Making the product shift - What the heck does that mean?1. © 2 0 1 9 P L A N V I E W , I N C . / /© 2 0 1 9 P L A N V I E W , I N C .
Making the Product Shift
What the heck does that mean?
Nov 7 2019
Jon Terry| Chief Evangelist, Lean-Agile Strategy
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Transforming Strategy to Delivery with Planview
THE CHANGING
WORLD OF WORK REALIZING
AGILE AT SCALE
MAKING THE
PRODUCT SHIFT
CREATING AN
INNOVATION CULTURE
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Entering the Age of Agile
Harvard Business Review Agile at Scale, Darrell K. Rigby, Jeff
Sutherland, Andy Noble, Accessed June 2018
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2019 Gartner Research Circle Agile in the Enterprise
The Methodology Wars Are Over
Finally! Kanban
and Scrumban
are now as
prevalent as
Scrum
63%use/plan to use Agile on the
business side
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Making the Product Shift
Gartner Move Away From Waterfall to Agile and Product-Centric Delivery Methods, Matthew Hotle, Nathan Wilson, 26 September 2018
All statements in this report attributable to Gartner represent Planview’s interpretation of data, research opinion or viewpoints published as part of a syndicated subscription service by Gartner, Inc., and have
not been reviewed by Gartner. Each Gartner publication speaks as of its original publication date (and not as of the date of this presentation). The opinions expressed in Gartner publications are not
representations of fact and are subject to change without notice.
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Allocating resources to work
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Why we have central IT budgeting
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Finance Drives Annual Planning
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Project funding assumption
Business
Case
Estimate
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Project funding assumption
Business
Case 1
Business
Case 2
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Stack ranking
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Allocations and Resource Pools
CIO
Business
Analysis
Resource
Resource
Resource
Resource
Development
Resource
Resource
Resource
Resource
Testing
Resource
Resource
Resource
Resource
Operations
Resource
Resource
Resource
Resource
Etc
PMO
Project 1
Project 2
Project 3
Project 100
The
Business
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Stack ranking
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Project success metrics
Actuals Estimate
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Project success metrics
Actuals Estimate
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Real Results are Rarely Reviewed
Business
Case
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Drawbacks of project funding
● Annual budgeting is slow and inflexible
● In a profitable market opportunity cost
vastly outweighs project expenses
● Temporary nature of project teams
doesn’t support continuous
improvement
● Focus on the project iron triangle (time,
cost, scope) and division into
development vs support organizations
encourages technical debt
● No accountability for true outcomes
Projects
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Letting work flow through teams
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These days we have
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And we are
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Long-lived, cross functional teams
Squads, Pods,
Crews etc
Has design, develop, test, and
deploy skills for 80% of work
SAFe assumes about 10 people
Work assigned to the squad
not squad members
May be Scrum or Kanban
Member can belong to only 1
squad
Front End Devs
QA &
DevOps
Back End Devs
PM & Design
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In long-lived Teams-of-Teams
ART, Flight, Tribe
Agile Release Train
5-12 teams
50-120 people
Below that, too much overhead
Above that, Dunbar’s number
and practical challenges with
meetings
Go
Kanban!
Go
Scrum!
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Operational VS
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An easy test
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Development VS
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Team of
Teams
Measuring Effectiveness
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Measuring Benefit Realization
Team of
Teams Q1 Q2 Q3 Q4
And So
On
Epics
Features
Early Indicators
Funnel KPIs
Revenue / Savings
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Early Indicators
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Eg. SaaS Funnel KPIs
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Capacity Planning
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Value Stream Funding
Q1 Q2 Q3 Q4 And So On
Big Product 12 (max) 12 (max) 12 (max) 10 10
Product
Family 1
7 7 5 (min) 5 (min) 6
Product
Family 2
6 6 5 (min) 5 (min) 6
The Next Big
Thing
1 1 4 6 8
Total 26 teams 26 teams 26 teams 26 teams 30 teams
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The real goal
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Too big to be Agile
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Just following the leader
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Sadly, not following the leader
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Autonomy with purpose
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Thank You!
Connect: Jon Terry, Chief Evangelist – Lean-Agile Strategy, Planview
Follow: @leankitjon
Read: Lean Portfolio Management for the Enterprise
Explore: planview.com/lean-agile-delivery