to solve tasks
• Minimize formal document flow in favor of a more hands-on approach
• Encourage team members to experiment and prototype any solutions
• Adopt a less hierarchical team structure
• Establish 'organic' feedback
• Introduce visual team task management: Backlog Board and persons in charge. Immediate
significant effect for a client
• Have regular stand-ups to discuss work progress

M. Pochinok, 2016
Contents
 Roles in Agile
 Agile culture
 Agile HR
40

M. Pochinok, 2016
Talent Management Agile Talent Management
Planning for 12 months (from strategies and budgets to
development plans)
Planning by quarter
Unstructured appraisal practices / Large-scale and
non-dedicated programs
 Appraisal practices are unified so that to meet
positing groups (according to a job catalog*)
 Unique appraisal procedures for each position in a
job catalog
No individual development plan for every employee Every employee has their own development plan
Appraisal results are often not connected with
company training procedures
Appraisal results are directly connected with company
training procedures, including self-learning and
trainings
No regular screening of changes in values being
appraised
 Regular screening of changes in productivity,
competence level, and training results of all
employees
 Changes in these values are considered for individual
business units and organizational levels
No single storage for personnel data HRM systems aggregate all information about
employees (Success Factors, etc.)
Agile HR

M. Pochinok, 2016
Managers make TM decisions based on their own
vision of company development
OR
Use benchmarking, i.e. best practices of other
companies
TM decisions are based on their company's data
One long-term solution option both for company in
general, and individual employees
Several TM solutions options for possible scenarios
both for company's high level, and individual
employees
No outsourcing Active outsourcing when internal resources are not
enough
Agile HR

M. Pochinok, 2016
TM KPIs are either not measured at all, or measured
irregularly
Quarterly measured TM KPIs, including:
 Employee turnover
 Customer satisfaction
 Personnel satisfaction, loyalty, and engagement
 Position filling rate
 (same development indicators for criteria being
assessed)
 etc.
Focus of managerial, stable competencies Focus on evaluation and development of qualities that
ensure efficiency in innovative environment
Agile HR

M. Pochinok, 2016
 Measurable (Data-driven)
 Technology-savvy
 Systemic (interrelated set of TM processes)
 Medium-term planning (fast hiring, fast replacement)
 Evaluation of qualities that ensure
 Flexibility and change implementation
Agile HR

M. Pochinok, 2016
Competencies of managers in Agile Talent
Management
According to DDI survey:
 Implement changes
 Being a leader (team building)
 Encourage others to participate in mission critical tasks
 Manage personnel of various age categories
 Encourage creative and innovative ideas of employees

agile Marina Pochinok_1_ENG-2

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