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Five Leadership Lenses
for Agile Success
Rowan Bunning CST - October 2018 - London
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Rowan Bunning
• Background in object oriented & web development with vendors,
enterprise product development, start-ups & consultancies
• Introduced to eXtreme Programming in 2001
• Introduced Scrum organisation-wide in 2003-5
• Agile Coach / ScrumMaster at a leading agile
consultancy in the U.K.
• Have trained about 5,000 people in Scrum & Agile
• Certified ScrumMaster®
• Certified Scrum Product Owner®
• Advanced Certified ScrumMaster
• One of first Agile Coaches in Australia from late 2008
• Organiser of Regional Scrum Gatherings® in Australia
2005
2006
2008
2018
2017
2015
2010
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Leaders must create the conditions
in which Agile can thrive
Image credit: https://www.gandeste-pozitiv.ro/harnicia-si-perseverenta-desavarsesc-autodisciplinei/
“Trying to be Agile in a hostile organisational
culture is likely dropping a seed onto
concrete and expecting it to grow.” 

- Michael Sahota
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Objectives of this session
• Increase awareness of 5 key learnings areas necessary for leaders to
create the conditions for Agile success
• Pique your interest to learn more
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
The lenses
1. Sense Making lens - what is the problem contexts
and appropriate management approach?
2. Systems Thinking lens - what should our organisation be optimised
for and what are the dynamics?
3. Lean Thinking lens - how is our org. design relative to a customer
value focus?
4. Cultural Analysis lens - what are our implicit beliefs shaping
behaviour?
5. Self-Leadership lens - how do I show up as a leader to deal with
complexity?
Lens 1:
Sense making
what is the problem contexts and appropriate
management approach?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Sense Making - What and When?
What is it? Sensemaking is the ability or attempt to make sense of
an ambiguous situation. More exactly, sensemaking is
the process of creating situational awareness and
understanding in situations of high complexity or
uncertainty in order to make decisions. It is “a
motivated, continuous effort to understand connections
(which can be among people, places, and events) in
order to anticipate their trajectories and act effectively.
Particularly
useful when:
• Dealing with ambiguity
• Approaching a new or changed context
• Deciding what framework/method to adopt
• Deciding what style of leadership to use
• Deciding how to decide
Source: http://cognitive-edge.com/blog/what-is-sense-making/
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
The Cynefin sense making framework
Un-ordered
Unpredictable
Ordered
Predictable
Consistent outcomes
Kurtz, C. and Snowden, D. (2003). “The new dynamics of strategy: Sense-making in a complex and complicated world,” IBM Systems Journal, ISSN 0018-8670, 42(3): 462- 483.
ComplicatedComplex
Obvious
Chaotic
Disorder
Known Knowns
tightly constrained, no degrees of
freedom
Standard Operating Procedures
Sense, Categorise, Respond
C = E (obvious)
Known Unknowns
governing constraints
Expert mindset
Sense, Analyse, Respond
C & E separated over time
and space but discoverable
Unknown Unknowns
enabling constraints
Pattern-based leadership
Probe, Sense, Respond
C & E only coherent in retrospect and do
not repeat
Unknowables
lack of constraints
Novel practices
Stability-focused intervention
Act, Sense, Respond
No perceivable C & E
Applicability of predictive plan-
driven methods
Sweetspot for Scrum
Liminal space
Complex—> Complication transition
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Context
New insights from Inspecting changes the context
Change to context
Vision,
Outcomes, Goals
Empirical
inspect-adapt points
Better fit than could
be identified at the
outset
Apply Scrum to the
Problem, not just “delivery”
“Now that I see it, I
realise that this is not
quite what we need!”
– David Snowden
“You should manage in the complicated and complex
spaces and only move a small amount of material
down into the Obvious because that’s actually highly
vulnerable to rapid or accelerated change.”
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Managing in a Complex context
• Manage starting conditions
• Probe, sense, respond
• Set boundaries
• Create safe-fail environments and experiments that allow patterns to emerge
• Open up discussion
• Increase levels of interaction and communication
• Use methods that can help generate ideas
• Use distributed cognition
• Stimulate attractors
• Encourage dissent and diversity
• Monitor for emergence
Reference: Snowden, D. and Boone, M. (2007). “A leader’s framework for decision making,” Harvard Business Review, ISSN 0017-8012.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Emergent rather than imposed order
“Leaders who try to impose order in a
complex context will fail, but those who
set the stage, step back a bit, allow
patterns to emerge, and determine which
ones are desirable will succeed.”
Reference: Snowden, D. and Boone, M. (2007). “A leader’s framework for decision making,” Harvard Business Review, ISSN 0017-8012.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Example implication questions
Is it reasonable to:
• demand an accurate and precise prediction of something that is
unpredictable?
• blame developers for variability intrinsic to the domain that they find
themselves in?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Tool: identification of uncertainty and variability
Sources of uncertainty and
variability
Internal
External
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Tool: “…and the butterfly stamped” sense making method
ComplicatedComplex
Obvious
Chaotic
Answers from survey results
Source: Joseph Perline.
Disorder
Un-ordered Ordered
Ambitious
(political)
time-line
Fixing the
build
Finding who
to talk to
Knowing
when a task
is done
Monitoring
the actual
time spent
Featuritis
Arguing
about coding
standards
Retrospective
s without
consequence
Project
volume too
big
Changing
requirements
Countering a
belief in
magic
Task
Estimation
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Sense Making take-aways
Bottom line:
If you don’t know what problem domain you
are dealing with, you are not equipped to
select the right method or leadership
approach for the job.
Consequence:
Bad surprises, conflict, friction, poor results.
Image credits: cncrouterstore.ca/questions-ask-proper-tool-selection/ iStockPhoto.com
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Sense Making resources
For an executive overview of Cynefin:
https://hbr.org/2007/11/a-leaders-framework-for-decision-
making
To run a sense-making workshop:
“…and the butterfly stamped” sense making method: http://
cognitive-edge.com/basic-methods/and-the-butterfly-stamped/
Cognitive Edge website: http://cognitive-edge.com
www.hbrreprints.org
A Leader’s Framework
for Decision Making
by David J. Snowden and Mary E. Boone
Wise executives tailor their
approach to fit the complexity
of the circumstances they face.
Reprint R0711C
Lens 2:
Systems Thinking
what should our organisation be optimised for and what
are the dynamics?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Systems Thinking - What and When?
What is it? Systems Thinking is a way of helping a person to view
systems from a broad perspective that includes seeing
overall structures, patterns and cycles in systems, rather
than seeing only specific events in the system.
Particularly
useful when:
• The issue is important.
• The problem is chronic, not a one-time event.
• The problem is familiar and has a known history.
• People have unsuccessfully tried to solve the problem
before.
Source: https://thesystemsthinker.com/systems-thinking-what-why-when-where-and-how/
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Agile is not the Goal
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
What happens when the goal is to "adopt Agile”
• “people confuse rituals with intent”
• People cherry pick what is easy and/or fashionable to adopt rather than what is impactful
(toward undefined aspiration)
• People interpret it as whatever suits their local interests
• Plausible deniability
• Combined with deadline pressure and resource efficiency, starved of time to learn
• Results in change theatre without impactful change
• Feet are on the accelerators and brakes simultaneous… without people realising it
• Adoption stalls prematurely
• Is fragile and likely to be undone by influential people not aligned to the non-existent goal
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
agility is not the same as “faster delivery”
“Agile does not mean delivering faster. Agile does not mean fewer
defects or higher quality. Agile does not mean higher productivity. Agile
means agile - the ability to move with quick easy grace, to be nimble
and adaptable. To embrace change and become masters of change - to
compete through adaptability by being able to change faster and
cheaper than your competition can." - Craig Larman
“Agility is the ability to both create and respond to change in order to
profit in a turbulent business environment.” - Jim Highsmith (Manifesto
co-author)
“We considered a bunch of names, and agreed eventually on “agile” as we
felt that captured the adaptiveness and response to change which we felt
was so important to our approach." - Martin Fowler (Manifesto co-author)
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Which has agility?
Source:YouTube Source: invorma.com/16-super-jumping-animals
or
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Where the term “Agile” came from
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
• A given system has finite performance characteristics
• Your organisation is optimised to produce the results is currently produces
• To produce different results, you need to change the system
To get from Sydney to Canberra… To get from Sydney to London…
Systems
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
What we call a Car/“Agile” can have vastly
different performance characteristics
Hennessey Venom F5
?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Instruction: Write “Current:” then one of the following on a sticky/card.
Which is the current optimising goal at your organisation?
Current:
__________
adaptability / agility
highest customer value
lead time
management prestige
internal stakeholder
satisfaction
predictability
innovation
employee
engagement
shareholder returns
resource utilisation
learning
profittechnical excellence
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Instruction: Write “Most effective:” then one of the following on a sticky/card.
Which optimising goal would be most effective for your organisation?
Most effective:
__________
adaptability / agility
highest customer value
lead time
management prestige
internal stakeholder
satisfaction
predictability
innovation
employee
engagement
shareholder returns
resource utilisation
learning
profittechnical excellence
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Shorter Lead Time is only an enabler
shorter lead time
in order to have
agility / adaptiveness
discovery and delivery of highest value to customer
in order to have
high order capability
low order capability
lower cost of change
Assumption: this is not
achievable solely
through up-front analysis
business success
The goal of too many “Agile”
adoptions stops here
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
The “faster delivery” trap
• Increased pressure on “delivery” group
• Starved of time in the learning zone
• High utilisation, further slowing throughput (vicious cycle)
• Accumulation of technical debt, poor design, defects etc.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Obliquity
“The environment – social, commercial, natural – in which
we operate changes over time and as we interact with it.
Our knowledge of that complex environment is necessarily
piecemeal and imperfect. And so objectives are generally
best accomplished obliquely rather than directly.”
- Kay, John. Obliquity (p. 8). Profile Books UK. Kindle Edition.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
11 Laws of Systems Thinking
1. Today’s problems come from yesterday’s solutions
2. The harder you push, the harder the system pushes back
3. Behavior grows better before it grows worse
4. The easy way out usually leads back in
5. The cure can be worse than the disease
6. Faster is slower.
7. Cause & effect are not closely related in time & space.
8. Small changes can produce big results, but areas of the highest leverage are often least obvious.
9. You can have your cake & eat it too but not all at once. Not either/or. allow time for solutions to
work.
10.Dividing an elephant in half does not product two small elephants
11.There is no blame
Source: https://www.thoughtexchange.com/the-11-laws-of-systems-thinking-and-stakeholder-engagement/
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
The Systems
Thinking Iceberg
– Gerald Weinberg (R.I.P.)
“Weinberg-Brooks’ Law: More software projects
have gone awry from management’s taking
action based on incorrect system models than
for all other causes combined.”
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Causal Loop Diagram notation
O
population
demand for
resources variables
causal link
opposite effect
constraint
C
delayed effect
QF quick-fix reaction
R1
reinforcing
feedback loops
R2 with even
number of
opposite effects
O
O
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
CLD: Time pressure dynamic
perceived time pressure
command & control
behaviour
time in learning zone
capability improvement
O
O
O
Belief: we get predictability and best
performance by having people make
scope & date commitments
R1
R2
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
CLD: Product knowledge loss dynamic
pressure to accomodate unplanned
initiatives within existing teams
hiring of temporary
contractors
product design knowledge
retained
enhancement and
maintenance costs
overall workload
Constraint: pre-committed
work over many months
C
O
O
R1
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Systems Thinking take-aways
Bottom line:
If you don’t have an optimising goal,
no-one can objectively judge whether
a practice is “good” or “bad”.
“It works” is insufficient.
Consequences: superficial mimicry,
adoption shaped by comfort zone of a
few
Image credit: bigstockphoto.com/image-110113352
Leadership behaviours:
• Build alignment around “Why?” change
and “What?” outcome from the change
• Create alignment as to the optimising
goal for the organisational system.
• Eliminate misalignments with the
optimising goal.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
What, Why
Why?
The motivation for this
undertaking.
You may also see here
leading indicators of
success.
What?
This is about the result: what
we want want to achieve.
The outcome we are looking
for as an organisation
See: http://agilitrix.com/2014/06/agile-is-not-the-goal-workshop/
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Systems Thinking resources
• Systems Thinking on the LeSS website: https://less.works/less/
principles/systems-thinking.html
• Senge, P. (2006). The Fifth Discipline: The art and practice of
the learning organization. Random House Business,
Lens 3:
Lean Thinking
how is our org design relative to a customer value focus?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Lean Thinking - What and When?
What is it? Lean Thinking is a philosophy and business method that
aims to provide a new way to think about how to
organise human activities to deliver more benefits to
society and value to individuals while eliminating waste.
Particularly
useful when
• Doing organisation design for an Agile org.
• When optimising for highest customer value
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Choose the right sort of Lean
1950 1960 1970 1980 1990 2000 2010
Product innovation
Manufacturing, operations
Toyota
Production
System
Second Generation
Lean Product
Development
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Ingredients in Scrum
The New, New Product
Development Game Time-boxes
Iterative, Incremental
Development
Smalltalk
Development Tools
Scrum
Source: Ken Schwaber.
Lean
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Lean Thinking House
How many of these principles is
your current organisation design
and culture based on?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
“Delivery speed” can be achieved by reducing batch size
Batch 1 Batch 2 Batch 3 Batch 4 Batch 5 Batch 6 Batch 7 Batch 8 Batch 9 Batch 10
Batch 1
Batch 1 Batch 2
Batch 1
Batch 2 Batch 3 Batch 4 Batch 5
Time
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Queues
Value adding time
Wait time
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Lead time vs Cycle time
Item added to
Product
Backlog
Released and
available for use
Cycle time
Lead time
Start of
Development
on Item
Potentially
Releasable
Product
Increment
© 2008-18 Scrum WithStyle scrumwithstyle.com
Water-Scrum-Fall anti-pattern
💡 $
ArchitectsBusiness AnalystsProject Control
Board
User Reps Operations
SIT UAT
System
Testers
Deployment
😞
Benefits Realisation
begins
Business case
Big Batch
Specification
Big Batch
Project Scope
Product
Backlog Current Product
Users
Limited Coverage
Agile Team
Programmers & Testers only
Months
2 weeks
each iteration
Months
Released
Dependent on other
groups to get anything
specified or released
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Fully cross-functional, not just partially
“Development Teams are cross-functional, with all the skills as a
team necessary to create a product Increment”
- The Scrum Guide (2017)
The Scrum Guide™
The Definitive Guide to Scrum:
The Rules of the Game
November 2017
Developed and sustained by Scrum creators: Ken Schwaber and Jeff Sutherland
© 2008-18 Scrum WithStyle scrumwithstyle.com
😞😃
End-to-end Cross-functional Teams
$
Flow of Value
Benefits Realisation
begins
Vision &
Business Goals
Product
Backlog Released
Product
Users
Feature Team that is fully
cross-functional
2 weeks
each iteration
Released💡
Feedback re Product and Process quality
OperationsSystem
Testers
The Scrum Development Team has the
skills and authority to create Potentially
Releasable Product Increments from new
ideas each Sprint without any other party
Architect
Business
Analysts
Broadening of skills
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Lean Thinking House
Variability *
Overburden
Handoff
WIP
Information scatter
Delay
Multi-tasking
Defects
Wishful thinking
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Handoff scenarios
Sprint N
Sprint N+1
Designer
Programmer
Sprint N
Designer
Programmer
Tester
Design
Coding
Testing
Fixing
💻
🐛
Analysis 💻
?
Unverified system
System with defects
Working product
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Limit Work in Progress to improve throughput
Reference: Mary Poppendieck, Tom Poppendieck, Lean Software Development: An Agile Toolkit, Addison-Wesley Professional, 2003.
Project A
Project B
Project C
Month 1 Month 2 Month 3 Month 4
versus
Stop Starting…
…Start Finishing!
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Eliminate Overburden through Pull scheduling
Push
Project People / ‘resources’
Portfolio Stable Cross-functional Teams
Rather than seeking people to fit the work…
...construct pipelines of value to be pulled into stable teams based on
current capacity.
Source: Serge Beaumont, Practical tools for the Product Owner: Focus, Value, Flow, Munich Scrum Gathering October 2009.
Product Backlog
Pull
– Don Reinertsen
“In product development, our problem is virtually
never motionless engineers. It is almost always
motionless work products.”
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Maximising utilisation slows things down
See: https://less.works/less/principles/queueing_theory.html
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Duration
Sequencing using Cost of Delay
Duration
Cost of Delay
CoD
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
Duration = 1
CoD = 5
Duration = 5
CoD = 1
Duration = 1
CoD = 5
Duration = 5
CoD = 1
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Can you see the queues?
Product Backlog
Items
To Do In Progress DoneCompleted
Tasks
PBI A
PBI B
PBI C
Test
Task B1
Frontend
Task B3
Design
Task B2
Backend
Task B4
Design
Task B1
Code
Task B2
Test
Task B3
Test
Task B5
Test
Task C1
Frontend
Task C2
Backend
Task C3
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Calculating Cost of Delay
Model expense
overrun
Model value
shortfall
Model
schedule delay
Model risk
change
Calculate total profit
impact of each
Calculate sensitivity factors e.g. for 10% variation
Create baseline modelStep 1
Step 2
Step 3
Step 4
See https://www.youtube.com/watch?v=L6v6W7jkwok
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Example Lifecycle Profit Impact
10% expense
overrun
10% value
shortfall
1 month delay
10% increase
in risk
¤ 500,000
¤ 200,000
¤ 100,000 ¤ 100,000
See https://www.youtube.com/watch?v=L6v6W7jkwok
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Manager as teacher
Source: less.works
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Go See at Gemba
Gemba (Japanese)
“The Real Place”
“Go see requires observing the
teams and asking lots of open
minded questions with a sincere
interest in their work and
problems. In software products,
this is likely to involve watching
and discussing code.”
- Craig Larman & Bas Vodde, Large-Scale Scrum: More with LeSS,
Addison Wesley, 2017.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Bottom line
Bottom line:
Scrum won’t thrive if the management
principles that the surrounding
organisational system is based on
continue to be misaligned.
Scrum is based on Lean principles,
therefore managers in a Scrum
environment should understand and
operate by Lean principles.
Leadership behaviours
• Study second generation Lean
Product Development and explore its
implications with other change leaders
• Establish an economic model for your
product development
• Promote distributed decision making
using the economic model
• “Go See”at Gemba
• Work toward becoming a mentor and
teacher
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Lean Thinking resources
• Six Myths of Product Development: https://hbr.org/2012/05/
six-myths-of-product-development
• Lean Thinking on the LeSS website: https://less.works/less/
principles/lean-thinking.html
HBR.ORG MAY 2012
REPRINT R1205E
SPOTLIGHT ON INNOVATION FOR THE 21ST CENTURY
Six Myths
Of Product
DevelopmentThe fallacies that cause delays, undermine
quality, and raise costs by Stefan Thomke
and Donald Reinertsen
Lens 4:
Cultural analysis
what are our implicit beliefs shaping behaviour?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Cultural Analysis - What and When?
What is it? Cultural Analysis is using qualitative research methods
of the arts, humanities, social sciences, in particular
ethnography and anthropology, to collect data on
cultural phenomena and to interpret cultural
representations and practices; in an effort to gain new
knowledge or understanding .through analysis of that
data and cultural processes.
Particularly
useful when:
• Recognising the similarities and differences from Agile
related cultural archetypes
• Understanding and mapping trends, influences,
effects, and affects within cultures.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Leading Causes of Failed Agile Projects
Company culture continues to dominate the top causes of failed agile projects with
company philosophy or culture at odds with core agile values at 46%, and lack of
management support for cultural transition at 38%.
Company philosophy or culture at odds with core agile values
Lack of experience with agile methods
Lack of management support
Lack of support for cultural transition
Inconsistent agile practices and process
External pressure to follow traditional waterfall processes
Ineffective management collaboration
A broader organizational or communications problem
Unwillingness of team to follow agile
Inability to continuously prioritize work
Insufficient training
Ineffective collaboration
Don’t know
46%
41%
38%
38%
38%
36%
34%
30%
30%
28%
27%
25%
5%
*Respondents were able to make multiple selections
Source: 10th Annual State of Agile Report, Version One, 2016.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
*Respondents were able to make multiple selections
Barriers to Further Agile Adoption
As in previous years, respondents continued to increasingly cite organizational culture and a general resistance to change as
their biggest barriers to further agile adoption. Concerns about organizational culture increased from 44% in 2014 to 55% in
2015, and concerns about a general resistance to change increased from 34% in 2014 to 42% in 2015.
Ability to change organizational culture
General organizational resistance to change
Pre-existing rigid/waterfall framework
Not enough personnel with the necessary agile experience
Management support
Business/user/ customer availability
Concerns about a loss of management control
Management concerns about lack of upfront planning
Confidence in ability to scale agile methodologies
Concerns about the ability to scale agile
No barriers
Perceived time and cost to make the transition
Development team support
Regulatory compliance
55%
42%
40%
39%
38%
28%
27%
25%
18%
18%
17%
15%
14%
13%
*Respondents were able to make multiple selectionsSource: 10th Annual State of Agile Report, Version One, 2016.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Exhibit 1
Exhibit 1 of 2
The greatest enablers of—or barriers to—a successful agile
transformation are leadership and culture
Top 5 challenges during an agile transformation
Selected by participants (top 3 selection possible); N=1,411
Transforming the culture
and ways of working1
Lack of leadership and talent
Establishing a clear vision
and implementation plan
Insufficient resources
Overcoming technological
bottlenecks
76
42
34
28
28
Culture is perhaps the most important element of this sort of change
effort. We have spent an enormous amount of energy and leadership time
trying to role model the sort of behavior—ownership, empowerment,
customer centricity—that is appropriate in an agile culture.
– Bart Schlatmann, previously Chief Operating Officer, ING Netherlands
“
”
1Misalignment of agile ways of working with requirements of day-to-day activities, lack of collaboration across levels
and/or units, employee resistance to changes, entrenched employee behaviors and mindsets.
Source: McKinsey Global Survey: How to Create an Agile Organization, October 2017
Leading agile transformation:
The new capabilities leaders need to
build 21st-century organizations,
McKinsey&Company, October 2018.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Schein culture model
- Edgar H. Schein via Jason Yip
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Internal maintenance with
flexibility, concern for people, and
sensitivity to customers.
External positioning with a high
degree of flexibility and
individuality.
External positioning with an emphasis on
competition and fast decision making.
Internal maintenance with a
need for stability and control
Flexibility and Discretion
Stability and Control External Focus and Differentiation
Internal Focus and Integration
Competing Values model
Clan
Hierarchy Adhocracy
Market
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Competing Values culture descriptors
Clan culture Adhocracy culture Market culture Hierarchy culture
Dominant
organisational
characteristics
Personal, like a family
Entrepreneurial, risk
taking
Competitive,
achievement oriented
Controlled and
structured
Leadership
style
Mentoring, facilitating,
nurturing
Entrepreneurial,
innovative, risk taking
No-nonsense,
aggressive, results
oriented
Coordinating,
organizing, efficiency
oriented
Management
of employees
Teamwork, consensus,
and participation
Individual risk taking,
innovation, freedom,
and uniqueness
Competitiveness and
achievement
Security, conformity,
predictability
Organisational
glue
Loyalty and mutual trust
Commitment to
innovation, development
Emphasis on
achievement and goal
accomplishment
Formal rules and
policies
Strategic
emphasis
Human development,
high trust, openness
Acquisition of
resources,
creating new challenges
Competitive actions and
winning
Permanence and
stability
Criteria for
success
Development of human
resources, teamwork,
concern for people
Unique and new
products and services
Winning in the
marketplace, outpacing
the competition
Dependable, efficient,
low cost
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
0
5
10
15
20
25
30
35
Clan
Adhocracy
Market
Hierachy
Overall
Internal maintenance with
flexibility, concern for people, and
sensitivity to customers.
External positioning with a high
degree of flexibility and
individuality.
External positioning with an emphasis on
competition and fast decision making.
Internal maintenance with a
need for stability and control
Flexibility and Discretion
Stability and Control External Focus and Differentiation
Internal Focus and Integration
Example culture assessment
Current culture
Preferred culture
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Slide Courtesy of
Michael K Sahota
Yin and Yang
Do we start with
consciousness or
structure?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
The Structure first case
Excerpt from Larman’s Laws of Organisational Behaviour…

5. Culture follows structure.
Or, Culture/behavior/mindset follows system &
organisational design… this is an observation in large-
scale; in small start ups, it's the reverse: structure follows
culture (org design follows mindset). 

…systems such as Scrum (that have a strong focus on
structural change at the start) tend to more quickly impact
culture — if the structural change implications of Scrum
are actually realized. Source: craiglarman.com
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
The Consciousness first case
Living a different internal consciousness will naturally lead to different
structures that are energised by people.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Culture change loop
Experience
Beliefs
ValuesPrinciples
Actions
Results
informs
become
Adapted from The Culture Change Pyramid by Dan Mezick, see The Culture Game: Tools for the Agile Manager
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Take-aways
Bottom line:
We need both change of
consciousness within people and
structural change to bring about
cultural change.
At small scale, start with
consciousness/mindset.
At large scale, start with
structure.
Leadership behaviour
• Assess perception of
current and culture for
future success
• Create alignment with
other leaders to lead
culture change
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Cultural Analysis resources
• How to Change Your Organizational Culture by
Michael Sahota: http://agilitrix.com/2018/07/change-
organizational-culture/
• Cameron K. S., Quinn R. E. (2011). Diagnosing and
Changing Organizational Culture: Based on the
Competing Values Framework. Jossey-Bass.
• Schneider, W. E. (1999). The Reengineering
Alternative. McGraw-Hill.
• Mezick, D. (2012) The Culture Game: Tools for the
Agile Manager. FreeStanding Press.
Lens 5:
Self-Leadership
how do I show up as a leader to deal with complexity?
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Self-leadership - What and When?
What is it? Self-leadership is having a developed sense of who you
are, what you can do, where you are going coupled with the
ability to influence your communication, emotions and
behaviours on the way to getting there.
Particularly
useful when:
• Complexity is high - create other leaders
• Employee engagement and empowerment is important
• Faster decision making is important
• More collaboration and innovation are important
• Collaborative team efforts are important
– Daniel Goldman in Emotional Intelligence
“Exceptional leaders distinguish themselves
because of superior self-leadership.”
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Leadership Agility - Stages of Leadership Development
Explorer
Enthusiast
Operator
Conformer
Expert
Achiever
Catalyst
Co-creator
Synergist
Childhood stages
Adult stages
Heroic
Post-heroic
Source: Joiner W. B. (2006). Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change. John Wiley & Sons.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Expert
• Assumptoin
Assumption
Tactical, problem- solving orientation.
Leaders respected and followed because of authority and expertise
Org change
Tactical focus on incremental improvement within one’s unit, minimal stakeholder
engagement
Team leadership Focuses on one-on-one supervision rather than as a system
Pivotal conversations
Low tolerance for conflict: either highly assertive or accommodative - advocates or
inquires
Image credit: Jon Bryant - Flickr
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Achiever
Assumption
Strategic, outcome orientation.
Motivate other by making it challenging and satisfying to contribute to larger
objectives
Org change
Strategic outcome focus, making episodic changes to address environmental
changes while seeking stakeholder buy-in
Team leadership Treats direct reports as a system that needs to be orchestrated as a team
Pivotal conversations
Moderate tolerence of conflict: primarily assertive or accommodative with some
ability to compensate using the other style
Image credit: menshealth.com
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Catalyst
Assumption
Visionary, facilitative orientation
Articulate an inspiring vision and empower & develop others to make it a reality
Org change
Aim through the target: develop organisational capacity to meet any strategic
objective
Team leadership Creates a highly participative, empowered team that leads change together
Pivotal conversations
Greater tolerance for conflict: combines advocacy and inquiry and needed in the
specific situation
Image credit: amazon.com
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Proportion of Leaders per development level
10%
45%
35%
10%
Pre-Expert
Expert
Achiever
Catalyst and beyondCurrent ceiling in most orgs
Agile ready
Lacking Agile readiness
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
S.C.A.R.F. Impediments
• Status: Our relative importance to others
• Certainty: Our being able to predict the future
• Autonomy: Our sense of control over events
• Relatedness: Our sense of safety with others
• Fairness: Our perception of fair exchanges between people
See: Rock D. (2009). Your Brain at Work: Strategies for Overcoming Distraction, Regaining Focus, and Working Smarter All
Day Long. Harper Business.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Take-aways
Bottom line:
As a leader, you can’t expect others to
change if you haven’t first changed
yourself.
Leaders go first.
Are you prepared to do that?
Leadership behaviours:
• Embrace essential ambiguity and
uncertainty
• Model in-depth listening at all
levels
• Model asking revealing questions
e.g. “which aspects of an Agile
organisation are weakest?”
• Model making mistakes and
learning from them
• Be a contradiction eliminator!
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
Self-Leadership resources
• Certified Agile Leadership (CAL) program: https://
www.scrumalliance.org/get-certified/practitioners/
cal-certification
• Sahota M., Sahota A. T. (2018). Emotional Science:
The Key to Unlocking High Performance. The
Awakened Press.
• Joiner W. B. (2006). Leadership Agility: Five Levels
of Mastery for Anticipating and Initiating Change.
John Wiley & Sons.
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
© 2018 Scrum WithStyle scrumwithstyle.com @rowanb
@rowanb au.linkedin.com/in/rowanbunning
Rowan Bunning
rowan@scrumwithstyle.com scrumwithstyle.com
Thank You!

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Five leadership lenses for agile success

  • 1. Five Leadership Lenses for Agile Success Rowan Bunning CST - October 2018 - London
  • 2. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Rowan Bunning • Background in object oriented & web development with vendors, enterprise product development, start-ups & consultancies • Introduced to eXtreme Programming in 2001 • Introduced Scrum organisation-wide in 2003-5 • Agile Coach / ScrumMaster at a leading agile consultancy in the U.K. • Have trained about 5,000 people in Scrum & Agile • Certified ScrumMaster® • Certified Scrum Product Owner® • Advanced Certified ScrumMaster • One of first Agile Coaches in Australia from late 2008 • Organiser of Regional Scrum Gatherings® in Australia 2005 2006 2008 2018 2017 2015 2010
  • 3. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Leaders must create the conditions in which Agile can thrive Image credit: https://www.gandeste-pozitiv.ro/harnicia-si-perseverenta-desavarsesc-autodisciplinei/ “Trying to be Agile in a hostile organisational culture is likely dropping a seed onto concrete and expecting it to grow.” 
 - Michael Sahota
  • 4. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Objectives of this session • Increase awareness of 5 key learnings areas necessary for leaders to create the conditions for Agile success • Pique your interest to learn more
  • 5. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb The lenses 1. Sense Making lens - what is the problem contexts and appropriate management approach? 2. Systems Thinking lens - what should our organisation be optimised for and what are the dynamics? 3. Lean Thinking lens - how is our org. design relative to a customer value focus? 4. Cultural Analysis lens - what are our implicit beliefs shaping behaviour? 5. Self-Leadership lens - how do I show up as a leader to deal with complexity?
  • 6. Lens 1: Sense making what is the problem contexts and appropriate management approach?
  • 7. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Sense Making - What and When? What is it? Sensemaking is the ability or attempt to make sense of an ambiguous situation. More exactly, sensemaking is the process of creating situational awareness and understanding in situations of high complexity or uncertainty in order to make decisions. It is “a motivated, continuous effort to understand connections (which can be among people, places, and events) in order to anticipate their trajectories and act effectively. Particularly useful when: • Dealing with ambiguity • Approaching a new or changed context • Deciding what framework/method to adopt • Deciding what style of leadership to use • Deciding how to decide Source: http://cognitive-edge.com/blog/what-is-sense-making/
  • 8. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb The Cynefin sense making framework Un-ordered Unpredictable Ordered Predictable Consistent outcomes Kurtz, C. and Snowden, D. (2003). “The new dynamics of strategy: Sense-making in a complex and complicated world,” IBM Systems Journal, ISSN 0018-8670, 42(3): 462- 483. ComplicatedComplex Obvious Chaotic Disorder Known Knowns tightly constrained, no degrees of freedom Standard Operating Procedures Sense, Categorise, Respond C = E (obvious) Known Unknowns governing constraints Expert mindset Sense, Analyse, Respond C & E separated over time and space but discoverable Unknown Unknowns enabling constraints Pattern-based leadership Probe, Sense, Respond C & E only coherent in retrospect and do not repeat Unknowables lack of constraints Novel practices Stability-focused intervention Act, Sense, Respond No perceivable C & E Applicability of predictive plan- driven methods Sweetspot for Scrum Liminal space Complex—> Complication transition
  • 9. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Context New insights from Inspecting changes the context Change to context Vision, Outcomes, Goals Empirical inspect-adapt points Better fit than could be identified at the outset Apply Scrum to the Problem, not just “delivery” “Now that I see it, I realise that this is not quite what we need!”
  • 10. – David Snowden “You should manage in the complicated and complex spaces and only move a small amount of material down into the Obvious because that’s actually highly vulnerable to rapid or accelerated change.”
  • 11. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Managing in a Complex context • Manage starting conditions • Probe, sense, respond • Set boundaries • Create safe-fail environments and experiments that allow patterns to emerge • Open up discussion • Increase levels of interaction and communication • Use methods that can help generate ideas • Use distributed cognition • Stimulate attractors • Encourage dissent and diversity • Monitor for emergence Reference: Snowden, D. and Boone, M. (2007). “A leader’s framework for decision making,” Harvard Business Review, ISSN 0017-8012.
  • 12. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Emergent rather than imposed order “Leaders who try to impose order in a complex context will fail, but those who set the stage, step back a bit, allow patterns to emerge, and determine which ones are desirable will succeed.” Reference: Snowden, D. and Boone, M. (2007). “A leader’s framework for decision making,” Harvard Business Review, ISSN 0017-8012.
  • 13. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Example implication questions Is it reasonable to: • demand an accurate and precise prediction of something that is unpredictable? • blame developers for variability intrinsic to the domain that they find themselves in?
  • 14. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Tool: identification of uncertainty and variability Sources of uncertainty and variability Internal External
  • 15. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Tool: “…and the butterfly stamped” sense making method ComplicatedComplex Obvious Chaotic Answers from survey results Source: Joseph Perline. Disorder Un-ordered Ordered Ambitious (political) time-line Fixing the build Finding who to talk to Knowing when a task is done Monitoring the actual time spent Featuritis Arguing about coding standards Retrospective s without consequence Project volume too big Changing requirements Countering a belief in magic Task Estimation
  • 16. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Sense Making take-aways Bottom line: If you don’t know what problem domain you are dealing with, you are not equipped to select the right method or leadership approach for the job. Consequence: Bad surprises, conflict, friction, poor results. Image credits: cncrouterstore.ca/questions-ask-proper-tool-selection/ iStockPhoto.com
  • 17. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Sense Making resources For an executive overview of Cynefin: https://hbr.org/2007/11/a-leaders-framework-for-decision- making To run a sense-making workshop: “…and the butterfly stamped” sense making method: http:// cognitive-edge.com/basic-methods/and-the-butterfly-stamped/ Cognitive Edge website: http://cognitive-edge.com www.hbrreprints.org A Leader’s Framework for Decision Making by David J. Snowden and Mary E. Boone Wise executives tailor their approach to fit the complexity of the circumstances they face. Reprint R0711C
  • 18. Lens 2: Systems Thinking what should our organisation be optimised for and what are the dynamics?
  • 19. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Systems Thinking - What and When? What is it? Systems Thinking is a way of helping a person to view systems from a broad perspective that includes seeing overall structures, patterns and cycles in systems, rather than seeing only specific events in the system. Particularly useful when: • The issue is important. • The problem is chronic, not a one-time event. • The problem is familiar and has a known history. • People have unsuccessfully tried to solve the problem before. Source: https://thesystemsthinker.com/systems-thinking-what-why-when-where-and-how/
  • 20. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb
  • 21. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb
  • 22. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Agile is not the Goal
  • 23. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb
  • 24. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb What happens when the goal is to "adopt Agile” • “people confuse rituals with intent” • People cherry pick what is easy and/or fashionable to adopt rather than what is impactful (toward undefined aspiration) • People interpret it as whatever suits their local interests • Plausible deniability • Combined with deadline pressure and resource efficiency, starved of time to learn • Results in change theatre without impactful change • Feet are on the accelerators and brakes simultaneous… without people realising it • Adoption stalls prematurely • Is fragile and likely to be undone by influential people not aligned to the non-existent goal
  • 25. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb agility is not the same as “faster delivery” “Agile does not mean delivering faster. Agile does not mean fewer defects or higher quality. Agile does not mean higher productivity. Agile means agile - the ability to move with quick easy grace, to be nimble and adaptable. To embrace change and become masters of change - to compete through adaptability by being able to change faster and cheaper than your competition can." - Craig Larman “Agility is the ability to both create and respond to change in order to profit in a turbulent business environment.” - Jim Highsmith (Manifesto co-author) “We considered a bunch of names, and agreed eventually on “agile” as we felt that captured the adaptiveness and response to change which we felt was so important to our approach." - Martin Fowler (Manifesto co-author)
  • 26. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Which has agility? Source:YouTube Source: invorma.com/16-super-jumping-animals or
  • 27. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Where the term “Agile” came from
  • 28. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb • A given system has finite performance characteristics • Your organisation is optimised to produce the results is currently produces • To produce different results, you need to change the system To get from Sydney to Canberra… To get from Sydney to London… Systems
  • 29. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb What we call a Car/“Agile” can have vastly different performance characteristics Hennessey Venom F5 ?
  • 30. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Instruction: Write “Current:” then one of the following on a sticky/card. Which is the current optimising goal at your organisation? Current: __________ adaptability / agility highest customer value lead time management prestige internal stakeholder satisfaction predictability innovation employee engagement shareholder returns resource utilisation learning profittechnical excellence
  • 31. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Instruction: Write “Most effective:” then one of the following on a sticky/card. Which optimising goal would be most effective for your organisation? Most effective: __________ adaptability / agility highest customer value lead time management prestige internal stakeholder satisfaction predictability innovation employee engagement shareholder returns resource utilisation learning profittechnical excellence
  • 32. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Shorter Lead Time is only an enabler shorter lead time in order to have agility / adaptiveness discovery and delivery of highest value to customer in order to have high order capability low order capability lower cost of change Assumption: this is not achievable solely through up-front analysis business success The goal of too many “Agile” adoptions stops here
  • 33. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb The “faster delivery” trap • Increased pressure on “delivery” group • Starved of time in the learning zone • High utilisation, further slowing throughput (vicious cycle) • Accumulation of technical debt, poor design, defects etc.
  • 34. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Obliquity “The environment – social, commercial, natural – in which we operate changes over time and as we interact with it. Our knowledge of that complex environment is necessarily piecemeal and imperfect. And so objectives are generally best accomplished obliquely rather than directly.” - Kay, John. Obliquity (p. 8). Profile Books UK. Kindle Edition.
  • 35. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb 11 Laws of Systems Thinking 1. Today’s problems come from yesterday’s solutions 2. The harder you push, the harder the system pushes back 3. Behavior grows better before it grows worse 4. The easy way out usually leads back in 5. The cure can be worse than the disease 6. Faster is slower. 7. Cause & effect are not closely related in time & space. 8. Small changes can produce big results, but areas of the highest leverage are often least obvious. 9. You can have your cake & eat it too but not all at once. Not either/or. allow time for solutions to work. 10.Dividing an elephant in half does not product two small elephants 11.There is no blame Source: https://www.thoughtexchange.com/the-11-laws-of-systems-thinking-and-stakeholder-engagement/
  • 36. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb The Systems Thinking Iceberg
  • 37. – Gerald Weinberg (R.I.P.) “Weinberg-Brooks’ Law: More software projects have gone awry from management’s taking action based on incorrect system models than for all other causes combined.”
  • 38. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Causal Loop Diagram notation O population demand for resources variables causal link opposite effect constraint C delayed effect QF quick-fix reaction R1 reinforcing feedback loops R2 with even number of opposite effects O O
  • 39. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb CLD: Time pressure dynamic perceived time pressure command & control behaviour time in learning zone capability improvement O O O Belief: we get predictability and best performance by having people make scope & date commitments R1 R2
  • 40. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb CLD: Product knowledge loss dynamic pressure to accomodate unplanned initiatives within existing teams hiring of temporary contractors product design knowledge retained enhancement and maintenance costs overall workload Constraint: pre-committed work over many months C O O R1
  • 41. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Systems Thinking take-aways Bottom line: If you don’t have an optimising goal, no-one can objectively judge whether a practice is “good” or “bad”. “It works” is insufficient. Consequences: superficial mimicry, adoption shaped by comfort zone of a few Image credit: bigstockphoto.com/image-110113352 Leadership behaviours: • Build alignment around “Why?” change and “What?” outcome from the change • Create alignment as to the optimising goal for the organisational system. • Eliminate misalignments with the optimising goal.
  • 42. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb What, Why Why? The motivation for this undertaking. You may also see here leading indicators of success. What? This is about the result: what we want want to achieve. The outcome we are looking for as an organisation See: http://agilitrix.com/2014/06/agile-is-not-the-goal-workshop/
  • 43. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Systems Thinking resources • Systems Thinking on the LeSS website: https://less.works/less/ principles/systems-thinking.html • Senge, P. (2006). The Fifth Discipline: The art and practice of the learning organization. Random House Business,
  • 44. Lens 3: Lean Thinking how is our org design relative to a customer value focus?
  • 45. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Lean Thinking - What and When? What is it? Lean Thinking is a philosophy and business method that aims to provide a new way to think about how to organise human activities to deliver more benefits to society and value to individuals while eliminating waste. Particularly useful when • Doing organisation design for an Agile org. • When optimising for highest customer value
  • 46. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Choose the right sort of Lean 1950 1960 1970 1980 1990 2000 2010 Product innovation Manufacturing, operations Toyota Production System Second Generation Lean Product Development
  • 47. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Ingredients in Scrum The New, New Product Development Game Time-boxes Iterative, Incremental Development Smalltalk Development Tools Scrum Source: Ken Schwaber. Lean
  • 48. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Lean Thinking House How many of these principles is your current organisation design and culture based on?
  • 49. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb “Delivery speed” can be achieved by reducing batch size Batch 1 Batch 2 Batch 3 Batch 4 Batch 5 Batch 6 Batch 7 Batch 8 Batch 9 Batch 10 Batch 1 Batch 1 Batch 2 Batch 1 Batch 2 Batch 3 Batch 4 Batch 5 Time
  • 50. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Queues Value adding time Wait time
  • 51. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Lead time vs Cycle time Item added to Product Backlog Released and available for use Cycle time Lead time Start of Development on Item Potentially Releasable Product Increment
  • 52. © 2008-18 Scrum WithStyle scrumwithstyle.com Water-Scrum-Fall anti-pattern 💡 $ ArchitectsBusiness AnalystsProject Control Board User Reps Operations SIT UAT System Testers Deployment 😞 Benefits Realisation begins Business case Big Batch Specification Big Batch Project Scope Product Backlog Current Product Users Limited Coverage Agile Team Programmers & Testers only Months 2 weeks each iteration Months Released Dependent on other groups to get anything specified or released
  • 53. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Fully cross-functional, not just partially “Development Teams are cross-functional, with all the skills as a team necessary to create a product Increment” - The Scrum Guide (2017) The Scrum Guide™ The Definitive Guide to Scrum: The Rules of the Game November 2017 Developed and sustained by Scrum creators: Ken Schwaber and Jeff Sutherland
  • 54. © 2008-18 Scrum WithStyle scrumwithstyle.com 😞😃 End-to-end Cross-functional Teams $ Flow of Value Benefits Realisation begins Vision & Business Goals Product Backlog Released Product Users Feature Team that is fully cross-functional 2 weeks each iteration Released💡 Feedback re Product and Process quality OperationsSystem Testers The Scrum Development Team has the skills and authority to create Potentially Releasable Product Increments from new ideas each Sprint without any other party Architect Business Analysts Broadening of skills
  • 55. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Lean Thinking House Variability * Overburden Handoff WIP Information scatter Delay Multi-tasking Defects Wishful thinking
  • 56. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Handoff scenarios Sprint N Sprint N+1 Designer Programmer Sprint N Designer Programmer Tester Design Coding Testing Fixing 💻 🐛 Analysis 💻 ? Unverified system System with defects Working product
  • 57. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Limit Work in Progress to improve throughput Reference: Mary Poppendieck, Tom Poppendieck, Lean Software Development: An Agile Toolkit, Addison-Wesley Professional, 2003. Project A Project B Project C Month 1 Month 2 Month 3 Month 4 versus Stop Starting… …Start Finishing!
  • 58. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Eliminate Overburden through Pull scheduling Push Project People / ‘resources’ Portfolio Stable Cross-functional Teams Rather than seeking people to fit the work… ...construct pipelines of value to be pulled into stable teams based on current capacity. Source: Serge Beaumont, Practical tools for the Product Owner: Focus, Value, Flow, Munich Scrum Gathering October 2009. Product Backlog Pull
  • 59. – Don Reinertsen “In product development, our problem is virtually never motionless engineers. It is almost always motionless work products.”
  • 60. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Maximising utilisation slows things down See: https://less.works/less/principles/queueing_theory.html
  • 61. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Duration Sequencing using Cost of Delay Duration Cost of Delay CoD $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ Duration = 1 CoD = 5 Duration = 5 CoD = 1 Duration = 1 CoD = 5 Duration = 5 CoD = 1
  • 62. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Can you see the queues? Product Backlog Items To Do In Progress DoneCompleted Tasks PBI A PBI B PBI C Test Task B1 Frontend Task B3 Design Task B2 Backend Task B4 Design Task B1 Code Task B2 Test Task B3 Test Task B5 Test Task C1 Frontend Task C2 Backend Task C3
  • 63. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Calculating Cost of Delay Model expense overrun Model value shortfall Model schedule delay Model risk change Calculate total profit impact of each Calculate sensitivity factors e.g. for 10% variation Create baseline modelStep 1 Step 2 Step 3 Step 4 See https://www.youtube.com/watch?v=L6v6W7jkwok
  • 64. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Example Lifecycle Profit Impact 10% expense overrun 10% value shortfall 1 month delay 10% increase in risk ¤ 500,000 ¤ 200,000 ¤ 100,000 ¤ 100,000 See https://www.youtube.com/watch?v=L6v6W7jkwok
  • 65. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Manager as teacher Source: less.works
  • 66. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Go See at Gemba Gemba (Japanese) “The Real Place” “Go see requires observing the teams and asking lots of open minded questions with a sincere interest in their work and problems. In software products, this is likely to involve watching and discussing code.” - Craig Larman & Bas Vodde, Large-Scale Scrum: More with LeSS, Addison Wesley, 2017.
  • 67. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Bottom line Bottom line: Scrum won’t thrive if the management principles that the surrounding organisational system is based on continue to be misaligned. Scrum is based on Lean principles, therefore managers in a Scrum environment should understand and operate by Lean principles. Leadership behaviours • Study second generation Lean Product Development and explore its implications with other change leaders • Establish an economic model for your product development • Promote distributed decision making using the economic model • “Go See”at Gemba • Work toward becoming a mentor and teacher
  • 68. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Lean Thinking resources • Six Myths of Product Development: https://hbr.org/2012/05/ six-myths-of-product-development • Lean Thinking on the LeSS website: https://less.works/less/ principles/lean-thinking.html HBR.ORG MAY 2012 REPRINT R1205E SPOTLIGHT ON INNOVATION FOR THE 21ST CENTURY Six Myths Of Product DevelopmentThe fallacies that cause delays, undermine quality, and raise costs by Stefan Thomke and Donald Reinertsen
  • 69. Lens 4: Cultural analysis what are our implicit beliefs shaping behaviour?
  • 70. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Cultural Analysis - What and When? What is it? Cultural Analysis is using qualitative research methods of the arts, humanities, social sciences, in particular ethnography and anthropology, to collect data on cultural phenomena and to interpret cultural representations and practices; in an effort to gain new knowledge or understanding .through analysis of that data and cultural processes. Particularly useful when: • Recognising the similarities and differences from Agile related cultural archetypes • Understanding and mapping trends, influences, effects, and affects within cultures.
  • 71. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Leading Causes of Failed Agile Projects Company culture continues to dominate the top causes of failed agile projects with company philosophy or culture at odds with core agile values at 46%, and lack of management support for cultural transition at 38%. Company philosophy or culture at odds with core agile values Lack of experience with agile methods Lack of management support Lack of support for cultural transition Inconsistent agile practices and process External pressure to follow traditional waterfall processes Ineffective management collaboration A broader organizational or communications problem Unwillingness of team to follow agile Inability to continuously prioritize work Insufficient training Ineffective collaboration Don’t know 46% 41% 38% 38% 38% 36% 34% 30% 30% 28% 27% 25% 5% *Respondents were able to make multiple selections Source: 10th Annual State of Agile Report, Version One, 2016.
  • 72. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb *Respondents were able to make multiple selections Barriers to Further Agile Adoption As in previous years, respondents continued to increasingly cite organizational culture and a general resistance to change as their biggest barriers to further agile adoption. Concerns about organizational culture increased from 44% in 2014 to 55% in 2015, and concerns about a general resistance to change increased from 34% in 2014 to 42% in 2015. Ability to change organizational culture General organizational resistance to change Pre-existing rigid/waterfall framework Not enough personnel with the necessary agile experience Management support Business/user/ customer availability Concerns about a loss of management control Management concerns about lack of upfront planning Confidence in ability to scale agile methodologies Concerns about the ability to scale agile No barriers Perceived time and cost to make the transition Development team support Regulatory compliance 55% 42% 40% 39% 38% 28% 27% 25% 18% 18% 17% 15% 14% 13% *Respondents were able to make multiple selectionsSource: 10th Annual State of Agile Report, Version One, 2016.
  • 73. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Exhibit 1 Exhibit 1 of 2 The greatest enablers of—or barriers to—a successful agile transformation are leadership and culture Top 5 challenges during an agile transformation Selected by participants (top 3 selection possible); N=1,411 Transforming the culture and ways of working1 Lack of leadership and talent Establishing a clear vision and implementation plan Insufficient resources Overcoming technological bottlenecks 76 42 34 28 28 Culture is perhaps the most important element of this sort of change effort. We have spent an enormous amount of energy and leadership time trying to role model the sort of behavior—ownership, empowerment, customer centricity—that is appropriate in an agile culture. – Bart Schlatmann, previously Chief Operating Officer, ING Netherlands “ ” 1Misalignment of agile ways of working with requirements of day-to-day activities, lack of collaboration across levels and/or units, employee resistance to changes, entrenched employee behaviors and mindsets. Source: McKinsey Global Survey: How to Create an Agile Organization, October 2017 Leading agile transformation: The new capabilities leaders need to build 21st-century organizations, McKinsey&Company, October 2018.
  • 74. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Schein culture model - Edgar H. Schein via Jason Yip
  • 75. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Internal maintenance with flexibility, concern for people, and sensitivity to customers. External positioning with a high degree of flexibility and individuality. External positioning with an emphasis on competition and fast decision making. Internal maintenance with a need for stability and control Flexibility and Discretion Stability and Control External Focus and Differentiation Internal Focus and Integration Competing Values model Clan Hierarchy Adhocracy Market
  • 76. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Competing Values culture descriptors Clan culture Adhocracy culture Market culture Hierarchy culture Dominant organisational characteristics Personal, like a family Entrepreneurial, risk taking Competitive, achievement oriented Controlled and structured Leadership style Mentoring, facilitating, nurturing Entrepreneurial, innovative, risk taking No-nonsense, aggressive, results oriented Coordinating, organizing, efficiency oriented Management of employees Teamwork, consensus, and participation Individual risk taking, innovation, freedom, and uniqueness Competitiveness and achievement Security, conformity, predictability Organisational glue Loyalty and mutual trust Commitment to innovation, development Emphasis on achievement and goal accomplishment Formal rules and policies Strategic emphasis Human development, high trust, openness Acquisition of resources, creating new challenges Competitive actions and winning Permanence and stability Criteria for success Development of human resources, teamwork, concern for people Unique and new products and services Winning in the marketplace, outpacing the competition Dependable, efficient, low cost
  • 77. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb
  • 78. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb 0 5 10 15 20 25 30 35 Clan Adhocracy Market Hierachy Overall Internal maintenance with flexibility, concern for people, and sensitivity to customers. External positioning with a high degree of flexibility and individuality. External positioning with an emphasis on competition and fast decision making. Internal maintenance with a need for stability and control Flexibility and Discretion Stability and Control External Focus and Differentiation Internal Focus and Integration Example culture assessment Current culture Preferred culture
  • 79. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Slide Courtesy of Michael K Sahota Yin and Yang Do we start with consciousness or structure?
  • 80. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb The Structure first case Excerpt from Larman’s Laws of Organisational Behaviour… 5. Culture follows structure. Or, Culture/behavior/mindset follows system & organisational design… this is an observation in large- scale; in small start ups, it's the reverse: structure follows culture (org design follows mindset). …systems such as Scrum (that have a strong focus on structural change at the start) tend to more quickly impact culture — if the structural change implications of Scrum are actually realized. Source: craiglarman.com
  • 81. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb The Consciousness first case Living a different internal consciousness will naturally lead to different structures that are energised by people.
  • 82. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Culture change loop Experience Beliefs ValuesPrinciples Actions Results informs become Adapted from The Culture Change Pyramid by Dan Mezick, see The Culture Game: Tools for the Agile Manager
  • 83. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Take-aways Bottom line: We need both change of consciousness within people and structural change to bring about cultural change. At small scale, start with consciousness/mindset. At large scale, start with structure. Leadership behaviour • Assess perception of current and culture for future success • Create alignment with other leaders to lead culture change
  • 84. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Cultural Analysis resources • How to Change Your Organizational Culture by Michael Sahota: http://agilitrix.com/2018/07/change- organizational-culture/ • Cameron K. S., Quinn R. E. (2011). Diagnosing and Changing Organizational Culture: Based on the Competing Values Framework. Jossey-Bass. • Schneider, W. E. (1999). The Reengineering Alternative. McGraw-Hill. • Mezick, D. (2012) The Culture Game: Tools for the Agile Manager. FreeStanding Press.
  • 85. Lens 5: Self-Leadership how do I show up as a leader to deal with complexity?
  • 86. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Self-leadership - What and When? What is it? Self-leadership is having a developed sense of who you are, what you can do, where you are going coupled with the ability to influence your communication, emotions and behaviours on the way to getting there. Particularly useful when: • Complexity is high - create other leaders • Employee engagement and empowerment is important • Faster decision making is important • More collaboration and innovation are important • Collaborative team efforts are important
  • 87. – Daniel Goldman in Emotional Intelligence “Exceptional leaders distinguish themselves because of superior self-leadership.”
  • 88. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Leadership Agility - Stages of Leadership Development Explorer Enthusiast Operator Conformer Expert Achiever Catalyst Co-creator Synergist Childhood stages Adult stages Heroic Post-heroic Source: Joiner W. B. (2006). Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change. John Wiley & Sons.
  • 89. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Expert • Assumptoin Assumption Tactical, problem- solving orientation. Leaders respected and followed because of authority and expertise Org change Tactical focus on incremental improvement within one’s unit, minimal stakeholder engagement Team leadership Focuses on one-on-one supervision rather than as a system Pivotal conversations Low tolerance for conflict: either highly assertive or accommodative - advocates or inquires Image credit: Jon Bryant - Flickr
  • 90. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Achiever Assumption Strategic, outcome orientation. Motivate other by making it challenging and satisfying to contribute to larger objectives Org change Strategic outcome focus, making episodic changes to address environmental changes while seeking stakeholder buy-in Team leadership Treats direct reports as a system that needs to be orchestrated as a team Pivotal conversations Moderate tolerence of conflict: primarily assertive or accommodative with some ability to compensate using the other style Image credit: menshealth.com
  • 91. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Catalyst Assumption Visionary, facilitative orientation Articulate an inspiring vision and empower & develop others to make it a reality Org change Aim through the target: develop organisational capacity to meet any strategic objective Team leadership Creates a highly participative, empowered team that leads change together Pivotal conversations Greater tolerance for conflict: combines advocacy and inquiry and needed in the specific situation Image credit: amazon.com
  • 92. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Proportion of Leaders per development level 10% 45% 35% 10% Pre-Expert Expert Achiever Catalyst and beyondCurrent ceiling in most orgs Agile ready Lacking Agile readiness
  • 93. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb S.C.A.R.F. Impediments • Status: Our relative importance to others • Certainty: Our being able to predict the future • Autonomy: Our sense of control over events • Relatedness: Our sense of safety with others • Fairness: Our perception of fair exchanges between people See: Rock D. (2009). Your Brain at Work: Strategies for Overcoming Distraction, Regaining Focus, and Working Smarter All Day Long. Harper Business.
  • 94. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Take-aways Bottom line: As a leader, you can’t expect others to change if you haven’t first changed yourself. Leaders go first. Are you prepared to do that? Leadership behaviours: • Embrace essential ambiguity and uncertainty • Model in-depth listening at all levels • Model asking revealing questions e.g. “which aspects of an Agile organisation are weakest?” • Model making mistakes and learning from them • Be a contradiction eliminator!
  • 95. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb Self-Leadership resources • Certified Agile Leadership (CAL) program: https:// www.scrumalliance.org/get-certified/practitioners/ cal-certification • Sahota M., Sahota A. T. (2018). Emotional Science: The Key to Unlocking High Performance. The Awakened Press. • Joiner W. B. (2006). Leadership Agility: Five Levels of Mastery for Anticipating and Initiating Change. John Wiley & Sons.
  • 96. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb
  • 97. © 2018 Scrum WithStyle scrumwithstyle.com @rowanb @rowanb au.linkedin.com/in/rowanbunning Rowan Bunning rowan@scrumwithstyle.com scrumwithstyle.com Thank You!