slide 1tony rollo © copyright software measurement services ltd. tel:+44 (0) 1732-863-760 version...

Tony Rollo

© Copyright Software Measurement Services Ltd. tel:+44 (0) 1732-863-760 www.software-measurement.com Version 0.aSome Final Thoughts – After Birthday SMIF

The End Of Software Engineering The End Of Software Engineering In The WestIn The West

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© Copyright Software Measurement Services Ltd. tel:+44 (0) 1732-863-760 www.software-measurement.com Version 0.aUKSMA 2005

The End Of an IndustryThe End Of an Industry

This is a picture of one of the last 180 Triumph Motorcycles manufactured at Small Heath in Birmingham.

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A SurvivorA Survivor

No Longer

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Two Lost IndustriesTwo Lost Industries

Why?Why?

Because we failed to learn the lessonBecause we failed to learn the lesson

Quality, quality and PriceQuality, quality and Price

Europe and the America both used the build and Europe and the America both used the build and fix model of car manufacture.fix model of car manufacture.

Volkswagen used to Advertise that they shipped Volkswagen used to Advertise that they shipped the spares the spares BeforeBefore they shipped the car they shipped the car

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JapanJapan

Initially Japanese cars and motorcycles Initially Japanese cars and motorcycles

Were:Were:

CheapCheap

UnreliableUnreliable

RustedRusted

Were of poor qualityWere of poor quality

But introduced a wide range of standard But introduced a wide range of standard featuresfeatures

But Then…….But Then…….

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JapanJapan

Used InnovationUsed InnovationDevelopment of the two strokeDevelopment of the two stroke

Quality – adopted the ideas of Demming Quality – adopted the ideas of Demming Total quality approachTotal quality approach

The Result:The Result:They built cars and motorcycles that did They built cars and motorcycles that did not need to be fixed.not need to be fixed.

PricePriceThey realised that cars and motorcyclesThey realised that cars and motorcycleswould be price sensitive goodswould be price sensitive goods

They continued to be innovative JIT, Lean They continued to be innovative JIT, Lean engineering, good management.engineering, good management.

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Not Just CarsNot Just Cars

Television & RadioTelevision & Radio

Tape Recorders- electronic goods generallyTape Recorders- electronic goods generally

CamerasCameras

WatchesWatches

Always a concentration on qualityAlways a concentration on quality

And of Course on Price/value for moneyAnd of Course on Price/value for money

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Whither SoftwareWhither Software

Russia,Russia,

Thailand,Thailand,India,India,

Do we See similar trends in the software industryDo we See similar trends in the software industry

Eastern Europe,Eastern Europe,

Where Next China?

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Can we Stop it?Can we Stop it?

Possibly Possibly BUTBUT

We need to be fast learnersWe need to be fast learners

We need to promote Quality to the forefront of We need to promote Quality to the forefront of our concernsour concerns

How many organisations in the UK have Quality How many organisations in the UK have Quality and quality as their two most important issues?and quality as their two most important issues?

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OK if we cannot save it what can we do?OK if we cannot save it what can we do?

Find another careerFind another career

OROR

Exploit the trendExploit the trend

Properly manage the outsource relationshipProperly manage the outsource relationship

There are a variety of relationshipsIn-source/outsource – on shore offshore/near shore

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An Actual ConversationAn Actual Conversation

““The trouble with the Indians is they build the The trouble with the Indians is they build the design without questioning it.”design without questioning it.”

You mean you send them a design that does not You mean you send them a design that does not work, they programme it and it still doesn't work?work, they programme it and it still doesn't work?

““Yes if our programmers think the design is wrong Yes if our programmers think the design is wrong they change it”they change it”

The programmers? And does that always work?The programmers? And does that always work?

““Usually – though sometimes it does not do want Usually – though sometimes it does not do want the customers want”the customers want”

Why not fix the designs first? You know review it?Why not fix the designs first? You know review it?

““We never have time to do things properly”We never have time to do things properly”

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A typical conversationA typical conversation

“We outsourced to a level 5 company and its no better”1. What was outsourced?2. Who is doing requirements management?3. Who is managing the project?

It usually transpires that

1. Programme and project management is retained

2. as is requirements analysis and management,

3. coding and testing are outsourced, some design may be outsourced

Now to be at level 2 you need all PA’s including project planning, project control and requirements management to be satisfied.

You have just created a level 1 organisation

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What is the messageWhat is the message

These conversations highlight:These conversations highlight:

Outsourcing needs to be managedOutsourcing needs to be managed You cannot just hand it over and expect it to be rightYou cannot just hand it over and expect it to be right You and your users need to change your behaviourYou and your users need to change your behaviour

Off Shore requires Off Shore requires YOUYOU to understand to understand The culture of the off shore folksThe culture of the off shore folks Requires Requires YOUYOU to ensure the quality of your work to ensure the quality of your work

Development is an end to end processDevelopment is an end to end process The front end of development is where the The front end of development is where the

expensive mistakes are madeexpensive mistakes are made

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A nice storyA nice story

A large supermarket:A large supermarket: Was outsourcing software ADM Was outsourcing software ADM The proposed contract promised improved The proposed contract promised improved

productivityproductivity CEO asked the IT directorCEO asked the IT director

What is our productivity nowWhat is our productivity now He did not knowHe did not know Had it measured – it was well below industry Had it measured – it was well below industry

average – lower quartileaverage – lower quartile CEO renegotiated contract priceCEO renegotiated contract price

As anyone should be able to improve on our low As anyone should be able to improve on our low productivityproductivity

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Client Side 1Client Side 1

Can you be sure:Can you be sure:

the supplier can deliver everything you need the supplier can deliver everything you need reduced cost, reduced cost, better quality, better quality, faster delivery, faster delivery, with the required functionality? with the required functionality?

The supplier may have a site performing well The supplier may have a site performing well can they replicate this on your site?can they replicate this on your site? they need robust processes in place.they need robust processes in place.

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Client Side 2Client Side 2

If you were contracting buildings maintenanceIf you were contracting buildings maintenance you would have a service level agreement.you would have a service level agreement. Which you would monitor for compliance Which you would monitor for compliance

for software maintenance and development services. for software maintenance and development services.

You also need an SLAYou also need an SLA

Can you monitor an SLA?Can you monitor an SLA? drafted in terms of cost, drafted in terms of cost, quality, quality, time to deliver time to deliver

based on the unit of software being delivered? based on the unit of software being delivered?

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Managing OutsourcingManaging Outsourcing

Managing an outsource contract requires:Managing an outsource contract requires:1.1. A dedicated team within your organisationA dedicated team within your organisation

2.2. Some form of verifiable SLA Some form of verifiable SLA 1.1. You would not outsource photocopier support without a You would not outsource photocopier support without a

set of measurable performance requirementsset of measurable performance requirementsAre photocopiers really more important than your software?Are photocopiers really more important than your software?

3.3. An SLA must have measurement includedAn SLA must have measurement included1.1. Measurement needs to be thought throughMeasurement needs to be thought through

2.2. Should you include a benchmark?Should you include a benchmark?

3.3. Productivity alone is not sufficientProductivity alone is not sufficient

4.4. Nor is cost Nor is cost

5.5. Cost per unit of software delivered is betterCost per unit of software delivered is better

6.6. But what about quality, time to deliverBut what about quality, time to deliver

7.7. What happens if your users keep making late changesWhat happens if your users keep making late changes

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Outsource teamOutsource team

Should Include:Should Include: a senior manager with authority & budgeta senior manager with authority & budget someone who can monitor the SLAsomeone who can monitor the SLA

Can make and/or interpret any measurementsCan make and/or interpret any measurements Understands cost implications of decisionsUnderstands cost implications of decisions

Such as compressed schedulesSuch as compressed schedules Late changesLate changes Changed work profileChanged work profile

users who can make decisionsusers who can make decisions priority of requirementspriority of requirements True necessity of changesTrue necessity of changes

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Defining RequirementsDefining Requirements

Requirements definition is very important in an Requirements definition is very important in an outsourced environment, outsourced environment,

whether the requirements are being developed whether the requirements are being developed by client or supplier. by client or supplier.

You need testable requirements You need testable requirements

the better the requirements the lower should be the better the requirements the lower should be the error rate and the amount of rework caused the error rate and the amount of rework caused by misunderstood requirements.by misunderstood requirements.

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FinallyFinally

Outsource your Problems and Outsource your Problems and someone else will nurture them for yousomeone else will nurture them for you

Outsourcing – Will happenOutsourcing – Will happen

Learn to manage it and understand what can Learn to manage it and understand what can and cannot be done, and cannot be done,

that way you can improve your companies that way you can improve your companies businessbusiness

And your career prospectsAnd your career prospects

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