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bridging the
management gap
Tiago Garcez
30/11/2012
agile coach & change agent
but what am I changing?
1. what is the “management gap” ?
2. what does an Agile organization look like ?
3. how can we bridge that gap ?
1. what is the “management gap” ?
2. what does an Agile organization look like ?
3. how can we bridge that gap ?
Org.
Leadership
Middle
Management
Delivery
& Support
Vision & Goals
Processes & Plans
Delivery
is it a hierarchical gap?
Agile Coaches
& Consultants
Delivery
& Support
Vision & Goals
Processes & Plans
Delivery
The Gap
is it a hierarchical gap?
Collaboration
Transparency
People
Organizational Leaders
or is it a communication gap?
Agile Coaches
& Consultants
Organizational Leaders
Speed & Efficiency
Increased Controls
Lower Costs
or is it a communication gap?
Agile Coaches
& Consultants
Organizational Leaders
WTF?!?
or is it a communication gap?
Agile Coaches
& Consultants
Organizational Leaders
The WTF Gap
or is it a communication gap?
Agile Coaches
& Consultants
we know how to fix these gaps though
communication: collaboration, transparency & social norms
hierarchical: top-down change
is there still another,
even deeper gap?
let’s back up a little
mule jenny and the revolution
two interesting questions emerging
what happens without central control?
Thomas Hobbes
solitary, poor,
nasty chaos
David
Hume
spontaneous
order
Adam Smith
can spontaneous order be productive?
it is even more productive!
the rise of the large corporations
economies of scale
scientific management
division of labor
processes
Bureaucratic
Large
Organizations
Small
enterprises
Non-standardized
Global
Corporations
Creative
Organizations
Niche
Competitor
Local
Business
manufacturing paradigm
two new challenges emerge
how can you thrive in a competitive market?
how can you thrive in a competitive market?
the birth of corporate strategy
Bruce Henderson
Boston Consulting Group
can you mass produce
with flexibility & quality?
can you mass produce
with flexibility & quality?
just-in-time
quality
eliminate waste
people
Taichi Ohno
Toyota
a new paradigm is emerging
knowledge economy
(enter Agile)
what is an agile organization?
how is it structured?
Agile
Product Owner
Story Points
Product Backlog
Priorities
Sprints
Continuous Improvement
Continuous Delivery
Collaboration
Flexibility
RoI
ValueWorking Software
People
Teams
Self-ManagementCommitments
Velocity
Value Stream
Retrospectives
Scrum
XP
BDD
TDD
Acceptance Criteria
Autonomation
Toyota
Lean
Kanban
Transparency
Respect
Craftsmanship
Quality
Testing User Stories
Continuous Improvement
Collaboration
Flexibility Value
People
Teams
Self-ManagementCommitments
Retrospectives
Transparency
Respect
Craftsmanship
Quality
Continuous Improvement
Collaboration
Flexibility
Value
People
Teams
Self-Management
Commitments
Retrospectives
Transparency
Respect
Craftsmanship
Quality
Continuous Improvement
Collaboration
Flexibility
Value
People
Teams
Self-Management
Commitments
Retrospectives
Transparency
Respect
Craftsmanship
Quality
organizational
culture
Continuous Improvement
Collaboration
Flexibility
Value
People
Teams
Self-Management
Commitments
Retrospectives
Transparency
Respect
Craftsmanship
Quality
non-hierarchical
Continuous Improvement
Collaboration
Flexibility
Value
People
Teams
Self-Management
Commitments
Retrospectives
Transparency
Respect
Craftsmanship
Quality
non-hierarchical
adhocratic
Adhocratic
Flat
Hierarchical
Bureaucratic
Agile
Enterprises
Bureaucratic
Large
Organizations
Small
enterprises
Non-standardized
Global
Corporations
Creative
Organizations
Niche
Competitor
Local
Business
Industrial Revolution
Bureaucratic
Large
Organizations
Small
enterprises
Non-standardized
Global
Corporations
Creative
Organizations
Niche
Competitor
Local
Business
Industrial Revolution
Adhocratic
Flat
Hierarchical
Bureaucratic
Rigid
Giants
Structured
Self-Management
Democratic
Corporations
Agile
Enterprises
Knowledge Economy
Bureaucratic
Large
Organizations
Small
enterprises
Non-standardized
Global
Corporations
Creative
Organizations
Niche
Competitor
Local
Business
Industrial Revolution
today a leader...
... tomorrow a follower
Adhocratic
Flat
Hierarchical
Bureaucratic
Rigid
Giants
Structured
Self-Management
Democratic
Corporations
Agile
Enterprises
Knowledge Economy
paradigm shift = “management gap”
Bureaucratic
Large
Organizations
Small
enterprises
Non-standardized
Global
Corporations
Creative
Organizations
Niche
Competitor
Local
Business
Adhocratic
Flat
Hierarchical
Bureaucratic
Rigid
Giants
Structured
Self-Management
Democratic
Corporations
Agile
Enterprises
PARADIGM
GAP
?
1. what is the “management gap” ?
2. what does an Agile organization look like ?
3. how can we bridge that gap ?
let’s take a closer look at this
Adhocratic
Flat
Hierarchical
Bureaucratic
what forces are at play here?
Adhocratic
Flat
Hierarchical
Bureaucratic
Structural Power
PEOPLE
Procedural Power
PROCESS
Adhocratic
Flat
Hierarchical
Bureaucratic
Structural Power
PEOPLE
Procedural Power
PROCESS
Adhocratic
Flat
Hierarchical
Bureaucratic
Emergent Leadership
PEOPLE
Collaborative & Learning
PROCESS
how do some market leaders stack up?
Adhocratic
Flat
Hierarchical
Bureaucratic
Semco
salesforce.com
Morningstar
Valve
Apple
Amazon
Google
Microsoft
Gore & Associates
GE
McKinsey
ebay
what’s life like on the upper-right?
what’s life like on the upper-right?
no bosses
define your own salary
experimentation is encouraged
transparency
democratic
teams
freedom as part of company’s DNA
responsibility
change, down in the trenches
Adhocratic
Flat
Hierarchical
Bureaucratic
bpost
best practices adopted at team level: sprints, backlogs,
taskboards, CI, ...
hierarchical gap: no support from senior management
no significant organizational change: but best practices remain
Adhocratic
Flat
Hierarchical
Bureaucratic
bpost
Adhocratic
Flat
Hierarchical
Bureaucratic
Belgacom
bpost
application teams: entire application teams working full-time in Scrum
good start: initiative supported at the director level
resistance to change: once we moved beyond development teams,
resistance to change starting creeping up
Source: Forrester
Adhocratic
Flat
Hierarchical
Bureaucratic
bpost
Belgacom
how did the paradigm gap manifest itself?
“they just don’t get it”
“fire the managers and this might work...”
“the agile enterprise is a myth”
but... hold on
why does this keep happening?
maybe we’re also guilty
of creating this gap?
?
1. what is the “management gap” ?
2. what does an Agile organization look like ?
3. how can we bridge that gap ?
to understand, let’s take a look at our market
“our market” = Agile coaches & consultants
(a) what are we selling ?
(b) how are we selling it ?
(c) how are we delivering our services ?
(d) how are we growing ?
(a) what are we selling?
professional services
the art formerly known as “consulting”
dogs
Market
 Share
LOWHIGH
LOW
HIGH
Market
Growth
Rate
$
?
Market
 Share
LOWHIGH
LOW
HIGH
Market
Growth
Rate Trainings
Certifications
Tools
Publications?
Agile Beyond
Software?
Agile Consulting/
Coaching
Outsourcing
Publications?
Agile Beyond
Software?
Market
 Share
LOWHIGH
LOW
HIGH
Market
Growth
Rate
Agile Consulting/
Coaching
Outsourcing
Trainings
Certifications
Tools
Publications?
Agile Beyond
Software??
?
Agile Consulting/
Coaching
Outsourcing
Trainings
Certifications
Tools
Market
 Share
LOWHIGH
LOW
HIGH
Market
Growth
Rate
(b) how are we selling?
some traditional consulting...
... and a whole lot of pimping
pimping?
our “outside in”
initiative will
focus on time-to-
market and
flexibility!
line manager
org
leader
I heard about
scrum, 1 or 2
pilots should
show results!
but we need
some help here...
(enter the “vendor”)
hey baby
“vendor”
I’ve got CSPs, CSCs,
PMPs, CSPOs, CSMs
I can even hook you
up with a PMI ACP, you
know, if you’re into
that kinda stuff...
pimp
agile consultants
pimp
agile consultants
pimp
agile consultants
pimp
whose objectives are met in this model?
pimp
Agile Consulting/
Coaching
Market
 Share
LOWHIGH
LOW
HIGH
Market
Growth
Rate
is this an agile engagement model?
why do we accept it then?
(c) how are we delivering our services?
ikea agile
ikea agile
not
started
in
progress
done
bjorgsjö taskboard
färgrik burndown
rotvik backlog
product backlog
varmluft user stories
user
stories
ikea agile
not
started
in
progress
done
bjorgsjö taskboard
färgrik burndown
rotvik backlog
product backlog
varmluft user stories
user
stories
the agile tooth fairy
(d) how are we growing?
Peter Senge
David Hume
on the
shoulders
of giants
Adam Smith
(2,000 years of western philosophy)
Henry Ford
Karl Marx
Taichi Ohno
Bruce
Henderson
Friedrich
Hayek
Edward
Tufte
Henri Poincaré
Fred Brooks
Richard Sennett
William
Deming
Frederick Taylor
Max Weber Emile
Durkheim
Socrates
Isaac Newton
Henry
Mintzberg
Peter Senge
David Hume
Adam Smith
(2,000 years of philosophy)
Henry Ford
Karl Marx
Taichi Ohno
Bruce
Henderson
Friedrich
Hayek
Edward
Tufte
Henri Poincaré
Fred Brooks
Richard Sennett
William
Deming
Frederick Taylor
Max Weber Emile
Durkheim
Socrates
Isaac Newton
Henry
Mintzberg
on the
shoulders of
confirmation bias
branching outside our comfort zone
Agile Beyond
Software?
?
dogs
Market
 Share
LOWHIGH
LOW
HIGH
Market
Growth
Rate
so, root causes for the gap?
mis-aligned vision: manufacturing vs. knowledge paradigm
pimping: lone gun-slingers vs. professional services
ikea agile: there are no silver bullets
missing big-picture: we need to reach outside of our comfort zone
so what can we do about it?
understand the context
align expectations  change objectives
Adhocratic
Flat
Hierarchical
Bureaucratic
best
practices
structured
start-up
benevolent
dictator
continuous
improvement
Adhocratic
Flat
Hierarchical
Bureaucratic
Adhocratic
Flat
Hierarchical
Bureaucratic
Adhocratic
Flat
Hierarchical
Bureaucratic
understand the nature of our market
consulting, not software development
agile consulting
pimps
what would an agile consultancy look like?
agile “consultants”
pimp
line manager
organizational
leader
?
agile “consultants”
pimp
line manager
organizational
leader
listen to our clients
irony is an agilist saying “that’s not how we do things”*
* @davidhussman at Agiles 2009, Florianopolis, Brazil
think beyond software
cross-pollination of ideas
challenge ourselves with bigger questions

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