Description
Business Process Improvement Study
MANAGEMENT DEVELOPMENT INSTITUTE
Business Process Improvement Study
Under the Guidance of
Prof. KBC Saxena
Submitted By Group 8 09P110 09P127 09P142 09P149 09P159 09P179
Rinshul Pruthi Ankit Gupta Jagesh Purohit Kumar NIraj Mohan Puneet Malhotra Vishal Gupta
Business Process Management, Group 8
Acknowledgement
We would like to thank Prof. K B C Saxena for his invaluable guidance throughout this course. If not for his valuable inputs and cognizance, we would have struggled to complete this project and learn from it. We would also like to thank Mr. Neerav Kumar, Director of Quality & Operational Excellence (QoE) department, Dell Services for helping us in understanding the audit process and building the process improvement plan.
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Business Process Management, Group 8
Executive Summary
Quality & Operational Excellence (QoE) Department at Dell Services, Noida is committed for quality operations at Noida Center. The quality operations includes end-to-end control on it Project and Support functions (HR, finance, security etc.). It ensure that these functions comply with the various process standards as per indicated by the various % quality models for which Dell services has been certified. ISO 9000 ISO 2000 ISO 27001 People Capability Maturity Model(PCMM) Level 5 Capability maturity Model Integration(CMMI) Level 5 To audit these projects, Dell Services has a quarterly cycle of Internal Quality Audit (IQA) where the internal auditors audit the projects and rate them. The projects are then further tracked & monitor for the closing of outstanding issues and overall compliance and improvement of processes with all the objective of providing better services to Dell Services? Clients. Currently, whole of the IQA process (Planning & Scheduling, Monitoring & tracking, Log Findings & corrective Actions, Implementation, closing and verifications of corrective actions) is tracked manually with the help of excel sheets and via OUTLOOK emails. This leads to loads because of the repetitive and tedious nature of the job.
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Business Process Management, Group 8
We have tried to bring the changes in IQA process by introducing the IT component in it. This will significantly reduce the efforts in tracking & monitoring as well as removal of repetitive and error prone work of metrics calculations.
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Business Process Management, Group 8
Contents
Acknowledgement ........................................................................................................................................ 2 Executive Summary....................................................................................................................................... 3 Contents ........................................................................................................................................................ 5 List of Figures ................................................................................................................................................ 6 Abbreviations ................................................................................................................................................ 7 About Dell Services ....................................................................................................................................... 8 Why Business Process Improvement? ........................................................................................................ 10 Process of Improvement ......................................................................................................................... 11 Process Identified at Dell Services: IQA (Internal Quality Audit) ................................................................ 12 Internal Quality Audit.............................................................................................................................. 14 Objectives of IQA ............................................................................................................................... 14 Outcomes of IQA ................................................................................................................................ 15 As-Is Process............................................................................................................................................ 17 Challenges ........................................................................................................................................... 20 As Is Process Fact Finding & Analysis .......................................................................................................... 21 To-Be Process .............................................................................................................................................. 22 Cost-Benefit Analysis .................................................................................................................................. 24 Reduction in Efforts ................................................................................................................................ 24 Other Benefits ......................................................................................................................................... 24 Team Chemistry .......................................................................................................................................... 25 Introduction to the Team........................................................................................................................ 25 Work Distribution ................................................................................................................................... 25 References .................................................................................................................................................. 26 5|Page
Business Process Management, Group 8
List of Figures
Figure 1: Dell- Perot Deal .............................................................................................................................. 8 Figure 2: Transition ....................................................................................................................................... 8 Figure 3: Process of Improvement .............................................................................................................. 11 Figure 4: Internal Quality Audit................................................................................................................... 14 Figure 5: Entity Relationship Diagram......................................................................................................... 16 Figure 6: As-Is Diagram ............................................................................................................................... 19 Figure 7: To-Be Diagram.............................................................................................................................. 23
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Business Process Management, Group 8
Abbreviations
QoE: Quality & Operational Excellence IQA: Internal Quality Audit PM: Project Manager MoM: Minutes of Meeting CEO: Chief Executive Officer VP: Vice President PD: Project Director VH: Vertical Head PCI: Process Compliance Index PCMM: People Capability Maturity Model CMMI: Capability Maturity Model Integration COA: Corrective Action
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Business Process Management, Group 8
About Dell Services
Figure 1: Dell- Perot Deal Dell Computers declared acquisition of Perot Systems, a US based IT solution provider firm on 21September, 2009 for $3.9 million. The integration of Perot Systems with DELL was completed by February 2010.
Perot Systems
DELL Perot Systems
Dell Services
Figure 2: Transition
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Business Process Management, Group 8
Dell Services is a technology and business process services provider unit of Dell Computers. It can help with a full range of cost-containment solutions, reduction in expenses and costspending. It helps in optimizing IT solutions for the customers. Perot Systems started its London office in 1991 and subsequently opened its various offices in Asia & Pacific region. On February 1, 1999, Perot Systems priced its initial public offering of stock at $16 per share, and on February 2, the stock began trading on the New York Stock Exchange under the symbol “PER.” The company achieved another milestone that year, as revenues exceeded $1 billion. At that time the revenue of Perot System was $2.3 billion. This move came as a strategic decision on the part of Dell as HP and IBM have already moved from hardware domain to service provider domain by HP acquiring EDS. Dell being the largest PC manufacturer worldwide, has the strategic advantage to move into the service provider domain in order to full end-to-end customer solutions. This acquisition had opened new avenues for both the organizations. Dell being the largest PC vendor and hardware provider can now provide complete end-to-end customer solutions to its client as well as it can access the Perot Systems? client for clinching Hardware deal. Similarly, Perot system gets access to Dell clients for providing consulting as well as IT solutions. Today Dell Services is a 23000 Associate strong MNC headquartered at Dallas (US).Its India operation is located at Noida, Bangalore and Coimbatore. Its main expertise lies in the Healthcare & Public sector offerings at US. Dell Perot Systems was ranked #4 in Modern Healthcare Magazine?s survey of the “Largest Healthcare Management Consulting Firms.” Perot Systems was named the #1 “Best IT & Telecom Place to Work in ” for 2009; and was ranked #12 overall in all industries Perot Systems along with Northern Arizona Healthcare (NAH) jointly won the “Best Interest Alignment” Outsourcing Excellence Award for 2009. Perot Systems received the #1 ranking in several categories of the Black Book of Outsourcing Healthcare Industry survey for the second consecutive year.
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Business Process Management, Group 8
Why Business Process Improvement?
BPM is a systematic approach to improving a company's business processes. For example, a BPM application could monitor receiving systems for missing items, or walk an employee through steps to troubleshoot why an order did not arrive. It is the first technology that fosters ongoing collaboration between IT and business users to jointly build applications that effectively integrate people, process and information.
BPM gives an organization the ability to define, execute, manage and refine processes which involve human interaction, such as placing orders, work with multiple applications, and handle dynamic process rules and changes, not just simple, static flows. Important components include process modeling (a graphical depiction of a process that becomes part of the application and governs how the business process performs when you run the application), and Web and systems integration technologies, which include displaying and retrieving data via a Web browser and which enable you to orchestrate the necessary people and legacy applications into your processes. Another important component is what's been termed business activity monitoring, which gives reports on exactly how (and how well) the business processes and flow are working.
Optimizing processes that involve people and dynamic change has been difficult historically. One barrier to optimization has been the lack of visibility and ownership for processes that span functional departments or business units. In addition, the business often changes faster than IT can update applications that the business relies on to do its work, thus stifling innovation, growth, and performance and so on. But today, the pervasiveness of Web browsers and the emergence of simpler application integration technologies such as SOAP/XML have enabled IT to deploy technology that supports the business process across functional, technical and organizational domains.
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Business Process Management, Group 8
Process of Improvement
Figure 3: Process of Improvement
The process of guiding a project in the improvement of a business process starts with understanding the business needs and defining the objectives. Then after that business process is identified and understood in detail, „As Is?: The current practices followed are agreed upon. Next step is to model the new process (To Be) in steps by roles and activities. After that the process is redesigned for improvements and is implemented. After implementation, there is continuous review and improvement in the designed process.
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Business Process Management, Group 8
Process Identified at Dell Services: IQA (Internal Quality Audit)
QoE (Quality & Operational Excellence) Department deals with quality operation at Dell Perot Systems. Quality Operations span end to end control on projects and all support functions, which includes Planning and tracking certification, Awareness on processes across organization on quality processes, Process compliance across all sections of organization, Maintaining baselines of Software process database at organization level, Tracking of key performance metrics, Corrective & preventive actions when performance is not as planned, Customer satisfaction survey and improvement plans, Planning and tracking certifications, Preparing & tracking process improvement plan, Management oversight through Senior management reviews & weekly reporting
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Business Process Management, Group 8
QoE Department involves in Quality Maintenance and continual improvement by tracking and imposing corrective actions as and when required. QoE performs quarterly IQA (Internal Quality Audit) for all the projects as well support functions. The audit is done on the basis of following 5 quality models as and when required for a particular project or support function
CMM (People Capability Maturity Model) – It is a maturity framework that focuses on continuously improving the management and development of the human assets of an organization CMMI (Capability Maturity Model Integration) - It is a process improvement approach that provides organizations with the essential elements of effective processes that ultimately improve their performance. CMMI can be used to guide process improvement across a project, a division, or an entire organization. Dell Perot system is Level 5 certified. ISO 27001 – It formally specifies a management system that is intended to bring information security under explicit management control. Being a formal specification means that it mandates specific requirements. ISO 2000 – It is the first international standard for IT service management. It promotes the adoption of an integrated process approach to effectively deliver managed services to meet the business and customer requirements. ISO 9000 – It a family of standards for Quality Management Systems.
Dell Services is a PCMM and CMMI Level 5 organization as well as ISO 9000, 20000 and 27001 certified.
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Business Process Management, Group 8
Internal Quality Audit
Figure 4: Internal Quality Audit
Internal Quality Audit is a quarterly process done by QoE department for auditing the various projects and support functions at Dell Services for their Process Compliance. The projects are rated as per their performance on the various checklist made by the QoE department based on the 5 standards (PCMM, CMMI, ISO 9000, ISO 20000, ISO 27001).
Objectives of IQA Regularly Audits the Projects as well as Support functions (Security, accounting, HR etc.) on a rotation basis. Quality Assurance to the client Audit on the basis of various performance criteria Creation of metrics to compare project/departments/verticals on various parameters.
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Business Process Management, Group 8
Outcomes of IQA PCI(Process Compliance index) – project wise, IQA month wise, vertical wise IQA finding summary – minor issue, major issue and Good findings. Project Report – project wise, IQA wise, vertical wise. Metrics: These metrics provide an idea about the overall health of the Organization. Currently, these are developed only on “requirement” basis by the Senior Management. o CMMI statistics o PCMM statistics o ISO 9000 statistics o ISO 27001 statistics o ISO 20000 statistics o Specific Schedule Statistics o Consolidated Schedule Statistics The key players involved in an IQA process are: Auditees: Project Managers (PMs) of the respective projects to be audited are the auditees. IQA Auditors: Auditors will be identified within the organization for each project during every quarterly IQA cycle. Each project has two IQA Auditors – One from the QoE department and another is PM from a different project. Sr. Management: People from Senior management (Vertical Head & Project Directors) are kept in loop while the whole process mails and Minutes of Meeting (MoM) reports. CEO and VPs of various functions receive the final consolidated report of the IQA process with various metrics calculating the performance and compliance of various projects individually as well as clubbed together in Verticals.
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Business Process Management, Group 8
IQA Director: He is responsible for managing the whole IQA process. He assigns the auditor of various as well schedules the whole process. .
Auditor
1
M
Project
2
1
M
Auditee
1
Figure 5: Entity Relationship Diagram
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Business Process Management, Group 8
As-Is Process
The whole IQA process for a quarter is performed manually. The rating, tracking and monitoring is handled through Excel Sheets and Word documents. The communication is done via Outlook mails with Director of IQA and Vertical heads/Project Director in “CC” of the mails.
The IQA Process is as follows: 1. Information gathering: Information about the various projects and Support functions is collected. 2. Project Sorting: The checklists? applicable portions required for each Project/Support are identified. Separate checklists in Ms-Excel for each project are created. 3. Schedule Creation: A schedule for the IQA for a cycle is released assigning auditors to various Projects/Support function. 4. Auditing: IQA auditor, on the scheduled date and time, audits the project as per the various Checklist based on the 5 Quality Model – ISO 9000, ISO 20000, ISO 27001, PCMM and CMMI. 5. Project Rating: Data is complied and the issues(if any) with the Project are divided into following categories NO issues Major Minor Good Practices 6. Rating Confirmation: Compiled data is provided to the respective PM for required corrective action (COA) as well as to IQA director for review. 7. Rating Approval: Once the ratings are approved, PM notifies the IQA team about the required COAs to be taken as well as the target date for each COA. 8. COA confirmation: Auditors receive and confirm the COA. 9. Actual Date entry: PM on completion of COA provides the “actual completion date”.
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Business Process Management, Group 8
10. COA verification: Auditors verify the COA, and if its correct, closes the action else the issue is kept open and moves back to Step 5. 11. IQA Closing Meeting: At the schedules IQA completion date, IQA team meets to close the cycle and create the final ratings for each project. At this moment, there may be some open issues remaining which are to be tracked afterwards. But the PCI for a project depending upon the practices followed and the COAs done is calculated at the completion date.
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Business Process Management, Group 8
Figure 6: As-Is Diagram
Information Gathering
Project Sorting
Schedule Creation
Auditing
Project Rating
No issues? No Pr Rating Confirmation oc es s Rating Approval
Yes As-Is Proc ess
COA Confirmation
Actual Date Entry
COA Verification
No issues? No Pr oc es s
Yes As-Is Proc ess 19 | P a g e
Yes As-Is IQA Closing Meeting Proc ess
Business Process Management, Group 8
Challenges
1. Time: Maximum Time is consumed by Monitoring & Tracking Activities. 2. Calculation Error prone: Calculation of Metrics is done manually through Ms-Excel and Ms-Word. 3. Space Requirement: Space required for keeping auditing details in registers as well various indexing of Word documents and Excel sheets is required on the Computer HDD. 4. Time consuming and tedious repetitive job for auditors. 5. Immediate and Dynamic reports are not possible.
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Business Process Management, Group 8
As Is Process Fact Finding & Analysis
1. Each time information gathering about the Project and Support function is a redundant exercise. 2. Creation of various Excel sheets for checklist as per Project and Support function type is a tedious and error prone exercise. 3. Auditing and Rating of the process as well as the whole project is the most important phase of an IQA process. 4. Project rating, and then tracking and monitoring of outstanding issue consume the maximum time and the process is slow w.r.t communicating via mails manually. 5. Calculation of PCI for each process manually is an error prone and repetitive job for the auditors. 6. If the senior management asks for a new metric based on new parameters as well as on a customized timeline, the auditors have to go through all the data in Excel sheets and manually create the metrics by compiling data which is highly error prone and thus unreliable measure.
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Business Process Management, Group 8
To-Be Process
Here an automated IT based solution is proposed for the IQA process. This process has following salient features: Checklist segregated into various groups for various project types (Testing, project Development, Knowledge transfer, Requirement Gathering etc.) Mapping project with their project types and thus the requisite checklists – This step is taken out of the IQA cycle and is done by coordinating directly with the HR intranet module of the organization. All the communication is done directly through the automated mail generation by the automated system. It can also send the reminder to the various players on whom part the action (COA filling, verification, completion, confirmation etc) is pending. Through the Automated System, various dynamic reports with customized timelines can be generated with “Zero Error”. Real time visibility of the status of the IQA process cycle w.r.t each project/support function.
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Business Process Management, Group 8
Figure 7: To-Be Diagram
Schedule Creation
Auditing
Project Rating Yes As-Is Proc ess
No issues? IT Enabled, real time & No time wastage
No Pr Rating Confirmation oc es Rating Approval s
COA Confirmation
Actual Date Entry
COA Verification
No Pr oc es s
No issues? Yes As-Is Proc IQA Closing Meeting ess 23 | P a g e
Business Process Management, Group 8
Cost-Benefit Analysis
Reduction in Efforts
# 1 2 3 4 5 6 Activity Audit Planning Conducting & Reporting Corrective Actions Planning Tracking & Monitoring Verification & Closing Metrics Collation & Review Efforts Reduction Remains Same Significant reduction in efforts Significant reduction in efforts Efforts will reduce to Zero Significant reduction in efforts Efforts will reduce to zero
Other Benefits
# 1 2 3 Activity Automation provides more visibility of activities across the organization. Real time visibility of the IQA status and instant access to the previous reports Reports with customized timelines can be easily obtained
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Business Process Management, Group 8
Team Chemistry
Introduction to the Team
Rinshul Pruthi – B. Tech in Electronics & Communication Engineering Ankit Gupta(B.E.) – Worked with HCL Technologies for 22 months Jagesh Purohit ( B.E.) – Worked with Perot Systems for 36 months Kumar Niraj Mohan(B.E.) – Worked with Infosys Technologies for 35 months Puneet Malhotra (B.tech.) – Worked with Yahoo for 12 Months Vishal Gupta( B. Tech.) – Worked with Cognizant Technology Solutions for 34 months
Work Distribution
Jagesh, Ankit and Vishal were responsible for interacting with the company and detailing of the “As-Is Process”. Rinshul, Puneet and Niraj were responsible for working on the company profile and project report. The whole team was responsible for working on defining “To-Be Process” and doing a cost-benefit analysis of the “To-Be Process”. The proposed process was very much acceptable to the company and they were satisfied with the work that our group has done.
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Business Process Management, Group 8
References
www.perotsystems.com
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doc_258637090.pdf
Business Process Improvement Study
MANAGEMENT DEVELOPMENT INSTITUTE
Business Process Improvement Study
Under the Guidance of
Prof. KBC Saxena
Submitted By Group 8 09P110 09P127 09P142 09P149 09P159 09P179
Rinshul Pruthi Ankit Gupta Jagesh Purohit Kumar NIraj Mohan Puneet Malhotra Vishal Gupta
Business Process Management, Group 8
Acknowledgement
We would like to thank Prof. K B C Saxena for his invaluable guidance throughout this course. If not for his valuable inputs and cognizance, we would have struggled to complete this project and learn from it. We would also like to thank Mr. Neerav Kumar, Director of Quality & Operational Excellence (QoE) department, Dell Services for helping us in understanding the audit process and building the process improvement plan.
2|Page
Business Process Management, Group 8
Executive Summary
Quality & Operational Excellence (QoE) Department at Dell Services, Noida is committed for quality operations at Noida Center. The quality operations includes end-to-end control on it Project and Support functions (HR, finance, security etc.). It ensure that these functions comply with the various process standards as per indicated by the various % quality models for which Dell services has been certified. ISO 9000 ISO 2000 ISO 27001 People Capability Maturity Model(PCMM) Level 5 Capability maturity Model Integration(CMMI) Level 5 To audit these projects, Dell Services has a quarterly cycle of Internal Quality Audit (IQA) where the internal auditors audit the projects and rate them. The projects are then further tracked & monitor for the closing of outstanding issues and overall compliance and improvement of processes with all the objective of providing better services to Dell Services? Clients. Currently, whole of the IQA process (Planning & Scheduling, Monitoring & tracking, Log Findings & corrective Actions, Implementation, closing and verifications of corrective actions) is tracked manually with the help of excel sheets and via OUTLOOK emails. This leads to loads because of the repetitive and tedious nature of the job.
3|Page
Business Process Management, Group 8
We have tried to bring the changes in IQA process by introducing the IT component in it. This will significantly reduce the efforts in tracking & monitoring as well as removal of repetitive and error prone work of metrics calculations.
4|Page
Business Process Management, Group 8
Contents
Acknowledgement ........................................................................................................................................ 2 Executive Summary....................................................................................................................................... 3 Contents ........................................................................................................................................................ 5 List of Figures ................................................................................................................................................ 6 Abbreviations ................................................................................................................................................ 7 About Dell Services ....................................................................................................................................... 8 Why Business Process Improvement? ........................................................................................................ 10 Process of Improvement ......................................................................................................................... 11 Process Identified at Dell Services: IQA (Internal Quality Audit) ................................................................ 12 Internal Quality Audit.............................................................................................................................. 14 Objectives of IQA ............................................................................................................................... 14 Outcomes of IQA ................................................................................................................................ 15 As-Is Process............................................................................................................................................ 17 Challenges ........................................................................................................................................... 20 As Is Process Fact Finding & Analysis .......................................................................................................... 21 To-Be Process .............................................................................................................................................. 22 Cost-Benefit Analysis .................................................................................................................................. 24 Reduction in Efforts ................................................................................................................................ 24 Other Benefits ......................................................................................................................................... 24 Team Chemistry .......................................................................................................................................... 25 Introduction to the Team........................................................................................................................ 25 Work Distribution ................................................................................................................................... 25 References .................................................................................................................................................. 26 5|Page
Business Process Management, Group 8
List of Figures
Figure 1: Dell- Perot Deal .............................................................................................................................. 8 Figure 2: Transition ....................................................................................................................................... 8 Figure 3: Process of Improvement .............................................................................................................. 11 Figure 4: Internal Quality Audit................................................................................................................... 14 Figure 5: Entity Relationship Diagram......................................................................................................... 16 Figure 6: As-Is Diagram ............................................................................................................................... 19 Figure 7: To-Be Diagram.............................................................................................................................. 23
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Business Process Management, Group 8
Abbreviations
QoE: Quality & Operational Excellence IQA: Internal Quality Audit PM: Project Manager MoM: Minutes of Meeting CEO: Chief Executive Officer VP: Vice President PD: Project Director VH: Vertical Head PCI: Process Compliance Index PCMM: People Capability Maturity Model CMMI: Capability Maturity Model Integration COA: Corrective Action
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Business Process Management, Group 8
About Dell Services
Figure 1: Dell- Perot Deal Dell Computers declared acquisition of Perot Systems, a US based IT solution provider firm on 21September, 2009 for $3.9 million. The integration of Perot Systems with DELL was completed by February 2010.
Perot Systems
DELL Perot Systems
Dell Services
Figure 2: Transition
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Business Process Management, Group 8
Dell Services is a technology and business process services provider unit of Dell Computers. It can help with a full range of cost-containment solutions, reduction in expenses and costspending. It helps in optimizing IT solutions for the customers. Perot Systems started its London office in 1991 and subsequently opened its various offices in Asia & Pacific region. On February 1, 1999, Perot Systems priced its initial public offering of stock at $16 per share, and on February 2, the stock began trading on the New York Stock Exchange under the symbol “PER.” The company achieved another milestone that year, as revenues exceeded $1 billion. At that time the revenue of Perot System was $2.3 billion. This move came as a strategic decision on the part of Dell as HP and IBM have already moved from hardware domain to service provider domain by HP acquiring EDS. Dell being the largest PC manufacturer worldwide, has the strategic advantage to move into the service provider domain in order to full end-to-end customer solutions. This acquisition had opened new avenues for both the organizations. Dell being the largest PC vendor and hardware provider can now provide complete end-to-end customer solutions to its client as well as it can access the Perot Systems? client for clinching Hardware deal. Similarly, Perot system gets access to Dell clients for providing consulting as well as IT solutions. Today Dell Services is a 23000 Associate strong MNC headquartered at Dallas (US).Its India operation is located at Noida, Bangalore and Coimbatore. Its main expertise lies in the Healthcare & Public sector offerings at US. Dell Perot Systems was ranked #4 in Modern Healthcare Magazine?s survey of the “Largest Healthcare Management Consulting Firms.” Perot Systems was named the #1 “Best IT & Telecom Place to Work in ” for 2009; and was ranked #12 overall in all industries Perot Systems along with Northern Arizona Healthcare (NAH) jointly won the “Best Interest Alignment” Outsourcing Excellence Award for 2009. Perot Systems received the #1 ranking in several categories of the Black Book of Outsourcing Healthcare Industry survey for the second consecutive year.
9|Page
Business Process Management, Group 8
Why Business Process Improvement?
BPM is a systematic approach to improving a company's business processes. For example, a BPM application could monitor receiving systems for missing items, or walk an employee through steps to troubleshoot why an order did not arrive. It is the first technology that fosters ongoing collaboration between IT and business users to jointly build applications that effectively integrate people, process and information.
BPM gives an organization the ability to define, execute, manage and refine processes which involve human interaction, such as placing orders, work with multiple applications, and handle dynamic process rules and changes, not just simple, static flows. Important components include process modeling (a graphical depiction of a process that becomes part of the application and governs how the business process performs when you run the application), and Web and systems integration technologies, which include displaying and retrieving data via a Web browser and which enable you to orchestrate the necessary people and legacy applications into your processes. Another important component is what's been termed business activity monitoring, which gives reports on exactly how (and how well) the business processes and flow are working.
Optimizing processes that involve people and dynamic change has been difficult historically. One barrier to optimization has been the lack of visibility and ownership for processes that span functional departments or business units. In addition, the business often changes faster than IT can update applications that the business relies on to do its work, thus stifling innovation, growth, and performance and so on. But today, the pervasiveness of Web browsers and the emergence of simpler application integration technologies such as SOAP/XML have enabled IT to deploy technology that supports the business process across functional, technical and organizational domains.
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Business Process Management, Group 8
Process of Improvement
Figure 3: Process of Improvement
The process of guiding a project in the improvement of a business process starts with understanding the business needs and defining the objectives. Then after that business process is identified and understood in detail, „As Is?: The current practices followed are agreed upon. Next step is to model the new process (To Be) in steps by roles and activities. After that the process is redesigned for improvements and is implemented. After implementation, there is continuous review and improvement in the designed process.
11 | P a g e
Business Process Management, Group 8
Process Identified at Dell Services: IQA (Internal Quality Audit)
QoE (Quality & Operational Excellence) Department deals with quality operation at Dell Perot Systems. Quality Operations span end to end control on projects and all support functions, which includes Planning and tracking certification, Awareness on processes across organization on quality processes, Process compliance across all sections of organization, Maintaining baselines of Software process database at organization level, Tracking of key performance metrics, Corrective & preventive actions when performance is not as planned, Customer satisfaction survey and improvement plans, Planning and tracking certifications, Preparing & tracking process improvement plan, Management oversight through Senior management reviews & weekly reporting
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Business Process Management, Group 8
QoE Department involves in Quality Maintenance and continual improvement by tracking and imposing corrective actions as and when required. QoE performs quarterly IQA (Internal Quality Audit) for all the projects as well support functions. The audit is done on the basis of following 5 quality models as and when required for a particular project or support function
CMM (People Capability Maturity Model) – It is a maturity framework that focuses on continuously improving the management and development of the human assets of an organization CMMI (Capability Maturity Model Integration) - It is a process improvement approach that provides organizations with the essential elements of effective processes that ultimately improve their performance. CMMI can be used to guide process improvement across a project, a division, or an entire organization. Dell Perot system is Level 5 certified. ISO 27001 – It formally specifies a management system that is intended to bring information security under explicit management control. Being a formal specification means that it mandates specific requirements. ISO 2000 – It is the first international standard for IT service management. It promotes the adoption of an integrated process approach to effectively deliver managed services to meet the business and customer requirements. ISO 9000 – It a family of standards for Quality Management Systems.Dell Services is a PCMM and CMMI Level 5 organization as well as ISO 9000, 20000 and 27001 certified.
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Business Process Management, Group 8
Internal Quality Audit
Figure 4: Internal Quality Audit
Internal Quality Audit is a quarterly process done by QoE department for auditing the various projects and support functions at Dell Services for their Process Compliance. The projects are rated as per their performance on the various checklist made by the QoE department based on the 5 standards (PCMM, CMMI, ISO 9000, ISO 20000, ISO 27001).
Objectives of IQA Regularly Audits the Projects as well as Support functions (Security, accounting, HR etc.) on a rotation basis. Quality Assurance to the client Audit on the basis of various performance criteria Creation of metrics to compare project/departments/verticals on various parameters.
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Business Process Management, Group 8
Outcomes of IQA PCI(Process Compliance index) – project wise, IQA month wise, vertical wise IQA finding summary – minor issue, major issue and Good findings. Project Report – project wise, IQA wise, vertical wise. Metrics: These metrics provide an idea about the overall health of the Organization. Currently, these are developed only on “requirement” basis by the Senior Management. o CMMI statistics o PCMM statistics o ISO 9000 statistics o ISO 27001 statistics o ISO 20000 statistics o Specific Schedule Statistics o Consolidated Schedule Statistics The key players involved in an IQA process are: Auditees: Project Managers (PMs) of the respective projects to be audited are the auditees. IQA Auditors: Auditors will be identified within the organization for each project during every quarterly IQA cycle. Each project has two IQA Auditors – One from the QoE department and another is PM from a different project. Sr. Management: People from Senior management (Vertical Head & Project Directors) are kept in loop while the whole process mails and Minutes of Meeting (MoM) reports. CEO and VPs of various functions receive the final consolidated report of the IQA process with various metrics calculating the performance and compliance of various projects individually as well as clubbed together in Verticals.
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Business Process Management, Group 8
IQA Director: He is responsible for managing the whole IQA process. He assigns the auditor of various as well schedules the whole process. .
Auditor
1
M
Project
2
1
M
Auditee
1
Figure 5: Entity Relationship Diagram
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Business Process Management, Group 8
As-Is Process
The whole IQA process for a quarter is performed manually. The rating, tracking and monitoring is handled through Excel Sheets and Word documents. The communication is done via Outlook mails with Director of IQA and Vertical heads/Project Director in “CC” of the mails.
The IQA Process is as follows: 1. Information gathering: Information about the various projects and Support functions is collected. 2. Project Sorting: The checklists? applicable portions required for each Project/Support are identified. Separate checklists in Ms-Excel for each project are created. 3. Schedule Creation: A schedule for the IQA for a cycle is released assigning auditors to various Projects/Support function. 4. Auditing: IQA auditor, on the scheduled date and time, audits the project as per the various Checklist based on the 5 Quality Model – ISO 9000, ISO 20000, ISO 27001, PCMM and CMMI. 5. Project Rating: Data is complied and the issues(if any) with the Project are divided into following categories NO issues Major Minor Good Practices 6. Rating Confirmation: Compiled data is provided to the respective PM for required corrective action (COA) as well as to IQA director for review. 7. Rating Approval: Once the ratings are approved, PM notifies the IQA team about the required COAs to be taken as well as the target date for each COA. 8. COA confirmation: Auditors receive and confirm the COA. 9. Actual Date entry: PM on completion of COA provides the “actual completion date”.
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Business Process Management, Group 8
10. COA verification: Auditors verify the COA, and if its correct, closes the action else the issue is kept open and moves back to Step 5. 11. IQA Closing Meeting: At the schedules IQA completion date, IQA team meets to close the cycle and create the final ratings for each project. At this moment, there may be some open issues remaining which are to be tracked afterwards. But the PCI for a project depending upon the practices followed and the COAs done is calculated at the completion date.
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Business Process Management, Group 8
Figure 6: As-Is Diagram
Information Gathering
Project Sorting
Schedule Creation
Auditing
Project Rating
No issues? No Pr Rating Confirmation oc es s Rating Approval
Yes As-Is Proc ess
COA Confirmation
Actual Date Entry
COA Verification
No issues? No Pr oc es s
Yes As-Is Proc ess 19 | P a g e
Yes As-Is IQA Closing Meeting Proc ess
Business Process Management, Group 8
Challenges
1. Time: Maximum Time is consumed by Monitoring & Tracking Activities. 2. Calculation Error prone: Calculation of Metrics is done manually through Ms-Excel and Ms-Word. 3. Space Requirement: Space required for keeping auditing details in registers as well various indexing of Word documents and Excel sheets is required on the Computer HDD. 4. Time consuming and tedious repetitive job for auditors. 5. Immediate and Dynamic reports are not possible.
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Business Process Management, Group 8
As Is Process Fact Finding & Analysis
1. Each time information gathering about the Project and Support function is a redundant exercise. 2. Creation of various Excel sheets for checklist as per Project and Support function type is a tedious and error prone exercise. 3. Auditing and Rating of the process as well as the whole project is the most important phase of an IQA process. 4. Project rating, and then tracking and monitoring of outstanding issue consume the maximum time and the process is slow w.r.t communicating via mails manually. 5. Calculation of PCI for each process manually is an error prone and repetitive job for the auditors. 6. If the senior management asks for a new metric based on new parameters as well as on a customized timeline, the auditors have to go through all the data in Excel sheets and manually create the metrics by compiling data which is highly error prone and thus unreliable measure.
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Business Process Management, Group 8
To-Be Process
Here an automated IT based solution is proposed for the IQA process. This process has following salient features: Checklist segregated into various groups for various project types (Testing, project Development, Knowledge transfer, Requirement Gathering etc.) Mapping project with their project types and thus the requisite checklists – This step is taken out of the IQA cycle and is done by coordinating directly with the HR intranet module of the organization. All the communication is done directly through the automated mail generation by the automated system. It can also send the reminder to the various players on whom part the action (COA filling, verification, completion, confirmation etc) is pending. Through the Automated System, various dynamic reports with customized timelines can be generated with “Zero Error”. Real time visibility of the status of the IQA process cycle w.r.t each project/support function.
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Business Process Management, Group 8
Figure 7: To-Be Diagram
Schedule Creation
Auditing
Project Rating Yes As-Is Proc ess
No issues? IT Enabled, real time & No time wastage
No Pr Rating Confirmation oc es Rating Approval s
COA Confirmation
Actual Date Entry
COA Verification
No Pr oc es s
No issues? Yes As-Is Proc IQA Closing Meeting ess 23 | P a g e
Business Process Management, Group 8
Cost-Benefit Analysis
Reduction in Efforts
# 1 2 3 4 5 6 Activity Audit Planning Conducting & Reporting Corrective Actions Planning Tracking & Monitoring Verification & Closing Metrics Collation & Review Efforts Reduction Remains Same Significant reduction in efforts Significant reduction in efforts Efforts will reduce to Zero Significant reduction in efforts Efforts will reduce to zero
Other Benefits
# 1 2 3 Activity Automation provides more visibility of activities across the organization. Real time visibility of the IQA status and instant access to the previous reports Reports with customized timelines can be easily obtained
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Business Process Management, Group 8
Team Chemistry
Introduction to the Team
Rinshul Pruthi – B. Tech in Electronics & Communication Engineering Ankit Gupta(B.E.) – Worked with HCL Technologies for 22 months Jagesh Purohit ( B.E.) – Worked with Perot Systems for 36 months Kumar Niraj Mohan(B.E.) – Worked with Infosys Technologies for 35 months Puneet Malhotra (B.tech.) – Worked with Yahoo for 12 Months Vishal Gupta( B. Tech.) – Worked with Cognizant Technology Solutions for 34 months
Work Distribution
Jagesh, Ankit and Vishal were responsible for interacting with the company and detailing of the “As-Is Process”. Rinshul, Puneet and Niraj were responsible for working on the company profile and project report. The whole team was responsible for working on defining “To-Be Process” and doing a cost-benefit analysis of the “To-Be Process”. The proposed process was very much acceptable to the company and they were satisfied with the work that our group has done.
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References
www.perotsystems.com
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doc_258637090.pdf