A ‘Hello World’ GitOps Example Walkthrough

Intro

This post walks through a ‘hello world’ GitOps example I use to demonstrate key GitOps principles.

If you’re not aware, GitOps is a term coined in 2017 to encapsulate certain engineering principles that were becoming more common with the advent of recent tooling in the area of software deployment and maintenace.

If you want to know more about the background and significance of GitOps, I wrote an ebook on the subject, available for download here from my company. One of the more fun bits of writing that book was creating this diagram, which seeks to show the historical antecedents to the latest GItOps tooling, divided on the three principles of declarative code, source control, and distributed control loop systems.

This post is more a detailed breakdown of one implementation of a trivial application. It uses the following technologies and tools:

  • Docker
  • Kubernetes
  • GitHub
  • GitHub Actions
  • Shell
  • Google Kubernetes Engine
  • Terraform

Overview

The example consists of four repositories:

It should be viewed in conjunction with this diagram to get an overview of what’s going on in the example. I’ll be referring to the steps from 0 to 5 in some detail below:

An overview of the flow of this

There are three ‘actors’ in this example: a developer (Dev), an operations engineer (Ops), and an Infrastructure engineer (Infra). The Dev is responsible for the application code, the Ops is responsible for deployment, and the Infra is responsible for the platform on which the deployment runs.

The repository structure reflects this separation of concerns. In reality, all roles could be fulfilled by the same person, or there could be even more separation of duties.

Also, the code need not be separated in this way. In theory, just one repository could be used for all four purposes. I discuss these kind of ‘GitOps Decisions’ in my linked post.


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The Steps

Here’s an overview of the steps outlined below:

  • A – Pre-Requisites
  • B – Fork The Repositories
  • C – Create The Infrastructure
  • D – Set Up Secrets And Keys
    • D1 – Docker Registry Login Secret Setup
    • D2 – Set Up Repository Access Token
    • D3 – Install And Set Up FluxCD
  • E – Build And Run Your Application

A – Pre-Requisites

You will need:

B – Fork the Repositories

Fork these three repositories to your own GitHub account:

C – Create the Infrastructure

This step uses the infra repository to create a Kubernetes cluster on which your workload will run, with its configuration being stored in code.

This repository contains nothing in the main branch, and a choice of branches depending on the cloud provider you want to choose.

The best-tested branch is the Google Cloud Provider (gcp) branch, which we cover here.

The code itself consists of four terraform files:

  • connections.tf
    • defines the connection to GCP
  • kubernetes.tf
    • defines the configuration of a Kubernetes cluster
  • output.tf
    • defines the output of the terraform module
  • vars.tf
    • variable definitions for the module

To set this up for your own purposes:

  • Check out the gcp branch of your fork of the code
  • Set up a Google Cloud account and project
  • Log into Google Cloud on the command line:
    • gcloud auth login
    • Update components in case they have updated since gcloud install:
      • gcloud components update
  • Set the project name
    • gcloud config set project <GCP PROJECT NAME>
  • Enable the GCP container APIs
    • gcloud services enable container.googleapis.com
  • Add a terraform.tfvars file that sets the following items:
    • cluster_name
      • Name you give your cluster
    • linux_admin_password
      • Password for the hosts in your cluster
    • gcp_project_name
      • The ID of your Google Cloud project
    • gcp_project_region
      • The region in which the cluster should be located, default is us-west-1
    • node_locations
      • Zones in which nodes should be placed, default is ["us-west1-b","us-west1-c"]
    • cluster_cp_location
      • Zone for control plane, default is us-west1-a
  • Run terraform init
  • Run terraform plan
  • Run terraform apply
  • Get kubectl credentials from Google, eg:
    • gcloud container clusters get-credentials <CLUSTER NAME> --zone <CLUSTER CP LOCATION>
  • Check you have access by running kubectl cluster-info
  • Create the gitops-example namespace
    • kubectl create namespace gitops-example

If all goes to plan, you have set up a kubernetes cluster on which you can run your workload, and you are ready to install FluxCD. But before you do that, you need to set up the secrets required across the repositories to make all the repos and deployments work together.

D – Set Up Secrets And Keys

In order to co-ordinate the various steps in the GitOps workflow, you have to set up three sets of secrets in the GitHub repositories. This is to allow:

  1. The Kubernetes cluster to log into the Docker repository you want to pull your image from
  2. The github-example-app‘s repository action to update the image identifier in the github-example-deploy repository
  3. Allow fluxcd to access the gitops-example-deploy GitHub repository from the Kubernetes cluster

D1. Docker Registry Login Secret Setup

To do this you create two secrets in the gitops-example-app repository at the link:

https://github.com/<YOUR GITHUB USERNAME>/gitops-example-app/settings/secrets/actions

  • DOCKER_USER
    • Contains your Docker registry username
  • DOCKER_PASSWORD
    • Contains your Docker registry password

Next, you set up your Kubernetes cluster so it has these credentials.

  • Run this command, replacing the variables with your values:

kubectl create -n gitops-example secret docker-registry regcred --docker-server=docker.io --docker-username=$DOCKER_USER --docker-password=$DOCKER_PASSWORD --docker-email=$DOCKER_EMAIL

D2. Set up Repository Access Token

To do this you first create a personal access token in GitHub.

  • You can do this by visiting this link. Once there, generate a token called EXAMPLE_GITOPS_DEPLOY_TRIGGER.
  • Give the token all rights on repo, so it can read and write to private repositories.
  • Copy that token value into a secret with the same name (EXAMPLE_GITOPS_DEPLOY_TRIGGER) in your gitops-example-app at:

https://github.com/<YOUR GITHUB USERNAME>/gitops-example-app/settings/secrets/actions

D3 – Install And Set Up FluxCD

Finally, you set up flux in your Kubernetes cluster, so it can read and write back to the gitops-example-deploy repository.

  • The most up-to-date FluxCD deployment instructions can be found here, but this is what I run on GCP to set up FluxCD on my cluster:

kubectl create clusterrolebinding "cluster-admin-$(whoami)" --clusterrole=cluster-admin --user="$(gcloud config get-value core/account)"
kubectl create ns flux
fluxctl install --git-branch main --git-user=<YOUR GITHUB USERNAME> --git-email=<YOUR GITHUB EMAIL> --git-url=git@github.com:<YOUR GITHUB USERNAME>/gitops-example-deploy --git-path=namespaces,workloads --namespace=flux | kubectl apply -f -

  • When the installation is complete, this command will return a key generated by FluxCD on the cluster:

fluxctl identity --k8s-fwd-ns flux

  • You need to take this key, and place it in the gitops-example-deploy repository at this link:

https://github.com/<YOUR GITHUB USERNAME>/gitops-example-deploy/settings/keys/new

  • Call the key flux
  • Tick the ‘write access’ option
  • Click ‘Add Key’

You have now set up all the secrets that need setting up to make the flow work.

You will now make a change and will follow the links in the steps as the application builds and deploys without intervention from you.

E – Build And Run Your Application

To deploy your application, all you need to do is make a change to the application in your gitops-example-app repository.

An overview of the flow of this
  • Step 1a, 2 and 3

Go to:

https://github.com/<YOUR GITHUB USERNAME>/gitops-example-app/blob/main/Dockerfile

and edit the file, changing the contents of the echo command to whatever you like, and commit the change, pushing to the repository.

This push (step 1a above) triggers the Docker login, build and push via a GitHub action (steps 2 and 3), which are specified in code here:

https://github.com/ianmiell/gitops-example-app/blob/main/.github/workflows/main.yaml#L13-L24

This action uses a couple of docker actions (docker/login-action and docker/push-action) to commit and push the new image with a tag of the github SHA value of the commit. The SHA value is given to you as a variable by GitHub Actions (github.sha) within the action’s run. You also use the DOCKER secrets set up earlier. Here’s a snippet:

    - name: Log in to Docker Hub
      uses: docker/login-action@f054a8b539a109f9f41c372932f1ae047eff08c9
      with:
        username: ${{secrets.DOCKER_USER}}
        password: ${{secrets.DOCKER_PASSWORD}}
    - name: Build and push Docker image
      id: docker_build
      uses: docker/build-push-action@ad44023a93711e3deb337508980b4b5e9bcdc5dc
      with:
        context: .
        push: true
        tags: ${{secrets.DOCKER_USER}}/gitops-example-app:${{ github.sha }}
  • Step 4

Once the image is pushed to the Docker repository, another action is called which triggers another action that updates the gitops-example-deploy Git repository (step 4 above)

    - name: Repository Dispatch
      uses: peter-evans/repository-dispatch@v1
      with:
        token: ${{ secrets.EXAMPLE_GITOPS_DEPLOY_TRIGGER }}
        repository: <YOUR GITHUB USERNAME>/gitops-example-deploy
        event-type: gitops-example-app-trigger
        client-payload: '{"ref": "${{ github.ref }}", "sha": "${{ github.sha }}"}'

It uses the Personal Access Token secrets EXAMPLE_GITOPS_DEPLOY_TRIGGER created earlier to give the action the rights to update the repository specified. It also passes in an event-type value (gitops-example-app-trigger) so that the action on the other repository knows what to do. Finally, it passes in a client-payload, which contains two variables: the github.ref and the github.sha variables made available to us by the GitHub Action.

This configuration passes all the information needed by the action specified in the gitops-example-deploy repository to update its deployment configuration.

The other side of step 4 is the ‘receiving’ GitHub Action code here:

https://github.com/ianmiell/gitops-example-deploy/blob/main/.github/workflows/main.yaml

Among the first lines are these:

on:
  repository_dispatch:
    types: gitops-example-app-trigger

Which tell the action that it should be run only on a repository dispatch, when the event type is called gitops-example-app-trigger. Since this is what we did on the push to the gitops-example-app action above, this should be the action that’s triggered on this gitops-example-deploy repository.

The first thing this action does is check out and update the code:

      - name: Check Out The Repository
        uses: actions/checkout@v2
      - name: Update Version In Checked-Out Code
        if: ${{ github.event.client_payload.sha }}
        run: |
          sed -i "s@\(.*image:\).*@\1 docker.io/${{secrets.DOCKER_USER}}/gitops-example-app:${{ github.event.client_payload.sha }}@" ${GITHUB_WORKSPACE}/workloads/webserver.yaml

If a sha value was passed in with the client payload part of the github event, then a sed is performed, which updates the deployment code. The workloads/webserver.yaml Kubernetes specification code is updated by the sed command to reflect the new tag of the Docker image we built and pushed.

Once the code has been updated within the action, you commit and push using the stefanzweifel/git-auto-commit-action action:

      - name: Commit The New Image Reference
        uses: stefanzweifel/git-auto-commit-action@v4
        if: ${{ github.event.client_payload.sha }}
        with:
          commit_message: Deploy new image ${{ github.event.client_payload.sha }}
          branch: main
          commit_options: '--no-verify --signoff'
          repository: .
          commit_user_name: Example GitOps Bot
          commit_user_email: <AN EMAIL ADDRESS FOR THE COMMIT>
          commit_author: <A NAME FOR THE COMMITTER> << AN EMAIL ADDRESS FOR THE COMMITTER>>
  • Step 5

Now the deployment configuration has been updated, we now wait for FluxCD to notice the change in the Kubernetes deployment configuration. After a few minutes, the Flux controller will notice that the main branch of the gitops-example-deploy repository has changed, and try the apply the yaml configuration in that repository to the Kubernetes cluster. This will update the workload.

If you port-forward to the application’s service, and hit it using curl or your browser, you should see that the application’s output has changed to whatever you committed above.

And then you’re done! You’ve created an end-to-end GitOps continuous delivery pipeline from code to cluster that requires no intervention other than a code change!

Cleanup

Don’t forget to terraform destroy your cluster, to avoid incurring a large bill with your cloud provider!

Lessons Learned

Even though this is as simple an example I could make, you can see that it involves quite a bit of configuration and setup. If anything went wrong in the pipeline, you’d need to understand quite a lot to be able to debug it and fix it.

In addition, there are numerous design decisions you need to make to get your GitOps workflow working for you. Some of these are covered in my previous GitOps Decisions post.

Anyone who’s coded anything will know that there is this tax on the benefits of automation. It should not be underestimated by any team looking to take up this deployment methodology.

On the other hand, once the mental model of the workflow is internalised by a team, significant savings and improvements to delivery are seen.


If you like this, you might like one of my books:
Learn Bash the Hard Way

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LearnGitBashandTerraformtheHardWay
Buy in a bundle here

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If You Want To Transform IT, Start With Finance

tl;dr – ‘Money Flows Rule Everything Around Me’

When talking about IT transformation, we often we often talk about ‘culture’ being the problem in making change, but why stop there?

If we take a ‘5 whys‘ approach, then we should go deeper. So, where can we go from ‘culture’?

Here I suggest we should consider a deeper structural cause of cultural problems in change management: how money flows through the organisation.

If you want to change an organisation, you need to look at how money works within it.

I talked a little about this in a recent podcast.

Picking Up Two Old Threads

In this post I want to pick up here on two threads that have cropped up in previous posts and bring them together.

  1. ‘Start with Finance’

An aside I made in this somewhat controversial previous post:

Command and control financial governance structures just aren’t changing overnight to suit an agile provisioning model. (As an aside, if you want to transform IT in an enterprise, start with finance. If you can crack that, you’ve a chance to succeed with sec and controls functions. If you don’t know why it’s important to start with finance, you’ll definitely fail).

zwischenzugs.com/

was picked up on by many people. They wanted to know more about why I was so vehement on that. Unfortunately, it was a throwaway line, and there was too much to unpack and it wasn’t clearly formed in my mind. But like many throwaway lines, it revealed a thread that might be good to pull on.

2. ‘Culture – Be Specific!’

Previously I was triggered by Charity Majors (@mipsytipsy) to write about my frustration at IT’s apparent inability to probe deeper than ‘culture’ when trying to diagnose problems in technical businesses.

Since then, I’ve spent more time in the course of my work trying to figure out what’s blocking companies from trying to change and increasingly have worked back from people and process to sales and funding.

The Argument

The argument breaks down like this:

  • To achieve anything significant you need funding
  • To get funding you need to persuade the people with the money to part with it
  • To persuade the people with the money, you need to understand what they value
  • To understand what they value, you need to understand how their cash flows work
  • To understand how their cash flow works, you need to understand
    • your customers/clients and how and why they part with their money
    • the legal and regulatory constraints on your business and how it operates

Or, put more engagingly:

Any significant decision or change therefore gets made in the context and constraints of how and why money is distributed to, and within, the business.

In addition to this systemic level, there is also a more visceral personal level on which money flows can change or affect behaviour. Compensation, threats of firing, and bonuses can all drive good or bad behaviours. Or, as it’s been put pithily before:

When you’ve got them by their wallets, their hearts and minds will follow.

Fern Naito

This is not to say that all culture is 100% determined by money flows. Individuals can make a difference, and go against the tide. But in the end, the tide is hard to fight.


There is a precedent for this argument in philosophy. Karl Marx argued
that societal culture (the ‘superstructure’) was ultimately determined
by material relations of production (the ‘base’). From wikipedia:

The base comprises the forces and relations of production (e.g. employer–employee work conditions, the technical division of labour, and property relations) into which people enter to produce the necessities and amenities of life. The base determines society’s other relationships and ideas to comprise its superstructure, including its cultureinstitutions, political power structuresrolesrituals, and state. The relation of the two parts is not strictly unidirectional, Marx and Engels warned against such economic determinism as the superstructure can affect the base. However the influence of the base is predominant.[1]

Wikipedia, Base and Superstructure
You have nothing to lose but your blockchains.

What Does This Mean For IT?

The theory is all very interesting, but what does this mean in practice?

There is a very common pattern in software companies’ histories (especially if they were founded before the Software-as-a-Service age), and understanding their flows in terms of their histories can explain a lot about how and why they struggle to change. I have seen it multiple times in the course of my work, both as a consultant and as an employee.

The Four Stages

Stage I – Hero Hacking

When a software company starts up, it often builds a product for a few big customers that sustain their cash flow in the early days. These times are a natural fit for ‘hero hackers’ who build features and fix bugs on live systems all night to help get that contract signed and keep their customers happy.

Your few customers are all important and demand features peculiar to them, so you keep delivery times low by having customer-specific code, or even forking the entire product codebase to keep up.

Stage I – customer asks, customer gets
Stage II – Pseudo Product

Now that you have some customers and they are happy with the product, its features, and your staff’s dedication to keeping them happy, more customers come along. So you sign contracts with them, and before you know it you have numerous customers.

Of course, you’re selling your services as a product, but the reality is that it’s a mess. Each installation is more or less unique, and requires individual teams to maintain or develop on them.

Stage II – Customer pays, customer gets… eventually. Things have gotten more complicated.

This is where things start to get more complicated.

  • Features grow and diverge for difference customers
  • Features get built in parallel for different customers, sometimes similar, but not the same
  • Database schemas diverge
  • Porting features sounds trivial (it’s a product, right?) but gets messy as code gets passed around different codebases
  • Some attempts are made to centralise or share core functionality, but this can slow down delivery or just get too complicated for teams to maintain

Grumbles from customers and between development teams start to increase in volume.

Stages IIIa and IIIb

The last two stages are closely related. Either or both can happen in the same company. Stage IIIb doesn’t necessarily follow from Stage IIIa, it’s really just the same problem in another form for the SaaS age.

Stage IIIa – We Want To Be A Product Company

As you get more and more customers it makes less and less sense to have these different teams porting features from one codebase to another, or copying and pasting for individual projects. Customers start to complain that their system is expensive to build on and maintain, as feature x requires ‘integration’ or some kind of bespoke delivery cost for their deployment.

At this point someone says: ‘Wouldn’t it make more sense for us to maintain one product, and maintain that centrally for multiple customers? That way, we can sell the same thing over and over again, increase the license cost, reduce delivery cost and make more profit.’

Stage III is where the cracks really start to show, and we go into how and why this happens this below.

The product vision – more customers pays less, and product improves
Stage IIIb – We Need An Internal Platform

As the (pseudo or real) product offering grows, or as you increasingly offer your software as a service on the cloud rather than a package delivered in a data centre, you invest heavily in a ‘platform’ that is designed to enable deliveries to be faster, cheaper, and better.

You might even set up some kind of platform team to build these cross-product features. It’s a similar justification to the product one: ‘Wouldn’t it make more sense for us to maintain one platform, and use it to deliver products for multiple customers? That way we could reduce cost of delivery for all the customers that use the platform, and increase quality at the same time.’

Where Does It All Go Wrong?

So how do things go wrong?

From Stage I to Stage II, things are relatively smooth. Everyone understands their role, and the difficulties you face are tough, but tractable and clear. As you go to Stage IIIa/b, it feels very tough to move towards the envisioned target. Everyone seems to agree what the goal is, but the reality is:

  • Customers still want their new features fast (and faster than their competition), and don’t want their requests to be ‘put on the backlog’
  • The merging of the codebases seems never to happen
  • Attempts to write new, unifying products are difficult to build and sell

All of these difficulties and failures can often be tracked to money flows.

Similarly, with platform teams:

  • The business wants to build a platform, but balks at the cost and struggles to see the value
  • The business has built the platform, but doesn’t accept that it needs a team to sustain it
  • The business has built a platform for reliability, but ‘heroes’ still want to fix things by hand for the glory rather than quietly tinker with a CI/CD workflow

Again, all of these difficulties and failures can often be tracked to money flows.

How This Happens – Money Flow Patterns

These difficulties come down to challenges moving from project to product, and these difficulties in turn come from how money moves into and through the business.

Stage I Money Flows – Hero Hacking

In Stage I, the money flows are simple:

  • Team builds software in cheap offices, often on low salaries with the promise of growth to come or fun, adventure and really wild things
  • The first customers are won because the product does something cheaper or better than the competition
  • The money from the first customers pays for nicer offices and more teams
  • More money comes in as customers demand modifications or maintenance on the delivery

The reality at Stage I is that there is no real ‘product’. There are projects that deliver what the customer needs, and the business is happy to provide these as each individual project is profitable (either on a ‘time and materials’ or a ‘fixed cost’ basis), and that results in a healthy profit at the end of the year.

The price that’s paid is that each customer’s codebase and configuration diverges, making porting those features and maintenance patterns a little more costly as time goes on.

But no matter: the business has a simple model for cash flow: keep the customer happy and the money flows in, and each customer gets the development and maintenance attention they pay for.

Stage I – customer asks, customer gets

Stage II Money Flows – Pseudo Product

In Stage II, the money flows are much the same, but the cracks are starting to show:

  • Customers are still happy with the attention they get, but:
    • Projects seem to take longer and cost more
    • Features that are apparently part of the product can’t be just ‘switched on’, but require ‘integration time’
    • The quality of the software feels low, as fixes are required because of the extra work required to integrate changes
Stage II – Customer pays, customer gets… eventually. Things have gotten more complicated.

At this point, customer executives start to say they yearn for a product that has a more predictable quality to it, and a roadmap, and is cheaper and feels less bespoke. Can’t all us customers just pay a lower fee every year and get a steadily improving product?

At the same time, the owners of the business are asking themselves whether they couldn’t make more money the same way: instead of 15 customers, wouldn’t it be great if we have 150, all taking the same product and paying (say) half the cost they are now? That kind of margin looks very tempting…

The result is that changes in external demand produce a desire to change the development model.

Stage IIIa – We Want To Be A Product Company

In Stage IIIa (and Stage IIIb), if the money flows stay the same as in Stages I and II, move to becoming a product company will feel extremely difficult. This is felt in a number of ways. Here’s one common story:

  • The company sets up a ‘product team’ that is responsible for productising the various disparate codebases and hacks that made up each customer’s bespoke setup.
  • This product team tries to corral the project teams into sacrificing short-term customer delight for long-term product strength and consistency.
  • The product team spends a lot of money doing all the work that is required to make a product, but customers are proving less willing than they said to believe and buy into the product. They find it difficult to change their priorities from the feature delivery times and speed of support they are used to, to accepting delays for a cheaper productised product.

Productisation Debt

Time and again, development and product teams tell their management that they have to make a call: sacrifice customer satisfaction for the product, or build up ‘productisation debt’.

  • Do you tell your biggest customer they are going to have to wait another month for a feature because the product has a release cadence and standards that are greater than they are willing to accept?
  • Even if they have the money ready to get the service they want?
  • Are you willing to watch the relationship with that customer deteriorate over several very difficult meetings as you explain to them that they can’t have what they want when they want it anymore?
  • Are you willing to risk losing them completely?
  • Do you tell them that they suffered an outage because of a change made for another customer last release?
    • Will it be any comfort to them to know that this feature is now available to them (fully fixed in the next release)?
The product vision – more customers pays less, and product improves

The result is that it takes a much longer time and more money than thought to get a successful product model going when the older money flows continue to push the organisation towards its old habits and culture. Why trade the feel-good factor of giving the customer what they want now for the slow burn of deferred rising profits in the future?

On the face of it it the arguments look simple: your profit margin will go up if you productise. The reality is that finance (and therefore the executives, shareholders, salespeople, HR, reward systems etc) have gotten used to the project-based money flows and cadences and find it incredibly hard to give up for some uncertain but better future that may be years away.

What you end up with is a more complicated version of Stage II (simplified here with only two customers for ‘clarity’).

The Product reality – customers and finance want to keep the relationship the same

Rather than your customer teams fighting with the customer to give them what they want, you now have more forces acting in opposition within your org, including:

  • The product team fights with the customer teams for resources
  • The customer team fights with the product team over productisation calls
  • Finance fights with the product development team for resources

The result is likely to end in failure for your product strategy.

Stage IIIb – We Need A Platform

The ‘platform’ stage is really a variation on the product phase (Stage IIIa), except that this time the customers have no visibility of the productisation or automation of what they’re sold. This is effectively a product built for an internal customer, the finance team who hope for money to be saved per project over time after an initial investment.

Platform team money flows similar

This can be easier or harder to achieve than Stage IIIa depending on the attitude of the internal customer vs the external customer.

Again, this can be affected by the details of the money flows: if the work to build a platform is on the books as capital expenditure (as opposed to operational expenditure – see below), executives may well ask ‘is the platform built yet?’ This question can baffle the team, as they’re well aware that such a platform is never ‘finished’, as there are always efficiency-generating improvements to make.

In both Stage IIIs, if the benefits of the platform are not quantified in financial terms from the start, then getting the funding required becomes difficult. This means that you should:

  • Measure the cost of delivery per project pre-platform, so you can compare to post platform
  • Ensure that the cost of the platform is ‘baked in’ to the sales cycle, so that there is a concept of platform profit and loss that can also be measured
  • Set expectations that ‘profit’ may be a long time coming, as is the case with most capital investments. Would you expect to build a house and start turning a profit in 1/20th of its lifetime?

Money Flow Patterns

The above patterns are common to small-medium sized software B2B software businesses, but they are not the only patterns that drive cultures and behaviour inappropriate to their stated aims.

Here we list some significant patterns and their effects on culture, delivery and operations.

Opex vs capex

Opex (operational expenditure) and capex (capital expenditure) are two different ways that business spending can be categorised. Briefly, opex is regular expenditure, and capex is significant, long-term expenditure.

Software projects’ costs have traditionally been categorised under capex, but as cloud computing has arisen, more and more of their costs have been moved to opex.

The designation of the spending can make a significant difference to how the work is treated by the business.

  • They may have different approval processes
  • There might be more money in the ‘capex pot’ this year than the ‘opex pot’ (or vice versa)
  • Your business may mandate that opex costs are preferred over capex costs because they see the management of assets as a burden
  • Or (as seen above) if the building of a software platform is considered a capex, then it might be considered as ‘done’ rather than as something that needs to be maintained as an opex

There are tax implications to both capex and opex that can further complicate discussions.

The line between what a capex and opex purchase is is not always clear, and most projects will have some kind of mixture of the two that make working out the effect on the business’s profit and loss account for that year difficult.

Project-based funding

Project-based funding is where money is allocated to a specific project and/or outcomes, as opposed to product-based work, where funding is usually allocated continuously. Project funding may be on a ‘time and materials’ or ‘fixed cost’ basis.

The cultural patterns associated with project-based funding are:

  • Pride in customer service and satisfaction
  • Prioritisation given to delivery over long-term stability
  • Scant attention paid to maintenance costs
  • Mounting technical debt and increasing complexity over time
  • Lack of co-ordination / duplication of effort between project teams
  • A ‘hero’ culture, as fast fixes to problems that arise gain attention over slower improvements
  • Perceived higher value for customer-pleasing project work over central and internal infrastructure work

Yearly funding cycles / business unit funding

Yearly funding cycles are where money is allocated to projects or products at the same time every year. This is normally driven by accounting cycles, which are almost always yearly.

Yearly accounting cycles make a mockery of technical teams’ attempts to be truly ‘Agile’ in response to business demand. If a released MVP product flies off the shelf in February, then you can’t get funding to scale it up until January next year.

Strict yearly funding cycles are also often associated with centralised funding within large business units that sit within larger organisations. This can make working in an agile way even harder, as there are two levels of politics to negotiate before more funding can be gained for your team: your own business unit’s internal politics, and the business unit’s relationship with the central funders.

First mover bears the cost

Individual business unit funding also makes it significantly harder for any kind of project whose benefits cut across business units to get off the ground, eg ‘Platform’ or ‘Infrastructure’ work. Costs for such projects are typically borne by a single centralised business unit that is perceived as delivering little business value, so is starved of funding.

This can also be characterised as a ‘first mover bears the cost’ problem.

No money for hard-to-measure benefits

Some organisations take a strict view of cost/benefit for any given expenditure that they make that must show some direct, tangible return on investment.

In general, this is sensible, but can result in difficulty getting funding for projects where there is not a readily measurable return.

For example, what if your investment:

  • Helps retain staff
  • Enables more dynamic and faster business outcomes
  • Reduces the risk of a failed audit

Is there a way to measure these, or even the language to state them as benefits at all?

Many businesses have no leeway for these qualitative benefits to factor into business cases.

What Is To Be Done?

Whenever you want to debug a misbehaving program, you want to get to the root cause. Workarounds are unsatisfying, and ultimately result in further problems as the workaround itself shows its failings.

I feel the same way about ‘cultural problems’ in organisations. It’s not enough to put posters up around and office imploring people to ‘be more agile’, or instruct people to have a daily stand-up and a two week work cadence to drive cultural change.

No, you have to go to the root of the structures that drive behaviour in order to make lasting change, whether it’s on a personal level or organisational. And my argument here is that the root of behaviours can be traced back to money flows.

So, what can you do about it? Here’s some suggestions:

  • Involve the CFO/finance team in the change program from the start
  • Explain to finance the reality of what you’re doing
  • Learn to speak the language of finance – talk to them

Most important of all, if you’re going to change the behaviour and goals of an organisation, you are going to have to change the way money moves around it. As Einstein is [wrongly said to have] said, doing the same thing over and over and expecting different is the definition of insanity.

If you can engage with finance in an open and enquiring way, then together you can make lasting change; if you don’t, then you will be fighting the tide. Just ask Marx.


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How To Waste Hundreds of Millions on Your IT Transformation

You’re a few years into your tenure as CEO of a Vandelay Industries, a behemoth in the Transpondsting space that’s existed for many decades.

The Real Strategy

You could really use the share price to go up soon so you can and sell your shares at the optimal point before fortune’s wheel turns and the board inevitably get rid of you.

You’re tired of Vandelay, and want to move to a better CEO job or maybe a nice juicy Chairmanship of another behemoth board before the share price drops.

What happens to Vandelay after you’re gone is not your problem. In fact, as you are likely to go and work for a rival corporation, it might even be better if things were worse at Vandelay once you’ve sold your shares than better.

Any means necessary are on the table.

Fortunately the solution to this problem is simple:

Declare a major technology transformation!

Why? Wall Street will love it. They love macho ‘transformations’. By sheer executive fiat Things Will Change, for sure.

Throw in ‘technology’ and it makes Wall Street puff up that little bit more.

The fact that virtually no analyst or serious buyer of stocks has the first idea of what’s involved in such a transformation is irrelevant. They will lap it up.

This is how capitalism works, and it indisputably results in the most efficient allocation of resources possible.

A Dash of Layoffs, a Sprinkling of Talent

These analysts and buyers will assume there will be reductions to employee headcount sooner rather than later, which of course will make the transformation go faster and beat a quick path to profit.

Hires of top ‘industry experts’ who know the magic needed to get all this done, and who will be able to pass on their wisdom without friction to the eager staff that remain, will make this a sure thing.

In the end, of course, you don’t want to come out of this looking too bad, do you?

So how best to minimise any fallout from this endeavour?

Leadership

The first thing you should do is sort out the leadership of this transformation.

Hire in a senior executive specifically for the purpose of making this transformation happen.

Well, taking responsibility for it, at least. This will be useful later when you need a scapegoat for failure.

Ideally it will be someone with a long resume of similar transformational senior roles at different global enterprises.

Don’t be concerned with whether those previous roles actually resulted in any lasting change or business success; that’s not the point. The point is that they have a lot of experience with this kind of role, and will know how to be the patsy. Or you can get someone that has Dunning-Kruger syndrome so they can truly inhabit the role.

The kind of leader you want.

Make sure this executive is adept at managing his (also hired-in) subordinates in a divide-and-conquer way, so their aims are never aligned, or multiply-aligned in diverse directions in a 4-dimensional ball of wool.

Incentivise senior leadership to grow their teams rather than fulfil the overall goal of the program (ideally, the overall goal will never be clearly stated by anyone – see Strategy, below).

Change your CIO halfway through the transformation. The resulting confusion and political changes of direction will ensure millions are lost as both teams and leadership chop and change positions.

With a bit of luck, there’ll be so little direction that the core business can be unaffected.

Strategy

This second one is easy enough. Don’t have a strategy. Then you can chop and change plans as you go without any kind of overall direction, ensuring (along with the leadership anarchy above) that nothing will ever get done.

Unfortunately, the world is not sympathetic to this reality, so you will have to pretend to have a strategy, at the very least. Make the core PowerPoint really dense and opaque. Include as many buzzwords as possible – if enough are included people will assume you know what you are doing. It helps if the buzzwords directly contradict the content of the strategy documents.

It’s also essential that the strategy makes no mention of the ‘customer’, or whatever provides Vandelay’s revenue, or why the changes proposed make any difference to the business at all. That will help nicely reduce any sense of urgency to the whole process.

Try to make any stated strategy:

  • hopelessly optimistic (set ridiculous and arbitrary deadlines)
  • internally contradictory (eg tight yearly budget cycles partnered with agile development)
  • inflexible from the start (aka ‘my way, or the highway’)

Whatever strategy you pretend to pursue, be sure to make it ‘Go big, go early’, so you can waste as much money as fast as possible. Don’t waste precious time learning about how change can get done in your context. Remember, this needs to fail once you’re gone.

Technology Architecture

First, set up a completely greenfield ‘Transformation Team’ separate from your existing staff. Then, task them with solving every possible problem in your business at once. Throw in some that don’t exist yet too, if you like! Force them to coordinate tightly with every other team and fulfil all their wishes.

Ensure your security and control functions are separated from (and, ideally, in some kind of war with) a Transformation Team that is siloed as far as possible from the mainstream of the business. This will create the perfect environment for expensive white elephants to be built that no-one will use.

All this taken together will ensure that the Transformation Team’s plans have as little chance of getting to production as possible. Don’t give security and control functions any responsibility or reward for delivery, just reward them for blocking change.

Ignore the ‘decagon of despair’. These things are nothing to do with Transformation, they are just blockers people like to talk about. The official line is that hiring Talent (see below) will take care of those. It’s easy to exploit an organisation’s insecurity about its capabilities to downplay the importance of these

The decagon of despair.

Talent

Hire hundreds of very expensive engineers and architects who don’t understand the business context. Do this before you’ve even established a clear architecture (which will never be defined) for your overall goals (which are never clearly articulated).

Give these employees no clear leadership, and encourage them to argue with each other (and everyone else, should they happen to come across them) about minor academic details of software development and delivery, thus ensuring that no actual delivery is in danger of happening.

Just let them get on with it.

Endgame

If all goes to plan, the initiative peaks at around 18 months in. The plan is in full swing and analysts are expecting benefits to show in the bottom line in the upcoming reports. Fortunately, you’ve done the groundwork, and internally, everyone can see it’s a mess.

People are starting to ask questions about the lack of results. The promised benefits have not arrived, and costs seem to be spiralling out of control. The faction for change you encouraged is now on the defensive in senior meetings, and the cultural immune system of the old guard is kicking in again, reasserting its control.

It’s now time for you to protest that everything is going to plan, but gracefully accept your fate and your juicy payoff. If you’ve still not got enough cash to be happy, then you can go to Landervay Industries, and use your hard-won experience there to help them turn their business around. Maybe this time it will work, as your main competition (Vandelay) seems to be struggling since you left…

With luck, we all retire, even Dons.

Useful Resources

Generate strategy statement without any effort: https://strategy-madlibs.herokuapp.com/

Cloud Native Transformation patterns to avoid: http://www.cnpatterns.org/patterns-library

Disclaimer

None of this happened in real life. Any relation to any enterprises or technology transformations existing or cancelled is entirely accidental.


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When Should I Interrupt Someone?

How many times have you sat there trying to work through a technical problem, and thought:

Is it OK if I interrupt someone else to get them to help me?

Pretty much every engineer ever

Since I work with companies that are in the process of moving to Cloud Native technologies, there is often a huge gulf in knowledge and experience between the ‘early adopters’/’pioneers’ and the rest of the organisation.

Bridging that gap is a very costly process involving a combination of approaches such as formal training, technical mentoring, gentle cajoling, and internal documentation.

Very commonly, the more junior technical staff are very wary of interrupting their more senior colleagues, whose time is perceived as more valuable, and whose knowledge and experience can inhibit them from seeking help.

The Problem

Most of the time this isn’t a huge problem, as engineers negotiate between them when it’s OK to interrupt by observing how often others do it, developing good relationships with their peers, and so on.

It becomes a problem when people are unable to feel safe to interrupt others. This might be because:

  • They feel ‘left out’ of the team
  • They feel like they ‘should’ be able to solve the problem themselves
  • They think asking for help is a failure signal
  • They don’t want to “waste others’ time”

Of course, all of these reasons are related reasons to do with psychological safety, so often cited as a core characteristic of high-performing teams. This article can’t solve that problem, but seeks to help with one aspect of it. If you have rules around when and how it’s ‘OK’ to ask for help, it can make you safer about seeking it.

If people feel unable to ask for help, they can (at the worst extremes) sit there sweating for days making no progress, while feeling under enormous stress about their work. At the other end, you can get employees that ask for help after getting stuck immediately, wasting others’ time as they have to explain their problem to someone, and very often fixing the problem themselves as they talk.

The Rule of Thumb

Early in my career, the first consultancy I worked with had a really simple rule for this:

If you’re stuck for over an hour, seek help.

This beautifully simple rule works very well in most contexts. It stops people sitting on blockages for days, and stops them from jumping out of their seat early in a panic.

A further piece of advice which I add to this is:

When you seek advice, first write down everything you’ve tried.

This has at least three benefits:

  1. It acts as a form of rubber duck debugging. Very often, in the process of taking a step back and writing down what you’ve tried, you’ll see what you missed.
  2. When you go to get help, you have evidence that you’ve gone through some kind of structured thought process before raising the alarm, rather than just asking for help as soon as the going got tough.
  3. You will save time explaining the context to someone else you’ve forced to context switch.

An essay is not required. Just enough notes to explain clearly and concisely what problem you’re facing and what your thinking was about how to solve it.

The Formula

The rule of thumb is simple and useful, but there’s other factors to consider if you want to get really scientific about when and how it’s OK to interrupt others. If you’re in the business of knowledge work, every time you interrupt someone you reduce their efficiency, and cost your business money.

Bosses are notorious for being cavalier with their inferiors’ time, but there’s often a good justification for this: their time is worth more to the business than yours.

So I came up with a formula for this, embodied in this spreadsheet.

The formula takes in a few parameters:

  • ‘Time taken thus far’ (ie how much time you’ve spent stuck on the problem) (“T3F”)
  • Time it will take to explain to someone else (“T3E”)
  • The ‘interruption overhead’ to the interruptee (“IO”)
  • The relative worth of your time and the interruptee’s time (“RTW”)

and tells you whether it’s ok to interrupt, as well as how much time you should still spend looking at it before interrupting. The interesting extra parameter here is the ‘relative cost’ of your time to the interruptee’s. This will be difficult to estimate accurately, but it can be set by the more senior staff as a guide to when they want to get involved in a problem. The last thing a more senior engineer should want is for their juniors to be spending significant amounts of time neither solving the problem nor developing their knowledge and capabilities.

The formula, for those interested is:

Interrupt if:

T3F > RTW (IO + T3E)

If you use it, let me know!

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An Incompetent Newbie Takes Up 3D Printing

Like many self-confessed geeks, I’ve long been curious about 3d-printing. To me, it sounds like the romantic early days of home computing in the 70s, where expensive machines that easily broke and were used as toys gradually gave way to more reliable and useful devices that became mainstream twenty years later.

The combination of a few factors led me to want to give it a go: needing a hobby in lockdown; teenage kids who might take to it (and were definitely interested); a colleague who had more experience with it; and the continuing drop in prices and relative maturity of the machines.

Going into this, I knew nothing about the details or the initial difficulties, so I wanted to blog about it before I forget about them or think that they are ‘obvious’ to everyone else. Plenty wasn’t obvious to me…

Reading Up And Choosing A Printer

I started by trying to do research on what kind of printer I wanted, and quickly got lost in a sea of technical terms I didn’t understand, and conflicting advice on forums. The choices were utterly bewildering, so I turned to my colleague for advice. The gist of what he told me was: ‘Just pick one you can afford that seems popular and go for it. You will learn as you go. Be prepared for it to break and be a general PITA.’

So I took his advice. I read somewhere that resin printers were far more detailed, and got advice from another former colleague on the reputable brands, held my nose and dove in. I plumped for the Elegoo Mars 2, as it was one of the recommendations, and it arrived a few days later, along with a bottle of resin. Machine + resin was about £230.

Setup

I won’t say setup was a breeze, but I imagine it was a lot slicker than it was in the really early days of home 3d printing. I didn’t have to construct the entire thing, and the build quality looked good to me.

The major difficulties I had during setup were:

  • Not realising I needed to wash the print in IPA (Isopropyl Alcohol, 90%+), surgical gloves (washing up gloves won’t cut it), and a mask. The people that inhabit 3d printing forums seemed to think it was trivial to get hold of gallons of it from local hardware stores, but all I could find was a surprisingly expensive 250ml bottle for £10 in a local hardware shop (the third I tried). Three pairs of gloves are supplied
  • Cack-handedly dropping a screw into the resin vat (not recommended) and having to fish it out.
  • Not following the instructions on ‘levelling the plate’ (the print starts by sticking resin to the metal printing plate, so it has to be very accurately positioned) to the absolute letter. The instructions weren’t written by a native speaker and also weren’t clearly laid out (that’s my excuse).

I also wasn’t aware that 3d-printing liquid resin is an unsafe substance (hence the gloves and mask), and that the 3d printing process produces quite a strong smell. My wife wasn’t particularly happy about this news, so I then did a lot of research to work out how to ensure it was safe. This was also bewildering, as you get everything from health horror stories to “it’s fine” reassurance.

In the event it seems like it’s fine, as long as you keep a window open whenever the printing lid is off and for a decent time after (30 mins+). It helps if you don’t print all day every day. The smelliest thing is the IPA, which isn’t as toxic as the resin, so as long as you keep the lid on wherever possible any danger is significantly reduced. If you do the odd print every other day, it’s pretty safe as far as I can tell. (This is not medical advice: IANAD). A far greater risk, it seems, is getting resin on your hands.

Thankfully also, the smell is not that unpleasant. It’s apparently the same as a ‘new car’ smell (which, by the way, is apparently horrifyingly toxic – I’ll always be opening a window when I’m in a new car in future).

Unlike the early days of computing, we have youtube, and I thoroughly recommend watching videos of setups before embarking on it yourself.

Finally, resin disposal is something you should be careful about. It’s irresponsible to pour resin down the drain, so don’t do it. Resin hardens in UV light (that’s how the curing/hardening process works), so there’s plenty of advice on how to dispose of it safely.

First Print

The first prints (which come on the supplied USB stick) worked first time, which was a huge relief. (Again, online horror stories of failed machines abound.)

The prints themselves were great little pieces themselves, a so-called ‘torture test’ for the printer to put it through its paces. A pair of rooks with intricate staircases inside and minute but legible lettering. The kids immediately claimed them as soon as I’d washed them in alcohol and water, before I had the time to properly cure them.

I didn’t know what curing was at the time, and had just read that it was a required part of the process. I was confused because I’d read it was a UV process, but since the machine worked by UV I figured that the capability to cure came with the machine. Wrong! So I’d need a source of UV light, which I figured daylight would provide.

I tried leaving the pieces outside for a few hours, but I had no idea when they would be considered done, or even ‘over-cured’, which is apparently a thing. In the end I caved and bought a curing machine for £60 that gave me peace of mind.

From here I printed something for the kids. The first print proper:

Darth Buddha, First Print for my Kids

I’d decided to ‘hollow out’ this figure, to reduce the cost of the resin. I think it was hollowed to 2mm, and worked out pretty well. One downside was that the base came away slightly at the bottom, suggesting I’d hollowed it out too much. In any case, the final result has pride of place next to the Xbox.

More Prints

Next was for me, an Escher painting I particularly like (supposedly the figure in the reality/gallery world is Wittgenstein):

MC Escher’s ‘Print Gallery’ Etched in 3-D

You can see that there are whiter, chalkier bits. I think this is something to do with some kind of failure in my washing/curing process combined with the delicacy of the print, but I haven’t worked out what yet.

And one for my daughter (she’s into Death Note):

And another for me – a 3D map of the City of London:

A 3D Map of the City of London

The Paraphernalia Spreads…

Another echo of the golden age of home computing is the way the paraphernalia around the machine gradually grows. The ‘lab’ quickly started to look like this:

The Paraphernalia Spreads…

Alongside the machine itself, you can also see the tray, tissue paper, bottles (IPA and resin), curing station, gloves, masks, tools, various tupperware containers, and a USB stick.

It helps if you have a garage, or somewhere to spread out to that other people don’t use during the day.


If you like this, you might like one of my books:
Learn Bash the Hard Way

Learn Git the Hard Way
Learn Terraform the Hard Way

LearnGitBashandTerraformtheHardWay
Buy in a bundle here

Disaster One

After a failed print (an elephant phone holder for my mother), which sagged halfway through on the plate, the subsequent attempts to print were marked by what sounded like a grinding noise of the plate against the resin vat. It was as though the plate tried to keep going through the vat to the floor of the machine.

I looked up this problem online, and found all sorts of potential causes, and no easy fix. Some fixes talked about attaching ‘spacers’ (?) to some obscure part of the machine. Others talked about upgrading the firmware, and even a ‘factory’. Frustrated with this, I left it alone for a couple of weeks. After re-levelling the plate a couple of times (a PITA, as the vat needed to be carefully removes, gloves and mask on etc), it occurred to me one morning that maybe some hardened material had fallen into the resin vat and that that was what the plate was ‘grinding’ on.

I drained the vat, which was a royal PITA the first time I did it, as my ineptitude resulted in spilled resin due to the mismatch between bottle size and resin filter (the supplied little resin jug is also way to small for purpose). But it was successful, as there were bits caught in the filter, and after re-filling the vat I was happily printing again.

Disaster Two

Excited that I hadn’t spent well north of £200 on a white elephant, I went to print another few things. Now the prints were failing to attach to the plate, meaning that nothing was being printed at all. A little research again, and another draining of the vat later I realised the problem: the plate hadn’t attached to the print, but the base of the print had attached to the film at the bottom of the vat. This must be a common problem, as a plastic wedge is provided for exactly this purpose. It wasn’t too difficult to prise the flat hardened piece of resin off the floor of the vat and get going again.

Talking to my colleague I was told that ‘two early disasters overcome is pretty good going so far’ for 3d printing.

We’re Back

So I was back in business. And I could get back to my original intention to print architectural wonders (history of architecture is an interest of mine). Here’s a nice one of Notre Dame.

Conclusion

When 3d printing works, it’s a joy. There is something magical about creating something so refined out of a smelly liquid.

When it doesn’t work it’s very frustrating. Like speculating on shares, I would only spend money on it you can afford to lose. And like any kind of building, don’t expect the spending to stop on the initial materials.

I think this is the closest I’ll get to the feeling of having one of these in 1975 (the year I was born).

The Altair 8800 Home PC

It’s also fun to speculate on what home 3d printing will look like in 45 years…

GitOps Decisions

GitOps is the latest hotness in the software delivery space, following (and extending) on older trends such as DevOps, infrastructure as code, and CI/CD.

So you’ve read up on GitOps, you’re bought in to it, and you decide to roll it out.

This is where the fun starts. While the benefits of GitOps are very easy to identify:

  • Fully audited changes for free
  • Continuous integration and delivery
  • Better control over change management
  • The possibility of replacing the joys of ServiceNow with pull requests

the reality is that constructing your GitOps pipelines is far from trivial, and involves many big and small decisions that add up to a lot of work to implement as you potentially chop and change as you go. We at Container Solutions call this ‘GitOps Architecture’ and it can result in real challenges in implementation.

The good news is that with a bit of planning and experience you can significantly reduce the pain involved in the transition to a GitOps delivery paradigm.

In this article, I want to illustrate some of these challenges by telling the story of a company that adopts GitOps as a small scrappy startup, and grows to a regulated multinational enterprise. While such accelerated growth is rare, it does reflect the experience of many teams in larger organisations as they move from proof of concept, to minimum viable product, to mature system.

‘Naive’ Startup

If you’re just starting out, the simplest thing to do is create a single Git repository with all your needed code in it. This might include:

  • Application code
  • A Dockerfile, to build the application image
  • Some CI/CD pipeline code (eg GitLab CI/CD, or GitHub Actions)
  • Terraform code to provision resources needed to run the application
  • All changes directly made to master, changes go straight to live

The main benefits of this approach are that you have a single point of reference, and tight integration of all your code. If all your developers are fully trusted, and shipping speed is everything then this might work for a while.

Unfortunately, pretty quickly the downsides of this approach start to show as your business starts to grow.

First, the ballooning size of the repository as more and more code gets added can result in confusion among engineers as they come across more clashes between their changes. If the team grows significantly, then a lot of rebasing and merging can result in confusion and frustration.

Second, you can run into difficulties if you need to separate control or cadence of pipeline runs. Sometimes you just want to quickly test a change to the code, not deploy to live, or do a complete build and run of the end-to-end delivery.

Increasingly the monolithic aspect of this approach creates more and more problems that need to be worked on, potentially impacting others’ work as these changes are worked through.

Third, as you grow you may want more fine-grained responsibility boundaries between engineers and/or teams. While this can be achieved with a single repo (newer features like CODEOWNERS files can make this pretty sophisticated), a repository is often a clearer and cleaner boundary.

Repository Separation

It’s getting heavy. Pipelines are crowded and merges are becoming painful. Your teams are separating and specialising in terms of their responsibility.

So you decide to separate repositories out. This is where you’re first faced with a mountain of decisions to make. What is the right level of separation for repositories? Do you have one repository for application code? Seems sensible, right? And include the Docker build stuff in there with it? Well, there’s not much point separating that.

What about all the team Terraform code? Should that be in one new repository? That sounds sensible. But, oh: the newly-created central ‘platform’ team wants to control access to the core IAM rule definitions in AWS, and the teams’ RDS provisioning code is in there as well, which the development team want to regularly tweak.

So you decide to separate out the Terraform out into two repos: a ‘platform’ one and an ‘application-specific’ one. This creates another challenge, as you now need to separate out the Terraform state files. Not an insurmountable problem, but this isn’t the fast feature delivery you’re used to, so your product manager is now going to have to explain why feature requests are taking longer than previously because of these shenanigans. Maybe you should have thought about this more in advance…

Unfortunately there’s no established best practice or patterns for these GitOps decisions yet. Even if there were, people love to argue about them anyway, so getting consensus may still be difficult.

The problems of separation don’t end there. Whereas before, co-ordination between components of the build within the pipeline were trivial, as everything was co-located, now you have to orchestrate information flow between repositories. For example, when a new Docker image is built, this may need to trigger a deployment in a centralised platform repository along with passing over the new image name as part of that trigger.

Again, these are not insurmountable engineering challenges, but they’re easier to implement earlier on in the construction of your GitOps pipeline when you have space to experiment than later on when you don’t.

OK, your business is growing, and you’re building more and more applications and services. It increasingly becomes clear that you need some kind of consistency in structure in terms of how applications are built and deployed. The central platform team tries to start enforcing these standards. Now you get pushback from the development teams who say they were promised more autonomy and control than they had in the ‘bad old days’ of centralised IT before DevOps and GitOps.

If these kind of challenges ring bells in readers’ heads it may be because there is an analogy here between GitOps and monolith vs microservices arguments in the application architecture space. Just as you see in those arguments, the tension between distributed and centralised responsibility rears its head more and more as the system matures and grows in size and scope.

On one level, your GitOps flow is just like any other distributed system where poking one part of it may have effects not clearly understood, if you don’t design it well.


If you like this, you might like my book Learn Git the Hard Way


Environments

At about the same time as you decide to separate repositories, you realise that you need a consistent way to manage different deployment environments. Going straight to live no longer cuts it, as a series of outages has helped birth a QA team who want to test changes before they go out.

Now you need to specify a different Docker tag for your application in ‘test’ and ‘QA’ environments. You might also want different instance sizes or replication features enabled in different environments. How do you manage the configuration of these different environments in source? A naive way to do this might be to have a separate Git repository per environment (eg superapp-dev, super-app-qa, super-app-live).

Separating repositories has the ‘clear separation’ benefit that we saw with dividing up the Terraform code above. However, few end up liking this solution, as it can require a level of Git knowledge and discipline most teams don’t have in order to port changes between repositories with potentially differing histories. There will necessarily be a lot of duplicated code between the repositories, and – over time – potentially a lot of drift too.

If you want to keep things to a single repo you have (at least) three options:

  • A directory per environment
  • A branch per environment
  • A tag per environment

Sync Step Choices

If you rely heavily on a YAML generator or templating tool, then you will likely be nudged more towards one or other choice. Kustomize, for example, strongly encourages a directory-based separation of environments. If you’re using raw yaml, then a branch or tagging approach might make you more comfortable. If you have experience with your CI tool in using one or other approach previously in your operations, then you are more likely to prefer that approach. Whichever choice you make, prepare yourself for much angst and discussion about whether you’ve chosen the right path.

Runtime Environment Granularity

Also on the subject of runtime environments, there are choices to be made on what level of separation you want. On the cluster level, if you’re using Kubernetes, you can choose between:

  • One cluster to rule them all
  • A cluster per environment
  • A cluster per team

At one extreme, you can put all your environments into one cluster. Usually, there is at least a separate cluster for production in most organisations.

Once you’ve figured out your cluster policy, at the namespace level, you can still choose between:

  • A namespace per environment
  • A namespace per application/service
  • A namespace per engineer
  • A namespace per build

Platform teams often start with a ‘dev’, ‘test’, ‘prod’ namespace setup, before realising they want more granular separation of teams’ work.

You can also mix and match these options, for example offering each engineer their own namespace for ‘desk testing’, as well as a namespace per team if you want.

Conclusion

We’ve only scratched the surface here of the areas of decision-making required to get a mature GitOps flow going. You might also consider RBAC/IAM and onboarding, for example, an absolute requirement if you grow to become that multinational enterprise.

Often rolling out GitOps can feel like a lot of front-loaded work and investment, until you realise that before you did this none of it was encoded at all. Before GitOps, chaos and delays ensued as no-one could be sure in what state anything was, or should be. These resulted in secondary costs as auditors did spot checks and outages caused by unexpected and unrecorded changes occupied your most expensive employees’ attention. As you mature your GitOps flow, the benefits multiply, and your process takes care of many of these challenges. But more often than not, you are under pressure to demonstrate success more quickly than you can build a stable framework.

The biggest challenge with GitOps right now is that there are no established patterns to guide you in your choices. As consultants, we’re often acting as sherpas, guiding teams towards finding the best solutions for them and nudging them in certain directions based on our experience.

What I’ve observed, though, is that choices avoided early on because they seem ‘too complicated’ are often regretted later. But I don’t want to say that that means you should jump straight to a namespace per build, and a Kubernetes cluster per team, for two reasons.

1) Every time you add complexity to your GitOps architecture, you will end up adding to the cost and time to deliver a working GitOps solution.

2) You might genuinely never need that setup anyway.

Until we have genuine standards in this space, getting your GitOps architecture right will always be an art rather than a science.

Five Ways to Undo a Commit in Git

Recently, while showing someone at work a useful Git ‘trick’, I was asked “how many ways are there to undo a bad change in Git?”. This got me thinking, and I came up with a walkthrough similar to the ones I use in my book to help embed key Git concepts and principles.

There’s many ways to achieve the result you might want, so this can be a pretty instructive and fertile question to answer.

If you want to follow along, run these commands to set up a simple series of changes to a git repository:

cd $(mktemp -d)
git init
for i in $(seq 1 10)
do
  echo "Change $i" >> file
  git add file
  git commit -m "C${i}"
done

Now you are in a fresh folder with a git repository that has 10 simple changes to a single file (called ‘file') in it. If you run:

git log --oneline --graph --all

at any point in this walkthrough you should be able to see what’s going on.

See here if you want to know more about this git log command.


1) Manual Reversion

The simplest way (conceptually, at least) to undo a change is to add a new commit that just reverses the change you last made.

First, you need to see exactly what the change was. The ‘git show‘ command can give you this:

git show HEAD

The output should show you a diff of what changed in the last entry. The HEAD tag always points to a specific commit. If you haven’t done any funny business on your repo then it points to the last commit on the branch you are working on.

Next, you apply the changes by hand, or you can run this command (which effectively removes the last line of the file) to achieve the same result in this particular context only:

head -9 file > file2
mv file2 file

and then commit the change:

git commit -am 'Revert C10 manually'

2) git revert

Sometimes the manual approach is not easy to achieve, or you want to revert a specific commit (ie not the previous one on your branch). Let’s say we want to reverse the last-but-two commit on our branch (ie the one that added ‘Change 9‘ to the file).

First we use the git rev-list command to list the previous changes in reverse order, and capture the commit ID we want to the LASTBUTONE variable using pipes to head and tail:

COMMITID=$(git rev-list HEAD | head -3 | tail -1)

Now check that that change is the one you want:

git show ${COMMITID}

which should output:

commit 77c8261da4646d8850b1ac1df16346fbdcd0b074
Author: ian ian.miell@gmail.com
Date: Mon Sep 7 13:38:42 2020 +0100
C9
diff --git a/file b/file
index 5fc3c46..0f3aaf4 100644
--- a/file
+++ b/file
@@ -6,3 +6,4 @@ Change 5
Change 6
Change 7
Change 8
+Change 9

Now, to reverse that change, run:

git revert ${COMMITID}

and follow the instructions to commit the change. The file should now have reverted the entry for Change 9 and the last line should be Change 8. This operation is easy in this trivial example, but can get complicated if the changes are many and varied.


3) Re-point Your Branch

This method makes an assumption that you can force-push changes to remote branches. This is because it changes the history of the repository to effectively ‘forget’ about the change you just made.

In this walkthrough we don’t have a remote to push to, so it doesn’t apply.

Briefly, we’re going to:

  • check out the specific commit we want to return to, and
  • point our branch at that commit

The ‘bad commit’ is still there in our local Git repository, but it has no branch associated with it, so it ‘dangles’ off a branch until we do something with it. We’re actually going to maintain a ‘rejected-1‘ branch for that bad commit, because it’s neater.

Let’s first push a bad change we want to forget about:

echo Bad change > file
git commit -am 'Bad change committed'

Now we realise that that change was a bad one. First we make a branch from where we are, so we can more easily get back to the bad commit if we need to:

git branch rejected-1

Now let’s check out the commit before the bad one we just committed:

git checkout HEAD^

Right now you have checked out the commit you would like your master branch to be pointed at. But you likely got the scary detached HEAD message:

Note: switching to 'HEAD^'.
You are in 'detached HEAD' state. You can look around, make experimental
changes and commit them, and you can discard any commits you make in this
state without impacting any branches by switching back to a branch.
If you want to create a new branch to retain commits you create, you may
do so (now or later) by using -c with the switch command. Example:

What this means is that you are on the commit you want to be on, but are not on a branch. master is still pointed at the ‘bad’ commit. You can check this with a quick log command:

$ git log --oneline --graph --all --decorate
8f08673 (rejected-1, master) Bad change committed
cbc9576 (HEAD) Revert "C9"
ef86963 Revert C10 manually
067bb17 C10
77c8261 C9
6a10d2b C8
1125bde C7
a058fa5 C6
a8392e9 C5
dca0013 C4
46a0b18 C3
3df2db8 C2
84a9d7a C1

Your ‘HEAD‘ (ie, where your Git repository is right now) is pointed at the commit before the ‘bad’ one. The rejected-1 and master branches are still pointed at the ‘bad’ commit.

We want the master branch to point to where we are right now (HEAD). To do this, use git branch, but force the branching to override the error we would get because the branch already exists. This is where we start to change the Git repo’s history.

git branch -f master

The log should now show we are on the master branch:

8f08673 (rejected-1) Bad change committed
cbc9576 (HEAD, master) Revert "C9"
ef86963 Revert C10 manually
067bb17 C10
77c8261 C9
6a10d2b C8
1125bde C7
a058fa5 C6
a8392e9 C5
dca0013 C4
46a0b18 C3
3df2db8 C2
84a9d7a C1

You should be able to see now why we branched off the rejected-1 branch earlier. If we want to get back to the ‘bad’ commit, it’s easy to check out that branch. Also, the branch provides an annotation for what the commit is (ie a mistake).

We’re not finished yet, though! The commit you have checked out is now the same as the commit the master branch is on, but you still need to tell Git that you want to be on the master branch:

git checkout master

Now you have effectively un-done your change. The ‘bad’ change is safely on the rejected-1 branch, and you can continue your work as if it never happened.

Remember that if you have a remote, then you will need to force-push this change with a git push -f. In this walkthrough we don’t have a remote, so we won’t do that.


If you like this, you might like my book Learn Git the Hard Way


4) git reset

There’s a more direct way to revert your local repository to a specific commit. This also changes history, as it re-sets the branch you are one back some steps.

Let’s say we want to go back to ‘Change 8’ (with the commit message ‘C8‘).

COMMITID=$(git rev-list HEAD | head -5 | tail -1)
echo $COMMITID

Check this is the commit you want by looking at the history:

git log --oneline --graph --all

Finally, use the git reset command to . The --hard flag tells git that you don’t mind changing the history of the repository by moving the branch tip backwards.

git reset --hard "${COMMITID}"

Now your HEAD pointer and master branch are pointed at the change you wanted.


5) git rebase

This time we’re going to use git rebase to go back to ‘Change 6’. As before, you first get the relevant commit ID. Then you use the git rebase command with the -i (interactive) flag to ‘drop’ the relevant commits from your branch.

COMMITID=$(git rev-list HEAD | head -3 | tail -1)
git rebase -i "${COMMITID}"

At this point you’re prompted to decide what to do with the previous commits before continuing. Put a ‘d‘ next to the commits you want to forget about.

If you run the git log command again:

git log --oneline --graph --all

You’ll see that the commits are still there, but the master branch has been moved back to the commit you wanted:

8f08673 (rejected-1) Bad change committed
cbc9576 Revert "C9"
ef86963 Revert C10 manually
067bb17 C10
77c8261 C9
6a10d2b C8
1125bde C7
a058fa5 (HEAD -> master) C6
a8392e9 C5
dca0013 C4
46a0b18 C3
3df2db8 C2
84a9d7a C1

This trick can also get you to return your branch to the initial commit without losing the other commits, which is sometimes useful:

git rebase -i $(git rev-list --max-parents=0 HEAD)

This uses the git rev-list command and --max-parents flag to give you the first commit ID in the history. Dropping all the above commits by putting ‘d‘ next to all the commits takes your branch back to the initial commit.


Other git posts

Git Log – the Good Parts

Five Things I Wish I’d Known About Git

Beyond ‘Punk Rock’ Git

Power Git Log Graphing

Git Hooks the Hard Way


If you like this, you might like one of my books:
Learn Bash the Hard Way

Learn Git the Hard Way
Learn Terraform the Hard Way

LearnGitBashandTerraformtheHardWay
Buy in a bundle here

The Halving of the Centre: Covid and its Effect on London Property

When I was growing up in an outer suburb of London in the 1980s, there was much talk of the decline of the city. In the future, we were told, we would all be working remotely via telescreens from our decentralised living pods.

The economics and technology of the argument seemed solid. The Internet was coming up in earnest (from 1990), and we wouldn’t need to be near each other anymore to do our jobs. In the event, that didn’t happen, and property prices in London rose dramatically as people clustered to where the jobs were in the later 90s, the noughties, and up until 2020.

COVID, of course, has changed all that.

In this article, I want to take a peek into the future and speculate on what will be the medium term effect on London of the systemic shock COVID has brought to our working practices and assumptions.

Here’s the flow of the analysis:

  • Working from home is now a thing
  • 50% of office space is not needed
  • How much office/residential/retail space is there?
  • How long will this take?

Skip to ‘Consequences‘ below if you’re not interested in the analysis.

Working From Home Is Definitely Now A Thing

There’s no doubt that WFH is now a proven model for working. Whatever objections existed in the past (and difficulty was had negotiating it) few businesses now think that having everyone in the office all the time is essential or even desirable for their bottom line. Most managers used to furrow their brow if someone wanted to WFH and grudgingly offer it as a ‘perk’, and maybe let them WFH for one day a week. Pre 2020, a few plucky businesses (normally startups or smaller tech firms) offered or embraced remote working, but these were a relatively low proportion of all businesses or workers in the economy.

But right now, many companies are effectively operating as distributed businesses that telecommute. Many reports say that office workers will not return until 2021. And when they do, their habits will have ineradicably altered.

But there’s also no doubt WFH is not for everyone all of the time. Many people want or even need the physical social contact that work gives them. On the other hand, CFOs across the capital must be looking at their operating costs and wondering by what percentage they can be cut.

So the question arises: how much less office space can people use and still be productive and content? Right now I would estimate we are at near 80% of office space going unused in central London (I work alone from an office in Central London at the moment (July 2020), and apart from construction and security workers, it’s eerily quiet here).

I’m going to take a guess here and say that businesses – on average – will be planning to cut 50% of office space. Some people will go back full time, some people will come in for a few days a fortnight, and some will come in rarely (if at all). On the other hand, extra space may be be needed to maintain safety from next year. Fifty percent seems a reasonable estimate. It’s also backed up by anecdotal stories coming from the City:

“If we have learned nothing we have learned that 40-50% of staff
can work from home. For the time being some leases are long
but there should be plenty of room if only 50% of the staff
are present every day, without requiring extra space.”
Source

How Much Office Space Is There?

What does 50% less office space utilisation actually mean for London? How significant is this, historically?

Firstly, I’m going to look at office space in Central London. The best figures I could find were here, from 2012.

BoroughSquare metresSquare feet
Westminster5,373,00057,800,000
The City5,000,00053,800,000
Tower Hamlets2,458,00026,400,000
Camden2,137,00023,000,000
Islington1,455,00015,700,000
Southwark1,270,00013,700,000
TOTAL17,693,000190,376,680
Central London Office Space by Borough, 2012. Source

There was 190m sq ft of office space in these central boroughs in 2012. This source suggests that this doesn’t move much every year, (some 800,000 sq feet of space was converted to residential, but new offices are also being built) so if it has moved since, it would be in the low millions. Other sources suggest that the change in office space was roughly +1% per year between 2000 and 2012

So let’s assume we lose the need for around 90-100m sq ft of space. What do these figures mean, in a historical context?

This source tells us the number of jobs per London borough between 1984 and 2010. Usefully, in the middle of this was a large recession which reached its nadir in 1993.

Number of jobs (000s) per borough 1984-2010. Source

A quick look at the numbers for the City of London tells us that the peak (2010) to trough of jobs (1993) in town was about 20%. So a big recession (the 90s was a pretty big one) resulted in 20% fewer people working in town.

The effect of a 50% reduction is therefore utterly seismic. We’re in uncharted territory.

I don’t know how far you’d have to go back to get back to those levels. Leaving the war aside, maybe the 1950s had similar levels of people working in London then? Before that, you’d have to go back to times when horses were the main means of transport in London, which was effectively a different world.

How Much Household Space Is There?

So if half the office space is no longer needed, can this space be converted into residential property?

To figure this out, we need to know:

  • How many Central London households are there?
  • How big is the ‘typical’ Central London household?
  • How much can be converted at once?

We have the number of households recorded here:

BoroughNumber of Households
Westminster117,100
The City0 (ie negligible)
Tower Hamlets121,200
Camden111,400
Islington108,800
Southwark128,600
TOTAL587,100
Central London households by Borough, 2012. Source

We have 587,100 households. The median household size (based on a Rightmove search of EC1 + 1 mile) is two bedrooms.

BedroomsNumber for sale
Studio187
1944
21306
3554
477
5+36
EC1 + 1 mile search on Rightmove

The average size of a 2 bed in this area is ~800 square foot, so the estimated floorspace of residential property in Central London is: 587,100 * 800 = 469,680,000 square feet.

So the amount of ‘freed up’ office space (~ 90-100m sq feet) gives about 20% extra residential space to Central London, if it were all to be ‘handed over’ instantaneously.

How Much Retail Space Is There?

London doesn’t just contain office and residential space, there’s also retail. From this source, the figures show that the amount of space is – relatively speaking – not that significant:

BoroughSquare metresSquare feet
The City2,810,000~3,000,000
Westminster1,973,000~21,200,000
Camden637,000~6,900,000
Islington413,000~4,400,000
Southwark434,000~4,700,000
Tower Hamlets455,000~4,900,000
TOTAL6,722,000~45,000,000
Retail floorspace in Central London boroughs. Source

Aside from noting its relative lack of size, predicting whether retail floorspace will go up or down is harder to determine. If people move in, retail demand may increase. If people stop working there, it may fall. If floorspace gets cheaper, larger retailers may move back into town to take advantage of Central London’s connectivity to sell more. So I think retail floorspace demand can safely be ignored for the purposes of this discussion.

How Long Will This Take?

If we do indeed need 50% less office space, then how long will this take to work through the system? Obviously, we can’t just wake up tomorrow and start using half of our offices as residential homes, so at least two factors are at play here:

  • How long office leases are
  • How quickly offices can be converted to residential

How Long Are Commercial Leases?

According to this source, the typical commercial lease length is 3-7 years. If we split the difference to get the average remaining lease time, that’s 5 years. So, if the typical company was halfway through their lease when the pandemic hit in March, that gives us 2.5 years remaining for the average firm. Half a year later, we’re not far off being 2 years away from when the typical lease ends.

So that’s just two years before 25% of Central London office spaces become vacant. This is frighteningly quick.

How Fast Can Offices Be Converted To Residential?

As mentioned above, 800,000 sq feet of office space was converted to residential in 2013. That might be considered a fairly typical year. To convert 90-100m square feet of office space to residential would therefore take about 100 years in ‘normal’ times. This is clearly far too slow.

At least two factors limit this possible rate of change: the speed of the planning system, and the capacity of the building trade to supply skills.

Consequences

Here’s some of the consequences we might speculate will happen as a result of this sudden demand shock.

Expect the price of office space price to plummet

This one’s a no-brainer – if demand for offices drop, expect a fast drop in the price of office space in London. This might mean businesses open up more expansive spaces, maybe with more old-style physical offices or flexible meeting rooms to take advantage.

Expect London wages to fall

As property costs fall, London wages might be expected to fall, as the pool of staff to compete with goes beyond those that need or want to live in London.

Expect pressure on the planning system

One of the first things we’d expect to see is pressure on the planning system to move faster. As offices vacate, many requests for change of use will come in.

City planning systems are not famed for their efficiency or speed, so I don’t expect this to be fast (especially if numbers overwhelm the system). But this source suggests that smaller requests take 8 weeks to process. I’ve no idea how realistic this is, nor do I know how long it takes for the ‘larger, more complex developments’ mentioned.

This source suggests that ‘Since 2013 the conversion of B1/B8 commercial premises to a dwelling house is considered to be a permitted right. It does not therefore require a Change of Use Planning Application.’ I don’t know how many offices this would cover, nor can I shake the suspicion that it can’t be that easy. Maybe a reader can enlighten me?

Expect a boom for builders

Whatever happens, I expect a boom in the building trade in London. Already, many businesses have taken the opportunity in the lull to refit their buildings, and Central London is awash with builders driving, carrying goods, and shouting to each other near my quiet office. The next few years will be boom time in London for anyone running a building firm as cheap labour and high demand.

Expect reduced transport investment

Fewer workers in London means far less strain on the transport system. In recent decades London has invested enormously in transport infrastructure and capacity. I can remember the abysmal state of the Tube and buses in the 80s: hours spent waiting for buses that arrived in batches, and tube trains that ran infrequently. I can even remember the filthy smoking carriages on the underground. But I digress.

This article from 2013 gives some idea of the sums involved and the plans London had. I expect there to be pressure to not only curtail these plans, but also to reduce services more generally as fewer people pressure the system at rush hour.

Expect even more pubs to disappear

The traditional City pub has been under pressure for some years now, but this will take things to a completely new level. A far-sighted historical blogger has already taken pictures of these pubs in preparation for their demise.

Expect property prices in London to fall, and surrounding areas to rise

The effect on residential property prices in Central London itself is difficult to gauge, as I don’t have a ready model. On the one hand, the conversion of just under 100m square feet of office space to residential will increase supply about 20%, as discussed above.

At first glance, this suggests a straightforward fall in property price. How much is unclear, because previous comparisons (eg with the low property prices of the late 90s) coincided with a general and significant recession (ie a sustained fall in economic output). It’s quite possible that we will have a ‘V-shaped recovery’ without people returning to the office. This is, to use an over-used term, unprecedented.

London workers are already fleeing (not just Central) London, and we’re already seeing the signs of this, with analysis flummoxed by an ‘unexpected mini-boom‘ in the surrounding areas:

‘It can’t be denied that lockdown really emphasised the need to move for many, particularly those who were considering upsizing or leaving London for the commuter belt and we expect this to continue, particularly as workers are told they may not be going back into the office until next year.’
Source

Demand for buying the smaller ‘pied a terre’ properties that already abound there may increase significantly, as those fleers decide to retain a convenient bolt-hole in town. This could moderate the fall of (or even raise) the cost for these properties.

Conclusion

Property markets are dynamic systems, so the scenario above is unlikely to play out as straightforwardly as I’ve analysed it. That’s what makes economics fun. So let’s speculate a bit further.

Any significant drop in property values results in a relative rise in value in surrounding areas as people flee the town. This economic boost to previously ‘failing’ areas could play into the Conservative government’s hands as private investment in these areas replaces or works alongside public investment to produce an economic ‘feelgood’ factor.

I was tempted to compare the effect of this to wars, but this graph of house prices compared to wages stopped me in my tracks.

Source

You can see that wars appear to have had an effect (drops during the 1910s and the 1940-1945s), but that these pale compared to the steady fall between 1845 and the first world war. According to the analysis, this had three factors: rising incomes, more houses, and smaller houses:

‘The Victorians and Edwardians didn’t just build more houses, they more
than doubled the housing stock in England, Wales and Scotland between
1851 and 1911 – from 3.8 million houses to 8.9 million houses.’
Source

This time we may well have a 20% increase in supply in Central London, and an unknown, but possibly similar, increase in supply in the suburbs that depend on Central London activity. A back of envelope calculation suggests that prices could fall by about a third relative to incomes (which could themselves fall significantly, as noted above). In real terms, therefore, we could see London property prices halve.

And this is in the context of demographics which suggest that real London property prices were already under pressure. This 2005 paper from the Federal Reserve predicted a significant real terms fall in UK house prices going out to 2030, and in the last 15 years hasn’t been that far off the mark.

Source

But it’s important not to forget that there is a significant economic benefit to the innovations that working in physical proximity brings. Cities are where ‘ideas have sex‘, and these ideas have intangible value that translates to economic value that justify the city premium. Looking past the next few years, if London property prices fall then young workers will take advantage of the situation to move back in and generate value however it’s done in the future, acting as a brake on any falls. In the meantime, other UK cities could boom as their relative value and compatibility with this new way of working work to their advantage.

Sources

Mini boom pushes house prices record high says Rightmove – BBC

The quiet grinding loneliness of working from-home – The Guardian

London workers to return to office after Christmas – The London Standard

London needs 13 million square feet of extra office space for bankers to return – FN London

London rail infrastructure investment – FT

Lease term length – tenantbase.com

London City Pubs – alondoninheritance.com

FTSE-100 firms stay-at-home plans – The London Standard

https://www.fastcompany.com/90530672/with-downtowns-staying-abandoned-put-tiny-businesses-back-into-residential-neighborhoods

https://www.statista.com/statistics/1042514/office-space-in-london-areas-by-sector/

The London Plan, first published 2004

London commercial and industrial floorspace by borough – data.london.gov.uk

Housing tenure by borough – data.london.gov.uk

Historical London jobs by borough and industry – data.london.gov.uk


If you enjoyed this, then please consider buying me a coffee to encourage me to do more.


Why Do We Have Dev Rels Now?

Recently I read two books I’d recommend that got me thinking about how the IT industry has changed in the last 20 years. These books are The Great Convergence and Capitalism Without Capital.

First I’ll briefly describe the books, then go over some of the consequences of their theses for the global economy, and then move onto what this has meant for IT in the last 30 years. Specifically, I got interested in why the DevRel position has arisen, and what it means for IT in general.

The Great Convergence

Richard Baldwin explains our modern civilization’s economic history and future based on three key economic constraints:

  1. The cost of moving goods
  2. The cost of moving ideas
  3. Cost of moving people

The first industrial revolution (1820-1990) removed the need for physical proximity for viable trade in goods (the ‘first unbundling’). This led to the ‘great divergence’ of wealth between nations, as large production centres became key wealth generators for countries that could take the ‘comparative advantage’. Baldwin also characterises this historical turn as ‘globalising local economies’: production microclusters (ie large factories) rose in significance due to the ease of moving goods vs the difficulty of moving people and ideas. The big winners of this era were steelmakers, for example.

Baldwin dates the ‘second unbundling’ of the cost of moving ideas to 1990, and equates its significance to the original industrial revolution in terms of its impact on the global economy. The need for physical proximity for the movement of ideas and skills was removed due to enormous changes in communication technologies. Baldwin characterises this as ‘globalising factories’. The big winners of this era are information traders, such as Google and Facebook.

To illustrate the significance of the change, he cites a few interesting facts I wasn’t aware of, such as that the share of rich nations’ wealth to global wealth is now back to where it was in 1914 (and declining), falling as the Internet has grown.

The first and second unbundlings and GDP. Source

Note that the G7’s dominance is a blip compared to China and India’s long-standing supremacy.

The third industrial revolution around the cost of moving people is yet to come. It’s still expensive to move people around to do their jobs (think of the highly trained surgeon, for example, or political leader), and although the cost of moving a person has dropped along with the cost of moving goods, it’s still an enormous constraint, as people are conscious beings who need hotels, food and and other conducements to travel that inert materials do not. Baldwin points out that change may be coming here, and is already seen in smaller ways. He cites telerobotics (eg remote surgery), or holographic conferencing, which is prohibitively expensive (and probably unreliable) at the moment, but could become significantly cheaper as its supporting technologies improve.

Some interesting facts cited along the way

The Newcomen steam engine (which went into commercial use in 1712),
pumped water out of coal mines that had previously required 500 horses

Between 1986 and 2007, world information storage capacity grew at 23 percent per year, telecommunications at 28 percent, and computation power at 58 percent per year

The value added by manufacturing has been reducing and reducing.
Of the $2bn value of iPhones, $0.2bn comes from manufacturing

The Albert Bridge was entirely constructed in the 19th
century in England, and shipped to Adelaide for assembly

Capitalism Without Capital

This book is similar to the first in that it makes an observation about recent history and extrapolates consequences from that. In this case that intangible value has become more and more significant for the economy over the last decades.

Intuitively, this is fairly uncontroversial. Whereas 100 years ago physical assets were a central part of every major business (think big steel, the car factory, the tool-maker, the oil company), the biggest companies now include many who primarily own intangible assets. For example, in 2006, Microsoft’s $250bn market value contained only $10bn of physical assets. And ‘only’ $60bn of it was cash or financial instruments. The remainder is intangible value: brands, software, service capabilities etc.

The book argues nimbly that intangibles differ significantly from traditional business assets in four key ways:

  • Scalability (costs nothing to reuse, say, an idea or brand)
  • Sunkenness (once you’ve invested in an intangible, it’s hard to move or repurpose it)
  • Spillovers (if you have an idea, others can easily use it or recombine it with other ideas)
  • Synergies (putting ideas together than create significant further value with little cost)

They also differ in other more concrete ways. Intangible assets are hard to account for, leading to some interesting accounting nuances. For example, if you invest in a brand, it seems that the value of that investment can not be turned into an asset value within your business accounts. However, if you buy someone else’s company and their value is partly intangible, that’s written down as ‘goodwill’ on the company accounts. This creates some interesting consequences discussed later.

GDP also has an ambivalent relationship to intangible assets. Many types of intangible asset don’t figure in GDP calculations. If intangible investment and production is becoming more and more the norm, then this may go some way to explain why G7 economies appear to be doing relatively badly compared to so-called ‘developing’ nations that show year after year of strong GDP growth.

Some other interesting facts gleaned

Edgar Rice Burrows acquired a trademark for Tarzan in the 1920s.
The beginning of movies’ obsession with building intangible but legally defensible IP
rather than, y’know, drama of any discernible quality
(I’m looking at you, Star Wars and Marvel)

Mickey Mouse’s copyright is due to expire in 2023, which might explain why Disney don’t invest in him

In 1961 , the world produced $746bn through agriculture.
In 2009, $2,260bn, an output rise of 203%, far more than population growth (~130%).
In 1961 world had 4.46bn hectares of land under cultivation; in 2009, 4.89bn (+10%)

‘Peak horse’ happened around 1910, 80 years after introduction of the first railway

Amazon warehouse workers walk up to 15 miles per shift

Henry P. Crowell’s invention of Quaker Oats in 1879 required a strenuous
advertising campaign to convince consumers that the food was not horse fodder

Consequences For Economies

Some of the consequences of these books’ theses will not be surprising. Obviously, improved communications has increased the viability of remote working, and increased the already-existing trends towards offshoring significant parts of the value chain.

Also fairly obvious is that the most successful companies trade more and more on their intangible value. A social network is almost purely an intangible enterprise (and partly explains their fragility as businesses). A car-sharing business’s value is almost entirely composed of intangible property such as its brand and its software.

Even an old-fashioned heavy goods manufacturing business like Tesla has a significant amount of intangible value via its brand and the Musk halo effect. This helps it trade far above the values the raw production and sales figures suggest, as well as attract key staff and customer loyalty.

Less Obviously…

More subtly, these books suggest that these trends encourage the loosening of traditional working bonds. If you’re not constrained to work for the local factory owner due to your location, but can easily move your labour to anywhere in the world, then the power relationship between leader and led is very much altered.

By the same token, however, your boss is no longer dependent on their business’s physical location either. Rather than owning an effectively immovable plant and depending on people in the local area to supply labour, they can freely source labour across the world wherever it may be that has a usable internet connection.

The end result of this is an even more fluid relationship between employer and employed than has existed in the past. The success of this relationship will depend far more on leadership than management, where management is ‘telling people what to do’, which leadership is ‘motivating people towards a goal’. Indeed, relative mentions of ‘leadership’ over ‘management’ in the Harvard Business Review show that talk of ‘leadership’ is growing much faster.

Source

If ideas and skills can be moved easily, then collating and harnessing those skills becomes more important. If skills are more and more mobile while being in demand then ‘telling people what to do’ is going to be less and less what businesses do. ‘Telling people what to do’ has traditionally been called ‘management’ – think of Taylor and his time and motion studies.

Exchanging Leadership For Capital

If leadership (as opposed to management) is now at a premium, then we would expect to see businesses exist to build up that intangible asset and exchange it for capital. And that’s exactly what we do see.

For example, many small technical consultancies get eaten up by larger-scale businesses simply because they have mind-share in a particular area. This, despite the fact that those businesses might not even turn a profit or even show any promise of doing so in the future. Just having that credibility is enough. In other words, their intangible value exceeds their book value.

Perhaps the most obvious example of this was virtualization behemoth VMWare’s purchase of various cloud native businesses in recent years. I won’t comment on any of these business’s specific profitability prior to purchase, but suffice it to say that I’m informed that some of them were made offers that were difficult for their owners to refuse given their book value…

The DevRel and Public Validation

All these things taken together explain something that had mystified me until recently: the rise of the DevRel role. I don’t even know how to formally state it: a ‘developer relations expert’, or ‘develop relationship manager’, or what? Commonly it’s just known as a ‘developer relations’ role (so ‘DevRel’ for short), and formally defined (by a quick google search, natch) as ‘a marketing policy that prioritizes relationships with developers’. But it still makes no grammatical sense to say ‘I am a Developer Relations for X’.

Anyway, a DevRel is a bridge between internal knowledge and external consumption of that value. In other words, it’s a sales role, albeit with a different focus. DevRels frequently get wheeled out to demonstrate technical competence to potential customers (at the low end), or as travelling rock stars (at the high end) to demonstrate credibility, or just dazzle the client with star power.

This is similar to the old ‘pre-sales’ role, but the twist is that the value DevRels bring is demonstrating publicly-validated credibility through conference talks and social media followers rather than demonstrating that an enterprise system can be integrated to your org with a little effort in a few days as a proof of concept.

There’s also some interesting parallels with traditional salespeople here. While the old salesperson was partly valued by the contents of their private Rolodex, the DevRel is valued partly by the publicly-validated status of their profile. Their public profile serves as a kind of ‘proof of credibility’ system for establishing their credibility (I have to physically resist mentioning ‘blockchain’ here…).

It’s hard to fake followers on Twitter these days. You have to either cheat and risk getting thrown off – which has become harder lately – or just show up and engage positively for a long, long time. It’s also difficult to get a reputation as a conference speaker by faking it.

In other words, technical leadership is becoming a publicly-tradeable commodity that in turn gives a company credibility to sell. You may begin to wonder: what value does a company actually have if good marketing can even be an intangible proxy for another (arguably less) intangible product (software expertise)? As in many industries, it’s becoming increasingly difficult to explain to people what it is you actually do, a situation sent up in a radio show recently:

I don’t really know where these trends are going, but it be just a matter of time before there are courses on gaining technical credibility in the marketplace, just as there are courses on marketing and PR now. Maybe there already are…

Related Links

If you liked this, then other posts about books I’ve read might be of interest:

Sapiens / My 20-Year Experience of Software Development Methodologies

Turn the Ship Around!


If you like this, you might like one of my books:
Learn Bash the Hard Way

Learn Git the Hard Way
Learn Terraform the Hard Way

LearnGitBashandTerraformtheHardWay
Buy in a bundle here

The Runbooks Project

Previously, in 2017, I wrote about Things I Learned Managing Site Reliability for Some of the World’s Busiest Gambling Sites. A lot of it focussed on runbooks, or checklists, or whatever you want to call them (we called them Incident Models, after ITIL).

It got a lot of hits (mostly from HackerNews), and privately quite a few people reached out to me to ask for advice on embedding similar practices in their own organisations. It even got name-checked in a Google SRE book.

Since then, I’ve learned a few more things about trying to get operational teams to follow best practice by writing and maintaining runbooks, so this is partly an update of that.

All these experiences have led me to help initiate a public Runbooks project to try and collect and publish similar efforts and reduce wasted effort across the industry.

tl;dr

We’ve set up a public Runbooks project to expose our private runbooks to the world.

We’re looking for contributions. Do you have any runbooks lying around that could benefit from being honed by many eyes? The GitHub repo is here if you want to get involved, or contact me on Twitter.

Back to the lessons learned.

Things I Learned Since Things I Learned

The Logic is Inarguable, the Practice is Hard

I already talked about this in the previous post, but every subsequent attempt I made to get a practice of writing runbooks going was hard going. No-one ever argues with the logic of efficiency and saved time, but when it comes to putting the barn up, pretty much everyone is too busy with something else to help.

In summary, you can’t tell people anything. You have to show them, get them to experience it, or incentivise them to work on it.

Some combination of these four things is required:

  • Line-management/influence/control to encourage/force the right behaviours
  • A critical mass of material to demonstrate value
  • Resources allocated to sustain the effort
  • A process for maintaining the material and ensuring it remains relevant

With a prevailing wind, you can get away with less in one area, but these are the critical factors that seem to need to be in place to actually get results.

A Powerful External Force Is Often Needed

Looking at the history of these kind of efforts, it seems that people need to be forced – against their own natures – into following these best practices that invest current effort for future operational benefit.

Examples from The Checklist Manifesto included:

  • Boeing and checklists (“planes are falling from the sky – no matter how good the pilots!”)
  • Construction and standard project plans (“falling building are unacceptable, we need a set of build patterns to follow and standards to enforce”)
  • Medicine and ‘pre-flight checklists’ (“we’re getting sued every time a surgeon makes a mistake, how can we reduce these?”)

In the case of my previous post, it was frustration for me at being on-call that led me to spend months writing up runbooks. The main motivation that kept me going was that it would be (as a minimal positive outcome) for my own benefit. This intrinsic motivation got the ball rolling, and the effort was then sustained and developed by both the development of more structured process-oriented management and others seeing that it was useful to them.

There’s a commonly-seen pattern here:

  • you need some kind of spontaneous intrinsic motivation to get something going and snowball, and then
  • a bureaucratic machine behind it to sustain it

If you crack how to do that reliably, then you’re going to be pretty good at building businesses.

A Runbook Doesn’t Always Help

That wasn’t the only experience I had trying to spread what I thought was good practice. In other contexts, I learned, the application of these methods was unhelpful.

In my next job, I worked on a new and centralised fast-changing system in a large org, and tried to write helpful docs to avoid repeating solving the same issues over and over. Aside from the authority and ‘critical mass’ problems outlined above, I hit a further one: the system was changing too fast for the learnings to be that useful. Bugs were being fixed quickly (putting my docs out of date similarly quickly) and new functionality was being added, leading to substantial wasted effort and reduced benefit.

Discussing this with a friend, I was pointed at a framework that already existed called Cynefin that had already thought about classifying these differences of context, and what was an appropriate response to them. Through that lens, my mistake had been to try and impose what might be best practice in a ‘Complicated’/’Clear’ context to a context that was ‘Chaotic’/’Complex’. ‘Chaotic’ situations are too novel or under-explored to be susceptible to standard processes. Fast action and equally fast evaluation of system response is required to build up practical experience and prepare the way for later stabilisation.

‘Why Don’t You Just Automate It?’

I get this a lot. It’s an argument that gets my goat, for several reasons.

Runbooks are a useful first step to an automated solution

If a runbook is mature and covers its ground well, it serves as an almost perfect design document for any subsequent automation solution. So it’s in itself a useful precursor to automation for any non-trivial problem.

Automation is difficult and expensive

It is never free. It requires maintenance. There are always corner cases that you may not have considered. It’s much easier to write: ‘go upstairs’ than build a robot that climbs stairs.

Automation tends to be context-specific

If you have a wide-ranging set of contexts for your problem space, then a runbook provides the flexibility to applied in any of these contexts when paired with a human mind. For example: your shell script solution will need to reliably cater for all these contexts to be useful; not every org can use your Ansible recipe; not every network can access the internet.

Automation is not always practicable

In many situations, changing or releasing software to automate a solution is outside your control or influence.

A Public Runbooks Project

All my thoughts on this subject so far have been predicated on writing proprietary runbooks that are consumed and maintained within an organisation.

What I never considered was gaining the critical mass needed by open sourcing runbooks, and asking others to donate theirs so we can all benefit from each others’ experiences.

So we at Container Solutions have decided to open source the runbooks we have built up that are generally applicable to the community. They are growing all the time, and we will continue to add to them.

Call for Runbooks

We can’t do this alone, so are asking for your help!

  • If you have any runbooks that you can donate to the cause lying around in your wikis, please send them in
  • If you want to write a new runbook, let us know
  • If you want to request a runbook on a particular subject, suggest it

However you want to help, you can either raise a PR or an issue, or contact me directly.