How Sacem Underwent a Global Business and IT Transformation with SAFe® By Creating a Platform ART to Complement Its Business-enabled ARTs

“Sacem quickly focused on SAFe because of its ability to scale across the organization, something Scrum lacked. Feedback from companies like Spotify and BPIFrance (Public Bank of Investment) which were also inspired by SAFe, and the Framework’s focus on portfolio management, PI Planning, and cross-department
collaboration made it an ideal fit.”

Sylvie Labouesse, CTO of Sacem

Challenge:

To maintain its global leadership and enhance economic efficiency, Sacem needed to adapt to a rapidly evolving music industry by accelerating the digitalization of its systems and processes.

Industry:

Music, IT, Digital Media

Quick Facts:

  • Founded in 1851 and managed by its members, Sacem is a society of authors, composers, and publishers of music.
  • Sacem represents more than 240,000 members and 176 million works.
  • Sacem collects author rights directly in more than 180 countries.
  • The organization has more than 1,300 employees and has supported more than 3,600 cultural projects.
  • 510,000 authors, composers, and music publishers are paid worldwide thanks to Sacem.

Overview

The Society of Authors, Composers, and Publishers of Music (Sacem), is the world leader in the collective management of authors’ and composers’ rights. Founded in 1851, Sacem has continuously evolved to meet the challenges of a fast-changing music industry, driven by digital innovation and new consumption models.

With deep expertise in digital rights management, data processing, and royalty distribution, Sacem has positioned itself at the forefront of the global digital transformation of collective management organizations. Its leadership is built on its ability to adapt rapidly, embrace cutting-edge technologies, and offer innovative, high-quality services to its members, customers, and partners worldwide.

The Challenge

To maintain its global leadership, Sacem needed to:

  • Enhance its economic efficiency.
  • Cope with a constantly changing music industry.
  • Strengthen its competitive position.
  • Accelerate the digitalization of its processes and royalty management systems.
  • Develop tailor-made services for its members, customers, and employees.

The Path to SAFe

Sacem’s IT departments initially explored Scrum in 2017 – 2018. After a leadership change in 2019 and some reflection in 2021, it became clear that the transformation needed to scale across the entire IT department and align better with the business transformation. Sacem’s complex IT architecture and extensive operational value streams required a comprehensive transformation.

Undergoing this transformation with SAFe ensured Sacem could stay competitive in a dynamic and fast-moving market with evolving technologies and new platforms.

Outcomes

Before the SAFe transformation, projects were perceived as too long and costly. Working methods were heterogeneous, and the organization needed more synergy with the trades. Sacem wanted to enable IT to develop and deploy the technologies of the future.

The transformation brought tangible improvements in several areas:

Acceleration: The speed of delivery for business initiatives increased by 20 percent, largely due to building a state-of-the-art Pipeline CD Product and promoting its adoption to move toward DevOps. The product approach of the Platform ART (private and public cloud automation, Identity and Access Management Product, middleware product, and API Management Product) is the key success factor to faster delivery. The involvement of the Platform Train in the PI Planning processes of the Business Trains—and vice versa—has also significantly contributed to acceleration.

Time-to-market: The time required to implement technical architectures for Business-enabled trains improved a lot. What used to take several weeks now takes only a few days, thanks to better alignment with best practices.

Modernization: By May 2024, Sacem reduced technical obsolescence by 15 percent. From June 2024, the rate of obsolescence increased due to the rapid pace of technological changes. Nevertheless, sharing obsolescence in the PI Planning processes of the Business Trains facilitates managing technical obsolescence for risk reduction. Modernization also concerns offering the latest products on the CD pipeline and introducing new technologies to create opportunities for Business Trains (containers).

Autonomy: There has been a 60-percent reduction in handovers and dependencies, as the Business Trains have adopted better skills and become more autonomous in managing their infrastructure.

Predictability: The predictability rate for the Platform Train stabilized at 85 percent, a significant improvement from the initial 60 percent before starting the journey.

Service Quality: The availability of critical applications for the Business Trains reached a target of 98.9 percent per month. This has positively impacted operations and customer satisfaction.

Deployment Speed: Deployment times have reduced drastically, from a day and a half to just five minutes, thanks to the integration of a standardized and unique Pipeline CD.

Cost Reduction: Running costs have decreased, aided by the decommissioning of obsolete applications and systems, contributing to overall operational efficiency.

In addition, Sacem reports that collaboration has improved between teams, as shown by satisfaction surveys during I&A sessions. Business satisfaction scores have risen, and Sacem’s new digital and innovative image has helped attract top talent. The shift from silos to integrated teams has created a culture of mutual respect and understanding. The wall between DEV and OPS is now broken. Everybody is doing studies, build, and run. Everybody is sharing the same vocabulary.

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France Travail

“…people who work together in harmony and deliver the best service to the business customers, beneficiaries in happy relationships and all that? That’s what gets me up in the morning. I want to make sure that people are working together fine. And what frustrates me the most is to see within our government agency how so much energy is wasted in silos, wasted because people are not communicating properly and all this nice energy is lost. And so that’s really too bad.”

— Cecile Auret, Internal Change Agent and SAFe 6.0 Practice Consultant, France Travail

Industry:

Government, Public Sector

Quick Facts:

  • France Travail employs approximately 59,000 people, with 1600 working to develop digital services
  • The organization paid a total of 36 billion Euros to beneficiaries in 2023
  • They processed almost 8 million benefit requests in 2023
  • They saw 478 million visits to their website in 2023 (59% of those on mobile devices)
  • They processed 17 million phone calls to call centers
  • And, they saw 6.6 million in-person visits to local branches 
  • After launching its first Agile Release Train more than six years ago, today, approximately 70 percent of France Travail’s software production is delivered through ARTs

Key Takeaways:

  • ARTs are not enough to cut through silos. Even when trains are working happily together, they can hit a ceiling if the silo mentality and culture above the trains doesn’t change. 
  • Everyone is an actor in the transformation. By trying things and improving in their area, individuals can plant seeds for the rest of the organization. With persistence, at some point, it attracts sponsorship from the management level.
  • Change needs to happen on every level: middle managers, top managers, change agents, and the team level.
  • The Framework offers both stability and ideas for improvement, with the big picture as the main compass for the organization to navigate change.

Overview

France Travail is the French public employment service, a government organization that supports unemployed citizens and employers, offers financial benefits, and provides intermediation services. They offer assistance to people who are in transition, in between jobs, or looking for new employment. They also support small employers and recruiters that don’t have the infrastructure for recruiting. 

France Travail is a big agency on its own, but in January 2024 it became part of a larger network of partners: The network for employment. Together, the network helps people not only find work, but also remove impediments to work, such as securing housing and finding daycare. France Travail also develops an IT platform of digital services for all the partners.

“Don’t accept the status quo. Try things… If you believe you can improve, try things. And don’t let others tell you that you shouldn’t try. Be confident and try… and eventually you’ll attract interest from top managers.”

— Cecile Auret, Internal Change Agent and SAFe 6.0 Practice Consultant, France Travail

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How Fletcher Building Used SAFe to Successfully Drive Digital Transformation and Accelerate Flow of Value

“Our customers have told us they’re getting the products and services they have always wanted. We’re connecting with them to understand and solve their pain points at a pace previously unheard of in Fletcher Building”

Wayne Armstrong, GM Digital & Marketing at PlaceMakers

Industry:

Construction, Manufacturing, Recycling

Quick Facts:

  • Approximately 150 people trained and practicing SAFe
  • 2 ARTS, 5 Value Streams
  • Fletcher Building followed the full implementation roadmap to ensure all their people (including multiple partners across multiple geographies) were trained and aligned before launching each of the trains.
  • They also focussed on gaining buy-in from executives of the business units as well as IT leadership through a Leading SAFe course. This helped them understand the theory and enabled buy-in to the radical change in approach. 
  • Including the Business Change team in the ART created the organization’s first cross-functional business team with marketing, operations, digital team, and digital support.

Outcomes & Lessons Learned:

  • Improved reliability (~ 94% predictability) and frequency of releases as well as accelerated development into market enabled better comms and created a competitive advantage
  • Creating a cross-functional alignment helped to drive digital adoption. 
  • Following human-centred design and focusing on solving customer pain points was integral to achieving the organization’s goals.
  • They shifted conversations from time/cost/budget to customer experience and prioritisation (fixed capacity) and benefit realisation.
  • They did discovery in parallel to development, which enabled a relentless improvement of products.
  • The transformation resulted in a more  than 90% customer satisfaction in products. Customers are more highly engaged than ever before.
  • Ecommerce revenues jumped from $0 in 2019 to $300+ million in 2022
  • Over time, the teams created strong bonds, took ownership of the objectives, and created their own innovation features, which accelerated development and ensured that Fletcher Building achieved its initial $100m sales target a year ahead of schedule.

Overview

SAFe helped Fletcher Building transform their large, complex portfolio organisation by completely changing how they implement technology solutions. They moved from siloed teams and waterfall technology practices to customer-led cross functional teams aligned around delivering prioritised business outcomes. 

The company faced initial challenges, such as getting buy-in from a decentralized IT department and overcoming the organizational mindset that “going fast” was a problem for IT to solve. Additionally, there was a six to seven hour time difference between Fletcher Building and their software development vendors, which made it more challenging for people to align and communicate. 

“There is always resistance to change,” explains Wayne Armstrong, GM Digital & Marketing at PlaceMakers, the retail trading arm of Fletcher Building. “Initially there was a belief within parts of the organization that this is a nice theory but would never work in our highly complex, fragmented organization with a huge number of disparate systems and vendors.” 

To overcome this, Fletcher Building worked with a dedicated partner, Pretty Agile, and focused on ensuring the culture of the teams was strong with a very engaged leadership who actively addressed some of the risks quickly. Pretty Agile was able to challenge the organization’s thinking and help set them up for success leading up to launch. 

In the end, SAFe helped Fletcher Building to halve the time and cost to implement technology, exponentially increase digital revenue, and make a step change in staff engagement and customer satisfaction.

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Philips

“The Lean Portfolio Management is really unique for our business and now it’s being requested all over the place, because it really was a game changer. We outperformed in 2023 financially. We achieved our OKRs. The strategy was super clear. We had improved our quality significantly. So we didn’t have any major noncompliance… and most importantly we gained back the trust from the markets and the customers first.”

Ruti Avitan, VMO Leader, EMR & CM, Philips

Industry:

Healthcare, Medical Devices, Technology

Quick Facts:

  • Philips Global has 18 businesses across multiple continents, including 5 informatics businesses, which have adopted SAFe
  • In 2021, Philips Global invested 1.8 billion euros in research and development across all its business units
  • The Philips EMR & CM informatics products alone improve the lives of 95 million patients every year
  • Informatics customers include more than 9,000 hospitals across 70 countries

Lessons Learned:

  • Transformation is possible in a highly regulated environment like healthcare. Philips EMR & CM assigned a person to each team who was dedicated to documentation and validation in order to reduce delays and meet the more than 27 different compliance requirements they faced.
  • By moving away from an endless backlog of service tickets and managing defects to developing new tools and services, teams create more room for growth and innovation. They do this by defining epics, MVPs, and understanding value streams.
  • People-centric innovation: Philips asked themselves, what do people (in this case, patients and clinicians, nurses and technicians, consumers) really need? And how can they best support healthcare professionals with their workflow?
  • Sometimes focusing on fewer projects allows for greater scale, more innovation, better quality, and better flow of value to the customer.

Overview

In the past decade, Philips has transformed from a household products company to a focused leader in healthcare technology. The company offers medical devices such as CT and MRI machines, healthcare devices for personal use such as toothbrushes, and informatic systems for hospitals. 

Philips has five informatics or software business units ranging from electronic medical records (EMR) and care management to clinical informatics, radiology, cardiovascular, and more. They began their SAFe transformation within informatics. “When I joined, this business specifically was fully waterfall, very hierarchical, especially in the R&D organization,” says Ruti Avitan, VMO Leader of the EMR & CM informatics business at Philips. “It was a business in trouble. We had a lot of red projects because of delays. We have more than 25 projects running in parallel. Each one had a different delivery date. We had escalation from customers on quality, and so on. So the motivation to do something was really high.” 

Beginning in 2022, SAFe allowed the organization to define a Lean-Agile way of working and move from the traditional hierarchy to cross-functional teams. They shifted from project to product centricity, enhanced their knowledge, reduced the backlog, and made room for innovation. The result is an enterprise that is people- and patient-centric, focused on scalable innovations that prioritize safety, patient outcomes, supply chain resilience, and quality.

“When I joined, this business specifically was fully waterfall, very hierarchical, especially in the R&D organization… It was a business in trouble. We had a lot of red projects because of delays. We have more than 25 projects running in parallel. Each one has a different delivery date. We had escalation from customers on quality and so on. So the motivation to do something was really high.”

Ruti Avitan, VMO Leader, EMR & CM, Philips

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The British Council

“I think our story has resonance with lots of other people, probably like myself, who find themselves in positions of leadership in today’s world and maybe don’t have the background in technology particularly. That’s one thing I will say, and I think this is sometimes controversial, but I often get nods when I say it. Technology is not the main event.”

Saima Satti, Head of Global Exams Business Improvement, British Council

Industry:

Education, English language, and Cultural Sectors

Quick Facts:

  • Founded in 1934, the British Council has focused on building connections for 90 years.
  • It is a UK charity governed by Royal Charter and a UK public body. Most income comes from partnership agreements, contracts, philanthropy, teaching and exams, and they also receive grant-in-aid funding from the UK government.
  • The Council is currently present in 100+ countries.
  • As part of their growth and development, the British Council’s Global Exams Business Improvement team created a Lean-Agile Center of Excellence and embedded a SAFe think tank.
  • Most of the team’s leadership is SAFe certified.

Outcomes & Lessons Learned:

  • It’s not all about technology. The adoption of SAFe enabled the development and delivery of over 150 initiatives including a balanced proportion of both Technology and non-tech improvements that deliver value across the world.
  • SAFe enabled the delivery of value more efficiently and more broadly across the globe.
  • The adoption of LPM and work on multiple portfolios with an overarching Portfolio of Portfolios was game changing for the teams, stakeholders and ultimately the realisation of value. Even though we realised we were already working at portfolio level when we started our SAFe journey we adapted and embedded accordingly ensuring SAFe worked for us .. and it did! Key lesson there is to try and find a way through and not get overly worried that your context is already more complex.
  • With SAFe, they were able to shift their focus to “people, passions, and pivots” and accelerate the flow of value.
  • Critical to success was culture and it was important to foster a culture of safety through communication events, peer support, and sharing vision and strategy across every level.
  • Involve everyone, from the most junior person to leadership. Respect your people and culture.
  • Work toward alignment, transparency, and continuous improvement.
  • If you take care of your employees, they will take care of the business and they will take care of the customer.

Overview

The British Council is an organization that works for a more peaceful and prosperous world by building connections and trust between people in the UK and countries worldwide. Working with people in over 200 countries and territories and with presence on the ground in more than 100 countries.


Uniquely combining the UK’s deep expertise in arts and culture, education and the English language, global presence and relationships in over 100 countries with unparalleled access to young people, creatives and educators, and their own creative sparkle, the British council will reach 650 million people this year alone.


One of the focus areas of the organization is administering examinations, helping people gain access to trusted qualifications to support their career and study prospects. About 5 million exams are administered at more than 850 locations worldwide.


The British Council’s Global Exams Business improvement team, dispersed across 23 countries, implemented SAFe to help break down silos and to reduce wasted time in handovers between tech teams, systems teams, process, and implementation. They also wanted to align their culture around a shared strategy and vision and were able to do so with SAFe.

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Tracasa Instrumental is Modernizing Justice with SAFe®

SAFe provides us with a frame of reference that facilitates the cadence of work, principles and values ​​that allow us to concentrate in an organized manner on providing the best service to the Administration of Justice and to the more than 80,000 users who use the Justice management system Avantius for the electronic processing of judicial files.

The collaboration, communication and learning that we obtain through its [SAFe’s] practice guarantees that with each Planning Increment, our product is more robust, more innovative and closer to the needs of our users, leading the digitalization of Justice in Spain.

Our team enjoys and is proud of the results obtained with this way of working.

Javier Laínez, Avantius SAFe Release Train Engineer, Tracasa Instrumental

Challenge:

Design, build, maintain and evolve Avantius, the best digital solution for electronic judicial files, which makes judicial processes more efficient every day, offering an immediate benefit to society.

Industry:

Government, IT

Results:

  • Increased predictability of releases with a cadence of 3 per year. “Before using SAFe we were not predictable,” explains Laínez. “It was usually one or two releases per year, but we couldn’t make it at the planned dates.”
  • Improved product quality as measured by a 47% decrease in bugs from 2020 to 2022
  • Increased engagement of team members by 25% as demonstrated by Employee Net Promoter Scores (eNPS) and engagement surveys.
  • Boosted customer satisfaction ratings by 30% based on Net Promoter Scores
  • Improved flow and efficiency: As a result of the digital transformation with SAFe, the judicial system saw improvement in pending cases and congestion rate (registered/resolved matters) across all regions.
  • Reduced time for cases in process: The system also saw improvements in duration of cases, with the estimated average time of civil matters in process dropping by as much as 3.9 months, according to a Report of the General Council of the Judiciary CGPJ.

Best Practices:

  • Share PIP backlog preparation to increase transparency and buy-in
  • Allow teams and ARTs to self-manage
  • Always look for innovation opportunities to increase iteration effectiveness
  • Focus on the development of Agile culture in the ARTs

Overview

In the justice sector, the relationship between the authorities and the citizens they serve is crucial. Improving transparency, accountability, responsiveness, service accessibility, and the user experience has direct impacts on citizens’ quality of life.

Digitalization of judicial systems not only has important benefits for the justice system, but it also drives economic and social progress. Electronic file management systems grease the wheels of justice. Clerks no longer have to perform tedious manual searches for documents or wade through warehouses full of file boxes. The technology allows for e-signatures, saving people unnecessary trips to sign documents in person. Background documents are centralized and encrypted for security. Citizens no longer have to languish in the system while lawyers and court officers manually gather discovery documents. Legal officers and staff are able to do their jobs more efficiently, improving the flow of cases through the system. Historic records are better organized and more secure.

Tracasa building

Tracasa Instrumental (the technology company of the Government of Navarra) experienced this all firsthand when they built Avantius, a digital legal process management system and put it to use in the autonomous communities of Navarra, Cantabria, Aragon, the Basque Country and the country of Andorra.

With the help of SAFe, Avantius became the common vehicle for the modernization of justice in the North of Spain.

About Tracasa

Tracasa Instrumental has a staff of more than 600 qualified professionals who develop technological solutions and services, mainly for the public sector (Government of Navarra and Local Corporations). Of them, 89 people make up the high-performance team that maintains and evolves Avantius, organizing around value in 12 Agile teams with a high degree of maturity.

About Avantius

Avantius is Spain’s Procedural Management System used daily by more than 7,000 users of the Justice administration and more than 77,500 professionals and external collaborators who take advantage of its facilities for the digital processing of files and its integration capabilities with state services.

In total, more than 4,700,000 citizens benefit from the digital services provided by Avantius to accelerate faster and more efficient procedural management every day.

Avantius allows comprehensive management of judicial files, with maximum security and within a single electronic judicial file, facilitating the work of all operators participating in a judicial process.

In April 2019, Avantius was certified by the General Council of the Judiciary of Spain as the only valid procedural management system that is mandatory for judges to work with the Electronic Judicial File.

 Javier Amézqueta, Justice and Interior Area Director, right, and Javier Laínez, Avantius SAFe Release Train Engineer, Tracasa Instrumental, left.

The Path to SAFe: A Timeline

“Tracasa has incorporated Agile methods into the way its teams work since 2012,” says Roberto Clerigué, Director of Operations at Tracasa Instrumental and Product Owner of Tracasa’s SAFe LACE. “In 2018, due to alignment and synchronization needs with the growth in the number of autonomous communities and users that used the Avantius justice management system, we began to study what the Scaled Agile Framework (SAFe) proposed. In 2019, we saw that we needed a partner that could help guide the implementation of SAFe in an orderly manner and based on experiences.”

Tracasa then contracted with Estratecno, a Scaled Agile Gold Transformation Partner, and began training and SPC support for the implementation of SAFe in Avantius and other management areas of the organization.

“Furthermore, in February 2020, we learned more about the SAFe proposal with a meeting in Madrid in which Chris James, CEO of Scaled Agile, participated,” Clerigué recalls. “We were able to learn more about the SAFe proposal, which led us to promote, in a more decisive way, the implementation of SAFe in our company. Although the pandemic slowed down some initiatives, during that year Leading SAFe, SAFe POPM, SAFe SSM and SAFe RTE trainings were completed.”

In 2021, Avantius’ first PI Planning was launched following the SAFe implementation roadmap along with an implementation of portfolio management for the company’s four-year strategic plan. “We are very proud of the results obtained so far.”

Now the Avantius team is made up of more than 89 professionals distributed across 12 teams. These teams have an Agile Release Train (ART) structure following a SAFe Essential configuration that supports a clearly defined development Value Stream for Avantius based on the operational Value Stream of legal processes supported by the different Avantius components.

Ready for the Future
With the advancements from Avantius’ way of working based on the SAFe framework, the justice area of ​​Tracasa Instrumental is ready to scale its contribution and face new challenges with confidence.

“The contribution of an Agile scaling framework, as consistent and proven as SAFe provides us, allows us to focus on growing clients, users and new areas of action at a pace that a few years ago we could not dream of,” says Javier Amézqueta, director of the Justice area of ​​Tracasa Instrumental and fundamental promoter in the Lean Agile evolution of the Avantius team.

Amézqueta also credits SAFe with allowing Tracasa to attract more talent and enjoy a more aligned and productive work environment. “It allows us to incorporate the great professionals that we want to grow with us to face the challenges that we must face in the coming years,” he adds.

Of course, there are direct business benefits too, he notes: “SAFe provides us with greater predictability in the delivery of value, increases the satisfaction of team members associated with intrinsic motivation factors and helps us prioritize demand to plan without exceeding the capacity of the train equipment.”

Learn More

Tracasa Instrumental – Avantius – Justice Management System: PIP (Program Increment Planning) on YouTube.

Navarra, recognized as an international success story for the methodology used by Tracasa Instrumental in the Avantius judicial management system. This company of the Government of Navarra is the first Spanish public entity to obtain this recognition worldwide. News article.

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Handelsbanken Accelerates Speed to Value with SAFe®

We definitely know our time to market is much shorter. And when we want to start something, we can start it almost right away.

Benny Johansson, Head of Payments and Accounts, Handelsbanken

Challenge:

Business groups could encounter unnecessarily long development time frames and slow, project-based development. Capacity and prioritization challenges sometimes remained unsolved.

Industry:

Financial Services

Results:

  • Average process time for developing features improved by 30%.
  • On ART self-assessments, portfolio alignment and continuous delivery increased by more than 50% while core execution on PI Planning areas improved by 10-20% over two years.
  • The company has expanded to 24 ARTs and completed more than 5,000 in-house trainings for employees across the organization.
  • The bank’s capacity to reallocate staff quickly to urgent tasks increased significantly.

Lessons Learned:

  • Consider bringing Lean-Agile coaching capability in-house—as close to executive level as possible.
  • Train key stakeholders early.
  • Establish and train a guiding coalition early that represents IT, business, HR and other key groups to support an organization-wide transformation. 
  • Continuously communicate C-level business and IT sponsorship and support for the transformation.

Introduction

Founded in 1871, Swedish bank Handelsbanken may have a very long history, but it remains remarkably progressive. For the fourth consecutive year, Handelsbanken was recently named the most innovative large bank in Sweden. 

For decades, the bank has made news for its innovative practices that sometimes break with the financial industry norms. For example, in the 1970s, the bank decentralized its regional branches, freeing them to run as their own businesses and make local decisions. Along with that, they loosened budget constraints, choosing to focus on customers over products.

While the bank didn’t actively pursue growth, it happened organically as it created more value for customers.

Handelsbanken is ranked as the safest commercial bank in Europe, according to Global Finance magazine. It also holds higher overall credit ratings from Standard and Poor’s, Moody’s, and Fitch than any other privately owned bank in the world.

One of the steps Handelsbanken has taken in its ongoing evolution was bringing Agile practices to IT and business development so that they could meet the increasing demands for digital services and compete in rapidly growing markets. The bank found its existing structure gave it a head start.

“Handelsbanken’s culture is fundamentally decentralized and compatible with an Agile way of working,” explains Heléne Grönberg, Head of the Lean Agile Center of Excellence (LACE). “The local branches have a strong pragmatic and down-to-business culture and Agile has contributed to us staying true to that culture in the development area as well. It has contributed not only to remaining competitive, but also to innovating further.”

A Proven Path

As the company experimented with Agile methods, those efforts remained limited to a few IT teams. The company knew it needed to do more to keep pace with regulatory demands and meet customers’ appetites for digital banking options.

“We were not executing on our plans at the pace we wanted and many of our initiatives didn’t meet timeline targets or include all the functionality requirements,” said Benny Johansson, Head of Payments and Accounts. “We wanted to cut our time to market and improve.”

As it looks to be a leader in customer offerings, Handelsbanken needs a collaborative partner to contribute to those goals. The bank explored the Scaled Agile Framework (SAFe) and gained trust knowing that several large companies and banks in its region had found success with it. 

“We perceived SAFe as the most complete framework with a holistic approach,” Grönberg said. The structure of the framework helps us think big, focusing on flow and results.”

Closing the Distance Between IT and Business

Early on, the bank formed an Agile coaching group, which would later become the LACE in 2019. 

The first Agile Release Train (ART) took on the ambitious goal of enabling automated decisions for mortgages. And with SAFe, the company achieved that sooner than expected.

“Two weeks after the first meeting, we had PI planning and started the first steps of development,” recalled Renée Ekström, Acting Head of Development – Credits & Financial Instruments. “Nine months later, we had the first release to customers. Since then, we have continuously added value to this first delivery.”

Since that initial success, the company has expanded to 24 ARTs, and the LACE has completed more than 5,000 trainings for employees across the organization. 

“In our size of transformation, we see that a group-wide LACE creates favorable conditions for building mutual support and a comprehensive system, and in Handelsbanken’s LACE there are more than 20 experienced Agile coaches who make this possible,” Grönberg said.

Today, nearly all development happens within the trains, and involves much closer collaboration between IT and business groups to set priorities and deliver maximum value. 

“As we strive to create the best offers for our customers, business-oriented IT solutions are crucial. SAFe has contributed to deeper cooperation between parts of the bank,” Johansson said. “It really helps us understand and solve complexities.”

Johansson and Ekström note much greater transparency. They also see team members across business and IT groups being more engaged, committed, knowledgeable, and involved in prioritization.

“Everyone knows what’s important and can come together around those values,” Ekström said. “Increased cooperation and involvement increase job satisfaction for me personally and for colleagues on all levels.”

Faster Starts, Faster Completions

Since adopting SAFe, the bank has seen average process time for developing features improve by 30%. When the pandemic hit, that speed allowed the bank to reorganize rapidly to adapt the bank’s own way of working to become digital on a completely different scale. The bank was also prepared to quickly introduce new government requirements, such as temporary amortization freedom on mortgages. Two ARTs shifted rapidly to develop these functionalities.

“We definitely know our time to market is much shorter,” Johansson said. “And when we want to start something, we can start it almost right away.”

On ART self-assessments , scores across every area of PI planning have steadily improved with each Program Interval. Over two years, portfolio alignment and continuous delivery increased by more than 50% while core execution on PI Planning areas improved by 10-20%.

Just as critical are benefits such as reduced risk by completing smaller iterations, which allow teams to learn and adjust. After proving them out with minimal effort, then the bank can move forward on major initiatives.

Handelsbanken has achieved all this in a relatively short time and looks forward to extending SAFe to more teams, trains and to the surrounding system. 

“Everyone understands it is a journey to transform such a large organization into a Lean-Agile way of working and thinking to achieve real value,” Grönberg said. “But already, we are well on our way to enhancing our development operation even further, without having to reinvent ways of working and role descriptions. And the time saved can be put to better use, creating customer value.” 

“In the LACE, we now humbly see that we have a journey ahead to mature, improve, and accelerate the delivery of value—with the shortest possible sustainable lead time—step-by-step together with our talented colleagues in and around the development organization,” Grönberg added.

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Deutsche Telekom: Mission Possible – Story of a Successful SAFe Journey

The Ongoing Story of SAFe at a Major European Telco

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Deutsche Telekom is one of the world’s leading integrated telecommunications companies, with some 242 million mobile customers, 27 million fixed-network lines, and 22 million broadband lines.

Deutsche Telekom IT has moved from 0 to 130 ARTs in less than three years. Now a new phase is beginning. Here, alignment, consolidation, and relentless improvement take center stage. In this session, Agile coaches Richard Butler and Manfred Becking take you on this SAFe journey of highs and lows, what helped or hindered them, and what they learned along the way. Topics include:

  • The results to date around collaboration, speed, transparency, and focus
  • Going forward: fusing and consolidating
  • Transformation learnings:
    • Understanding and Cognition
    • Growing realization of things that need to be done
    • Relativity
    • No speed fits all
    • Need for KnowYou can’t travel to the stars SAFely unless you know how It’s a complex and unique universe – things don’t fit together by chance.
    • Mindset – Agile behavior doesn’t just happen
  • Black Holes:
    • Methodology Disconnects
    • “Resilofication” will occur without alignment
    • No Value-Stream, No Agility
    • If it’s not E2E there won’t be smooth flow
    • Inertia – Where the inertia is the highest, so is the gravity
    • Mirage – You might call it SAFe but it doesn’t mean that it is SAFe
    • It’s the Mindset
    • Linear solutions don’t solve dynamically complex problems

Presented at the 2021 Global SAFe Summit, October 2021 by:

  • Manfred Becking, Agile Coach, SAFe Consultant /Deutsche Telekom
  • Richard Butler, Agile Coach, SAFe Consultant /Deutsche Telekom

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Dutch Tax and Customs Administration – Benefits of Implementing SAFe for Government

Dutch Tax and Customs Administration - Implementing SAFe for Government

“We are delivering faster and more predictably than in the past, which has changed many minds and driven a shift in long-ingrained ways of working.”

Mark Braam, IT Manager/RTE, Interaction Services at DTCA

Challenge:

DTCA sought to improve its speed and predictability in bringing new technology to the organization and citizens.

Industry:

Government

Results:

  • Major releases 3X more often
  • 80% reduction in technical debt
  • Half of managers moved into other roles
  • Greater engagement and collaboration across all levels

Best Practices:

  • Go ‘by the book’ – Follow SAFe training and ceremonies closely for the best results.
  • Anticipate organizational change – SAFe facilitated a cultural and organizational shift at DTCA.
  • Give teams freedom – Trust teams and give them space to do their jobs.
  • Shift to product thinking – Product vs. project thinking provides continuity and life cycle management and a more long-term outlook, plus brings more attention to improvement, maintainability, lifecycle management, and cost of ownership.

Introduction

With 26,000 employees, the Dutch Tax and Customs Administration (DTCA) is one of the largest government agencies in the Netherlands, and is responsible for collecting taxes and customs, and extending tax credits and benefits to Dutch residents.

Implementing SAFe for Government

DTCA relies on technology to sharpen productivity and simplify online tax and customs procedures. Yet in this process-oriented and risk-averse culture, technology evolves slowly. Initiatives have typically begun with piles of paperwork and then have taken months or years to reach completion, often to suffer from frustrating quality issues.

To address its ongoing challenges, DTCA began moving toward a Lean approach and also started applying Scrum practices. These first steps toward an Agile way of working did help but were not enough to achieve goals such as improving delivery times and elevating quality.

SAFe: A Path to Delivering Value

In the Scaled Agile Framework® (SAFe®), DTCA found a method for achieving agility at scale—and long-sought results.

“To deliver more value, we knew that projects and teams needed to be aligned more effectively, and we believed the shift to SAFe would help us get there,” explained Mark Braam, IT Manager/RTE, Interaction Services at DTCA.

The Tax Allowances division, which handles tax credits and benefits for health care, rent, and childcare, began first. Per the SAFe Implementation Roadmap, they provided role-based training to virtually all Agile Release Train (ART) members, relying on an independent Certified SAFe Program Consultant (SPC) for training and coaching.

Early on, managers and team members sceptically viewed the effort and the time they would need to dedicate to training and planning events. Ultimately, they had to trust that pulling 140 people into an event for two days every 12 weeks would pay off in the end—and it did. The first ART began delivering business value during the first PI.

“Before SAFe, we released our software twice a year, with all the fixed requirements and the changes on these requirements during the development phase,” recalled Ramzi Barkoudah, Release Train Engineer (RTE) of the Tax Allowances ART. “But now we are releasing every four weeks. Seeing those benefits helped gain the support of the business and the leadership of the company.”

As one example, every year, tax allowances, which have been granted in advance, are calculated and extended based upon the determined annual income of each citizen. This massive process involves allowances for millions of citizens. In the past, DTCA could implement changes in this process only once or twice a year. With a major investment in the delivery pipeline and improving the delivery process by implementing SAFe, the organization now makes changes to the process in small batches, releasing changes every four weeks.

Progress in the Tax Allowances ART inspired the Interaction Services division to make the leap as well. Going ‘by the book,’ they asked everyone joining the first ART to go through role-based training, approximately 140 people.

When it was time for the first Program Increment (PI) Planning event, team members arrived excited and optimistic. They quickly saw the impact the Framework brought as the number of risks on the Program Board grew to 100. Identifying those risks allowed teams to resolve them together, one by one, and to categorize each before moving on to set PI objectives.

IT/Business Collaboration = More On-Target Products

In a culture of such ingrained practices, DTCA has had to educate team members and Product Owners continuously on the value of spending time in PI Planning, and to prove that SAFe delivers better results than traditional project management.

Siebren Biesma, Process Director for Supervision in Interaction Services, has spent nearly 35 years at DTCA. With SAFe, he has seen new ways of working replace long-held practices.

Before, Biesma’s team would spend months writing plans for projects with occasional interaction with him. Then, IT teams would go away to work on the project—often for at least a year.

Today, Biesma remains engaged from the start. “With SAFe, as a Business Owner, I’m always participating,” he explained. “The RTE asks a number of questions and I need to explain loudly and clearly what I want. It forces me to be prepared and prioritize what’s most important.”

Biesma stresses that relentless involvement, from PI to PI, not only creates a more on-target product, but builds in flexibility to make adjustments along the way. Product Ownership continuously informs the development process—ensuring that the final product meets their needs and that funds are allocated in the right areas. While budgeting itself hasn’t changed, transparency regarding the budget has.

Implementing SAFe for Government

“In PI planning events, I get a better understanding how much we’re spending and if it’s on the right things,” Biesma added.

Biesma and fellow decades-long colleagues have noticed a significant cultural shift; they clearly know who is doing what, and collaborate and discuss more than before. Such collaboration has led to tighter alignment between the business and IT, which Willy Rovers, Managing Director of IT, says is one of the biggest benefits of SAFe use in government organisations.

“To maintain optimal alignment with societal and market changes, the Dutch Tax and Customs Administration’s processes must be continuously and short-cyclically adjusted,” Rovers said. “Business and IT use SAFe to be able to realize and implement the required IT facilities quickly and predictably.”

Braam gives credit to the teams for self-organizing, increasing their engagement. Train leaders asked 100 people to assign themselves to one of the teams, with each team comprising seven to nine people. They provided guidelines around the composition of each team, such as the ratio of junior to senior people.

“We stepped aside and let people self-organize instead of management telling them where to go,” Braam said. “After a week, we only had to ask about 10 people to move to other teams. It was quite a victory for us.”

Technical Debt Down 80 Percent

DTCA continues to run two large ARTs (125+), with four Value Streams (one in Tax Allowances and three in Interaction Services). In fact, DTCA follows a hybrid way of working where every department can choose either SAFe or a more ‘traditional’ project management-oriented way of working, depending on what fits best. The organization has driven notable results across the two ARTs and within a few smaller ARTs:

  • More frequent releases – Major releases come out 3X more often, from 4 to 12 in a year.
  • Improved software quality/technical debt – DTCA improved quality by reducing the number of ‘problems’ by 80 percent, and security issues by 87 percent (Interaction Services).
  • Less management overhead – The number of people with the word ‘manager’ in their titles dropped in half. These individuals moved into other roles.
  • Increased engagement – People are more engaged, connected with each other, and willing to help others.

“We are delivering faster and more predictably than in the past, which has changed many minds and driven a culture shift in long-ingrained ways of working,” Braam said. “And we expect even more progress as we move ahead on current objectives such as continuous deployment and release on demand.”

Training At-a-Glance

The organization trained more than 250 people across multiple SAFe courses:

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Deutsche Bahn – Lean-Agile Transformation Story

Agile Planning for Transportation

“For Deutsche Bahn Digital Sales, SAFe is the framework for the strategic digitalization program … With it, we are delivering faster and more effectively on our objectives, which drives our ability to compete in the digital age.”

Matthias Opitz, Senior Program Manager, DB Vertrieb, Deutsche Bahn

Challenge:

After privatizing the company, Deutsche Bahn faced new market forces, along with increasing competition from new transportation players.

Industry:

Transportation

Results:

  • Lead time dropped from 12 months to 3-4 months
  • Coverage of test automation improved from 30% or less to 80-90%
  • Greater collaboration among teams and better results have raised employees’ satisfaction levels

Best Practices:

  • Start ASAP – Begin, even if imperfectly. “It’s more important to give people a chance to work in this environment than to wait until everyone is trained,” said Thorsten Janning, SAFe Fellow, of KEGON.
  • Train extensively – That said, train management and teams as much as possible before the first PI Planning event.
  • Get expert help – DB worked with Scaled Agile Partner, KEGON, from the start and continues to do so for the support and experienced guidance a partner can bring. Progress is a continuous process of asking questions, which a partner can help answer.

The partner that made it happen:


Introduction

In recent years, Deutsche Bahn (DB)—one of Europe’s largest railway operators—has faced unprecedented change. In 1994, the two railways of East and West Germany merged after the country’s reunification. While the company was adjusting to the Lean-agile transition, it was also contending with rising costs and greater competition than ever before from other railway operators, long-distance bus services and new, fast-acting players providing ride services and car-sharing.

Agile Planning for Transportation

Within this challenging environment, in 2014 DB embarked on a digital transformation to modernize the way their business units operate, from cargo transport to passenger ticket sales. It was up to each business unit to decide on a path forward to meet those goals.

Initially, the business units implemented Lean-Agile practices at the team level, on a small scope. Yet as they began trying to deliver on objectives, they fell short of targets—especially on larger solutions. The company struggled with lengthy decision cycles; fragmented responsibility; constant design, coordination and estimation; changing requirements; and many, many dependencies.

“In nearly every business unit, the transformation projects struggled to deliver large solutions,” said Matthias Opitz, Senior Program Manager, DB Vertrieb. “We were going around in circles analyzing, and the processes were so complex that the organization was not able to deliver simple minimum viable products.”

It was clear the effort would require a considerable overhaul of its long-established ways of working.

Full-Speed Ahead in DB Cargo

The company looked for a Lean-Agile methodology capable of handling its complex environment on a larger scale and found it in the Scaled Agile Framework® (SAFe®).

Within each segment of the company, at least one business unit rolled SAFe out as part of the digital transformation initiative:

  • DB Cargo: Freight transportation and Logistics
  • DB Netze: Infrastructure/rail network
  • DB Vertrieb: Passenger transport

“For Deutsche Bahn Digital Sales, SAFe is the framework for the strategic digitalization program,” Opitz said. “It brought a continuous delivery process that keeps us on track toward our objectives.”

DB Vertrieb started its Lean-Agile transformation in 2015, when the business unit established an effort named ‘KAI‘ (an acronym for the German words meaning customer centricity, agility, and innovation), which stressed five attributes:

  • Customer excitement over optimization of profits
  • Iteration over perfection
  • Participation over hierarchy and silos
  • Trust and personal responsibility over top-down
  • Active participation instead of business as usual

To ease the transition, the company engaged Scaled Agile Partner KEGON as its primary provider for training and coaching. With KEGON, the DB companies began comprehensive training to prepare everyone who would be joining an Agile Release Train (ART), a team of teams in the Framework.

Lean-Agile leaders at DB Cargo and DB Vertrieb took the Leading SAFe® course, with others taking role-based training such as SAFe® Scrum Master, SAFe® for Teams, and SAFe® Product Owner/Product Manager. At least nine change agents at DB business units also earned SAFe® Program Consultant (SPC) certification in order to teach their colleagues. DB saw training as essential for helping people through the inevitable challenges that would come up, including resistance.

“Training was very important for giving us confidence and answers to questions that came up,” Opitz said. “Because we trained all participants, training also helped open discussions and convince skeptical people that this was the right way to go.”

Delivering on All Commitments

DB Cargo was the first division within the company to kick off the first ART with a Program Increment (PI) planning event. Managers of the other business units attended only to observe.

In that meeting, they accomplished several of their top objectives:

  • Clarified an incremental release strategy
  • Identified business epics regarding end-to-end processes
  • Prioritized business epics with weighted shortest job first (WSJF)
  • Analyzed business epics and identified features
  • Figured out dependencies and planned teams’ work for the coming PI
Agile Planning for Transportation

SAFe practices such as the Program Board gave participants clear insight, for the first time, into the company’s numerous dependencies. With that visual aid, they realized that changes to peripheral systems would affect the critical path of the initiative, allowing teams to coordinate appropriately.

As the PI got underway, leaders and team members alike hit challenges with breaking old habits. The governance and budgeting structures remained in a waterfall construct early on, but began to move toward Lean budgeting as DB Vertrieb kicked off PIs in 2017.

To bridge this gap, Opitz stresses that the business units had to ensure that SAFe and the new approach extended to the broader organization, beyond IT. Therefore, DB Vertrieb decided to establish a ‘Target Operating Model’ (TOM) for the business unit and to perform the transformation activities in a dedicated ART. Shared services departments such as HR, controlling, communication, training
and support, and marketing were brought into the fold.

Any doubt or resistance soon faded away as teams delivered perfectly on target for their first PI. “At first, everyone looked at the committed backlog and said, ‘It’s too much,’” Opitz said. “But by the end of this first PI, we had delivered almost everything, which was a surprise to everyone.”

With SAFe, DB Vertrieb finally implemented a process by which to plan requirements, prioritize, and synchronize the various programs, and to break down the requirements and epics into features and stories. Additionally, automated epic and feature reporting brought critical transparency regarding implementation status.

“Just a year ago, it was a big challenge to do specifications,” Opitz said. “Now we have a process that makes it happen.”

Steps to Success

A number of steps and factors contributed to DB Vertrieb’s SAFe transformation. For one, DB leveraged Agile metrics to manage Portfolios and ARTs, and to help secure funding for them. In turn, management supported the effort by funding standing teams. They also invested in co-located and synchronous PI planning events for all ARTs in 2019.

Agile Planning for Transportation

The company performed a Value Stream analysis, which resulted in four Value Streams covering vertical products and horizontal services.

Toward continuous improvement of testing, teams performed system tests and implemented integrated development test servers.

Starting at the Portfolio level, they switched from a traditional requirements specification process to Agile requirements engineering.

DB Vertrieb found that self-organized teams were empowered to make decisions. In one case, a team detected an incorrect architectural decision when communicating with a stakeholder.

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