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theagileeleven.com
@theagileeleven
Making Work Better for Everyone -
An Introduction to Organisational
Agility
Bia Affonso / Kirsten Brown / Eduardo Nofuentes
The Agile Eleven
Hobart - June 2019
Eleven Nights series
The Agile Eleven
@theagileeleven
Our Clients
@theagileeleven
Our Clients
The Eleven Nights
@theagileeleven
The Eleven Nights
Learning / Practicing
Connecting / Having fun
What is agile?
@theagileeleven
ag-ile
adjective
“the ability to move quickly and easily”
What is agile?
@theagileeleven
Why it started?
@theagileeleven
Why it started?
@theagileeleven
4
Values
Individual & interactions
over
processes and tools
Responding to change
over
following a plan
Customer collaboration
over
contract negotiation
Working software
over
comprehensive
documentation
The Agile Manifesto
@theagileeleven
Customer Satisfaction
Deliver frequently
Work together daily
Motivated individuals
Face-to-face
communication Self-organising teams
Simplicity
Sustainable
development
Outcomes over outputs
Welcome change
Continuous improvement
Regularly reflect and
adjust
12
Principles
The Agile Manifesto
@theagileeleven
Agile Principles and Values by Jeff Sutherland
Truth in every COMMUNICATION
RESPECT for the
worth of every person
TRANSPARENCY of all
data, actions, and
decisions
TRUST that each person
will support the team
Commitment to the team
and to the team’s goals
shows COLLABORATION
KEY BEHAVIOURS THAT ENABLE THE AGILE
MINDSET
Agile is a mindset
@theagileeleven
From the article “What is Agile “by Steve Denning – Image inspired by Ahmed Sidky
Agile is a
MINDSET
Described by
4 VALUES
Defined by
12
PRINCIPLES
Manifested through an
UNLIMITED NUMBER OF
PRACTICES
Agile is a mindset
@theagileeleven
The three Waves of Agile by Charlie Rudd – Solutions IQ
3 waves of agile
How to achieve
organisational
agility
@theagileeleven
First…this is what disruption looks like
@theagileeleven
Developmental Agility
Lean Portfolio
Management
Ways of Working
System of Work
The Agile Eleven Approach to Organisational Agility
@theagileeleven
Developmental Agility
Lean Portfolio
Management
Ways of Working
System of Work
The Agile Eleven Approach to Organisational Agility
@theagileeleven
Ways of Working: The 11 steps
@theagileeleven
1. Start with the Purpose
2. Visualise the Work
3. Set up the right Operating Rhythm
4. Use Continuous Improvement Tools
Ways of Working
@theagileeleven
Ways of Working – Start with the Purpose
@theagileeleven
Ways of Working – Visualise the work
@theagileeleven
Ways of Working (also for Exec Teams)
@theagileeleven
Ways of Working – Operating Rhythm
@theagileeleven
Design and
run
experiment
(do)
Study
results
(check)
Evolve
model and
implement
changes
(act)
Create
hypothesis
(plan)
The Deming
Cycle
Ways of Working – Continuous Improvement
The benefits of
improving the ways of
working?
@theagileeleven
Improved
communication
Greater collaboration
Better productivity
Lift in employee
engagement
More transparency
Greater customer focus
@theagileeleven
Developmental Agility
Lean Portfolio
Management
Ways of Working
System of Work
The Agile Eleven Approach to Organisational Agility
@theagileeleven
1. What are the main objectives we are
trying to achieve?
2. Are we doing the right work to
achieve those objectives?
3. How are we measuring if we achieve
those objectives?
4. Is all the work we are doing for the
here and now?
Lean Portfolio Management
@theagileeleven
The Lean Enterprise – Humble, Molesky & O’Reilly
Lean Portfolio Management – 3 Horizons
@theagileeleven
HORIZON 1
• 0-12 Months
• Deliver Results same year
HORIZON 2
• 12-36 Months
• Emerging Businesses/ Initiatives that will form core business of
the future.
• Requires Investment
HORIZON 3
• 36 Months +
• Lean Start up Domain – Experiment – Many Initiatives will fail
• Limited Size Teams and Resources
• Innovation Accounting
Lean Portfolio Management – 3 Horizons
@theagileeleven
OKRs
Objectives &
Key Results
Lean Portfolio Management – OKR’s
@theagileeleven
Developmental Agility
Lean Portfolio
Management
Ways of Working
System of Work
The Agile Eleven Approach to Organisational Agility
@theagileeleven
1. Are we a customer led or a share price
led organisation?
2. Are we a collaborative or siloed
organisation ?
3. Do we really have a lean and agile
culture?
4. Do we have a Command and Control or
an agile leadership style organisation?
System of Work
@theagileeleven
We must shift the focus of
companies back to the customer and
away from shareholder value.
Companies should place customers
at the center of the firm and focus on
delighting them, while earning an
acceptable return for shareholders.
“the only valid purpose of a firm is to create a customer ” Peter Drucker
True customer focus: the shareholder value trap
@theagileeleven
True customer focus: yes. It can happen
@theagileeleven
True customer focus: yes. It can happen
@theagileeleven
OR
Do we have an agile and lean Culture?
@theagileeleven
“Value is always defined by the customer”…”Any activity that is unproductive or
does not add to the value of product is waste” The Toyota System
Build a culture in your
organisation or team where the
focus of everyone is on
eliminating waste, adding
value for the customer and
improving flow of work
Lean culture: waste, flow and value
@theagileeleven
PEOPLESTRUCTURES
ORGANISATIONAL
RHYTHM
PROCESSES,
TOOLS &
TECHNOLOGY
ORG
STRUCTURE
GOVERNANCE&
RISK
OPERATING
RHYTHM
KPIs &
TARGETS
FEEDBACK LOOPS
& METRICS
STRATEGY,
BUDGETING &
PLANNING
TALENT
MANAGEMENT
REM &
REWARD
POLICIES &
PROCESSES
TOOLS &
TECHNOLOGY
DECISION
MAKING &
APPROVALS
System of Work components
@theagileeleven
STATIC STRUCTURE
SILOED
HIERARCHICAL
FUNCTIONAL
FLUID AND DYNAMIC
CROSS FUNCTIONAL
NETWORK OF TEAMS
CUSTOMER CENTRIC
TRADITIONAL AGILE
System of Work: Organisational Structure
@theagileeleven
DETAILED PLANNING
RISK IS NOT WIDELY
KNOWN
HEAVY RISK REPORTS
AND STEERING
COMMITTEES THAT
EVALUATE RISK
AFTER THE FACT
ONGOING PLANNING
RISK IS
TRANSPARENT AND
COMMUNICATED
ITERATIVE
GOVERNANCE TO
LEARN AND REVIEW
TRADITIONAL AGILE
System of Work: Governance & Risk
@theagileeleven
TRADITIONAL
9-5 OFFICE HOURS
LACK OF INNOVATION
WASTEFUL MEETINGS
TEAMS HAVE SILOED
WORKING RHYTHMS
AGILE
OUTCOMES FOCUSED
(OFFICE OR REMOTE)
CONTINUOUS
IMPROVEMENT
MEETINGS THAT
DRIVE VALUE
TEAMS HAVE AN
ALIGNED WORKING
RHYTHM
System of Work: Operating Rhythm
@theagileeleven
TRADITIONAL
TOP DOWN
COMMUNICATION
NO CUSTOMER
FEEDBACK
IRREGULAR
FEEDBACK LOOPS
METRICS AS KPIs
LAGGING METRICS
AGILE
FREE FLOWING
COMMUNICATION
CUSTOMER
FEEDBACK
REGULAR FEEDBACK
LOOPS
OUTCOME FOCUSED &
LEADING METRICS
System of Work: Feedback Loops & Metrics
@theagileeleven
TRADITIONAL
INDIVIDUAL KPIs
SILOED
BEHAVIOUR
TARGETS MISALIGNED
TO STRATEGY
OUTPUT FOCUS
AGILE
TEAM KPIs
COLLABORATIVE
BEHAVIOUR
TARGETS ALIGNED TO
STRATEGY
OUTCOME FOCUS
System of Work: KPIs & Targets
@theagileeleven
TRADITIONAL
LACK OF VISION
STATIC STRATEGY
BUDGETS AS KEY
INDICATOR OF
PERFORMANCE
CENTRALISED
ANNUAL BUDGET
CYCLE
DEATH BY PLANNING
AGILE
INSPIRING VISION
EVOLVING STRATEGY
BUDGETS
NOT LINKED TO
PERFORMANCE
FREQUENT
AND
FLEXIBLE
EMBRACE AMBIGUITY
System of Work: Strategy, Budget & Planning
@theagileeleven
TRADITIONAL
HIRING
FOR
FUNCTIONAL ROLES
PROCESS-HEAVY
ONBOARDING
ANNUAL
REVIEWS
SKILLS TRAINING
AGILE
HIRING FOR
ACCOUNTABILITY AND
OUTCOMES
EMPLOYEE-CENTRIC
ONBOARDING
REGULAR COACHING
AND FEEDBACK LOOPS
HOLISTIC
DEVELOPMENT
System of Work: Talent Management
@theagileeleven
TRADITIONAL
ANNUAL
REVIEW
REWARDS
INDIVIDUAL
PERFORMANCE
INTERNAL RIVALRY
AND COMPETITIVE
CULTURE
AGILE
FREQUENTLY
ADJUSTED
REWARDS INDIVIDUAL
PERFORMANCE AND
TEAM CONTRIBUTION
EQUITABLE
TREATMENT AND
COLLABORATIVE
CULTURE
System of Work: Remuneration & Reward
@theagileeleven
TRADITIONAL
EXCESSIVE
POLICY
STRICT & LEGACY
PROCESSES
RISK AVERSE
BEHAVIOUR BASED
AGILE
MINIMUM VIABLE
BUREAUCRACY
MEANINGFUL
PROCESSES
TRUSTING
VALUES BASED
System of Work: Policies & Procedures
@theagileeleven
TRADITIONAL
RESTRICTING TOOLS
HINDERS
COMMUNICATION
USED TO FIX THE
WORK
AGILE
ENABLING TOOLS
FOSTERS
COMMUNICATION
INFORMS AND
SUPPORTS THE WORK
System of Work: Tools & Technology
@theagileeleven
TRADITIONAL
TOP DOWN DECISION
MAKING
DECISION IS BIASED
AND
NOT MEASURED
DECISION NOT LINKED
TO BUSINESS GOALS
CENTRALISED &
SLOW
APPROVALS
AGILE
FRONTLINE DECISION
MAKING
DECISION IS
MEASURED WITH
FEEDBACK LOOPS
DECISION IS LINKED
TO BUSINESS GOALS
DECENTRALISED &
RESPONSIVE
APPROVALS
System of Work: Decision Making & Approvals
@theagileeleven
Developmental Agility
Lean Portfolio
Management
Ways of Working
System of Work
The Agile Eleven Approach to Organisational Agility
@theagileeleven
2004 2009 2014 2016
Developmental Agility: A brief history
@theagileeleven
Its all about Strategy
(“Maximising Value Creation”)
Its all about Development
(“Maximising Value Creation”)
Paradigm #1 drives efficiency Paradigm #2 drives emergence & growth
Two organisational paradigms
@theagileeleven
Capacity
Capability
Confidence
(inner)
Coherence
The 4 Cs of Developmental Agility
@theagileeleven
Continuous Developmental
Feedback
The essential activity of Developmental Agility
@theagileeleven
Embracing
One’s “Edge"
Supportive
Environments
Embedded
Practices for
Development
Establishing the building blocks for developing
Developmental Agility
@theagileeleven
Developmental Agility
Lean Portfolio
Management
Ways of Working
System of Work
The Agile Eleven Approach to Organisational Agility
Q&A
Wrap up…
drinks & canapes
Thank you

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Making Work Better for Everyone - An introduction to organisational agility