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Agile Culture Report 2019 - Caroline Taylor
Agile Culture Report 2019 - Caroline Taylor
BE-ING AGILE
Walking the Talk
Future of Work series
June 2019
©Walking the Talk, Ltd, 2019 All rights reserved | WTT1
Unlocking the secrets of an agile culture
What is important to your customers and stakeholders? What do they want and need and when do they need it?
Can you deliver better and faster than your competitors?
More and more we hear from leaders that they need their organisations to be more flexible and responsive to the market. They need
to develop the speed to anticipate, pivot and be ready for whatever comes toward them. They need to be agile and want a culture to
support that – an agile culture.
But what does an ‘agile culture’ really mean? As experts in culture we have set out to answer this question. In a spirit of co-creation,
we have gone out to the market and listened and learned from the views of leaders in over a dozen leading organisations across
multiple sectors, from financial services, to telecommunications, consulting and academia, to technology. We have combined these
insights with Walking the Talk’s 30 years of research and delivery experience in culture and, in this report, we present our learnings.
report
behaviour and mindsets that together bring organisational benefits.
Identify critical missing pieces, hidden Find out how agile your culture is and
Understand what an agile culture means;
strengths, or common challenges to assess whether your people have an agile
learn what is critical to get right, anticipate
discover how to unlock a fuller potential of mindset to build in sustainability and
where to focus in order to position agile
agile culture. avoid the pitfalls of growth.
successfully for your organisation.
Why agile?
Think of yourself as a customer. You demand immediacy; you Now think of businesses responding to this in the current
want to be understood; you expect improvements; you expect economic environment. In this highly competitive, fast
high levels of service, whether it is for internet connectivity, moving environment of constant change, the main
banking, shopping, healthcare, or entertainment. And you imperatives of business have to be:
have more choices than ever.
The Economist Intelligence Unit found that 90% of executives believe organisational agility is critical for business success. Thanks to our research, we know that the organisations that can adapt faster than others,
deliver value for customers, not spend a dollar more than they need to in order to get there and can fail fast will thrive in the world that we live in today. Supporting this, MIT research found that agile firms grow
revenue 37% faster and generate 30% higher profits than non-agile companies.
But what is the fastest, most efficient and sustainable way of getting there?
Agile as a process,
There’s a big difference between implementing something that you do
Agile and having an agile culture. To move Implementing Agile involves following a
set of specified methodologies and
beyond DO-ing Agile to truly BE-ing agile. daily routines and practices. Agile
usually exists within 1 or 2 pockets only
(i.e. HR, technology, retail).
agile
Adjective | ag-ile | \’a-jel,-ji(-e)|\ agile as a way of
BE-ing
able to anticipate,
Distinct, enterprise-wide cultural characteristics
pivot and respond required to be an agile organisation that is
intentionally shaped through behaviours,
quickly symbols and systems and underpinned by
enabling beliefs and mindsets.
Definition BE-ing
Do-ing Have
In an agile culture the customer sits at the Mindset &
heart of what people do and think.
Behaviours Outcomes
belief
There is a genuine interest and curiosity in
customers– who they are, what is important to
them and how you can help them solve their
problems or enhance their business/life. Mindset: Continuous customer Market share.
Curiosity engagement. Increased NPS.
Customers become active participants not Co-creating. Value for
passive recipients. Time is spent continuously Belief: I don’t Listening. customers.
connecting with them and, as their needs flex have all the Customer Unlocks purpose
and change, so can the solution which can be answers – there empathy & interest. motivation.
tested for fit. There are few surprises. is more than one Flexing and
right way. adapting.
The ability to ask good questions and deeply
listen are core skills.
Curiosity;
Improvement;
Being an expert is no longer important.
Tolerance of
mistakes.
Definition BE-ing
Do-ing Have
In an agile culture people believe that they Mindset &
Behaviours Outcomes
are responsible to deliver to others and belief
leaders trust their employees will deliver on
their promises.
Definition BE-ing
Do-ing Have
In an agile culture unlocking the potential of Mindset &
people in teams becomes fundamental to Behaviours Outcomes
belief
success as problems are too complex for
individuals to solve on their own.
Definition BE-ing
Do-ing Have
In an agile culture there is openness to Mindset &
feedback and learning and testing and
Behaviours Outcomes
belief
experimentation are at the heart of how work
is structured.
Mindset:
Mindset: Curiosity Mindset: Learning Mindset: Teamwork
Personal Responsibility
Creating an agile culture involves fundamentally rethinking how you run your organisation and the following
pages share insights on how organisations are doing this.
Many of the organisations that we spoke to shared three challenges that leaders face when
Ii
shifting to leading in an agile culture:
Remember:
Leadership and structure are still
• Letting go of control – being in control has historically yielded results for many leaders.
necessary in agile cultures
• Not having all the answers – historically leaders have been trained to have the answers.
• Tolerating mistakes – whilst people learn faster when they make mistakes, senior leaders
don’t like to make mistakes.
(Customer-centricity) (Self-direction)
I don’t have all the answers How a great leader thinks I can relinquish control
(Experimentation)
(Collaborative networks)
Mistakes are learning opportunities
(Customer-centricity)
(Customer-centricity)
Keeps the team aligned around
Prioritises
shared purpose
(Self-direction) (Self-direction)
Empowers Walks their talk
(Experimentation) (Experimentation)
Creates a safe environment Course corrects quickly
01 02 03 04
Achievement
Purpose Autonomy motivation Social Interaction
“A sense of accomplishment
“A sense of being in “A connection with others”
“A sense of making a linked to work”
control of your destiny” We are innately social
difference” Achievement is activated when
Autonomy is activated creatures, so the social
Purpose is activated when individuals experience success
when people have the interaction is activated when
individuals see that their associated with their performance
we are connected and
effort and their work has ability to influence how and accomplishments associated
with their activity are tangible and interacting with others, feel
meaning. they deliver their work.
regular. safe and understood.
CUSTOMER- COLLABORATI VE
CE NTRICITY SELF- DI RECTI ON EXPER IMENTATION NETW ORKS
(Customer-centricity)
(Self-direction)
I am curious and interested How an agile employee thinks
I am responsible for the
about customers
outcomes we achieve
(Collaborative networks)
(Experimentation)
Working in a team makes Feedback sooner is better
things better
(Customer-centricity) (Customer-centricity)
Continually engages with Adapts based on customer
the customer feedback and insight
(Self-direction) (Self-direction)
Is autonomous Is reliable & trustworthy
(Experimentation) (Experimentation)
Learns from failure Is open & curious
Testing, failing,
Involving the Regular
Development learning, Connecting
customer Delivery
experimenting
Employees are trained and Continuous improvement is Time is spent talking with
Customers are listened coached in Agile from emphasised: people spend a others –between team
to, and continually Cycles are short: beginning to end – it’s great portion of their time members AND across teams –
invited to participate. ongoing and continuous. testing, providing feedback understanding what they are
implementing, launching, and learning. Individual doing, priorities and resolving
Investment - time and testing and assessing Invest in events, activities feedback is frequent and any blockages rapidly.
money – is made in the and specialised coaches: transparent.
usually happen in two
✓Behavioural experiments; There are shorter and smaller
collection of customer week cycles.
✓Intensive training sessions Companies invest in a ‘failure meetings oriented around
data and testing.
and boot camps; budget’; failure parties; decision-making
✓Leadership programmes. monthly experimentation talks.
Customer-
Internal focus
“The biggest challenge is that centricity
it takes time… it is not an agile is a very different way
of thinking and working
instant thing. You can’t just
Command and few of the organisations
turn on a switch and it Self-direction
& control that we spoke to felt that
happens, and everyone takes a they had fully mastered the
different amount of time to transition to an agile culture.
adopt it. People need to hold Many were grappling with
Perfectionism Experimentation tensions resulting from new
their nerve and ride it out”
and different ways of
(Leader, Financial Services
working – these tensions are
company)
reflected here.
Mechanistic Collaborative
(silos & bureaucracy) networks
Solution: Recognising and actively managing the tensions that agile can create
in your organisation will help you manage resistance.
01 ©Walking the Talk, Ltd, 2019 All rights reserved
03 Troubleshooting: Top eight cultural challenges
Solution: Start with and leverage your strengths but find the underpinning beliefs and behaviours that will unlock ALL of the agile
patterns of behaviour for your organisation. It is only by unlocking all the patterns of behaviour that you can become truly agile.
TRAPS: TIP S:
Agile as a set of tools VERSUS Agile as a mindset
Trying to implement Agile by focusing on the rituals Instead of trying to “do” Agile, try to
alone can, paradoxically, lead to greater rigidity and “be” agile. This will create the right
less space for empowerment and experimentation. mindset and help agile stick.
Implementing agile in pockets may lead When you implement agile enterprise-wide:
to a number of challenges:
✓ Role modelled in all parts of the organisation.
x Inconsistent role modelling. ✓ Organisation-wide symbols that enable
alignment and a common language.
x Inconsistent messages.
✓ Organisation-wide systems can be aligned.
x Processes are not aligned.
✓ Collaboration is created across different
x Disconnect between teams.
functions.
✓ Learning is shared organisation-wide.
The existing culture will make it difficult
for agile to flourish. agile becomes a mindset and part of the culture.
Agile is an evolving way of working. It has proven successful in pockets but fewer stories of enterprise agile transformation.
Solution: Think enterprise from the start – engage leaders at the top in the mindset of agile.
01 ©Walking the Talk, Ltd, 2019 All rights reserved
03 Troubleshooting: Top eight cultural challenges
Solution: agile must include outcome thinking (design thinking; customer-centricity) otherwise attention goes to the
most urgent, though not necessarily most important activity.
01 ©Walking the Talk, Ltd, 2019 All rights reserved
03 Troubleshooting: Top eight cultural challenges
VERSUS
A traffic light dictates to the driver when to stop and when to go
whereas a roundabout hands control back to the driver, but is
designed to manage risks. In this system, people make the decision
when to stop and when to go based on the drivers around them. This
requires more responsibility as well as more visibility of others’ actions.
Any situation can be looked in two ways: above “That was probably a learning.
the line and below the line. We started off with just the
goal and then we realised that,
When above the line an individual believes that in
actually, guardrails needed to
any situation, they have a choice about how they be part of that set-up. […]
respond – response-ability. When below the line Then people truly are
individuals involves blame others for their situation empowered and feel like they
- avoid, deny, defend. An agile culture makes it can get on.”
(Leader, Telecommunications
safe to stay above the line. Being above the line company)
drives individual accountability and opens the
door to learning and solutions.
Solution: Set a framework for action: a clear framework and guardrails that encourage people to
take responsibility and find what they can control in any situation (think above the line).
FOCUS PAY AT T E N T I O N
Collectively focus your Become masters at encouraging
energy on a few key things. agile behaviour & discouraging
SHADOW OF the behaviours that you want to
move away from.
THE LEADER
We have aligned
We understand our symbols and systems to Our leaders are agile We have created
current agile culture an agile culture culture role models new habit patterns
We have identified where We have identified and Our leaders clearly articulate We have set new standards
we are making good changed the key symbols our purpose. and ‘guardrails’.
progress on an agile culture. that will make the biggest
impact on agile working. Our leaders have shifted We have created a
We know what blocks agile their behaviours and beliefs. movement.
working. We have introduced new
processes and routines. Our leaders set clear We have shifted collective
We have identified the root behavioural expectations beliefs.
causes of blockages and We have identified and through their own example –
what needs to change. changed a few key systems by being role models. We connect with customers.
that will make the biggest People demonstrate
We have created a impact on agile working. Our leaders empower personal responsibility.
measurement baseline. people to step forward and
take accountability. We enable collaboration.
We give feedback.
Q1 Q2 Q2 Onwards Q3 Onwards
Target culture visioning: Culture planning team: Individual and team focus: Building momentum:
Agile for your organisation. Learn to be influencers of change. 360°, 1:1 advisory, observation, Agile narrative; activating
team workshops, micro-learning, champions, role models and
Qualitative & quantitative research Culture plan: peer coaching, behavioural influencers.
Focussed systems & symbols to program, toolkits.
Focussed blueprint for change accelerate change. Behavioural Programmes
Mindset & behaviours shift.