Long Term Value – Phase 4 of the Value Flywheel
In our previous discussions on the Value Flywheel Effect, we explored three critical phases: Clarity of Purpose, Challenge, and Next Best Action. Now, we delve into the fourth phase: Long-Term Value.
What is Long-Term Value?
Long-term value is about sustaining the flywheel’s motion by focusing on future-oriented actions and robust systems. It emphasises the need to:
Build solutions that are architecturally sound.
Avoid revisiting or reworking systems unnecessarily.
Deliver sustainable value over the medium and long term.
Ten years or even two months down the line, you don’t want to waste time fixing foundational issues. Instead, investing in well-architected frameworks and paying down technical debt early ensures resilience and scalability.
Discipline is Key
Achieving long-term value requires discipline and a commitment to engineering excellence. This isn’t something you can tack on at the end; it needs to be embedded in the development process. By baking quality and sustainability into your solutions, you’re not just building for today but for the future.
Architecture as a Continuous Practice
Architecture is no longer a mysterious or abstract concept. It’s a continuous, practical practice. The AWS Well-Architected Framework provides six pillars to guide this process:
Security
Cost Optimisation
Operational Excellence
Reliability
Performance
Sustainability
The introduction of sustainability as a pillar highlights the importance of low-carbon workloads. By consistently aligning with these pillars, you build systems that are scalable, resilient, and cost-effective—ensuring you stay ahead of potential pitfalls.
Ignoring these principles leads to technical debt, operational inefficiencies, and ultimately stagnation. Without this discipline, the flywheel grinds to a halt.
Creating Space to Innovate
The ILC Cycle (“Innovate, Leverage, Commoditise”) is central to long-term value. By:
Innovating, you develop new ideas.
Leveraging, you capitalise on these innovations.
Commoditising, you standardise and move on to the next cycle.
A well-architected system accelerates this cycle, freeing teams to pursue the next breakthrough with clarity and focus.
Avoiding the Firefighting Trap
Investing in long-term value means reducing the time spent on “firefighting”—resolving issues, troubleshooting systems, or addressing customer complaints. Instead, teams gain capacity for high-impact, innovative work. While unforeseen challenges will always arise, a well-architected system mitigates known risks, such as those related to reliability, performance, and security.
Operational Excellence, one of the six pillars, plays a critical role here. Strong observability practices help teams identify where value originates and guide improvements, keeping the flywheel turning.
Overcoming Team Challenges
Getting teams on board with long-term value requires cultural and procedural shifts. Consider the cautionary tale of “Wee Jimmy,” the genius who built a great system without documentation. When he left, no one knew how the system worked.
To embed long-term value, teams must:
Adopt disciplined practices.
Share architectural responsibilities.
Gain autonomy through well-defined frameworks.
This approach democratises architecture, enabling teams to operate efficiently without relying on a centralised architect. By embedding these principles, organisations achieve scalability, productivity, and a stronger foundation for innovation.
The Cost of Ignoring Long-Term Value
Failing to prioritise long-term value results in a false economy. Teams might complete projects quickly, but technical debt accumulates, slowing down future progress. Stakeholders grow frustrated as differentiating capabilities and innovative features take a backseat to maintenance and firefighting.
This often leads to costly system rewrites. Imagine presenting stakeholders with a plan to rebuild a system after just a few years. The question will inevitably arise: “Why are we paying to do this again?” Avoid this scenario by embedding long-term value from the start.
Turning the Flywheel Faster
Long-term value is about continuously improving the Value Flywheel:
Clarity of Purpose drives focused innovation.
Challenge ensures teams remain engaged and resilient.
Next Best Action identifies immediate priorities.
Long-Term Value sustains momentum.
When executed well, software appreciates over time, delivering increasing value with fewer liabilities.
Minimising Liabilities and Leveraging the Cloud
In the long-term value phase, the mantra is clear: “Code is a liability; the system is the asset.” Focus on:
Reducing custom code.
Leveraging managed services.
Offloading responsibilities to cloud providers.
These strategies minimise liabilities and ensure your teams focus on value-driven tasks, not repetitive maintenance.
Conclusion
Long-term value ties all four phases of the Value Flywheel together. It’s about:
Embedding sustainability and excellence into every process.
Enabling teams to deliver consistently high value.
Keeping the flywheel turning faster with each iteration.
By embracing this mindset, organisations can avoid costly mistakes, foster innovation, and drive sustainable growth.
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