{"id":12959,"date":"2019-03-15T10:24:50","date_gmt":"2019-03-15T15:24:50","guid":{"rendered":"https:\/\/blog.planview.com\/?p=12959"},"modified":"2020-03-03T10:27:44","modified_gmt":"2020-03-03T16:27:44","slug":"achieving-organizational-agility","status":"publish","type":"post","link":"https:\/\/blog.planview.com\/achieving-organizational-agility\/","title":{"rendered":"Achieving Organizational Agility"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-12960\" src=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/Achieving-Organizational-Agility.jpg\" alt=\"\" width=\"800\" height=\"427\" srcset=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/Achieving-Organizational-Agility.jpg 800w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/Achieving-Organizational-Agility-300x160.jpg 300w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/Achieving-Organizational-Agility-768x410.jpg 768w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/Achieving-Organizational-Agility-750x400.jpg 750w\" sizes=\"auto, (max-width: 800px) 100vw, 800px\" \/><\/p>\n<div class=\"s-content\">\n<p>Although nearly every organization on earth is vying to increase its agility, not all are achieving that goal. In fact, according to a recent\u00a0<u><a href=\"https:\/\/www.mckinsey.com\/business-functions\/organization\/our-insights\/how-to-create-an-agile-organization\" target=\"_blank\" rel=\"noreferrer noopener\" data-ol-has-click-handler=\"\">McKinsey Global Survey<\/a><\/u>, organizational agility, which the firm defines as, \u201cThe ability to quickly reconfigure strategy, structure, processes, people, and technology toward value-creating and value-protecting opportunities,\u201d is still elusive for most.<\/p>\n<p>Only 4% of all respondents say their companies have fully implemented a\u00a0<a title=\"\" href=\"https:\/\/www.planview.com\/resources\/guide\/lean-principles-101\/agile-and-lean\/\" target=\"_blank\" rel=\"noreferrer noopener\" data-ol-has-click-handler=\"\">Lean-Agile transformation<\/a>, though another 37% say that company-wide transformations are in progress in their organizations.<\/p>\n<p>The exciting news is,\u00a0<a title=\"\" href=\"https:\/\/www.planview.com\/resources\/guide\/agile-methodologies-a-beginners-guide\/basics-benefits-agile-method\/\" target=\"_blank\" rel=\"noreferrer noopener\" data-ol-has-click-handler=\"\">Agile performance units are seeing results<\/a>: 81% of respondents in Agile units reported a moderate or significant increase in overall performance since their transformations began.<\/p>\n<blockquote><p>On average, respondents in Agile units are 1.5x more likely than others to report financial outperformance relative to peers, and 1.7x more likely to report outperforming their peers on nonfinancial measures.<\/p><\/blockquote>\n<p>It\u2019s obvious that undergoing an Agile transformation is a worthwhile pursuit for most organizations\u2014but how exactly do organizations become Agile, and what practices sustain the methodology?<\/p>\n<\/div>\n<div class=\"s-content\">\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_80 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#AGILITY_STABILITY_AND_DYNAMISM\" >AGILITY = STABILITY AND DYNAMISM<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#BECOMING_AGILE\" >BECOMING AGILE<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#HIGH_DYNAMISM_LOW_STABILITY_STARTUP\" >HIGH DYNAMISM, LOW STABILITY: STARTUP<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#LOW_STABILITY_LOW_DYNAMISM_TRAPPED\" >LOW STABILITY, LOW DYNAMISM: TRAPPED<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#HIGH_STABILITY_LOW_DYNAMISM_BUREAUCRATIC\" >HIGH STABILITY, LOW DYNAMISM: BUREAUCRATIC<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#CONCLUSION\" >CONCLUSION<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"AGILITY_STABILITY_AND_DYNAMISM\"><\/span>AGILITY = STABILITY AND DYNAMISM<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<\/div>\n<div class=\"s-content\">\n<p>Underlying any successful Agile transformation are two balanced forces: stability and dynamism. According to\u00a0<u><a title=\"\" href=\"https:\/\/www.mckinsey.com\/business-functions\/organization\/our-insights\/how-to-create-an-agile-organization\" target=\"_blank\" rel=\"noopener noreferrer\" data-ol-has-click-handler=\"\">McKinsey<\/a><\/u>:<\/p>\n<blockquote><p>\u201cDynamic practices enable companies to respond nimbly and quickly to new challenges and opportunities, while stable practices cultivate reliability and efficiency by establishing a backbone of elements that don\u2019t need to change frequently.\u201c<\/p><\/blockquote>\n<p>Together, these two forces enable agility at scale.<\/p>\n<p>The following 18 practices are what McKinsey analysts consider to be critical for organizational agility\u2014they are an even balance of stability- and dynamism-promoting practices. They include:<\/p>\n<p><strong>Dynamism:<\/strong><\/p>\n<ul>\n<li>Actionable strategic guidance<\/li>\n<li>Sensing and seizing opportunities<\/li>\n<li>Flexible resource allocation<\/li>\n<li>Action-oriented decision architecture<\/li>\n<li>Fit-for-purpose accountable cells<\/li>\n<li>Active partnerships and ecosystem<\/li>\n<li>Rapid iteration and experimentation<\/li>\n<li>Open physical and virtual environment<\/li>\n<li>Performance orientation<\/li>\n<li>Shared vision and purpose<\/li>\n<li>Standardized ways of working<\/li>\n<li>Information transparency<\/li>\n<li>Continuous learning<\/li>\n<li>Cohesive community<\/li>\n<li>Entrepreneurial drive<\/li>\n<li>Role mobility<\/li>\n<li>Technology, systems, and tools<\/li>\n<\/ul>\n<p><strong>Stability:<\/strong><\/p>\n<p>Teams or organizations struggling to achieve agility are likely to be underperforming in either dynamism or stability, or both.<\/p>\n<\/div>\n<div class=\"s-content\">\n<h2><span class=\"ez-toc-section\" id=\"BECOMING_AGILE\"><\/span>BECOMING AGILE<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<\/div>\n<div class=\"s-content\">\n<p>The path towards agility for any organization depends on its starting point. The first step is to determine exactly where you\u2019re out of balance\u2014from there, you can uncover specific, targeted practices to help you achieve true agility. Going through the list above can serve as a helpful exercise for anyone looking for actionable ways to improve their team or organizational agility.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-12961\" src=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/dynamic-practices.png\" alt=\"\" width=\"800\" height=\"778\" srcset=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/dynamic-practices.png 800w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/dynamic-practices-300x292.png 300w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/dynamic-practices-768x747.png 768w, https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/dynamic-practices-750x729.png 750w\" sizes=\"auto, (max-width: 800px) 100vw, 800px\" \/><\/p>\n<figure class=\"c-imgfig c-imgfig--fluid c-figure c-figure--center\"><figcaption class=\"c-copy--caption c-imgfig__caption\">Less than one-quarter of performance units are agile.<\/figcaption><\/figure>\n<div class=\"s-content\">\n<h2><span class=\"ez-toc-section\" id=\"HIGH_DYNAMISM_LOW_STABILITY_STARTUP\"><\/span>HIGH DYNAMISM, LOW STABILITY: STARTUP<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<\/div>\n<div class=\"s-content\">\n<p>If your organization\u2019s Agile transformation is high on dynamism, but low on stability, you\u2019re in startup mode. Startup units are characterized as operating ad hoc &#8211; constantly shifting focus, while being unpredictable and disorganized. They also often lack the discipline and systematic execution to sustain reliable operations.<\/p>\n<p>Units in startup mode should focus on fostering better stability practices, while expanding the use of their dynamic practices related to process and strategy to maintain agility and speed. Incorporating the stability practices above can help to bring efficiency, reliability, and scalability.<\/p>\n<\/div>\n<div class=\"s-content\">\n<h2><span class=\"ez-toc-section\" id=\"LOW_STABILITY_LOW_DYNAMISM_TRAPPED\"><\/span>LOW STABILITY, LOW DYNAMISM: TRAPPED<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<\/div>\n<div class=\"s-content\">\n<p>Is your organization suffering from both low stability and low dynamism? Run! Okay, maybe not &#8211; but this is not a quadrant that any organization should hope to remain in for too long. McKinsey refers to units in this quadrant as Trapped. They lack both a stable backbone to maintain order and the dynamism to evolve or grow.<\/p>\n<p>When it comes to stability practices, Trapped units often struggle most with people problems &#8211; only 13% of Trapped respondents say they follow shared and servant leadership, compared to 89% of their Agile peers. Trapped units also fall far behind Agile organizations in terms of actionable strategic guidance (daily work is tied closely to organizational initiatives), performance orientation (team members work to achieve defined metrics and performance indicators), and community cohesion (trust and accountability across the organization).<\/p>\n<p>The dynamic practices in which they are furthest behind are process-related, especially continuous learning and rapid iteration and experimentation. Trapped organizations should focus first on creating stability and a healthy culture before diving too deeply into expanding dynamic capabilities.<\/p>\n<\/div>\n<div class=\"s-content\">\n<h2><span class=\"ez-toc-section\" id=\"HIGH_STABILITY_LOW_DYNAMISM_BUREAUCRATIC\"><\/span>HIGH STABILITY, LOW DYNAMISM: BUREAUCRATIC<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<\/div>\n<div class=\"s-content\">\n<p>If your organization is a little too hooked on stability &#8211; i.e. in bureaucratic mode &#8211; you need to focus on developing your dynamic practices and modifying your stable backbones, especially on practices related to people, process, and structure.<\/p>\n<p>In the\u00a0<u><a title=\"\" href=\"https:\/\/www.mckinsey.com\/business-functions\/organization\/our-insights\/how-to-create-an-agile-organization\" target=\"_blank\" rel=\"noreferrer noopener\" data-ol-has-click-handler=\"\">McKinsey survey<\/a><\/u>, bureaucratic implementations suffered most when it came to rapid iteration and experimentation; technology, systems, and tools; continuous learning; and sensing and seizing opportunities. In fact, only 29% of bureaucratic respondents said they practiced rapid iteration and experimentation, compared to 81% of Agile respondents. These respondents are also considerably less likely to use MVPs (minimum viable product) to test their ideas (just 19% compared to 74% of Agile respondents).<\/p>\n<p>Creating space for these practices can enable the speed, responsiveness, and flexibility organizations need to compete with their more Agile counterparts.<\/p>\n<p>Bureaucratic organizations should also investigate ways to leverage and build upon their existing stability, specifically when it comes to people &#8211; such as by embracing performance orientation; shared and servant leadership; incentivizing team-oriented behavior; and investing in employee development. These practices can foster autonomy, creativity, and collaboration in ways not commonly seen in bureaucratic environments.<\/p>\n<\/div>\n<div class=\"s-content\">\n<h2><span class=\"ez-toc-section\" id=\"CONCLUSION\"><\/span>CONCLUSION<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<\/div>\n<div class=\"s-content\">\n<p>Looking for more practical tips for how to become Agile? Read\u00a0<u><a title=\"\" href=\"https:\/\/www.planview.com\/resources\/guide\/agile-methodologies-a-beginners-guide\/agile-best-practices-effective-teams\/\" target=\"_blank\" rel=\"noreferrer noopener\" data-ol-has-click-handler=\"\">this article on Agile best practices for teams<\/a><\/u>, or check out the Lean-Agile Delivery section of our\u00a0<u><a title=\"\" href=\"https:\/\/www.planview.com\/resource-center\/?resource_solution%5B%5D=lean-agile-delivery&amp;resource_language%5B%5D=english\" target=\"_blank\" rel=\"noreferrer noopener\" data-ol-has-click-handler=\"\">Resource Center<\/a><\/u>!<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Although nearly every organization on earth is vying to increase its agility, not all are achieving that goal. In fact, according to a recent\u00a0McKinsey Global Survey, organizational agility, which the firm defines as, \u201cThe ability to quickly reconfigure strategy, structure, processes, people, and technology toward value-creating and value-protecting opportunities,\u201d is still elusive for most. Only&#8230;<\/p>\n","protected":false},"author":127,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_editorskit_title_hidden":false,"_editorskit_reading_time":0,"_editorskit_is_block_options_detached":false,"_editorskit_block_options_position":"{}","footnotes":""},"categories":[38],"tags":[511],"class_list":["post-12959","post","type-post","status-publish","format-standard","hentry","category-work-collaboration","tag-leankit"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.8 (Yoast SEO v26.8) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Achieving Organizational Agility - Blog | Planview<\/title>\n<meta name=\"description\" content=\"Although nearly every organization on earth is vying to increase its agility, not all are achieving that goal.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Achieving Organizational Agility\" \/>\n<meta property=\"og:description\" content=\"Although nearly every organization on earth is vying to increase its agility, not all are achieving that goal.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/blog.planview.com\/achieving-organizational-agility\/\" \/>\n<meta property=\"og:site_name\" content=\"Planview Blog\" \/>\n<meta property=\"article:publisher\" content=\"http:\/\/www.facebook.com\/pages\/Planview-Inc\/89422974772\" \/>\n<meta property=\"article:published_time\" content=\"2019-03-15T15:24:50+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2020-03-03T16:27:44+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/Achieving-Organizational-Agility.jpg\" \/>\n<meta name=\"author\" content=\"Jon Terry\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@leankitjon\" \/>\n<meta name=\"twitter:site\" content=\"@Planview\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Jon Terry\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/blog.planview.com\/achieving-organizational-agility\/\"},\"author\":{\"name\":\"Jon Terry\",\"@id\":\"https:\/\/blog.planview.com\/#\/schema\/person\/b27fa23fc8b87499c284b5a56752b8dd\"},\"headline\":\"Achieving Organizational Agility\",\"datePublished\":\"2019-03-15T15:24:50+00:00\",\"dateModified\":\"2020-03-03T16:27:44+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/blog.planview.com\/achieving-organizational-agility\/\"},\"wordCount\":897,\"publisher\":{\"@id\":\"https:\/\/blog.planview.com\/#organization\"},\"image\":{\"@id\":\"https:\/\/blog.planview.com\/achieving-organizational-agility\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/blog.planview.com\/wp-content\/uploads\/2020\/03\/Achieving-Organizational-Agility.jpg\",\"keywords\":[\"LeanKit\"],\"articleSection\":[\"Work Management for Teams\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/blog.planview.com\/achieving-organizational-agility\/\",\"url\":\"https:\/\/blog.planview.com\/achieving-organizational-agility\/\",\"name\":\"Achieving Organizational Agility - 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