Camping on a Seesaw : GM’S IS&S Process Improvement Approach Dr. Hubert F. Hofmann, Karen A. Moore General Motors Corporation Dr. Joyce Statz TeraQuest 15 th SEPG 2003 1
Journey to Excellence Continuously Deploy 2006 + World-Class Improvements Process & Project Execution 2003 Excellence Focus on Essential Process & 2001 Execution Improvement Drive Global and Common 1999 Processes & Execution Divest EDS, Appoint 1996 1 st GM CIO, Form IS&S 15 th SEPG 2003 2
Transitioning to Desired Capability Desired Capability Present Transformation Capability Capability Improvement Approach Time 15 th SEPG 2003 3
Improvement Approach (1996-2000) • Focus on Defining System Delivery Process Process Capability – Small, central group Quantum Change – Little involvement of practitioners – One size fits all mindset • Single Intervention Guided by Executive Edict and External Consultants • Expect “Quantum Change” Time of the Whole Organization 15 th SEPG 2003 4
Facing the Music: Rhythms of Organizational Change Anger, Rage, Discredit Status Quo Acceptance Bargaining Denial Testing Stunned Paralysis Depression Source: Adapted from Elizabeth Kubler Ross, On Death and Dying and Daryl Conner in 15 th SEPG 2003 5 Managing at the Speed of Change
Discovering the Chasm Chasm DANGER DO NOT FREEZE Signed By Date Innovators & Early Late Laggards Early Adopters Majority Majority 15 th SEPG 2003 6 Source: Moore, Crossing the Chasm, 1995
How to Start a Fire? Or Regaining Momentum Capability Process ? Time Time Organizational Capability 15 th SEPG 2003 7
Achieve and Maintain Excellence Capability Capability Transformation Process Process Time Organizational Capability • Focus on Organizational and Process Capabilities Time • Balanced Intervention Guided by Leadership and Practitioners • Expect Gradual Transformation of the Whole Organization Organizational Capability 15 th SEPG 2003 8
Successfully Crossing the Chasm Control Process Capability Improvement Desired Capability Transformation Present Capability Assessment Teams Alignment Awareness Transition Stabilization Organizational Capability 15 th SEPG 2003 9 Source: Adapted from Hofmann and Geiger, Quality Management in Action , 1994
Improvement Approach (2001+) Project Execution Process Improvement Execute Process Coordinate Initiatives Focus on Alignment Provide Analyze Feedback Results Set Goals Establish Baseline Collect Best Practices 15 th SEPG 2003 10
Why CMMI? Project Portfolio Commitment to Perform Ability to Perform Organizational Process Activities Performed Transition Improvement Directing Implementation Verifying Implementation 15 th SEPG 2003 11
Using CMMI in An Outsourced Model General Motors System Delivery Process System and Process Project Quality Support Software Management Assurance Processes Management Engineering Contracts Strategic Supplier Legal Planning Management Finance System and Process Project Quality Support Software Management Management Assurance Processes Engineering Supplier Processes 15 th SEPG 2003 12
Perform CMMI-Style Assessments To Capture Organizational Baseline(s) • Measure organizational awareness & compliance to IS&S policies and key IT processes • 15-25% bi-annual sample of approx. 1700 IS&S employees and strategic project portfolio • Corporate Program Office/Quality Assurance leads assessments (interviews and deliverable reviews) • Assessment tool to enable consistent, on-site data capture and real-time data analysis • Organizations develop and execute six months improvement plans 15 th SEPG 2003 13
Establish Measurement Program Early • Combine product metrics and assessment results • Blend “soft data” and “hard facts” • Gradually increase analysis capability as you collect improvement data 15 th SEPG 2003 14
Set Priorities and Aggressive Goals Illustrative Example 100% 100% 75% Compliance 80% GM Supplier 55% 60% 40% Work 27% 27% Work 25% 40% 20% 0% 0% Q1 2002 Q2 2002 Q3 2002 Q4 2002 Priority #1 Priority #2 GM Processes Average Score Improvement Processes For For GM Supplier Project Execution Execution Priority #3 GM Program/ Integration System Delivery Pilots and Deployment 15 th SEPG 2003 15
Coordinate Improvement Initiatives Executive Steering IS&S PPQA Committee Committee Common SEPG Processes, SEPG IS&S Methods and Process SEPG Tools Mgmt Prioritized Project Needs Mgmt PMOs System & PMOs Software SEPG Project Quality Engineering Services Assurance Support (PPQA) Processes 15 th SEPG 2003 16
Focus on Alignment Regional Regional Regional IS&S IS&S IS&S PMO PMO PMO SEPG PMO PPQA PPQA PPQA PPQA SEPG PMO Global PPQA Software Process Software Factory SEPG Factory PMO Global PPQA Process Software Factory SEPG Global PPQA PMO Process 15 th SEPG 2003 17
Deploy Processes to Projects Project Project 1 Lessons Learned Project 2 Project Support & Project Mentoring Training & Workshop Project n 15 th SEPG 2003 18
Performance Improvement 250 90% 80% 200 70% 150 60% # Key 50% 100 Projects Milestones Met 40% Tracked 30% 50 20% 10% 0 0% CY CY part CY 2000 CY 2001 Part 2002 2000 2001 2002 60 50 40 Note: Data for 2002 is 30 Avg Days Late through August, 2002 20 10 0 CY 2000 CY 2001 Part 2002 15 th SEPG 2003 19
Lessons Learned • Remember: This is a journey! • Riding the wave of change (denial, anger, etc.) • Whole organization has to prioritize and work together • Tailor/reveal CMMI according to the organization’s capability • Keeping focus & constancy of purpose • Metrics & scorecards drive behavior and must evolve with the organization • Maintain a delicate balance between the drive for improvement and the organizational capacity for change 15 th SEPG 2003 20
Dr. Hubert F. Hofmann Information Systems & Services General Motors Corporation Mail Code 480-202-002 7000 Chicago Road Warren, MI 48090 Phone: (586) 492-1156 Fax: (586) 492-5899 hubert.hofmann@gm.com 15 th SEPG 2003 21
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