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Well, I was telling my son with his homework, which either when I've got a daughter, when

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she gets to be homework, we'll see if my head explodes.

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But helping your kid with your homework, at least mine, is either the most wonderful thing

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that could happen or it helps you remember all the tall bridges that you could go jump

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off of.

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Now, is that helping with your homework or her homework?

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Touche.

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This is a good question.

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It's actually helping with my son's homework.

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He's reading some, what's that service that writes summaries of business book, Blinkist?

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He's reading some Blinkist-like summaries of The Wizard of Oz.

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And then he has to ask some questions afterward.

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And here's the thing I taught him.

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And then I want to hear if y'all have any tips, any sort of like study or homework tips

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you would give people.

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I told him that if you are given some reading material and you have some questions that you're

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going to have to answer, what you should do is read the questions first.

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So, when you're reading the material, you can like proactively answer the questions.

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And, you know, as always with things I tell my son, like, you know, he was trying to program

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some Minecraft stuff the other day and I was trying to give him advice.

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And I was like, you realize I was a programmer for 10 years.

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He didn't care, right?

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Anyways, I was a little nervous that the advice wouldn't pay off.

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But sure enough, he just like, he answered the questions as he read it.

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And I felt like I felt like I had taught him an important lesson.

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But guest, I want to ask you, what are some studying, homework, test taking things like

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that tips you would give to the youngsters out there to help them out?

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I think my advice is always like start early and work hard, right?

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If you wait till the last minute, you're like looking for trouble.

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Like, my, my...

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Now, that's not, that's not practical.

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No, it's not.

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My soon-to-be 18-year-old still waits till the last minute to like submit his college application.

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And of course, there's a software defect that they didn't do the date math right.

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So, his app is unsubmittable when before the deadline, right?

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Yeah, yeah.

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Now, now, now, did he, did they teach enough economics in his school to allow him to tell

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you why that's great to maximize optionality?

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You want to wait till the last moment?

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Yeah, right.

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He actually brought up that argument.

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That was kind of funny.

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He took, he actually took economics and buried me with all these like new, newly found ways

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to argue his point.

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Yeah, yeah.

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You know, it's the cognitive bias of the fallacy of kids are just like this.

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So, don't try.

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Yeah, that's, that's what I try to keep telling, telling my son.

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And of course, I know he's not going to listen is like, oh man, I find myself giving out

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so much of this dad advice that I shake, I'm shaking right now, but it's just like, you

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know, the sooner you start, the sooner you'll finish.

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And then, you know, I feel like I'm giving my dad like a, a metaphoric, like cheers, like

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a little, a clink of beer.

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But how about yourself, Richard?

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What, uh, what are some tips you would tell the youngsters to get through their, uh, their

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studying?

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Yeah, I mean, I definitely read the, uh, no procrastination rule since I try not to do

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it myself.

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So, we try to do that.

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I also try to, uh, and you probably know, both know this too.

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Some of the education nowadays seems to be focused very much on the answer and not much

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of the process.

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So, I try to encourage the, uh, kind of think outside the box stuff, especially with like

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physical items.

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So, if it's like, you know, you get one of these random questions, like, I don't know

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how to solve this.

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I'm like, line a set of quarters or like use something physical to actually kind of visualize

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how this thing looks versus just staring at the sheet of paper for 10 straight minutes

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and then looking at me with like these puppy dog eyes, like, just give me the answer to

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me.

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Like, now, solve it.

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Like, post it, huh?

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Yeah.

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So, just use something physical sometimes to jar your brain is usually, for me, uh, what

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I encourage him to do.

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And, you know, then I'll quiz him with like random stupid Microsoft-like interview questions,

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like how many oranges fit in the state of Utah, just to kind of make him work through stuff

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in his head.

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Like, how would you possibly solve?

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The answer will be wrong, but just tell me how you might solve it.

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It seems to kind of help.

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Do people still give those interview questions?

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I think people who read those books 20 years ago and those companies aren't doing it anymore,

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but now these other follow-on companies might be doing it, but I haven't seen them in a

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while.

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How about yourself, John?

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Do you, when you're hiring people, do you give questions like that?

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Um, you know, I've actually learned not to do that.

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So, I'm more interested in like somebody's like desire to like learn than I am like what

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they know right now.

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Yeah.

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Yeah.

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I'm pretty, I'm pretty sure I, uh, uh, I missed out on a job because I couldn't answer, I couldn't

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explain how, if you're in a lake and you get into a boat, how would you calculate the water

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displacement or something like that?

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And like, I was, it was just a job to like QA bug tracking software.

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So, I'm not sure how that was related, but, uh, anyhow, probably for the better.

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Now I'm anyways.

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So, why don't you introduce yourself guest?

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Oh, so, uh, this is John Osborne.

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I'm, uh, the, uh, enterprise architect for, uh, great American insurance here in Cincinnati,

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Ohio.

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Now, now you've given, uh, I think a couple, I get podcasts and presentations mixed up, but

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anyways, we've talked over the years for a while about how, uh, you know, a greater American

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insurance company.

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Yep.

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Do you say the company part?

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Do you just say, uh, it's technically it's great American insurance group group.

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We're like a conglomerate, but, but we own everything.

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So it's not really a conglomerate.

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So, so we, we've talked over the years about how you and your team, uh, and folks there

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have, have, uh, I mean, done digital transformation.

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That is in my way of explaining it, improve the way that y'all do software and therefore improve

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the way the, uh, the group as it were operates.

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Um, and I remember, um, I guess this was the year before last, your sea of nose presentation.

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Is that right?

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Yeah.

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Yeah.

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Yeah.

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Yeah.

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That's always been one of my favorite presentations because, um, uh, in, in, in a good sort of like,

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you know, flashback to my time working in the executive suite and doing MNA, there was a lot

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of like tactics in there that were, uh, realistic and, and reminded me of both the good and the

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bad times.

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Um, and so, uh, you've always got some, some good takes on sort of like, what are these

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realistic tactics, um, and, and some pragmatic experience of how people can fix up the way

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they do software.

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But I think, I think the more interesting points, I mean, not to the exclusion of the other ones,

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but some of the things that are unique to the conversations we have are, so I'm, I'm going

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to the big meeting and, uh, should I use light blue or dark blue, but you know, I, stuff like

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that, like things that actually matter for, uh, spreading out change in a large organization.

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So all of that said, let's, let's first start with like, can you give us a brief overview

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of, uh, just kind of the story of when y'all started, I think maybe three years ago.

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I mean, no, actually, uh, I was, um, I started about three years ago, maybe two and a half,

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but, um, I was just, um, joking around with one of our, my lead platform architects because

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our, we first installed Cloud Foundry, um, two years ago, I think next week or the week

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after.

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So he, he was, um, he was, couldn't believe that it was two years ago that we started with

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Cloud Foundry.

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So, um, we, uh, uh, did that.

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We did an install dojo with Pivotal, um, which was great because we were able to train our

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platform people, um, really well.

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And then we went to Denver, took a team to Denver.

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That's the whole navigating the no discussion.

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How do you get, how do you get a team of people to Pivotal Labs in a way that's going to work

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out for you?

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Um, then we brought them home, built out a lab space, and we're now at, um, close to

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36 people starting, um, with six.

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So it's a pretty, it's been a pretty amazing journey.

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So.

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And, and like what, what kind of like apps and services or like, what's the things they're

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working on?

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Um, you know, you'd be surprised.

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Um, when we first started, people were like, Oh, we'll just do services or whatever.

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And of course we do microservices.

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Um, but we also have, it turns out, uh, a whole bunch of external facing apps, uh, either

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APIs or actual like mobile applications and websites and things that people previously valued, but

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didn't really consider as part of the tool set for some reason.

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I think that's sort of a business perspective maybe.

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Um, so we have that, um, we have a ton of, uh, back office.

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It's a software, which isn't technically it's an app, right?

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It's not just a service cause you have humans that you have to like make happy.

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And then, um, but then now we're, uh, we're starting to expand into the data space too.

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So we're taking our learnings from the microservice app world and learning how to do test-driven

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development and pairing and all that, all those activities, including the post-it notes with

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the data space.

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And that's been an amazing journey also over the past months.

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Yeah.

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I mean, what's that look like?

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I mean, how do you, first of all, did you start that because you felt like we've got this

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apps thing down?

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Let's to data, or did you just recognize that was a different bottleneck that you now had

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to tackle?

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And, and Kyle, what was the first thing you went after?

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So, you know, that's really interesting.

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Um, one of the things that happens when you grow up is sometimes you need to change leadership

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because you need to reapply skills other places.

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So last June, um, I transitioned the formal lab.

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We call it gas lab, great American software lab, uh, uh, to another manager at the time

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because we had this huge data problem.

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And of course, you know, my boss and his boss are like, and then CIO are like, well, of course

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John has to solve this.

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So we need to get them out of here so he can go solve data.

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And, you know, to some extent that was fine with me.

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Um, but then of course, when I get to data, I'm like, you know, why aren't we doing all

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the good stuff we learned over there over here?

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So, so I started another lab, we call it bacon lab because, you know, data is the new

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bacon, right?

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And, um, you're happy at bacon.

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Yeah.

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Yeah.

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Funny enough that the, the, the programmers who work there, we call them baconators.

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I mean, you guys have pivots, so I, we need something, right?

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That makes sense.

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Totally fine.

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So, um, so I just sort of, uh, you know, gained some alignment with leadership.

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I'm like, oh, look guys, this stuff works over here.

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I don't really see too many things that will have to change to reapply it to

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data.

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Um, although there are a few things, of course, but, um, pretty much it works, you

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know?

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So we're going from like less than 4% test cases in data to like 90 something

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percent test coverage.

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So it's amazing.

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I mean, the amount of, um, work we're getting done is like extraordinarily higher.

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Like it's, it's not even, it's, it's hardly even measurable the difference.

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So now when you say data, do you mean like data, like a division?

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Or data is like, you're doing this in the database, like a test to store proxy or things

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like that?

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Uh, data as in we're completely rewiring how we account for our policies and claims in the

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corporate finance world.

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So we're basically shifting the entire, um, internal guts, um, uh, over to a new, a new way of doing

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business.

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Uh, and, and part of that's because for the same reasons on the front end space, you know,

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where you're slow with low quality and underserving your customer, um, data is arguably worse.

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Even it's ground to a halt.

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It's hard to make changes.

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It takes too many people.

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There's too many skills involved.

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The, like all the reasons that you know, you want to change something and we've sort of

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found a way to do it.

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Um, yeah.

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And I would imagine in insurance, like, I don't know the value stream of any given task,

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like, uh, slow data is probably a big problem if, if, if it picks it up.

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Cause there's a lot, like you said, there's a lot of stuff involved, right?

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Like whether it's policies or, uh, someone applying for things or whatever, but it's not,

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uh, I don't know.

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It's not just like an ATM transaction or something.

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No, it's very much not like that.

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Um, uh, it is absolutely complicated and, you know, we're, uh, uh, we do specialty insurance

231
00:12:30,340 --> 00:12:34,980
so we have 34 different business units all with their own stuff.

232
00:12:35,320 --> 00:12:39,480
So how do you, how do you rationalize that and turn it into a corporate PNL?

233
00:12:39,480 --> 00:12:42,520
I mean, that, that is an extremely complicated task.

234
00:12:43,120 --> 00:12:48,920
Um, so we found ways to measure, um, success, like how, you know, you're going to make it

235
00:12:48,920 --> 00:12:49,780
and how do you know it's better.

236
00:12:50,300 --> 00:12:55,740
And, uh, we're getting through the implementation part and it's, it's, it's, it looks like it's

237
00:12:55,740 --> 00:12:58,460
playing out, um, great for us.

238
00:12:59,080 --> 00:13:01,720
So how are you, how are you measuring success then?

239
00:13:01,720 --> 00:13:05,260
Like, what is that thing that you would stick up in some, uh, executive dashboard that says

240
00:13:05,260 --> 00:13:08,240
like data team gets it now or they're getting it or we're improving?

241
00:13:08,780 --> 00:13:10,500
Yeah, there's a, there's a couple of things.

242
00:13:10,500 --> 00:13:17,340
So, um, in our old system, um, if you were to like, let's say add a checkbox, um, to the

243
00:13:17,340 --> 00:13:22,720
policy administration system, uh, a policy system is basically like the point of sale for

244
00:13:22,720 --> 00:13:23,500
insurance, right?

245
00:13:23,500 --> 00:13:29,320
So you type in all your stuff and then outcomes, this policy that you can sell to somebody.

246
00:13:29,320 --> 00:13:29,600
Right.

247
00:13:29,600 --> 00:13:35,300
Um, so if you were to add a checkbox in there that says like, oh, my car, you know, is four

248
00:13:35,300 --> 00:13:43,000
wheel drive, for example, um, getting that checkbox onto a report, um, took like 14 different

249
00:13:43,000 --> 00:13:46,700
skill sets and nine people to be involved in that effort.

250
00:13:46,700 --> 00:13:51,980
So, so, so you look, kind of look at that, look at that and you're like, okay, well, what

251
00:13:51,980 --> 00:13:52,740
are we going to measure here?

252
00:13:52,820 --> 00:13:56,000
It's like one, well, let's, let's see if fewer people can do it.

253
00:13:56,200 --> 00:13:59,660
So let's see if we can get down to two or three people maybe.

254
00:14:00,100 --> 00:14:05,080
And let's see if we can cut down on a number of skills that you have to know for that to

255
00:14:05,080 --> 00:14:05,380
happen.

256
00:14:05,920 --> 00:14:06,080
Right.

257
00:14:06,680 --> 00:14:11,420
But then we have other measures like the number of ETL jobs should be less, like the amount

258
00:14:11,420 --> 00:14:13,600
of data we copy should be less.

259
00:14:14,100 --> 00:14:18,400
And, and so you kind of go through it and you, if you, if you take an honest sort of approach

260
00:14:18,400 --> 00:14:22,080
toward it, you can sort of see, um, what you should measure.

261
00:14:22,920 --> 00:14:25,760
And then, and then you have to go through the, oh my God, it's impossible.

262
00:14:25,760 --> 00:14:27,700
There's no way this, this can happen.

263
00:14:27,700 --> 00:14:28,120
Right.

264
00:14:28,480 --> 00:14:32,700
And then, and then you start getting creative about like, and getting real about what problems

265
00:14:32,700 --> 00:14:37,700
you're actually trying to solve versus like, you know, 20 years of history in your system

266
00:14:37,700 --> 00:14:43,260
and sort of setting aside some long held beliefs that of course are true and finding out that

267
00:14:43,260 --> 00:14:44,020
they're not true.

268
00:14:44,760 --> 00:14:48,960
Um, again, it's, it's, you know, navigating the nose with data, right?

269
00:14:49,080 --> 00:14:55,180
So you just have to, um, you know, imagine a better world and then turn it into, turn it

270
00:14:55,180 --> 00:14:59,180
into the right thing, but you know, measuring the right stuff's important because otherwise

271
00:14:59,180 --> 00:15:01,380
you, you could just squeeze the balloon, right?

272
00:15:01,920 --> 00:15:03,800
But you really want the balloon to be smaller.

273
00:15:04,000 --> 00:15:09,860
You want it to be simpler, less complex, less costly, um, and operate with fewer people.

274
00:15:10,280 --> 00:15:10,480
Yeah.

275
00:15:10,580 --> 00:15:14,040
You don't, you don't want to do what I do when I clean my kid's room and I just get a big

276
00:15:14,040 --> 00:15:18,820
Ikea bag and I stuff into the Ikea bag and then another part of the balloon grows.

277
00:15:19,780 --> 00:15:21,040
You seem like a good dad.

278
00:15:21,660 --> 00:15:21,880
Yeah.

279
00:15:24,920 --> 00:15:29,920
And of course, like the complexity is like, you know, breaking some back office app for

280
00:15:29,920 --> 00:15:33,360
a week or something, you know, it's a big deal, but it's not going to end the world.

281
00:15:33,360 --> 00:15:36,760
But like, you know, messing up the corporate P and L is probably not something you want to

282
00:15:36,760 --> 00:15:37,160
do, right?

283
00:15:37,160 --> 00:15:37,400
Yeah.

284
00:15:37,880 --> 00:15:43,420
So, so in the, in this, in this second round, I think I, well, I would assume you have at

285
00:15:43,420 --> 00:15:48,060
least if only with yourself, the benefit of having gone through something like this that

286
00:15:48,060 --> 00:15:48,700
works before.

287
00:15:48,780 --> 00:15:53,240
And so, like you were saying, you know, you could kind of say, Hey, we should maybe do

288
00:15:53,240 --> 00:15:54,460
that thing we did over there.

289
00:15:54,860 --> 00:15:59,560
But, um, you know, the first time you're going through this, uh, you didn't have that.

290
00:15:59,980 --> 00:16:04,360
And so one of the, one of the things that's, that's always interesting to ask people is,

291
00:16:04,360 --> 00:16:10,780
um, so how did you like bootstrap into like, we're going to do things in this new and different

292
00:16:10,780 --> 00:16:13,940
way instead of, as you were saying, the way we've been doing things forever.

293
00:16:13,940 --> 00:16:19,820
Like, how do you, how do you prove that something is a new, better way of doing something when

294
00:16:19,820 --> 00:16:22,280
there's no firsthand proof of it?

295
00:16:22,760 --> 00:16:22,960
Yeah.

296
00:16:23,120 --> 00:16:24,180
So that's really interesting.

297
00:16:24,540 --> 00:16:33,260
Um, uh, one is like, um, uh, just speaking about data, I, I cheat a little bit, right?

298
00:16:33,260 --> 00:16:39,040
So I get a little head and like come up with some proof of concept work that like is real.

299
00:16:39,040 --> 00:16:43,680
So people have something to touch and feel versus, you know, believing that, Oh, John's

300
00:16:43,680 --> 00:16:44,760
doing a crazy thing again.

301
00:16:44,760 --> 00:16:45,120
Right.

302
00:16:45,140 --> 00:16:46,540
And we should challenge everything.

303
00:16:47,040 --> 00:16:52,540
So a lot of times, if you make it a little more real early on, um, that, that can help

304
00:16:52,540 --> 00:16:55,040
a lot because it'll bring people along for the ride.

305
00:16:55,040 --> 00:16:55,320
Right.

306
00:16:56,320 --> 00:17:01,260
If you're doing it for the very first time though, you might not really have that benefit

307
00:17:01,260 --> 00:17:06,860
and you really need to, to get real about, um, challenging some long held beliefs that

308
00:17:06,860 --> 00:17:13,760
your company might have and then write it down, like write down the reasons why something is

309
00:17:13,760 --> 00:17:16,960
or isn't, um, isn't right.

310
00:17:16,960 --> 00:17:22,080
And then, then you can have a debate about it and you can have, um, hopefully some air cover

311
00:17:22,080 --> 00:17:27,380
to go off and try some stuff that might not be normally, um, approachable.

312
00:17:27,760 --> 00:17:30,100
I want to ask you about that, the air cover thing.

313
00:17:30,140 --> 00:17:33,840
Cause I've been thinking about that lately as you give, I don't know, sometimes the personal

314
00:17:33,840 --> 00:17:36,680
risk you even take trying to sponsor these sort of bigger changes.

315
00:17:36,680 --> 00:17:40,120
I mean, obviously if it blows up in your face, you're probably marked for, marked for

316
00:17:40,120 --> 00:17:42,400
something and that might actually impact your career.

317
00:17:42,400 --> 00:17:46,120
So is there some sort of underlying conviction you felt like you had, like this is fundamentally

318
00:17:46,120 --> 00:17:46,540
broken.

319
00:17:46,640 --> 00:17:50,040
Let me, let me lead this through, even though this is going to be hard, there's going to be

320
00:17:50,040 --> 00:17:50,700
naysayers.

321
00:17:50,760 --> 00:17:54,440
And then what kind of air cover did you require to make sure you felt like this wasn't going

322
00:17:54,440 --> 00:17:55,560
to be a complete disaster?

323
00:17:57,020 --> 00:17:57,380
Yeah.

324
00:17:57,540 --> 00:18:00,060
You know, the air cover, uh, discussion is really interesting.

325
00:18:00,300 --> 00:18:04,960
Um, I was fortunate in that I had, um, uh, you know, not free reign to do everything,

326
00:18:04,960 --> 00:18:11,160
but at least my CIO would, um, you know, ignore complaints that John's doing stuff he shouldn't

327
00:18:11,160 --> 00:18:11,600
be doing.

328
00:18:11,600 --> 00:18:11,900
Right.

329
00:18:12,600 --> 00:18:21,160
Um, and, and so I think the more air cover you have, the better, uh, the change can be

330
00:18:21,160 --> 00:18:25,160
because you can explore those areas that you wouldn't normally be able to explore unless

331
00:18:25,160 --> 00:18:28,540
you're willing to like, you know, go find another job.

332
00:18:29,220 --> 00:18:35,000
But, but even in, even in that case, you can only push so hard if people know you're not,

333
00:18:35,320 --> 00:18:36,720
you're, you're not safe.

334
00:18:36,840 --> 00:18:37,520
You know what I mean?

335
00:18:38,180 --> 00:18:40,000
Um, it's, it's easy to say no.

336
00:18:40,000 --> 00:18:40,320
Right.

337
00:18:40,560 --> 00:18:45,600
Uh, because it's like, well, well, you know, in six months, you know, he or she will be

338
00:18:45,600 --> 00:18:47,280
gone and I can just go back to normal.

339
00:18:47,280 --> 00:18:47,640
Right.

340
00:18:48,200 --> 00:18:52,840
Um, so, so getting sort of that, that buy-in at the right level is important.

341
00:18:53,300 --> 00:18:57,460
Um, but just recognize that like, you know, if your CIO is the one giving you the air cover,

342
00:18:57,460 --> 00:18:58,720
they can't really do any of the work.

343
00:18:58,720 --> 00:19:00,560
So somebody still has to work, right.

344
00:19:00,620 --> 00:19:05,560
And somebody has to prove the points and somebody has to like do the presentation and do the

345
00:19:05,560 --> 00:19:08,800
math on the finance and, and, you know, all that kind of stuff.

346
00:19:08,980 --> 00:19:15,840
So, um, you know, I, I think looking back, if I didn't have air cover, I think it would

347
00:19:15,840 --> 00:19:21,360
have been a smaller win and it, it may have taken a lot longer for it to happen.

348
00:19:21,600 --> 00:19:26,900
And I would have had to have grown like so much grassroots that it will became inevitable.

349
00:19:27,240 --> 00:19:27,600
Right.

350
00:19:28,100 --> 00:19:34,860
But, um, but I think that if you can get the air cover, the acceleration then becomes real.

351
00:19:34,860 --> 00:19:40,580
Like you don't have to like go through all of that, um, um, drawn out sort of behavior.

352
00:19:40,580 --> 00:19:43,220
You can, you can sort of get to it if you know what I mean.

353
00:19:44,180 --> 00:19:44,540
Yeah.

354
00:19:44,560 --> 00:19:48,600
I mean, did that person who sponsored you, I mean, this is his CIO, did they get your vision

355
00:19:48,600 --> 00:19:49,580
or did they get John?

356
00:19:50,160 --> 00:19:53,860
Were you cashing in chips you had or were you, did they buy what you wanted to do?

357
00:19:53,900 --> 00:19:56,680
And they said like, look, you are going to have to do the work cause I don't code.

358
00:19:56,780 --> 00:19:57,880
I can't build a demo app.

359
00:19:57,940 --> 00:19:59,360
I don't, I don't have the business case.

360
00:20:00,120 --> 00:20:03,240
Again, was this just like, I trust you don't make me look like an idiot.

361
00:20:03,880 --> 00:20:06,060
Well, yeah, I mean, to some extent that's true.

362
00:20:06,120 --> 00:20:10,900
I mean, in our case it was like, um, you know, the, the challenge was go faster and it really

363
00:20:10,900 --> 00:20:12,540
wasn't any specific directive.

364
00:20:12,540 --> 00:20:13,740
It was like, go faster.

365
00:20:14,600 --> 00:20:17,140
Um, so that's like, okay, what does that really mean?

366
00:20:17,140 --> 00:20:17,460
Right.

367
00:20:17,940 --> 00:20:21,560
And so I divided our organization up into a couple, couple things.

368
00:20:21,640 --> 00:20:26,420
One is the app space and one is the data space and the data space is too hard.

369
00:20:26,420 --> 00:20:32,520
So I couldn't start there because it, it, it has all these challenges that I knew I didn't

370
00:20:32,520 --> 00:20:33,760
know how to deal with.

371
00:20:33,760 --> 00:20:39,240
And I knew, um, we needed experience in the app space cause that was a lot clearer road

372
00:20:39,240 --> 00:20:40,060
to success.

373
00:20:40,820 --> 00:20:47,280
Um, so, so we start in the app space then and, and start moving and learning really is

374
00:20:47,280 --> 00:20:48,320
the most important thing.

375
00:20:48,380 --> 00:20:50,440
And the rest of the organization is learning too.

376
00:20:50,540 --> 00:20:54,560
They're going, they're learning, oh, test driven development is a good thing.

377
00:20:54,560 --> 00:20:58,580
And pairing actually makes you go faster, not slower, et cetera, et cetera.

378
00:20:58,580 --> 00:21:04,300
And then, so, um, once you start to get that buy-in and you want, you get to see other

379
00:21:04,300 --> 00:21:09,700
people doing it and have more people experience it, then, um, then you start to win.

380
00:21:10,020 --> 00:21:10,460
Right.

381
00:21:11,080 --> 00:21:11,520
Got it.

382
00:21:12,300 --> 00:21:16,680
So, so you, you are, you are alluding to something that one of those things that, uh, was reminding

383
00:21:16,680 --> 00:21:18,920
me of my, uh, corporate experience.

384
00:21:19,280 --> 00:21:24,140
And, and one of those was, uh, it's, I had to learn this lesson several times the hard

385
00:21:24,140 --> 00:21:30,180
way, which is, um, uh, the corporation let's, let's, uh, take the people out of it.

386
00:21:30,180 --> 00:21:32,520
We'll tell you, we want to do this exciting new thing.

387
00:21:32,760 --> 00:21:35,740
And, uh, and, and then you're, you're all revved up to do it.

388
00:21:36,060 --> 00:21:40,080
And then, uh, you sort of go in to kind of like check out your library book of awesomeness

389
00:21:40,080 --> 00:21:40,540
to do it.

390
00:21:40,560 --> 00:21:41,740
And they're like, whoa, hold on.

391
00:21:42,020 --> 00:21:44,720
You still got to tell us why we're going to do this new thing.

392
00:21:45,140 --> 00:21:47,820
And like, you need to like prove out the planning for it.

393
00:21:47,820 --> 00:21:51,720
And like you were saying, uh, you know, come up with a business case and kind of run through

394
00:21:51,720 --> 00:21:54,200
the traps as we used to say of doing that.

395
00:21:54,420 --> 00:22:01,780
And so, uh, like, like what, how, how did you initially figure out like doing that sort

396
00:22:01,780 --> 00:22:05,680
of, I always think of it as like the meeting you go to, but like, what's like the business

397
00:22:05,680 --> 00:22:09,920
case you start with and the way you kind of show that this new thing, no one's heard

398
00:22:09,920 --> 00:22:12,380
of or done is worth trying out.

399
00:22:12,620 --> 00:22:17,000
Like, like what do you put together in, in the, uh, the nice slides and the charts and

400
00:22:17,000 --> 00:22:17,920
everything that you have?

401
00:22:18,280 --> 00:22:18,580
Right.

402
00:22:18,680 --> 00:22:18,920
Yeah.

403
00:22:18,920 --> 00:22:21,960
Um, that's, that's really, uh, that's, that's really good question.

404
00:22:22,080 --> 00:22:27,060
And I think, um, you know, in a, in a generic sense, it obviously it varies company by company.

405
00:22:27,060 --> 00:22:27,400
Right.

406
00:22:28,000 --> 00:22:32,880
Um, but I would divide those, the, the sort of opportunities into two, two camps.

407
00:22:32,880 --> 00:22:33,260
Right.

408
00:22:33,320 --> 00:22:36,560
So sometimes you're trying to do cost savings.

409
00:22:37,440 --> 00:22:38,900
Um, that's one camp.

410
00:22:38,900 --> 00:22:44,120
And sometimes you're trying to grow your top line or your, make your business bigger.

411
00:22:44,120 --> 00:22:44,600
Right.

412
00:22:44,600 --> 00:22:46,040
And that's sort of the other case.

413
00:22:46,740 --> 00:22:50,760
And the reason I divide those up is, um, you know, on the cost savings side, I think

414
00:22:50,760 --> 00:22:54,700
the bar is pretty high to get started to make, to build that business case.

415
00:22:54,880 --> 00:23:00,400
And, uh, because when you bring in a tool like Cloud Foundry, for example, um, you have

416
00:23:00,400 --> 00:23:03,160
to retire enough old stuff to kind of pay for it.

417
00:23:03,160 --> 00:23:05,120
Or otherwise the business case is upside down.

418
00:23:05,120 --> 00:23:05,420
Right.

419
00:23:05,940 --> 00:23:10,420
Or you have to consolidate enough things or you have to like, you have to do, you have

420
00:23:10,420 --> 00:23:12,460
to have a lot of stuff to make that work.

421
00:23:12,540 --> 00:23:12,800
Right.

422
00:23:13,300 --> 00:23:15,460
And, and a lot of companies do have a ton of stuff.

423
00:23:15,460 --> 00:23:17,240
So that works out for them a lot.

424
00:23:17,240 --> 00:23:23,160
Um, but what you're not focused on in the cost savings business case is, is, you know,

425
00:23:23,660 --> 00:23:25,620
actually making the customer happy.

426
00:23:25,620 --> 00:23:29,620
Maybe you're kind of making it happy because the costs are lower, right?

427
00:23:29,960 --> 00:23:30,180
Yeah.

428
00:23:30,180 --> 00:23:35,540
I've, I've been reading this book, uh, this textbook on a lean accounting and, and it's

429
00:23:35,540 --> 00:23:36,260
in manufacturing.

430
00:23:36,260 --> 00:23:42,020
So you've got to like imagine, man, it also makes you realize, I'm glad I'm in software

431
00:23:42,020 --> 00:23:47,840
and not making, uh, but, but what, one of the points that they brought up that was interesting

432
00:23:47,840 --> 00:23:53,360
is oftentimes you put, um, uh, you put a lean initiative in place and the whole point of

433
00:23:53,360 --> 00:23:55,000
lean is, is flow basically.

434
00:23:55,100 --> 00:24:01,400
And so when managers end up looking at the short, medium term returns, it's like more expensive

435
00:24:01,400 --> 00:24:03,100
like sometimes.

436
00:24:03,240 --> 00:24:07,900
And so of course they kill the lean initiative because you know, who's got time to be wrong

437
00:24:07,900 --> 00:24:08,520
basically.

438
00:24:08,740 --> 00:24:08,980
Yeah.

439
00:24:08,980 --> 00:24:09,180
Right.

440
00:24:09,280 --> 00:24:10,260
Wait for it to play out.

441
00:24:10,320 --> 00:24:10,480
Right.

442
00:24:10,540 --> 00:24:10,800
Yeah.

443
00:24:10,840 --> 00:24:11,120
Yeah.

444
00:24:11,120 --> 00:24:14,860
And, and, and one of the points that they make, which, which I'd be interested in hearing

445
00:24:14,860 --> 00:24:19,620
how this is applied to you and you were kind of alluding to it is it's one thing to like

446
00:24:19,620 --> 00:24:20,920
save money per unit.

447
00:24:20,920 --> 00:24:23,240
I mean, we can all agree on cheese, right?

448
00:24:23,260 --> 00:24:23,740
That's great.

449
00:24:23,740 --> 00:24:31,020
Uh, but what's too easy to lose sight of, um, I think in software, especially is like growth

450
00:24:31,020 --> 00:24:34,200
or like opportunity or how these new things were created.

451
00:24:34,200 --> 00:24:39,080
And, and I'm curious, like if, and how you like capture that.

452
00:24:39,080 --> 00:24:43,700
Cause at some point it can't just all be savings as tasty as those are.

453
00:24:44,660 --> 00:24:45,140
Yeah.

454
00:24:45,240 --> 00:24:49,080
You know, I think, um, I think that if you start with that cost savings business case, you

455
00:24:49,080 --> 00:24:52,420
do have to have a longer term view onto, okay.

456
00:24:52,420 --> 00:24:57,640
Hey, when I'm done saving and I get to my new baseline, what am I going to do now?

457
00:24:57,860 --> 00:25:01,980
Like, am I going to be able to affect the growth side?

458
00:25:02,500 --> 00:25:03,940
What type of apps am I doing?

459
00:25:04,160 --> 00:25:06,360
Am I going to be multi-cloud?

460
00:25:06,540 --> 00:25:11,420
Am I like going to get out of my own data center into a, into a cloud data center?

461
00:25:11,600 --> 00:25:14,760
Like, like what's the longer term sort of goal there?

462
00:25:14,760 --> 00:25:20,840
Because I agree the savings one kind of has a definitive end and it might, it might feel

463
00:25:20,840 --> 00:25:23,780
good right now that I'm retiring all this stuff, but like when I'm done, I'm going to

464
00:25:23,780 --> 00:25:25,860
be like, like, okay, what, what next?

465
00:25:26,060 --> 00:25:26,280
Right.

466
00:25:26,320 --> 00:25:31,280
And, and now I've learned a bunch of stuff about how to operate differently, but now I

467
00:25:31,280 --> 00:25:33,640
want to turn that to sort of the business side.

468
00:25:33,800 --> 00:25:33,980
Right.

469
00:25:35,640 --> 00:25:40,420
Or I have a somewhat expensive PCF environment that now looks like the thing I have to actually

470
00:25:40,420 --> 00:25:44,520
save money on, because now I have consolidated everything and like, crap, now I have to get

471
00:25:44,520 --> 00:25:48,260
the AI costs down or, so it seems like, yeah, you're always in cost savings mode.

472
00:25:48,460 --> 00:25:52,200
The next platform becomes the next thing you have to save money on just in this endless loop.

473
00:25:52,720 --> 00:25:53,040
Yeah.

474
00:25:53,080 --> 00:25:57,940
You get in this loop and then, and then you, you, it's hard to go over and to the, to the

475
00:25:57,940 --> 00:26:01,080
boardroom and say, Hey, look, like we actually affected the business.

476
00:26:01,080 --> 00:26:01,400
Right.

477
00:26:02,160 --> 00:26:03,540
Um, with that.

478
00:26:03,880 --> 00:26:10,320
Um, so personally I prefer the growth side business cases, uh, much, uh, much better at

479
00:26:10,320 --> 00:26:16,120
the same time though, um, you know, you have to include a little bit of, uh, savings that

480
00:26:16,120 --> 00:26:18,280
becomes, uh, a choice, right?

481
00:26:18,280 --> 00:26:22,200
It's like, okay, I'm going to grow and I'm going to spend some money, but if you want to,

482
00:26:22,340 --> 00:26:26,940
here's the areas where you can save budget dollars if, if that's what you want to do.

483
00:26:27,160 --> 00:26:27,560
Right.

484
00:26:27,580 --> 00:26:29,980
And then it becomes a business, a business choice.

485
00:26:29,980 --> 00:26:30,340
Right.

486
00:26:30,500 --> 00:26:32,280
So I'm going to write all these apps for you.

487
00:26:32,380 --> 00:26:37,060
We're going to watch the, you know, the revenue go up or whatever the customer base get

488
00:26:37,060 --> 00:26:38,720
bigger or whatever your goal is.

489
00:26:38,720 --> 00:26:44,440
But, but at the same time, it, um, should save money, but let's not base the business

490
00:26:44,440 --> 00:26:46,920
case on that, but let's present the options for that.

491
00:26:46,920 --> 00:26:53,200
So let's, let's make sure that like, as we're on the growth side that we're paying attention

492
00:26:53,200 --> 00:26:57,340
to the cost side, because it's going to be more expensive for a little while.

493
00:26:57,440 --> 00:27:02,800
So how do I know when I get to the end, I can correct my baseline later.

494
00:27:03,480 --> 00:27:05,580
So my costs will in fact drop.

495
00:27:05,640 --> 00:27:06,120
Yeah.

496
00:27:06,220 --> 00:27:10,800
That reminds me of, uh, uh, of one of my own, my old bosses who was a manager of a large

497
00:27:10,800 --> 00:27:11,040
group.

498
00:27:11,040 --> 00:27:16,540
And he basically, uh, he was trying to encourage his team to be a little more, um, I don't

499
00:27:16,540 --> 00:27:20,300
know, on the ball to match his management style.

500
00:27:20,440 --> 00:27:25,140
And like you're saying, you know, you're providing options, uh, to, you know, the people above

501
00:27:25,140 --> 00:27:26,200
you, whoever that may be.

502
00:27:26,280 --> 00:27:30,160
And he was always telling them, like, I want you to bring like decisions to me, right?

503
00:27:30,200 --> 00:27:34,200
Like, like things that I should choose to allocate the resources that I have.

504
00:27:34,200 --> 00:27:39,680
And like, my, my job is to decide things, uh, essentially, um, which, which I think, I think

505
00:27:39,680 --> 00:27:44,240
is for the type of like bootstrapping and then ongoing work is, is, uh, from what you're

506
00:27:44,240 --> 00:27:49,060
saying is probably as valuable as any, any environment is like, we can do these two things

507
00:27:49,060 --> 00:27:50,400
now or these four things.

508
00:27:50,400 --> 00:27:54,520
And, you know, I think we should do this one thing, but let's explore all the options that

509
00:27:54,520 --> 00:27:56,080
we have explores the wrong word.

510
00:27:56,180 --> 00:28:01,220
Let's decide amongst these options that we have, uh, hopefully not submitting your college

511
00:28:01,220 --> 00:28:02,840
application at the last minute.

512
00:28:02,840 --> 00:28:14,200
But, uh, now, now that, that, that said like you, you, the, on the, how we're growing the

513
00:28:14,200 --> 00:28:20,720
business, uh, side, like how, am I overthinking this or is it hard to show like a cause and

514
00:28:20,720 --> 00:28:24,520
effect between like software and like revenue growth?

515
00:28:24,520 --> 00:28:30,600
Like how that seems real, it seems like I'm doing that, but how do you do causation?

516
00:28:31,660 --> 00:28:32,100
Yeah.

517
00:28:32,280 --> 00:28:37,340
I mean, um, so it's really interesting and, um, uh, I've spent a lot of time thinking

518
00:28:37,340 --> 00:28:42,880
about that and, and sort of the bridge that, that I've had to cross in my mind is like

519
00:28:42,880 --> 00:28:47,900
things like cloud foundry that support your speed, like, so that you can put a culture

520
00:28:47,900 --> 00:28:49,180
on top of it and go faster.

521
00:28:49,360 --> 00:28:51,700
Those are like platform concerns, right?

522
00:28:51,720 --> 00:28:58,140
So if you, if you try and justify the platform or the business case on this one business thing,

523
00:28:58,140 --> 00:29:02,020
and then this, you have this big platform that you have to grow and train a bunch of

524
00:29:02,020 --> 00:29:04,740
people on, like, it doesn't really, it doesn't really play out.

525
00:29:04,740 --> 00:29:05,020
Right.

526
00:29:05,020 --> 00:29:11,700
Because, because now I have, you know, 600 AIs, but I have like, you know, 12 for this

527
00:29:11,700 --> 00:29:13,540
one project that's growing the business.

528
00:29:13,540 --> 00:29:13,800
Right.

529
00:29:13,860 --> 00:29:16,240
So how do you, so how do you cross that bridge?

530
00:29:16,240 --> 00:29:16,540
Right.

531
00:29:17,080 --> 00:29:23,420
And I think, um, the way, the way I got there, um, for, for our organization is we talk in

532
00:29:23,420 --> 00:29:28,220
terms of, um, um, staffing flexibility now because we're cutting down on the number of

533
00:29:28,220 --> 00:29:28,720
skill sets.

534
00:29:28,720 --> 00:29:34,180
So if you remember that part of the conversation, and so I have less things to train and the

535
00:29:34,180 --> 00:29:35,840
things I'm training are more approachable.

536
00:29:36,460 --> 00:29:42,140
Um, so that means that I can rotate people between teams and I can, I can gain, um, a lot

537
00:29:42,140 --> 00:29:45,380
more organizational knowledge, uh, on these teams.

538
00:29:45,540 --> 00:29:50,520
And, and that seems to resonate with, um, the executives because one of the sort of the,

539
00:29:50,520 --> 00:29:56,060
the sticks in the mud that you get stuck in, that you literally get stuck in is I, like,

540
00:29:56,060 --> 00:29:58,680
I have this one team that can do this one thing.

541
00:29:58,960 --> 00:30:04,100
And now my schedule all of a sudden got serialized because that one team has to do this thing.

542
00:30:04,100 --> 00:30:06,520
And then they're going to move and do this thing and this other thing.

543
00:30:07,120 --> 00:30:13,040
And, and so the way we've kind of played it out is in order for us to look faster to the

544
00:30:13,040 --> 00:30:15,880
outside world, we need to be able to do more things at the same time.

545
00:30:15,880 --> 00:30:17,620
I can't, it can't be one team anymore.

546
00:30:17,740 --> 00:30:18,100
Right.

547
00:30:18,660 --> 00:30:24,280
So, so when you look at your business cases, um, you, you're more apt to be able to say,

548
00:30:24,360 --> 00:30:28,280
well, I want to do three of them this quarter instead of just one this quarter.

549
00:30:28,860 --> 00:30:35,760
And that, that's where, um, sort of, I went to with, with how to get the organization on

550
00:30:35,760 --> 00:30:40,740
top of this platform, doing more stuff and actually watching things happen more often.

551
00:30:41,400 --> 00:30:44,940
It's not that any one project is getting delivered more quickly.

552
00:30:44,940 --> 00:30:48,380
It's that now I'm doing like three or four and where I used to be able to do one.

553
00:30:49,100 --> 00:30:49,580
Yeah.

554
00:30:50,120 --> 00:30:50,520
Yeah.

555
00:30:50,580 --> 00:30:53,520
You know, you're, you're, you're, you're making me think there's like, like a theory

556
00:30:53,520 --> 00:30:59,540
of, uh, uh, this, this is like the Coté confessional podcast where I tell you how I think of things

557
00:30:59,540 --> 00:31:05,640
in my memories, but like, I, I get all torqued up about trying to prove things that should

558
00:31:05,640 --> 00:31:07,360
be intuitively believed.

559
00:31:07,360 --> 00:31:07,820
Right.

560
00:31:07,900 --> 00:31:15,860
For example, uh, if we had software that users that was more efficient and productive,

561
00:31:15,860 --> 00:31:22,080
so users spent less time using it to accomplish their jobs, things would be better, right?

562
00:31:22,100 --> 00:31:24,340
Like, like intuitively that just makes sense.

563
00:31:24,780 --> 00:31:29,620
Uh, and, and, you know, you're making me think there's a theory of when it comes to improving

564
00:31:29,620 --> 00:31:34,860
the way you're doing software and it, there are a lot of arguments you would want to make

565
00:31:34,860 --> 00:31:35,400
intuitively.

566
00:31:35,400 --> 00:31:42,420
Like if we reduced down our release cycle time and our ability to patch things and allowed

567
00:31:42,420 --> 00:31:46,120
people to self-manage their stuff in a DevOps way, then we're going to reduce our time to

568
00:31:46,120 --> 00:31:49,740
market and up the quality of our software and people using it.

569
00:31:49,740 --> 00:31:54,240
And intuitively, well, hopefully to anyone who would be listening to this podcast, that

570
00:31:54,240 --> 00:31:54,800
makes sense.

571
00:31:55,280 --> 00:32:01,640
Uh, but you know, my theory would be the reputation of it is so terrible that no one

572
00:32:01,640 --> 00:32:03,520
believes an intuitive argument from them.

573
00:32:04,460 --> 00:32:05,580
That's absolutely true.

574
00:32:05,720 --> 00:32:06,620
That is absolutely true.

575
00:32:06,620 --> 00:32:11,840
And so you've got to like win that trust back and then you can start relying on intuitive arguments,

576
00:32:11,840 --> 00:32:16,360
uh, you know, backed up by some spreadsheets and, and not, not to be dismissive of that work,

577
00:32:16,360 --> 00:32:22,540
but you get a lot more understanding and benefit of the doubt for what should be easy, intuitive

578
00:32:22,540 --> 00:32:24,440
arguments to make for process improvement.

579
00:32:25,900 --> 00:32:27,120
Oh yeah, absolutely.

580
00:32:27,440 --> 00:32:27,820
Absolutely.

581
00:32:28,000 --> 00:32:34,180
And you know, um, it shouldn't be lost that sometimes just doing two things at once, uh,

582
00:32:34,180 --> 00:32:38,220
but at the same pace is, is twice as fast as doing one thing at a time.

583
00:32:38,700 --> 00:32:43,900
Um, but, but you're really not working faster, but the outward perception is, is that you're

584
00:32:43,900 --> 00:32:45,600
doing more, which is, which is true.

585
00:32:45,680 --> 00:32:45,960
Right.

586
00:32:46,660 --> 00:32:51,020
Um, um, I like that parallelizations of argument.

587
00:32:51,020 --> 00:32:54,040
Cause in your business case, you're not asking for 50 new heads, right?

588
00:32:54,040 --> 00:32:57,320
I mean, you may be asking for some technology investment, but you're saying, look, making

589
00:32:57,320 --> 00:33:02,440
this move, you will actually see higher throughput, even though we're not asking for a major organizational

590
00:33:02,440 --> 00:33:03,160
staffing change.

591
00:33:03,220 --> 00:33:06,120
I think that's probably a pretty powerful part of that business case to not have to include

592
00:33:06,120 --> 00:33:06,360
that.

593
00:33:06,840 --> 00:33:07,120
Yeah.

594
00:33:07,160 --> 00:33:10,240
I mean, back to Coté's manufacturing thing.

595
00:33:10,300 --> 00:33:12,820
I mean, really, really it's about throughput, right?

596
00:33:12,960 --> 00:33:18,800
So, um, if I can do, do twice as much stuff with the same number of people, that's a good

597
00:33:18,800 --> 00:33:19,340
thing, right?

598
00:33:19,580 --> 00:33:20,020
Exactly.

599
00:33:20,580 --> 00:33:26,140
So the trick is the trick is you oftentimes get stuck where I don't have teams that can

600
00:33:26,140 --> 00:33:26,840
do that.

601
00:33:26,840 --> 00:33:27,160
Right.

602
00:33:27,380 --> 00:33:33,820
So that's where the simplification and, and selecting a single platform instead of trying

603
00:33:33,820 --> 00:33:37,940
to use, you know, AWS for this project and GCP for that project.

604
00:33:38,060 --> 00:33:42,580
Now I have two teams that can't talk to each other, you know, get on one, get on one platform

605
00:33:42,580 --> 00:33:48,040
and then share the knowledge and, and, um, that, that, that strategy seems to be playing

606
00:33:48,040 --> 00:33:48,940
out for us.

607
00:33:49,220 --> 00:33:54,580
So, yeah, I mean, when you, I mean, you've, you've touched on kind of finance and funding

608
00:33:54,580 --> 00:33:55,240
a couple of times.

609
00:33:55,240 --> 00:33:59,360
Did you actually have to change anything within the company on, you know, projects for projects

610
00:33:59,360 --> 00:34:03,560
always funded annually or projects funded as they went along, were there things like

611
00:34:03,560 --> 00:34:07,780
that that you had to deal with, or is this just like, Hey, has this helped foster any change

612
00:34:07,780 --> 00:34:11,260
in how you think of funding products versus projects, that kind of argument?

613
00:34:12,140 --> 00:34:17,000
No, I mean, um, that change, um, needs it, it's coming.

614
00:34:17,000 --> 00:34:17,400
Right.

615
00:34:17,600 --> 00:34:21,860
So we're, well, like I said earlier, like two years in, right.

616
00:34:21,900 --> 00:34:27,820
So last budget cycle, uh, we were unable to commit to doing the estimates a different way

617
00:34:27,820 --> 00:34:29,120
for 2019.

618
00:34:29,660 --> 00:34:30,100
Nice.

619
00:34:30,260 --> 00:34:35,140
Um, but for 2020 it's, you know, we're, we're going to have real discussions around, Hey,

620
00:34:35,140 --> 00:34:36,320
this is the old estimate.

621
00:34:36,320 --> 00:34:40,780
So shouldn't it be, you know, some percent smaller if we're going to do the work the new

622
00:34:40,780 --> 00:34:41,840
way that we know is better.

623
00:34:41,840 --> 00:34:49,780
Um, or should we go even further and do some sort of, you know, value stream financing and

624
00:34:49,780 --> 00:34:52,580
start to treat certain things as products.

625
00:34:52,940 --> 00:34:53,380
Right.

626
00:34:53,980 --> 00:34:59,880
So, I mean, out of the 500 projects we have, you know, not all of them are going to be software

627
00:34:59,880 --> 00:35:03,900
products because some of them are just maintenance activities or, you know, that kind of stuff.

628
00:35:04,380 --> 00:35:09,880
Um, but for the ones that are, you know, which ones do we want to try and fund differently?

629
00:35:10,540 --> 00:35:12,180
And, and how's that going to work?

630
00:35:12,320 --> 00:35:18,920
So those are really, uh, sort of topics that matter right now because the scale is starting

631
00:35:18,920 --> 00:35:21,260
to have an impact on, on that.

632
00:35:21,260 --> 00:35:21,660
Right.

633
00:35:21,660 --> 00:35:24,680
So when you do your first project, it doesn't really matter.

634
00:35:24,680 --> 00:35:28,360
Like, in fact, if you, if you bring all that stuff up, you're just going to get bogged down

635
00:35:28,360 --> 00:35:30,800
in like these rabbit holes that aren't helping you.

636
00:35:31,200 --> 00:35:36,180
Um, but as you, as you get to scale, it becomes a real problem of, well, how are we going to

637
00:35:36,180 --> 00:35:37,000
fund this thing?

638
00:35:37,000 --> 00:35:41,020
And, and what happens if we have all this money left over, what are you going to do with

639
00:35:41,020 --> 00:35:41,320
that?

640
00:35:41,360 --> 00:35:45,680
Or what happens if, if you discover that the product is more valuable and you want to spend

641
00:35:45,680 --> 00:35:46,300
more on it?

642
00:35:46,520 --> 00:35:47,920
Like, how does that work?

643
00:35:48,300 --> 00:35:48,440
So.

644
00:35:49,400 --> 00:35:49,780
Yeah.

645
00:35:49,820 --> 00:35:53,520
You, you, you get into that, that, that exciting category of good problems to have.

646
00:35:53,740 --> 00:35:54,140
Right.

647
00:35:55,220 --> 00:36:00,220
Which there's still problems, you know, the words right in there, but, uh, so, so they need

648
00:36:00,220 --> 00:36:00,720
to be solved.

649
00:36:00,720 --> 00:36:04,840
Well, the, the, uh, uh, you know, you, you and I have been talking about like doing some

650
00:36:04,840 --> 00:36:08,840
more, uh, writing up a finance stuff, which, which I think would be fun, especially as,

651
00:36:09,020 --> 00:36:13,560
um, uh, as you sort of bush wet, you and your, your team sort of bushwhack through how to

652
00:36:13,560 --> 00:36:13,880
do that.

653
00:36:13,880 --> 00:36:17,820
Cause I think there is kind of like, like Richard was asking about, like, I don't know.

654
00:36:17,860 --> 00:36:22,460
I, I, I don't know accounting that well, but like, I'm always very unsatisfied with how

655
00:36:22,460 --> 00:36:25,120
like the numbers stuff work around software.

656
00:36:25,120 --> 00:36:26,600
Like it's weird.

657
00:36:26,600 --> 00:36:30,760
So there's gotta be some better way, but on, on a, on a slightly different topic, kind of,

658
00:36:30,760 --> 00:36:34,800
you've kind of alluded to this with, uh, with, with people and staffing, um,

659
00:36:34,840 --> 00:36:38,760
one, one of the things, and I think this is when we were recording a podcast somewhere,

660
00:36:38,760 --> 00:36:44,240
but one of the things I tell people a lot to repeat your advice is like, uh, the kind

661
00:36:44,240 --> 00:36:46,820
of skillset of the initial teams that you form.

662
00:36:47,320 --> 00:36:52,660
And again, with that long-term view, why it's important to not have all, I don't know, level

663
00:36:52,660 --> 00:36:54,460
20 wizards, so to speak.

664
00:36:54,800 --> 00:36:59,900
And, and it's good to have people who are like experts, uh, I'm making air quotes here, but

665
00:36:59,900 --> 00:37:02,480
you also want to have, and maybe, you know, a good phrase for this.

666
00:37:02,480 --> 00:37:07,640
Uh, I w I was, I was recently chastised by my book editor for using this term, but you

667
00:37:07,640 --> 00:37:09,960
want to have some normals, right?

668
00:37:09,960 --> 00:37:15,860
Just, just like people, like if I went to go back to programming, I would definitely be

669
00:37:15,860 --> 00:37:17,780
like normal minus five, right?

670
00:37:17,880 --> 00:37:24,220
Like, um, I mean the theory there being, and then I'll, I'll stop talking is that if you

671
00:37:24,220 --> 00:37:29,160
had, let's say a team of 12 experts, uh, and you would see it wonderfully at your project,

672
00:37:29,160 --> 00:37:33,760
you would go to your peers or whoever and say like, Oh, look how great this, uh, this

673
00:37:33,760 --> 00:37:35,700
new process is this agile stuff.

674
00:37:35,920 --> 00:37:40,140
And they would in, in the most cynical version of this scenario, they would say, well, of course

675
00:37:40,140 --> 00:37:40,880
you are successful.

676
00:37:40,880 --> 00:37:42,940
You took all of our best people from us.

677
00:37:42,940 --> 00:37:46,000
And if we had all the best people, we would be successful as well.

678
00:37:46,000 --> 00:37:51,380
So, which kind of leads to like, you know, don't do that with your initial team, right?

679
00:37:51,380 --> 00:37:59,140
Like make sure that they are proactively build up your team as a marketing bullet point on

680
00:37:59,140 --> 00:37:59,800
your slide.

681
00:38:01,700 --> 00:38:07,160
And so I wonder if over, over the time of doing that, has that, um, like how, how has that

682
00:38:07,160 --> 00:38:07,560
worked out?

683
00:38:07,580 --> 00:38:09,220
Has that kind of proven itself out?

684
00:38:09,220 --> 00:38:12,820
And like, what are the benefits or drawbacks of that kind of staffing approach?

685
00:38:13,340 --> 00:38:21,060
Um, so I think in the beginning, um, you know, I used a volunteer model to build the first

686
00:38:21,060 --> 00:38:27,200
team and then sort of very selectively put that team together, uh, having the whole spectrum

687
00:38:27,200 --> 00:38:31,780
of, of career, um, um, age, right.

688
00:38:31,780 --> 00:38:35,820
So some young career people, mid career, late career, and then different skills.

689
00:38:35,820 --> 00:38:39,180
So took a .NET guy to a Java project, for example.

690
00:38:39,180 --> 00:38:39,620
Right.

691
00:38:40,060 --> 00:38:43,720
Um, I think that played out, um, sort of masterfully well.

692
00:38:44,180 --> 00:38:50,120
And so what's happening at scale then is, you know, we started to have stories, uh, that,

693
00:38:50,220 --> 00:38:54,960
you know, almost every week and certainly every month, we have a story about somebody who's

694
00:38:54,960 --> 00:39:00,760
starting on, on the team and they don't want a pair cause they don't know what it is and

695
00:39:00,760 --> 00:39:01,800
they don't know how to do TDD.

696
00:39:02,100 --> 00:39:05,320
And then after, you know, three, four weeks, they're, they're all in.

697
00:39:05,380 --> 00:39:05,560
Right.

698
00:39:05,580 --> 00:39:08,560
And they're like, oh my gosh, I'll never write software a different way again.

699
00:39:08,560 --> 00:39:11,500
And it just keeps, continues to play out at time and time again.

700
00:39:11,500 --> 00:39:15,300
Um, and I think that's just because it's the right thing to do.

701
00:39:15,820 --> 00:39:23,720
And, and so what's happening, um, to us, interestingly is our level 20 wizards, for example, um, we're

702
00:39:23,720 --> 00:39:30,460
sort of accumulating them into a center of excellence where these people can, um, go join a

703
00:39:30,460 --> 00:39:36,320
team like early on for, you know, the first couple of weeks of a project just to make sure

704
00:39:36,320 --> 00:39:38,640
they get on the rails and they're, and everything's going well.

705
00:39:38,640 --> 00:39:43,520
And everybody's like the veil's been pulled back and like all this mystery about this awesome

706
00:39:43,520 --> 00:39:46,340
stuff kind of goes away because it becomes real for them.

707
00:39:46,720 --> 00:39:51,420
And we're, so we're starting to deploy those people, um, differently and we really don't

708
00:39:51,420 --> 00:39:59,440
depend on sort of any masterful people, um, to drive, uh, like sort of an everyday project

709
00:39:59,440 --> 00:40:00,280
anymore.

710
00:40:00,540 --> 00:40:09,080
Um, uh, I think, and I think part of that is, um, people are just, uh, they, they become so

711
00:40:09,080 --> 00:40:12,780
much more productive that we don't need them to be a superstar anymore.

712
00:40:12,780 --> 00:40:16,440
We just need them to be normal and that's fine and good and sustainable.

713
00:40:16,640 --> 00:40:17,120
Right.

714
00:40:17,340 --> 00:40:22,160
And then for the people who actually are extraordinary, we have a role for them too, which is make

715
00:40:22,160 --> 00:40:23,900
everybody else become normal.

716
00:40:23,900 --> 00:40:24,340
Right.

717
00:40:24,440 --> 00:40:27,700
Like, yeah, no, no, exactly.

718
00:40:27,840 --> 00:40:32,480
That's, that's like in the, uh, four or so years I've been, uh, talking with and observing

719
00:40:32,480 --> 00:40:35,640
like the organizations like yourself and other pivotal customers.

720
00:40:35,640 --> 00:40:40,860
Like that's one of the more humanistic things I've come out of it is, um, the notion of

721
00:40:40,860 --> 00:40:45,900
like leveling the skill level in your team sounds bad at first because you're basically

722
00:40:45,900 --> 00:40:48,540
like going to the least common denominator.

723
00:40:48,780 --> 00:40:51,600
But I, but I think, I think it's, it's more of what you're saying.

724
00:40:51,600 --> 00:40:56,360
And in the DevOps world, there's this notion of like hero culture is bad for various reasons.

725
00:40:56,520 --> 00:41:01,600
And it's, I think it's more of, I don't know, to kind of make up a rephrasing is there

726
00:41:01,600 --> 00:41:08,660
is more widely shared responsibility and contribution from all team members than like these one or

727
00:41:08,660 --> 00:41:12,220
few tent poles that are a very fragile way of doing things.

728
00:41:12,220 --> 00:41:16,860
And so, you know, I don't know, it's almost the wrong perspective to say like people are

729
00:41:16,860 --> 00:41:19,020
raised up and others are lowered down.

730
00:41:19,540 --> 00:41:23,420
I think, I think it's more that people are basically raised to the same level and they

731
00:41:23,420 --> 00:41:27,020
all sort of, not that they're interchangeable, but, but they all become better.

732
00:41:27,020 --> 00:41:31,640
The team becomes better for sure than if there was just like a little spike of improvement.

733
00:41:32,400 --> 00:41:32,540
Yeah.

734
00:41:32,660 --> 00:41:38,280
And, uh, you know, we're, I personally like to focus on the sustainability of, of it, right?

735
00:41:38,340 --> 00:41:38,840
Of it all.

736
00:41:38,860 --> 00:41:39,060
Right.

737
00:41:39,100 --> 00:41:44,660
So if you wanted everybody to be superstars, then you'd be constantly, you know, training

738
00:41:44,660 --> 00:41:48,740
new people because the normal people, maybe they, maybe they don't want to do that.

739
00:41:48,800 --> 00:41:50,140
Maybe they just want to be normal.

740
00:41:50,140 --> 00:41:50,500
Right.

741
00:41:50,720 --> 00:41:57,160
Um, and that's, that needs to be okay that because, you know, organizations and marketplaces

742
00:41:57,160 --> 00:42:02,360
where you hire from and all of those that there just aren't like the expectation that everybody's

743
00:42:02,360 --> 00:42:04,840
a superstar just isn't, it's not, it's not real.

744
00:42:05,160 --> 00:42:06,760
It's a, it's an illusion, right?

745
00:42:07,140 --> 00:42:11,840
The practical reality of it is that I, you know, I have a bunch of people that I hired and

746
00:42:11,840 --> 00:42:14,980
now it's my job to train them and give them meaningful work to do.

747
00:42:14,980 --> 00:42:20,360
And the good part about what we're doing is they're so close to the value delivery that

748
00:42:20,360 --> 00:42:23,980
they get really excited when they hit that production button for the first couple of months.

749
00:42:24,080 --> 00:42:25,120
And then it's boring after that.

750
00:42:25,900 --> 00:42:33,040
Like, you know, I, I actually, I paired with them, um, um, for whatever reason I got on this

751
00:42:33,040 --> 00:42:38,600
project and I paired with, um, uh, a young junior programmer, um, who had never done it before.

752
00:42:38,600 --> 00:42:43,460
And in three weeks we delivered, you know, uh, like $2 million of business value.

753
00:42:43,460 --> 00:42:46,980
And, and she was like, wait a minute, that was crazy.

754
00:42:47,160 --> 00:42:48,220
Like, are you kidding me?

755
00:42:48,760 --> 00:42:50,580
And I'm like, yeah, I mean, it was kind of cool.

756
00:42:50,580 --> 00:42:50,900
Right.

757
00:42:51,020 --> 00:42:57,700
And, and so she, um, um, actually changed her whole outlook on her career and what she's

758
00:42:57,700 --> 00:42:57,940
doing.

759
00:42:58,000 --> 00:42:59,260
It was a really excellent outcome.

760
00:42:59,760 --> 00:43:04,400
So yeah, that is not, not only for, from your corporate overlords is it good to show

761
00:43:04,400 --> 00:43:07,060
cause and effect, but from the people actually doing the work.

762
00:43:07,480 --> 00:43:07,880
Yeah.

763
00:43:08,020 --> 00:43:11,880
Well, you know, we push, uh, we, we try to push this decision-making down to the team.

764
00:43:11,880 --> 00:43:15,540
And at first they don't really realize what that means, but then when they, they see that

765
00:43:15,540 --> 00:43:19,920
they have a pathway to production and they have a business partner sitting next to them

766
00:43:19,920 --> 00:43:24,580
and they can go together, like that is like, that's where the sustainability comes from.

767
00:43:24,640 --> 00:43:27,700
It doesn't come from my type places, my lines of software as you do.

768
00:43:27,760 --> 00:43:31,860
It comes from, you know, partnering and, and growing something together as a team.

769
00:43:31,860 --> 00:43:33,420
Like that's, that's really where it is.

770
00:43:33,420 --> 00:43:35,280
And I just don't really care how fast you type.

771
00:43:35,520 --> 00:43:38,280
Like, it's not my, I don't even hire people for that anymore.

772
00:43:38,280 --> 00:43:41,720
Like, yeah, they don't need to figure out a water displacement.

773
00:43:42,180 --> 00:43:44,980
No, I mean, it doesn't matter.

774
00:43:45,120 --> 00:43:49,000
Like, well, you know, you need to be reasonably, you know, analytical to write software, but

775
00:43:49,000 --> 00:43:51,020
you know, after that I can train the rest.

776
00:43:51,020 --> 00:43:55,820
But what I, what I can't do is, you know, make you be happy with toiling in your cube.

777
00:43:55,940 --> 00:43:56,180
Right.

778
00:43:56,300 --> 00:43:56,680
Totally.

779
00:43:56,880 --> 00:43:57,120
Totally.

780
00:43:57,300 --> 00:43:57,840
Well, great.

781
00:43:57,940 --> 00:43:59,800
Well, well, uh, well, thanks for being on.

782
00:43:59,880 --> 00:44:02,860
I think, I think it was, it's always good to catch up, see how things are going.

783
00:44:02,860 --> 00:44:08,700
And, uh, man, we, we ended in perhaps one of the more positive notes of our podcast series

784
00:44:08,700 --> 00:44:09,080
here.

785
00:44:09,140 --> 00:44:10,160
It feels like it.

786
00:44:12,480 --> 00:44:13,400
It's only Monday.

787
00:44:13,400 --> 00:44:18,180
So we'll see how long I can coast off of that until, until we get to Sunday night when I have

788
00:44:18,180 --> 00:44:23,260
to help my son with his homework, but, uh, thank you.

789
00:44:23,360 --> 00:44:23,720
Thank you.

790
00:44:23,720 --> 00:44:28,380
So if, if people were interested in, uh, seeing what you're up to or, uh, or anything like

791
00:44:28,380 --> 00:44:31,560
that, you got, you got like a Twitter account or anything to tell them about.

792
00:44:31,840 --> 00:44:32,200
Yeah.

793
00:44:32,280 --> 00:44:37,500
Um, at, uh, J O N N I O 20 Johnny O 20 is my, uh, my Twitter feed.

794
00:44:37,560 --> 00:44:43,720
Um, that's, that's a good place to, uh, to interact or, you know, follow me and we'll

795
00:44:43,720 --> 00:44:45,260
have a online conversation.

796
00:44:45,340 --> 00:44:50,100
And then, uh, of course, if you're, uh, in Cincinnati and you're successful hitting me

797
00:44:50,100 --> 00:44:52,460
up on Twitter, maybe we can have a lunch or do something like that.

798
00:44:52,660 --> 00:44:53,380
So that'd be fine too.

799
00:44:53,700 --> 00:44:54,060
Yeah.

800
00:44:54,140 --> 00:44:54,340
Yeah.

801
00:44:54,400 --> 00:44:57,540
Y'all are in a, I haven't been able to see it, but you've described it to me and you're

802
00:44:57,540 --> 00:44:59,040
in a very, very beautiful building.

803
00:44:59,320 --> 00:45:00,080
Go check that out.

804
00:45:00,460 --> 00:45:00,720
Yeah.

805
00:45:00,720 --> 00:45:06,920
It's a hundred year old, um, um, bus terminal building and, and, uh, there's been several

806
00:45:06,920 --> 00:45:10,080
movies filmed in there at one just this past year by Netflix.

807
00:45:10,080 --> 00:45:11,620
So it's pretty, it's pretty interesting.

808
00:45:11,820 --> 00:45:12,000
Yeah.

809
00:45:12,360 --> 00:45:12,700
Nice.

810
00:45:12,880 --> 00:45:13,180
Nice.

811
00:45:13,280 --> 00:45:14,020
Well, thanks again.

812
00:45:14,020 --> 00:45:15,660
And, uh, thanks for listening.

813
00:45:15,840 --> 00:45:16,500
Thanks for your time.

814
00:45:16,920 --> 00:45:17,100
Yeah.

815
00:45:17,160 --> 00:45:17,840
Thanks for listening.

816
00:45:17,900 --> 00:45:19,780
This is always has been Pivotal Conversations.

817
00:45:19,780 --> 00:45:25,920
If you want to find all of our old episodes, it's at soundcloud.com slash Pivotal Conversations.

818
00:45:26,320 --> 00:45:31,060
And we post show notes for this, uh, every Thursday, if I'm doing my job correctly and

819
00:45:31,060 --> 00:45:36,080
we'll put links to, uh, to that sea of nose, uh, conversation or presentation.

820
00:45:36,080 --> 00:45:39,440
And there's a couple of podcast episodes we've done and, uh, John's Twitter thing.

821
00:45:39,440 --> 00:45:43,080
So as always, thanks for listening, and we'll see you all next time.

822
00:45:43,340 --> 00:45:43,680
Bye-bye.
