Business Agility 2017 (final)

Business Agilitya l i t t le essay on new perspect ives

Business Agility

Fabio Armani

a l i t t le essay on new perspect ives

Davide Roitero“fast fish eat slow ones”

Alessandro Giardina“MVB: Minimum ViableBureaucracy! Fat fish eat too much fish ;)”

Daniel Palminsano“Competitive Marketplace. Ability to respond to change, custo0meer demands, …”

Daniela Cecchinelli“The idea of Business Value islinked to complexity.”

Stefano Muro“Manage the system, not the people.”

Anna Russo“Value is determined by customer feedback!”

Susanna Ferrario“Natural systems and evoluton”

Corrado Chiodi“… know how the value is moving and how it interacts with my whole system.”

Cinzia Pellegrino“… see the value as a complexity and systemic approach. We use value engineering...”

Setting the Stage

Setting the Stage

REASON WHY?

Business agility is the "ability of a business system

to rapidly respond to change by adapting its initial

stable configuration”

Business Agility

• Business agility refers to distinct qualities that allow

organisations to respond rapidly to changes in the

internal and external environment without losing

momentum or vision.

• Adaptability, flexibility and balance are three qualities

essential to long-term business agility.

Business Agility

The Challenge

The Challenge

EXPONENTIAL WORLD

Any sufficiently advanced technology is indistinguishable from magic

Arthur C. Clark’s 3rd Law

CENTURY OF SCIENCE AND

TECHNOLOGY

1900 2000

EXPONENTIAL GROWTH

Technology growth

Product Development

• Products that are built based on older technologies

follow a specific path from initial idea to a mature stable

product.

• New products, services and solutions follow a different

path…

The S-curve

Improvements in

performance varies

throughout the life of the

technology

Problem is that people in the

R&D phase may not be right

in the growth phase

Exponential trends can be

composed of a sequence of

S- curves where each curve

is faster

The S-curve

Disruptive stress or

opportunity

Key Topics

Key Topics

BUSINESS AGILITY

Comparing agile enterprises to

complex systems

Agile enterprises & complex systems

• Interactions,

• self-organizing,

• co-evolution, and the

• edge of chaos

are concepts borrowed from complexity science that can

help define some of the processes that take place within an

agile enterprise.

complex : Interactions

• Interactions are exchanges among individuals etc.

holding a common vision and possessing the necessary

resources, behaviors, competence and experience in

aggregate.

complex : Self-organizing

complex : Self-organizing

• Self-organizing describes the spontaneous, un-

choreographed, feedback-driven exchanges that are

often found within agile enterprises.

• The creativity and innovation that arises from this self-

organizing process gives the agile enterprise an edge in

developing (and redeveloping) products, services, and

solutions for a hypercompetitive marketplace.

complex : Co-evolution

complex : Co-evolution

• Co-evolution is a key process through which the

enterprise learns from experience and adapts.

• The agile enterprise is constantly evolving in concert with

(and in reaction to) external environmental factors.

• Products and services are in a constant state of change.

• In one sense, nothing is ever completely "finished”.

complex : Edge of chaos

EDGE OF CHAOS

ED

GE

OF

OR

DE

R

complex : Chaordic

complex : Chaordic

Dee Hock – founder & CEO emeritus VISA

Options

Options

THINKING TOOLS

User Story Mapping

this is only an

example taken

from many

thinking tools

From “User Story Mapping” by Jeff Patton

Story Mapping Workshop

Backbone

Walking Skeleton

User Activity

User Task

User Task

User Task

Backbone

WalkingSkeleton

JIRA Component

JIRA Epic

JIRA Story

User Activity

User Task

Story

Story

Story

Story

Story Story

Story

Un-planned stories

Next Release

Agile Product OwnershipWhy?

Outcome

Specification

How?Earlier Later

Impact MappingGoals

Impacts

Deliverables

Story MappingUser Activities

Epics

Specification-by-Example

AcceptanceCriteria

Examples

Code

User Stories

courtesy of: Christian Hassa

Agile enterprise versus bureaucracy

Agile : enterprise

• Operating in hypercompetitive, continuously changing

markets, agile enterprises pursue a series of temporary

competitive advantages — capitalizing for a time on the

strength of an idea, product, or service then readily

discarding it when no longer tenable.

Agile : enterprise

Business Agility

Continuous Delivery

Agile Delivery

Agile Development

Four stages of an

Agile Enterprise

Agility start with the

development team,

than expands through

operations until the

entire business is

aligned tp give the

customer better value,

faster.

organizational : Agility

Habits

Ecosystem

Culture WHY

HOW

WHAT

organizational : Agility

Habits

Ecosystem

Culture WHY

HOW

WHATOrganizational Agility is a culture

based on the values and

principles of Agile, supported by

the organizational ecosystem and

manifested through personal and

organizational habits

(how work really gets done).

traditional versus creative economy

• The Traditional Economy had to choose between

disciplined execution vs continuous innovation

Bureaucracy

Team

innovation

dis

cip

lined

execution

• The Creative Economy achieves both disciplined

execution and continuous innovation

Bureaucracy

Team

innovation

dis

cip

lined

execution AGILE

This is a basic change in mindset!

Bureaucratic Org

• Internally focused

• Fixed mindset

• Defend existing advantages

• Make money for stakeholders

Agile Org

• Externally focused

• Growth mindset

• Create new advantages

• Deliver value to the customer

Managers

CustomerTeams

Business Agility

Business Agility

sense respondBusiness

Agilityadapt

Business Agility

sense respondBusiness

Agilityadapt

• Listen to trends

• Innovation at the Edges

• Track Leading Indicators

• Predictive Analytics

• Rapid Prototyping

• Decentralized decision

making

• Assess results and modify

experiments

• Reconfigure Operations

• Scale or shrink on

demand

• Continuous

Improvement

• Ability to Experiment

• Speed to market

• Scale rapidly

• Decisions based on

Insights

• Ability to reconfigure

operations quickly

Agile : enterprise

BUSINESSAGILITY

SENSE, CREATE &RESPOND TO CHANGE

PORTFOLIOAGILITY

OPTIMIZE FORBUSINESS VALUE

EXECUTIONAGILITY

DELIVER VALUEFASTER

Real World

THE REAL WORLD DOESN’T REWARD PERFECTIONISTS.

IT REWARD PEOPLE WHO GET THINGS DONE.

EXPERIENCES

Value Team

• The concept of Value team is an mashup of

two concepts:

– Discovery Track

– Extended Team (see Lean UX)

– Value Stream Map

this is only an

example taken

from many

experiences

ChangeUp CoP

A BetterWay CoP

Avalon CoP

Agile Portfolio Room

Operating at the edge of chaos

At the edge of chaos

• These structures — including a shared purpose or

vision, resource management aids, reward systems, and

shared operating platforms — often emerge from three

key organizational processes:

– strategizing,

– organizing, and

– mobilizing

edge of chaos : strategizing


• Strategizing is an experimental process for the agile

enterprise, in which individuals repeatedly generate

ideas (exploration), identify ways to capitalize on ideas

(exploitation), nimbly respond to environmental feedback

(adaptation), and move on to the next idea (exit).


Exploration

Exploitation

Adaptation

Exit

edge of chaos : organizing

edge of chaos : organizing

• Organizing is an ongoing activity to develop structures

and communication methods that promote serial

execution.

• It often includes defining a shared vision, as well as

systems and platforms, that ground the enterprise.

edge of chaos : mobilizing

edge of chaos : mobilizing

• Mobilizing involves managing resources, ensuring the

fluid movement of people between projects, and finding

ways to enhance internal and external interactions.

• Typically, enterprise values, personal accountability, and

motivational and reward systems are a key output of this

process.

Business Agility

Agile : enterprise

ThanksThanks

Business Agility 2017 (final)

Leadership & Management

Transcript of Business Agility 2017 (final)