Agile Philips Journey
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This document provides an overview of Philips' transformation to Agile. It discusses the starting vision to adopt Agile, the journey over time from 2012-2015, establishing an Agile Center of Excellence, key performance indicators, an Agile delivery model including scaled Agile framework implementation, the concept of delivery centers, case studies, lessons learned, and the road ahead. The presentation aims to provide insight into Philips' Agile transformation program.
Agile Philips Journey
- 1. Confidential1 Agile: A peek into Philips Agile transformation Sriram Venkatasubramaniam Sr. Director, IT Delivery June 2015
- 2. Confidential2 Agenda Philips Overview “Accelerate” transformation program Agile: Philips’ journey The starting vision Our journey Agile Center of Excellence Agile Adoption and Measurement Agile Delivery Model Concept of Delivery Centers Case Studies Lessons Learnt The road ahead Q&A 1 2 3
- 3. Confidential3 Agenda Philips Overview “Accelerate” transformation program Agile: Philips’ journey The starting vision Our journey Agile Center of Excellence Agile Adoption and Measurement Agile Delivery Model Concept of Delivery Centers Case Studies Lessons Learnt The road ahead Q&A 1 2 3
- 4. Confidential4 Philips Royal Philips of the Netherlands is a diversified technology company, focused on improving people’s lives through meaningful innovation in the areas of Healthcare Consumer Lifestyle Lighting The company is a leader in cardiac care, acute care and home healthcare, energy efficient lighting solutions & new lighting applications, as well as male grooming and oral healthcare We believe in continuously reinventing ourselves through transformation programs like Accelerate, PIL, Gemini, etc. 2016 Health-Tech Lighting Solutions More than 120 years of history
- 5. Confidential5 Philips Accelerate Program Accelerate! : Our worldwide business transformation program - is about changing the way we do business and unlocking our full potential. To become more agile, innovative and entrepreneurial as a company
- 6. Confidential6 Accelerate Program – Philips IT ASP ITGS IT Delivery
- 7. Confidential7 Agenda Philips Overview “Accelerate” transformation program Agile: Philips’ journey The starting vision Our journey Agile Center of Excellence Agile Adoption and Measurement Agile Delivery Model Concept of Delivery Centers Case Studies Lessons Learnt The road ahead Q&A 1 2 3
- 8. Confidential8 Our starting vision Reduced time-to-market and increased business relevance of technology solutions Agile is a mindset, not just a methodology Fixed Team, Fixed Budget, Fixed Release We adopted SCRUM methodology Small iteration cycles (2-4 weeks) in collaboration with business Network of technology partners to provide Philips access to scale, innovation and efficiency Product Engineering approach - End-2-End Involvement via CVP from Agile development to catalogue deployment Agile/Output Based Delivery If you do not succeed in the first attempt, skydiving is not for you
- 9. Confidential9 Our Journey Doing: 2012 • Know the Scrum method • Know how to perform the process • Go through the motions neatly Becoming: 2013 – H1 • Start to make small variations / improvements • Start to understand why things work this way • Able to argue why this is better Being: 2014 • Unable to think different • Transform opposite ideas to current values & mindset • Deep knowledge internalization Consciously Incompetent Consciously Competent Unconsciously Competent Excelling: 2015 onwards • Agile all the way • Continuous Improvement across areas • Build further on existing knowledge and capability Continuously Improving You got to be careful if you don't know where you're going, because you might not get there
- 10. Confidential10 Agile Center of Excellence (ACE) IT • Trainings • Workshops • Events • Free books/materials • Webcasts by senior management • Company-wide program (Accelerate) • Agile maturity assessment Partner • KPIs to ensure agile adoption • Engagement in agile framework • High quality scrum masters, agile coach • Scrum ceremonies • 100% use of Rally • Agile maturity assessment Business • Business involvement through product owner • Communicating the importance of agile • Building product backlog • Product owner training • Agile maturity assessment Knowledge is knowing tomato is a fruit, wisdom is not putting it in a fruit salad
- 11. Confidential11 What gets measured gets delivered…. • Adherence to ART releases • Offshore percentage • Velocity increase for all active scrum teams in rally • Automation of test scenarios & Regression Suites • “Stairway To Heaven” star The early bird might get the worm, but the second mouse gets the cheese Some additional KPIs
- 12. Confidential12 The results speak for themselves…. Yesterday is history, tomorrow is mystery, focus on today, that is why it is called “The Present” To leverage the benefits that Agile brings to Philips, the Agile Center of Excellence supports teams, programs, and management in adopting the Agile way of working. Focusing on short-cycled value delivery, we use internal expertise and experience, combined with outside-in views of our coaching partners. The Agile Center of Excellence provides effective trainings, pragmatic coaching and organizes events to ignite, sustain, and reinforce the Agile mindset. Unveiling the value of the Agile Center of Excellence…
- 13. Confidential13 Agile Delivery Model Prioritize & Group Epics Epic backlog Per team Business IT demand (vision) E2E Solution Development and rollouts Product A Feature/Process teams All demand is grouped into products and the overall product roadmap is budget approved Breakdown into capabilities & epics Release 1 Sprint A Sprint B Release 2 Sprint C Sprint D Release n Sprint n User story User story User story User story User story User story User story User story User story User story User story User story Epic Epic Epic Team 1 Legacy & E2E enhancements Sprint / release planning Product B Roadmap Product A Q1 Q2 Q3 Q4 LPC LPC LPC LPC High level demand (Epic level) is prioritized on a roadmap Team 1 Team 2 Team 3 AgileDeliveryAgilePortfolioManagement Q2 1 2 3 4 5 6 The full process visualized from vision to sprints 1 - Gather and review demand 2 – Cluster and approve demand 3 – Quarterly Budget Release (Fixed Budget) and Team approval (Stable Team) per product 4 – Demand Breakdown 5 – Demand Prioritization into team backlogs 6 – Sprint and Release planning Time is precious, spend (waste) it wisely
- 14. Confidential14 Scaled Agile Framework Implementation The best curve in your body is your smile, flaunt it !!!
- 15. Confidential15 Concept of Delivery Centers Technical Design Functional Design Delivery Management Supporting Functions Partner Development RAMPS, Transition, Release Delivery Center A wise man can learn more from a foolish question than a fool from a wise answer
- 16. Confidential16 Salient Features of our Agile Delivery Model High Offshore ratios Continuous Improvements Lean principles (Elimination of waste/redundancy) Delivery Excellence Test Factory Integration Testing Automation Build and Deployment/ Configuration Automation Best Practices adoption Follow your heart but do not forget to take your brain with you D E VO P S
- 17. Confidential17 Case-Study 2 (Foundation Platform) How we operate ART Planning sessions Hackathons Continuous Improvement Testing Automation DevOpsPIL Cadence • Scaled Agile Framework • Release based cadence • Well-defined processes • Frameworks and Templates • Tools and Checklists • E-learning on-boarding course • Work Instructions (Wow documents etc.) Best Practices Whenever I find the key to success, someone changes the lock
- 18. Confidential18 Case Study 2 - Value Delivered - Order to fulfillment Program Goals Actions Achievements Lessons learned Have feature teams that deliver E2E functionality Advice & coach on restructuring the teams to from silo’ ed component to feature teams 8/10 Build & Test teams into virtual end2end integrated teams Don’t accept half solutions Improve quality of the Team Backlogs Create standardize hierarchy in epics/features and user stories, driven by the compliance teams. Organized Really sessions, PPTs, movies From 1000+ to 2 orphan user stories in the backlogs Start Integration early and often Initiated integration demo’s , coached for continuous integration inside the teams Integration demo’s happen every 2 weeks Teams need to be in the driving seat, start small & expand Make teams self organize to improve Visualize flow of small pieces of work going through the process 90% Velocity reliability. AVG release velocity increase in 2014 from 21 to 41 over the teams If only O2F was end2end value oriented… Engage product owners from business in demo’s so we have bi-weekly interaction and feedback Create transparency on PO involvement, empower & coach team decision making when PO is not available 94% Product Owners joining demo and prioritizing teams backlogs. On average 85% acceptance of user stories Deploy early by including NLATAM and compliance in sprint rhythm Simplification and increased agility IDC process with the IDC teams 40%* decrease in throughput time in the IDC process
- 19. Confidential19 Case-Study 3 - Idea-2-Market Agile Software Playbook’ (ASP) has been created to: • Share common practices across teams • Help teams in embracing Agile and SAFe mindset, • Provide ‘real time knowledge’ with ‘practical experiences’ (“artifacts” in Agile terminology) The Agile transformation is expected to touch 50 Philips locations across the globe, projects in 28 Businesses and 4000+ engineers across various roles I2M Excellence focuses on capability building in a number of critical areas such as digital and aims at : • Developing better quality software in a predictable, fast and agile way • Leveraging standardized processes, tools and development methodologies in I2M To support the transformation I2M has identified Agile methodology as a key enabler. SCRUM practices will form the foundational core, on which we build SAFe practices The most successful people have plan A at the front of their mind and plan B at the back
- 20. Confidential20 Lessons Learnt Agile should not be an IT driven initiative only. Take the business along. Transformation agents – coaches and delivery managers play a vital role to agile adoption and success. Gemba leadership is key. Keep sharpening the axe. Build assets, implement incremental processes towards Devops, pursue in-sprint testing and automation, encourage democracy and harmony Systems Team is significant to keep enhancing the principles, procedures, guidelines, assets and thereby keep the platform stable. Scrum Ceremonies like ART Planning, SoS, Retro, stand-ups, etc. make a big impact in identifying the impediments and their resolution Experience is the name everyone gives to their mistakes
- 21. Confidential21 The road ahead Make benefits of agile secular Get Scaled agile to work seamlessly Get all to dance to the same tune Enhance the coverage of Agile I won’t be impressed with technology unless I can download food Live the spirit of agile Move to Devops
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