1opitConsulting - Stephan Katz - proprietary & confidential

It is the IT world

How to bring IT org closer to the business?

2opitConsulting - Stephan Katz - proprietary & confidential

Opening

Identify what is that ONE change we need to make first

How does that change makes Hello World more competitive?

How do we apply that change?

“It is not enough to do your best; you must KNOW

what to do, and THEN do your best” -- Deming

the big fix

3opitConsulting - Stephan Katz - proprietary & confidential

Success storieswithin the account applying TOC

Thinking Process

300% increase in defect throughput in less than two weeks

Turnaround Hello World deployment process after one week From 15-17 a day to 47-50 a day

A source of constant complaints turned into a non-issue

Increased projects throughput by 50% in three months

4opitConsulting - Stephan Katz - proprietary & confidential

Some ground rules

Avoid of "we know" to reach a breakthrough

Change is acceptable as long as it is a good change

Come up with simple practical solutionsAvoid fixing everything, everywhere and everybody at the same time

How do we know that a change is a good change?

There is always a myriad of possibilities awaiting for a grab

5opitConsulting - Stephan Katz - proprietary & confidential

The business becomes more prosperous as a result of IT

Operational Effectiveness (OE)

Hello World strategic positioning means a mesh of

unique activities that cannot be easily replicated by rivals

Hello World can outperform its rivals only if it can establish a

DIFFERENCE that can be preserved

Strategy

Based on Michael E. Porter

What is Hello World production floor?

YES, it is delivery of projects. Every initiative turns into a

project

Therefore, Hello World IT's throughput is measured by IT

ability to deliver projects faster and better than its competition

6opitConsulting - Stephan Katz - proprietary & confidential

Core conflict clouda stable set of project

requirements and priorities per its

organization capabilities

IT Wantsa clear work stream flow of work steps towards

final assembly

IT Need

Business wants IT to deliver innovative

projects faster and better while IT wants to retain

sound operational stability

Conflict

Have an ever flourishing company

Common Objective

dynamic IT that is able to turn quickly the latest concept while keeping

sound operational stability

Business WantsBeat the competition, Increase market share through fast TTM and

DDP

Business Need

Process Of OnGoing Improvement

rformance

rformance

PerPer

TimeTime

As time progresses performanceis moving in one direction – UP!

©

is moving in one direction UP!

As time progresses performance is moving in one direction UP

Growth vs. Stability

7opitConsulting - Stephan Katz - proprietary & confidential

++ Side EffectsDesirable EffectsThe ActionsThe SolutionThe problem

Roadmap to breakthroughAddressing the Delivery Model

Zealously focus on the Critical Chain of tasks and

resources

Action

Provide the ability to produce initiative projects faster and better projects

than the competition

Solution

Business better understands system

capabilities

Desirable Side Effect

Reduce WIP and bad multi-tasking

Action

Lavishly assign top resources: business and IT

during Concept development

Action

Clear and concise Business Requirements

(BR)

Desirable Effect

Downstream SDLC steps receive a full-kit to

effectively perform their tasks

Desirable Side Effect

Project are delivered between 5-7 months

Desirable Effect

Customer Experience is below par

Undesirable Effect

High degree of requirements churn

Undesirable Effect

Quality goes down as a result of high WIP, bad multi-tasking and ever changing of priorities

Undesirable Effect

IT provides professional services to the Business

during Concept Development

Action

Subordinate buffer resources

Monitor buffer penetration

Apply 50/90 estimate rulePM focus

Increase quality only from the mere fact that bad-multi-tasking is avoided

Desirable Effect

Before jumping to solutions too fast, use the

Thinking Process methodology and tools

Solution

Higher percentage of Due-Date-Performance

Desirable Effect

Provide the ability to effectively work multiple,

simultaneous projects

Solution

Use Critical Chain Project Management (CCPM)

Solution

Below par of Due-Date-Performance (DDP)

Undesirable Effect

Business is confident with IT ability to deliver initiative projects

Desirable Side Effect

Implement a process of on-going improvement

Solution

CCPM Critical Chain Project Managemet

Due-Date-Performance

Work In Progress

What Is The Customer ExperienceWITCE

WIP

DDP

To protect "ourselves", estimates given are vastly cushioned affecting TTM

Undesirable Effect

Focus on full project completion rather than

individual task completion

Desirable Effect