Transformation Strategy Session - AgilityHealth · Transformation Strategy Goal: Education on the EBA Pillars and how to define a Business Agility Transformation Outcomes: • Understanding

EBA Seminar and

Transformation Strategy Session

Copyright© Agile Transformation Inc.

EBA Transformation Process

2

Get Buy-in to Explore EBA

Conduct an EBA Seminar

Conduct a Transformation Strategy Session

Launch the Transformation

Goal: Help a transformation team build their vision, success measures and roadmap.

Outcomes:• Understanding of EBA• Current state assessment• Vision & Success Measures• Transformation Roadmap• Transformation Team Design• Change Mgt. & Risk Mitigation

Transformation Strategy

Goal: Education on the EBA Pillars and how to define a Business Agility Transformation

Outcomes:• Understanding of Business

Agility and EBA• Realization of how top issues

are addressed in the pillars• Buy-in for a transformation

strategy session

EBA Seminar

Goal: Help a transformation team define and form the Business Agility Transformation

Outcomes: • Alignment around vision• Agreed upon structure,

roles, cadence and norms• Collaboration on roadmap,

backlog & release plan• Change Mgt. & Risk

Mitigation plans

Transformation Launch


Workshop – Build Your Persona

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Use the persona format in the

next slide.


EBA Transformation Persona Template

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Title:

Quote:

Challenges: Wants a solution to:

Industry

Age

Size

Leaders, Managers and Culture:

EBA Seminar

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EBA Seminar

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Agenda

• What is Business Agility• Business Agility Challenges and

Enablers• Enterprise Business Agility

(EBA) Overview• Customer Seat at the Table• Lean Portfolio Management• Org. Structure & Design• Leadership & Culture• Make it Stick• What are the top issues• Q&A and Next steps

Audience

Executives and Sr. Leaders from Business:• Business (Operations)• IT (Solution Delivery)• PMO• HR• Finance

Duration

• 2 Hours


EBA Seminar Presentation

7

Select “Learn More” about Transformation Strategy from the EBA Home Page.

Scroll down the Transformation Strategy page to the Resources section. Select the EBA – 2 Hour Seminar Slides to download

the presentation.

EBA Strategy Session: Agenda & Challenges

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EBA Strategy Session Agenda

Challenges and Drivers for Change

Enterprise Business Agility (EBA) Overview

Baseline Business Agility Health Assessment

Transformation Vision, Intent, Themes & Investment

Transformation Outcomes, Roadmap & Risks

Transformation Team Design

Transformation Change Management


Drivers for Change – Theme Summary

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Internal

• Collaboration – IT & Business

• Internal Adaptation to External Change (i.e. HCR)

• Quality

• Speed to Deliver

• Cost Reduction/Profitability

• Data Needs

• Process Improvement / Remove Bottlenecks

• Competitive Edge

• Empower Out Staff (Servant Leaders)

External

• Changing Marketplace

• Need for Speed

• Increased Cost of Care

• Transparency – Cost/Data

• Competition: Competitive Marketplace

• External Partnerships

• Customer Experience

• Deliver Innovation


Workshop – Organizational Challenges

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EBA Strategy Session: Baseline Assessment

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7 Pillar EBA Assessment

• Attendees– Transformation Leaders

– Transformation Team Members

– Transformation Stakeholders

• Duration: – 2 ½ Hours when conducted as part of the Strategy Session (OR)

– 4 Hours when conducted prior to the Strategy Session

• Guidance: AgilityHealth Support Center

– Article: “How to Facilitate an Enterprise Business Agility (EBA) Assessment”

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Enterprise Business Agility Radar

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The Baseline EBA assessment allows the transformation leaders to hear the “voice of the people in the organization”


Workshop – Baseline EBA Assessment

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Retrospective on Current State

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EBA Strategy Session: Transformation Vision

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Develop a Vision for the Transformation

• Start with your WHY

• Collaborate on developing the vision (creates common understanding & buy-in)

• Transformations are challenging – create an inspirational vision to rally around

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“Very few people or companies can clearly articulate WHY they

do WHAT they do. By WHY I mean your purpose, cause or

belief - WHY does your company exist? WHY do you get out of bed every morning? And

WHY should anyone care?”

- Simon Sinek


Be Creative

• There are many ways to articulate the vision

• The following slides provide real-world examples for developing a transformation vision

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As an Elevator Pitch

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(target customer)FOR

(has this need or opportunity)WHO

(name of transformation initiative)THE

(key benefit, compelling why)THAT

(our current state)UNLIKE

(statement of primary differentiation)[WE]

(type of transformation)IS A

Based on the Elevator Pitch developed by Geoffrey More


As a strategic change canvas

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VISION: What is the Vision for Lean Portfolio Mgt.? IMPORTANCE: Why this change is important to us?

Since we care more about customer outcomes than activity, we believe that managing our enterprise work in a Lean/Agile way allows us to maximize the return on our

investment, align efforts to our strategy, pivot when we need to, and deliver value to our customers faster.

• Deliver more value to our customers• Create growth and seize opportunities• Make informed, strategic decisions based on

performance and outcomes• Keep pace with the speed of business and the

changing needs of the marketplace

Success Measurements: How will We measure success? Progress Measurements: How will we show progress?

Less WIP, improved outcomes, pivots are made, demand aligns to capacity, fund portfolios and stable teams, strategic alignment

More frequent planning, clarity on strategy, metrics measure outcomes, increased visibility to strategy and implementation efforts, decisions are decentralized

Who and What is Affected? What people, depts. and processes need to change in order to realize the vision?

Executive Leaders, Line of Business Leaders, Program Managers, Portfolio Managers, Project Managers, Finance Leaders, Budget Process, Annual Strategic Planning, Portfolio and Program Management, Stage Gate Processes, Project Approval, Score Card Reporting, Project Reporting, Project Prioritization

How will we support people? What actions will we take to support people through the change?

Collaborative discussions, be inclusive and seek buy in, experiment and make incremental changes, provide training, obtain frequent feedback, provide guidance and empower others to make decisions, encourage transparency, see failure as learning, continuously communicate

www.leanchange.orgStrategic Change Canvas

http://www.leanchange.org/


As a statement with goals

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As From the current To the new

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From To

Enterprise

1. Disconnected from Customer 1. Connected to Customer Value & Purpose

2. Hierarchy / silos – local optimization

2. Borderless – Enterprise Hat/Enterprise Value

3. Learn too late, avoid failure 3. Experiment, learn, adapt

4. Project, fragmented , bring people to the work, specialized skills

4. Teams that are focused, empowered for continuous value delivery. Bring work to the team.

Teams

1. Less empowerment 1. Empowered people & teams, coaching / mentoring

2. Ad-Hoc complex practices 2. Intentional & systematic practices to simplify delivery to the customer

3. Specialized skills 3. Generalizing specialists, communities of practices

*Align with CX Messaging


As a Journey

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Create visibility into Enterprise priorities based on Customer

Value

Break work into smaller increments

that enable discovery,

experimentation & learning

Build focused, empowered, & teams that can deliver value

continuously

Design intentional & systematic practices

to simplify delivery to the Customer

Enable personal excellence through

skill growth & acquiring new

competencies so that…

To create Value for our Customers

Start Here


As Start Doing & Stop Doing

• Visible information radiators / key performance

indicators

• Reconfigure team working areas

• Cross-functional, stable & co-located teams aligned

to business capabilities

• Empower PO’s to execute what the business

• Alignment to Enterprise goals

• Embracing cultural changes

• Metrics based team maturity evaluation

• ECC Room

• Agile Ceremonies

• Agility Health

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• Command & control leadership

• Top down decision making

• Project Management Status Meeting

• IT Product Owners

• Start-End Delivery Teams

• Action less metrics

• Multiple Roles at the same time

• Shiny objects

• Never ending projects

• Isolating Agile to IT

• Everything is #1 priority

• Unproductive meetings at all levels

Start Doing Stop Doing


As vision statements by EBA Pillar

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Lean Portfolio Management

Leadership & CultureTechnology

Transformation


Workshop –Transformation Vision

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EBA Strategy Session: Strategic Intent

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Strategic Intent (Transformation)

• Establish lean portfolio management for all lines of business (Faster to Finish)

• Design and build teams of teams for our value streams (Stable Teams in 2019)

• Implement a robust continuous measurement and improvement program for all teams (Run by 2021)

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• The course that leadership plans to take for the business agility transformation

• 3 to 5 high-level statements of what you want to achieve

• Timeframe is normally out 2 or more years

• True North for the transformation

Strategic Intent

https://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjgn-DQqsvYAhVH52MKHUNpCmEQjRwIBw&url=https://www.flaticon.com/free-icon/strategy_196181&psig=AOvVaw3AzXOWC1iSAqGgdE26XxxO&ust=1515602816181686


Strategic Intent Hypothesis & Measures

• Establish lean portfolio management for all lines of business (Faster to Finish)

• Design and build teams of teams for our value streams (Stable Teams in 2019)

• Implement a robust continuous measurement and improvement program for all teams (Run by 2020)

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• We believe that managing our enterprise work in a Lean/Agile way allows us to maximize the return on our investment, align efforts to our strategy, pivot when we need to, and deliver value to our customers faster.

• We know we succeed when

• Less WIP

• Fund portfolios vs. projects

• Time to Market Reduced

• Alignment & clarity on strategy

• Decisions are decentralized

• Pivots are made


Success Sliders – Strategic Intent

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https://www.mountaingoatsoftware.com/tools/project-success

Establish lean portfolio management for all lines of business (Faster to Finish)

The Success Sliders allow leaders

to provide clarity on their

expectations. The sliders provide

guidance on the relative value of

the success measures. This leads

to better decisions and focus as

teams work to achieve the strategic

goals.

Might need to redo the example

– balance is off

https://www.mountaingoatsoftware.com/tools/project-success


Workshop –Transformation Intent

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EBA Strategy Session: Strategic Themes & Investment

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Strategic Themes (Transformation)

1. Implement lean portfolio management for 3 lines of business

2. Establish and operate an enterprise EVR room

3. Form, launch and stabilize ARTs for 3 lines of business

4. Establish quarterly retrospectives and growth teams for 3 lines of business

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• Business goals for the

transformation program that

connect to the Transformation

Strategy (Strategic Intent)

• 3 to 5 most important

differentiators (how the

transformation succeeds)

• Timeframe is < 1 year

Strategic Themes

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwii2NfwqsvYAhUY2GMKHQcXC3oQjRwIBw&url=http://www.iconarchive.com/show/flatastic-10-icons-by-custom-icon-design/Theme-icon.html&psig=AOvVaw1UU0OStuajNLbr9fd3yskM&ust=1515602860683845


Strategic Theme Hypothesis & Measures





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• We believe that implementing LPM teams, quarterly plans, visualized demand & capacity and aligning outcomes to strategy will allow us to deliver value faster for 3 of our lines of business.

• We know we succeed when

• WIP ↓ 15%

• Time to Market ↓ 10%

• Decisions are decentralized

• Kanban is used to manage portfolio work

• Planning meetings occur quarterly


Strategic Themes Align to Intent





36

Faster to Finish

Stable Teams in 2019

Run by 2021


#335%

#125%

#210%

#430%

Strategic Theme Investment





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• For each Strategic Theme,

consider how much effort to invest

(out of total resources for the

transformation)

• Use a pie chart to visualize your

investments


Workshop –Transformation Themes

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EBA Strategy Session: Outcomes & Roadmap

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Quarterly Transformation Outcomes

• Develop outcomes for each Transformation Strategic Theme

• Each outcome should:

– Be clearly stated

– Have Measurable results

– Be able to be completed in a quarter

40


Transformation Outcome

Outcome Title:

Implement the initiative Kanban process for the Employer Services & Direct to Consumer LOBs

Overall Progress

Hypothesis Statement:

We believe that designing and establishing the value stream, roles and visual management for identifying and defining portfolio initiatives will provide more strategic alignment and customer focus in those portfolios.

Estimated ROI

Estimated Cost

Key Results / Metrics Calculated based on # of weeks perteam X avg. cost per team $30k/week

Title Progress Metric Now Goal By Group / Team Effort Est

Kanban process established

Done/Not Done

Not Done Done [Date] PMO 6 Wks

Reduced WIP WIP 12 (ES)15 (DtC)

10 (ES)13 (DtC)

[Date] LPM Team 3 Months

Reduced Time to Market

Time to Market

125 115 [Date] LPM Team 6 Months

15%

65Value Pts

= Customer/Org. Impact metric

50%


Transformation Outcome

Outcome Title:

Begin the leadership transformation journey for key leaders

Overall Progress


We believe that rolling out leadership agility training and assessments across our directors and managers, we will improve our overall culture health and support for Agile teams.

Estimated ROI

Estimated Cost

Key Results / Metrics Calculated based on # of weeks perteam X avg. cost per team $30k/week


Leadership Agility Training

# of Sessions

1 3 [Date] HR 8 Wks

Leaders with personal growth plans

# of Growth Plans

20 60 [Date] Resource Managers

12 Weeks

15%

65Value Pts


40%

30%


Build a Transformation Roadmap

• Prioritize your outcomes

• Arrange your outcomes across a timeline of 12 to 18 months

• The following slides provide examples of transformation roadmaps

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Roadmap with Status Lanes

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Q1 Q3Q2 Q4

No

t St

arte

dIn

Pro

gre

ssD

on

e

Outcome Title:


Overall Progress


We believe that designing and establishing the value stream, roles and visual management for identifying and defining portfolio initiatives will provide more strategic

alignment and customer focus in those portfolios.

Estimated ROI$500,000

Estimated Cost$75,000

Key Results / Metrics Calculated based on # of weeks per

team X avg. cost per team $30k/week



Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Outcome Title:


Overall Progress










Done/Not Done



10 (ES)13 (DtC)



Time to Market


15%

165Value Pts


50%

Copyright© Agile Transformation Inc. 45

Roadmap with Team Lanes

• EBA Overview & Education

for Teams

• Identify internal coach

candidates

• Lean Product Development for Product Owners

• Servant Leadership and EBA for Leaders

• Launch internal EBA coach mentorship program

• Training to address Team

Health Gaps

• Change Mgmt. & Marketing

Campaign on EBA What, Why

& How

• Establish organizational growth

process

Q4 2016 Q1 2017

Oct Nov Dec

• Overview of EBA for Capability/Program

Leadership• Design

Capability/Program stable teams

• Alignment on meeting schedule & roadmap

• Pilot Kickoff

• Stand-up Capability/Program

Team & Stable Teams

• Stakeholder engagement

• Address top foundational

gaps for teams

• Multi-Team Program Planning Workshop

• EBA Education

• Effective Facilitation for Scrum Masters coaching

• Stabilize Capability/Program

• Optimize Capability/Program –

improve process and culture

• Capability/Program

transformation Health

Assessment, executive briefing

• Stand-up community of practice

for scrum-masters

Sw

im L

an

e 1

Sw

im L

an

e 2

• Pilot Kickoff• Overview of EBA for

Capability/ProgramTeam• Design Capability/Program

Teams

• Alignment on meeting schedule & roadmap

• Multi-Team Program Planning

Workshop

• Stand-up and Optimize the

Capability/Program Stable

Teams

• EBA Health Assessment,

executive briefing

• Stand-up Capability/Program

Team & Stable Teams

Jan

• Stand-up Communities of Practice

• Establish organizational growth process

• Lean Product Dev Training

• Servant Leadership and EBA for leaders

• Launch internal EBA Coach mentorship

program

• Capability/Program Stable teams

coaching and mentorship

• Individual role coaching and training

• Continue Baseline assessments of

stable teams and gaps coaching

Feb +


Roadmap with EBA Pillar Lanes


Roadmap – Months & Quarters

47


Tip: Use tools likeIdeaBoardz.com or

Trello to create virtual roadmaps

Workshop –Transformation Outcomes

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Transformation Outcome Card Template

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Objective Title:

Hypothesis Statement/ Description:

Key Results / Metrics:

Title Metric Now Goal By Date Groups/ Team(s)

Customer/org Impact metric

Transformation Risks

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Identifying Transformation Risks

• Based on what has been discovered so far, identify anything that may prevent you from achieving the transformation outcomes

• Iteratively identify and address risks at all planning sessions and through your change management activities

• Use collaborative exercises to identify risks and risk mitigations

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Doomsday Clock

Use the Transformation Success Measures to collect risks around the Doomsday Clock

Faster Tim

e to

M

arket

Pivo

ts are

Mad

e


Categorize the Risks

53

ROAM Risk Categorization

• Resolved – has been addressed; no

longer a concern

• Owned – someone has taken

responsibility

• Accepted – nothing more can be

done. If risk occurs, PI may not yield

the planned results

• Mitigated – team has plan to adjust

as necessary


Workshop –Transformation Risks

54

Transformation TeamHow to eat an elephant!

55


The Common Tracks of a Transformation

Teams & Streams

Agile/Lean Portfolio

Customer Experience & Lean Product Development

Technical Transformation

(DevOps, Tooling,

Continuous Dev)

56

Cultural & Leadership & Make it Stick


Transformation Team Structure

Program Manager

TransformationLeader

Product Owner

FacilitatorSolution Lead

Enterprise Coach

Sponsor

Sr. Executive

• Program Coaches• Team Coaches• Change Manager• HR Partner• IS Manager• Metrics Data Analyst• …

“What & Why”

“Process”“How”


Transformation Team Formation

• Create the Transformation Backlog

• Set the Iteration Cadence (Time box)

• Establish Team Norms

• Conduct Planning I Sprint Planning

• Coordinate & Sync Regularly I Standup

• Schedule Working Sessions I Story Development

• Refine the backlog (Grooming)

• Inspect & Adapt (Reviewing -> Demo -> Retro)


Transformation Team Allocation

• Team members are often not fully allocated to the transformation team

• Schedule working sessions to bring the team together to complete items in their backlog


Enablement Centers of Excellence

Line of Business

Agile

DevOps

Design Thinking

Leadership & CultureLean

Business Agility COE


Workshop – Build YOUR Transformation Team

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Workshop – Team Cadence and Norms

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Transformation Change Management


Lean Change Management

Source: http://leanchange.org/lean-change-management/

https://www.youtube.com/watch?v=G4PBz7gn-fo

http://leanchange.org/lean-change-management/


Strategic Change Canvas

65

http://leanchange.org/resources/canvases/

Designed for large organizations. Puts the emphasis on the questions that matter



Change Options Canvas

66


Use this Change Options board to quickly prioritize and classify the types of activities to work on.



Force Field Analysis

Tip: There is a facilitator guide on the EBA site

Force Field Analysis is a powerful tool widely used in change management, originally developed by Kurt Lewin

Present State OR

Future State

Driving Forces

Restraining Forces


Experiment Tracker Canvas

68


Be explicit about using change experiments.

This will help you focus on the outcome of the experiment.



Workshop – Change Options Board

What are some changes we could

try?

Documents

Transformation Strategy Session - AgilityHealth · Transformation Strategy Goal: Education on the EBA Pillars and how to define a Business Agility Transformation Outcomes: • Understanding