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Enabling Enterprise Business Agility By Measuring what Matters

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Presentation on theme: "Enabling Enterprise Business Agility By Measuring what Matters"— Presentation transcript:

1 Enabling Enterprise Business Agility By Measuring what Matters

2 The EBA Transformation Journey
Team of Teams Agility: - Scaling Agile (SAFe) - DevOps Maturity Talent Development, Innovation & Operational Agility - Customer Seat at the Table - Talent Dev, HR Transformation - Ops, Finance, Legal, Audit, Sales/Mktg Team Agility: - Agile Adoption (Scrum, Kanban) - Cross functional teams - Agile tools and workspace Org Agility: - Lean Portfolio Mgmt. - Value Stream Structure - Leadership & Culture Enterprise Business Agility - Anticipate Customer Needs - Sustain Learning - Continuous Growth Measuring What Matters | Team Agility (Maturity & Performance) | Enterprise Agility (Maturity & Outcomes) Copyright© Agile Transformation Inc.

3 Measurement Challenges
Clarity & Alignment What problem or area are we transforming? What’s the maturity roadmap? How can we have a common definition? Intentional Growth Measurement Measurement with no action is worthless data. How do you allow time for teams to inspect, adapt and grow? How can leaders remove obstacles for teams? What do you measure at what level? How do you know you’re improving? What metrics really matter and lead to insights and action? The goal of measurement should be to enable growth, not for judgment, reward or punishment. Copyright(c) Agile Transformation Inc. | Enabling Business Agility |

4 The 3 Metrics That Matter
Business outcomes are THE metric that matters, performance and maturity tell us WHY we’re not achieving outcomes. Collected through integration or metrics owners Delivery & Performance (Quantitative) Health & (Qualitative) Maturity Business Outcomes (Results) Key Metrics Collected through the radar surveys as a retrospective Created collaboratively and aligned across the organization. Enterprise Health & Maturity (Qualitative): Come from the voice of your teams through the radars. Delivery /Performance (Quantitative): Come from tools that track their work. Business Outcomes (results): Come from product leaders and executive sponsors. AgilityHealth® is a single source of truth for your enterprise teams and their maturity, performance and outcomes

5 What is AgilityHealth®?
AgilityHealth® is the world’s leading measurement & continuous growth platform that enables visibility into your teams, their health, performance and alignment to outcomes. Measure Grow Iterate

6 4 Levels of Metrics Enterprise Portfolio/ LOB Team of Teams Team
Team Agility = Rollup of Team Maturity & Performance Enterprise Portfolio/ LOB Team of Teams Team Org Agility = EBA Rollup Enterprise Business Agility DevOps, Product Dev & ART Health Team Health & Performance

7 AgilityHealth Maturity Radars World class expert designed radars
View All Radars: Team Health SAFe ART Health SAFe Portfolio Health DevOps Health Role Radars (PO, SM, Coach, Leader, RTE) Your Own Copyright(c) Agile Transformation Inc. | EBA Strategist Certification (EBAS) |

8 Large Financial – AgilityHealth Case Study
Objective: Accelerate transformation and team maturity/adoption of Agile and DevOps to enable business agility 1500 Technology Teams 21K Team Members Agile and Non-Agile Customer Needs Solutions Delivered Baseline assessment across all teams Measure and quantify maturity and performance Build actionable growth plans for next quarter Engage leaders at all levels in removing obstacles Re-assess and quantify growth Agile/DevOps team assessment launched in Jan across 21k Trained 400+ facilitators within 2 weeks Facilitators completed 1500 retrospectives within 3 weeks Growth plans created 200+ managers trained on removing obstacles

9 The 6 Capabilities of AgilityHealth®
Single Source of Truth for Teams their maturity, performance, and alignment to outcomes. 6. Agile Roles & Talent Dev Grow internal roles through role-based radars, growth portal, and career mosaic 1. Manage Teams Create teams, programs, portfolios, lines of business 5. Business Outcomes Alignment Visually align your teams to measurable business outcomes 2. Measure Health, Maturity & Performance Leverage both quantitative and qualitative data about your teams TEAM 4. Actionable Insights & Analytics Visual dashboards enable actionable insights What, Why, Now What 3. Manage Growth at Every Level Systematically remove obstacles at the team, management, and senior leadership levels Measure & accelerate your transformation impact and alignment.

10 The 6 Questions AgilityHealth Answers
Who are my teams and how are they organized? 1 How are they Doing? (Maturity & Performance) 2 Where can we help them to accelerate growth? 3 What’s the ROI and progress of this transformation? 4 Are the teams aligned to the right outcomes and achieving results? 5 Are we growing our Agile talent? 6

11 AgilityHealth Use Cases
Org Leaders Remove Enterprise obstacles Visibility into organization health and performance Define business outcomes and measure results Agile Coaches Multi-team roll up analysis Coaching the target teams Measure coaching impact Identify patterns Managers Complete team survey as stakeholder Own removal of organizational growth items Measure growth over time Scrum Masters Schedule and attend retrospectives Manage team growth plan The Team Complete assessments Analyze results real-time Build growth plans Grow and iterate

12 AgilityHealth® Growth Model
AgilityHealth enables a continuous improvement program at every level of the organization. Team Growth Enables growth at the team level. This backlog contains Team Growth and Organizational Items for leaders to address. Multi-Team Growth Enables growth at the Line of Business, Program or Product levels. This backlog contains Organizational Items from sub-teams and Enterprise Items for executives to address. Enterprise Growth Enables growth at the Portfolio and Enterprise levels. This backlog contains Enterprise Growth Items from all levels of the organization. ‘If you want to teams to align and achieve outcomes, you’ll need to hear their voice and remove obstacles.” – Sally Elatta

13 How do you measure team productivity? ‘Team Agility’

14 Team Agility Measurement
Team Maturity + Team Performance = Team Agility (productivity) 60% Walk 40% Crawl 50% Walk Pre-Crawl (1 - 2) | Crawl (3-4) | Walk (5-6) | Run (7-8) | Fly (9-10) We take the team’s maturity + their performance metrics / 2 to derive their overall team agility index. This metric is rolled up at all levels and can be used to benchmark internally or against all AgilityHealth customers.

15 Team Agility | Metrics Performance metrics are quantitative questions answered by the Scrum Master or team Point of Contact. Performance Metric Predictable Delivery - Predictability Time to Market - Deployment Frequency - Lead time to Deploy Value Delivered - Throughput * - Business outcome achieved % * - Customer & employee satisfaction Quality - MTTR - Change failure rate - Quality satisfaction - Test automation % - Defect density * Responsiveness - Story lead time - Feature lead time Throughput is measured by choosing one of the following: 1- Measure increase in team velocity over their first 3 months baseline (% increase in velocity). – Recommended 2- Measure increase in # of stories (or features) delivered over their first 3 months baseline (% increase in story/feature delivery). 3- Measure count of stories (or features) delivered over past quarter. Business outcome achieved % assumes teams have started to align their work against outcomes using OKRs. Defect density is calculated as a percentage of # defects / # stories delivered (example, if we deliver 10 story points and generate 5 pts in defects our defect density is 50%). Copyright(c) Agile Transformation Inc. | Enabling Business Agility |

16 Expected Results

17 How do you measure business outcomes?

18 Output vs. Outcome vs. Impact

19 Enterprise Portfolio Alignment
Today we create 3 year strategy then focus all our effort on the ‘Work’ alignment column. Tomorrow, we need to shift focus to ‘Strategy’ alignment and outcome delivery over output.

20 Sample Outcome Card (agility)
Objective Title: Overall Progress: Increase quality and reduce escaped defects 43% Hypothesis Statement/Description: We believe that by investing in test automation for our critical path customer journey use cases we will decrease the number of escaped defects in production. Estimated Capacity Cost: $240,000 Calculated based on # of weeks per team, X avrg. cost per team 20k/week Key Results / Metrics: Title Progress Metric (baseline) Now Goal Groups/Team(s) Customer satisfaction NPS (5) 6 9 Customer Success Test automation coverage for critical path use cases Automation (0%) 20% 100% LAVA Team Reduce escaped defects in production Escaped defects (14) 7 LAVA & Drone Teams Key results have ‘impact’ metrics or leading indicators. 60% 20% 50%

21 Sample Outcome Card (business impact)
Overall Progress: Objective Title: Launch a new non-medical SMB product 10% 52% Hypothesis Statement/Description: We believe that by launching new SMB non-medical benefits insurance product to market we will increase our market share for small business members. Estimated Cost: $1,800,000 Calculated based on # of weeks per team, X avrg. cost per team 20k/week Key Results / Metrics: Title Progress Metric Now Goal Groups Increase SMB membership Active Member 30k 60k Sales Maintain Conversion Rate Activation 72% Program JAMZ (4 teams) Quote applications for new product Quote 100 MKTG 0% 0% 30% Customer/org Impact metric

22 AgilityHealth Outcome Alignment Dashboard Align all teams at all levels to outcomes (OKRs)
The blue columns represent ‘Demand’ the purple are ‘Capacity’. You can click on any level of the org to gain visibility and alignment on outcomes.

23 AgilityHealth Outcome Alignment Dashboard Align all teams at all levels to outcomes (OKRs)
The blue columns represent ‘Demand’ the purple are ‘Capacity’. You can click on any level of the org to gain visibility and alignment on outcomes.

24 Thank You! Getting in touch:


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