SAFe Implementation at LEGO

Case Code: ITSY117
Case Length: 10 Pages
Period: 2015
Pub Date: 2020
Teaching Note: Available
Price: Rs.300
Organization: The Lego Group
Industry: -
Countries: Denmark
Themes: Information Systems/ Decision Support Systems/ Digital Strategy/IT Enabled Redesign
Global Economic Impact of Coronavirus – Assessment and Mitigation (B)
Abstract Case Intro 1 Case Intro 2 Excerpts

Excerpts

Digitization of Games

With the advent of video games and electronic toys, LEGO faced a challenge in the ’90s to retain its dominance in the toy market. The results of market research conducted by the company in the early 2000s showed that although children loved to play with LEGO bricks, they also liked using internet and technology...

Adapting SAFe

LEGO’s digital endeavors were looked after by its DS department which consisted of 20 teams based in Denmark and India. DS was a branch of the marketing department at LEGO. The department was responsible for handling communications with children and parents through a variety of digital devices like computers, tablets, apps, wearables, virtual reality devices, etc. The department also had the task of planning future product development and incorporating new technologies like augmented reality in LEGO toys...

PI Planning

The primary purpose of the PI planning event was to make sure that the different teams in the DS were aligned with each other in terms of deliverables and resources. The idea was to make sure deliverables were demand based rather than cycle based.

Benefits of PI Planning

PI Planning was the center of SAFe implantation. There was reduced redundancy of jobs as the teams were in sync in terms of deliverables. The cutback in dependency among teams resulted in smooth communication among the teams. Decision making became quicker as all the teams and the stakeholders were in one room sharing information and discussing the deliverables and risks. The feedback mechanism after the plan presentation improved the overall quality of the plans...

Next Steps

The PI Planning events were a success at the LEGO DS department. This motivated Henrik Amsinck – senior vice president of corporate IT at LEGO, to spread SAFe even further. In 2017, he decided to implement Agile transformation in two major departments of LEGO which had more than 500 employees...

Exhibits

Exhibit I: What is Scaled Agile Framework (SAFe)
Exhibit II: First 100 Days of Agile Transformation at LEGO
Exhibit III: Changes in Organizational Structure and Operating Model to Support Agile Transformation

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