The Shu Ha Ri of Scale. Silicon Valley Agile Leadership Network 19 Jul 2016
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1 The Shu Ha Ri of Scale Silicon Valley Agile Leadership Network 19 Jul 2016
2 Certification The Scrum Alliance has approved as a Continuing Education course. You can get up to 16 Scrum Education Units (SEUs) in addition to 16 Project Management Institute PDUs by participating in a two day course. The Scrum@Scale framework is a minimal extension of the core Scrum framework created at Scrum Inc. that allows you to scale a Scrum implementation tailored to the unique needs of your company without introducing anti-scrum patterns or unnecessary waste. For example, Scrum@Scale can help you implement the Spotify model or improve your SAFe implementation and is compatible with LESS and NEXUS. 2
3 Scaling Scrum from 1986 to
4 Different Companies Have Different Needs A B C Large Defense Mid-size Software Growing Agile Native Contractor Company Company Name Classified Autodesk Spotify Top-down agile transformation motivated by perceived external market pressure Company vision to halve the cost of projects Key Context: Complex, integrated multiyear hardware/software projects Each project has one customer Reliability a key priority Must deliver to detailed contract requirements Opportunistic agile implementation triggered by acquisition of a small Scrum company Market leader Looking to stay ahead of competition Key Context: Redeploying a legacy software product to cloudbased SaaS model Goal to increase pace of innovation Historically, releases a disruption for customers Disruptive technology innovator with successful product looking to scale to keep up with demand Leadership are steeped in agile principles Key Context: Web/app-based product Product and company set up modularly Allows teams to work independently with minimal coordination Teams co-located 4
5 1 Strategic Objectives Determine Scaling Approach Product Innovation Follow the Rules Continuous Improvement Process Convergent Design Adapted from Michael Cottmeyer 5
6 Modular Framework for Scaling Scrum Leadership Development Product Ownership Cycle Metrics & Transparency Strategic Vision Backlog Prioritization Product & Release Feedback Scrum Master Cycle Backlog Decomposition & Refinement Cross-Team Coordination Continuous Improvement & Impediment Removal & Personnel Issues Organization Level Enterprise Business Unit Team Release Planning Team-Level Process Release Management 6
7 Scrum at Scale Modules are Defined by their Goals, Inputs and Outputs Goals Define what the module is intended to accomplish Inputs Outputs Describe the information or resources needed from other modules to accomplish those goals Outline what information or product this module generates that are needed by other modules ANY specific practice that meets the module s required Goals, Inputs and Outputs will work with all of the other Scrum at Scale modules This is Contract-First Design. Required Inputs Goals to be achieved Outputs to other modules 7
8 3 Modularity Supports Different Implementation Paths Start Current Name Classified Spotify Autodesk 8
9 starts with Leadership Development 2011 Scrum Inc Jeff Sutherland & Scrum Inc.
10 Moore s Law Applied to Software Transistors on a Chip Stories in a Sprint Beginner Ready Ready Done Done Continuous Delivery 10
11 DevOps automates the final, cost and labor-intensive step of delivering products and services to billions of global end-users in fractions of a second, transparently recalling them if necessary without penalty or cost, and ever so gradually refining, optimizing, and repairing them in real-time without interrupting the operation or daily lives of global end-users. David Rico, Business Value, ROI, & CoQ of DevOps,
12 Transformation Requires Leadership Sun Tzu Miyamoto Musashi Colonel John Boyd Without Agile Mindset in command, there will be no Agile Execution by the body!
13 Martial Arts are Simple but Not Easy Sifu Avi Schneier, Scrum Master Tai Chi champion Willy Wijnands, Eduscrum.com Aikido master 13
14 Agile Mindset - Female Variant Alelu Sutherland Jeff Sutherland & Scrum Inc.
15 Understanding Dual Operating Systems John P. Kotter. Accelerate: Building Strategic Agility for a Faster Moving World. HBR Press
16 Moving from Windows API to Mac OS 1. 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 16
17 General Electric Implements Dual Operating Systems Building a Software Start-Up Inside GE, Brad Power, Harvard Business Review, JANUARY 29, 2015 $1B investment in Silicon Valley startup in 2011 Revenue over $1B by How GE Applies Lean Startup Practices, HBR, Brad Power, APRIL 23, 2014 Fastworks uses lean startup principles and crossfunctional teams CEO helps teams sidestep corporate bureaucracy 17
18 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 provides insulation 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 Waterfall Translation Layer FrAgile 18
19 Generative Organization Can Deal With Organizational Debt Agile Enterprise Metrics th Hawaii International Conference on System Sciences Daniel R Greening, Senex Rex dan@senexrex.com 19
20 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 % increase in production and reduction in time to market Managers become leaders Sustainable Teams self-manage 20
21 Managers become Leaders Provide challenging prioritized goals for the teams Eliminate organizational debt Create a business plan/organization that works Provide all resources the teams need Identify and remove impediments for the teams Assure teams are set up to maximize velocity Remove waste - eliminate technical debt Hold Product Owners accountable for value delivered per point Hold Scrum Masters accountable for process improvement and team happiness Hold Development Teams accountable for quality increase and technical debt remediation 21
22 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 % increase in production Anti-fragile Teams drive strategy Company is customer facing 22
23 Descale the Organization First Jeff Sutherland & Scrum Inc.
24 Implementing Aggressive
25 9 Teams, 10 3-Week Sprints 25
26 Faster, Cooler, Cheaper Aggressive Scrum team is equivalent to 5 Scrum teams Faster - only takes a few sprints to boot up Cooler Product Owner is removing technical debt Points are allocated to innovation Teams are more motivated to produce better product Cheaper Product is produced at 20% of the cost of competitors products. 26
27 Theory of Transformation Jeff Sutherland & Scrum Inc.
28 Delivering the Steady State Universe Transforming the corporate universe through Scrum application. Diffusing The Cloud of Crap (von Clausewitz - the fog of war). Affecting real change (Musashi - short term and long term). Delivering real value. Stopping wasteful practices (Sun Tzu - win without fighting). Saving Companies (John Boyd - OODA loop) Jeff Sutherland & Scrum Inc.
29 Deal with Metaissues Change the organization eliminate organizational debt Align the organization every team has a clear prioritized backlog every sprint management is supporting, not disrupting the backlog Deliver early and often move teams toward deployment on sprint cadence or more often Scrum the Scrum use Scrum to continuously improve the transformation If 80% of 125 teams double production, there will be $100M of additional product development unleashed year after year Jeff Sutherland & Scrum Inc.
30 Three Key Components Need to Work Executive Action Team Change the rules Eliminate organizational debt Metascrum Establish Product Owner organization Align the enterprise with Product Owner team and management metascrum on sprint cadence Scrum of Scrums Responsible for deployment all teams together Real leadership - not just chatting about impediments Jeff Sutherland & Scrum Inc.
31 Transformation in a Nutshell Go See Visit - Visiting the Gemba. Leadership Workshop - get buy in! Executive Action Team Identified CSM/CSPO for the CPO/POs CPO Organization Established CPO Organization 2 day backlog refinement workshop EAT Team Established & Meeting (Needs a SM) CSM/CSPO training (Rinse and Repeat) PO & Team 1 day backlog refinement workshop Team Launches (Rinse & Repeat) Intensive Onsite Coaching Run the Assessment Tool after 3 Sprints Coach the Coaches - Build Communities of Practice Coaching Staff Augmentation Scaling for Targeted Groups On going assessment A3/Value Stream Mapping/Custom Workshops etc Jeff Sutherland & Scrum Inc.
32 Scrum Maturity Assessment Before After 1 Sprint Jeff Sutherland & Scrum Inc.
33 Agile Leaders Need to Understand Team Capabilities Scrum is continuous process improvement. Agile Leaders measure Scrum Masters on process improvement and team happiness. Spotify, Anders Ivarsson & Henrik Kniberg, Scrum Alliance Gathering Paris, 6 Feb Jeff Sutherland & Scrum Inc.
34 Two Best Metrics for Coaches Time to fix a defect. If this averages less than 24 hours the team s velocity will double. Measure of swarming. How well do individuals and interactions generate performance. Measure flow = actual work to do a story/calendar time to done If this is over 50% team velocity will double again Jeff Sutherland & Scrum Inc.
35 Next Steps After Getting Started Need to tie the Scrum Transformation to real improvements in Quality, Revenue, Profit. Need to demonstrate process improvements and waste elimination. Need to build case studies to record success. Extend Scrum to the business and sales divisions. Value Stream Mapping and Process Improvements (A3). Embedded coaches help drive these items Jeff Sutherland & Scrum Inc.
36 Real Results from Scale Pegasystems 10K 36
37 20 June 2016 Palo Alto Sponsored by SAP 37
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