To: All #CEO-s & #CFO-s
Subject: A Critical Cost Analysis of the SAFe Transformation
SAFe transformations are so trendy and sexy, right? While the siren song may be alluring, hold your horses and sharpen your pencils before taking the plunge. I'm not one to dismiss innovation out of hand. But when millions of dollars are on the line, we must apply the principles of sound cost accounting. Is this transformation truly a wise investment? Or are you being lured towards costly disasters?
1️⃣ THE PRICE TAG
The sheer magnitude of the financial sacrifice: tens of millions of $$$ stretched over several years before any tangible benefit. That's a hefty sum, enough to fund a fleet of top-notch developers or invest in cutting-edge technologies. Every $ spent here is a $ not available for other potential value-generating activities; resources are scarce, and opportunity cost is a reality.
Don’t forget the hidden costs in the SAFe fortress. Consultants, training, tools – these are but a few additional expenses. Each a drain on your precious resources, further eroding the already shaky justification for this grand transformation.
The intangible costs of SAFe deserve scrutiny too. Disruption, employee resistance, disengagement, change fatigue and the potential for culture clashes can significantly impact productivity and morale. These are difficult to quantify, but their impact on the bottom line cannot be ignored.
2️⃣ THE WAITING GAME
Years! Years before seeing a return on investment? In today's dynamic market, waiting that long is akin to hibernating while competitors are hoarding your customers. Remember, time is money, and the longer we wait for results, the more opportunities we miss.
3️⃣ THE ALTERNATIVE
Before embarking on this costly odyssey, exercise prudent skepticism. Is SAFe the only path to this promised land? Are there not lighter, swiffer options at your disposal? Ones that cost but a mere fraction, mere hundreds of thousands, and deliver results not in years, but in months?
One such alternative is Flow@Scale™.
I am not suggesting you consider this alternative without careful analysis, but its mere existence demands your investigation. Why spend millions when thousands could yield quicker, more tangible results? You know what to do: identify cost drivers, optimize resource allocation, and maximize value. In the case of SAFe, the cost drivers seem alarmingly high, the resource allocation questionable, and the value proposition murky at best.
We are stewards of our companies' financial well-being. Approach this transformation with the same rigor and skepticism you apply to any other investment decision. Only then can you ensure that your journey towards improved business performance is paved with sound financial principles, not blind faith in expensive trends.
A well-trained internal team can often achieve more than a battalion of expensive consultants.
Invest in your people, not in frameworks.
Congrats!