Leading Business Transformation From the Top [#Business #Transformation #BusinessTransformation]

LEADING BUSINESS TRANSFORMATION FROM THE TOP [#Business #Transformation #BusinessTransformation]

At the heart of any business transformation, there are common themes among Agile organizations that, if implemented correctly, can have a major impact on productivity, innovation and the ability to grow market share, while enhancing customer experience.

A. BE VALUE-DRIVEN
B. CREATE TEAMS AROUND PRODUCTS
C. CREATE AN ENGAGING WORKING ENVIRONMENT
D. OUTSIDE-IN FOCUS

A. BE VALUE-DRIVEN

Dos:
1. Do ask what the value of any initiative is, even at the feature level, making sure it aligns with the organization’s objectives.
2. Do create true transparency of organizational alignment via a consistent hierarchy of work.
3. Do understand and organize around your value, helping teams relate to the customer and your goals.
Too often teams are functional or system-based and do not appreciate the end user experience, making systems thinking harder to achieve.

Don’ts:
1. Do not prioritize based on effort, which is a typical waterfall anti-pattern.
Small, easy, quick wins will only reduce the capability to deliver true value.

  1. Do not set up projects to deal with regulatory change.
    Consider these as any other non-functional requirements and add to the product teams’ backlog.

  2. Do not organize in functional silos with work having to be passed between them to be completed.

B. CREATE TEAMS AROUND PRODUCTS

Dos:
1. Do value teams and individuals in value creation roles and remunerate them accordingly, considering product ROI.
In particular, rockstar engineers should be able to increase ROI, and should be retained at all costs.

  1. Do break monoliths down into microservices. These are smaller in scope and more manageable for a single team.

Don’ts:
1. Do not set up project teams, which by nature are short-lived and reduce accountability.
Empirical data shows that stable teams are 60% more productive and 60% more responsive to customer input than teams that rotate members.

  1. Do not track value through project accounting metrics–opex/capex split does not help make decisions, it only creates management overheads that demotivate people.

C. CREATE AN ENGAGING WORKING ENVIRONMENT

Dos:
1. Do empower your people by trusting them to do their jobs, which in turn will create value for the customer.

  1. Do embrace failure and learn from it.
    The fastest way to innovation is through experimentation and learning. Delivering in smaller increments reduces the risk and investment and gives results quicker.

Don’ts:
1. Do not assume you have all the answers.
Allow your employees to develop a collaboration of ideas to identify one possible solution to a product or process design challenge and find seven possibilities.

  1. Do not expect innovation to happen in a vacuum.
    It is not the responsibility of a few individuals but rather one big team. Value new ideas from your employees and create an environment where innovation can flourish and is rewarded.

D.OUTSIDE-IN FOCUS

Dos:
1. Do take feedback from the customer early.
Feature toggling and canary testing are great ways of enabling this.

  1. Do constantly research, analyze and understand the effects outside influences can have with business and customer alignment, and the impact on value.

  2. Do respect your competitors and the new kids on the block.
    They may have seen something you don’t.

  3. Do understand how technology can and will change consumer expectations and habits.
    Evolve your products accordingly.

Don’ts:
1. Do not rely on past successes to survive.
Phrases such as, “We’ve always done it this way,” and, “We’re too big to fail” should never be spoken.

  1. Do not dismiss information (shoot the messenger) because it is a tough pill to swallow and will require significant change within your organization.

If the above organizational attributes are not realized, chances are that your business is not Agile, so a shift in mindset is necessary to establish a new way of working.

This will only happen if the CEO leads from the front, embraces Agile personally and creates an engaging working environment where work is prioritized by value and people (employees and customers).

Then, and only then, can innovation thrive, boosting productivity and helping your business to react fast enough to changing market forces and remain competitive.

ADAPTED FROM
Leading Business Transformation From the Top:
DevOps.com

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