engineering successful transitions. page 2 2006 introduction to causepoint outline introduction to...

ENGINEERING SUCCESSFUL TRANSITIONS

Introduction to CausePoint 2006

Outline

Introduction to CausePoint Problems in Software and IT Service Delivery Value of the Higher Levels of Maturity How CausePoint can help


Introduction to CausePointProvide an External Assessment

CausePoint offers consulting services to Engineering and Information Technology organizations to improve their ability to deliver systems and products faster and with better product quality.

Readiness for change can be assessed. Specific change points can be identified. Change can be managed.

An effective product development process provides a competitive advantage that tremendously increases the potential of your corporate business goals and strategies. We use a number of techniques to increase the capability of services and software development groups, including the CMMISM, ITIL and Six Sigma.


What is CausePoint?

CausePoint is a consulting company focusing on process and organizational improvements at both the software and system levels

We partner with clients to dramatically improve the ability to deliver systems and services

We are, first and foremost, engineers and managers who know how to integrate measurable improvement with ongoing business value and results


Approach

Collaborative - We collaborate with our clients to develop a strong internal capability to sustain change

Situational - We adapt our methods and approaches as needed by our clients to achieve specific improvement goals

We’re real – our services integrate our real world experience in technology development and delivery, as well as contract and business management


Clients

CitibankGEC - MarconiITTLiberty MutualAmeritechJohn HancockNational Air Traffic Services (UK)Videojet

Executive Office of the President of the United StatesBureau of Printing and EngravingNortheast UtilitiesNorthrop GrummanBaxter Healthcare ISOISS


Assisting Management TeamVision and Direction

Change Leadership

Project Services

Management Consulting

SERVICESSERVICES


Change Leadership

Project Services


Establishing, Leading, Assessing the Improvement Program

SERVICESSERVICES


Change Leadership

Project Services


Taking Policies & Procedures into Practice

SERVICESSERVICES


Problems in Software and Product Delivery

The issues of projects and service delivery still lie in the inability to deliver with predictability. Schedule predictability, cost predictability and quality predictability.

Management decisions are made knowing there is inadequate visibility into the true progress of projects. Project risk is not handled proactively and results in limited management choices. Issues on the projects lead to firefighting, with reductions in functionality delivered and cost overruns, traded for an improved schedule completion.


Problems in IT Software and Product Delivery

Products and projects are routinely: Late Over budget Do not deliver the desired functionality Have high levels of defects

This unpredictable behavior is exacerbated by: Lack of management insight into progress and risk Implicit decision-making Inability to manage the differences between software development and other

engineering disciplines


Problems Facing IT Today

Making Quality Assurance effective Project Management Software Cost of IT Infrastructure Outsourcing Security System Downtime Change Management


Problems in Software and Product Delivery (cont’d)

These problems are typical for any product development methodology moving from art to craft to engineering discipline

Extreme dependence on individuals Highly variable cost, productivity, and quality Resistance to the notion of consistency and predictability Extreme stress in the workplace


Anatomy of CMMISM Maturity Level 1

Most organizations are fighting fires trading functionality for time or quality for time constantly reacting—no time to improve firefighters get burned – effects managers and staff short term decisions come back later your only control: fire prevention


An Immature Process

Ad hoc; process improvised by practitioners and their management Not rigorously followed or enforced Highly dependent on current practitioners Product functionality and quality may be compromised to meet schedule Use of new technology risky Excessive maintenance costs Quality difficult to predict


A Mature Process

Consistent with the way work actually gets done Defined, documented, and continuously improving

understood used living

Supported visibly by management and others Well controlled—process fidelity is audited and enforced Constructive use of product and process measurement Disciplined use of technology


Value of Higher Levels of Maturity

The value of higher maturity levels can be seen in a lower defect rate and in higher levels of productivity. Project schedules will be more predictable. Project commitments are established and maintained. Risk is identified and mitigated.

Some of the value of higher maturity levels can be quantified, but other benefits are more difficult to measure. Living in a controlled and less chaotic environment can not be calculated, but certainly felt.


Years Engaged in SPI 1 - 9 3.5 24

Yearly Cost of SPI per $490 - $2004 $1375 5Software Engineer

Productivity Gain per Year 9% - 67% 35% 4

Early Defect Detection 6% - 25% 22% 3 Gain per Year

Yearly Reduction in 15% - 23% 19% 2Time to Market

Yearly Reduction in Post- 10% - 94% 39% 5Release Defect Reports

Business Value 4.0 - 8.8:1 5.0:1 5(savings/cost of SPI)

Benefits of Higher Level Maturity

Category Range Median # of Data Pts

Source: SEI Report


How CausePoint Can Help

Experience

Change Management

Subject Matter Expertise

Changing the culture of an organization is a long road


Applying the Model

A Model is a Representation of a structured set of objectives The key is in the Application of the Model

Situational Awareness Design within the Context Meet the Intent Speed to Benefits


Applying ITIL and CMMISM Through Experience in Practical Ways

A model for product life cycle management and performance improvement

Expands focus to include full product life Applies to any product development organization Merges technical and management activities Focuses on improving business performance Provides mechanisms for long-term culture change Builds on lessons learned from past models Allows adding disciplines where appropriate


Top Ten Reasons – Initiatives Involving Change Fail

1. Have a process group (second party) develop all your procedures

2. Develop procedures directly from a model’s specific practices

3. Don’t understand you own business model

4. Don’t create a closed management loop

5. Don’t apply full-time resources, make sure all work is done in their spare time

6. Don’t involve or train your unit managers, make sure their only exposure is through rumor

7. Ensure project managers blame any schedule slip on a burdensome process to their customers

8. Make sure the process group is responsible for achieving a change initiative’s objectives

9. Focus all your attention on reaching a model’s capability level, don’t identify your actual objectives

10. Assign inexperienced engineers to define your development process


What Do You Need To Successfully Change Your Organization?

Establish

P a r t n e r F o c u s

C h a n g e M a n a g e m e n t

M e a s u r e m e n t & R i s k

E n g i n e e r i n g M e t h o d

- Commitment

Assess &Plan

Define Apply

- CustomerObjectives

- Key

Processes- Vision

- Baseline

- Tactical Plan

- Widespread

Involvement

- Measurements- Measurement

Targets

- Projects

- Change

Structure

- Resources

- Visibility &

Risk Mitigation

-Measure & Risk

Mechanisms

- TransferResponsibility

- TeamParticipation

- PilotManagement

Establish and Maintain Commitment

to the Change Initiative

Manage Change and Build

Involvement for the Program

Provide visibility through

measurement

Follow a phased improvement

methodology with interim

milestones


“In God we trust, all others bring data.”

- W. Edwards Deming

The Bottom Line

Process improvement should be done to help the business—not for its own sake

Improvement means different things to different organizations what are your business goals? how do you measure progress?

Improvement is a long-term, strategic effort


CausePoint Consulting

Provides an external view of your organization Applies experience and expertise Driven by the needs of meeting management objectives, not meeting a

model’s expectations An awareness that understanding people, the organization, their needs

and their drivers is key in achieving change

For More Information Please Contact:

engineering successful transitions. page 2 2006 introduction to causepoint outline introduction to...

Documents

causepoint introduction

causepoint problems

business management

practice services slide

workplace slide

prevention slide

external assessment

capability of services