The Value Flywheel Effect: Power the Future and Accelerate Your Organization to the Modern Cloud

Product Information

For anyone who doesn’t know about Wardley Maps the anchor is at the top represents the user. Then you have these four phases: Genesis, which is brand new, Custom Built, you can build something but you aren’t quite sure how to replicate it, Product, you are getting good at building it, and it’s ready for prime time, and then Commodity, which is just the price of doing business. Wardley Map Inertia Points Since 2014, you’ve asked for a way for this community to interact between conferences. Well, we’re finally making it happen.

Wardley Mapping with the Value Flywheel - The Serverless Edge Wardley Mapping with the Value Flywheel - The Serverless Edge

David Anderson: The first thing you always see in any team is the environment for success. It’s the people in the teams, it’s the people who built software. So do you have an environment where people can be at their best and they can challenge each other responsibly? The whole argument… I mean, that’s really the thing. Sometimes it’s referred to as psychological safety. There’s no point in knowing the right thing to do, but you’re maybe afraid to kind of say that. If you have that supportive environment, you can build and react to those kinds of loops we’ve been talking about. Then again, this socio-technical phrase is interesting. There’s a socio-people aspect of your system, and there’s a technical. As engineers, we’ll always default to technical, but the big part of that is I would say more important. Then you think about the problem prevention, time to values, you got to look at all this stuff together and figure out what’s the best thing that will work. You can rarely code your way out of a problem, and that’s really what we have seen over the years.Mark McCann: We listen to our customers and make these things better, so that people will buy more of these things that are in the product. Stage four, the final stage, is commodity or utility. This component is widely used in the mature market. Having this is just the cost of doing business and everyone understands it. There’s little profit to be made and the company needs to mass produce these things for big profits. So we’re going to walk you through a worked example here to really bring this to life. How do you measure the success and productivity of an engineering team? Which metrics should you use? What is engineering excellence, and how can you achieve it? Changes in direction (except small corrections) reset the Flywheel. The earlier you can get moving in the right direction, the sooner the efforts will compound and the momentum will build. Focus Efforts Once we have established clarity of purpose, we need to think about our people (phase two of the Value Flywheel: Challenge and Landscape). A team-first focus encourages strong units of delivery, as has been observed repeatedly in numerous organizations. But diverse and cross-functional teams can only be effective if they are supported—if an environment of psychological safety is created. These two elements (creating a team-first, psychologically safe environment) create the necessary environment to confront the business challenge.

The Value Flywheel Effect: Power - OceanofPDF [PDF] [EPUB] The Value Flywheel Effect: Power - OceanofPDF

We anchored our map with a senior executive, like a CEO. This is pattern we have seen many times. There’s a layer across the top here, which is ‘clarity of purpose’. And we have things here, like operational efficiency, time to value and business growth And needs around cost management, digital modernization, customer need and even secure rapid experimentation. These are things that might be top of mind for the CEO. With well-architected and engineering excellence, you can build things that run and increase in value. And there’s less work over the long term while your teams move on to what the business needs. I don’t think a lot of orgs think in that way. By the time they do get thinking that way, they’re already experiencing a lot of problems. The big gains from evolving product to commodity are observability and visibility. How many times, in the past, have third party consultants come in to quantify your technical debt and recommend investing in an IT resource to move platform. When in actual fact you know the correct thing to do is tie technical debt or legacy to actual value. To get your flywheel started, the organization must have a strong value chain, a desire to execute, and the will to continue the journey. A simple Wardley Map can get us started. First, we must start by identifying your value chain. The value chain is quite simple. For the stakeholder of your company, there must be a clear business goal, a plan. For this plan to execute correctly, the plan will need some effective people or teams of people. Those teams will need technology to help them, and the technology will need to work effectively (i.e., not keep falling over).

Customer reviews

So it’s an interesting question, and it has multiple sub components to how you answer it. Because when you talk about enabling engineers in a big company like Liberty Mutual, you’re talking about large numbers of engineers. So it could be 1000s, across the globe, we’re talking about as opposed to maybe a couple of small teams. Direction alignment, enabling constraints and walking the walk The Value Flywheel Effect, enabled by cloud adoption, will accelerate your business. Each phase of the Value Flywheel is anchored by three key tenets (twelve in total). These tenets will help guide you through each of the four phases of the Value Flywheel. An important concept in building the “flywheel effect” is the hedgehog principle which simply states a business must have an understanding (not a goal, a strategy or a plan) of what it can be the best at, the distinction is absolutely crucial. The hedgehog principle, which essentially argues that a business must have an understanding (not a goal, strategy, or plan) of what it can be the best at, is a fundamental notion to create the “flywheel effect.” Expect real-life transformation stories from startups to large global orgs including our own journey at Liberty Mutual. In 2013, we realized that the cloud was not just another data center; it could offer a transformational way of working. We sensed a paradigm shift and knew it was time to start exploring. We were following the work of Simon Wardley and his technique, called Wardley Mapping.

Serverless architecture case study - The Serverless Edge

The flywheel effect occurs in business, just as it does in machines, because of very deliberate building and linking together of capabilities to execute against articulated strategic objectives in such a way that a compounding return on effort is introduced, resulting in continued acceleration in business growth. Key Drivers Momentum But then you’ve got to think about the fact that teams move, and your developers move and leaders move. But as they move, you should be able to go from one workload to another. And it should be reasonably consistent. You shouldn’t find something that’s not in a good state where you’re worried about making a change. Or something’s brittle and you are left wondering about being able to assess the impact of what you are doing. In a group of more than three or four people, team dynamics start to take effect, and responsibilities require clarification (never mind teams with several hundred people). The software serves a market, which is usually represented abstractly too. Finally, there’s leadership, who need to understand all this context, shape a compelling purpose, and work it into a plan to reach an outcome.

There’s much more access now, because at this event, we’re going to be speaking to you on speaker chat as we are presenting here. So maybe we can use that time to find some of the adopters of the patterns and explore further use cases. Then we can find some minds here who are trying to tease out some capabilities or some terms and we can use that. It’s a valuable capability that has emerged there. It’s not a primary need, but we need to think ahead of these things. We need to start thinking, “What are the new emerging values that we, as a conference provider, can grab.” We have looked at Engineering Excellence. So what about well-architected? We have defined well-architected better than engineering excellence. But I find that a lot of people have yet to hear the term well architected and they think you’ve just made it up! We see lots more talks in the community. People are beginning to understand what we mean. Certainly within the organizations we’re in.There is a need for discipline. You have to assess the best way to go about something: I admit, I was not completely sure what I was talking about when I chose “Flywheel Effects” as a topic. But that’s part of the fun. It’s a silly analogy, granted. But I’m using it to highlight a very important finding from our research. We kept thinking that we’d find “the one big thing,” the miracle moment that defined breakthrough. We even pushed for it in our interviews. But the good-to-great executives simply could not pinpoint a single key event or moment in time that exemplified the transition.