Why Organizations Don't Adopt Value Engineering

BONUS: The Agile Organization as a Learning System Think Like a Farmer, Not a Factory Manager

"Go slow to go fast. If you want to go somewhere, go together as a team. Take a farmer's mentality."

Simon contrasts monoculture industrial thinking with the permaculture approach of Joel Salatin. Industrial approaches optimize for short-term efficiency but create fragile systems. Farmer thinking recognizes that healthy ecosystems require patience, diversity, and nurturing conditions for growth. The nervous system that's constantly stressed never builds much over time—think of the body, trust the body, let the body be a body.

Value Masters, Not Scrum Masters

"We need value masters, not Scrum Masters. Agile is a useful tool for delivering value, but value itself is primary. Everything else is secondary—Agile included."

Tom makes his most provocative point: if you asked a top manager whether they'd prefer an agile person or value delivery, the answer is obvious. Agile is one tactic among many for delivering value—not even a necessary one. The shift required is from process mastery to value mastery, from Scrum Masters to people who understand and can deliver on critical stakeholder values.

The DOVE Manifesto

"I wrote a paper called DOVE—Deliver Optimum Values Efficiently. It's the manifesto focusing on delivering value, delivering value, delivering value."

Tom offers his alternative to the Agile Manifesto: a set of principles laser-focused on value delivery. The document includes 10 principles on a single page that can guide any organization toward genuine impact. Everything else—processes, frameworks, methodologies—are secondary tools in service of this primary goal.

Read Tom's DOVE manifesto here.

Building the Glue Between Social and Physical Technology

"Value is created in interactions. That's where the social and physical technology meet—that joyous boundary where stuff gets done."

Simon describes seeing the world through two lenses: physical technology (visible tools and systems) and social technology (culture, relationships, the air we breathe). Eric Beinhoeker's insight is that progress happens at the intersection. The Gilbian learning loops provide the structure; trust and human connection provide the fuel. Together, they create organizations that can actually learn and adapt.

Further Reading To Support Your Learning Journey Resources & Further Reading

Explore these curated resources to deepen your understanding of strategic planning, value-based management, and transformative organizational change.

📚 Essential Reading

Competitive Engineering

Tom Gilb's seminal book on requirements engineering and value-based development approaches.

What is Wrong with OKRs (Paper by Tom Gilb) A critical analysis of the popular OKR framework and its limitations in measuring real value.

DOVE Manifesto by Tom Gilb Detailed exploration of the DOVE (Design Of Value Engineering) methodology for quantifying and optimizing stakeholder value.

🎓 Learning Materials

Tom Gilb's Strategy Ringbook A comprehensive collection of strategic planning principles and practical frameworks.

Tom Gilb's Video at the Strategy Meetup Watch Tom Gilb discuss key strategic concepts and answer questions from the community.

Design Process Paper by Tom Gilb An in-depth look at value-driven design processes and their practical application.

Esko Kilpi's Work on Conversations Exploring how organizational conversations shape thinking, decision-making, and change.

🧭 Frameworks & Models

OODA Loop The Observe-Orient-Decide-Act decision cycle for rapid strategic thinking and adaptation.

🎯 Practical Tips Measurement of Increased Value

Focus on tracking actual value delivery rather than activity completion. Establish baseline measurements and regularly assess improvements in stakeholder-defined value dimensions.

Quantify Critical Values

Identify the 3-5 most important value attributes for your stakeholders. Make these concrete and measurable, avoiding vague qualities in favor of specific, quantifiable metrics.

Measurement vs Testing Process

Understand the distinction: measurement tells you how much value exists, while testing validates whether something works. Use both strategically—test hypotheses early, then measure outcomes continuously.

🔗 Related Profiles

Todd Covert - Montessori School of the Berkshires Educational leadership and innovative approaches to value-based learning environments.

About Tom Gilb and Simon Holzapfel

Tom Gilb, born in the US, lived in London, and then moved to Norway in 1958. An independent teacher, consultant, and writer, he has worked in software engineering, corporate top management, and large-scale systems engineering. As the saying goes, Tom was writing about Agile before Agile was named. In 1976, Tom introduced the term "evolutionary" in his book Software Metrics, advocating for development in small, measurable steps. Today, we talk about Evo, the name Tom uses to describe his approach. Tom has worked with Dr. Deming and holds a certificate personally signed by him.

You can listen to Tom Gilb's previous episodes here.

You can link with Tom Gilb on LinkedIn

Simon Holzapfel is an educator, coach, and learning innovator who helps teams work with greater clarity, speed, and purpose. He specializes in separating strategy from tactics, enabling short-cycle decision-making and higher-value workflows. Simon has spent his career coaching individuals and teams to achieve performance with deeper meaning and joy. Simon is also the author of the Equonomist newsletter on Substack.

And you can listen to Simon's previous episodes on the podcast here.

You can link with Simon Holzapfel on LinkedIn.