correlations between devops and holacracy

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www.ranger4.co m DevOpstasti c Correlations Between DevOps and Holacracy Helen Beal DevOpsologist @helenranger4

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Page 1: Correlations Between DevOps and Holacracy

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Correlations BetweenDevOps and Holacracy

Helen BealDevOpsologist@helenranger4

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Fanatical about making life on earth fantastic.

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Success

Learning

What’s in a name?The first US spacecraft to reach a celestial body

Crash landed on the dark side!

DEVOPS

Experimentation

Failure

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“Principles of official jurisdictional areas Every bureaucracy has its own special area: firemen do not arrest criminals, doctors do not empty bedpans, professors do not deliver mail.”  Max Weber

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“The authority to give commands is distributed in a formal way and regulated.”

Max Weber

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“Certain people have the right to control others, and this is spelled out clearly.”   Max Weber

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“…The work is a duty.”

Max Weber

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Culture and the Flow of Information

Source: Westrum, A Typology of Organizational Cultures, 2004

Pathological Bureaucratic GenerativeInformation is hidden Information may

be ignoredInformation is actively sought

Messengers are ‘shot’ Messengers are isolated Messengers are trainedResponsibilities are shirked

Responsibility is compartmentalized

Responsibilities are shared

Bridging is discouraged Bridging is allowed but discouraged

Bridging is rewarded

Failure is covered up Organization is just and merciful

Failure causes enquiry

Novelty is crushed Novelty creates problems Novelty is implemented

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“The most exciting breakthroughs of the twenty-first century will not occur because of

technology, but because of an expanding concept of what it

means to be human.”

John Naisbitt

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Correlations?

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Self-organising

teams

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No job titles, focus on roles

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Stephen Williams, VP Engineering

“Having the right vision and ability to choose your path has created motivation and desire to succeed across our teams. It’s inspiring them to want to deploy faster and create 

opportunities for the business to learn quicker about new features. Having standards for tooling and best practices is helping to create a culture where more collaboration and sharing of ideas is starting to happen so we only solve 

problems the one time.”

Benefits

• Deploy faster• The business learns quicker• More collaboration and sharing of ideas• Barriers broken down• Speaking the same language, sharing ideas

“Our TM DevOps Strategy has 

provided goals and a shared vision for our 

Teams.”

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Continuous Delivery Engineers

Scrum masters

Product Owners

Technical Leads

DBAs

Developers

QA and testers

Sys admins

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Flattened hierarchies and

distributed authority

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“Staff are now in control of their own shops. Hopefully they’re enjoying their work more. They’re creating something very different in each store. In the Kensington branch they sell a lot of Scrabble and Monopoly. In St Pancras it’s novellas that you might finish on your journey: ‘Those sell in huge quantities.’ In Trafalgar Square it’s Union Jacks; in Walthamstow, they shift ‘a ton’ of camera-lens mugs.”

James Daunt

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Peer based reviews

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Amplified feedback

loops / processing tensions

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The Three Ways

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Continuous funding

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Three Mistakes of Budgeting Process

1. Basing business decisions on a centralized annual budget cycle

2. Using the capability to hit budget targets as a key indicators of performance

3. Basing business decisions on the financial reporting structure of capital versus operating expense

Joanne Molesky

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Key Recommendations

• Use rolling forecasts• Apply dynamic resource allocation to reduces risk• Track products or services, not projects• Be flexible and apply control at the right level

Joanne Molesky

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Incremental, iterative

improvement

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MinimumViable Process

24 hours

2 - 4 weeks

Daily Scrum(15 minutes)

SPRINTNo changes allowed!

Burndown Chart

Team

Next Sprint

Sprint Planning Meeting(4 – 8 hours) Sprint Review

(2-4 hours)

Sprint Retrospectiv

e(1.5-3 hours)

Sprint Backl

og

Process

Backlog

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AgileDevelopment

Service Management

Organisational Management

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Transparency

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Automation

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DevOpstasticMartin Gutenbrunner

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Ideation

Integration

ValidationOperation

Realisation

DevO

ps

The DevOps Loop ©Ranger4

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In Conclusion

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"The world as we have created it is a process of our thinking. It cannot be changed without changing our thinking.”

Albert Einstein

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Organizing around people...

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Organisational EvolutionStage Typified by Current

ExamplesKey

BreakthroughsGuiding

Metaphor

REDConstant exercise of power by chief to keep troops in line. Fear is the glue of the organisation. Highly reactive, short-term focus. Thrives in chaotic environments.

• Mafia• Street Gangs• Tribal militia

• Division of labour• Command

authority

Wolf pack

AMBERHighly formal roles within a hierarchical pyramid. Top-down command and control (what and how). Stability valued above all through rigorous processes. Future is repetition of past.

• Catholic church• Military• Most government

agencies• Public school

systems

• Formal roles (stable and scalable hierachies)

• Processes (long-term perspectives)

Army

ORANGEGoal is to beat competition, achieve profit and growth. Innovation is key to staying ahead. Management by objectives (command and control on what; freedom on the how).

• Multinational companies

• Charter schools

• Innovation• Accountability• Meritocracy

Machine

GREENWithin the classic pyramid structure, focus on culture and empowerment to achieve extraordinary employee motivation.

• Culture driven organisations (e.g. Southwest Airlines, Ben & Jerry’s…)

• Empowerment• Values-driven

culture• Stakeholder

models

Family

TEALSelf-organising and self-managed teams with coaches when needed. Coaches do not have P&L responsibility or managerial authority.

• Spotify, FAVI, Morning Star, Waterstones

• Trusting those doing the job

• Autonomy, mastery and purpose

SystemFrom ‘Reinventing Organisations’ by Frederic Laloux

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StructureOrange Practices Teal Practices

1. Organisation Structure Hierarchical pyramid - Self-organising teams- When needed, coaches (no P&L 

responsibility, no management authority) cover several teams

2. Coordination Coordination through fixed meetings at every level (from executive team downward), often leading to meeting overload

- No executive team meetings- Coordination and meetings mostly ad hoc when needs arise

3. Projects Heavy machinery (program & project managers, Gantt charts, plans, budgets, etc.) to try and control complexity and prioritise resources

- Radically simplified project management

- No project managers, people self-staff projects

- Minimum (or no) plans and budgets, organic prioritisation

4. Staff Functions Plethora of central staff functions for HR, IT, purchasing, finance, controlling, quality, safety, risk management, etc.

- Most functions performed by teams themselves, or by voluntary task forces

- Few staff remaining have only advisory role

From ‘Reinventing Organisations’ by Frederic Laloux

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Human ResourcesOrange Practices Teal Practices

1. Recruitment Interviews by trained HR personnel, focus is on fit with job description - Interviews by future colleagues, focus is on fit with organisation and with purpose

2. Onboarding (Mostly administrative onboarding process) - Significant training in relational skills and in company culture- Rotation programs to immerse oneself in the organisation

3. Training - Training trajectories designed by HR- Mostly skill and management training

- Personal freedom and responsibility for training- Critical importance of common training that everybody attends

4. Job Titles and Job Descriptions

Every job has job title and job description - No job titles- Fluid and granular roles instead of fixed job descriptions

5. Individual purpose (It’s not the organisation’s role to help employees identify their personal calling)

- Recruitment, training, and appraisals used to explore juncture of individual calling and organisational purpose

6. Flexibility and time commitment

- Honest discussion about individual time commitment to work vs. other meaningful commitments in life

- High degree of flexibility in working hours, as long as commitments are upheld

7. Performance Management - Focus on individual performance- Appraisals established by hierarchical superior- Appraisal discussion aims for objective snapshot of past 

performance

- Focus on team performance- Peer-based processes for individual appraisals- Appraisal discussion turned into personal inquiry into one’s learning journey 

and calling

8. Compensation - Decision made by hierarchical superior- Individual incentives- Meritocratic principles can lead to large salary differences

- Self-set salaries with peer calibration for base pay- No bonuses, but equal profit sharing- Narrower salary differences

9. Appointment and promotions

- Intense jockeying for scarce promotion leads to politics and dysfunctional behaviour

- Silos – every manager is king of his castle

- No promotions, but fluid rearrangement of roles based on peer agreement- Responsibility to speak up about issues outside of one’s scope of authority

10. Dismissal - Boss has authority (with JR approval) to dismiss a subordinate- Dismissal mostly a legal and financial process

- Dismissal last step in mediated conflict resolution mechanism- In practice very rare- Caring support to turn dismissal into a learning opportunity

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Daily LifeOrange Practices Teal Practices

1. Office Spaces - Standardised, soulless professional buildings- Abundant status markers

- Self-decorated, warm spaces, open to children, animals, nature- No status markers

2. Meetings (Many meetings but few meeting practices) - Specific meeting practices to keep ego in check and ensure everybody’s voice is heard

3. Decision-making - High up in the pyramid- Any decision can be invalidated by hierarchical superior

- Fully decentralised based on advice process (or on holacratic decision-making mechanisms)

4. Conflicts (Conflict often glossed over, no conflict resolution practices) - Regular time devoted to bring to light and address conflicts- Multi-step conflict resolution process- Everyone trained in conflict management- Culture restricts conflict to the conflicting parties and mediators; outsiders are 

not dragged in

5. Information Flow - Information is power and is released on a need-to-know basis- Secrecy toward the outside world is the default position

- - All information available in real-time to all, including about company financials and compensation

- Total transparency invites outsiders to make suggestions to better bring about purpose

6. Values (Values often only a plaque on the wall) - Clear values translated into explicit ground rules of (un)acceptable behaviours to foster safe environment

- Practices to cultivate discussions about values and ground rules

7. Reflective Spaces - Quiet room- Group meditation and silence practices- Large group reflection practices- Team supervision and peer coaching

8. Mood Management - Conscious sensing of what mood would serve the organisation’s purpose

9. Community Building - Storytelling practices to support self-disclosure and build community

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Major Organisational Processes

Orange Practices Teal Practices1. Purpose (No practices to list to the purpose; self-preservation against 

competition is the key driver of decision-making)- Organisation is seen as a living entity with its own evolutionary purpose- The concept of competition is irrelevant; “competitors” are embraced to pursue 

purpose- Practices to listen into the organisation’s purpose

- Everyone’s a sensor- Large group processes- Meditations, guided visualisations etc- Responding to outside prompting

2. Strategy Strategy course charted by top leadership - Strategy courses organically from the collective intelligence of self-managing employees

3. Innovation and Product Development

- Outside in: customer surveys and segmentation define the offer- Client needs are created if necessary

- Inside out: offer is defined by purpose- Guided by intuition and beauty

4.  Supplier Management Suppliers chosen based on price and quality - Suppliers chosen also by fit and purpose

5. Purchasing and Investments

- Authorisation limits linked to level in hierarchy- Investment budgets steered by top management

- Anybody can spend any amount provided advice process is respected- Peer based challenging of team’s investment budget

6. Sales and marketing - Brands positioned to fit consumer segmentation (outside in)- Sales force driven by targets and incentives

- Marketing as a simple proposition: this is our offer to the world (inside out)- No sales targets

7. Planning, Budgeting and Controlling

- Based on “predict and control”- Painful cycles of mid-term planning, yearly and monthly budgets- Stick to the plan is the rule, deviations must be explained and gaps 

closed- Ambitious targets to motivate employees

- Based on “sense and respond”- No or radically simplified budgets, no tracking of variance- Workable solutions and fast iterations instead of searching for “perfect” 

answers- Constant sensing of what’s needed- No targets

8. Environmental and Social Initiatives

- Money as extrinsic yardstick: Only if it doesn’t cost too much initiate- Only the very top can begin initiatives with financial consequences

- Integrity as intrinsic yardstick: What is the right thing to do?- Distributed initiative taking, everyone senses the right thing to do

9. Change Management - Whole arsenal of change management tools to get organisation from A to B

- (“Change” no longer a relevant topic because organisation constantly adapts from within)

10. Crisis Management - Small group of advisors meet confidentially to support CEO in top-down decision making

- Communication only when decision is made

- Everyone involved to let the best response emerge from the collective intelligence

- If advice process needs to be suspended, scope and time of suspension is defined

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“Holacracy structures your organisation for 

evolution.”

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Be DevOpstastic