Table of Contents

• What is the Business Agility Value Stream?

• Agile Release Trains and Development Value Streams

• Portfolios and the Business Agility Value Stream

• Steps in the Business Agility Value Stream

• Conclusion 

What is the Business Agility Value Stream?

The Business Agility Value Stream is a sequence of steps that organizations follow to sense market opportunities, create and deliver solutions, and learn from customer feedback. It is a holistic approach that integrates various aspects of business operations, including market research, product development, customer engagement, and continuous improvement. By aligning these activities, the BAVS ensures that organizations can deliver value quickly and efficiently, while also adapting to changes in the market.

The BAVS is not just about speed; it's about ensuring that every step in the process is focused on delivering value to the customer. This involves organizing around value streams, where teams are aligned to deliver specific outcomes rather than being siloed by function. It also emphasizes the importance of continuous learning and adaptation, allowing organizations to pivot when necessary and improve their processes over time.

Agile Release Trains and Development Value Streams

Let’s start with the basics: the connection between Agile Release Trains (ARTs) and Development Value Streams. ARTs bring together cross-functional teams from across an organization to support and enhance Development Value Streams. The objective is to create a dynamic Value Stream Network comprising these ARTs and the Agile Teams that form them.

However, achieving this alignment is easier said than done. While the ideal scenario is that each Development Value Stream spawns one or more ARTs with a shared business and technology mission, the reality often falls short. Many organizations, despite their best efforts, find that their ARTs are misaligned with the flow of value, leading to inefficiencies and wasted effort.

In such cases, organizations might bring in business consultants to break down feature requests into manageable chunks for team backlogs, but this approach can be counterproductive. Instead, focusing on how well the ARTs align with their respective Development Value Streams can provide a clearer path to success. This alignment is crucial, and as organizations mature in their Agile practices, the ARTs should naturally evolve to better support and extend the value streams they are designed to serve.

Portfolios and the Business Agility Value Stream

So, how do portfolios fit into this picture? Much like ARTs align with Development Value Streams, portfolios should align with the Business Agility Value Stream. However, many portfolios in organizations today are merely collections of loosely related ARTs and Epics, often functioning more as administrative entities than as agile, self-organizing profit centers.

To transform these portfolios into true drivers of business agility, organizations can use the Business Agility Value Stream as a tool for assessment and growth. The BAVS helps ensure that portfolios are not just managing work but are actively contributing to the delivery of value in a manner that is aligned with the organization’s strategic goals.

A well-formed portfolio should be fully aligned with the Business Agility Value Stream, covering all the steps needed to deliver value effectively. This alignment enables portfolios to be transformative, driving the organization toward greater agility and faster, more impactful value delivery.

Steps in the Business Agility Value Stream

The Business Agility Value Stream comprises several steps that guide organizations from sensing an opportunity to delivering continuous value. Let’s explore these steps in detail:

1. Sense Opportunity

The first step is about recognizing new business opportunities. This requires market research, analysis of qualitative and quantitative data, and direct customer feedback. Lean-thinking leaders should spend time in the field, observing customer behaviors and identifying opportunities for innovation. The Organizational Agility core competency is essential for this stage.

2. Fund Minimum Viable Product (MVP)

Once an opportunity is identified, the next step is to secure funding for a Minimum Viable Product (MVP). This allows the organization to quickly validate the opportunity in the market. The Lean Portfolio Management (LPM) competency supports this step by enabling quick and efficient allocation of resources.

3. Organize Around Value

To build the MVP, organizations need to organize their teams and resources effectively. This might involve leveraging existing Agile Teams or ARTs or creating new ones if necessary. The competencies of Team and Technical Agility and Organizational Agility are critical here.

4. Connect to Customer

Customer centricity is key to business agility. This step involves empathizing with customers, validating the MVP, and ensuring it meets their needs. Agile Product Delivery is the core competency that enables this connection.

5. Deliver MVP

Delivering the MVP quickly allows for rapid feedback, which is crucial in the early stages of development. Agile Product Delivery and Enterprise Solution Delivery competencies support this step, ensuring that the MVP is delivered iteratively and incrementally.

6. Pivot or Persevere

Based on customer feedback, the organization must decide whether to continue developing the product, pivot to a new approach, or abandon the initiative altogether. This decision is a critical milestone, supported by the Lean Portfolio Management competency.

7. Deliver Value Continuously

If the MVP is successful, the focus shifts to continuous delivery of value. This requires a robust Continuous Delivery Pipeline and a strong emphasis on Agile Product Delivery to ensure a steady flow of value to customers.

8. Learn and Adapt

Continuous learning is essential for ongoing improvement. Organizations should measure their performance across three domains—Competency, Flow, and Outcomes—and use these insights to adapt and improve. The Continuous Learning Culture competency drives this step.

Conclusion 

The Business Agility Value Stream is a roadmap for organizations to achieve business agility. It provides a structured approach to navigating the complexities of modern business environments, ensuring that organizations can respond to challenges and opportunities with agility and precision.

By fostering an agile mindset and embedding agility into every aspect of the organization, businesses can enhance their resilience, innovate more effectively, and ultimately achieve sustainable growth. The journey toward business agility may be challenging, but the rewards—greater responsiveness, enhanced customer satisfaction, and a more engaged workforce—are well worth the effort. As the business landscape continues to evolve, those who prioritize agility will be the ones who thrive.