cmmi for services - insights and beyond

1© Rajesh Naik, 2010

Released under Creative Commons Attribution-NonCommercial-ShareAlike 3.0 Unported License license

CMMI® for Services (SVC)Insights & Beyond

HMBP Colloquium

21 May 2010



Agenda

� Overview of the CMMI®-SVC

� Discussion of New PAs (Over CMMI®-DEV)

� Applicability



Typical Challenges in Service Industry

� Meeting SLAs & Continuous Process Improvement

� Delivering consistent service quality

� Managing service continuity

� Managing high rate of changes/ time to market

� Adequate understanding of Service components & role in delivery

� Remain Competitive and maintain low cost

� Increase Service Quality

� Attaining centralized Model across the Organization for all the services

provided



What is CMMI-SVC

� An extension of the CMMI model

� CMMI®-SVC is a compendium of best practices which enables service focused organizations to effectively :

� Design the service

� Deploy and deliver the service

� Manage the service

� Has Synergies with other models like CMMI®-DEV, ITIL, ISO 20000, CobiT and ITSCM.



What is a Service as per CMMI®-SVC

� Services are useful intangible and non-storable results delivered through the operation of a service system.

� The process used in delivering the service typically has a immediate impact on the service

� Services are typically short cycle and repetitive in nature



Where does CMMI®-SVC apply

Every service provider organization using the CMMI®-SVC model must have at a

minimum both people and process resources

Every service provider organization using the CMMI®-SVC model must have at a

minimum both people and process resources

Training

Consulting

Hospitality

Health Care

Banking

Telecom

People Outsourcing

BPO

KPOIT Infrastructure

Management

and more…

Retail

Logistics

Travel

Utilities

Government Services

Software (Part Lifecycle)



CMMI Constellations



CMMI-SVC Maturity Level

1

4

3

2

5

Processes unpredictable, poorly controlled and reactive

Projects level foundation for an organization to become an

effective service provider

Processes characterized for organization and is often

proactive

Processes measured and controlled

Focus on process improvement

Managed

Initial

Defined

Quantitatively Managed

Optimizing



CMMI®-SVC Process Areas

Organizational Training

Organizational Process Definition

Organizational Process Focus

Organizational Process Performance

Project Monitoring and Control

Project Planning

Requirements Management

Supplier Agreement Management

Capacity and Availability Management

Integrated Project Management

Risk Management

Service Continuity

Quantitative Project Management

Service Delivery

Incident Resolution and Prevention

Service System Development

Service System Transition

Strategic Service Management

Organizational Innovation & Deployment

Configuration Management

Process & Product QA

Measurement & Analysis

Decision Analysis & Resolution

Causal Analysis & Resolution

Service Establishment

& DeliveryProject Management Process Management Support

2

3

4

5

2

3

4

5



Understanding Service Specific PAs

Source: SEI

16 Core Process Areas& 1 Shared PA

(SAM)

Incident Resolution & Prevention

Service Delivery

Service System

Transition

StrategicService

Management

ServiceSystem

Development

PA Addition

ServiceContinuity

Capacity &Availability

Management



Strategic Service Management (STSM)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery

Service SystemTransiti

on

Strategic

ServiceManage

ment

ServiceSystemDevelop

ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

deciding what services you should be providing, making them standard, and letting people know about them



Strategic Service Management (STSM)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management deciding what services you

should be providing, making them standard, and letting people know about them

What kind of taxi service?•Pick up and drop? Or Time and distance hiring?•Only within city limits?•Primarily for the airport?•Luxury / semi-luxury / economy?•Shared or single person hiring?•Radio call? Hail from the street?•Lots of luggage space? More leg room?



Service System Development (SSD)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

making sure you have everything you need to deliver the service, including people, processes, consumables, and equipment



Service System Development (SSD)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

making sure you have everything you need to deliver the service, including people, processes, consumables, and equipment

Design, Develop and Test the Service•Process and system•Taxis•Meters•Drivers•Call numbers•Call centre•Service Centers•Waiting/ parking lots•Driver contracts•Pricing •Billing process•Fuel refill system



Service System Transition (SST)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

getting new systems in place, changing existing systems, retiring obsolete systems, all while making sure nothing goes terribly wrong with service



Service System Transition (SST)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

getting new systems in place, changing existing systems, retiring obsolete systems, all while making sure nothing goes terribly wrong with service

Install and implement the service•Put the designed service in action•Carry out trials•Smooth out initial glitches•Make the service fully operational



Service Delivery (SD)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

setting up agreements, taking care of service requests, and operating the service system



Service Delivery (SD)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

setting up agreements, taking care of service requests, and operating the service system

Set up agreements with airport, traffic police, service centers, consumer forums, websiteSet up mechanisms to communicateexpected service level with users Take bookings, cancellations, changes, complaints, Track the service at detailed and macro level



Capability & Availability Management (CAM)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

making sure you have the resources you need to deliver services and that they are available when needed—at an appropriate cost



Capability & Availability Management (CAM)

Source: SEI

16 Core Process

Areas& 1

Shared PA

(SAM)

Incident Resoluti

on & Preventi

on

Service Delivery


on

Strategic

ServiceManage

ment


ment

PA Addition

ServiceContinui

ty

Capacity &

Availability

Management

making sure you have the resources you need to deliver services and that they are available when needed—at an appropriate cost

Do demand- supply management of drivers, taxis, call center resources – at multiple planning horizons:•Long term – six months/ one year•Medium term – month/ week•Short term – daily/ every hour



Incident Resolution & Prevention (IRP)

Source: SEI

16 Core

Process Areas

& 1 Shared PA (SAM)

Incident Resolution

& Prevention

Service Delivery

Service System

Transition

StrategicService

Management

ServiceSystem

Development

PA Addition

ServiceContinuity

Capacity &AvailabilityManageme

nt

handling what goes wrong—and preventing it from going wrong in the first place if you can



Incident Resolution & Prevention (IRP)

Source: SEI

16 Core

Process Areas

& 1 Shared PA (SAM)

Incident Resolution

& Prevention

Service Delivery

Service System

Transition

StrategicService

Management

ServiceSystem

Development

PA Addition

ServiceContinuity

Capacity &AvailabilityManageme

nt

handling what goes wrong—and preventing it from going wrong in the first place if you can

Handle complaints from customers, driversHandle incidents of accidents, breakdowns, fuel outage, driver illnesses, traffic violations, incidents at the airports, non-payments, theft, etcDo RCA and put preventive action in place



Service Continuity Management (SCON)

Source: SEI

16 Core

Process Areas

& 1

Shared PA (SAM)

Incident Resolutio

n & Preventio

n

Service Delivery

Service System

Transition

StrategicService

Management

ServiceSystem

Development

PA Addition

ServiceContinuity

Capacity &

Availability

Management

being ready to recover from a disaster and get back to delivering your service



Service Continuity Management (SCON)

Source: SEI

16 Core

Process Areas

& 1

Shared PA (SAM)

Incident Resolutio

n & Preventio

n

Service Delivery

Service System

Transition

StrategicService

Management

ServiceSystem

Development

PA Addition

ServiceContinuity

Capacity &

Availability

Management

being ready to recover from a disaster and get back to delivering your service

This could be at multiple levels. Short-term, medium term and long term:Driver does not report, car failure, accident while transportationRiots, floods, strikes, fuel availabilityGovt. regulation change



Process Performance Models in SVC

• Typically to support

– CAM – Capability & Availability Management

– SD – Service Delivery

• CAM

– Using forecasted demand, concepts of queuing, baseline performance of various sub-processes, identifying the capacity required, that will meet the demand and multiple goals of cycle times, pending queues, delayed requests, requests not serviced, quality, cost and idle time

• SD

– On arrival of a new demand, re-plan the allocation and sequencing of resources to be able optimally meet multiple goals of cycle times, pending queues, delayed requests, requests not serviced, quality, cost and idle time



Production Support Example-1

Accept/

RejectQueueQueue

New ticket

Analyze Fix Review

TestRegressionDeliveryMonitorClose

Queue Queue

QueueQueueQueue

ProficientNoviceNoviceCant DoAnkit

ExpertProficientProficientNoviceRita

ExpertProficientProficientProficientRohit

ExpertExpertExpertExpertSuzy

……TestReviewFixAnalyze

Optimize: SLA Compliance, Bad Fixes, Idle, Cost, Pending Queues

Input Data: Expected arrival rate, current sub-process performance baselines

Models: Simulations, based on queuing theory

What-if: We change the rules of task assignment? More tickets are expected?

We get one more person in the team? Suzy takes leave for 2 weeks?

We reduce avg. cycle-time of “regressions” sub-process by 10%?



Value of CMMI-SVC

� Rigorous yet flexible framework

� Improved SLA compliance & delivery efficiency

� Improved customer satisfaction

� Optimized capacity utilization

� Effective change management

� Roadmap to service maturity

� Gain a marketing/competitive edge



CMMI-SVC vs ISO 20000 vs V3

Note: PA’s marked as green may still require effort for “transition” to SVC Framework



CMMI®- SVC and SCAMPI-A

• Separate appraisals for CMMI®- SVC – currently cannot be combined with DEV

• LAs need SVC specific authorization

• Scoping of the DEV appraisals may be impacted (after the arrival of SVC). Projects that may

need to be “out of scope” of DEV in future could include:

– Production support

– Short cycle maintenance projects

– Pure testing projects

• (It was anyway difficult to demonstrate RD, PI and VAL in many such projects)



Opportunities for IT Companies

1. Use CMMI® - SVC for non-DEV parts of the software organization –Production support,

maintenance, testing

2. Implement in other services – IT Infrastructure management, BPO/ KPO, internal services

(training, facilities, etc.)

3. Provide process consulting for your IT customers in the services business (banking,

insurance, finance, transport, logistics, retail, training, education, government, health care,

hospitality, etc.)

4. For your customers, provide integrated IT-based solutions that are aligned with CMMI®-SVC



Service Process and Service Automation

SERVICE DELIVERY

AND MANAGEMENT

PROCESS

AUTOMATED SERVICE PROCESS



Opportunities for Process/ Quality Folks

� Most of your customers are services organizations -- Banking, Insurance, Finance, Travel,

Hotels, Hospitals, Government Services, Utilities

� Most services are highly automated, by companies such as yours

� You (process group and IT delivery teams) can deliver CMMI-SVC compatible IT systems

for your services industry clients



About this Presentation

More resources on the subject are available from the creator of this presentation at:

http://www.rajeshnaik.com

© Rajesh Naik, 2010

This work is released under a Creative Commons Attribution-NonCommercial-ShareAlike 3.0 Unported License license. This means you can use it for non-commercial purposes so long as you include the copyright line “© Rajesh Naik, 2010". If you create derivative works using this work, they should also be made available under a similar license. For further information go tohttp://creativecommons.org/licenses/by-nc-sa/3.0/ For uses outside the scope of the license, contact Rajesh Naik at [email protected]

Author: Rajesh NaikConsulting Partner

QAI India Limited

[email protected]

[email protected]

+91 9845488767



Thank You

Rajesh NaikConsulting PartnerQAI India Limited

Email

[email protected]

[email protected]

Mobile

+91 9845488767

Website

www.rajeshnaik.com

Also, have a look at the latest “business novel”:

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By Swapna Kishore & Rajesh Naik

Website: http://www.postscript-impressions.com

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