Experiences and insights from an ongoing Lean/Agile transformation journey in a large product development unit in Ericsson where the key element has been collaboration around principles & mindset, flow efficiency and continuous innovation. Here's a video recording: https://dreambroker.com/channel/yqevbxrg/943xup6b and a write-up: https://medium.com/@erik_schon/the-mental-leaps-more-faster-better-happier-more-innovative-df6ca5ca53e7

1. The Mental Leaps
@ Ericsson
@erik_schon
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.
Spark for Change
May 22, 2017 @ Södertälje
How a Focus on
Needs, Principles
and Mindset
Gives Results

2. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 2
The Mental Leaps
at Ericsson
Methods &
Tools
Resource
Efficiency
Scattered
Experiences
Principles &
Mindset
Flow
Efficiency
Continuous
Innovation
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

3. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 3
ERIK SCHÖN
@erik_schon
Co-creator of conditions
where people, teams
and organizations
grow @ericsson
SERVING ~400 people in
Product Development Group Radio Base Stations
Business Unit Network Products
Ericsson in Stockholm, Sweden
Proud member
of the FlowFans
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

4. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 4
Ericsson 3G:
Facts & Figures
>40% Of all mobile traffic
in Ericsson networks
10R&D sites
1 800 people
Ericsson’s Vision: A Networked Society where every person
and every industry is empowered to reach their full potential
#1 Mobile
networks
~100Teams
1B€ software
sales

5. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 5

6. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 6

7. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 7

8. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 8
The Mental Leaps
at Ericsson
Methods &
Tools
Resource
Efficiency
Scattered
Experiences
Principles &
Mindset
Flow
Efficiency
Continuous
Innovation
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

9. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 9
Flow
Visualization
Continuous
Learning
Initial focus on
needs and direction
Inspiration from
Thought Leaders
Culture of thinking
for ourselves
Continuous
Integration
Kanban
Scrum
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

10. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 10
Principles & Mindset:
Point to the destination
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

11. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 11
75% fully ENGAGED
2x FASTER time-to-market to
be more responsive
4x MORE value to
exceed customers’ expectations
10x BETTER quality to
secure trust

12. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 12
Principles & Mindset:
From large batches …
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13. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 13
Principles & Mindset:
… to Small batches
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

14. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 14
Try: Improvements as
Small experiments
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

15. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 15
Principles & Mindset: From
local Sub-optimization …
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

16. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 16
Principles & Mindset:
… to global awareness
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

17. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 17
Try: End-to-enD
Visualization room
Requirement
Area
Swimlane
Process
Step
Column Feature
Blocked
Feature
Meeting
Checklist
Priority
Order
See the status of 100+ features
in development at a glance

18. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 18 Source: Ahmed Sidky & the Learning Consortium
Principles & Mindset
over practices

19. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 19
The Mental Leaps
at Ericsson
Methods &
Tools
Resource
Efficiency
Scattered
Experiences
Principles &
Mindset
Flow
Efficiency
Continuous
Innovation
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

20. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 20
As long as
I’m busy …
What can I
start next?
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

21. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 21
Flow Efficiency
Resource
Efficiency
Low High
Low
High
Niklas Modig
Stockholm School of Economics
@LeanOnMyself
Inspiration: What is Lean?
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

22. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 22
Flow Efficiency
Resource
Efficiency
Low High
Low
High
Inspiration: What is Lean?
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

23. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 23
Flow Efficiency
Resource
Efficiency
Low High
Low
High
Prioritize continuous learning
Prioritize flow efficiency
Inspiration: What is Lean?
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

24. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 24
Flow efficiency:
In product & Process
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

25. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 25
Flow and queues in
traffic …
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

26. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 26
Don Reinertsen
@DReinertsen
“Ericsson: you already know this,
you use it in your products
every day!”
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.
Inspiration:

27. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 27
Try: Story-Telling around
flow in product & Process
Arrival Departure
Radio
Network
Controller
Radio
Base
Station
Admission
Control
Congestion
Control
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

28. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 28
Try: Use different
Leverage points to improve
Reference: Donella Meadows: Leverage Points - Places to Intervene in a System
Measurements
Paradigm
Mindset
PrinciplesPurpose
MissionStructures
Processes

29. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 29
The Mental Leaps
at Ericsson
Methods &
Tools
Resource
Efficiency
Scattered
Experiences
Principles &
Mindset
Flow
Efficiency
Continuous
Innovation
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

30. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 30

31. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 31

32. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 32
Try: Plan for innovation
Time
Capability 100% capability
Planning with less than full utilization
creates environment for innovation
Capability at 70%
planned utilization

33. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 33
Try: Continuous Innovation
towards the vision
Small experiments
towards next CHALLENGE

34. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 34
TRY: !nnovation Operating
System (!OS)
BEHAVIORS CAPABILITIES
PROCESSESSTRUCTURES
VALUE
FROM IDEAS
Products, Services,
Ways of Working,
Business Models, …
MAKE ROOM!
for innovation incl creation – time & budget
ELASTIC! from anywhere in the organization
ON THE AGENDA! in mgmt foras and meetings
THINK! holistic: product, market, competitors, process, …
DEFINE! crystal clear line of sight to customers’ needs
TEST! iterative learning loops with customers
ADJUST! turn unexpected results into new experiments
TEAM! cross-skilled and diverse,
empowered by trust, small & focused < 15p
INDIVIDUAL! knowledge & experiences:
Technology: possibilities & limitations
Relations: how to work with customers
Creativity: brainstorming techniques
LEARN! ask questions, understand customer needs
DARE! try new things, listen & act on new ideas
CARE! mgmt attention & expectations
SELL! quantify benefits
Reference: Human System Action Tool – Ericsson AB/Hendrik Esser: Presentation Video

35. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 35
The Mental Leaps
at Ericsson
Methods &
Tools
Resource
Efficiency
Scattered
Experiences
Principles &
Mindset
Flow
Efficiency
Continuous
Innovation
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.

36. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 36
What will
your next
Mental Leap be?

37. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 37
Q&A
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.
Methods &
Tools
Resource
Efficiency
Scattered
Experiences
Principles &
Mindset
Flow
Efficiency
Continuous
Innovation
The Mental Leaps
at Ericsson

38. @erik_schon | @ericsson | Spark for Change @ScaniaGroup | May 22, 2017 | Page 38
Inspiration
Craig Larman & Bas Vodde (2008)
Scaling Lean & Agile Development
Niklas Modig & Per Åhlström (2012)
This is Lean
Donald G. Reinertsen (2009)
The Principles of Product Development Flow
Håkan Forss
Flow Sensei / Plumber
The Learning Consortium
DISCLAIMER: LEGO® is a trademark of the LEGO Group, which does not sponsor, authorize or endorse this presentation.