Why Failing Fast Can Help Your Business to Succeed

Failing fast is probably the last thing you would want to do. As human beings, we are terrified of making mistakes and losing the game. 

Fail-fast is a philosophy known to entrepreneurs, especially those who are in the software industry. It is also often associated with widely used product development methods (ever heard of Agile, Waterfall, or Lean?)

To fail-fast is to test all the possible approaches and solutions when developing new products or services with less financial risk. As a result, you can avoid the possibility of a larger failure after investing all your time, energy, and money on one project.

But many people are afraid to pursue the fail-fast concept. This could be due to the “sunk cost bias”. In business and economics, sunk cost refers to “any cost that has been paid and cannot be recovered” regardless of the outcome in the future. 

The sunk cost bias is a person’s tendency to continue investing in a losing proposition because of what it has already cost him.  “People may give in to the sunk cost bias because they value their hard work or they don’t want to be wasteful,” says Professor David Jarmolowicz of the University of Kansas in Lawrence. The goal of fail-fast philosophy is to avoid this mindset. 

Fail-fast is not just a philosophy but also a sound methodology that can drive great transformation to your business. And here’s why. 

Pivoting 

Pivoting is common in the world of start-ups. This occurs when a company decides to make a significant change to their business strategy or model because their product is not meeting the needs and requirements of their target buyers. The change is not always drastic, other times it can be mild such as focusing on a new set of target customers or changing the platform (for instance, from app to software or the other way around). That being said, pivoting is still not an easy move for some entrepreneurs. 

People who can’t accept their mistakes and failures may find it hard to swallow the truth – that their business has failed. Negative emotions and pride can get in the way. And instead of pivoting to Plan B, they become depressed and unable to move on to the next action plan.

According to the CB insights’ Top 20 Reasons Startups Fail, the primary reason start-ups don’t succeed is due to the fact that there is no market for their product! In the competitive world of business, whether you are a start-up or not, time is very valuable. The sooner the company realises their failure, the less time, money and effort wasted. 

Failing faster also prompts After-Action Reviews (AAR), allowing people to determine right away what happened and why. This helps the company to address the problem immediately before they realise it’s too late for the big shift. 

Advanced Methodology

Even though it is already 2019, many companies are still using the traditional approach or the “waterfall” project management method. Waterfall is a linear-sequential life cycle model, which consists of several discrete phases and requires you to complete each stage of the model before proceeding to the next phase. 

The Waterfall model is a simple, straight-forward approach. However, because each stage is terminal and dependent on the previous stage, you cannot proceed to the next stage unless the previous one has been successfully completed. In addition, the time of release for large projects is exceptionally lengthy and making changes during product testing can be a real headache, both in time and money. 

Agile method, on the other hand, is iterative, which means the project is done in pieces or “sprints”. These small steps are an ongoing process, allowing constant communication and feedback between developers, testers and customers. The client and the team know exactly what’s been happening in each iteration; Thus, the method reduces risks in the development process.  

The first principle of Agile Manifesto states:

Our highest priority is to satisfy the customer through early and continuous delivery of valuable software.

Therefore, if the company discovers quickly that their customers are not happy with their product they can use that feedback and make quick changes to address the possible problem.  The earlier errors are detected, the faster they are to fix and the lesser the cost of failures will be.

Lean Start-up

Just like Agile, the Lean Start-up is another method that moves away from the traditional approach. Lean was first introduced by Silicon Valley entrepreneur Eric Ries in 2008. His book The Lean Startup: How Today’s Entrepreneurs Use Continuous Innovation to Create Radically Successful Business is a perfect source to learn all about the Lean Start-up method and its philosophy. 

But how does Lean differ from traditional methods? Traditionally, entrepreneurs are used to creating multi-year business plans and spending a lot of time and money to build products without ever knowing if those products can really meet the customers’ needs and solve their problems. With Lean Start-up, the goal is to launch a simple version of the product (also known as the minimum viable products or MVPs), market this product, evaluate customers’ feedback and adjust the product based on the customers’ feedback (pivoting). 

As you consider building your own minimum viable product, let this simple rule suffice: remove any feature, process, or effort that does not contribute directly to the learning you seek.” (excerpt from Lean Start-up book by Eric Ries)

The method of Lean Start-up can help you determine whether to improve your product and identify your customers’ expectations. By testing and getting customer feedback, it can help you save time and money throughout the process of developing your product. Aside from this, it can help you build customer loyalty in the future, which is essential for the success of your business. 

 

If you cannot fail, you cannot learn. — Eric Ries

Fail-fast is not about focusing on failures but to look at failure differently. Treat your failure as a great opportunity to improve your customer satisfaction and build superior innovations. The goal here is not merely to fail but to fail faster so you can also rise and succeed faster. 

Interested to learn more about how Fail-fast philosophy can help your company? Hear it from our Agile experts at Life Intelligence Group. For more information, visit our website: https://www.lifeintelligencegroup.com.

The History of Agile Methods and Innovations

In the early 1900s, IT experts could take dozens of years to develop a software computer. Then came Agile, and the world of Information Technology became a much, much better place.   

The implementation of Agile methodologies has then revolutionised the way software developers and industry leaders design and build products for their clients. Unlike traditional methods, Agile makes the development process faster and easier, and of course less frustrating than before. 

Image from Pexel

But did you know that the origin of Agile started outside of IT? In this brief but detailed history of Agile innovation, we will get to know more about the pioneers of Agile methodologies, the practices that yield a foundation for this approach and how Agile Manifesto was created. 

Are you ready to travel back in time and discover the long yet colourful heritage of Agile? Here we go. 

1930s: The “Plan-Do-Study-Act” Cycle

In the 1930s, the physicist and statistician Walter Shewhart of Bell Telephone Laboratories proposed a series of short Plan-Do-Study-Act (PDSA) cycles. PDSA is an iterative and incremental-development methodology and involves a four-stage problem-solving model which is used to improve a process or execute change. 

The iterative and incremental-development methodology are key practices in Agile. This approach works by breaking projects into pieces instead of delivering them all at once near the completion. It uses user stories and prioritising them continuously, usually a one or two-week cycle called iterations or sprints. 

Shewart shared PDSA methodology to his mentee, W. Edwards Deming. Deming used PDSA extensively in Japan and was hired to train several Toyota managers. His expertise in the PDSA cycle leads the company to develop the famous Toyota Production System (TPS), which is known as the primary source of “lean” thinking that many organisations are still using up to this day.   

Deming published the PDSA cycle in The New Economics in 1993. He also renamed it the “Deming Cycle”. Each stage of the Plan-Do-Study-Act cycle comprises the following actions:

   Plan – plan a change or a test, aimed at improvement

   Do – carry out the change or the test (preferably on a small scale)

   Study – study the results. What did we learn? What went wrong?

   Act – adopt the change or abandon it, or run through the cycle again

The incremental and iterative development methodologies were also used to create the X-15 hypersonic jet in the 1950s.

1960’s: Evolutionary Project Management 

Evo, short for Evolutionary Value Delivery, was considered by many Agile experts as the “original” agile method. Tom Gilbs originally used it as a project management method back in the 1960s, both personally and through clients. Evo focuses on “delivering measurable multiple value requirements to stakeholders” and recommends two-week iterations that focus on the delivery of product each iteration.  

The principles of Evo, which are detailed in the Systems Engineering Conference paper, are as follows:

E1: Decompose by performance results and stakeholders;

E2: Do high-risk steps early, learn how ‘unknowns’ really perform;

E3: Focus on improving your most valuable performance objectives first;

E4: Base your early evolution on existing systems and stakeholders;

E5: Design to cost dynamically;

E6: Design to performance dynamically;

E7: Invest in an open-ended architecture early on;

E8: Motivate your team by rewarding results;

E9: Prioritize changes by value, not place in queue;

E10: Learn fast, change fast, adapt to reality fast.

1986: The New New Product Development Game

In January 1986, Hirotaka Takeuchi and Ikujiro Nonaka, both University professors, published an article in Harvard Business Review called The New New Product Development Game. In their article, they discussed the analogy of rugby game as a new way of developing produpcts and delivering projects. 

Instead of following the traditional “relay race” approach, where one group passes its completed phase to the next group of functional specialists, they proposed moving towards the team-oriented “rugby” approach. According to Takeuchi and Nonaka, the rugby approach is “where a team tries to go the whole distance as a unit, passing the ball back and forth.” The rugby approach is a holistic method that focuses on six characteristics:

  • built-in instability
  • self-organising project teams
  • overlapping development phases
  • multi-learning
  • subtle control
  • organisational transfer of learning 

Scrum, a popular and widely used agile framework, is inspired by this approach

Image from Pexel

1990s: The Emergence of Various Agile Methodologies 

The 1990s marked the proliferation of various Agile methodologies such as Crystal Framework, Scrum, Dynamic System Development Method (DSDM), and Extreme Programming (XP). 

Crystal Framework in 1992 – created by Allistair Cockburn, the Crystal Framework focuses on people and their interactions rather than processes and tools. Cockburn defines Crystal as “a family of human-powered, adaptive, ultra-light, ‘stretch-to-fit’ software development methodologies.” He believed that when working with a project, skills, teamwork, and communication have the biggest impact on the outcome of the project. 

Scrum in 1993 – Inspired by Takeuchi and Nonaka’s rugby approach, Jeff Sutherland created a new way of developing software and called his method “Scrum”. Using Scrum methods, Sutherland could finish his projects on time with fewer issues than any previous release. In 1995, Sutherland and his colleague Ken Schwaber officially presented the Scrum method to the public. 

Dynamic System Development Method (DSDM) in 1994 –  known as the predecessor of the agile project management, DSDM is an agile methodology that uses an iterative approach to software development. It is largely based on the methodology of Rapid Application Development (RAD) and is built on four principles: (1) feasibility and business study, (2) functional model and prototype iteration, (3) design and build iteration, (4) implementation. 

Extreme Programming in 1999 – Extreme Programming or XP is an agile project management methodology created by Kent Beck, the Lead Software Engineer at Chrysler Comprehensive Compensation System (C3). XP is considered as one of the most popular agile methods because of its proven success at many companies and its focus on customer satisfaction as well as an emphasis on teamwork. XP also uses a very simple set of rules that are based on sound values and principles: planning, managing, designing, coding, and testing.  

Image from Pexel

2001: The Gathering in Utah and the Agile Manifesto 

The creation of Agile Manifesto had its own interesting backstory before it became the most popular software development manifesto we have known today. It all started when seventeen developers, which includes Alistair Cockburn, Jeff Sutherland, Ken Schwaber, and Kent Beck, met and gathered in Snowbird, Utah, for a three-day retreat. 

The working session had two main objectives:

  • Each person will present to the group his lightweight method approach to building software
  • Discuss the surge of heavyweight methods and how to address them

A lot of things happened during the working session, and one of these was the decision to change the “lightweight” terminology with “agile”, which was suggested by one of the attendees who read the book “Agile Competitors and Virtual Organizations: Strategies for Enriching the Customer”.  In full agreement, the term “Agile” became the new name for the movement, and then the Agile Manifesto was written with the following four key values:

  • Individuals and interactions over processes and tools
  • Working software over comprehensive documentation
  • Customer collaboration over contract negotiation
  • Responding to change over following a plan

At the core, I believe Agile Methodologists are really about “mushy” stuff—about delivering good products to customers by operating in an environment that does more than talk about “people as our most important asset” but actually “acts” as if people were the most important, and lose the word ”asset”. So in the final analysis, the meteoric rise of interest in—and sometimes tremendous criticism of—Agile Methodologies is about the mushy stuff of values and culture.”, (excerpt from the history of the Agile Manifesto.)

2011: Scaled Agile Framework

The Scaled Agile Framework methodology (or SAFe for short) is created by Dean Leffingwell, the Chief Methodologist at Scaled Agile Inc. and the author of the best selling book Agile Software Requirements. SAFe is developed for teams and large organisations to help them become flexible and manage the challenges they have when practising agile; thus it is built on three pillars: 

  • Team
  • Program
  • Portfolio

The latest version SAFe 4.6, which was released last October 2018, introduces the Five Competencies for Lean Enterprises: Lean-Agile Leadership, Team and Technical Agility, DevOps and Release on Demand, Business Solutions and Lean Systems Engineering, and Lean Portfolio Management. Up to this day, SAFe is still one of the most popular agile frameworks and prides itself as the world’s leading framework for scaling Agile across the enterprise.

The business changes. The technology changes. The team changes. The team members change. The problem isn’t change, per se, because change is going to happen; the problem, rather, is the inability to cope with change when it comes.— Kent Beck

Today, Agile is still one of the best methodologies used by many organisations, including Fortune 500 companies. Agile is not only a framework that consists of Scrum, Kanban, and XP, but foremost it is also a mindset that can be learned through coaching, mentoring or using an agile productivity tool.  At Life Intelligence Group, our products and services are grounded in the principles of Agile. We believe that being agile not only starts in the workplace; it can also start at home. And it starts by changing our old habits, having a growth mindset and sticking to our goals until we achieve them. 

Transitioning to Agile? We’ve got you covered! Our Agile experts at Life Intelligence Group can train your company and employees in the Scaled Agile Framework for a smooth and successful transition. Our courses also help you to apply Agile practices at home and build an Agile Mindset for a more productive, stress-free life. To learn more, please visit our website: https://lifeintelligencegroup.com/

Why You Need to Develop an Agile Mindset

Do you agree that your mindset has something to do with your failures and achievements in life?

For us here at Life Intelligence Group, we strongly believe that success starts with a positive, Agile mind.

Our mindset is so powerful that it can either make or break our life ahead.  

Peter Diamandis, an Engineer, physician and entrepreneur,  once said:

“Your mindset matters. It affects everything – from the business and investment decisions you make, to the way you raise your children, to your stress levels and overall well-being.”

We couldn’t agree more.

If you ever wondered how an Agile Mindset can transform you, here are some of the most important things you need to know.

What is Agile – Simplified

What exactly is Agile and Agile Mindset?

For some people, Agile is somewhat a familiar word but a complex one to describe and to explain. If you’re only starting to understand what Agile is all about, you have come to the right place. In a simpler explanation, Agile means:

  • A mindset, approach, and philosophy of what and how we think
  • Better social interaction and stronger team collaboration
  • Superior task and time management
  • Transparency and clearness of plans, goals, and outcomes
  • A balanced and stress-free life
  • Organised thoughts and systematic planning
  • Continuous self-reflection and improvement on the things you do

With an agile mind, you can:

  • Be stress-free and effective at work
  • Strengthen your relationship with your friends and family
  • Build a realistic and effective timeline for your goals
  • Improve your focus, awareness, and mindfulness
  • Do things that matter most for yourself and your stakeholders
  • Build a lasting relationship with your customers and stakeholders
  • Fulfill your commitments and aim for more successful outcomes
  • Find purpose in your life and be more passionate about working and collaborating
  • Feel a sense of accomplishment because you’re confident that you are working on what matters more for you

The Benefits of Adopting Agile Methodology

agile mindset benefits

Statistics don’t lie.

Integrating Agile principles into your personal and professional life today leads to amazing results:

69% – Accelerated product delivery

61% – Enhanced ability to manage changing priorities

53% – Increased productivity

42% – Improved business/IT alignment

37% – Reduced project risk

We believe that when it comes to success, you need more than just a positive mind.

You also need to be Agile!

But who needs to adopt this type of thinking anyway?

Our answer: everyone! Yourself, your loved ones, your staff, your employees, your team!

Any person who has plans and aims to be successful in life must shift their mindset and start embracing the principles of Agile.

Why Choose Life Intelligence Group for your Agile Journey?

At Life Intelligence Group, we help you build a powerful mindset through organising your thoughts, finding your awareness, setting your lifetime goals, and improving your overall thinking.

How? By helping you build a strong and enduring Agile Mindset.

If you want to adopt the Agile methodologies, start with us. Here are some reasons why:

  • Our developers and consultants are Agile people to the core. We believe that if we’re not agile ourselves, we cannot bring a life-changing impact to you – our users and clients.
  • We highly value your time, money and effort. Thus, we guarantee that your partnership with us is worth your trust and investment.
  • We provide state of the art products and services that are strongly grounded in the philosophy and principles of Agile methodology:
    • TaskSpur – a smart, easy-to-use time management tool
    • ARI – our fun Intelligent Assistant
    • Agile Coaching Services – Agile mentoring and certifications

Agile Mind is the Key

Life Intelligence Group has been helping individuals and companies in harnessing their Agile Mindset to improve their stress-management, personality development, teamwork and collaboration, strategic thinking and leadership abilities.

Our Agile mindset is evident in the products and services we offer.  Discover our Agile tools and services, and be one of our happy, successful clients today! Visit https://www.lifeintelligencegroup.com/ to learn more. 

The power is in your hands to make impossible things possible.

Be Agile. Live Agile.