Richard E. Biehl, CSSBB, CSQE Data-Oriented Quality Solutions
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1 Six Sigma Richard E. Biehl, CSSBB, CSQE Data-Oriented Quality Solutions
2 Problem Domain: Six Sigma & IT Integration Problem Domain: Six Sigma Drives Lifecycle-based Project Success Six Sigma puts controls in place to assure that implemented process components are successful. Manage Improvement Project Define Measure Analyze Improve Control Existing Business Processes & Services Six Sigma looks at factbased alternatives analysis. Other projects are sub-projects to Six Sigma initiatives They implement the components of proposed new business process maps using specialized/localized competencies inherent in the traditional information technology lifecycle. Improved Business Processes & Services Manage Implementation Project Initiation Analysis Bid & Contract Design & Build Accept & Implement Requirements for specialized process map components Completed specialized process map components 2
3 PMI PMBOK Subproject. A smaller portion of the overall project created when a project is subdivided into more manageable components or pieces. Subprojects are usually represented in the work breakdown structure. A subproject can be referred to as a project, managed as a project, and acquired from a seller. A Guide to the Project Management Body of Knowledge PMBOK, Third Edition, GLOSSARY (p.377) 3
4 PMI PMBOK Subprojects. Subprojects are often contracted to an external enterprise or to another functional unit in the performing organization. Examples include hsubprojects based on the project process, such as a single phase in the project life cycle hsubprojects according to human resource skill requirements, such as plumbers or electricians needed on a construction project hsubprojects involving specialized technology, such as automated testing of computer programs on a software development project. A Guide to the Project Management Body of Knowledge PMBOK, Third Edition, INTRODUCTION (p.17) 4
5 PMI Areas of Interest Project Management Institute Organizational Project Management Maturity Model (OPM3 ) Portfolio Program Project Subproject Phase Project Management Institute Project Management Body of Knowledge (PMBOK ) 5
6 PMI PMBOK 5. Project Scope Management 5.1 Scope Planning 5.2 Scope Definition 5.3 Create WBS PMI PMBOK Project Planning 12/20/ v34 6. Project Time Management 6.1 Activity Definition 6.2 Activity Sequencing 6.3 Activity Resource Estimating 6.4 Activity Duration Estimating 6.5 Schedule Development 6
7 3 Perspectives on IT Projects Automation Business process is embedded in IT systems and functions. The process is automated by the system. Processing Augmentation Business process depends on using certain IT systems or functions. The process is augmented by the system. Processing System Enablement Business process includes making IT systems or functions available. The process enables the customers. Processing Capability 7
8 Automation vs. Augmentation Valid Orders Valid Orders Order Entry Dashboard Customer Service Scorecard Take Orders N Customer Requests N Product Inventory (Future) S Customer Profiles S Prices & Promotions S Shipping Schedules Automation Take Orders N Customer Requests N Product Inventory (Future) S Customer Profiles S Prices & Promotions S Shipping Schedules S Order Entry System S Customer Service Representative S Customer Service Policies Augmentation Augmentation is more encompassing of a full DFSS design than simple automation. 8
9 Augmentation Impact Systems require users who operate under policies. 1 Take Orders Valid Orders Order Entry Dashboard Customer Service Scorecard N Customer Requests N Product Inventory (Future) S Customer Profiles S Prices & Promotions S Shipping Schedules S Order Entry System S Customer Service Representative S Customer Service Policies Every system gets a dashboard, and every user gets a scorecard, to measure policy compliance. 3 New outputs mean additional customer requirements, and possibly new customers. SIPOC 4 New inputs mean additional process requirements, and possibly new suppliers. 2 9
10 Enablement Enablement Business process includes making IT systems or functions available. The process enables the customers. Processing Capability Requirements Technology Infrastructure Configuration Support Processing Capability Enablement Focus Enablement processes aren t about producing software systems or components. Software systems are produced, installed, and operated from within the process to provide the processing capability. Decisions to buy, build, or adapt are visible only within the process. 10
11 Relationships Among Project Types Automation Take Orders Valid Orders Customer Requests Product Inventory (Future) Customer Profiles Prices & Promotions Shipping Schedules Enablement Order Entry System Augmentation Valid Orders Order Entry Dashboard Customer Service Scorecard Enter Orders Customer Requests Product Inventory (Future) Customer Profiles Prices & Promotions Shipping Schedules Order Entry System Customer Service Representative Customer Service Policies Software Lifecycle System Requirements Standards & Technology Configuration & Support 11
12 Automation Example Processing Data Warehousing Process Supplier Legacy Systems Analysts System Administrator Customer Management Input Data to be transformed and loaded into the warehouse Regular and ad hoc analysis report and query specifications User and group authorizations and profiles Output Analysis of the data stored in the warehouse 12
13 vs. Enablement Example Requirements Technology Infrastructure Processing Capability Data Warehousing System Process Configuration Support Customer Legacy Systems Analysts System Administrator Management Output Capability to send required data to be transformed and loaded into the warehouse Capability to specify regular and ad hoc analysis reports and queries Capability to define and manage user and group authorizations and profiles Capability to request and receive analysis of the data stored in the warehouse 13
14 3 Perspectives on DFSS Scorecards Automation Business process is embedded in IT systems and functions. The process is automated by the system. Processing Process Scorecard Augmentation Business process depends on using certain IT systems or functions. The process is augmented by the system. Processing System Organization Scorecard Enablement Business process includes making IT systems or functions available. The process enables the customers. Processing Capability Design Scorecard 14
15 6σ Controls Desired target level is LTB Design target is worst case for 6σ Backorders (Percentage of Orders) Customer Defective Backorder rate > 12% Process Defect Backorder rate > 9% Improvement Zone 9% < Backorder rate > 12% LSL 0% LCL 3% TGT 6% σ = 1% UCL 9% USL 12% Goal: Reduce by 50% Current 24% 15
16 Automation Controls Process inputs Process outputs External control inputs Triggers General Process X Scorecard External control outputs 16
17 Process Map w/ Control Layer Ctl-X Process inputs Process outputs External control inputs Triggers X Metrics Internal control outputs Internal control inputs Dashboard Scorecard External control outputs 17
18 PMAP w/ Control Step X Metrics Metrics Metrics Dashboard A B C Ctl-X Dashboard Dashboard Dashboard Metrics Traditional PMAPs (that don t differentiate the Process and Control Layers) often add a control step as a new (usually last) process step. 18
19 Automation PMAP Example Curbside arrival metrics Flight confirmation Staged baggage Skycap tip Document issuance metrics Tickets Boarding passes Seat assignments Gate assignments Checked bags Claim checks Security clearance metrics Security clearance Cleared carry-on baggage Lounge visit metrics Itinerary changes Boarding passes Seat assignments Boarding announcements Flight boarding metrics Boarded passenger Stowed baggage Pillow & blanket Beverage & snack Headset Reading materials Arrive Curbside Issue Documents Clear Security Visit Lounge Board Flight Itinerary Baggage Curbside arrival dashboard Reservation Payment Staged baggage Frequent flyer number Document issuance dashboard Boarding pass Gov t identification Carry-on baggage Security clearance dashboard Membership Boarding passes Seat assignments Payment Lounge visit dashboard Boarding pass Gov t identification Carry-on baggage Flight boarding dashboard Metrics are outputs to the control layer, and dashboards are inputs from the control layer. 19
20 Augmentation PMAP Example Curbside arrival scorecard Curbside arrival dashboard Document issuance scorecard Document issuance dashboard Security clearance scorecard Security clearance dashboard Lounge visit scorecard Lounge visit dashboard Flight boarding scorecard Flight boarding dashboard Control Curbside Arrival Control Document Issuance Control Security Clearance Control Lounge Visit Control Flight Boarding Curbside arrival metrics Curbside arrival triggers Document issuance metrics Document issuance triggers Security clearance metrics Security clearance triggers Lounge visit metrics Lounge visit triggers Flight boarding metrics Flight boarding triggers Metrics are inputs from the process layer, and dashboards are outputs back to the process layer. 20
21 Augmentation Integration Example Curbside arrival metrics Flight confirmation Staged baggage Skycap tip Curbside arrival scorecard Curbside arrival dashboard Arrive Curbside Itinerary Baggage Curbside arrival dashboard Process Layer Control Curbside Arrival Curbside arrival metrics Curbside arrival triggers Control Layer A feedback control cycle is formed between the process and control layers. 21
22 Six Sigma IT Project Perspectives Design for Six Sigma (DFSS Lifecycle) Six Sigma Improvement (DMAIC Lifecycle) IT Project (Traditional IT Lifecycle) Project tailoring guidelines assist project managers in selecting and documenting their organizational standard process selection and project process definition choices and rationale. Augmentation Radical process or system redesign in conjunction with business changes. (Improve Cpk) Automation Process or system implementation in conjunction with business process improvement. (Improve Cp) Enablement Augment or automate portions of business process steps as an Improve phase activity within a business DMAIC initiative. 22
23 Automation-Enablement Template Project Startup Project Execution Project Shutdown INITIATION ANALYSIS BID & CONTRACT DESIGN & BUILD ACCEPT & IMPLEMENT Finalize process controls Project Administration IT SUBPROJECT Implement process controls CONTROL Conduct phase QA assessment Project shutdown Define final workflows Develop procedures Provide cutover training Convert process controls & data Implement procedures IMPROVE Collect on-going data (continuing) Consolidate control requirements Update project charter & plan Conduct phase QA assessment Automation - Enablement Hybrid 1/24/ v17 Establish project Define business scope Estimate unit quality levels DEFINE Define project approach Define Project Charter Create initial plan Conduct phase QA assessment Define high-level process flows Synchronize business & process models Map customer reqts to supplier inputs Validate requirements models Define measurement plan MEASURE Collect initial process-quality data Collect voice-of-the-customer data Collect on-going data (continuing) Update project charter & plan Conduct phase QA assessment Develop process details Develop functional models Anlayze process failures Analyze functional failures ANALYZE Consolidate functional analysis Validate analysis results Update project charter & plan Conduct phase QA assessment 23
24 Thank you! Richard E. Biehl, CSSBB, CSQE Quality Advisor Data-Oriented Quality Solutions 2105 Whitfield Lane Orlando, FL USA This presentation is available at under Solutions! 24
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