Business Value and Customer Benefits Derived from High Maturity - - PowerPoint PPT Presentation

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Business Value and Customer Benefits Derived from High Maturity - - PowerPoint PPT Presentation

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CMMI sm Technology Conference and User Group November 2002 Business Value and Customer Benefits Derived from High Maturity Alan Pflugrad Northrop Grumman Information Technology Defense Enterprise Solutions (DES) Chair, DES Engineering Process

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Business Value and Customer Benefits Derived from High Maturity

CMMIsm Technology Conference and User Group November 2002

Alan Pflugrad Northrop Grumman Information Technology Defense Enterprise Solutions (DES) Chair, DES Engineering Process Group Executive Manager, Systems and Process Engineering Email: apflugrad@northropgrumman.com Phone: (703) 883-5128

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Discussion Purpose and Agenda

  • Purpose:

– Communicate business value and customer benefits derived from an

application of “high maturity” system/software engineering processes, and

– How an integrated process framework helps

  • Discussion Agenda

– Business Value/Customer Benefits & Process Highlights – Quality and Process Goals – Quality and Process Performance – Process Highlights – Integrated Process Improvement (CMMI)

  • Limit – 40 minutes including questions
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2

Organizational and Project Quantitative Management Process Overview

DES Business Objectives Projects improve performance by removing root causes for

  • ut-of-bound conditions.

4

Projects track process performance over time.

3

Projects select related goals & measurements for each life cycle phase. Projects check performance against project goals and business objectives.

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DES management checks

  • rg and project data

against DES goals (process capability baseline).

1

DES management selects quality and process goals & measurements

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DES Process and Quality Measures

Acronym Measurement Process CPIm Cost Performance Index monthly Earned Value System SPIm Schedule Performance Index monthly Earned Value System EPVPm ETC Performance Variance Percentage monthly Earned Value System

  • r other financial process

DDr Defect Density from Peer Review Peer Review (all Life Cycle Stages) DDt Defect Density from Test & Operations Test

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DES Business Objectives DES Process & Quality Performance Goals Annual Operating Plan Collective across participating projects Achieve revenue and margin

  • bjectives
  • 1. Achieve Cost Perf. Index = 1 ± 5%
  • 2. Achieve Schedule Perf. Index = 1 ± 5%
  • 3. Achieve Est-To-Complete-Var = 0 ± 5%.
  • 4. Achieve 5% improvement in Defect Density

for each life cycle phase. Improve customer satisfaction rating

  • 1. Achieve Cost Perf. Index = 1 ± 5%.
  • 2. Achieve Schedule Perf. Index = 1 ± 5%.
  • 3. Achieve Est-To-Complete-Var = 0 ± 5%.
  • 4. Achieve 5% improvement in Defect Density

for each life cycle phase.

Process/Quality Improvements support Organizational Business Objectives

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Optimizing Process Strategy Overview

Before

Defect Categories Root Cause Analysis Pareto Analysis Organization Defined Process Project Tailored Process Process Change Remove Root Causes From Process to Prevent Defects Test PR

  • r

Peer Review PR PR PR PR PR Defect Analysis Defect Data Common Causes Technology I nnovations

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7 Cost Performance Index (Monthly)

0.60 0.80 1.00 1.20 1.40 Mar-00 May-00 Jul-00 Sep-00 Dec-00 Feb-01 Apr-01 Jun-01 Aug-01 Oct-01 Nov-01 Jan-02 Mar-02 May-02 Defect Density at Review (all defects)

20 40 60 80 1 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52 55

SATS/SIGS Program and QM Indicators

  • Goal: 20 +/- 5 defects/KLoC
  • Actual: 22.9 defects/KLoC
  • Action: Implementing DDt
  • Technical Highlights: Only 2% of all defects are found in the

fielded system

S Financial

  • Goal: 1.0 +/- 0.1
  • Actual: 0.98
  • Action: DP cycle for SCoV in April; Countermeasures –

improve estimation; change EV tracking

  • Technical Highlights: CPI is still on target

S Technical

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Schedule Performance Index (Monthly)

0.50 0.70 0.90 1.10 1.30 Mar-00 May-00 Jul-00 Sep-00 Dec-00 Feb-01 Apr-01 Jun-01 Aug-01 Oct-01 Nov-01 Jan-02 Mar-02 May-02

SATS/SIGS Program and QM Indicators

  • Goal: 1.0 +/- 0.1
  • Actual: 0.975
  • Action: Watching closely, DP cycle for SCoV in April;

Countermeasures – improve estimation; change EV tracking

  • Technical Highlights: will be Satisfactory by 7/02
  • Goal: >= 95%
  • Actual: 98.8%
  • Action: Continue to deliver
  • Technical Highlights: Customer is very flexible due to track

record

E Customer Satisfaction

Award Fee Scores 90% 95% 100% 105% 110% M-00 M-00 J-00 S-00 N-00 J-01 M-01 M-01 J-01 S-01 N-01 J-02

M Schedule

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Controlling Quality Performance — Build

AWIPS CM Build Defect Density

  • 0.0002

0.0000 0.0002 0.0004 43 B3-50 PS2 50 PS3-PS6 50 PS7-PS10 50 PS11- PS14 50 PS15-S1 50 S2-S5 50 S6-S9 50 S10-A4 50 A5-A8 50 A9-B3 50 B4-511 PS1 511 PS2c- PS6 511 PS7- PS10 511 S1-S4 511 S5-S8 511 A1-A4 511 A5-A8 511 B2-512 PS3

Release Errors per File

Average UCL Mean LCL

Statistical process control identifies build issues that can impact the development schedule.

AWIPS Release 5.1.1

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Predicting Quality - Example

AWIPS Rel 4.2 DRs

100 200 300 400

6/ 98 7 8 9 10 11 12 1 99 2/ 99 3 99 4 5 6 7 8/ 99 9 99

Date D R s

DRs Rayleigh Model

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Controlling Process Performance

AWIPS Release 5.1 Monthly CPIm X Chart

  • 0.75
  • 0.50
  • 0.25

0.00 0.25 0.50 0.75 1.00 1.25 1.50 1.75 2.00 2.25 2.50 2.75 Dec-2000 Jan-2001 Feb-2001 Mar-2001 Apr-2001 May-2001 Jun-2001 Jul-2001 Aug-2001 Sep-2001 Oct-2001 Nov-2001 Dec-2001 X

CPIm CPIm Mean UNPLX LNPLX U2S L2S U1.5S L1.5S

Statistical process control improves cost & schedule performance.

AWIPS Release 5.2 Monthly SPIm X Chart

0.50 0.75 1.00 1.25 Aug-2001 Sep-2001 Oct-2001 Nov-2001 Dec-2001

X SPIm SPIm Mean UNPLX LNPLX U2S L2S U1.5S L1.5S

  • Cost and schedule can be

managed with statistical process control

  • Improves predictions of

future performance

  • Results:

– Build 4, 2% underrun – R5.0, 4% underrun – R5.1, 5% underrun – Build 5 variance in last 12

months, 10%

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JEDMICS Defect Density & Customer Satisfaction Survey

3.80 3.90 4.00 4.10 4.20 4.30 4.40 4.50 4.60 1998 1999 2000 2001 0.01 0.02 0.03 0.04 0.05 0.06 0.07 0.08

Averaged Customer Satisfaction Defect Density (Test) Defect Density (Operations)

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Mean Defect Density by Phase

0.0 0.5 1.0 1.5 2.0 Analysis PDesign CDesign Code Test Ops

LifeCycle Phase

Defects/[Page|KSLOC]

PRC 9909 PRC 9912 A B D

Quality Improvement Realized

Good

.05 defects/ KSLOC

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Process Implementation Support – Best Practice

Output Work Products Roles & Responsibilities Process Integration Check- lists Metrics Rollout Plans Tools Training Support Requirements Tailoring Guidance Policy & Verifications

Processes Processes

  • Templates
  • Samples
  • Policy Statements
  • Quality Assurance
  • Audits
  • Proposals
  • Pilot Projects
  • Startups
  • Ongoing Projects
  • Corporate
  • Customer
  • Internal
  • COTS & “Glue”
  • Support
  • Compatible Formats
  • Corporate
  • OJT
  • SWCMM
  • SECMM
  • ISO
  • Customer Stds
  • Per Process, Asset
  • One Per Domain
  • Shows Variations in each

Process/ Asset

  • Expert Knowledge
  • Process
  • Product
  • Process Champion
  • Internal Consultant
  • Subject Matter Experts
  • Links to other KPAs/PAs
  • Links to SIM
  • Links to other processes
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SW CMM SW CMM SE CM SE CM I P P D

  • C

M M I P P D

  • C

M M Core Core Core Core Core Core IPD IPD SE SE SW SW

Other Other

CMM’s

CMM’s

Information Technology Products & Services in Constant Change

IT Consulting Sys Arch, Engin & Delivery Enterprise Integration Data Center Operation IT Infrastructure Management Applications Management SETA Functional Process Outsourcing

CMMI CMMI

Core Core Processes Processes IPD Discipline IPD Discipline SE Discipline SE Discipline SW SW Discipline Discipline

Core Processes Common to Multiple Disciplines

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Context: Acquisition/Development Space

Developer Acquirer Mismatch

  • Mature buyer must

mentor low maturity developer

  • Outcome not

predictable

Matched Team

  • Match of maturity
  • Team risk approach
  • Execution to Plan
  • Measurable

performance

  • Predictable results

Disaster

  • No discipline
  • No process
  • Adhoc
  • Crisis Management
  • Outcome not

predictable

Mismatch

  • “Customer is always

right”

  • Customer encourages

“shorts cuts”

Process Maturity increasing increasing

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Why the CMMI fit’s

Decision Analysis and Resolution Requirements Development System Product Deliveries Project Planning Supplier Agreement Management Products Outcome & Feedback Product Verification Validation Measurement and Analysis Deficiencies D i r e c t i v e s , C

  • n

s t r a i n t s Contracting Activity Planning Requirements Definition Budgeting Priority Assessment & Certification Integrated Project Management Project Monitoring and Control Risk Management Technical Solution Product Integration Requirements Management Configuration Management Quality Assurance Program Management Technical Execution Process Focus Process Definition Training Quantitative Mgmt Process Performance Innovation and Deployment Process Maturation Mission Shortfalls Organizational Process Management Mission Area Planning

Concurrent Front-End Activities

Causal Analysis and Resolution Product Control Courtesy: Mitre/Mike Bloom