translating agile for execs pmi pres 201411
DESCRIPTION
How to explain the benefits and the mechanics of Agile delivery to Executives so that they will understand it, support it and get actively engaged in the projects and the changes needed.TRANSCRIPT
Translating Agile into language that is meaningful for Senior Executives
Dennise Openshaw
PMI Sydney Meetup November 2014
Agenda
Introduc*on
Agile mechanics and benefits
Organisa*onal business strategy
Ac*ve execu*ve support for change
Thanks to Henrik Kniberg and Jim Highsmith
3
Introduction - me
4
Introduction - you
Tonight’s topic
Transla*ng Agile into language that is meaningful for Senior Execu*ves
Why?
“Support of top management is not sufficient……They must know what they are commiFed to….what they must do….Support is not enough: ac*on is required.”
W. Edwards Deming
Introduction
Ensuring we are on the same page re “Agile”
No plan Big upfront plan High level adap*ve plan
No design Big upfront design High level adap*ve design
No documenta*on Heavy Documenta*on Necessary documenta*on
Agile Waterfall Chaos
Thanks to: Henrik Kniberg
Agile mechanics and benefits
The mechanics
Code
Use Cases / Functional Specs
Requirements Gathering Project Plan/Estimation
Test & fix $
Integrate
Traditional lifecycle
Agile lifecycle Initial
Reqts & plan
Design Specifications
$
$
$
Release 1
Release 2
Release 3
The benefits
VersionOne – 7th Annual State of Agile Development Survey
The benefits
The Standish Group – CHAOS Report 2011 10
“In 2002, agile projects made up less than 2% of overall projects and less than 5% of new application development projects . Today (2011), agile projects account for almost 9% of all projects and 29% of new application development projects…. The increase in project success rates can directly tie back to projects resolved through the agile process”"
The benefits
Real world example
• 5th aFempt at a project • All previous aFempts failed business case
• Previous es*mates ranged from $10-‐30 million & were 12 months+ • Agile pilot project completed for:
o 3 months
o $2.8 million
Organisational business strategy Responsive organisation IT as a business investment Enhance customer experience Mitigate business risk
Responsive business strategy Efficiency Responsiveness
?
Responsive business strategy
To-‐do list for CEOs Top issues facing CEOs 3 key success factors
1. Finding and retaining the best talent
2. Making technology a compe**ve advantage
3. Con*nuously enhancing client service
4. Posi*oning yourself in a global marketplace
5. Developing the right corporate culture
1. Talent acquisi*on, development and reten*on
2. Disrup*ve technology 3. Globaliza*on 4. Cybersecurity 5. Economic Uncertainty
1. Embody crea*ve leadership 2. Build opera*ng dexterity 3. Reinvent customer
rela*onships
Jay Hooley CEO State Street Kenneth Freeman – Dean Boston University School of Management
IBM report on “Capitalising on Complexity”
Responsiveness Efficiency
Responsive business strategy
“The Agile movement has the poten*al to be absolutely strategic to businesses, par*cularly those whose overall strategy focuses on responsiveness over efficiency.”
Jim Highsmith – AdapUve Leadership, AcceleraUng business agility.
Responsiveness Efficiency
IT as a business investment Cost Value
?
IT as a business investment
“…..well-‐managed IT organiza*ons are not just cost centres but valuable business partners …..(companies) must….become as adept at calcula*ng the value of IT investments as they are at calcula*ng the costs”
PWC – “IT moves from cost centre to business contributor”
Cost Value
IT as a business investment
“….*me turns out to be a more important factor in organiza*onal performance than tradi*onal financial measurements. When you focus on *me, you tend to get both greater responsiveness and lower cost.”
Steve Denning
Cost Value
Enhancing customer experience
?
Predictability Innova*on
Enhancing customer experience Predictability Innova*on
”….you cannot afford to stay s*ll -‐ business is a moving escalator. The world is moving around you -‐ customer expecta*ons are changing, compe*tors are always catching up and threatening to take away your business.”
Jackie Fenn, Gartner innovaUon specialist
Enhancing customer experience Predictability Innova*on
Mitigating business risk
?
Certainty Managed risk
Mitigating business risk Certainty Managed risk
Mitigating business risk
“It is not necessary to change. Survival is not mandatory.”
W. Edwards Deming
Certainty Managed risk
Organisational business strategy (recap) • Responsive business strategy
• IT as a business investment
• Enhancing customer experience
• Mi*ga*ng business risk
Responsiveness Efficiency
Cost Value
Predictability Innova*on
Certainty Managed risk
Active Executive Support for Change Executive sponsor involvement Business input Planning Team makeup
Executive sponsor involvement
Executive sponsor involvement
Monthly steer co
Executive sponsor involvement
Execu*ve sponsors aFend itera*on showcases and assist with ad-‐hoc escalated issues
Fortnightly showcase ++ Monthly steer co
Executive sponsor involvement
Fortnightly showcase ++ Monthly steer co
Execu*ve sponsors aFend itera*on showcases and assist with ad-‐hoc escalated issues
Cost Value
IT as a business investment
Business input
Business input
Involved start & end
Business input
Involved start & end Permanent team member
Business input
Involved start & end Permanent team member
Predictability Innova*on
Enhancing customer experience
Planning
Planning
Predic*ve planning
Planning
Predic*ve planning Adap*ve planning
Compara*vely less detail in ini*al plan with adap*ve planning throughout
Planning
Predic*ve planning Adap*ve planning
Compara*vely less detail in ini*al plan with adap*ve planning throughout
Certainty Managed risk
MiDgaDng business risk
Planning - Predic*ve
Thanks to: Henrik Kniberg
Planning - Adap*ve
Thanks to: Henrik Kniberg
Team makeup
Team makeup
Specialised
Team makeup
Specialised Cross func*onal
Team makeup
Specialised Cross func*onal
Responsive business strategy
Responsiveness Efficiency
Get support by aligning with the strategy
Responsive business strategy Responsiveness Efficiency
Involved start & end Permanent team member Predictability Innova*on Enhancing customer experience Business input
Fortnightly showcase ++ Monthly steer co Exec sponsor involvement
Specialised
Certainty Predic*ve planning Adap*ve planning Planning
Managed risk Mi*ga*ng business risk
Cross func*onal Team makeup
Cost Value IT as a business investment
Active Exec support needed Business strategies
One final thought
“If you want something new, you have to stop doing something old”
Peter F. Drucker
Questions?