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New Report: Mastering Digital Disruption with DevOps

Screen Shot 2016-03-23 at 13.53.08Today we’re launching the closing piece of our research series on disruptive innovation: ‘Mastering Digital Disruption with DevOps‘. In the earlier works we sketched the design principles of the new competition. Two-sided market players are taking over control in every market and a new wave of platform innovation is to be expected: The blockchain.

There are no easy fixes. Startups are faster, more engaged and more customer obsessed. The only way to tackle the incompetencies of incumbents is to change the way the organization works: Its culture, its management, its obsession with bureaucracy. How should incumbents respond to these kind of market changes? The answer we present in the closing (fourth) report is:

 

1 Innovate management

2 By doing DevOps

3 In order to become anti-fragile

 

Screen Shot 2016-03-23 at 13.29.10

The long term objective is to create an organization that gains strength form disruption. A state of Antifragility. Nassim Taleb has introduced the concept of the black swans. Well, the black swans have arrived and there are more to come. Antifragile organizations are welcoming them.

Want to master Digital Disruption? Download our new report on Disruptive Innovation and read all about DevOps as a strategy for management innovation here.

 

 

 

 

 

 

Selecting an Enterprise Operating Model Based on the Business Model Design

In Part 3 of the Enterprise Architecture for Business Model Innovation Series, an enterprise operating model will be selected based on the business model design described in Part 2, Using Design Thinking to Design Business Models.

Identifying an Operating Model

An operating model is the first layer in the foundation for execution in an enterprise architecture.  The operating model is the business process standardization and integration necessary to deliver value to Customer Segments.  It is the conceptual component in the organizing logic that defines an enterprise architecture.  In this sense, the operating model is the initial manifestation of the business model when it is deployed as it indicates how value is created, delivered and captured by the business units in the enterprise.  Research conducted by MIT’s Center for Information Systems Research found that enterprises implementing an operating model reported the following:

  • 17% greater strategic effectiveness,
  • 31% higher operational efficiencies,
  • 33% more customer intimacy,
  • 34% higher product leadership, and
  • 29% greater strategic agility than those companies that did not.4

Based on survey and case study research at more than 200 companies in the United States and Europe, MIT’s CISR developed a quadrant based on the two dimensions of business process standardization and integration in which high performing enterprises that had implemented an operating model could be classified. [Read more…]

Connected

Connected, by Luke Gilford, is a portrait of a woman grappling with aging, self-perception, and transformation in a technologically optimized world. Jackie (Pamela Anderson) is a burnt-out AuraCycle instructor in the midst of a midlife crisis. She’s obsessed with self-improvement podcasts (voiced by Jane Fonda), and she is soon drawn to an advanced yet enigmatic wellness spa that promises to enhance her mind, body and soul. Guided by her effortless and nubile mentor, Luna (Dree Hemingway), Jackie will give up anything to feel “connected” — to herself, to the future, and to a precarious sense of perfection.

How to measure value? Part 4

Picture of a row of cupcakes

Relative weighting

In Part 1, Part 2 and Part 3,  I explained Theme Screening and Theme Scoring. In Theme Screening we added a weight and made the scoring more relative.

Relative weighting takes the weight factor of Theme Screening to another level and adds the teams estimate to the equation to make a new ranking within the Product Backlog.

Consider the Backlog we have been working with so far:

 1

Cinnamon Apple Cupcake

 2

Liquorice Mint Cupcake

 3

Green Tea, Honey Cupcake

 4

Pecan Salty Caramel Cupcake

 5

Lemon White Chocolate Cupcake

In Relative Weighting we look at the following per theme:

  • What is the impact of implementing this theme scored from 1 to 9.
  • What is the impact of not implementing this theme scored from 1 to 9

We add these two values together per theme and this is the “Value” of the theme.

Then we determine the relative estimation per theme. This is the “cost” of the theme. [Read more…]

Hide and Seek with a GoPro

How to measure value? – Part 3

ToolsIn Part 1 and Part 2 I have given you two techniques that you can use as Product Owner to determine the highest value in your Product Backlog together with your stakeholders. For this blog I would like to tell you about:  Theme Screening

The last time I told you about Theme Scoring; this is fine for doing a single backlog ranking. To use it, pick a base theme every time you start scoring the list of themes you have.

Theme Screening is similar to Theme Scoring.

You have a list of Criteria:

Profit in the next half year
Important for current customers
Base material cost
Recipe complexity

And you have a list of themes:

1 Cinnamon Apple Cupcake
2 Liquorice Mint Cupcake
3 Green Tea, Honey Cupcake
4 Pecan Salty Caramel Cupcake
5 Lemon White Chocolate Cupcake

Yet in Theme Screening you do not pick a base theme. This time you pick a theme where you think the Criteria is best/easiest to determine. For instance, you pick Cinnamon Apple for the Criterium “Important for current customers” because in your survey under the current clientele you have found a demand for Cinnamon Apple Cupcakes.

You pick Pecan Salty Caramel Cupcake as base theme for the “Profit in the next half year” because this flavour combination has turned out to be very popular with the younger upcoming generation based on your market research and tests you have performed on large cupcake conferences.

Base material costs are good with Cinnamon apple and Recipe Complexity is easily determined with the Lemon White Chocolate Cupcake.

Instead of Scoring the themes Better, Equal and Worse you add an extra level. You score the Criteria using the following table:

1 Much worse than the reference
2 Worse than the reference
3 Equal
4 Better than the reference
5 Much better than the reference

For every theme you determine the score it gets compared to the reference.

Next to the Scoring complexity theme screening also normalises the results by adding a weight to the [Read more…]

Blue Eyed Me

This is the world of the 99-cent lifeform. Like a social media profile or an online shopping list tailored to our hobbies, we collect genetically modified pets, engineered to look like their owners.

How to measure value? – Part 2

Cupcake ValueIn my last blogpost I mentioned that I would like to give Product Owners a tool to help them determine value with their stakeholders. One technique I referred to last time, Business Value Poker. In this post I would like to tell you about another technique: Theme Scoring

This is one of the easiest techniques to use as it gives you a firm reference with which to work.

Mind you, you still have to determine the themes for your product yourself. But that is no different from other product management work.

Say you are the Product Owner of a Cupcake factory. You have the hearty cupcake product line as your responsibility. What is the next product in your Cupcake suite of pleasure?

You determine that next to the product “Cinnamon Apple Cupcake” you want to bring out the “Liquorice Mint Cupcake” and the “Green Tea, Honey Cupcake”. One of your stakeholders has told you that there is a fandom for the “Pecan Salty Caramel Cupcake” and the “Lemon White Chocolate Cupcake”. [Read more…]

Woman on Hong Kong subway melts down when her phone battery dies

Source

How to measure value? – Part 1

When I wrote the blog ‘Measuring performance is an act of sabotage’,  I did realise I should also give people a means to measure value. Even though I expect a Product Owner to know his or her business and Scrum does not give an answer on how to measure value because this is different for every business. In this series of blogs I will give you a few hands-on ways to measure value.

Value is not something that is singular. In fact, for everyone value can be something else. Quality time spent with your significant other can be way more valuable than spending more time at work to earn more money. For every company value is different as well.

Non-profit companies will not care about [Read more…]

Kisses in Tokyo

“ili is a voice translation device that translates your words instantly in a touch without connecting to the Internet. Dean, who is from the UK and doesn’t speak Japanese, uses ili to communicate with Japanese women whom he has never met before to ask for a kiss.

We don’t need a common language. We can communicate with anyone in the world even if we don’t speak the same language. Say goodbye to all language barriers!”

The above advert was branded as ‘sexual harassment’, but has been revealed as a stunt, after the CEO admitted the video was staged.The women in this video are all actresses; no one was forced to act against their will in any way.

Smartphone, tablet or your laptop: What would you bring on a deserted island?

ile deserte

What yould you bring first?
Your smartphone, your tablet or your laptop?

Before we go any further on this cornelian choice, let me raise you the story called the Post PC-era: a common IT prophecy arguing there will be no desktop anymore. How will be our workplace with no PC thronging on our office anymore? This question reveals in fact a major issue for your day-to-day business in the next decade, which I’m going to tell you about.

I’m sure you already heard about periscope new trend app. Like all social network, the goal is to cover the maximum of the population. And guess what, the app is only accessible for iOS and Android smartphones. No Windows phone, no Internet Explorer, no PC, nor laptop. So, for innovative minds, PC and Windows are already negligible.

Does it mean that Personal Computers would soon disappear? [Read more…]

Minimum Viable Bureaucracy (MVB)

 

Bureaucracy-1How much bureaucracy can an organization bare in order to be able to respond to disruptive innovation? As less as possible. We can frame that as the “Minimum Viable Bureaucracy”, in sync with the MVP (Minimum Viable Product) from the Lean Startup and DevOps practices. We need just that level of bureaucracy to maintain the choas we need to be innovative, and the structure we need to not fall into total disorder.

But the tragedy of organizational culture is that in it tends to optimize on the wrong stuff. The result is that mediocracy will take over. Although we mean to do well (I think), we don’t know what we’re are doing in optimizing the less important stuff: HR procedures, useless meetings, weird IT procedures, it all alienates people and dehumanizes organizations. No wonder startups can win the fight. It’s taking away resources from the more important elements: humans, clients, obsessions to do  best for them.

It’s all there in writing. Either you look at Clayton Christensen’s “overshooting” theory on disruptive innovation, or in the systems theory of Hannah Arendt’s treatise on the “Banality of the evil”. In the end organizations end up to be mediocre, because they are obsessed with procedures and optimizing what the install based system needs. It just a matter of time for a new generation of companies to take over that focusses on matters of real life.

One way out is the Steve Job’s kind of leadership. He would not get fooled by mediocracy. The other is to introduce another system, the Minimum Viable Bureaucracy, and create a new space for innovation and creativity.

IoTMap : Sogeti launches a testing approach for IoT solutions

Sogeti launches a new book today called the “IoTMap – Testing in an IoT environment” and has been written by Sogeti Labs authors Tom van de Ven (Sogeti NL),  Jaap Bloem and Jean-Pascal Duniau (Sogeti High Tech).

The Internet of Things (IoT) gives us solutions made of a mix of expertise such as High Tech “Things”, mobile solutions and business intelligence. Not only do we need a wide range of test expertise for IoT testing but with “Things” we introduce sensors, actors, electronics and other hardware to the test scope. “IoTMap” gives insight in testing an Internet of Things solution.
Setting up an IoT test approach is explained in five clear steps. Using a simple IoT model, each step is described and put into IoT context. The authors put existing building blocks from the TMap Suite in IoT perspective and added some new ones. The book gives you all the handles you need to cope with the trend that less functional testing is asked and more “IoT-experience-testing” needs to be put in place.

An exciting future
Mapping out the Internet of Things is essentially a matter of testing. Take Google’s self-driving car. The vehicles have travelled a few million miles since the project started in 2009 but every day they drive twice as far in the lab. Before the rubber of new software hits the road, every single change is thoroughly tested in the simulator by virtually driving the total mileage history of the fleet. Autonomously and manually that is!

You may think this is typical of today’s nascent state the Internet of Things is in but continuously checking behavior and delivering software updates is already the norm during the entire life cycle of systems. From thermostats to smartwatches, turbines, toothbrushes, connected cars, and complete production plants. IoT simply means automation to the max.
The road to success for Internet of Things applications and systems is paved with continuous testing. That much is clear. IDC estimates there are currently 13 billion connected things. Over forty percent of worldwide IoT revenue currently comes from manufacturing, transportation, smart cities, and consumer applications. This is gradually changing.

Ongoing distruption
The ongoing disruption of value chains via machine-to-machine communication is forcing organizations to completely [Read more…]

The Best of 2015: 60 seconds magic technology

Smart Miniature Living Room Demo at IoT Tech Day 2016

The miniature living room is a custom made box with a combination of custom made and third party hardware. There are several assets in the living room, like curtains, underfloor heating and lamps. Beside the assets there are a few sensors, like temperature and light sensors. Users can remotely control the assets in the room and there is a dashboard with the outcome of the sensor values. Tom van de Ven has written a book IoTMap : Testing in an IoT Environmen, this book will be published on 21st of April. The miniature living room is a prototype that will be tested according to the method, described in the book. With a layered model of an IoT solution the different aspects that make the IoT solution are categorised and per layer a test focus can be defined. In five clear steps an IoT test approach takes shape. Behind the scenes the data from the living room is transported to the Cloud. In this case IBM Bluemix and Microsoft Azure are used as Cloud platform. Both Clouds deliver the same functions, so the benefits of each Cloud platform are visible. Attendees witnessed that an IoT scenario uses a great diversity of technologies. After this session it is clear how to test such a scenario. Furthermore, the complete scenario, from hardware to Cloud and back, is shown and best practices are clear.

Tom van de Ven and Chris den Arend speak at the biggest European IoT seminar: IoT TechDay 2016.  Watch the video  to find out more about their session:

Disney launches a wall-climbing robot: Wally

They’re calling it VertiGo: a wall-climbing robot that is capable of transitioning from the ground to the wall, created in collaboration between Disney Research Zurich and ETH. But I think Wally would have been a better name 😉

The robot has two tiltable propellers that provide thrust onto the wall, and four wheels. One pair of wheels is steerable, and each propeller has two degrees of freedom for adjusting the direction of thrust. By transitioning from the ground to a wall and back again, VertiGo extends the ability of robots to travel through urban and indoor environments. The robot is able to move on a wall quickly and with agility. The use of propellers to provide thrust onto the wall ensures that the robot is able to traverse over indentations such as masonry. The choice of two propellers rather than one enables a floor-to-wall transition – thrust is applied both towards the wall using the rear propeller, and in an upward direction using the front propeller, resulting in a flip onto the wall.

The Robots Are Coming, So What?

Disaster headlines are queuing. The robots are coming, jobs will be lost! Are we (humans) superfluous?

No! Robots create new jobs others claim.

What shall we believe?

blog_robot

Today

Robots can take over routine tasks, heavy and monotonous work that does not require any special educational qualifications but is also debilitating to the human body. Many jobs of this type will disappear as a result of robots.

Setup and commissioning of robots create new jobs that require [Read more…]

The Next Big Thing: a new report on Machine Intelligence

The sixtieth anniversary of AI will take place in 2016. Many things have changed since the concept of AI was first launched. Following two winter periods and too many high expectations, the situation is finally clear: anyone who wishes so can start with machine intelligence tomorrow. Even the major players such as Amazon, Microsoft and IBM are embracing the current ‘AI for all’ era. Big Data, Machine Learning and the cloud offer you the chance to make more intelligent organizational decisions. Is something still missing in your toolbox? In that case, you can simply go to GitHub and check what kind of tools e.g. Airbnb, Google and Facebook have donated in that area.

[Read more…]

Why IoT testing is different?

The promise of the Internet of Things (IoT) is growing by the day. Thanks to the increasing connectivity of devices and sensors and the increasing flow of valuable information it brings to create new and imaginative vistas. IoT creates new products and adds functionality to existing products. We can couple endless series of products and let them communicate with each other. This means another approach to quality and testing.

An IoT solution contains a broad set of expertise. Think of data storage, business intelligence, (internet) connections, apps and web portals or the “Thing” itself. Testing in an IoT environment is new but on the other hand lets us reuse a lot from existing test environments.

 From TMap to IoTMap

TMap is proven methodology to set up and execute tests. With building blocks the right techniques can be chosen to implement a test strategy. For IoT solutions we can define a set of IoT layers that make the IoT stack. Existing knowledge from TMap can be applied to each layer. This creates a set of test expertise areas for each part of the IoT stack. Here lies the basis that makes IoT testing different.

Less functional testing more IoT experience

Testing an IoT solution is all about combining test expertise. In each IoT layer functionality and specific quality attributes is tested. For example testing confidentiality in relation to data storage or interoperability when looking at connections between different “Things”.

At full IoT system level, it is more about looking at the IoT experience than functionality. Functionality should work and can be covered within each IoT layer. Testing in IoT environment shows a shift from functional testing to testing the IoT experience (with focus on quality attributes).

[Read more…]