location_city Bengaluru schedule Mar 25th 03:30 - 04:15 PM place Grand Ballroom 1

Good engineering practices and fail-fast, iterative, low-ceremony processes help achieve team level agility. They are necessary but not sufficient to scale agility across the IT organization. In this talk, I'll address what else is needed and why. In particular, I'll address:

  1. Why plan-driven IT projects are a bad idea why we need value-driven projects instead
  2. Why a matrix org is a bad idea for IT and why we need cross-functional teams instead
  3. Why IT budgeting needs to change from being project-based to being team-capacity based
 
 

Outline/Structure of the Talk

Why IT projects are a bad idea
I'll start off quoting industry reports on the abysmal track record of projects. It is clear that we rarely deliver to plan. Even when we do, the projected business benefits are rarely realized.
I'll explain that predictability is a problem even if the team is following Agile practices and doing continuous delivery. I'll explain that the root cause is a fundamental misunderstanding of the software development process as a production process rather than a design process. Very few people really get this and it is key to stop chasing predictability.
Product development shops implicity understand this. They operate using roadmaps and product backlogs rather than release plans. The idea is to settle for a reliable process rather than endlessly chase predictability.
Enterprise IT can also shift into reliability mode by avoiding projects and opting for long lived, capability teams.
Why a matrix org is a bad idea for IT
I'll explain traditional motivations for matrix org - chiefly utilization and cost-efficiencyHowever, these days, responsivess (time to market) is more important than cost-efficiency.

Better time to market implies lower cycle time implies smaller batch size implies inexpensive handoffs implies cross-functional teams.
Why IT budgeting needs to change
IT budgeting influences execution model which influences staffing modelProject based budgeting encourages a model of delivering to plan (never mind value). It can only afford temporary teams.

Instead, team capacity based budgeting encourages a model of delivering value, It can support long lived teams at no extra cost.

Learning Outcome

  1. Why does  predictability elude software development?
  2. How variable-internal-scope projects can deliver value reliably if not predictably.
  3. Why shorter cycle times require cross-functional teams.
  4. How IT can better serve the business with a capabilities model rather than a projects model.
  5. How #4 can be supported by team-capacity based budgeting rather than project based budgeting.

Target Audience

IT leadership from non-IT-service organizations e.g. ISVs, GICs, Enterprise IT

schedule Submitted 5 years ago

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