Need: Fast flow from plans via actions towards innovative results Challenge: The world is volatile, uncertain, complex and ambiguous (VUCA). Solution: Alignment for autonomy, ie * Create alignment on intent: WHAT & WHY * Gives autonomy on HOW to act & decide within boundaries and in line with intent * Give autonomy to adjust HOW in line with the intent I describe three experiments that we have tried on individual, team and organizational level and the results from these experiments. Additionally, I give references to a number of other companies, large and small, who all work with alignment for autonomy. I also state the results we have achieved during 2010-2015 for value throughput, lead-time, quality and employee motivation. Here's a write-up: https://medium.com/@erik_schon/how-do-we-get-speed-innovation-and-engagement-739a3aff4792

1. How do we get
Speed, Innovation
& Engagement?
A Leadership Journey
Lean Forum Visit to Ericsson
October 20, 2016
@erik_schon

2. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 2 (26)
PLANSACTIONS
RESULTS
Why can’t we
plan better?
Why wasn’t the plan followed?
Why didn’t
the plan work?
Questions
Stephen Bungay: “The Art of Action” (2010)
@cyetain

3. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 3 (26)
Erik Schön
@erik_schon
Co-creator of conditions where
people, teams and organizations
grow @ericsson
SERVING ~300 people in cross-functional teams
in Product Development Group Radio Base Stations
Product Development Unit 2G & 3G Radio Access
Development Unit Network Products
Business Unit Network Products
Ericsson in Stockholm, Sweden

4. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 4 (26)
Ericsson 3G:
Facts & Figures
>40% Of all 3G traffic
in Ericsson networks
10 R&D sites
1 800 people
#1 Mobile 3G
networks
100 Teams
265 networks
Ericsson’s Vision: a #NetworkedSociety where every person and
every industry is empowered to reach their full potential

5. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 5 (26)
PLANSACTIONS
RESULTS
Why can’t we
plan better?
Why wasn’t the plan followed?
Why didn’t
the plan work?
Answer
VUCA

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8. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 8 (26)
Volatile Uncertain
Complex Ambiguous
We Live in a VUCA world …
How do We survive & Thrive?

9. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 9 (26)
PLANSACTIONS
RESULTS
Change the
actions &
decisions
So, What if You don’t
get what you wanted?
Change the plans
VUCA
Create alignment
on wanted results

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11. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 11 (26)
PLANSACTIONS
RESULTS
Create
alignment
on intent:
WHAT & WHY
How do you get speed?
Give autonomy on HOW to act & decide
within boundaries and in line with intent
Give autonomy to
adjust HOW
in line with intent
VUCA

12. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 12 (26)
PLANSACTIONS
RESULTS
Create
alignment
on intent:
WHAT & WHY
We get Speed, innovation
and engagement!
Give autonomy on HOW to act & decide
within boundaries and in line with intent
Give autonomy to
adjust HOW
in line with intent
VUCA

13. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 13 (26)
› Autonomy, Mastery, Purpose
motivates us [Pink],
Autonomy = HOW,
Purpose = WHAT & WHY
› Making progress in meaningful
work ignites joy, engagement
and creativity [Amabile]
Meaningful work =
WHAT & WHY.
Faster progress thanks tohigher
speed
→ more joy & engagement!
› Motivation - nonsense. All that
people need to know is why
their work is important.
[Deming] =
WHAT & WHY
› When people truly understand
WHAT & WHY and are given
autonomy to figure out HOW,
they will surprise you with their
ingenuity in figuring out
solutions [Bungay]
= delivering value from ideas
= innovations.
› Making progress in meaningful
work ignites joy, engagement
and creativity. [Amabile]
Meaningful work =
WHAT & WHY.
Creativity → ideas →
value from ideas = Innovation
› Avoiding searching for more
information in order to make the
perfect plan, potentially ending
up in analysis paralysis, instead
focus more on the WHAT&
WHY
› Avoiding specifying too many
details in the plan, instead
giving people, teams or
organizations freedom within
boundaries and in line with
intent to figure out HOW
› Avoiding too tight control,
follow-up and reporting of
metrics
› Encouraging initiative: when
you know WHAT&WHY, you
can quickly figure out what to
do when the situation changes
without going up and down the
chain of command asking for
permission and directives
[Bungay]

14. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 14 (26)
High
Alignment
High Autonomy
Build a
bridge!
We need to
cross the
river
Figure out
how!
We need to cross
the river to reach
our destination
Low
Alignment
Low Autonomy
Hope someone is
working on the
river problem …
ALIGNED
AUTONOMY!
Stephen Bungay: “The Art of Action” (2010)
@henrikkniberg
Intent
What & Why
Actions
How

15. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 15 (26)
Give autonomy on HOW to act & decide within boundaries and in line with intent
Experiment:
Improved Leadership
Give autonomy to adjust
HOW in line with intent
VUCA
Interactive seminars
on alignment for
autonomy
Defining Agile/Lean line manager role: teaching, coaching, challenging
Boundaries/Constraints: Ericsson Leadership Framework
Coaching training,
coaching networks,
Community of
Practice for
Managers
Create alignment
on intent:
WHAT & WHY

16. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 16 (26)
Experiment result:
Personal
Growth
As a person,
I want to act in an environment,
so that I can reach my full potential
We TEACH, COACH and CHALLENGE
Personal
Growth
As a person,
I want to act in an environment,
so that I can reach my full potential
We develop ORGANIZATIONS
Personal
Growth
As a person,
I want to act in an environment,
so that I can reach my full potential
We develop TEAMS
We develop INDIVIDUALS
The Line Manager in Lean/Agile

17. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 17 (26)
Give autonomy on HOW to act & decide within boundaries and in line with intent
Experiment:
Cross-functional teams
Give autonomy to adjust
HOW in line with intent
VUCA
High-performing teams
to outlearn competition
Learning Days, Communities of Practices, Extreme Programming practices, …
Boundaries/Constraints: Start with Scrum or Kanban, use GIT, 30% learning
Team retrospectives
every sprint, …
Create alignment
on intent:
WHAT & WHY

18. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 18 (26)
FLEXIBILITY: Teams dare to go into
new areas, products and technologies
and get up to speed within 1-3 months!
Experiment result
Flexible, Confident and Innovative Teams

19. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 19 (26)
Give autonomy on HOW to act & decide within boundaries and in line with intent
Experiment:
Strategy and Execution
Give autonomy to adjust
HOW in line with intent
VUCA
Dialogue around
strategy with everyone
in interactive
workshops
Quarterly Challenge
Boundaries/Constraints: Impact whole organization, based on strategy & needs
Quarterly strategy
retrospectives
with everyone
Create alignment
on intent:
WHAT & WHY

20. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 20 (26)
Every sprint deployed to live networks
with added customer value and higher quality
Experiment result
Product Development Unit Quarterly Challenge

21. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 21 (26)
Overall results
2010-2015
X4
1/2
X10
75% Employee motivation: 67 → 72%
Faults at customers: 250 → 40 per month
Feature lead-time: 100 → 36 weeks
Value throughput: ~4

22. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 22 (26)
Give autonomy on HOW to act & decide
within boundaries and in line with intent
How could you use this
in your daily work?
Create alignment
on intent:
WHAT & WHY
Give autonomy to adjust
HOW in line with intent
Discuss in pairs for 2 minutes
VUCA

23. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 23 (26)
Spotify’s Engineering
Culture – Part 1
L. David Marquet: "Greatness"
Reinertsen & Associates: Decentralizing Control -
How Aligned Initiative Overcomes Uncertainty
Chet Richards: Amazing. We did it all by ourselves! (And so can you.)

24. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 24 (26)
Too many organizations
are trying to control the waves
instead of learning how to surf.
Mary Poppendieck
paraphrasing Allen Ward

25. How Do We Get Speed, Innovation & Engagement - A Leadership Journey | @erik_schon | @ericsson | 2016-10-20 | Page 25 (26)
Q&A