ENABLING INNOVATIVE CULTURE @barryoreilly #LeanEnterprise LEAN - - PowerPoint PPT Presentation

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ENABLING INNOVATIVE CULTURE @barryoreilly #LeanEnterprise LEAN - - PowerPoint PPT Presentation

ENABLING INNOVATIVE CULTURE @barryoreilly #LeanEnterprise LEAN precisely specify value by speci fi c product, identify the value stream for each product, make value fl ow without interruptions, let the customer pull value from the producer, and


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ENABLING INNOVATIVE CULTURE

@barryoreilly #LeanEnterprise

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LEAN

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precisely specify value by specific product, identify the value stream for each product, make value flow without interruptions, let the customer pull value from the producer, and pursue perfection

Womack and Jones, Lean Thinking

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ENTERPRISE

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a complex, adaptive system composed of people who share a common purpose

Humble, Molesky and O’Reilly, Lean Enteprise: How High Performance Organizations Innovation At Scale

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Right now, your company has 21st century Internet enabled business processes, mid 20th century management processes, all built atop 19th century management principles.

  • Gary Hamel, American Management Expert
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MEET THE NEXT GENERATION

$1-2B Valuation $2-5B Valuation $5-40B Valuation $40B+ Valuation

Sources: Dow Jones VentureSource and The Wall Street Journal. Valuations as of March 2015.
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BUSINESS CEO, COO, CFO, CMO TECHNOLOGY CIO, CTO, CDO

(Digtial and/or Data)

SOFTWARE IS EATING THE WORLD

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BUSINESS CEO, COO, CFO, CMO TECHNOLOGY CIO, CTO, CDO

(Digtial and/or Data)

SOFTWARE IS EATING THE WORLD

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BUSINESS CEO, COO, CFO, CMO TECHNOLOGY CIO, CTO, CDO

(Digtial and/or Data)

SOFTWARE IS EATING THE WORLD

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BUSINESS CEO, COO, CFO, CMO TECHNOLOGY CIO, CTO, CDO

(Digtial and/or Data)

SOFTWARE IS EATING THE WORLD

Technology as a strategic capability Willingness to support experimentation Iterative, adaptive working processes and practices Reduce learning anxiety across organization Ability to innovate at scale

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HOW HIGH PERFORMANCE ORGANIZATIONS INNOVATE AT SCALE

Lean Enterprise Infographic, http://www.thoughtworks.com/insights/blog/how-business-leaders-create-lean-enterprise

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THINK BIG

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The purpose of an

  • rganization is to enable
  • rdinary humans to do

extraordinary things

  • Peter Drucker, Management Educator, and Author
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Shareholder value is the dumbest idea in the world... [it is] a result, not a strategy... your main constituencies are your employees, your customers, and your product

  • Jack Welch, former-CEO GE
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To enable the space flight capabilities necessary to make human life multiplanetary or more specifically enable a self sustaining human civilization on Mars

  • - Elon Musk, SpaceX
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What are we aiming for? What are we trying to achieve? HOW DO YOU GET ALIGNMENT AT SCALE

Stephen Bungay, The Art Of Action

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Principle of Mission

What are we aiming for? What are we trying to achieve? HOW DO YOU GET ALIGNMENT AT SCALE

Stephen Bungay, The Art Of Action

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SURVIVAL VS LEARNING ANXIETY

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Edgar Schein, Organization Culture and Leadership

LEARNING ANXIETY SURVIVAL ANXIETY

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INDIVIDUAL MOTIVATION AND ENGAGEMENT

14 Dan Pink, Drive

AUTONOMY MASTERY PURPOSE

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PORTFOLIO MANAGEMENT

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CLARITY, TRANSPARENCY AND ALIGNMENT

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EVOLVE

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HOW BIG IS THINK BIG FOR YOU?

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START NOW

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DIFFUSION OF INNOVATION

Everett Rogers, Diffusions Of Innovations

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CROSSING THE CHASM

Geoffrey Moore, Dealing With Darwin

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CONTINUOUS LIFECYCLE OF INNOVATION

Geoffrey Moore, Dealing With Darwin

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BIG BANG DISRUPTION IS THE NEW NORMAL

Downes and Nunes, Big Bang Disruption: Strategy in the Age of Devastating Innovations

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In 2014 WhatsApp handled more than seven trillion messages, about 1,000 per person on the planet.

The Economist:
 “The Message Is The Medium” 25 March 2015

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BUSINESS MODEL INNOVATION STRATEGIES

EXPLORE Uncertainty Complex Emergent Experimental EXPLOIT Improved understanding Cause and effect Accumulated knowledge Forecast

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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INNOVATION PORTFOLIO

explore exploit sustain retire

kill kill kill kill

DISRUPT

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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It’s typical for 50% of the total 
 product development time to be spent on the fuzzy front end

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  • Don Reinersten, The Principles Of Product Development Flow
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Paper Rocks Digital

3 Opportunities, 6 Weeks, 3 Teams

IAG give flyers the option to change booking and service at any time with ubiquitous self-service NYT Release Product Discovery Activity Guide To Help Others Innovate

“We wanted to experiment and show a new way of working to drive culture change”

Banjo flannel PBR&B, dreamcatcher next level commodo minim four loko fap direct trade ethical. PBR VHS esse wolf, beard Kickstarter minim commodo typewriter ex. reprehenderit art party. Butcher literally fixie, nihil crucifix VHS chia Blue Bottle labore meditation Thundercats before they sold out enim Williamsburg semiotics. Minim four loko fap direct trade ethical. PBR VHS esse wolf, beard Kickstarter minim commodo typewriter ex. Commodo typewriter in, flexitarian Blue Bottle small batch tousled PBR&B ut aliqua pour-over vero sustainable reprehenderit art party. Commodo typewriter in, flexitarian Blue Bottle small batch tousled PBR&B ut aliqua pour-over vero sustainable reprehenderit art party. Banjo flannel PBR&B, dreamcatcher next level commodo minim four loko fap direct trade ethical. PBR VHS esse wolf, beard Kickstarter minim commodo typewriter ex. Commodo typewriter in, flexitarian Blue Bottle small batch tousled PBR&B ut aliqua pour-over
  • Al Ming, Senior Product Director

Find out more: 9 Lean Lessons From The New York Times, http://www.thoughtworks.com/talks/9-lean-lessons-nyt-newyork-06-2015

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WHAT ON YOUR HORIZONS?

Baghai, Coley, White The Alchemy of Growth

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BALANCE YOUR PORTFOLIO

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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A year from now you’ll wish you started today

  • Karen Lamb, Author
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LEARN FAST

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WHAT IS YOUR RATE OF LEARNING?

Harvard Business Review: “Productivity Is Soaring at Top Firms and Sluggish Everywhere Else” 24 August 2015

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PMO + Finance PMO Iteration 0 | 1 | 2 | 3 | 4 Fuzzy front end The last mile

  • Centralized QA
  • Study

+ approval Design + planning Integration + QA Development Testing + showcase Analysis Release &

  • peration

Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

ANNUAL-FUZZY-WATER-KAN-SCRUM-CONTINUOUS-FALL-BAN-DELIVERY-OPS

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Minimize the total time through the loop LEARN

  • DATA

MEASURE BUILD

Eric Ries, The Lean Startup

CYCLE TIME THROUGH THE LOOP IS WHAT CREATES KNOWLEDGE

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Max number of deployments in a single hour: 1,079 Mean time between deployments (weekday): 11.6 seconds Mean number of hosts simultaneously receiving a deployment: 10,000 Max number of hosts simultaneously receiving a deployment: 30,000

Jon Jenkins: “Velocity Culture, The Unmet Challenge in Ops” 2011

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REDUCE UNCERTAINTY WITH EXPERIMENTS

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Humble, Molesky, O’Reilly, Lean Enterprise: How High Performance Organizations Innovate At Scale

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14 people £261,000 12 weeks

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WHAT CAN I DO TOMORROW?

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BE CLEAR AND SHARE THE PRINCIPLE OF MISSION

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Executive Team Principle of Mission

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REDUCE UNCERTAINTY BY EXPERIMENTING

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REDUCE UNCERTAINTY BY EXPERIMENTING

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Define boundaries

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REDUCE UNCERTAINTY BY EXPERIMENTING

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Define boundaries scope investment risk level

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HOW HIGH PERFORMANCE ORGANIZATIONS INNOVATE AT SCALE

Lean Enterprise Infographic, http://www.thoughtworks.com/insights/blog/how-business-leaders-create-lean-enterprise

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The key to creating a lean enterprise is to enable those doing the work to solve their customers’ problems in a way that is aligned with the strategy of the wider organization.

  • We Did!
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THANK YOU

Barry O’Reilly

@barryoreilly boreilly@thoughtworks.com www.barryoreilly.com

Download Free Sample Chapters from Lean Enterprise at http://info.thoughtworks.com/lean-enterprise-book.html