{"id":20504,"date":"2022-05-09T08:30:26","date_gmt":"2022-05-09T13:30:26","guid":{"rendered":"https:\/\/blog.planview.com\/engage-and-accelerate-with-okrs-and-vsm\/"},"modified":"2023-03-09T15:06:33","modified_gmt":"2023-03-09T21:06:33","slug":"engage-and-accelerate-with-okrs-and-vsm","status":"publish","type":"post","link":"https:\/\/blog.planview.com\/engage-and-accelerate-with-okrs-and-vsm\/","title":{"rendered":"3 Ways to Engage and Accelerate IT with OKRs and Value Stream Management"},"content":{"rendered":"<figure>\n<div class=\"feature-image\"><img decoding=\"async\" class=\"aligncenter size-full\" src=\"https:\/\/media.planview.com\/tasktop_blog\/wp-content\/uploads\/2022\/05\/okrflow_blog-image-850x550.png\" alt=\"3 Ways to Engage and Accelerate IT with OKRs and Value Stream Management\"><\/div>\n<\/figure>\n<p class=\"p3\">TIAA, a Fortune 100 financial services organization, manages investments for more than six million clients, totalling more than 1.3 trillion dollars. According to Darrell Fernandes, the Head of Product Technology, the company\u2019s success boils down to its operational strength \u2014 an area which Darrell is continuously improving.<\/p>\n<p class=\"p3\">In Episode 43 of the <a href=\"https:\/\/projecttoproduct.org\/podcast\/\"><span class=\"s1\">Mik + One Podcast<\/span><\/a>, Dr. Mik Kersten, founder and CEO of Tasktop, talked with Darrell about how he uses a combination of OKRs and value stream management (VSM) to propel productivity at TIAA.<\/p>\n<p class=\"p3\">For Darrell, the goal of implementing OKRs and VSM was to improve operations in order to delight customers and cultivate lifetime income. A bonus side-effect of the improved efficiency TIAA achieved was employee engagement. Staff felt more connected to the customers they served, which boosted their engagement.<\/p>\n<p class=\"p3\">If you\u2019re struggling to drive improvements with OKRs in your organization or wondering where to begin, here are three key pieces of advice from Mik and Darrel\u2019s discussion:<\/p>\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\/engage-and-accelerate-with-okrs-and-vsm\/#1_Design_OKRs_based_on_value_and_flow\" >1. Design OKRs based on value and flow<\/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\/engage-and-accelerate-with-okrs-and-vsm\/#2_Start_small_and_use_metrics_to_manage_risk\" >2. Start small and use metrics to manage risk<\/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\/engage-and-accelerate-with-okrs-and-vsm\/#3_Celebrate_achievements_in_outcomes_and_flow\" >3. Celebrate achievements in outcomes and flow<\/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\/engage-and-accelerate-with-okrs-and-vsm\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"1_Design_OKRs_based_on_value_and_flow\"><\/span><strong>1. Design OKRs based on value and flow<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"p3\">It\u2019s important to have a firm foundation and a plan before beginning any widespread organizational change. At TIAA, Darrell implemented an IT product model in which each team can clearly connect its work to the value it delivers to customers, whether those customers are internal or external.<\/p>\n<p class=\"p5\" style=\"text-align: center;\"><span class=\"s2\"><a href=\"https:\/\/drive.google.com\/open?id=1GO0-qmMqM4WfaZYhN4Cy7mDJMeJWodON\">Take the project to product maturity assessment&nbsp;<\/a><\/span><\/p>\n<p class=\"p3\">Decisions at <a href=\"https:\/\/www.tiaa.org\/public\/\"><span class=\"s1\">TIAA<\/span><\/a> are guided by the company\u2019s mission: to provide lifetime income for all, with investments that build a better world. This inspirational mission is realized by three key value-drivers: leading with lifetime income, delighting clients, and strengthening operations. A company-wide understanding of these value drivers helps team leaders align OKRs with business goals.<\/p>\n<p class=\"p3\">All 300 of Darrell\u2019s teams are now using OKRs and measuring flow, but this wasn\u2019t always the case. Before beginning the transformation, Darrell needed to understand what was going on in his company, so he used Tasktop\u2019s VSM tool, Planview Viz<sup>\u00ae<\/sup>, to gain visibility into their existing value streams. The transparency afforded by Viz helped him understand the opportunity and design objectives accordingly. \u201cThe tool brought so much to light in the art of the possible,\u201d says Darrell.<\/p>\n<p class=\"p3\">Viz also provides a baseline from which to measure improvements in flow. It records metrics such as flow efficiency, flow velocity, flow distribution, and customer happiness, which keep teams focused on what really matters: outcomes and flow.<\/p>\n<h2 class=\"p1\"><span class=\"ez-toc-section\" id=\"2_Start_small_and_use_metrics_to_manage_risk\"><\/span><b>2. Start small and use metrics to manage risk<br \/>\n<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"p3\">One of the biggest obstacles to introducing OKRs is fear of failure. The change requires full organizational buy-in, and it is therefore essential to gain trust and spark enthusiasm at every level of the business. .<\/p>\n<p class=\"p3\">According to Darrell, a \u201clack of psychological safety leads people to focus on details like dates and proxy metrics. People like having things to measure, but not all measurements lead to outcomes.\u201d At TIAA, the visibility and transparency supplied by value stream management practices helped manage risk perception and calm anxieties about change. The Viz dashboard revealed what was really going on in the business, presenting metrics and visuals that everyone can understand, so that all stakeholders could evaluate the impact of OKRs on flow and value delivery.<\/p>\n<p class=\"p3\">When the opportunity for change arises, Darrell\u2019s advice is to start small, testing OKRs for one team or one product before scaling to the rest of the organization. Although it\u2019s slightly more work to gradually introduce something new while maintaining old goal-setting mechanisms, starting with a small sample size will fuel support for the change. When others witness the success and engagement of the teams using OKRs, they will be more inclined to adopt the practice in their own teams.<\/p>\n<h2 class=\"p1\"><span class=\"ez-toc-section\" id=\"3_Celebrate_achievements_in_outcomes_and_flow\"><\/span><b>3. Celebrate achievements in outcomes and flow<br \/>\n<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"p3\">Organizational change is a team sport. For OKRs and value stream management to be successful, every employee should be able to see the benefit of change, both for themselves and for the customers they serve. Connecting employees with their customers in this way boosts engagement, while also challenging leaders to consider what kind of work is praised and which achievements are celebrated.<\/p>\n<p class=\"p3\">It\u2019s easier to get team members enthusiastic about flow if the right achievements&nbsp; are celebrated. Avoid the tendency to measure proxies for success, like dates, times, and budget, and instead measure flow and substance. According to Darrell, shifting focus from proxies to outcomes involves a change in vocabulary: .<\/p>\n<table class=\"t1\" cellspacing=\"0\" cellpadding=\"0\">\n<tbody>\n<tr>\n<td class=\"td1\" valign=\"top\">\n<p class=\"p3\"><b>Focused on proxies<\/b><\/p>\n<\/td>\n<td class=\"td1\" valign=\"top\">\n<p class=\"p3\"><b>Focused on outcomes<\/b><\/p>\n<\/td>\n<\/tr>\n<tr>\n<td class=\"td1\" valign=\"top\">\n<p class=\"p3\">Are we on time?<\/p>\n<p class=\"p3\">Are we on budget?<\/p>\n<p class=\"p3\">Did we complete the features that we said we would?<\/p>\n<p class=\"p3\">Did we complete Agile ceremonies as scheduled?<\/p>\n<\/td>\n<td class=\"td1\" valign=\"top\">\n<p class=\"p3\">Are we delivering value efficiently?<\/p>\n<p class=\"p3\">Are we delivering the outcome we need?<\/p>\n<p class=\"p3\">Was this feature necessary to deliver the desired outcome?<\/p>\n<p class=\"p3\">Is our current level of output sustainable in the long term?<\/p>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p class=\"p3\">While the main effect of focusing on outcomes is improved efficiency and effectiveness, an added benefit is that employees are more connected with customers and, as a consequence, more engaged with their work. \u201cIf we save a dollar by doing something with technology, that dollar goes right to our customer,\u201d says Darrell.<\/p>\n<p class=\"p5\" style=\"text-align: center;\"><span class=\"s2\"><a href=\"https:\/\/flowframework.org\/flow-framework-community\/\">Join the Flow Framework<sup>\u00ae<\/sup> community<\/a><\/span><\/p>\n<h2 class=\"p1\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span><b>Conclusion<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p class=\"p3\">According to Darrell, operational strength is a cornerstone of success. Strong automations, integrations, and visibility put other business goals \u2013 like delighting customers and cultivating lifetime income \u2013 within reach.<\/p>\n<p class=\"p3\">Furthermore, operational efficiency creates a culture of flow, which promotes engagement and talent retention. Every bottleneck and dependency is a burden that hinders talent from flourishing, but when OKRs and value stream management are introduced to remove the burden, employees are happier, more productive, and motivated to support change.<\/p>\n<p class=\"p3\">Darrell successfully implemented and scaled OKRs by prioritizing flow, starting small before scaling, and celebrating meaningful outcomes. He managed others\u2019 perceptions of risk by presenting the evidence and transparency afforded by the value stream management practice, thereby gaining the support necessary to turn an idea into an organization-wide transformation. He proved that with patience, planning, and the right tools, enterprises really can do more with less.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>TIAA, a Fortune 100 financial services organization, manages investments for more than six million clients, totalling more than 1.3 trillion dollars. According to Darrell Fernandes, the Head of Product Technology, the company\u2019s success boils down to its operational strength \u2014 an area which Darrell is continuously improving. In Episode 43 of the Mik + One&#8230;<\/p>\n","protected":false},"author":243,"featured_media":0,"comment_status":"closed","ping_status":"closed","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":[1,9544],"tags":[],"class_list":["post-20504","post","type-post","status-publish","format-standard","hentry","category-innovation-management","category-project-to-product-shift"],"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>3 Ways to Engage and Accelerate IT with OKRs and Value Stream Management | Tasktop Blog<\/title>\n<meta name=\"description\" content=\"Well-designed OKRs will engage employees and accelerate flow. 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