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Agile into Finance
Nana Abban | Akaditi
Consultant | Engagement Manager | Scrum Master/Coach |
Change Agent
nanaabban@gmail.com

The pursuit of
Agility
Martin Hinshelwood | naked ALM Consulting
Consultant | Engagement Manager | Trainer | Coach
martin@nakedalm.com | http://nakedalm.com/blog
What keeps the CIOs awake at night? Mr Hinsh CIO
Are we delighting our customers?
Are we keeping up with the competition?
Are we spending too much on maintenance?
Are we able to take advantage of situation that present
themselves?
• Are we effectively using our resources?
•
•
•
•

© 1993-2014 Scrum.org, All Rights Reserved

2
Evidence-based Management metrics
Revenue per Employee

Release Frequency

Product Cost Ratio

Employee Satisfaction

Release Stabilization

Installed Version Index

Customer Satisfaction

Cycle Time

Usage Index
Innovation Rate
Defects

Business outcomes
(Value)

Time to Market
(Lead time)

3

Ability to Innovate
(Quality)

© 1993-2014 Scrum.org, All Rights Reserved

3
Direct Evidence Is Consolidated In One Indicator

4

© 1993-2014 Scrum.org, All Rights Reserved

4
Relating Outcome To Value Creation
Diagnose
• Skills, Knowledge, Understanding
 Product managers
 Managers
 Developers
• Practices, Tools, Architectures, Standards

Improv
e

Measure

5

© 1993-2014 Scrum.org, All Rights Reserved

5
1

Evidence of Capabilities

MIN

Evaluated through observation of practices

© 1993-2014 Scrum.org, All Rights Reserved

6
Evidence through Agility Index Snapshot

• Measures an
organizations value
across 3 dimensions
and aggregated into
one number, the
Agility Index
• Weighted Index to
track trends and ROI
7

© 1993-2014 Scrum.org, All Rights Reserved

7
Measure Value with the Agility Index Snapshot
• Measures operational product
and software development
capabilities reflecting strengths
= Foundational Metrics

“Tomorrow’s great application development
and delivery leaders will be those who focus
on delivering constant value and
incremental improvement to their
businesses.” Diego Lo Giudice, Forrester Research, September,
2013

• Relates them to the value
created by the overall
enterprise reflecting how that
strength is used =
Organizational Metrics
• Metrics are aggregated into
one number, the Agility Index
© 1993-2014 Scrum.org, All Rights Reserved

8
Adapting patterns while controlling risk with Guided
Improvement
• Delivers change in short cycles
• Inspects evidence of change

© 1993-2014 Scrum.org, All Rights Reserved

9
Agility Path – an implementation of evidence-based management
• Agility Path (n): A framework
within which people can manage
the complex organizational
change required to increase
enterprise agility while
controlling risk and optimizing
investment.

© 1993-2014 Scrum.org, All Rights Reserved

10
Agile into Finance
Nana Abban | Akaditi
Consultant | Engagement Manager | Scrum Master/Coach |
Change Agent
nanaabban@gmail.com

Thanks
Martin Hinshelwood | naked ALM Consulting
Consultant | Engagement Manager | Trainer | Coach
martin@nakedalm.com | http://nakedalm.com/blog

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Agile into Finance 2014-02

  • 1. Agile into Finance Nana Abban | Akaditi Consultant | Engagement Manager | Scrum Master/Coach | Change Agent nanaabban@gmail.com The pursuit of Agility Martin Hinshelwood | naked ALM Consulting Consultant | Engagement Manager | Trainer | Coach martin@nakedalm.com | http://nakedalm.com/blog
  • 2. What keeps the CIOs awake at night? Mr Hinsh CIO Are we delighting our customers? Are we keeping up with the competition? Are we spending too much on maintenance? Are we able to take advantage of situation that present themselves? • Are we effectively using our resources? • • • • © 1993-2014 Scrum.org, All Rights Reserved 2
  • 3. Evidence-based Management metrics Revenue per Employee Release Frequency Product Cost Ratio Employee Satisfaction Release Stabilization Installed Version Index Customer Satisfaction Cycle Time Usage Index Innovation Rate Defects Business outcomes (Value) Time to Market (Lead time) 3 Ability to Innovate (Quality) © 1993-2014 Scrum.org, All Rights Reserved 3
  • 4. Direct Evidence Is Consolidated In One Indicator 4 © 1993-2014 Scrum.org, All Rights Reserved 4
  • 5. Relating Outcome To Value Creation Diagnose • Skills, Knowledge, Understanding  Product managers  Managers  Developers • Practices, Tools, Architectures, Standards Improv e Measure 5 © 1993-2014 Scrum.org, All Rights Reserved 5
  • 6. 1 Evidence of Capabilities MIN Evaluated through observation of practices © 1993-2014 Scrum.org, All Rights Reserved 6
  • 7. Evidence through Agility Index Snapshot • Measures an organizations value across 3 dimensions and aggregated into one number, the Agility Index • Weighted Index to track trends and ROI 7 © 1993-2014 Scrum.org, All Rights Reserved 7
  • 8. Measure Value with the Agility Index Snapshot • Measures operational product and software development capabilities reflecting strengths = Foundational Metrics “Tomorrow’s great application development and delivery leaders will be those who focus on delivering constant value and incremental improvement to their businesses.” Diego Lo Giudice, Forrester Research, September, 2013 • Relates them to the value created by the overall enterprise reflecting how that strength is used = Organizational Metrics • Metrics are aggregated into one number, the Agility Index © 1993-2014 Scrum.org, All Rights Reserved 8
  • 9. Adapting patterns while controlling risk with Guided Improvement • Delivers change in short cycles • Inspects evidence of change © 1993-2014 Scrum.org, All Rights Reserved 9
  • 10. Agility Path – an implementation of evidence-based management • Agility Path (n): A framework within which people can manage the complex organizational change required to increase enterprise agility while controlling risk and optimizing investment. © 1993-2014 Scrum.org, All Rights Reserved 10
  • 11. Agile into Finance Nana Abban | Akaditi Consultant | Engagement Manager | Scrum Master/Coach | Change Agent nanaabban@gmail.com Thanks Martin Hinshelwood | naked ALM Consulting Consultant | Engagement Manager | Trainer | Coach martin@nakedalm.com | http://nakedalm.com/blog

Notas del editor

  1. They worry about their ability to respond to change with the goal to maximize the organizations market success.
  2. There are few metrics that follow the evidence-based approaches described in “The Leaders Guide to Radical Management by Steven Denning” but one such emerging dataset is, the Agility Index from Scrum.org. It looks at a number of areas… +Net promoter score
  3. Try something that is hot in the market; or, Use evidence based management: Observe and analyze how work is done now; Assess and analyze the capability of the people doing the work; Identify the most likely improvement to add value. Does not include marketing, sales, or new product ideas. This enables:= An enterprise’s ability to sense new opportunities, deliberately respond to challenges, and to do so while controlling risk. To be able to shift to alternate scenarios based on triggers.
  4. Scrum.org have come up with the Agility Index The Agility Index summarizes progress towards organizational Agility. Agility Index as a blend of value and performance metrics that indicates how agility contributes to creating: Business Value Market Leadership Competitive Advantage