scrum@scale: the path to agilescale: the path to agile ... agile enterprise metrics - 2015 48th...

Scrum@Scale: The Path to Agile 30 Years of Large-Scale Agile Transitions

Agile Amsterdam 2017 - Tobacco Theatre

© 1993-2017 Jeff Sutherland & Scrum Inc.

“We want the True Scrum!” Akihito Fujii, GM Enterprise Product Management, KDDI

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Nonaka-san and Kenji Hiranabe showingPhoto of Takeuchi, Sutherland, Nonaka


First: Do Things That Don’t Scale

In order to scale, you have to do things that don’t scale. It may sound counter-intuitive. But in order to scale, you have to get your hands dirty. Hand-craft the core experience. Serve your customers one-by-one. And don’t stop until you know exactly what they want. That’s what Airbnb CEO Brian Chesky did.

Tim Ferris interviewing Reid Hoffman, host of “Masters of Scale.”

One of the most common types of advice we give at Y Combinator is to do things that don't scale.

Paul Graham

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https://overcast.fm/+ELdU-vFQo/25:37

https://overcast.fm/+ELdU-vFQo/25:37


Scrum@Scale Works in Four Dimensions

• Scale = number of coordinating teams; complexity of projects

• Distribution = number of different coordinated geographic locations

• Saturation = Agile principles pervade the organization; break down traditional “silos”

• Velocity = 10 teams going 5 times as fast is the same at 50 competitor teams and cost is 20% of the competition

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Distribution

Saturation

Scale

The fourth dimension is velocity

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Lean, Scrum & Agile: What’s the connection?

Lean Scrum Agile

Inspired One Parent

1950’s 1990’s 2001

Implementation

2014

© 1993-2017 Jeff Sutherland & Scrum Inc.6

Case Studies ScrumInc Transformations

@© 1993-2016 Jeff Sutherland & Scrum Inc.

Scrum Deployment Driven by Exponential technologies1. Sensors - Internet of Things 2. Artificial Intelligence / Machine Learning 3. Robotics 4. Solar PV 5. Energy Storage 6. 3D Printing 7. 3D Visualization 8. Mobile Internet & Cloud 9. Big Data / Open Data 10. Aerial Vehicles / Nano Satellites 11. eMoney / eFinance


Case Study: GE Digital 2015

• $1B startup in Silicon Valley • 1000 developers by 2015 >3B revenue • 36000 developers in 2016 • 1917 GE moves corporate headquarters to

Scrum technology area in Boston

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Revenue: $123.7BMarket Cap: $263.36B


Case Study: 3M• Sales: $31 Billion • R&D: $1.7 Billion • Market Cap $113.52B

9We have seen some teams reach, we’ve been tracking the percent change, … 500 percent increase in velocity. Tammy Sparrow

Presented at Give Thanks for Scrum. Cambridge, Nov 2016


Case Study: 3M-HIS

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Executive Meta Scrum

EAT

PeopleOps

People Operations(Agile HR)

Communitiesof Practice

PeopleOps

CR

CoP

CoP

CRCustomerRelations

and Intelligence

CCPO MS

S

CPOMS

SoS

SoSoS

CPOMS

SoS

CPOMS

SoS

CPOMS

SoS

CPOMS

SoS

Know

ledge Teams (on Team

s)

Infr

astr

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re T

eam

s (o

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ams)

CCPO MS

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CPOMS

SoS

SoSoS

CPOMS

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CPOMS

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CPOMS

SoS

CPOMS

SoS

CCPO MS

S

CPOMS

SoS

SoSoS

CPOMS

SoS

CPOMS

SoS

CPOMS

SoS

CPOMS

SoS

CCPO MS

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CPOMS

SoS

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CPOMS

SoS

CPOMS

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CPOMS

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CPOMS

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CCPO MS

S

CPOMS

SoS

SoSoS

CPOMS

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CPOMS

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CPOMS

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CPOMS

SoS


Daily Scrum from the Team Perspective Single Team

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• SM - Protects The Team• Servant leader.• Complete Responsibility Through Trust• Coaches the Team & Product Owner in Scrum.• Implements the values of the Agile Manifesto.• Facilitates Scrum ceremonies.• Ensures work & impediments are made visible.• Maintains external radiators of team progress.• Encourages openness & transparency.• Identifies and ensures impediments are resolved.• Promotes Kaizen thinking and waste reduction.

Team

SM

P

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Descaling Case Study: SimpliVity


Scaling the SMSM

SM SM SM SM SM

SM SM SM SM SM

SM SM SM SM SM


Scrum-of-Scrums Perspective Example: 5 teams

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SO

• Scrum of Scrums Scales the SM • Surfaces & Removes Impediments• Mirrors Daily Scrum• Limits Communication Pathways• Achieves Communication Saturation• Cross-Team Coordination• Delivers potentially shippable increment of

product or service


Scrum-of-Scrums-of-Scrums Level 2 25 Teams of 5

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• Scrum of Scrums of Scrums• Surfaces & Removes Impediments• Mirrors Daily Scrum• Limits Communication Pathways• Increases Communication Saturation• Cross-Team Coordination• Delivers potentially shippable increment

of product or service

SoSoS


Executive Action Team Perspective Example: 125 Teams

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EAT

• EAT - Eats Impediments• Removes Impediments

not handled closer to the Team level

• Mirrors Daily Scrum• Limits Communication

Pathways• (300 vs. 195,000)

• Cross-Value Stream Coordination

• Ex: 625 People Coordinate in 60 min.

• Owns Organizational Transformation Strategy

• Executes Transformation Strategy or delegates it to the Agile Practice

SoSo SoSo

SoSo

SoSo SoSo


Scaling the POPO

PO PO PO PO PO

PO PO PO PO PO

PO PO PO PO PO


The Team PO Builds, Refines, Plans

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• PO - Sets Team Priorities• Servant Leader• 50% w/ Customer, 50% w/ Team• Single Backlog

• Stories • Epics

• What not How• Systems Thinking - Oversees the Whole• Sometimes referred to as Line PO• Complete Responsibility Through Trust• Known-Stable-Interface to the Enterprise

Team

PO

SM


CPO Meta Scrum Perspective Aligns, Refines, Plans

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• Sets Priorities for MultipleTeam• Mirrors Refinement and Planning• Single Backlog Pulled by Line POs

• Epics• Features

• Cross-Team Coordination & Alignment• Systems Thinking - Oversees the Whole

Meta ScrumCPO

PO

PO

PO

POPO


CCPO Meta Scrum Perspective Aligns, Decomposes, Refines

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• Sets Priorities for MultipleTeam• Mirrors Refinement and Planning• Single Backlog Pulled by Level 3 POs

• Features• Value Streams

• Cross-Team Coordination & Alignment• Systems Thinking - Oversees the Whole

CCPOMeta

Scrum

CPO

CPO CPO

CPO

CPO


Executive Meta Scrum Perspective Aligns and Sets Strategic Priorities for the Organization

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• Inhales Technical Priorities • Exhales Organizational Priorities • Mirrors Refinement & Planning

• Owns Organizational Vision

• Lead by the CCCPO• Servant Leader• CEO• SVP

• Single Backlog Pulled by CCPO• Value Streams• Initiatives

• Sets Organizational Priorities

CCPOMS

CCPOMS

CCPOMS

CCPOMS

CCPOMS

Executive Meta Scrum


Case Study: Scrum Team at SAAB Technologies

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Scaling SAAB Technologies to Hundreds of Teams Over 2000 People in 1 Hour!

• 8:30 Executive Action Team • 8:15 Scrum of Scrum of Scrum of Scrums • 8:00 Scrum of Scrum of Scrums • 7:45 Scrum of Scrums • 7:30 Daily Scrum

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CCPO MS

S

CPOMS

SoS

SoSoS

CPOMS

SoS

CPOMS

SoS

CPOMS

SoS

CPOMS

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CCPO MS

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CPOMS

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CCPO MS

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CPOMS

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CPOMS

SoS


Case Study: Toyota USA 2017• CSM and CSPO training for senior

management • Executive Action Team

• Agile Practice • Executive MetaScrum

• Rank ordered all Toyota projects • Some initial projects did better than 3 times

the work in 1/3 the time • Toyota Corporate Leadership committed to

Scrum pilots in Nagoya

• Challenges • Educating traditional waterfall management • Dealing with 70% outsourced to waterfall

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Mike Tromans, Engineering Manager, Digital Engineering, Toyota Production Engineering, 2017.


Case Study: BMW Revenue: 94.16B Euro Market Cap: 53.67B Euro

• All IT to Scrum immediately (>4000) • No waterfall will be allowed • Scrum will be pushed into manufacturing • Move from 70% outsourced to 70% insourced • Many experiments

• Advantages • Senior team is Knowledgeable

• Connected, electric, autonomous cars are upon us • Extreme sense of urgency • Culture of innovation

• Challenges • Connecting senior team vision with teams

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Scrum Training 17-21 July 2017 Tesla Factory

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1. Toyota, $155.88 billion market cap, 10.1 million sales 2. Daimler, (Mercedes-Benz), $70.35 billion, 3 million sales 3. Volkswagen, $67.24 billion, 10.3 million sales 4. Tesla, $60.28 billion, 76,230 sales 5. BMW, $54.77 billion, 2.4 million sales 6. GM, $51.45 billion, 9.6 million sales 7. Ford, $44.65 billion, 6.7 million sales

Market caps as of June 19 and 2016 worldwide sales


Case Study: Maersk 2016 Revenue: $47.57B Market Cap: $243.50B

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Mr. Skou said costs in Maersk Line were at an all-time low, dropping for the first time below $2,000 per container. Maersk Oil has pushed down its break-even level to between $40 and $45 a barrel from around $50 to $55.


The MoneyBall of Scrum

• 30% of staff have no clear priorities (GE better than average) • 64% of features are never or rarely used (Standish Group) • Average process efficiency is less than 15% (Mary and Tom

Poppendieck and Jeff Sutherland Lean Workshops MIT and Stockholm)

• (.70)(.36)(.15) = 3.8% company performance

• The good news about these horrifying averages is that increasing performance is easy!!!

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What if We Applied Scrum?

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3.8% to 17.1% = twice the work in half the time

• Cut useless work in half - Who is responsible for that? (only 15% of organization does obviously useless work)

• Double value delivery - Who is responsible for that? (only 33% of features delivered are rarely or ever used)

• Halve waste - Who is responsible for that? (improve process efficiency 15% -> 30%)

Leadership(85%)

* Product Owner(67%)

* Scrum Master(30%)

= 17.1% company performance


Moore’s Law Applied to Software

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TransistorsonaChip StoriesinaSprint

Beginner

ReadyReadyDoneDone

ContinuousDelivery


Understanding Dual Operating Systems John P. Kotter. Accelerate: Building Strategic Agility for a Faster Moving World. HBR Press 2014.

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Moving from Windows API to Mac OS1. Question I'm a Windows (native, not .NET) programmer and I'd like to port an application to the Mac. Actually, I believe it will be more of a rewrite, as the original depends on many ActiveX controls.

As I have never used a Mac in my entire life, I'll need some guidance. O:-)

Thanks in advance

2. Answer

Cocoa [Mac framework] is a very different way of thinking then MFC and its kin [Windows framework] …It is possible to write MFC-style code for Mac, but you will always be fighting the framework if you do.

You would be amazed how fast Objective-C can be to code once you understand the patterns. It really can be stunning compared to C++ in my experience…

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FrAgile - Shu State CEO does not have Agile Mindset

• Traditional management hierarchy creates project teams • “Scaling frameworks” are often used to provide scaffolding for the

legacy organization until it can evolve • This is a translation layer that protects the waterfall from

Agile and must ultimately be removed to get high performance

• Usually get 20-30% improvement in production although bureaucracy or changes in management often cripple and/or destroy agile implementation

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Waterfall

Translation Layer

FrAgile


Only Restructing the Organization Can Deal With Organizational Debt

Agile Enterprise Metrics - 2015 48th Hawaii International Conference on System Sciences Daniel R Greening, Senex Rex [email protected]

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mailto:[email protected]


Agile - Ha State CEO changes management roles

• Management coaches the teams to self-organize and self-manage. Managers become leaders.

• Teams self-form against a prioritized backlog to maximize production. • Leaders create virtual teams that drive communities of practice across

company. • Leadership refactors the organization - target is minimum 200-400%

increase in production and reduction in time to market

37Su

stai

nabl

e

Managers become leaders Teams self-manage


Anti-Fragile - Ri State The Leading Edge of Organizational Development

• Hierarchy still exists but becomes competency based and enabling

• Teams self-organize product direction and refactor the organization

• Leadership supports wherever their skills are needed • Swarming makes organization stronger under stress

and can generate 500-1000% increase in production

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Anti-fragile

Company is customer facingTeams drive strategy

@© 1993-2016 Jeff Sutherland & Scrum Inc.

Scrum is a productivity superweapon - it is shockingly efficient!Rick Horgan, Sr. Editor, Crown Business

scrum@scale: the path to agilescale: the path to agile ... agile enterprise metrics - 2015 48th...

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