>>from around the globe. It's the Cube with digital coverage of biz ops Manifesto unveiled Brought to you by Biz Ops Coalition >>Hey, welcome back, everybody. Jeffrey here with the Q. Come to you from our Palo Alto studios today for a big big reveal. We're excited to be here. It's the biz. Opps manifesto, unveiling things been in the works for a while and we're excited. Have our next guest one of the really the powers behind this whole effort. And he's joining us from Boston. It's surge Lucio, the vice president and general manager Enterprise software division that Broadcom Serge, Great to see you. >>Good to see. Oh, absolutely. So you've been >>in this business for a very long time? You've seen a lot of changes in technology. What is the biz Ops manifesto? What is this coalition all about? Why do we need this today in in 2020? >>Yeah, so? So I've been in this business for close to 25 years, writes about 25 years ago, the agile manifesto was created, and the goal of the actual manifesto was was really to address the uncertainty around software development and the inability to predict the effort to build software. And if you if you roll that kind of 20 years later and if you look at the current state of the industry, the Product Project Management Institute estimates that we're wasting about a million dollars every 20 seconds in digital transformation initiatives that do not deliver on business results. In fact, we we recently served, uh, the number of executives in partnership with Harvard Business Review and 77% off. Those executives think that one of the key challenges that they have is really at the collaboration between business and I t. And that that's been kind of a case for almost 20 years now. Eso the key challenge we're faced with is really that we need a new approach. And many of the players in the industry, including ourselves, have been using different terms. Right? Some are. We are talking about value stream management. Some are talking about software delivery management. If you look at the site reliability engineering movement, in many ways it embodies a lot of this kind of concepts and principles. So we believe that it became really imperative for us to crystallize around kind of one concept and so In many ways, the Bezos concept and the bazaars manifesto are out, bringing together a number of ideas which have been emerging in the last five years or so and defining the key values and principles to finally helped these organizations truly transform and become digital businesses. And so the hope is that by joining our forces and defining kind of key principles and values, we can help kind of the industry not just by, you know, providing them with support, but also tools and consulting that is required for them to truly achieve that kind of transformation, that everybody's >>right, right? So co vid Now we're six months into it, approximately seven months into it. Um, a lot of pain, a lot of bad stuff still happening. We've got a ways to go. But one of the things that on the positive side, right and you've seen all the memes and social media is a driver of digital transformation and a driver of change. Because we have this light switch moment in the middle of March and there was no more planning, there was no more conversation. You suddenly got remote. Workforce is everybody's working from home, and you gotta go, right, So the reliance on these tools increases dramatically. But I'm curious, you know, kind of short of the beginnings of this effort and short of kind of covert, which, you know, came along unexpectedly. I mean, what were those inhibitors? Because we've been making software for a very long time. Write the software development community has has adopted kind of rapid change and and iterative delivery and and sprints what was holding back the connection with the business side to make sure that those investments were properly aligned with outcomes. >>Well, so So that you have to understand that I ts is kind of its own silos. And traditionally it has been treated as a cost center within large organizations and not as a value center. And so as a result, kind of the traditional dynamic between the I t. And the business is basically one of a kind of supplier to to kind of a business on. Do you know if you could go back? Thio? I think Elon Musk a few years ago, basically, at these concepts, off the machines to build the machines and you went as far as saying that the machines or the production line is actually the product, so meaning that the core of the innovation is really about building kind of the engine to deliver on the value. And so, in many ways, way have missed on this shift from, um, kind of I t becoming this kind of value center within the enterprises and any told about culture now culture is is the sum total of behaviors and the realities that if you look at the i t, especially in the last decade with the agile with develops with hybrid infrastructures, it's it's way more volatile today than it was 10 years ago. And so the when you start to look at the velocity of the data, the volume of data, the variety of data to analyze kind of the system, um, it's very challenging for I t. To actually even understand and optimize its own processes, let alone to actually include business as kind of an integral part of kind of a delivery chain. And so it's both kind of a combination off culture which is required a za well as tools, right to be able to start to bring together all these data together and then given the volume variety velocity of the data. We have to apply some core technologies which have only really, truly emerging last 5 to 10 years around machine learning and knowledge. And so it's really kind of a combination of those freaks which are coming together today. Truly, organizations get to the next level, >>right? Right. So let's talk about the manifesto. Let's talk about the coalition, the Biz Ops Coalition. I just like that you put down these really simple you know, kind of straightforward core values. You guys have four core values that you're highlighting, you know, business outcomes over individual projects and outputs, trust and collaboration over side load teams and organizations, data driven decisions. What you just talked about, you know, over opinions and judgment on learned, responded Pivot. I mean, surgery sounds like pretty basic stuff, right? I mean, aren't isn't everyone working to these values already? And I think you touched on it on culture, right? Trust and collaboration, data driven decisions. I mean, these air fundamental ways that people must run their business today or the person that's across the street that's doing it is gonna knock him right off the block. >>Yeah, so that's very true. But so I'll mention the novel survey. We need, uh, think about six months ago and twist in partnership with an industry analyst, and we serve it again. The number of 80 executives to understand how many were tracking business outcomes somebody you have, the software executives I T executives were tracking business outcomes, and the there were. Less than 15% of these executives were actually tracking the outcomes of the software delivery. And you see that every day, right? So in my own teams, for instance, we've bean adopting a lot of these core principles in the last year or so, and we've uncovered that 16% of our resource is we're basically aligned around initiatives which were not strategic for us. I take, you know, another example. For instance, one of our customers in the airline industry uncovered, for instance, that a number of that they had software issues that led to people searching for flights and not returning any kind of availability. And yet, you know, the I T teams whether its operations software involvement were completely oblivious to that because they were completely blindsided to it. And so the connectivity between the in words metrics that Turkey is using, whether it's database I, time cycle, time or whatever metric we use in I t are typically completely divorced from the business metrics. And so at its core, it's really about starting to align the business metrics with with the the software delivered change. Right, this, uh, this system, which is really a core differentiator for these organizations. It's about connecting those two things and and starting Thio infuse some of the actual culture and principles. Um, that's emerged from the software side into the business side. Of course, the lien movement and over movements have started to change some of these dynamics on the business side. And and so I think this thesis is the moment where we were starting to see kind of the imperative to transform. Now Cuvee the obviously has been a key driver for that. The the technology is right to start to be able to leave data together and really kind of also the cultural shifts through agile fruit develops through the SRE movement, fueling business transformation. All of these things are coming together and that are really creating kind of conditions. For the Bezos Manifesto to exist. >>So, uh, Clayton Christensen, great hard professor innovator's dilemma might still my all time favorite business books, you know, talks about how difficult it is for in comments to react to to disruptive change, right, because they're always working on incremental change because that's what their customers are asking for. And there's a good our ally when you talk about, you know, companies not measuring the right thing. I mean, clearly, I t has some portion of their budget that has to go to keeping the lights on, right, that that's always the case. But hopefully that's a an ever decreasing percentage of their total activity. So, you know what should people be measuring? I mean, what are kind of the new metrics? Um, in biz ops that drive people to be looking at the right things, measuring the right things and subsequently making the right decisions investment decisions on whether they should do, you know, move Project a along or Project B. >>So there are really two things, right? So So I think what you are talking about this portfolio management, investment management, right and which, which is a key challenge, right in my own experience, right driving strategy or large scale kind of software organization for years. It's very difficult to even get kind of a base data as to who is doing what. Uh, I mean, some of our largest customers were engaged with right now are simply trying to get a very simple answer, which is how many people do I have, and that specific initiative at any point in time and just tracking that information is extremely difficult. So and and again, back to Product Project Management Institute, they have estimated that on average, I two organizations have anywhere between 10 to 20% of their resource is focused on initiatives which are not strategically aligned. So so that's one dimensional portfolio management. I think the key aspect, though that we are we're really keen on is really around kind of the alignment of the business metrics to the ICTY metrics eso I'll use kind of two simple examples, right and my background is around quality and I have always believed that fitness for purpose is really kind of a key, um, a philosophy, if you will. And so if you start to think about quality is fitness for purpose, you start to look at it from a customer point of view, right? And fitness for purpose for core banking application or mobile application are different, right? So the definition of a business value that you're trying to achieve is different on DSO the And yet if you look at our I t operations are operating there are using kind of the same type of kind of inward metrics like a database off time or a cycle time or what is my point? Velocity, right? And s o the challenge really is this inward facing metrics that the I t. Is using which are divorced from ultimately the outcome. And so, you know, if I'm if I'm trying to build a poor banking application, my core metric is likely going to be up time, right? If I'm if I'm trying to build a mobile application or maybe a social mobile app, it's probably going to be engagement. And so what you want is for everybody across I t to look at these metric and what part of the metrics withing the software delivery chain which ultimately contribute to that business metric in some cases, cycle time, maybe completely relevant. Right again. My core banking up. Maybe I don't care about cycle time. And so it's really about aligning those metrics and be able to start to differentiate. Um, the key challenge you mentioned around the around the disruption that we see is or the investors is. Dilemma now is really around the fact that many idea organizations are essentially applying the same approaches for innovation right for basically scrap work, Then they would apply to kind of over more traditional projects. And so, you know, there's been a lot of talk about to speed I t. And yes, it exists. But in reality are are really organizations truly differentiating out of the operate their their projects and products based on the outcomes that they're trying to achieve? And and this is really where bizarre is trying to affect. >>I love that. You know, again, it doesn't seem like brain surgery, but focus on the outcomes right and and it's horses for courses. As you said this project, you know what you're measuring and how you define success isn't necessarily the same as it is on this other project. So let's talk about some of the principles we talked about the values, but you know I think it's interesting that that that the bishops coalition, you know, just basically took the time to write these things down, and they don't seem all that super insightful. But I guess you just got to get him down and have them on paper and have it in front of your face. But I want to talk about, you know, one of the key ones which you just talked about, which is changing requirements right and working in a dynamic situation, which is really what's driven. You know this, the software to change and software development because, you know, if you're in a game app and your competitors comes out with a new blue sword, you've got to come out with a new blue swords. So whether you have that on your compound wall, we're not. So it's It's really this embracing of the speed of change and and and making that you know the rule, not the exception. I think that's a phenomenon. And the other one you talked about his data right and that today's organizations generate more data than humans can process. So informed decisions must be generated by machine learning and ai and you know and the big data thing with a dupe you know, started years ago. But we are seeing more and more that people are finally figuring it out that it's not just big data on It's not even generic machine learning artificial intelligence. But it's applying those particular data sets and that particular types of algorithms to a specific problem to your point, to try to actually reach an objective. Whether that's, you know, increasing the your average ticket or, you know, increasing your check out rate with with with shopping carts that don't get left behind and these types of things. So it's a really different way to think about the world in the good old days, probably when you got started, when we had big Giant you know, M R D s and P R. D s and sat down and coded for two years and and came out with a product release and hopefully not too many patches subsequently to that. Yeah, >>it's interesting right again, back to one of these service that we did with about 600 the ICTY executives and we we purposely designed those questions to be pretty open. Andi and one of them was really wrong requirements, and it was really around. Kind of. What is the best approach? What is your preferred approach towards requirements? And if I remember correctly, Over 80% of the ICTY executives said that the best approach their preferred approach is for requires to be completely defined before self for the bombing starts, let me pause there. We're 20 years after the agile manifesto, right, and for 80% of these idea executives to basically claimed that the best approach is for requires to be fully baked before solved before software development starts basically shows that we still have a very major issue again. Our apotheosis in working with many organizations is that the key challenges really the boundary between business and I t. Which is still very much contract based. If you look at the business side, they basically are expecting for I t deliver on time on budget, Right? But what is the incentive for I t to actually deliver on the business outcomes, right? How often is I t measured on the business outcomes and not on S L. A or on a budget secretary, and so that that's really the fundamental shift that we need to. We really need to drive up to send industry andi way. Talk about kind of this dis imperative for organizations to operate. That's one. And back to the, you know, various doors still, Um, no. The key difference between these large organization is really kind of a. If you look at the amount of capital investment that they can put into pretty much anything, why are they losing compared Thio? You know, startups. What? Why is it that more than 40% off personal loans today are issued not by your traditional brick and mortar banks, but by start ups? Well, the reason, Yes, it's the traditional culture of doing incremental changes, not disrupting ourselves, which Christenson covered at length. But it's also the inability to really fundamentally change kind of dynamic between business I t and partner, right, to to deliver on a specific business. All >>right, I love that. That's a great That's a great summary and in fact, getting ready for this interview. I saw you mentioning another thing where you know the problem with the agile development is that you're actually now getting mawr silos because you have all these autonomous people working you know, kind of independently. So it's even harder challenge for for the business leaders toe, as you said to know what's actually going on. But But, sir, I want to close um, and talk about the coalition eso clearly These are all great concepts, these air concepts. You want to apply to your business every day. Why the coalition? Why, you know, take these concepts out to a broader audience, including your competition and the broader industry to say, Hey, we as a group need to put a stamp of approval on these concepts. These values these principles. It's >>so first, I think we we want everybody to realize that we are all talking about the same things, the same concepts e think we were all from our own different vantage point, realizing that things have to change and again back to you know, whether it's value stream management or site reliability, engineering or biz Opps we're all kind of using slightly different languages on DSO. I think one of the important aspects of these apps is for us, all of us, whether we're talking about consulting actual transformation experts, whether we're talking about vendors right to provide sort of tools and technologies or these larger enterprises to transform for all of us to basically have kind of a reference that lets us speak around kind of in a much more consistent way. The second aspect is for to me is for these concepts to start to be embraced not just by us or trying or vendors, um, system integrators, consulting firms, educators, spot leaders but also for some of our own customers to start to become evangelists of their own in the industry. So we are. Our objective with the coalition is to be pretty, pretty broad, Um, and our hope is by by starting to basically educate our joint customers or our partners that we can start to really foster disbelievers and and start to really change some of dynamics. So we're very pleased that if you look at what some of the companies which have joined the the manifesto eso, we have vendors such as stashed up or advance or pager duty, for instance, or even planned you one of my direct competitors but also fought leaders like Tom Davenport or or Cap Gemini or smaller firms like Business Agility Institute or Agility Elf on DSO our goal really is to start to bring together. For three years, people have bean LP. Large organizations do digital transformation. Vendors were providing the technologies that many of these organizations used to deliver all these digital transformation and for all of us to start to provide the kind of education, support and tools that the industry need. >>That's great search. And, you know, congratulations to you and the team. I know this has been going on for a while putting all this together, getting people to sign onto the manifesto of putting the coalition together and finally today getting to unveil it to the world in a little bit more of a public opportunity. So again, you know, really good values, really simple principles, something that that shouldn't have to be written down. But it's nice because it is. And now you can print it out and stick it on your wall. So thank you for for sharing the story. And again, congrats to you on the team. >>Thank you. Thank you. Appreciate it. >>My pleasure. Alright, He surge If you wanna learn more about the bizarre manifesto goto biz Opps manifesto dot or greed it and you can sign it and you can stay here from or coverage on. The Cube of the bizarre manifesto unveiled. Thanks for watching. See you next time.

>> Announcer: From around the globe, it's theCUBE with digital coverage of BizOps Manifesto Unveiled, brought to you by BizOps Coalition. >> Hey, welcome back, everybody. Jeff Frick here with theCUBE for our ongoing coverage of the big unveil. It's the BizOps Manifesto Unveil and we're going to start that again. >> From the top. >> Three. >> Crew Member: Yeah, from the top. Little bleep bleep bleep, there we go. >> Manifesto. >> Crew Member: Second time's the charm, coming to you in five, four, three, two. >> Hey, welcome back, everybody. Jeff Frick here with theCUBE coming to you from our Palo Alto studios today for a big, big reveal. We're excited to be here. It's the BizOps Manifesto Unveiling. Things have been in the works for a while and we're excited to have our next guest, one of the really the powers behind this whole effort and he's joining us from Boston. It's Serge Lucio, the Vice President and General Manager, Enterprise Software Division at Broadcom. Serge, great to see you. >> Good to see you, Jeff, Glad to be here. >> Absolutely. So, you've been in this business for a very long time, you've seen a lot of changes in technology. What is the BizOps Manifesto? What is this coalition all about? Why do we need this today in 2020? >> Yeah, so I've been in this business for close to 25 years, right? So, about 20 years ago, the Agile Manifesto was created. And the goal of the Agile Manifesto was really to address the uncertainty around software development and the inability to predict the effort to build software. And if you roll back kind of 20 years later and if you look at the current state of the industry, the Project Management Institute estimates that we're wasting about a million dollars every 20 seconds in digital transformation initiatives that do not deliver on business results. In fact, we recently surveyed a number of executives in partnership with Harvard Business Review and 77% of those executives think that one of the key challenges that they have is really at the collaboration between business and IT. And that's been kind of the case for almost 20 years now. So, the key challenge we're faced with is really that we need a new approach. And many of the players in the industry, including ourselves, have been using different terms, right? Some are talking about value stream management, some are talking about software delivery management. If you look at the Site Reliability Engineering movement, in many ways, it embodies a lot of these kind of concepts and principles. So, we believe that it became really imperative for us to crystallize around that one concept. And so, in many ways, the BizOps concept and the BizOps Manifesto are around bringing together a number of ideas which have been emerging in the last five years or so and defining the key values and principles to finally help these organizations truly transform and become digital businesses. And so, the hope is that by joining our forces and defining the key principles and values, we can help the industry, not just by providing them with support, but also the tools and consulting that is required for them to truly achieve the kind of transformation that everybody is seeking. >> Right, right. So, COVID, now, we're six months into it approximately, seven months into it, a lot of pain, a lot of bad stuff still happening, we've got two ways to go. But one of the things that on the positive side, right, and you seen all the memes in social media is a driver of digital transformation and a driver of change 'cause we had this light switch moment in the middle of March and there was no more planning, there was no more conversation, you suddenly got remote workforces, everybody's working from home and you got to go, right? So, the reliance on these tools increases dramatically. But I'm curious kind of short of the beginnings of this effort and short of kind of COVID which came along unexpectedly, I mean, what were those inhibitors 'cause we've been making software for a very long time, right? The software development community has adopted kind of rapid change and iterative delivery and sprints, what was holding back the connection with the business side to make sure that those investments were properly aligned with outcomes? >> Well, you have to understand that IT is kind of its own silos and traditionally, IT has been treated as a cost center within large organizations and not as a value center. And so as a result, kind of the traditional dynamic between IT and the business is basically one of kind of supplier up to kind of a business. And if you go back to I think Elon Musk a few years ago basically had these concepts of the machines to build the machines and he went as far as saying that the machines or the production line is actually the product. So, meaning that the core of the innovation is really about building kind of the engine to deliver on the value. And so, in many ways, we have missed on this shift from kind of IT becoming this kind of value center within the enterprises. And it's all about culture. Now, culture is the sum total of behaviors and the reality is that if you look at IT, especially in the last decade, with Agile, with DevOps, with hybrid infrastructures, it's way more volatile today than it was 10 years ago. And so, when you start to look at the velocity of the data, the volume of data, the variety of data to analyze the system, it's very challenging for IT to actually even understand and optimize its own processes, let alone to actually include business as kind of an integral part of a delivery chain. And so, it's both kind of a combination of culture, which is required, as well as tools, right? To be able to start to bring together all these data together. And then, given the volume, variety, velocity of the data, we have to apply some core technologies, which have only really truly emerged in the last five to 10 years around machine learning and analytics. And so, it's really kind of a combination of those things, which are coming together today to really help organizations kind of get to the next level. >> Right, right. So, let's talk about the manifesto. Let's talk about the coalition, the BizOps Coalition. I just like that you put down these really simple kind of straightforward core values. You guys have four core values that you're highlighting, business outcomes over individual projects and outputs, trust and collaboration over siloed teams and organizations, data driven decisions, what you just talked about, over opinions and judgment and learn to respond and pivot. I mean, Serge, these sounds like pretty basic stuff, right? I mean, isn't everyone working to these values already? And I think you touched on it, on culture, right? Trust and collaboration, data driven decisions. I mean, these are fundamental ways that people must run their business today or the person that's across the street that's doing it is going to knock them right off their block. >> Yeah, so that's very true. So, I'll mention another survey we did I think about six months ago. It was in partnership with an industry analyst. And we surveyed, again, a number of IT executives to understand how many were tracking business outcomes, how many of these software executives, IT executives were tracking business outcomes. And there were less than 15% of these executives who were actually tracking the outcomes of the software delivery. And you see that every day, right? So, in my own teams, for instance, we've been adopting a lot of these core principles in the last year or so. And we've uncovered that 16% of our resources were basically aligned around initiatives which were not strategic for us. I take another example. For instance, one of our customers in the airline industry uncovered, for instance, that a number of... That they had software issues that led to people searching for flights and not returning any kind of availability. And yet, the IT teams, whether it's operations or software development, were completely oblivious to that because they were completely blindsided to it. And so, the connectivity between the inwards metrics that IT is using, whether it's database uptime, cycle time or whatever metric we use in IT, are typically completely divorced from the business metrics. And so, at its core, it's really about starting to align the business metrics with the software delivery chain, right? This system which is really a core differentiator for these organizations. It's about connecting those two things and starting to infuse some of the Agile culture and principles that emerge from the software side into the business side. Of course, the Lean movement and other movements have started to change some of these dynamic on the business side. And so, I think this is the moment where we are starting to see kind of the imperative to transform now, COVID obviously has been a key driver for that. The technology is right to start to be able to weave data together and really kind of also the cultural shifts through Agile, through DevOps, through the SRE movement, through Lean business transformation. All these things are coming together and are really creating kind of conditions for the BizOps Manifesto to exist. So, Clayton Christensen, great Harvard Professor, "Innovator's Dilemma", still my all-time favorite business book, talks about how difficult it is for incumbents to react to disruptive change, right? Because they're always working on incremental change 'cause that's what their customers are asking for and there's a good ROI.' When you talk about companies not measuring the right thing, I mean, clearly, IT has some portion of their budget that has to go to keeping the lights on, right? That's always the case, but hopefully, that's an ever decreasing percentage of their total activity. So, what should people be measuring? I mean, what are kind of the new metrics in BizOps that drive people to be looking at the right things, measuring the right things and subsequently making the right decisions, investment decisions, on whether they should move project A along or project B? >> So, there are really two things, right? So, I think what you were talking about is portfolio management, investment management, right? And which is a key challenge, right? In my own experience, right? Driving strategy or a large scale kind of software organization for years, it's very difficult to even get kind of a base data as to who's doing what. I mean, some of our largest customers we're engaged with right now are simply trying to get a very simple answer, which is, how many people do I have in that specific initiative at any point in time and just tracking down information is extremely difficult. And again, back to the Project Management Institute, they have estimated that on average, IT organizations have anywhere between 10 to 20% of their resources focused on initiatives which are not strategically aligned. So, that's one dimension on portfolio management. I think the key aspect though, that's we're really keen on is really around kind of the alignment of a business metrics to the IT metrics. So, I'll use kind of two simple examples, right? And my background is around quality and I've always believed that fitness for purpose is really kind of a key philosophy, if you will. And so, if you start to think about quality as fitness for purpose, you start to look at it from a customer point of view, right? And fitness for purpose for a core banking application or mobile application are different, right? So, the definition of a business value that you're trying to achieve is different. And yet, if you look at our IT operations are operating, they were using kind of a same type of inward metrics, like a database uptime or a cycle time or what is my point velocity, right? And so, the challenge really is this inward facing metrics that the IT is using which are divorced from ultimately the outcome. And so, if I'm trying to build a core banking application, my core metric is likely going to be uptime, right? If I'm trying to build a mobile application or maybe a social mobile app, it's probably going to be engagement. And so, what you want is for everybody across IT to look at these metric and what are the metrics within the software delivery chain which ultimately contribute to that business metric? In some cases, cycle time may be completely irrelevant, right? Again, my core banking app, maybe I don't care about cycle time. And so, it's really about aligning those metrics and be able to start to differentiate. The key challenge you mentioned around the disruption that we see is or the investor's dilemma is really around the fact that many IT organizations are essentially applying the same approaches for innovation, right? For basically scrap work than they would apply to kind of other more traditional projects. And so, there's been a lot of talk about two-speed IT. And yes, it exists, but in reality, are really organizations truly differentiating how they operate their projects and products based on the outcomes that they're trying to achieve? And this is really where BizOps is trying to affect. >> I love that. Again, it doesn't seem like brain surgery, but focus on the outcomes, right? And it's horses for courses, as you said. This project, what you're measuring and how you define success isn't necessarily the same as on this other project. So, let's talk about some of the principles. We talked about the values, but I think it's interesting that the BizOps coalition just basically took the time to write these things down and they don't seem all that super insightful, but I guess you just got to get them down and have them on paper and have them in front of your face. But I want to talk about one of the key ones, which you just talked about, which is changing requirements, right? And working in a dynamic situation, which is really what's driven the software to change in software development because if you're in a game app and your competitor comes out with a new blue sword, you got to come out with a new blue sword. So, whether you had that on your Kanban wall or not. So, it's really this embracing of the speed of change and making that the rule, not the exception. I think that's a phenomenal one. And the other one you talked about is data, right? And that today's organizations generate more data than humans can process. So, informed decisions must be generated by machine learning and AI. And the big data thing with Hadoop started years ago, but we are seeing more and more that people are finally figuring it out, that it's not just big data and it's not even generic machine learning or artificial intelligence, but it's applying those particular data sets and that particular types of algorithms to a specific problem to your point, to try to actually reach an objective, whether that's increasing your average ticket or increasing your checkout rate with shopping carts that don't get left behind and these types of things. So, it's a really different way to think about the world in the good old days, probably when you guys started when we had big giant MRDs and PRDS and sat down and coded for two years and came out with a product release and hopefully, not too many patches subsequently to that. >> It's interesting, right? Again, back to one of these surveys that we did with about 600 IT executives. And we purposely designed those questions to be pretty open. And one of them was really around requirements. And it was really around kind of what is the best approach? What is your preferred approach towards requirements? And if I remember correctly, over 80% of the IT executives said that the best approach, their preferred approach, is for requirements to be completely defined before software development starts. So, let me pause there. We're 20 years after the Agile Manifesto, right? And for 80% of these IT executives to basically claim that the best approach is for requirements to be fully baked before software development starts, basically shows that we still have a very major issue. And again, our hypothesis in working with many organizations is that the key challenge is really the boundary between business and IT, which is still very much contract-based. If you look at the business side, they basically are expecting for IT to deliver on time on budget, right? But what is the incentive for IT to actually deliver on the business outcomes, right? How often is IT measured on the business outcomes and not on an SLA or on a budget type criteria. And so, that's really the fundamental shift that we really need to drive out as an industry. And, we talk about kind of this imperative for organizations to operate as one. And back to the the "Innovator's Dilemma", the key difference between these larger organization is really kind of a... If you look at the amount of capital investment that they can put into pretty much anything, why are they losing compared to startups? Why is it that more than 40% of personal loans today are issued, not by your traditional brick and mortar banks, but by startups? Well, the reason, yes, it's the traditional culture of doing incremental changes and not disrupting ourselves, which Christensen covered at length, but it's also the inability to really fundamentally change kind of the dynamic between business and IT and partner, right? To deliver on a specific business outcome. >> Right, I love that. That's a great summary and in fact, getting ready for this interview, I saw you mentioning another thing where the problem with the Agile development is that you're actually now getting more silos 'cause you have all these autonomous people working kind of independently. So, it's even a harder challenge for the business leaders, as you said, to know what's actually going on. But Serge, I want to close and talk about the coalition. So clearly, these are all great concepts. These are concepts you want to apply to your business every day. Why the coalition? Why take these concepts out to a broader audience, including your competition and the broader industry to say, "Hey, we as a group need to put a stamp of approval on these concepts, these values, these principles?" >> So first, I think we want everybody to realize that we are all talking about the same things, the same concepts. I think we're all from our own different vantage point realizing that things have to change. And again, back to whether it's value stream management or Site Reliability Engineering or BizOps, we're all kind of using slightly different languages. And so, I think one of the important aspects of BizOps is for us, all of us, whether we're talking about consulting, Agile transformation experts, whether we're talking about vendors, right? To provides kind of tools and technologies or these large enterprises to transform for all of us to basically have kind of a reference that lets us speak around kind of in a much more consistent way. The second aspect, to me, is for these concepts to start to be embraced, not just by us or vendors, system integrators, consulting firms, educators, thought leaders, but also for some of our own customers to start to become evangelists of their own in the industry. So, our objective with the coalition is to be pretty, pretty broad. And our hope is by starting to basically educate our joint customers or partners, that we can start to really foster these behaviors and start to really change some of dynamics. So, we're very pleased that if you look at some of the companies which have joined the manifesto, so we have vendors, such as Tasktop, or Appvance or PagerDuty, for instance, or even Planview, one of my direct competitors, but also thought leaders like Tom Davenport or Capgemini or smaller firms like Business Agility Institute or AgilityHealth. And so, our goal really is to start to bring together thought leaders, people who've been helping large organizations do digital transformation, vendors who are providing the technologies that many of these organizations use to deliver on this digital transformation and for all of us to start to provide the kind of education, support and tools that the industry needs. >> Yeah, that's great, Serge, and congratulations to you and the team. I know this has been going on for a while, putting all this together, getting people to sign on to the manifesto, putting the coalition together and finally today, getting to unveil it to the world in a little bit more of a public opportunity. So again, really good values, really simple principles, something that shouldn't have to be written down, but it's nice 'cause it is and now you can print it out and stick it on your wall. So, thank you for sharing the story and again, congrats to you and the team. >> Thank you, thanks, Jeff, appreciate it. >> My pleasure, all righty, Serge. If you want to learn more about the BizOps Manifesto, go to bizopsmanifesto.org, read it and you can sign it and you can stay here for more coverage on theCUBE of the BizOps Manifesto Unveiled. Thanks for watching, see you next time. (upbeat music)