Week 2: Understanding current state and sense of urgency
Welcome to my newsletter "Strategy for Success"🚀, where I will unfold my journey week by week toward organizational transformation. Each edition is a passport 🛂 to a week in my shoes, unveiling the challenges faced, and strategies implemented to redefine how we work and shape the future of our organization.
During the first week, we made contact with several department managers to learn more about their particular situation right now. Click here to read more about the first week.
This week, we will discover the current organizational state, pinpoint the problem areas, and establish the urgency. Now grab your preferred beverage, take a seat, and get ready to explore the agile revolution.
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Day 6: Defining Measurement System!
"Good morning, Jon," I greeted, taking a seat at the end of the table.
"Morning," Jon replied in his usual deep tone. "What's on the agenda for this week?"
"Today we're going to define a measurement system that will help us pinpoint the areas that need improvement," I explained. "And tomorrow, we're going to go through some of our process and product documentation to see where we are currently. It's a big job, but I think it's going to be valuable in the long run."
I opened Trello and showed him the items for this week in the Transformation Backlog.
"Sounds like a lot of work," Jon said, his expression serious.
"Indeed, it is," I agreed, "which is why we need your approval and support."
"If it's going to help us improve our customer service, I'm all for it. Just make sure you keep me updated on your progress," Jon said.
"Absolutely," I nodded, feeling energized by his approval. "We're all committed to delivering better customer service and improving our way of working across development and operations."
"Good to hear," Jon said, his features softening slightly. "I know you're passionate about this, and I have confidence you'll lead the team to success."
"Thank you, Jon," I said, feeling a swell of pride. "I won't let you down."
"Okay, so what's our first step?" Jon asked, leaning forward.
"I am going to meet my team right now and we will come up with the first draft of the measurement system for your review,” I suggested.
Jon nodded slowly, seeming to consider my words. "Good. And I hope you are using the Balanced Score Card tool for this. Keep me updated on your progress."
"Yes we are using BSC and sure will keep you updated," I said, smiling.
🛠️Tool-Of-The-Trade: Balanced Score Card - Use it as a strategic management tool that helps track and measure performance across four key perspectives: financial, customer, internal processes, and learning and growth.
I step into the conference room where the team is already gathered around the table, each with their laptops and notepads at the ready.
"Good morning, everyone," I say with a smile, taking my seat. "I hope you had a great weekend."
"Today, we're going to define the measurement system for success."
The team nods in agreement, and I can sense their excitement for this next step. We identified the following parameters for our measurement system after a collaborative discussion about it and taking a look at the current system.
We looked at existing management reports and refined the set of metrics that takes a balanced approach to various perspectives of Financial, Customer, Internal Process, and Learning & Growth. This was a good starting point for an initial review with Jon.
And we know that this list will be revised based on our upcoming Gemba Walk, process and product document walkthrough, and interviews.
Later in the evening, I walked through the Measurement Design spreadsheet and took input from Jon on various KPIs. This was intended to help me prioritize and align our focus area.
Day 7: Preparing for a Gemba Walk!
I walked into the conference room, eager to prepare for the Gemba Walk starting Wednesday.
🛠️Tool-Of-The-Trade: Gemba Walk - is visiting the "real place" (Gemba) where work happens to observe, ask questions, and learn about processes firsthand.
As a team, we began planning our approach toward this.
Step 1: Where should we visit first? IT Ops, Prod Development, Customer services, etc.
Step 2: What are we hoping to uncover? Knowing our goal will keep us focused on the treasure, not the pebbles.
Step 3: Let's sketch a rough outline of our walk. Who will we chat with? What questions will we ask? Remember, open-ended and curious, not interrogation mode!
Step 4: Let's give the team a heads-up! No surprises here. Briefly explain our mission, timeline, and how their input will be invaluable. Transparency fosters trust, and trust fuels a fantastic Gemba walk.
Day 8-10: On a Gemba Walk!
We walked into the software development team's workspace, ready for the Gemba Walk.
"Hey, Anand! Over here!" Mira called out, waving me over to her desk. "We're really glad you're here to help us sort out this mess."
"Thanks, Mira. We’re happy to be here," I replied, taking a seat next to her. "Let's get started, shall we?"
As we started walking through the Development area, Mira said, "This is Sameer, our business analyst." approaching the team member from business analysis.
"Sameer, can you walk us through your process for capturing user feedback?" Mira asked Sameer, noticing the frazzled look on his face.
"Sure thing," Sameer replied enthusiastically. "I usually start with discussing with stakeholders to get a general idea of what our customers want. Then, I create user stories and use cases to clarify their requirements."
"Great," I said, nodding. "But what if there are conflicting or unclear requirements?"
"Ah, that's where we've struggled in the past," Sameer admitted. "We've tried to resolve those issues through email or chat, but it ends up being confusing and time-consuming."
"Can you give me an example of a recent miscommunication?" I asked.
"Sure," he replied, furrowing his brow in thought. "Last week, we received feedback from a stakeholder about a feature they wanted to see in the product. However, the message wasn't conveyed clearly, and we ended up building the wrong functionality."
As we delved deeper into the issue, it became clear that incomplete user requirements were causing delays and rework across the entire team.
"Ah, I see," I nodded in understanding. "How do you usually handle stakeholder feedback?"
"We have weekly meetings where we discuss any feedback or concerns they have," Sameer said. "But sometimes the message gets lost in translation."
"I understand," I said, emphasizing the importance of clear communication.
As we continued our walk, where we had data about high defect rates.
"Hey, Akash, can you walk me through your testing process?" Mira asked, approaching the team member who had caught her eye earlier.
Akash hesitated for a moment before launching into a detailed explanation of the testing procedures. While he knew his stuff, it was clear that there was room for improvement. We observed signs of inadequate testing coverage and inefficient code review practices. These were major contributors to the high defect rates the team had been experiencing. There was a lack of clear communication between the different teams, which led to misunderstandings and rework down the line.
We kept taking notes as we engaged in discussion around various aspects of the Gemba Walk that we planned for.
"Thanks for explaining that, Akash. I think we would benefit our understanding," I suggested.
As we continued discussing with various team members across the entire workflow, it didn't take long for us to notice a pattern emerging – several team members seemed unsure of the exact requirements for their tasks, leading to confusion and wasted time. We noticed that communication between the development teams and stakeholders was sporadic at best. Requirements were often unclear or incomplete, leading to rework and missed deadlines. Inefficient code review practices and inadequate testing coverage lead to higher defect rates.
"Anand, I appreciate your team’s attention to detail and dedication to the department’s processes," Mira said as we wrapped up our Gemba walk.
"Sure, Mira. We are always there to help everyone work efficiently and effectively" I replied, nodding thoughtfully.
The next three days flew on Gemba Walk across various departments. And we captured all the inputs in a well-organized workspace.
It was a Friday evening. Me and my team were reviewing various department documents to understand more about the way of working.
"Anand?" Jon’s voice interrupted my thoughts. I looked up to see him standing in my doorway.
"Hey, Jon," I asked, setting aside my work.
"So late in the office!" Jon asked, looking slightly impatient.
"We've been reviewing the documentation and customer feedback. I think we're on the right track," I replied.
Jon nodded slowly, seeming to consider my words. "Good. Now relax and regroup on Monday."
"Will do," I said, smiling.
As the weekend approached, we packed our laptops and took a moment to reflect on the progress and accomplishments made so far.
⏳Coming Up Next Week
Next week, I am going to work with my team and Jon’s team for the Value & Vision exercise to bring alignment between various departments toward a common goal of organizational transformation.
It is going to be a roller-coaster ride and I cannot help but feel a sense of optimism. This is the power of collaboration and innovation in action - and I know that it will lead us to even greater success in the future.
🛠️Tool-Of-The-Trade
1. Balanced Score Card
What is BSC:
BSC is a strategic management tool that helps organizations measure and manage their performance, measuring progress, and ultimately achieving their strategic goals by tracking progress across four key perspectives:
Financial: Profit, ROI, market share – how profitable is the business?
Customer: Satisfaction, loyalty, market share – how happy are your customers?
Internal Processes: Efficiency, quality, innovation – are your operations running smoothly?
Learning & Growth: Employee skills, motivation, sustainability – is your organization future-proof?
When do I use the BSC:
To translate lofty goals into actionable metrics, ensuring everyone drives towards the same vision.
To track how your finances, processes, people, and customer relationships contribute to success.
To break down silos and bring alignment. Everyone, from executives to frontline workers, understands how their actions impact the big picture.
How do I use the BSC:
What does the organization/business want to achieve?
Choose Key Performance Indicators (KPIs) for each perspective.
Set achievable targets for each KPI.
Regularly review KPIs and adapt strategies as needed.
Share the scorecard across all levels, fostering ownership and buy-in.
The Balanced Scorecard is a powerful tool to track progress towards strategic goals.
2. Gemba Walk
What is Gemba Walk?
A Gemba Walk is visiting the "real place" (Gemba) where work happens to observe, ask questions, and learn about processes firsthand. In product development, this means visiting the developers, users, or even production facilities to directly see how the product is being built and used.
The goal of a Gemba walk is to gain valuable insights and identify opportunities for improvement. By asking insightful questions and actively listening to the team, I gather valuable information to make positive changes toward organizational transformation.
Gemba Walk helps in:
Improved product quality and user experience
Increased efficiency and productivity
Enhanced team morale and engagement
Data-driven decision-making based on real-world observations
When do I go to Gemba Walk?
To reveal inefficiencies, communication gaps, and unforeseen challenges.
Seeing firsthand the daily struggles helps me understand which problems deserve immediate attention.
To boost team morale and communication by showing how their work is valued and fosters open communication.
To experience users interact with the product in its environment reveals valuable feedback and potential areas for improvement.
How do I Gemba “walk?
Plan your "walk": Define the area or process you want to observe, set objectives, and prepare open-ended questions.
Go and see: Actively observe work, talk to team members, and ask questions without interrupting their flow. Focus on understanding challenges and opportunities, not finding fault.
Show respect and ask why: Listen actively, encourage honest feedback, and avoid blame. Remember, the goal is to learn and improve, not criticize.
Analyze and synthesize: Reflect on your observations, identify key takeaways, and discuss potential improvement ideas with relevant stakeholders.
Take action: Don't leave it at observations! Develop concrete plans to address identified issues, prioritize improvements, and track progress.
By conducting regular Gemba walks, I gain invaluable insights that help drive a culture of continuous improvement and ultimately build better products.
💡Tips-Of-The-Week
This week was focused on using quantitative and qualitative data to understand the organization's current state and craft a sense of urgency.
During this time:
Focus on actionable insights: Don't get overwhelmed by data; identify key metrics that directly relate to your specific problems and transformation goals.
Involve stakeholders: Collaborate with different teams and individuals to gather diverse perspectives and ensure alignment with the agile transformation roadmap.
Visualize your findings: Use charts, graphs, and dashboards to make data more accessible and impactful.
Flexibility & Adaptability: Be prepared to adapt your approach and plan based on the emerging data and feedback received.
Positive Reinforcement: Celebrate successes and milestones along the way to keep engagement high and reinforce commitment to the transformation journey.
For Gemba Walk:
Don't just ask closed-ended questions. Encourage open dialogue and active listening.
Observe the work environment and ask questions about anything that sparks your curiosity.
Focus on understanding the "why" behind things, not just the "what."
Maintain a respectful and collaborative tone throughout the walk.
Tailor your questions to the specific team, project, and any challenges you've identified.
Reflections
Time for you to reflect on this week’s question.
What quantitive and qualitative data and metrics are you using to support your current state assessment and prioritize problems?
How satisfied are your stakeholders (employees, customers, investors) with the current state? Is there a growing sense of frustration or urgency for change?
What are the potential risks and consequences of failing to address the identified problems?
Book Recommendation
This week, I recommend reading the book “Start With Why!” by Simon Sinek.
The book "Start With Why" by Simon Sinek explores the central query of leadership: what distinguishes genuinely remarkable and long-lasting companies from those that are merely prosperous? His solution is found in the Golden Circle, a theory explaining why certain things have a strong emotional connection for people while others just function as commodities.
The Golden Circle completely upends the conventional paradigm of communication. The majority of businesses concentrate on their "What"—their activities, goods, and services. Some have mastered the "How" as well, with their special techniques. But greatness, in Sinek's opinion, is found in the "Why," or the fundamental idea, motivation, or purpose that propels them.
The book explores the neurological bases of this phenomenon, elucidating how the "What" and "How" only reach the neocortex, the rational portion of the brain, while the "Why" activates the limbic system, the emotional center. Organizations can motivate people to take action and show dedication by establishing emotional connections that go beyond simple business dealings.
Sinek provides a set of useful activities to assist people and organizations in finding their own "Why." He delves into the notions of the "Circle of Competence" and the "Circle of Passion" to identify the points at which skills and purpose converge. Leaders who experience this self-discovery are better able to connect with others, communicate authentically, and make choices that are consistent with their basic beliefs.
I recommend this book to anyone who wants to make a meaningful impact.
Further Reading
Metrics Masterclass: Your One-Stop Guide to Choosing the Right Data for Every Goal
https://targetagility.com/metrics-masterclass-your-one-stop-guide-to-choosing-the-right-data-for-every-goal/
Remapping the Organizational Landscape - 3 Crucial Shifts for Success
https://targetagility.com/remapping-the-organizational-landscape-3-crucial-shifts-for-success/
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“Once we start acknowledging that there is no right or wrong answer to complex problems, our focus shifts from being judgmental to that of explorational!”
Anand Pandey