SAFe Principle #10: Organizing around Value

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Questions and Answers

What type of organizational patterns are highlighted for building the second operating system in SAFe enterprises?

Workflow Processes, Task Forces, and Traditional Teams

Hierarchical Structures, Division Teams, and Executive Panels

Value Channels, Project Teams, and Functional Groups

Value Streams, ARTs, and Agile Teams (correct)

How do Agile Teams and ARTs respond to market changes compared to hierarchical systems?

They remain static and need approval for changes.

They require central command for quick responses.

They can flex naturally without disturbing existing relationships. (correct)

They rely heavily on predetermined processes and rules.

What aspect of an Agile enterprise allows it to address emerging threats and opportunities effectively?

Establishment of fixed hierarchies and roles

A rigid response model to market signals

The ability to evolve quickly through virtual organizations (correct)

Complete independence from market dynamics

What is the relationship between value streams and Agile organizations over time?

Value streams may be created, adjusted, or eliminated as solutions evolve. (D) Signup and view all the answers

What is the key outcome that Agile practices aim to enhance within an organization?

Business Agility to respond to changing demands (D) Signup and view all the answers

What is the primary focus of successful enterprises in their initial stages?

Addressing customer needs through cooperation (C) Signup and view all the answers

What often happens as an enterprise grows and becomes successful?

The Hierarchy overtakes the entrepreneurial Network (A) Signup and view all the answers

What is the dual operating system model intended to restore?

The balance between speed of the Network and efficiency of the Hierarchy (B) Signup and view all the answers

How does SAFe support the Network's functionality?

By implementing development value streams and necessary interfaces (D) Signup and view all the answers

What is a consequence of moving the focus from 'project to product'?

Rediscovery of customer focus and adaptability (D) Signup and view all the answers

What is the primary focus of a Network in optimizing value?

Reducing handoffs and delays (B) Signup and view all the answers

Which principle describes how SAFe organizes around value?

Principle of organizing around value (A) Signup and view all the answers

What is a key component of Lean thinking as it relates to value streams?

Letting the customer pull value from the producer (C) Signup and view all the answers

What are Agile Release Trains (ARTs) designed to do?

Minimize handoffs and delays (B) Signup and view all the answers

What do development value streams provide for a SAFe portfolio?

A structured approach to deliver customer value (A) Signup and view all the answers

How are Agile teams typically structured?

As cross-functional groups of ten or fewer (C) Signup and view all the answers

What is the purpose of forming Agile teams in SAFe?

To deliver end-to-end value to the customer (C) Signup and view all the answers

What is a benefit of organizing a portfolio around development value streams?

Providing visibility to align strategy to execution (A) Signup and view all the answers

What type of ART supports the creation of larger systems?

Solution Train (B) Signup and view all the answers

What does SAFe mean by 'stream-aligned teams'?

Teams organized to deliver value without delays (C) Signup and view all the answers

What is a primary goal of measuring success in SAFe?

Utilizing outcome-based key performance indicators (B) Signup and view all the answers

Which of the following is not a characteristic of Agile teams?

Limited to specific tasks (A) Signup and view all the answers

What does pursuing perfection in Lean thinking encourage?

Striving for incremental improvement in processes (B) Signup and view all the answers

How do Agile Release Trains enhance value delivery?

By integrating business and technical capabilities (B) Signup and view all the answers

Study Notes

Principle #10 – Organizing around Value

Successful enterprises begin as customer-focused networks, evolving into hierarchical structures supporting operations.
Maintaining the hierarchy can hinder value delivery. Business Agility's dual operating system model addresses this.
The Network (Agile teams, ARTs) is optimized for speed and adaptability.
The Hierarchy is optimized for efficiency and stability.
Both are essential and must be agile but serve different purposes.

How SAFe Organizes Around Value

SAFe creates a portfolio of development value streams to optimize value delivery.
Building on lean thinking principles, value streams precisely specify value, identify the value stream for each product, and let customers pull value.
Value streams define steps, people, and flow of information/material needed for customer value.
Operational and development value streams exist, with development streams having a standard structure.
Development value streams are aligned within portfolios to swiftly deliver customer value.

Building Technology Portfolios of Development Value Streams

Value Streams connect products to customers and are essential to Lean Thinking.
Understanding and implementing value streams are key to unlocking potential.
Portfolio alignment ensures complete customer and product focus for the entire enterprise.

Realizing Value Streams with Product-Focused Agile Release Trains (ARTs)

ARTs are cross-functional teams (up to 150 people) spanning multiple disciplines to minimize delays.
ARTs encompass all responsibilities from definition to support, fostering continuous knowledge growth.
Solution Trains group ARTs for larger solutions. Specific ART types (stream-aligned, complicated subsystem, platform) address varied complexities.

Forming Cross-Functional Agile Teams

Agile teams (typically 10 or fewer individuals) are the core building blocks for value delivery.
Agile teams are cross-functional, customer-focused, and possess all needed skills to deliver end-to-end value to customers.
Different Agile team types (stream-aligned, complicated subsystem, platform, enabling teams) are structured around distinct kinds of value.

Reorganizing around Value

SAFe utilizes Value Streams, ARTs, and Agile Teams as organizational patterns for the Network.
The Network is more adaptable than the hierarchical system allowing for quick response to market changes.
The Network's structure is flexible to accommodate new values and changes to existing ones, while the Hierarchy remains stable.
Lean and Agile enterprises can rapidly adapt to changing technologies, products, and market demands, moving with the flow of value.

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Description

Explore the key concepts from SAFe's Principle #10, which emphasizes the importance of organizing around value in enterprises. Learn about the dual operating system model that balances customer-focused networks with hierarchical structures to optimize both speed and efficiency in value delivery. This quiz will test your understanding of value streams and their role in business agility.