Value Streams vs The Org Chart

Do our customers pay for the outcome? (It's a Core stream)Does it facilitate core stream performance? (It's a Supporting stream)Is there value in improving quality, margins, performance, outcomes? (If not, it's likely commoditized and should be outsourced)Supporting streams are typically operational unless the supporting streams are highly nascent (Platform development)

Is innovation or product development a key goal? (It's a Development stream) Are efficiency and consistency key goals? (It's an Operational stream)

Is there a customer? (If not, it's a process) Is it repeatable? Are the operating conditions stable?(If not, it's a project or initiative) Value Stream is a linear processDoes it have to include more than one person? NoWhy do we want to identify value streams?

The Future of Value Stream ManagementWhere’s this all heading? DAOsIs there a future where VSMgt intersects with DAOs?What does a futuristic value stream network look like?Human Collaboration models: Tribes -> Bureaucracy -> Digital -> DAOsEthical risks - worker exploitation; Optimization in natural systemsCan companies be too efficient? Jevon’s paradoxExternalitiesHuman motivation: creativity vs. frictionIncreasing complexity of workIncreasing education and adaptability requiredIncrease in the number of humans not participating in the economy / on the margins of societyWaste in knowledge workLean as a way of exposing wastePain and fear as a way of rebalancing what we’re doing How this fits in with x: BusinessTechStrategySecurity, crypto/DAOsAI Key Takeaways Visibility, Data-driven decision making, and the system of workCollective and personal flow The shared value stream lexicon

Summary In this episode of The Value Stream Show, hosts Andrew Davis and Steve Pereira discuss the challenging process organizations face in asking what is the psychological, cultural, information, and work environment it needs to be maximally effective and engaged. They talk about how engineers are improving tech by leveraging the value stream model. They share why the act of inspiring purpose, autonomy and mastery in workers is a necessary challenge for organizations. Host Bios Andrew Davis is a DevOps and Salesforce specialist and author of the book Mastering Salesforce DevOps. As Senior Director of Research and Innovation for Copado, he leads methodology and training for Copado's customers and partners. He's spent his life working at the intersection of technology, psychology, and culture change, including 15 years as a Buddhist monk. He's working towards a world in which we can all be at peace amidst constant change, and bring energy, creativity, and care to every part of our work. Steve Pereira is a veteran of software delivery and operations. He founded Visible Value Stream Consulting in 2018, and serves as a board advisor for the Value Stream Management Consortium, a contributor to the Value Stream Management Interoperability Technical Committee, and as a Value Stream Management strategist for Copado. He’s always looking for ways to bring business and technology together by facilitating visual collaboration. What You’ll Learn The strengths and weaknesses of org charts and the value streamActivating intrinsic motivators in workers within an organizationHow to optimize around the right thingsBalancing informal networks and formal structure Quotes “I think we can borrow a lot of power and alignment by leveraging something like a value stream model and looking at more horizontal organizational models. You don’t have to throw away the org chart, but add this layer of flow across it and understand that the org chart isn’t how work happens, the value stream is how work happens.” -Steve [12:19]“The org chart is very useful in having people understand who to go to, to get help and to improve their individual performance. I think that having a clear leader and an escalation path helps individuals feel like they have someone to go to. They have a very clear definition of relationships that they need to develop, foster and maintain.” -Steve [22:48]“The most common map that I see on a day to day basis is the org chart. This hierarchical structure that shows basically how people fit together and what role they are playing in the organization. It is a visualization of an invisible social network. There is agreed upon structure, but fundamentally those interpersonal relationships and obligations are invisible. We are mapping an invisible social structure to try and give form to something that is fundamentally invisible.” -Andrew [04:12]“The terminal units of an organization are people and each of those people need nutrients to survive. They need to get paid, they need to have clarity about what they are doing and how they can get their work done. They need to have a basis to be inspired by the mission of what their role is in the organization. It needs to be something that activates intrinsic motivators.” -Andrew [18:12] Timestamps [00:03] Intro [01:07] How work actually happens [03:28] Is the org chart outdated?  [06:16] Making decisions based off of power [08:23] How the org chart shapes company goals [11:34] Retaining customer outcomes [15:28] Optimizing around the right things [18:27] Activating intrinsic motivators [20:10] Shared platforms [21:36] Strengths and weaknesses of org charts [26:26] The Organism vs. The City Model [29:11] The resiliency of autonomy and decentralization  [30:22] Informal and formal social networks [31:27] Outro

Takeaways from the Lean Leadership Forum What is it? Who attended?Structure & formatSimilarities and differences between physical and knowledge work domainsInsights and learningShould we all be walking through factories to understand our work better? Key takeaways Similarities and differences between physical and knowledge workWhat ‘going to the gemba’ really looks like“If it’s in the computer, it’s invisible”

Summary In this episode of The Value Stream Show, hosts Andrew Davis and Steve Pereira talk about value stream management and the process of improving the end-to-end flow of work in an organization. They discuss the complexity of value stream management and how it can expand the scope of a business or technology to see the big picture, while also addressing concerns in the short term. As the IT world matures, value stream management allows for successful optimization by exposing the work process and its inefficiencies. Andrew and Steve also distinguish the differences between knowledge work and manufacturing it. Host Bios Andrew Davis is a DevOps and Salesforce specialist and author of the book Mastering Salesforce DevOps. As Senior Director of Research and Innovation for Copado, he leads methodology and training for Copado's customers and partners. He's spent his life working at the intersection of technology, psychology, and culture change, including 15 years as a Buddhist monk. He's working towards a world in which we can all be at peace amidst constant change, and bring energy, creativity, and care to every part of our work. Steve Pereira is a veteran of software delivery and operations. He founded Visible Value Stream Consulting in 2018 and serves as a board advisor for the Value Stream Management Consortium, a contributor to the Value Stream Management Interoperability Technical Committee, and as a Value Stream Management strategist for Copado. He’s always looking for ways to bring business and technology together by facilitating visual collaboration. What You’ll Learn Understanding the work process within value stream managementValue stream thinking in the physical world and virtual worldThe pursuit of optimization during challenging timesAdaptive knowledge work Quotes “What is really important about value stream management is this concept of looking at the work holistically. Looking at the end-to-end flow of work in an organization in such a way that you are focused on improving that flow of work, not just looking at it and measuring it. You are doing that to improve the system.” -Steve [02:07]“There is a giant section of the world that is physical and virtual at the same time: building software, building physical products, and integrating those two things. That is an area of the world that is underserved by our focus on the old world and the new world. They are run by different ways of thinking but more and more we are seeing these models blend together.” -Steve [09:35]“Unless you lower the water level in the stream you won’t notice all the big boulders in the stream. What we are doing with value stream management partly is lowering the water level and starting to look at the actual work process. You can begin to see you have these incredible inefficiencies that are embedded in the whole work process.” -Andrew [15:55]“If you are working for the man, that isn’t giving you that thrill of autonomy or that intrinsic motivator. But mastery, whether that craft is managing finance for the organization, building software, or setting up systems. That is your craft. Every job is worthy of respect and it is providing value to something.” -Andrew [27:30] Timestamps [01:03] Intro [01:27] Defining value stream management [09:16] What the value stream looks like in the physical and virtual world [16:34] Knowledge work adaptations [23:05] Software tools vs. the mindset approach to value stream management [27:33] Intrinsic motivators [34:09] Managing time and effort [36:42] Continuous experimentation in organizations Resources Inside Out: The Power of Value Stream Clarity

Summary In this episode of The Value Stream Show, hosts Andrew Davis and Steve Pereira discuss what value stream mapping is and its function. They talk about the act of drawing out a value stream and how it helps with visualization, generates necessary conversations, and brings clarity to the work process. They share their personal experiences with the practice of value stream mapping, and how it can bring visibility to performance, and generate movement toward improving collective consciousness.  Host Bios Andrew Davis is a DevOps and Salesforce specialist and author of the book Mastering Salesforce DevOps. As Senior Director of Research and Innovation for Copado, he leads methodology and training for Copado's customers and partners. He's spent his life working at the intersection of technology, psychology, and culture change, including 15 years as a Buddhist monk. He's working towards a world in which we can all be at peace amidst constant change, and bring energy, creativity, and care to every part of our work. Steve Pereira is a veteran of software delivery and operations. He founded Visible Value Stream Consulting in 2018, and serves as a board advisor for the Value Stream Management Consortium, a contributor to the Value Stream Management Interoperability Technical Committee, and as a Value Stream Management strategist for Copado. He’s always looking for ways to bring business and technology together by facilitating visual collaboration. What You’ll Learn Using value stream mapping as a tool for clarity and communicationTime and MotionHow the process of mapping generates necessary conversationMoving from an unmapped space to a mapped space to create collective consciousness   Quotes “Value stream mapping is a technique for visualizing and measuring a value stream in an on demand way. The act of mapping a value stream is drawing out the activities that occur across a value stream. Traditionally it goes from raw materials or suppliers to customers.” -Steve [01:40]“Value stream mapping gives you the opportunity to step out of your current state and look at what you can actually do to achieve a higher level of performance. I’ve never seen a method that is as effective as value stream mapping for the purpose of stepping back and looking at what is happening, so we can break out of the status quo and get ourselves to a future state of higher performance.” -Steve [22:46]“Everything that we are working on is invisible. Value stream mapping is the activity of moving from an unmapped space to a mapped space, a space that is invisible until you take the time to record what is going on. It is a kind of reflection, of looking back and contemplating what is this process and how are we working together to move what is unconscious to being collectively conscious.” -Andrew [11:27]“When we talk about “knowledge work”, value stream mapping is a very powerful and focused kind of knowledge work. You bring a group of people together, pull their collective understanding and go see what is actually happening in the work space. You are generating new and valuable knowledge. You can take that knowledge and go back to making all these various process improvements.” -Andrew [20:35] Resources Inside Out: The Power of Value Stream ClarityBook: Scale: The Universal Laws of Growth, Innovation, Sustainability, and the Pace of Life in Organisms, Cities, Economies, and CompaniesVuvuzelas!Bain B2B Elements of ValueBain B2C Elements of ValueTime and Motion studieshttps://en.wikipedia.org/wiki/Time_and_motion_studyFrank and Lillian Gilbreth“A time and motion study (or time-motion study) is a business efficiency technique combining the Time Study work of Frederick Winslow Taylor with the Motion Study work of Frank and Lillian Gilbreth (the same couple as is best known through the biographical 1950 film and book Cheaper by the Dozen). It is a major part of scientific management (Taylorism).”

Items Who are we?Why this?Why now?What’s in it for you (the listener)? Key Takeaways Our history and passion for flowValue streams in an organizational networkThe value stream model for internal and external use

Summary In this episode of The Value Stream Show, hosts Andrew Davis and Steve Pereira discuss the vast reach of value, how we define it and how we can measure it. They explore the complex nature of value and the many different factors that influence it. Steve and Andrew talk about the importance of distinguishing the difference between the value of inputs versus the value of the output that’s produced. They also talk about how understanding value can create an opportunity for growth and the potential to reclaim past losses in an organization, a market, or as an individual. Host Bios Andrew Davis is a DevOps and Salesforce specialist and author of the book Mastering Salesforce DevOps. As Senior Director of Research and Innovation for Copado, he leads methodology and training for Copado's customers and partners. He's spent his life working at the intersection of technology, psychology, and culture change, including 15 years as a Buddhist monk. He's working towards a world in which we can all be at peace amidst constant change, and bring energy, creativity, and care to every part of our work. Steve Pereira is a veteran of software delivery and operations. He founded Visible Value Stream Consulting in 2018, and serves as a board advisor for the Value Stream Management Consortium, a contributor to the Value Stream Management Interoperability Technical Committee, and as a Value Stream Management strategist for Copado. He’s always looking for ways to bring business and technology together by facilitating visual collaboration. What You’ll Learn What is Value?The elements of valueBuilding individual, customer, and organization valueDistinguishing between input value and output value Quotes “Organizations are defined by value streams. The network of value streams that compose the organization and the outcomes those generate result from the activity of individual contributors. Individual contributors will default to working and moving in different directions unless they’re aligned around the value stream.” -Steve [07:37] “We have different time horizons for our understanding of value. My experience of what is valuable immediately is usually to the detriment of what is valuable to me in the long term. This is the tension of time and visibility. It is an interesting dimension to consider in the context of value stream management.” -Steve [15:03] “Value at the end of the day is feeling. How an individual feels about something. But then of course we have to make decisions as a group. So how do we feel as a group about something? Or how does the market feel about something?” -Andrew [03:05] “There is a phenomenal amount of efficiency that can be reclaimed from company processes if we connect with employees’ intrinsic motivations. If your employees are not feeling profoundly engaged with the company's mission to serve your customers for the greater good of the organization, they will consciously or subconsciously be dragging their feet and unmotivated.” -Andrew [13:22] Timestamps [00:27] Intro [00:57] What is value? [05:47] Value applies to the macro [07:59] Defining value in a business context [10:40] Relationships between the business, customer, and contributor [15:57] What is not value [18:18] The values of the input and output [23:07] Outro Resources Inside Out: The Power of Value Stream ClarityBook: Scale: The Universal Laws of Growth, Innovation, Sustainability, and the Pace of Life in Organisms, Cities, Economies, and CompaniesVuvuzelas!Bain B2B Elements of ValueBain B2C Elements of Value