how to embrace a culture of continuous experimentation and learning, to transform our business to an adaptable, resilient Lean Enterprise.

@barryoreilly #LeanEnterprise

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WHY IS IT SO HARD?

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WHO’S IDEA WAS THIS?

3Purple Flying Hippo, http://earcl01.deviantart.com

4http://www.whataboutwatermelon.com

5http://www.whataboutwatermelon.com

6http://www.whataboutwatermelon.com

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NETFLIX CULTURE MANIFESTO

Provide a principles based framework of the culture to tell people how they are expected to perform;

▫︎ Values are what we value

▫︎High performance

▫︎ Freedom and responsibilities

▫︎Context, not control

▫︎Highly aligned but loosely coupled

▫︎ Pay to of the market

▫︎ Promotions and development

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THOUGHTWORKS MANIFESTO

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ALIGN PEOPLE TO THE WORK

▫︎Provide Leadership

▫︎ Foster good decision making by creating visibility and transparency

▫︎Hire and retain the right people

▫︎Create a learning environment

▫︎Purpose, Mastery, Autonomy

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Doubt is not a pleasant condition,

but certainty is absurd.

- Voltaire

12Online Experimentation at Microsoft, http://ai.stanford.edu/~ronnyk/ExPThinkWeek2009Public.pdf

13Microsoft

SAVING HIPPOS FACE

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SAFE TO FAIL EXPERIMENTS

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LIMIT LOSS, RAMP UP SUCCESS

17Antifragile by Nassim Nicholas Taleb

INNOVATION HORIZONS

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BUSINESS MODEL STRATEGIES

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Explore▫︎Uncertainty

▫︎Complex

▫︎ Emergent

▫︎ Experimental

Exploit▫︎ Improved understanding

▫︎Cause and effect

▫︎Accumulated knowledge

▫︎ Forecast

INNOVATION PORTFOLIOexplore exploit sustain retire

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INNOVATION PORTFOLIOexplore exploit sustain retire

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INNOVATION PORTFOLIOexplore exploit sustain retire

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INNOVATION PORTFOLIOexplore exploit sustain retire

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INNOVATION PORTFOLIOexplore exploit sustain retire

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INNOVATION PORTFOLIOexplore exploit sustain retire

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INNOVATION PORTFOLIOexplore exploit sustain retire

kill(at any point)

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INNOVATION PORTFOLIOexplore exploit sustain retire

kill(at any point)

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INNOVATION PORTFOLIOexplore exploit sustain retire

kill(at any point)

disrupt

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EXPLORE

▫︎Cross-functional multi-disciplined teams

▫︎ Lots of small bets

▫︎ Safe to fail experiments - only failure, is failure to learn

▫︎ Enough funding to do something, but no so much as to do nothing

▫︎Create a sense of urgency

▫︎Demonstrable evidence of value to proceed

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Etsy

EXPLOIT

▫︎ Kill projects, create end to end value stream customer facing teams

▫︎Continuous evaluation for funding model

▫︎Achieving break even point

▫︎Data-driven fact based decisions

▫︎Maintain a sense of urgency

▫︎ Set a vision, trust the team to get there, clear blockers and support as they proceed

▫︎Make sharing and organizational learning easy

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SUSTAIN

▫︎Beware of feature factory fallacy

▫︎ Keep laser focus on what is valuable - where we can win

▫︎Do no get lazy, success hides sub-optimal issues

▫︎ Keep discipline with fact based decisions

▫︎What is being used, improved or removed?

▫︎How could we disrupt or get disrupted - do we care?

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RETIRE

▫︎Has it serviced its purpose? Sunset

▫︎ It is providing value? Kill it?

▫︎Are there better opportunities to invest in?

▫︎ Remove product and system complexity

▫︎ Simplify to support further innovation

▫︎ Free up funds and capability

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MAKE IT YOUR OWNNo Silver Bullets

Smoking Bullet, https://www.flickr.com/photos/blgphoto/4928695143

IMPROVEMENT KATA

31Mike Rother, Toyota Kata

Toyota Kata defines management as, “the systematic pursuit of desired conditions by utilizing human capabilities in a concerted way.”

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