decision making leadership practices applications step up, step back collaboration culture of trust problem solving managing risk

collaborative leadership and decision making

what do we do? when do we do it? when do we decide?

leaders must …

 Build Trust? deliver the right product

Always or Often Used: 20% Never or Rarely Used: 64% Standish Group Study, reported by CEO Jim Johnson, XP2002 Sometimes 16% Rarely 19% Never 45% Often 13% Always 7%

and …

consistently delivers business value

deliver value? what’s that?

Business Value Benefits Value Calculation Costs calculation

Business Value Guess Value Calculation Estimate calculation

we need some help !

Purpose Considerations Costs and Benefits

where do we start?

MissionVisionValues Strategic Intent ~ Strategy ~ Purpose Long-Range Goals Annual Objectives Action Plans (what, who, when) Individual Business Objectives Tactical Strategic SWOT / 5Q

MissionVisionValues Strategic Intent ~ Strategy ~ Purpose Long-Range Goals Annual Objectives Action Plans (what, who, when) Individual Business Objectives Tactical Strategic SCO / 5Q Start Here

Market Differentiating High Low Mission Critical Low High Differentiate Parity Partner? Who cares? Purpose Based Alignment Model

Market Differentiating High Low Mission Critical Low High Innovate, Create Do we take this on? Minimize or Eliminate Achieve and Maintain Parity, Mimic, Simplify Purpose Based Alignment Model

How about an example? financial documentation system

3,000 functions!

Market Differentiating High Low Mission Critical Low High What goes here? Anything here? Most are usually here. Purpose Based Alignment Model

350 differentiators

simplified the rest focused on differentiators

results: better product cut time by 50% 60% cost reduction

 Sustainable  Competitive advantage strategy = sustainable competitive advantage

Market Differentiating High Low Mission Critical Low High Differentiate Parity Partner? Who cares? Strategy?

strategy equals decision filters

the 5 questions: 1. Whom do we serve and what do they want and need most? 2. What do we provide to help them? 3. What is the best way to provide this? 4. How do we know we are succeeding? 5. How should we organize to deliver?

the “billboard” test…

You Think My Products Are Good? You Should See My Chart of Accounts!

We invest more in our WMS than we do in product development

“To be the low cost airline.” - Southwest Airlines

“Will this help us be the low cost airline?” - Southwest Airlines

cascade decision filters throughout organization

decision filters: make daily decisions schedule projects what to develop

single purchase, multiple credit cards How about another example?

requires customization

Market Differentiating High Low Mission Critical Low High Differentiate Parity OR

Market Differentiating High Low Mission Critical Low High Differentiate

pass the “billboard” test?

A fist full of credit cards

Give Me Your Tired, Your Poor, Your Maxed Out Credit Cards

treat exceptions as exceptions

caveats

Managing Risks List Three Professional Options common sense not common practice

parity IS mission critical

Differentiating changes over time

 Leadership Influence innovate!

Purpose Considerations Costs and Benefits Business Value Model

other considerations ?

time to market

risks

Collaboration Model flexibility

Collaboration Model dependencies

team size and experience market uncertainty domain knowledge team capacity technical uncertainty

Costs and Benefits Purpose Considerations

Costs and Benefits Purpose Considerations

conversation

resolve differences

group chunks high – medium - low

Costs and Benefits Purpose Considerations

at the end of the “ chunk”

did model inputs change ?

adjust BV model run features thru model

now you can ask…

Do we have enough business value to go to market?

Should we continue?

If so, what goes in the next iteration?

adjust BV model run features thru model re- prioritize

Let’s give it a go….

Start Up Exercise: Pick a project. Practicum Pick an objective, a brand, or a project.

Market Differentiating High Low Mission Critical Low High Differentiate Parity Partner? Who cares? What is the purpose?

your decision filter?

the 5 questions: 1. Whom do we serve and what do they want and need most? 2. What do we provide to help them? 3. What is the best way to provide this? 4. How do we know we are succeeding? 5. How should we organize to deliver?

What’s On Your Billboard?

Purpose

your considerations?

prioritize

costs and benefits ?

Purpose Considerations Costs and Benefits Business Value Model

resolve differences

group chunks high – medium - low

Transaction Costs add what to make better decisions ?

“build” some chunks …

at the end of the “chunk”

did the value inputs change?

market window moves out

summary

Purpose Considerations Costs and Benefits Business Value Model

it’s a conversation

what do we do?

when do we do it ?

when do we decide ? Protect Team Boundaries

using the value model objectives / projects / ideas Value Model prioritized chunks build highest value chunks adjust VM if inputs changed discuss value and value to date Enough value to go to market? ~ Yes? Deploy ~ No? Continue? ~ No? Stop. ~ Yes?

ideas that work ?