LLMs and Generative AI in the enterprise.
Inspire, develop, and guide a winning organization.
Understand the unique values and behaviors of a successful organization.
Create visible workflows to achieve well-architected software.
Understand and use meaningful data to measure success.
Integrate and automate quality, security, and compliance into daily work.
An on-demand learning experience from the people who brought you The Phoenix Project, Team Topologies, Accelerate, and more.
Learn how to enhance collaboration and performance in large-scale organizations through Flow Engineering
Learn how making work visible, value stream management, and flow metrics can affect change in your organization.
Clarify team interactions for fast flow using simple sense-making approaches and tools.
Multiple award-winning CTO, researcher, and bestselling author Gene Kim hosts enterprise technology and business leaders.
In the first part of this two-part episode of The Idealcast, Gene Kim speaks with Dr. Ron Westrum, Emeritus Professor of Sociology at Eastern Michigan University.
In the first episode of Season 2 of The Idealcast, Gene Kim speaks with Admiral John Richardson, who served as Chief of Naval Operations for four years.
Exploring the impact of GenAI in our organizations & creating business impact through technology leadership.
DevOps best practices, case studies, organizational change, ways of working, and the latest thinking affecting business and technology leadership.
Just as physical jerk throws our bodies off balance, technological jerk throws our mental models and established workflows into disarray when software changes too abruptly or without proper preparation.
Leaders can help their organizations move from the danger zone to the winning zone by changing how they wire their organization’s social circuitry.
The values and philosophies that frame the processes, procedures, and practices of DevOps.
This post presents the four key metrics to measure software delivery performance.
March 9, 2023
Ten years on, let’s take a look back at how The Phoenix Project was originally conceived.
In this blog post, I will describe why we modeled The Phoenix Project so closely on Dr. Eliyahu Goldratt’s seminal book The Goal: A Process of Ongoing Improvement, how we used Dr. Goldratt’s Logical Thinking Processes to create a succinct description of the IT downward spiral that almost every organization is affected by, and then I’ll describe the resulting structure of The Phoenix Project: A Novel about IT, DevOps, and Helping Your Business Win.
One of the best validations about the way we characterized the downward IT spiral in the book is the number of people leaving Amazon comments similar to this:
I’ll show how to use a single PowerPoint slide that describes the downward spiral depicted in The Phoenix Project to sell the value of the DevOps to others. (Of course, this technique is equally applicable for all the other concepts in the book, including top-down view of risk and infosec, kanbans, elevation of preventive work, two week improvement cycles, etc.)
In a future post, I will discuss the steps in the Logical Thinking Processes, how we created the characters which model many of the IT archetypes and roles, and the various software tools I used during the writing process.
(The downward IT spiral is also the basis of the talk I put together for DevOpsDays London called “How To Better Sell DevOps (slideshare link)” which I did at the urging of Jonathan Thrope (@jonathan_thorpe’s blog) and John Clapham (@JohnC_Bristol) over breakfast.)
For many challenges in life, whether it’s to get a project approved, persuade them to your point of view, plan a family vacation, earn someone’s trust, or ask someone out on a date, our goal is to persuade and to get someone else’s mirror neurons to fire.
Studies have repeatedly shown that the most effective mechanism for persuasion is storytelling. I remember reading somewhere this is because the human brain is structured to hear stories. Joseph Campbell’s concept of “The Hero’s Journey” shows how epic tales and legends all share similar patterns, and Kurt Vonnegut has his unforgettable “Simple Shapes Of Stories” concept (my favorite being this 5 minute video where he shows the graph of famous stories).
You find the Hero’s Journey pattern everywhere: it’s the core of the solution-selling pattern, good copywriting, and even the best TED talks: they describe the problem, show its significance, describe how the problem is solved and the value it will creates.
Storytelling becomes very important when the problem we’re trying to point out is not fully recognized, or when the solution being proposed flies in the face of common wisdom. It’s been my thesis that the problems that motivate DevOps is not only the most important problem facing IT, but is also the most important business problem that must be solved. However, it’s a business problem that is not widely recognized or even believed, and even the believers (myself included) often have difficulty localizing or precisely verbalizing it.
When I first read The Goal in 1998, it completely blew my mind. Even though I’ve never worked in a manufacturing plant, let alone managed one, it was amazing to me to see the world through Alex Rogo’s eyes as he had to fix his cost and quality issues in 90 days, otherwise his world, and I knew that the lessons being taught in the book were important and relevant to my professional career.
It is widely cited The Goal influenced an entire generation of professional plant managers around the world. This was documented in an appendix in the third revised edition of The Goal. However, I believe the best description of this phenomena is described on Disc 6 of Dr. Goldratt’s audio set Beyond The Goal, where he described the letters he received. The letters would almost always say something like, “You have obviously been hiding in our factory, because you’ve described my life [as a plant manager] exactly…”
I mentioned in a previous blog post how we had been preparing to write The Phoenix Project for nearly ten years. We wanted to write The Goal for the modern IT context, because we kept seeing the same problems over and over, and we believed that everyone needed to see that when IT fails, the business fails. And that if all the various IT stakeholders (e.g., Dev, IT Ops, Infosec), as well as “The Business” and even Audit, could work together, the business could win and win big.
It’s difficult to overstate how much we consciously mirrored the structure of The Goal. Having studied that book over a decade, here’s how I deconstruct the book:
Part 1: vivid description of the problem (170 pages)
Part 2: iterative solving of problems in 90 days (the rest of the book)
(Thanks to Dr. James Holt of Washington State University for his two graduate courses on Constraints Management and all of his “kitchen table coaching,” as well as to Dr. Scott R. Schultz at Mercer University for his excellent synopsis of the book.)
Dr. Goldratt stated in Beyond The Goal that “not even one description or hint of what the solution to Alex’s problems were even mentioned until page 170.” We took that concept very literally, and baked that structure into The Phoenix Project.
The first 170 pages of The Phoenix Project is the narrative form of over fourteen years of research into the downward spiral that IT and the business undergo when Development, IT Operations and Infosec don’t work work together to achieve the global goals of the organization, and when Infosec is not properly subordinated into the flow of work.
For years, the selling tool for DevOps was the one PowerPoint slide shown below, which describes the downward IT spiral that occurs when Dev and IT Operations don’t work together (it is slide 11 in this presentation).
Why was this slide so effective? Because you can walk someone through the descriptions of the Ops issues, and then the Dev issues, and then ask, “does this problem resonate with you at all?”
And the response is almost always, “Holy crap. That’s us.” Which inevitably leads to the question, “How can you help us escape this downward spiral?” (Someone once said to me, “Before I can trust someone, I first need to know they care [about what I care about.]”)
Why? Because this phenomena occurs in every IT organization. It is an inevitable consequence of the core, chronic conflict in IT: in order to help the business win, every IT organization must respond to urgent business needs (i.e., make changes more quickly), while providing reliable, stable and secure IT service (i.e., make changes more slowly, if ever).
(I include this table in text form at the end of the blog post.)
Downward spirals are bad because they are positively reinforcing feedback loops. In other words, left unchecked, the problems get worse. There are a several downward spirals in the slide:
But the most important point is the business implications: when Dev and IT Operations miss their commitments, the company misses the commitment it made to the outside world. This affects not only the CIO, but also their boss, and their boss’s boss.
And that’s why this one slide has been so effective: it describes the local Dev and IT Operations problems, but also shows how it almost preordains failure of the global goals, which the CEO and the board need to care about.
(After all, 95% of all capital projects have some IT reliance, and 50% of all capital spending is technology-related. As Chris Little (@BMC_DevOps) said so pithily, “Every business, regardless of what business they think they’re in, is an IT company.”)
The slide doesn’t show the Infosec problems, who get aced out of the game by the Dev / IT Operations tribal warfare. But Infosec contributes to this core, chronic conflict (I’ll explain this concept later in the post), too:
When walking people through these points, the goal is to get the other person (regardless of their role) to say, “Holy cow. You understand my problems and these problems are important to me.”
And in the ideal, their next question will be, “How can you help me?”
As described earlier, we knew we had 170 pages to describe the problem. But, what is the scope of the problem being described?
I’ve found that one of the most useful constructs for describing business goals is the COSO Enterprise Risk Management Cube (or as we practitioners call it, “the COSO Cube”) construct by the COSO Commision. Here’s my favorite, which is version 2. (Yes, even cubes have versions. 🙂
The top of the COSO Cube describes the four objectives that every organization has in order to achieve its global goals: strategy, accurate financial reporting, compliance with laws and regulations, and operations.
(I’m laughing as I write this, because the situation that poor Bill must face in The Phoenix Project really is the perfect storm, as it shows all four of the COSO Cube internal control objectives being jeopardized. But, the Amazon reviews show that almost every company is at risk of being like Parts Unlimited. The difference is only in degree.)
So, the structure for Part 1 of The Phoenix Project became:
Similarly, we constructed the remaining portions of The Phoenix Project to be a series of eight breakthroughs as Bill and team figured out how to identify, exploit, subordinate and elevate the constraint:
In a future blog post, I’ll describe how we used Dr. Goldratt’s Logical Thinking Processes to create the downward IT spiral slide, and how we used the Current Reality Tree to create the book outline.
Please let me know what you think!
Gene Kim has been studying high-performing technology organizations since 1999. He was the founder and CTO of Tripwire, Inc., an enterprise security software company, where he served for 13 years. His books have sold over 1 million copies—he is the WSJ bestselling author of Wiring the Winning Organization, The Unicorn Project, and co-author of The Phoenix Project, The DevOps Handbook, and the Shingo Publication Award-winning Accelerate. Since 2014, he has been the organizer of DevOps Enterprise Summit (now Enterprise Technology Leadership Summit), studying the technology transformations of large, complex organizations.
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