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Value Stream Management

Profitable Engineering: Linking Software Engineering to Business Results

December 22, 2024 by philc

3 min read

From Code to Impact: A Leadership Series on Linking Software to Business Success

In late 2024, a 360-degree leadership assessment brought candid feedback from an executive peer outside the tech sphere that hit hard: “Focus more on driving business results.” After years of leading digital transformation—scaling our organization from $10 million to $110 million in revenue through changes in culture, team design, architecture, and modern practices like Agile, DevOps, and VSM—it became clear that we hadn’t effectively articulated how our technology initiatives contributed to the company’s bottom line. This series is my response—a thoughtful exploration of aligning engineering efforts with measurable outcomes and turning technology into a powerful engine for business success.

My goal is to change how organizations view technology investments by showing a clear connection between our work and business or customer outcomes. In this three-part series, I draw from 25 years of experience in software engineering and technology leadership, where I’ve often seen technology labeled as just a cost center. These articles aim to provide practical insights and strategies to shift this perspective, highlighting how technology can drive innovation, growth, and customer satisfaction. By adopting modern practices, a product-driven operating model, and data-driven insights, we can create engaged teams that act as business partners rather than cost centers, delivering value more effectively.

This series is for technology leaders, Product Managers, and anyone looking to align engineering with organizational goals. We’ll cover how to clearly show the value of technology, integrate outcomes into workflows, and connect technical work to business success.

This series offers a comprehensive guide to aligning software engineering with business success, balancing foundational concepts with leadership insights and practical steps for transformation. Each article can stand alone but builds on the others—starting with the basics of technology’s role in business, advancing to leadership strategies for driving outcomes and concluding with actionable steps to empower teams. The intentional overlap reinforces key ideas, while the progression delivers a cohesive, engaging narrative that equips readers to drive meaningful change.

Series Summaries

1. Engineering’s Business Value: From Black Box to Clarity

This foundational article addresses the challenge of linking engineering efforts to business outcomes. It introduces shifting to a product operating model and Value Stream Management (VSM) as frameworks to align technical work with strategic priorities. The emphasis is on defining clear, measurable outcomes to articulate the tangible value technology brings to the business.
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2. Transforming Engineering: From Cost Center to Strategic Partner

This article builds on the first article and delves into the evolution of engineering roles within organizations. It reflects on leadership experiences and the importance of balancing operational efficiency with value realization. The article discusses embedding outcomes into workflows and the necessity for technology leaders to communicate the value of technical investments in business terms.
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3. Breaking Free from the Build Trap: Delivering Meaningful Outcomes

The final article focuses on moving beyond a feature factory mindset by concentrating on outcomes rather than outputs. It highlights the pitfalls of the build trap and underscores the value of starting with outcomes, fostering accountability, and ensuring successful delivery. The piece challenges technology leaders and teams to adopt a mindset centered on meaningful outcomes that drive engagement and impactful business results.
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This series encourages you to rethink your approach and join me in this transformation journey. Feel free to share your thoughts, experiences, or perspectives. I’m always up for a great conversation!

Filed Under: Agile, Delivering Value, DevOps, Engineering, Leadership, Lean, Metrics, Product Delivery, Software Engineering, Value Stream Management

Crossroads 2024: Reflections on Leadership, Legacy, and Modern Practices

December 2, 2024 by philc

5 min read

Preface: Defining the Last Chapter

As a software engineer and leader who has experienced two distinct eras of software delivery, I’ve witnessed the transformative power of today’s practices. Modern approaches to team design, architecture, and processes drive fast flow, delivering value faster and out-innovating the competition.

Now, I find myself where my leaders once stood—in the latter part of my career. My mentors have challenged me to reflect on how I want to spend these remaining years, placing me at a pivotal crossroads. Recently, my organization was acquired by a larger global enterprise—a familiar environment from my past experiences, with its inherent expectations and complexities.

During an interview for a national publication, I was asked a question that resonated deeply: “What is your role now?” The interviewer noted that my website suggested I might be a consultant. I thrive as a VP of Technology or Head of Software Engineering, where I influence transformation, inspire teams, and design systems that deliver exceptional results. The role allows me to lead with impact, foster innovation, and continuously learn and experiment.

As I approach the final chapter of my career, I ask myself: How do I want to spend these years? Where can I make the most significant impact? This reflection is not about uncertainty—it’s about clarity of purpose. My mission remains steadfast: to inspire leaders, empower teams, and leave a legacy that champions modern practices, continuous learning, and the art of the possible.

The Journey: Transforming Leadership and Leaving a Legacy in Modern Practices

I began my career as a software engineer, driven by a love for problem-solving and building creative solutions through software code. While I still value those things, my focus has evolved toward technical leadership—specifically, helping senior leaders create environments where technologists can thrive and deliver exceptional results.

This journey has been shaped by personal experiences and remarkable technological advancements that have redefined how we work. Cloud computing has dramatically lowered barriers to experimentation and innovation, enabling teams to deliver solutions at unprecedented speeds. Methodologies such as Agile, Lean, DevOps, and Value Stream Management have unlocked new possibilities for collaboration and delivery. Advancements in architecture and cloud technology, along with modern team design, have made these changes both practical and impactful. These innovations have inspired me and driven this mission forward.

My journey has sometimes been challenging. In 2018, I realized that my mindset, rooted in past ways and successes, clashed with the future we were trying to build. A manager on my team encouraged me to read books and articles, while a peer suggested foundational works like The Phoenix Project. Meanwhile, an Agile leader pointed out that some of my outdated habits—like calling team members “resources” or moving individuals between teams—were disrupting the stability and collaboration essential for cross-functional success.

Their feedback and reflections brought me to an important realization: to thrive in current practices, I needed to unlearn outdated methodologies, adopt a growth mindset, and incorporate experimentation as a fundamental aspect of leadership. Recognizing the need to move beyond past expertise, I committed to continuous learning and re-evaluating my approach to leadership and competitiveness in today’s software delivery landscape.

At the core of this transformation is culture. A strong culture precedes processes, tools, and methodologies. It places people at the center of an organization’s purpose. Teams can achieve extraordinary outcomes by fostering trust, ensuring psychological safety and a sense of purpose, and encouraging diverse perspectives.

As seasoned leaders, we must temper our egos, challenge our viewpoints, and remain open to new opportunities. Leadership isn’t about perfection; it’s about progress, building trust, and empowering teams to thrive.

Exploring the Potential of AI

Like many others, I am invested in understanding how AI transforms our world. Generative AI tools empower developers to work more efficiently, solve problems faster, and explore creative solutions. At the same time, these advancements present challenges as we adapt our governance, understanding, processes, and cultures to leverage AI’s potential.

AI is still in its early stages, but it is important to adopt it thoughtfully and be “the human in the loop” in the process. I see AI as a tool that complements modern leadership, opening up new opportunities for innovation and engagement. It has the potential to boost productivity, empower teams, and reshape how we deliver value, which motivates me to continue exploring its possibilities.

Today’s Goal: Value and Fast Flow

Pushing boundaries is essential to achieving fast flow and delivering value. However, managing “knowledge work” presents unique challenges. In most cases, we rely on predictions—our best guesses—about outcomes and timelines, often navigating unknowns in new requests. Leaders expect accuracy, yet the reality of uncertainty demands adaptability.

Over my career, I’ve witnessed how great teams operate and how leadership can either drive or derail success. I bring this experience to organizations, helping them deliver value faster, safer, and more effectively by aligning modern practices and tools with their specific contexts.

  • What: Deliver value through fast flow by integrating processes, frameworks, and technology tailored to the organization’s needs.
  • How: Leverage practices and frameworks that enable faster feedback, reduce risks, and minimize wasted efforts. By implementing a mix of culture, team design, architecture, Agile, Lean, DevOps, Value Stream Management, and modern infrastructure, organizations can pivot quickly and respond to real-time feedback—staying on course, adjusting direction, or halting when necessary.
  • Measure Success: Use outcome and flow metrics to drive continuous feedback and improvement, ensuring every step adds value and minimizes uncertainty.

Mission: Building Teams, Empowering Leaders, and Delivering Impact

Having led teams through two distinct software delivery eras, I’ve never been more passionate about my role than I am now. Our industry’s changing tools and practices have expanded what’s possible, inspiring me to build teams and organizations that set new standards.

My mission is simple: to deliver the right digital products quickly, securely, and efficiently while fostering a culture of innovation and engagement. I aim to meaningfully impact teams, organizations, and customers, helping them achieve exceptional outcomes through modern practices, a product operating model, and data-driven insights.

High-performing teams prioritize based on expected outcomes, driving efficiency while maintaining a strong sense of purpose. This alignment enhances engagement, ensuring a greater impact for every dollar invested.

Conclusion

I will honor those who influenced and inspired me if I can continue to help even one senior leader, organization, team, or individual create thriving environments, rethink leadership, or achieve better outcomes.

Filed Under: Agile, DevOps, Engineering, Leadership, Lean, Product Delivery, Software Engineering, Value Stream Management

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