Organizational Synthesis - CMMI , The Glue That Binds · NDIA Presentation November 15, 2006: ASD...

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NDIA Presentation November 15, 2006: ASD Engineering

BAE Systems 2006 All Rights Reserved

Organizational Synthesis -CMMI®, The Glue That Binds

Synthesizing: Business Process Model, ISO Standards, Life Cycle Management, Program Direction and CMMI®

into a Business Process Management SystemEileen Arnold, Patrick Waddick, Helen Addie, Christine Hulse and the ASD

Engineering Team

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ASD’ S Concurrent Initiatives

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BAE Systems Concurrent Initiatives

The major concurrent initiatives andbusiness drivers used for illustration of ourorganizational system synthesis as presented hereinclude:

ASD’s Business Process ModelISO StandardsBAE Systems Operational Framework and Life Cycle Management ProcessCMMI®

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Change Is Inevitable

The pace at which change transpires andthe complexity of that change is dependentupon the:

1) Number of concurrent change drivers2) Degree to which the drivers are instituted3) Cultural acceptance of the drivers4) Capacity (Resources) to implement the

change, and5) Application of system synthesis

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CustomerSatisfaction

ContinualProcess Improvement

Knowledgeable Employees (KM)

Using Effective Tools, Processes

Dedicated Leadership (at all levels)

Goal

Focus

Strength

Methods

Foundation

EBIT Growth Productivity

Improvement Teams (PATs)

Skills Trng Educ Exp

TQM LEAN

SMRG QESC

Our Business ApproachCompliant with ISO; Utilizes CMMI® Best Practices; Leverages Assets (PEOPLE, TOOLS)

CMMI® provided the suite of best practices applicable to software and systems engineering

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ASD Process Improvement & History MilestonesISO 9001:1994

Certified

SWCMM L2

BPM ProjectBegan

BPM IntegratedWith ISO

ISO 9001 &14001 Integrated

SW CMMLevel 4

SW CMMIML5

SW/SE CMMIML 3

ISO 14001Certified

CMMILevel 5

(Planned)

Business and Product Development Process ImprovementBusiness and Product Development Process Improvement

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

SWCMM L3

Movement from CMM to CMMI® triggers the start of synthesis –The “glue process” begins

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ASD’ S Business Process Model

Initiative

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ASD’s Business Process Model Architecture Copyright 2001 BAE Systems

Develop Business

Develop Tech.

Get Work

Develop Products

Produce Products

Service & Support Product

Core Processes Are The Reason ASD

Exists

Core Processes Are The Reason ASD

Exists

Manage Resources

Manage Human Resources

Manage Information Systems

Manage PhysicalResourcesManage Facilities Manage Financial

Resources

Forecasts

Resources

Resource Management Processes Keep The Core

Processes “Fueled”

Resource Management Processes Keep The Core

Processes “Fueled”

Manage Program

Performance

Manage Risk

ManageSupplierAgree-ments

Plan &ManageProject

Initiate Internal Projects

Manage Contracts

ManageMeasure-ment &Analysis

Work Direction

Work Products

Program And Project Management Processes Provide

Leadership To All Work

Program And Project Management Processes Provide

Leadership To All Work

Manage Process Performance

Conduct Execution Excellence Review

Manage Quality And Environmental SystemManage Regulatory ComplianceTake Corrective, Preventive &

Improvement Actions

Change D

ecisions

Metrics

Process Management Keeps Everything Under Control

And Continually Improving

Process Management Keeps Everything Under Control

And Continually Improving

Regulatory Customers

CertificationsAudits

User C

ustomers

Acquisition C

ustomers

Requirem

entsProducts Operational Data

The Architecture Helps Us Understand The Roles Of

Various Customers

The Architecture Helps Us Understand The Roles Of

Various Customers

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Current synthesis focus

Develop Products

Get Work

Develop Tech.

Develop Business

Service & Support Product

Produce Products

Manage ResourcesManage Human

ResourcesManage Information

SystemsManage Physical

ResourcesManage Facilities Manage Financial ResourcesManage

Program &Project

Performance

Manage Measurement and Analysis

Activity

Manage Supplier

Agreements

Plan and Manage Project

Initiate Internal Projects

Manage Process PerformanceConduct Execution Excellence Review

Take Corrective, Preventive, & Improvement Actions

Manage Quality and Environmental Systems

Manage Regulatory Compliance

Manage Contract

Acquisition C

ustomers

ProductsR

equirements

Regulatory CustomersCertifications Audits

User C

ustomers

Once printed, the hard copy of the on-line document may not be current - verify current revision on-line.

0.0, Rev 09, 27 June 2005 Refer to BP00064 for Change History

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Manage Risk

ASD Business Process Model Copyright 2001 BAE Systems

CMOT

IPM PPPMC DAR

SAM

RSKM

MAQPMOPPCAR

PPQA

OPFOPDOID

RD TS PIVER VAL REQM

BPM - CMMI® Process Area Mapping

CMMI® institutionalization - the glue to cement the initiatives together under the BPM

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ISO StandardsInitiatives

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ISO 9001 and ISO 14001

ISO 9001 standard emphasizedDefining sequence and interaction of processes Customer requirements and customer satisfaction, for both external and internal customersProcess measurement and/or monitoring; data-driven decision makingContinual improvementIncreased emphasis on management responsibility

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ISO 9001: Implied Process Hierarchy

Fits Well With ASD’s BPM

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CMMI® and ISO are looked upon as people and process enablers to

accomplish performance sharing, lean initiatives, safety, and other critical

business support initiatives

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BAE SystemsOperational Framework (OF)

Life Cycle Management (LCM)Business Process

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Acquisition by BAE SystemsBAE Systems Operational Framework (OF)

(governance framework for all Business Units)

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Life Cycle Management (LCM)

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Another Synthesis Opportunity - OF

1) All employees have an awareness of the Operational Framework

2) Local policies and processes are in place to implement the requirements of the Operational Framework and all mandated policies and processes

3) Appropriate training and monitoring processes are put in place to ensure proper implementation of the Operational Framework

CMMI® institutionalization provides a common language basis and processes in place

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Synthesizing Activities

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Continuous Improvement EER Review

Business OperationsTraining

The Workforce Is Trained To Be Proficient In The Processes And

Procedures

The Workforce Is Trained To Be Proficient In The Processes And

Procedures

ProceduresProcess MapsProcess Maps And Procedures

Describe How Work Is Done

Process Maps And Procedures

Describe How Work Is Done

ASD’s Process Based Management Vision

Process Architecture

The Architecture Shows The Pieces That

Comprise The ASD “System”

The Architecture Shows The Pieces That

Comprise The ASD “System”

Procedures Are Executed In The

Conduct Of Business

Operations And Results Are Measured

Procedures Are Executed In The

Conduct Of Business

Operations And Results Are Measured

Business Results Are

Reviewed And Improvements Implemented

Business Results Are

Reviewed And Improvements Implemented

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SEI’s IDEALTM Approach to Process Improvement

SetContext

BuildSponsorship

CharterInfrastructure

CharacterizeCurrent &Desired States

DevelopRecommendations

SetPriorities Develop

Approach

PlanActions

CreateSolution

Pilot/TestSolution

RefineSolution

ImplementSolution

AnalyzeandValidate

ProposeFutureActions

Stimulus for Change

Initiating

Diagnosing

Establishing

Acting

LearningLearning

CMMI® Appraisals, ISO Audits, BAE OAS support this activity

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ISO – HW Oriented CMM – SW Oriented

ISO 1994 Policies And Processes

OrganizationStandard Processes

CMMI® for Systems Engineering and Software Engineering v1.1And CMMI® for Development v 1.2 reduces overlap

Business Process Model

ISO 2000Policies And Processes

Legacy Documentation (Stove Pipe Initiatives)

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General Approach For Synthesis

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Why Focus on Processes?

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Process InstitutionalizationProcess institutionalization has been achieved when:

A policy relating to the process existsThe process is defined and documentedTraining exists and has been deliveredRequired resources are allocatedThe majority of the process is or has been exercised frequently (as appropriate to the project lifecycle)The execution of the process is measured, managed, and verified,and corrective actions are takenIt is clear that the staff understand their processes, can discuss related artifacts, and believe in the effects

Institutionalization: The ingrained way of doing business that an organization follows routinely as part of its corporate culture.

Source CMMI Version 1.2

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Process Influence on EBIT

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Business Advantages of Organizational Synthesis

More efficient use of resources in developing, documenting, deploying, maintaining, and knowledge managementConsistency in understanding, less confusion – unified process alignmentImproved communication due to common language, processes

CMMI® Glue: Efficient resources, unified process alignment, improved communication

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Summary

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In Summary

1) Synthesis of the Organizational System presents an opportunity to operate in an effective business manner, improving coordination by reducing redundancy

2) For ASD, CMMI® and the need for institutionalization provided the glue to bind the organizational initiatives into a synthesized operation

3) Change happens – embrace the opportunity

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Key Enabler – CMM Practices

ASDBusinessProcessModel

ISO

OF ASD

CMM

CMM

PCMM

CMMICMM-X

• Organization• Culture• Business Objectives

• Organization• Culture• Governance• Core Business

Processes

9001

14000

9000

Laws and Regulations

Customer Influence

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The Glue Results In …

StrongerBusiness Process ModelOF Standard Processes

Increased Success ofBusiness Goals

ASDBusinessProcessModel

ISO

OF ASD

CMM

Laws and Regulations

Customer Influence

Synthesis of Initiatives

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Organizational synthesis is a journey, not a destination.

Integrating the organizational system is an evolutionary activity even if the

company maintains its current initiatives, driven by the business need

to change and improve.

Organizational Synthesis - CMMI , The Glue That Binds · NDIA Presentation November 15, 2006: ASD...

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