Innovation and Transformation

7 min.

Summary

Today, as a follow-up to a workshop yesterday, I had the chance to reflect on how innovation and transformation are connected and how they can be promoted. In this context, it is particularly important to look at how innovation arises, what framework conditions must be in place, how a culture of innovation can be conducive and how the innovation process can be set up and what it depends on.

Transformation

Transformation refers to a change, transformation or transition from one state to another. This can occur in many contexts and fields, such as technology, society, politics, science, art, etc. Transformations can be both radical and gradual and can have positive or negative effects.

In a technical context, for example, transformation can refer to a change in the structure or functioning of a system or technology. In society, transformation can involve a change in social structures, values and norms. In the arts, transformation can mean a change in the creative process or in the interpretation of a work of art.

Innovation

Innovation refers to the process of creating new ideas, concepts, products, services or processes that improve or change the existing state. This can take place in any area of life, from technology and science to art, culture and business. Innovations can be small and incremental (progressive) or radical and disruptive (overturning).

Innovative ideas can come from a variety of sources, such as individuals, companies, governments or research institutions. They often require a combination of creativity, knowledge and skills to be successfully implemented. Innovations can help improve processes, reduce costs, open up new markets and improve the quality of life.

Connection and differentiation of innovation and transformation

Innovation and transformation are two terms that are often used together but have different meanings. Here are some important differences between innovation and transformation:

  1. Objective: Innovation refers to the process of creating new ideas, concepts, products, services or processes that improve or change the existing state. Transformation, on the other hand, refers to a broader change, transition or transformation from one state to another.
  2. Scope: Innovation is usually focused on a specific area or problem. Transformation, on the other hand, refers to a larger change, often involving several areas or systems.
  3. Impact: Innovation can have a positive or negative impact on a specific area, but its impact often remains limited. Transformation, on the other hand, can have a far-reaching impact on a society, an industry or an entire sector.
  4. Timeframe: Innovation can happen quickly or slowly, depending on the circumstances. Transformation is usually a longer-term process, often taking years or even decades.

In summary, innovation is part of the transformation process, as new ideas and concepts are often necessary to bring about transformation. But transformation is much more than innovation, as it involves a broader change that often affects many different areas or systems.

Innovation and the “outside-in” perspective

Innovation is central to the survival and success of companies and organisations in a constantly changing economic environment. However, to innovate successfully, it is important to have a broad perspective that goes beyond the boundaries of one’s own company. The “outside-in” perspective refers to the practice of focusing on the needs and desires of customers, markets and business partners in order to develop new ideas and concepts.

An outside-in perspective is particularly important as it helps companies develop a better understanding of the needs and trends of their customers and markets. This enables companies to identify problems early and develop solutions before they become major challenges. It also helps to get a clearer idea of what products and services are needed and how best to deliver them. Outside input can also be promoted through trend counting.

However, having an outside-in perspective does not only mean paying attention to the needs and wants of clients. It also means having a better understanding of the larger trends and developments in the industry and business environment. This enables companies to proactively respond to changes and adapt their business practices to keep up with market challenges.

In summary, the “outside-in” perspective is an important part of the innovation process. By focusing their attention on the needs and desires of their customers and markets, companies can make better decisions and align their innovation efforts for success.

“Bottom-up” and “top-down” are two different approaches to the implementation of innovations in companies and organisations

The bottom-up approach refers to an innovative process where ideas and concepts come from the employees of a company. These ideas are then passed through the company up to the management level and reviewed. A bottom-up approach encourages the participation of all employees and can lead to a greater diversity of innovative ideas.

The “top-down” approach refers to an innovative process in which the management level of a company sets the direction and goals for the innovations. Employees are then responsible for implementing these ideas and concepts. A top-down approach provides a clearer structure and overview of the innovation process, but it can also result in fewer employees being involved and less diversity of ideas.

In practice, both bottom-up and top-down approaches are often used to develop an inclusive and comprehensive innovation strategy. For example, a company may use a bottom-up approach to generate new ideas and a top-down approach to select and implement the actionable ideas.

It is important to note that both approaches have their strengths and weaknesses and that a combination of both approaches often provides the best results. It depends on the specific needs and goals of a company, as well as its culture and structure, which approach is most appropriate.

Value Office for innovation projects

A value office is an organisational unit designed to maximise the added value for the company from innovation projects. It is a kind of “innovation hub” that ensures that innovations are integrated into a company’s overall strategy and business model and that they actually deliver the expected added value.

The Value Office has several important tasks that it must fulfil in order to achieve its goals:

  1. Identification of innovation opportunities: The Value Office should ensure that it is always up to date on new technologies, trends and developments and that it is constantly looking for new innovation opportunities.
  2. Evaluation and selection of projects: Once new innovation opportunities have been identified, they need to be evaluated and selected to ensure that they offer the highest added value for the company.
  3. Monitoring and steering of projects: The Value Office should be responsible for monitoring and steering innovation projects to ensure they are completed on time and within budget.
  4. Integrating innovation into the business model: Once an innovation project is completed, the Value Office must ensure that it is integrated into the company’s overall strategy and business model in order to actually exploit the added value.

The Value Office should have a close working relationship with other departments and areas of the company to ensure that all relevant perspectives are considered and that all necessary resources are provided to be successful.

Setting up a value office is an important step for many companies on the way to a successful innovation strategy. It helps to focus on value and ensure that innovations are integrated into the overall business and that they actually deliver the expected added value.

Innovation culture

A culture of innovation refers to the set of norms, beliefs, behaviours and structures that shape an organisation and determine its ability to innovate successfully. A strong innovation culture encourages employees to develop and share new ideas and creates an environment that allows them to try out their ideas and develop further.

A culture of innovation is created when leaders and staff pull together to create an environment where creativity and risk-taking are encouraged and rewarded. Such a culture also provides the necessary resources for new ideas to be realised.

Some of the characteristics of a strong innovation culture are:

  1. Openness to new ideas: Employees feel encouraged to develop and share new ideas, whether they are successful or not.
  2. Risk-taking: The organisation is willing to invest in new ideas and willing to make mistakes and learn from them.
  3. Collaboration: Employees work together to develop and implement new ideas.
  4. Flexibility: The organisation is ready to adapt quickly to new developments and willing to change its business processes and structures to implement new ideas.
  5. Fostering creativity and competence: The organisation invests in the skills of its employees and fosters their creativity so that they can develop new ideas.

A strong culture of innovation is essential for the long-term success of a company. It enables companies to quickly adapt to changing market conditions and develop new business opportunities to strengthen their competitiveness.

A culture of innovation can be fostered by companies through the establishment of innovation coaches, the application of design thinking, the training of employees in technical topics and the introduction of an innovation maturity model. Inspiring sessions can often be the impetus for new innovation ideas. Rewards for idea generators are essential for establishing a culture of innovation.

Innovation process

The innovation process is an important part of any organisation that wants to innovate successfully. This process helps to identify, develop and implement new ideas to strengthen the organisation’s competitiveness. The innovation process can be divided into several phases, including idea generation, concept development, prototype development, testing and deployment.

Technical environments play an important role in supporting the innovation process. They provide the necessary resources for employees to develop and implement new ideas. These include, for example, technical labs, 3D printing machines, prototyping tools and software development platforms.

Use Case Definitions describe the benefits of a new technology or solution for a specific use case. These definitions help to focus on the most important requirements and accelerate the innovation process.

An Incubator Lab is an environment that supports startups and other organisations to develop and grow their ideas. These labs provide resources such as office and technical facilities, mentoring and financial support.

The concept of “fail fast” states that organisations should fail fast when an idea does not work. This helps save time and resources and accelerates the innovation process by quickly identifying and discarding unsuitable ideas.

The Demand Process refers to the process by which an organisation identifies and analyses its customer needs in order to develop new business opportunities. This process helps to understand the needs of the market and develop new solutions to meet those needs.

My crisis with the corona virus and the positive change in program management

7 min.

Summary

The article examines how working in programs has changed due to the exclusively virtual way of working. Special attention is paid to the changes in governance, working methods and perception of hierarchy in the company. This contribution is accompanied by a survey on some hypotheses on the future of leadership especially under the aspect of distributed work in order to support or reject these hypotheses. Nevertheless, I will try to formulate some future prognoses on this subject already now. The article wants to give some hints which experiences we should in any case take with us into the “new normality” and thus firmly anchor them in our way of working. People and companies who do not learn and adapt from this crisis and only want to return to a supposed old normality will fail in the future.

Flashback

On March 2nd I did not go to North Rhine-Westphalia like every week before, because I had cold symptoms and since a few weeks the corona virus was on everyone’s lips, also in our program. So I thought it would be appropriate not to endanger my colleagues in the project and planned one week of remote work. Thought, done. Being one of the few “local” colleagues not to be on site, as expected, led to a lot of more time being spent for work, as now much had to be done via team video call. And this in planned meetings, which was perhaps previously easily clarified across the desk. In the course of that week, my company decided to stop all non-essential business trips and let me work exclusively from my home office. What can I say, the next few weeks were pure stress, because all the meetings, which were previously held locally and often hybrid, were now virtualized, which led to many additional hours of work. Despite my 5+ years of experience in pure home office (globally virtual distributed programs or project portfolios) in my 20+ years of experience in project and program management, virtual work during Corona was another dimension. I would like to go into this in the course.

This personal (including capacity-) crisis has, as often, also led to something better. What exactly has changed?

Changes in governance et al.

When it comes to governance, many people think first of meetings and the committee structure. This is fundamentally correct, but it is not complete. My calendar was overloaded the first 3-4 weeks of purely virtual work, because now a meeting was often set up virtually for many “little things” and then 30 minutes with colleagues was the lower limit. Thanks to Outlook. I immediately remembered the 22-minute meetings. The goal is to have meetings in

  • 22 minute slots,
  • to have a clear agenda,
  • ideally, distribute written reading material on the topic of the meeting in advance and in good time,
  • start the meeting on time and have a clear focus.

I have configured my Outlook so that meetings last either 25 minutes or 50 minutes by default. Here the settings in Outlook help to ensure this. My experience in the virtual environment is that meetings last until the planned end. On site meetings last until someone has to leave because they are changing rooms. Moving from one room to another demand time. In the virtual environment this is usually not granted. Often there is not even time for bio breaks. Unbelievable!

In order to avoid the overcrowded calendar, a daily stand-up meeting of the teams should also be planned in the virtual environment. Here it is important that appropriate video conferencing and collaboration tools are used. I use Planner from Microsoft or Trello in my volunteer work to support backlog, spintplanning and standups. With both boards, the daily stand-up meeting with a core team of a program or, as with me currently, the project portfolio management team of typical up to 7 direct reports can be supported very well. Sprint planning and retroperspectives are of course also included.

Another proven meeting sequence is to schedule escalation and decision meetings ideally several times a week and, in the best case, cancel them if nothing needs to be decided or addressed. These fixed regular dates allow for quick decisions, even in times when the calendars of our senior management are full. Should the need arise to be more than once or twice a week, the role descriptions, RACIs etc. must be checked carefully. Then, in my experience, there is not enough information and decision-making authority at the right level. Basically, my remarks on governance and escalations apply here, of course.

Due to the complete virtualization of all meetings, I have noticed a democratization of these meetings. Anyone can switch on the webcam and be present in a prominent position, unlike in hybrid meetings. Anyone can use the “raise hand” function in the collaboration tool. Everyone can see what is being drawn on the virtual whiteboard and not somewhere on a locally available flipchart. Everybody – and not just the local senior management at the table – can be seen equally in the gallery view of the video software. Quietly and secretly, this changes the style of the meetings and, above all, the greater participation of formerly “never-in-meeting room attendees”, because they are, for example, offshore.

Overall, an asynchronous working of the team is to be enabled, e.g. by check-ins in the morning (these can also be created manually in Microsoft Teams). For teams that work on different topics and only interfaces are relevant or where for whatever reason the daily stand-ups are not possible, the check-in approach is recommended in any case. An active exchange on the check-ins should take place via the comment function. Otherwise there is no added value. If a person asks the check-in question manually, no automatisms have to be established via additional tools. In my team we had solved this manually in MS Teams in which a colleague set the daily question at the start of work.

Due to the higher concentration/stringency of virtual meetings, team members quickly notice exhaustion due to the high sequence of meetings. The one or the other coffee talk can then be made possible virtually.

For me, the more intensive cooperation – intensive because of the even higher level of structuring – has confirmed that the team composition is particularly relevant as already described in 2019. For me, in the intensive virtual cooperation I noticed a weaker expression of the intercultural differences. Perhaps this is related to the democratization described above. Here it would be interesting to know what your experiences are about this. Please put them in the comments. Furthermore I have put up a few hypotheses on which I would like to hear your opinion in this Google Form.

Your more advanced hypotheses are welcome in the comments below.

Does Corona bring long-term changes?

This almost philosophical question was already intensively discussed in the media months ago and many authors came to the conclusion that the corona pandemic will change many things positively in the long term. More regionality, less travel, more … I believe realistically, many positive aspects will be forgotten, despite the long duration of the restrictive measures.

Even when the volcano Eyjafjallajökull erupted in Iceland, many had predicted that air traffic would be reduced in the long term. Immediately after the volcanic ash had blown away, air traffic was back at a very similar level.

Maybe some things will change due to the fact that nobody else could work the same way as before during the Corona ban and some things have hardened due to convenience or because companies have taken measures to avoid further shocks. Everyone, including sales representatives, conducted virtual customer conversations and were forced to work with “the unimaginable”. Let’s see.

Ultimately, the further development of the technology will anchor one or the other change in the long term, because ultimately cost-benefit considerations are always applied by individuals and companies. So we can hope that my forecast of changes as described in the article Project Manager in 2030 will come true. Perhaps our ethical and moral approaches have changed so much during Corona, which will directly lead to a change in our common future.

Which changes should be “cemented”?

The crisis described at the beginning leads to transformation. How the transformation develops and solidifies cannot be guessed in advance. Nevertheless one should of course try to “build in” as many positive aspects as possible.

Due to the asynchronous mode of operation in virtually distributed teams, early intermediate work results should be shared in any case – in line with WOL. In the office on site, the interim status review is often provided by informal coffee break conversations, which allows the maturing “product” to receive continuous feedback. In the virtual world, as much as possible of the semi-finished product should be shared in a structured way.

It is also useful to check whether your own self-organization tools are still the right ones, even when working remotely.

What I have firmly decided to do is that even if everyone else around me falls back into the “post-volcanic eruption-back-to-normal” effect, I will work virtually in a team in my programs at least every third week in order to constantly put the program into remote operation. Otherwise many positive effects will be lost.

We should also avoid hybrid meetings in the future. If parts of the team are remote, then everyone should go to virtual meetings because of the “democratization” described above and the higher effectiveness.

The definition of the communication principles in the project gain more importance due to the necessary home office work, because a formalization with more asynchronous work is absolutely essential.

There is one more thing we should maintain: The care for each other and the often heard, in my opinion, serious statement: “Stay healthy!” In this sense… Stay healthy.

Your hypotheses?

Transformations and project culture or leadership towards change

3 min.

Summary

Transformation is not a change process, but a small crisis. 80% of people prefer stability to change. Change is a necessary evil for this type of person to move from one stable state to another. The change agent or project manager must therefore change old rules, which allow the no longer desired action strategies. In order to change a project culture, the patterns of thought and behavior of all participants must be changed. Project culture is the sum of all thought and behavior patterns of all people in the system. It is a misconception that managers or project managers should give fewer rules and instructions so that the team can and will become innovative.

Transformation is a crisis

Transformation is not a change process, but a small crisis. Therefore, a change agent does not have to admonish that certain actions are no longer desired or that others are desired. On the other hand, he should consciously take old patterns of thinking / possibilities of action as the basis for application through other rules. The “Change Agent” does not carry out change, but limits or expands room for maneuver. And he coaches consciously, but does not monitor. He must ensure that the old strands of action are not used for 90 days in order to make a new pattern of action possible for the colleagues involved. In this period new patterns of thinking are sought, old habits are thrown overboard and the new patterns of thinking are finally applied without effort.

So much for the ideal world.

Stability is the dream of most people

80% of people prefer stability to change. The reason for this is that people want to use as little energy as possible to achieve something. A change needs more energy and is therefore unwanted. Changes are a necessary evil for this type of person to move from one stable state to another. This is also seen by these people as a criticism of their previous attitudes, actions or whatever is to be changed. In today’s complex world, in which stable states – if at all – arise only very briefly, constant change is rather the normal state. I assume that today’s environments therefore perceive people as more stressful.

Project managers or “change agents” should change something over which you have no influence: Thinking patterns and attitudes of participants. As I said, the agent must therefore change old rules that allow for strategies that are no longer desired. With the new rules each participant in the transformation will then acquire new patterns of behavior and thinking.

If I want to change something, I must consciously plunge myself and my organization into a crisis in order to bring about a change.

Changing the project culture

In order to change a project culture, I have to change the patterns of thought and behavior of all participants, because they shape the project culture. Project culture is therefore not a centrally defined guideline, but a sum of all thought and behavior patterns of all people in the system.

The well-known leadership models and project organizations are often based on very old models such as military and church structures. These models create stability, but no change. This is because the limits for patterns of thought and behaviour are set. In leadership it becomes more and more important to forget the existing (patterns of thinking or behaviour) in order to make innovations possible.

The misbelief as a leader should be given fewer rules today

It is therefore a misconception that managers or project managers should give fewer rules and instructions so that the team can and will become innovative. In order to enable innovation, the project manager has to set different / new rules so that the team changes from the “comfort zone” (old thinking patterns and actions) to a new state and can create something new.

Quantum computers – practical applications

3 min.

Summary

The quantum computer is now finding its way into the business world and its practical applications and is leaving the purely scientific realm. The quantum computer will enable us to face previously unsolved challenges in the field of artificial intelligence and diverse simulations. In all areas where large amounts of data and parallel processing are necessary.

Miniaturization of transistors reaches its limits today

On a chip of 2 * 2 cm there are 18 billion transistors. Now the physical limits of production are reached with a transistor size of 10 nanometers. The transistor represents the well known characteristic 0 and 1 (1 bit).

The previous manufacturing process using ultraviolet light is now reaching its limits. With transistors in these small sizes (a few atoms large), the electrons jump over the barrier in the transistor (pass through the closed transistor) and the transistor loses its effect of representing 0 or 1 because the electrons become independent. This effect is called quantum mechanical effect.

How does a quantum computer work?

Exactly this effect is used for the production of quantum computers. Because a quantum computer no longer uses only one bit (i.e. 0 and 1; “either or”), but a qubit (0, 1 and 0/1; 2both as well as”). The qubit thus allows 2 states (0 and 1) to be taken simultaneously. This property is called superposition. If now the state of the transistor is measured, this qubit “colabrates” in a clearly defined probability 1 or 0.

With classical bits, four different combinations are represented in the transistor: 00, 11, 01 and 10. With a qubit, all four combinations can be used simultaneously. Thus it is possible to represent N bits for N qubits = 2 high. In addition, parallel arithmetic operations are also possible due to the superposition. These multiply exponentially with each additional qubit.

Furthermore there is another quantum mechanical effect of the “entanglement” = linking of one qubit with another qubit. A qubit reacts automatically to the change of its partner qubit.

The weakening of the Moorschen law (every 18 months a doubling of the computing power) should be stopped again with the development of quantum computers in many applications.

Sensible applications of the quantum computer

Therefore, the quantum computer can perform parallel computations better and is therefore very well suited for searching databases, decrypting encryptions and simulations. The quantum computer does not play an advantage in sequential computations and here the classical computer (digital computer) will certainly continue to be used for cost reasons until further notice.

Examples for simulations can be:

  • simulations of molecule cooling in the chemical and pharmaceutical industries
  • traffic simulations
  • quantum algorithms in artificial intelligence
  • cryptography

The quantum computer is now moving from the scientific research niche into the business world and its practical applications.

How do you program a quantum computer?

The algorithms to be used differ from the algorithms of the digital computer to use entanglement and superposition. Several arithmetic operations, so-called quantum gates, are used to entangle, read or modify the qubits described above. Special algorithms for prime factor decomposition (in crypotography) and special search algorithms (for database query) have existed for a long time, but are now used in business environments.

Ethics and morals and how they determine our future

4 min.

Summary

Ethics and morality as delimitable concepts form the guard rails for our shaping of the future. An action is seen as morally correct if it is regarded by all as correct or just. It must now be defined who “all” are. A different evaluation by different cultural circles of “future topics” leads to different standards of values and thus to accelerated or slowing trends in the introduction of “future topics”.

How do morality and ethics differ?

Ethics and morality as delimitable concepts form the guard rails for our shaping of the future. First a differentiation between the two terms is necessary before we consider how these guard rails apply to the respective context and thus directly influence our future.

Ethics is derived from the Greek word ēthos . Translated, this means character or sense. Morality comes from Latin and means translated custom. Ethics is therefore the higher authority and illuminates various morals and considers them from a philosophical point of view. Morality is the practical application of ethics. Morality is the practising or practical ethics.

What is ethically correct now?

An action is regarded as morally correct if it is regarded by all as correct or fair. Now it has to be defined who “all” are. In the context of globalisation and the ever closer intermeshing of cultures and economies, this is not so easy. In our European culture, ethical values are determined by questions like:

  • Is that natural?
  • Is that normal?
  • Is it human?

In other regions, such as the Silicon Valley or often in Asia, demand is high:

  • Is that causing damage?
  • Is that useful?
  • Does it have a side effect?

This diversity is already empirically underpinned at Hofstede with the cultural dimension “uncertainty avoidance”, as explained in my article International Project Portfolio Management, taking cultural differences into account. Germany has a value of 65 for uncertainty avoidance, in contrast to China with 40 and the USA with 46, for example. The other two cultural groups are therefore rated as much more daring in comparison to Germany.

Ethical diversity and inhomogeneity of cultural groups

As written in my article “Project manager in 2030” over a year ago there will be “in 500 weeks … robots support the care of old people.” Is this natural, normal or even human? The majority of Europeans will say no.

In the USA or Asia, the illumination of this aspect on harm, benefit and side effect will be a very different answer to the ethical question. For through these communities will be put forward: The shortage of caregivers will become more and more apparent and then the benefit of a robot in elderly care will certainly be greater than potential damage. On the contrary, it will be argued that damage will be avoided because the elderly to be cared for do not “lie down” in bed due to the amount of lying down and the constant need to change beds. Does it have any negative side effects? Certainly not, because instead of the staff doing lifting and cleaning, the staff will be able to take care of communication and personal care. Depending on the cultural context, these ethical considerations may differ. The consideration of the thesis from the same article “In 500 weeks we will eat meat bred in laboratories” can be illuminated analogously and the same discrepancy of the approach will be found.

In addition to diversity, the inhomogeneity of cultural circles must also be noted. Within each culture there will be adherents of both forms, which is now ethical. On the one hand followers with the focus on testing for naturalness and humanity vs. followers who rather focus on damage and benefit evaluations.

Effects on the development of future trends

This fundamentally different evaluation of “future topics” leads to different standards of values and thus to accelerated or slowing trends in the introduction of “future topics”. Therefore, will we in Europe lag behind in the new trends and will be other regions be a pulse generator?

I think it depends a lot on the topics. In the field of “immortality”, i.e. DNA replications and changes in the first steps, Asian research laboratories and companies are already a long way ahead in concrete research into immortality. In the field of autonomous driving, there is likely to be a certain dominance in the scientific field in Europe, but this has already neutralised itself in the commercial field. In the blockchain sector, Germany has fortunately established a good basis of start-ups that are internationally competitive.

Do future trends need new regulations?

Now the question arises whether regulations are already necessary for these trends. These are established for topics such as social media (already established commodity products such as Facebook). On the subject of autonomous driving, there are worldwide prototypes of regulations that are used as limited regulations and have been temporarily established by politics on an experimental basis. Here, German policymakers must succeed in adapting these in good time in order not to slow down these new trends in our region in comparison to other regions. Here, key industries such as the German automotive industry are hanging by a thread and could fall behind due to a lame legislation. For it will not be decisive who has completed the first and best autonomous journeys in realistic environments on which test site, but who can and has demonstrated this to the masses. It is already the case today that autonomous systems can drive safer than any human driver (in most environments). The only future trend area I know for which even the world’s greatest visionaries want clear regulations is the field of artificial intelligence. Here, limitations should be set early on so that man, as then the second most intelligent creature after AI, does not become a servant of AI. Fears in this area are not completely unfounded but extremely complex to regulate. Exciting times.

Agile vortex?!

3 min.

Summary

Agile work or delivery is only possible if necessary decisions can always be called up. It also does not work without appropriate governance. There is huge similarity in turnaround situations of classical projects with the approach of agile projects. The focus here is on short iterations and close coordination with the customer. The introduction of agile principles should be based on this observation. Agile principles will continue to spread differently in different industries. But whoever thinks of agility about method or technology is wrong! Early results in the project and close coordination with the real customer are not method or tool results.

Agile project management does not work without appropriate governance

Agile work or delivery is only possible if necessary decisions can always be called up. In my article “Communication Principles in a Project” it is easy to see that the short time until a decision is made is extremely important. This is often slowed down or even blocked by the middle layers of management in a company. This so-called permafrost cannot comprehend the need for agility often sensibly identified by top management. Likewise, decisions necessary in the course of the project cannot be made by the senior management themselves, as are not be placed correctly with them.

Agile project management is very similar to the approach of classic projects in turnaround situations

In both cases, the focus is on short iterations and close coordination with the customer. The introduction of agile principles should be based on this observation. The classic project plan is then usually only a reference for contract-relevant delivery items. The chain of failure in projects is the customer relationship and thus the governance structure, then the tools and processes and at the latest the employee frustration. When introducing agile principles, the sequence is exactly the other way around. In my experience, the team atmosphere in project organizations can indicate a wide variety of problems at any time, and not only that “something” is wrong, but also in which project management domains (see my article SmileyPoints). It would also be interesting to use this method when introducing agile project management.

How will the agile vortex spread now?

As can be deduced from my article “Project Manager in 2030“, the agile principles will continue to spread differently in different industries. What this “agility” will look like, whether pure SCRUM, SRUM of SRCUM, Kanban, scaled agile, SAFe, LeSS, Spotify will be shaped by the customer and company environment (i.e. products, services, industry, size, etc.). Is “classic project management” dead? Certainly not, because there are certain complex (very large programs) and complicated (repetitive projects) for which classical project management will be the better alternative. Nevertheless, it makes sense for the classic project manager to make tool picking out of the agile box. But whoever associates agility with method or technology is wrong! Early results in the project and close coordination with the real customer are not method or tool results. Concepts and planning are required in both approaches. Approaches such as scaled agile approaches e.g. SAFe take this aspect particularly into account.

The challenges for product owners or project managers

The challenge for the drivers of ventures, whether product owner, project manager or program manager, will now be that they should play different instruments in different environments. Because the dogmatic orientation “we only do agile single projects” can only take place in companies that have no need for diverse interfaces and environments. The exclusive product owner or program manager will therefore rather remain the rare species. A stigmatization of the two approaches is therefore certainly not meaningful, but the combined application or simply said the agile classical project is the future. Early and constant results and close end customer coordination are the success factor in all projects.

Project Manager in the year 2030

6 min.

Summary:

Does the project manager still exist in 2030 – as we know him today? The answer in a nutshell: No. The tasks of the project managers will change in the areas of leadership, organization and project implementation.

I was tempted to take part in the German Projektmagazin’s blog parade. Because on the one hand we are talking here about a term “project manager” that has come under intense discussion (especially in the German speaking project manager community using terms project managers and project leaders slightly differentiated) and on the other hand about a period of time that is very long even for futurologists. The researchers do not believe to be capable to define changes in this time dimension.

The project manager as a term

Both parts of the word project manager are currently in great discussion as to whether they are meaningful or even contemporary. Projects as such like in BI unit of Otto are no longer seen as necessary. The (project) leader or project manager is not intended in the pure agile set. Here, leadership will be given an even more important focus than it already is today. Managers in the sense of controlling and directing will become less and less relevant due to the already visible developments.

It is problematic to give a future statement about the project manager in 2030, if already today the term as such no longer has the anchoring, as perhaps in the preceding decades. Let us dare an attempt.

Time as a yardstick

It’s 12 years till 2030. Appears long. If you think about what the world looked like 12 years ago, backwards from today 2018: There was no iPhone, no Android, no app stores, no Youtube, no Spotify, no Kindle, no Tablet, no digital full format sensor in a serial camera (to put my hobby into context). One recognizes it happens more in 10 or 12 years than one assumes. That’s why futurologists don’t calculate in years, but in weeks in order to emphasize the short-term nature and to evaluate future models and statements faster and make them more comparable. The futurologist assumes 50 weeks per year. How many weeks have passed since New Year’s Eve? Three. So less than 50 weeks to New Year. In these three weeks not many things happened according to the human feeling. In the best case, you have planned three weeks and reflected them three times. But the “cross-week” tactical themes don’t seem significant. Nevertheless, project managers, Scrum Masters or one-man companies are working on the revolutionary aspects of the future. In the next 597 weeks until the year 2030.

What will the project environment look like in 500 weeks?

What will the world look like in 500 weeks? It seems pretty certain that in 500 weeks I and 70% of the German population will no longer own a car. In 500 weeks we won’t have any smartphones anymore. In 500 weeks we will no longer be using a supermarket. In 500 weeks we will produce more electricity in our households than we consume. In 500 weeks we will eat meat bred in laboratories. In 500 weeks we will receive ears for people from the 3D printer as medical spare parts. In 500 weeks robots will support the care of elderly people. In 500 weeks, 40% of the German population will have intelligent non-medical implants. In 500 weeks …

All these endeavors – let’s call them projects here for simplicity’s sake – are accompanied by people. This is not about generating ideas, but about implementing them. The fact that the creation, definition and implementation of ideas should be close to each other in terms of personnel is supported by some and criticized by others.

Requirements for today’s project managers in 2030

What impact does this have on me and all the other project managers from 2018? The visionary project manager who drives this one idea will no longer exist. We can already see today how complex the world of work and the world as such has become. This can no longer be united by one person. So it will have to be more and more a team effort. Which is good. This naturally has an effect on the aspect of leadership. We recognize trends already in agile beginnings which do not represent however yet the end of the road. The following generations have and demand a different attitude to work. I have experienced this many times myself and already talk like my grandfathers (“The young people today”). But also this change is good, because …

“No change, no development.”
Birgit Ramlow (*1948), employee and hobby aphorist

Transformation vs. Revolution

And now a much criticized term from the business economics: Transformation. When I think in weeks and design endeavors in a manageable time frame, there are transformation aspects. It is revolutionary when we experience a complete technological or paradigm shift. The smartphone was not a revolution, but a courageous and creative combination of available technologies. The push came somewhat delayed by the apps. But even these are not a classic revolution, but a further development on another platform and therefore used by more users. Why was the smartphone ultimately perceived as revolutionary and has this outward appearance? Well, my thesis is that managers of competitors like Nokia and Siemens weren’t brave enough and didn’t listen to the market. Imagination and creativity were not lacking. Because carmakers are also being predicted the whole development today and the reactions to it are, in my opinion, too hesitant. In development periods of 4 years per real model change, i.e. 200 weeks, you can no longer act today. So what can we deduce from this for the project manager?

He will work a lot in transformation projects and will contribute to the revolution by quickly placing new projects with courageous and fast acting managers.

Company management or committees in 2030

The biggest changes will certainly be one level higher in the hierarchy (if you want to talk about it at all – today at least one level higher) required at the portfolio board, at the product owners or however a company implements strategic decision making for itself. At Otto in the product area, in the agile environment by the product owner – as a representative for the management or the portfolio board in classical project management. These committees will certainly have to meet the defined requirements even more than in my article, written in 2016, in order to enable the timing between the transformations to revolutions. And let’s be honest, in the ~ 60 weeks since this article was written, the claim is still not fulfilled. So there is a need for action.

Different demands on the project managers

Will the development depend on the type of project?

There will no longer be a project manager who can manage projects universally in all industries and project types. At least today’s challenging attitude will be less and less correct.

In the area of software development, agile approaches and hybrid mix forms will develop for large programs. A design of these hybrid forms is material for another blog post.

Investment projects will continue to be similarly organized as today. And thus also the role and tasks of the project manager. Even if today’s examples, such as Berlin Airport, are not promising.

The young project manager in 2030

But what about the young project manager who will manage projects for the first time in 2030? He starts with a handicap. Because he himself, but also his IT architects and other colleagues, will not have experienced any more “journeyman years” here in Germany, since all “journeyman activities” were already relocated from the last century nearshore or offshore in the 1990s. It will no longer be so easy to start a career as a project manager, however shaped it may be. This can be observed today in environments that have changed for some time, such as the textile industry. Here in Germany today there are often problems to find qualified seamstresses for the sample collection. For this reason, companies themselves have to relocate business-critical areas such as design and sample collection abroad. This will also be the case with the project managers of the future. In the virtual world, with the supporting technologies, it will always be easy to carry out projects here in Germany. But also the proximity to the customer is less and less important due to the virtual support technologies. This means that in 2030 it will also be possible to carry out projects completely from a remote location (including project managers) without missing customer proximity in Germany.