Agile Contracts and SAFe

Agile Contracts and SAFe

SAFe Updates

As you know, not everything that’s valuable in SAFe can make it to an icon on the Big Picture. One such example is the new Guidance article on Agile Contracts, which we developed as part of 4.0. In the hubbub around the 4.0 release, we didn’t take the time to bring any attention to this new content, so we are doing so now.

Working with customers on a more collaborative basis is a key element of achieving a leaner and more agile enterprise. Such an approach moves the Customer-Supplier (see also the new 4.0 Customer and Supplier articles) relationship to a win-win paradigm, one that improves the overall economic outcomes for both parties. True “partnering” in Lean means exactly that; a supplier engagement model based on long term customer commitments to key suppliers, based on earned trust.

But even in the presence of trust, how does one go about committing substantial investment to an Agile program, where it’s impossible, in advance, to really know exactly what the buyer is getting? That’s the interesting topic that this new article addresses. The article highlights a “SAFe Managed Investment Contract” approach which uses SAFe practices, nomenclature, and PIs as-objective-Milestones for contract governance. Here’s a graphic teaser from the article:

SAFe Managed Investment Contract execution phase
SAFe Managed Investment Contract execution phase

We are placing this blog post in the “Updates” category so it will appear in the Updates field above the Big Picture. That simply serves as a reminder of new content under development, and in this case as a prompt to more readily get your comments on this important topic.

Stay SAFe,

— Dean, Drew and the SAFe Team

Author Info

Dean Leffingwell

Recognized as the one of the world’s foremost authorities on Lean-Agile best practices, Dean Leffingwell is an author, entrepreneur, and software development methodologist.

One comment

  1. John Okoro

    27 Aug 2016 - 8:13 am

    A blog response on the SAFe Agile Contracts approach from a SAFe practitioner and SPC4.

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