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crafting innovation together




                                              Innovation in Operational Excellence
crafting innovation together




                                                                               Navneet Bhushan
                                                               (navneet.bhushan@crafitti.com)
                                                          Crafitti Consulting (www.crafitti.com)

                                                                          Chennai, January 22, 2010


                               Confidential
The first decade of 20th Century…
                                                                                  crafting innovation together



                               • In 1890, Average company in US
                                 had - FOUR employees (4)
                               • By 1901, US Steel became world’s
                                 first 1 Billion $ company
                               • Ford Motor Company, founded in
                                 1903, was producing half a million
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                                 cars a by 1913




                               Confidential          © Crafitti Consulting Private Ltd.            February 16, 2010   2
The first decade of 21st Century…
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                               Confidential                  © Crafitti Consulting Private Ltd.            February 16, 2010   3
More is Different – Scale is the New Frontier - I
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                                                                      Google’s Custom Built Server
                                                                      Farms
                                                                      Current estimates put Google's server
                                                                      farm at around 450,000 machines - and
                                                                      they're still custom built, commodity-
                                                                      class x86 PCs, just like they were in 1999
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                                                                  We Are Building Bigger
                                                                  and Bigger Systems
                               Confidential            © Crafitti Consulting Private Ltd.            February 16, 2010   4
More is Different – Scale is the New Frontier - II
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                                          The Internet           Inter-disciplinary                           Capillary network
                                                                   collaborations
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                                                                                  Complex system design
                                                                                        diagram
                                                         High School
                                                         Friendships



                                Systems are Evolving into Bigger Systems
                               Confidential                        © Crafitti Consulting Private Ltd.            February 16, 2010   5
More is Different – Scale is the New Frontier - III
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                               “The ability to reduce everything to simple fundamental
                                 laws does not imply the ability to start from those laws
                                 and reconstruct the universe” Anderson, P.W., More is Different,
                                     Science, Vol. 177, No. 4047, Aug. 4, 1972, pp. 393-396.
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                                                    Scale Changes Everything!
                               Confidential                          © Crafitti Consulting Private Ltd.            February 16, 2010   6
More is Different – Scale is the New Frontier - IV
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                                “The older is not always a reliable model for the newer, the
                                smaller for the larger, or the simpler for the more
                                complex…Making something greater than any existing thing
                                necessarily involves going beyond experience.”
                                Henry Petroski, Pushing the Limits: New Adventures in Engineering
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                                               Scale is not a linear extrapolation!
                               Confidential                   © Crafitti Consulting Private Ltd.            February 16, 2010   7
Competitive Advantage- Over Ages
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                                                                                                             How Fast
                                                                                                             Co-Create
                                                                                                      How Fast
                                                                                                      Innovate
                                                                                         How much
                                                                                         Actionable
                               Connectedness




                                                                           How much      Knowledge
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                                                                          and Quickly
                               Extent of




                                                                            can be
                                                               How much    Informed
                                                How much of     can be                  In the Connected Age –
                                                Agricultural   produced                  Co-Creators will thrive
                                                  land and
                                                   Natural
                                                 Resources

                               Confidential                        Time
Have You Seen Any Regular
                               Geometrical Shapes in Nature?
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                               Confidential
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                               Confidential
Nature
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                                                 is
                                              Fractal!
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                               Confidential
Black Swan – The impact of
                                      the highly improbable
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   • “I cannot accept a pretense of
     science. I much prefer a
     sophisticated craft, focused on
     tricks, to a failed science looking
     for certainties” Nassim Nicholas
                               Taleb
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                               Confidential
Innovation is not about
                                     Automation Alone!
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                               Confidential
Artful Making
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                               Confidential
Get it Right First Time!
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                               Confidential
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                               Confidential
Failures/Mistakes/Errors
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                               Burning your hand is a small
                               price to pay for a good
                               idea.

                               PLEASE LET YOUR
                               EMPLOYEES FAIL!
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                               Confidential
4 Qualities of Artful Making
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                               Accept wide
                                variations                             • Interactions
                               within known                              among
                                                                         members of
                               parameters
                                                                         the groups

                                       Release                         Play
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                                  Collaboration                   Ensemble
                          • Conversation.                       • Work of a group
                          • Released from Vanity,                 dedicated to
                             inhibition, preconception            collaboration
                          • Treat others inputs as              • Create a whole
                             material to make with                greater than
                          • So that New Ideas                     sum of its parts
                             emerge
                            Confidential
Emergence can not be pre-
                                                     conceived    crafting innovation together
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                                                  Re-conceiving everything in response
                                                  to what team sees as newly possible
                                                    with each passing movement of
                                                   rehearsal, as a result of each new
                               Confidential
                                                               thing tried
Albert Einstein Says
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                                                          Sometimes one pays the
                                                          most for the things one
                                                             gets for nothing

                               The whole of science is nothing more than the
                                   refinement of everyday THINKING
                               Confidential
Artful Making - Again
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                               Confidential
Discovery Vs Making
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   “Discovery” suggests there is a
   right choice waiting to be found
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                               Confidential
HOW TO THINK
                                                       crafting innovation together




   When Einstein was
   asked what was most
   helpful to him in
   developing the theory
   of relativity, he
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   replied,
                                        “Figuring out how to think
                               Confidential
                                           about the problem.”
What are the Assumptions?
                                 • Care about the Premises
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                                   more than the Theory
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                                                                             Oh My
                                                                              God
                                                                             Really!

                               Confidential
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                               Confidential
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                               •   The brain is a complex adaptive system.
                               •   The brain is a social brain.
                               •   The search for meaning is innate.
                               •   The search for meaning occurs through patterning.
                               •   Emotions are critical to patterning.
                               •   Every brain simultaneously perceives and creates
                                   parts and wholes.
                               •   Learning involves both focused attention and
                                   peripheral attention.
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                               •   Learning always involves conscious and unconscious
                                   processes.
                               •   We have at least two ways of organizing memory.
                               •   Learning is developmental.
                               •   Complex learning is enhanced by challenge and
                                   inhibited by threat.
                               •   Every brain is uniquely organized


   http://www.brainconnection.com/topics/?main=fa/brain-based3
      Confidential
3 Conditions for Learning
                                                                                       Low Threat and
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                                                                                       High Challenge
                                                             Relaxed Alertness




                                              Orchestrated
                                               Immersion                 Active Processing
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                                                                      Experiences
                                                                      processed as
                                          In Multiple,                the basis of
                                           Complex,                     Meaning
                                           Authentic
                                          Experiences
                               Confidential
3 Conditions for Learning
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   • "Optimizing the use of the human brain means using the
     brain’s infinite capacity to make connections–and
     understanding what conditions maximize this process."

   • Three interactive and mutually supportive elements that
     should be present in order for complex learning to occur:

                               – An optimal state of mind that we call relaxed alertness,
                                 consisting of low threat and high challenge.
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                               – The orchestrated immersion of the learner in multiple,
                                 complex, authentic experience.
                               – The regular, active processing of experience as the basis for
                                 making meaning.




   http://www.brainconnection.com/topics/?main=fa/brain-
     Confidential
• Chaotic Dumbness (High Threat, Low Challenge)v a t i o n
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                                 – Comply with this or else…
                                 – Constant use of “Killer Phrases” to destroy new ideas

   • Automated Disjointedness (Delegation, Hands Off)

                                 – Follow the process, don’t worry about anything
                                 – Processes above people – Right processes Mandated will create
                                   results
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                                 – “Skill Set” based work assignment

   • Passive Analysis (Data Collection, Historical Data Analysis)

                                 – Give me all the data that has been accumulated – I will analyze
                                   and give you Insights
                                 – Quantify – if you cant quantify you don’t really know?
                                 – We will do a Quarterly Analysis to provide you results
                               Confidential
Killer Phrases Are Not Used During Idea Generation*
                                  1.    "Yes, but. . . "                                  21.   "The boss fwill g i n n ogoa for n t o g e t h e r
                                                                                                          c r a t i n never v t i o it."

                                  2.    "We tried that before."                           22.   "It's too far ahead of the times."
                                  3.    "That's irrelevant."                              23.   . . . laughter. . .
                                  4.    "We haven't got the manpower."                    24.   . . . suppressed laughter. . .
                                  5.    "Obviously, you misread my request."              25.   . . . condescending grin. . .
                                  6.    "Don't rock the boat!"                            26.   . . . dirty looks. . .
                                  7.    "The boss (or competition) will eat you alive."   27.   "Don't fight city hall!"
                                  8.    "Don't waste time thinking."                      28.   "I'm the one who gets paid to think."
                                  9.    "Great idea, but not for us."                     29.   "What will people say?"
                                 10.    "It'll never fly."                                30.   "Get a committee to look into that."
                                 11.    "Don't be ridiculous."                            31.   "If it ain't broke, don't fix it."
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                                 12.    "People don't want change."                       32.   "You have got to be kidding."
                                 13.    "It's not in the budget."                         33.   "No!"
                                 14.    "Put it in writing."                              34.   "We've always done it this way."
                                 15.    "It will be more trouble than it's worth."        35.   "It's all right in theory. . . but. . ."
                                 16.    "It isn't your responsibility."                   36.   "Be practical!"
                                 17.    "That's not in your job description."             37.   "Do you realize the paperwork it will create?"
                                 18.    "You can't teach an old dog new tricks."          38.   "Because I said so."            * Reference: “What A Great
                                                                                          39.   "I'll get back to you."         Idea” by Charles “Chick”
                                 19.    "Let's stick with what works."C                                                         Thompson, 1992,
                                 20.    "We've done all right so far."                    40.   . . . silence. . .              HarperCollins Publishers


                               Confidential                                                                                                                  Copyri
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                                          From Chaotic Dumbness to Relaxed Alertness


 From Automated Disjointedness to Orchestrated Immersion
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                                              From Passive Analysis to Active Processing



                               Confidential
The ORGANIZATIONAL SWEET SPOT –
                                                  Frequently Heard Comments
                                                                                           crafting innovation together
                               • You Must.                                   • Can you think of other options?
                               • That’s not my Job.                          • Am I on the right track?
                               • You have no choice.                         • Lets take another look at that deadline.
                               • Have you forgotten the deadline?            • Thanks for taking the initiative.
                               • We need to talk.                            • How often should we meet?
                               • It’s the bottom line that counts.           • We’re in it together.
                               • This is for your own good.                  • What’s your gut feeling on this?
                               • Get off my back.                            • How can I help?
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                               • I don’t care how you feel.                  • Is this mutually beneficial?
                               • You had better pay attention to             • How does this support our overall
                                 company policy.                               activities?
                               • Don’t you understand?                       • Please take a real critical look at my
                               • Is it time to go home yet?                    proposal.
                                                                             • How time flies.
                                   Controlled-Access Context                              Shared-Access Context
                               Confidential                   © Crafitti Consulting Private Ltd.            February 16, 2010   32
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                                              LEAN INVENTIVE SYSTEMS
                                                  THINKING (LIST)

                                CLASSICAL                                                     THE LIST
                                REDUCTIONISM
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                                                                                Learning, Discovery, Design,
                               Analysis, Determinism,                           Evolutionary, Experimental,
                               Dualism, Correspondence                          Integrative, Holistic, Non-
                               theory of knowledge,                             linear, Natural
                               Rationality, Artificial


                               Confidential              © Crafitti Consulting Private Ltd.              February 16, 2010   33
LIST – INVENTIVE THINKING
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                                HOW TO INVENT, UNDERSTAND and
                                 SOLVE PROBLEMS – How to Innovate




   TRIZ        - Theory of
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   Inventive Problem Solving

                               Confidential
A Brief History of TRIZ

                                          TRIZ – Inventive Problem Solving by Altshuller
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                               • 1946 Patent Officer
                                 in Russian Navy      Teoriya Resheniya Izobreatatelskikh Zadatch
                               • Discovered patterns
                                 in patents,
                                                                                     World’s best ideas
                                 published paper.     A situation like mine                                   World
                                                                                      in this situation
                                 Sent to Gulag            (Abstraction)                                    Knowledge
                                                                            Access         (Access)
                               • 1954 released,                                                                Base
                                 analysed 2,500,000 Abstraction                                      Specific
                                 patents
                                                     My specific situation           My specific solution
                               • Identified what                            Evaluate
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                                                                                                     Me / my company
                                 makes a successful
                                 patent
                               • 1956-1985 TRIZ
                                 formulated



   •                           Same Problems and Solutions appear again and again but in different industries
   •                           There are a series of recognizable Technological Evolution paths for all industries
   •                           Innovative solutions used theories outside their own area/industry
   •                           The most powerful solutions uncover and eliminate contradictions
                                Confidential
Problem Solving
                                                          crafting innovation together

                                                 * Problem solving is like digging
                                                   for treasure in a field

                                                 * If a hole already exists, our
                                                   inclination is to dig it deeper

                                                 * The deeper the hole, the more
                                                   difficult it is to see what’s happening
                                                   in other parts of the field
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                                                 * If someone else comes along,
                                                   we encourage them to jump in
                                                   the hole with us

                                                 * The overall effect is called
                                                   PSYCHOLOGICAL INERTIA
                               Confidential
Questions that TRIZ asks you…
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                               1. What is my Ideal Final Result – How can
                                   I achieve the functionality without           A
                                   spending any resources or cost                B
                               2. How the problem/situation/system looks
                                   in time and space coordinates                 C
                               3. Am I using all the existing resources or
                                   potential resources to the fullest
                               4. What is the main useful function I need
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                                                                                 Plain      Forest          Coal
                                   to deliver. What are various ways in
                                   which I can deliver the function
                               5. How others have solved the same                           Tree
                                                                                 Seed                   Timber
                                   problem in the past

                                                                                 DNA         Fruit          Pie



                               Confidential
Innovation Crafting
                                                                          crafting innovation together


                                                                   Idea
                                                                 Generation

                                     Situation
                                    Assessment            TRIZ         Six Hats
                                                                                        Idea Clustering –
                                                                                            Solutions
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                                                                                           Generation
                                                           DSM          AHP
                                            Solution
                                         Implementation
                                                                      Solution
                                                                     Evaluation
                               Confidential
Convergence in Design…How Toyota does it…
                                                                             crafting innovation together

                               How to converge from an initial set of conceptual ideas to one idea
                               that will become the final Design?
                                Early Convergence Strategy                 Toyota’s Slow Convergence
                                     - Point-Based CE                           – Set-Based CE
                                                                            Large Design Spaces –
   Design                                                  Critical         Integration of Sets
                                               Chose
   Space                                       n           Analysis
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                                               Design



                                              Modificati                          “ELIMINATE
                                              on      “DESIGN
                                                                                  WEAKEST
                                                      CHURNING”
                               Confidential
                                                                                  ALTERNATIVES”
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                                         LEAN INVENTIVE SYSTEMS THINKING
                                                    Case Studies
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                               Confidential
Creating a Common
                                                       crafting innovation together




                                              Operating Picture
                                              using Dependency
                                              Structure Matrix
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                                                    (DSM)
                               Confidential
Dependency Analysis – Design Structure Matrix (DSM)

                                                                                          crafting innovation together

                                •     DSM – a methodology to sequence information flows
                                     DSM is a square binary matrix whose rows and columns represent the individual
                                     activities/tasks and element values represent the relationships between these activities.

                                       Relationship             Parallel                 Series             Coupled (Loop)

                                                                 A                                                   A
                                    Graphic
                                                                                     A            B
                                 Representation                  B
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                                                                                                                     B
                                                                (CPM)                    (CPM)
                                                                                                          (not allowed in CPM)

                                                                  A     B                  A      B                 A     B
                                      DSM
                                                            A                        A                        A           X
                                  Representation
                                                            B                        B     X                  B     X
                                                                                                           (indicates iteration)

                               Confidential
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                                              Top 3 Medical Devices Company
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                               Confidential
Cardiac Rhythm Management
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                                              Components   Suppliers       US                 Non US

                                      Leads      545          68           78% (53)           22% (15)

                                      PG        ~2500         194          87% (169)          13% (25)
                               Confidential
Enterprise Wide Initiative – To Strengthen,
                                    Streamline and make Processes more Robust
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                               Confidential
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                                              Dependency Structure Workshop


                                                     Key Participants

                               • Design Engineer
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                               • Supplier Engineer
                               • Production Engineer



                               Confidential
Understanding Process Complexity
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                                               Dependency Structure Matrix
                               Confidential
Understand Process Complexity
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                                                                                   Rework
                                                                                  Iterations
                                                                              Multiple Handoffs
                                                                                 Ambiguities
                                                                                 Uncertainty
                                                                               -possible chaos
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                                              Identifying Complexity Blocks
                               Confidential                                                       Copyri
Organizational Complexity
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                               High Interactions between various departments
                                     – High Organizational Complexity
                               Confidential                                                 Copyri
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                                                             10
                                                                  15
                                                                       20
                                                                            25




                                                  0
                                                       5




Confidential
                                    WindChill
                                     WinSPC
                                        MATT
                                  CATSWEB -




               Applications
                                   TWO (Tool
                                     ATHENA
                                      SMART
                                Product/Desig
                                      Supplier
                                 Manufacturing
                                    Reliability
                                   Regulatory
                                      Medical




                  Actors
                                       Quality
                                         Test
                                    Suppliers
                                         Test
                                                                                 Process Dependencies




                                  Compliance
                                Documentation
                                         Tool
                                    Operators
                                       Project
                                         R&D
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                                   Operations
                                   Regulatory
                                      Supplier
               Departments




                                  Model Shop
                                                                                                                                       Process Dependencies on Applications, Actors and Departments
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                                          SYSTEM COMPLEXITY ESTIMATOR
                                              Applications in Software Architecture,
                                                    Design & Project Planning

                                               3rd International Conference on Quality Reliability
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                                               and Infocom Technologies, Delhi, 2-4 December
                                               2006




                               Confidential
Software Design Guideline –
                                                  Coupling & Cohesion     crafting innovation together


                               • A software system is the decomposition of conceptual construct into
                                 conceptually independent modules that cooperate to achieve a desired
                                 result.

                               • Coupling refers to the degree of interdependence among the components of
                                 a software system. Good software system should obey the principle of Low
                                 coupling. Strong coupling makes the system more Complex.
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                               • The cohesion of a module is defined as a quality attribute that seeks to
                                 measure the singleness of purpose of a module. Cohesion seeks to maximize
                                 the connections within a module.




                               Confidential
System Complexity Estimator
                                                          Ideal System with Minimumt iComplexityt o g e t h e r
                                                                                 craf ng innovation




                                                A system with completely independent elements (modules)
                                                 where each module performs a single function is the least
                                              complex– this is the Ideal Architecture for a system. If each of
                                                the activity performs a single function only and it does not
                                              depend on the other modules for its functioning except on itself
                                                 then the complexity is minimum which is proportional to
                                                             number of elements in the system.
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                                                                                                         Cohesion
                                        Dependency Measures (Coupling)
                                                                                           A Measure of how much cohesive the
                               Module Dependency on the System Index (MDSI)                 module is on its own – If it has less
                               System Dependency on the Module Index (SDMI)                cohesion it leads to more complexity




                               Confidential
System Complexity Estimator – Dependency Measures
                                                                    Dependency Measures (Coupling) t i n g
                                                                                              craf           innovation together

                                                              Module Dependency on the System Index (MDSI)
                                                              System Dependency on the Module Index (SDMI)

                                                    Simple Summation of row elements of a DSM can give a measure of
                                                    MDSI; Simple summation of column elements of a DSM can give a
                                                                          measure of SDMI

                                           A          B        C       D          sum    MDSI

                               A               1          1        1              3          0.33
                                                                                                                Indirect Dependencies are not
                               B                          1                1      2          0.22                taken care of in this measure
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                                                                                                              A depends on B and B depends on
                               C               1                   1              2          0.22                  D hence A depends on D

                               D                                   1       1      2          0.22
                               sum             2          2        3       2      9                          MDSI
                                                                                                               0.33
                               SDMI          0.22      0.22     0.33    0.22
                                                                                                               0.25
                                                                                                               0.21
                               To take care of indirect dependencies                                           0.21
                                      Normalized eigen vector
                                                                           SDMI       0.21    0.21   0.33    0.25
                                 corresponding to Principal eigen
                               Confidential value is proposed
System Complexity Estimator (SCE)
                               • Enables the Designer/Project Managerc rtot iIdentifyi okeyg eareas in the
                                                                         af ng innovat n to   ther


                                 system being designed that contribute more to the complexity
                               • Fundamental Shift in the way software systems are designed and
                                 software projects are planned.
                                                                                                     Input
                                                                                                     • Coupling between modules
                                                                                                     • A measure of lack of cohesion in
                                                                                                        each module

                                                                                                     Output
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                                                                                                     • Estimates total complexity of the
                                                                                                       system
                                                                                                     • Estimates how much each module
                                                                                                       contributes to the complexity

                                   Design Fundamental: Maximize
                                   Cohesion Minimize Coupling
                                 “Robust Inventive Software Design” presented
                                 at the 7th International DSM Conference in Seattle, Wa, Oct 4-6, 2005
                               Confidential
Application of System Complexity Estimator
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                                                                          Team became fully aware of inter-
   • Identify dependencies through group brain storming                   dependencies and hand-offs
   • Determine complexities using System Complexity Estimator
                                                                          Understood meaningful delivery blocks
                               Confidential
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                                      Ideality, TRIZ and Software Design
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                                      Case Study: Software Product




                               Confidential                     57                                  ©
Software System Evolves!
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                                  Functionality of Software System (Requirements)
                                  Requirements constructed into structure
                                  Deployment and Usage creates new requirements (new
                                   functionality)
                                  Software system changes structure through
                                          – Addition of new structural elements (e.g. new functionality)
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                                          – Changes (e.g. bug-fixing) in the existing system
                                  Evolutionary nature of software systems keeps on increasing
                                   system complexity




                               Confidential
Software System Evolution – Complexity Increases
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                                                                                                           The
                                                                                                           Final
                                                                                                           Softwa
                               Comple




                                                                                                           re
                               xity




                                                                                                           System
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                                                                        New                                –
                                                                        Functionality                      Highly
                                                     Major Design       – Redesign                         Compl
                                                     Change             and New                            ex
                                        Initial Software                patch
                                        Design
                                                       Time
                                Confidential
TRIZ - IDEALITY
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                                • IDEALITY = Sum of All Useful Functions/ Sum of All
                                  Harmful Functions
                                Focus on Function/Functionality
                                Proposition: Design is about structure – The ideal
                                  system structure should be included in the definition
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                                  of Ideality.

                               Achieved by Ideal Structure

                               Ideal Structure = Least Complex Structure
                               Confidential
TRIZ – IDEALITY for Software Systems
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                                Achieved by the Least Complex Software Structure


                                                How to define the Least Complex Software
                                                                System?
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                                A note: Complexity is not the function delivered by a
                                  system but it is the attribute of the system

                               Confidential
Software Complexity Measures (Existing Measures…)
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                                         Modularization Criteria – Coupling & Cohesion
                                         McCabe Complexity and Size of the Software
                                         Software Entropy (Bhushan N and Kaushik K, 2002)
                                         SEI’s Maintainability Index (www.sei.cmu.edu)
                                         Limited Work on Structural Complexity of the system
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                               Confidential
System Complexity Estimator (SCE)
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                                   • Software Complexity Measures and approach for managing complexity

                                   • System Complexity – Concepts of Coupling and Cohesion

                                   • Social Network Analysis – A Framework for Software Design

                                   • System Complexity Estimator (SCE) – Quantitative measure of complexity
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                                 Ref: Bhushan N,, SYSTEM COMPLEXITY ESTIMATOR - Applications in Software
                                 Architecture, Design & Project Planning, 3rd International Conference on Quality Reliability and
                                 Infocom Technologies, India, 2-4 December 2006
                               Confidential
Software Design Guideline – Coupling &
                                                 Cohesion
                                                                            crafting innovation together

                                • A software system is the decomposition
                                  of conceptual construct into
                                                                                              M            M
                                  conceptually independent modules that
                                  cooperate to achieve a desired result.                      1            2
                                                                                                                 M
                                                                                                                 3
                                • Coupling: the degree of interdependence
                                  among the components of a software system.
                                                                                                            M
                                  Good software system should obey the                                      4
crafting innovation together




                                  principle of Low coupling.

                                • Cohesion of a module is defined as a quality
                                  attribute that seeks to measure the singleness                           M4
                                  of purpose of a module. Cohesion seeks to                           m41 m42
                                  maximize the connections within a module.         Cohesi            m43 m44
                                                                                    on                     m45
                               Confidential
Problem:
                                                                          crafting innovation together


                               • How to measure Coupling and Cohesion of Software Systems as a single
                                 metric?




                               • A metric from Social Network Analysis…
crafting innovation together




                                         Solution:

                                    A Software System is like a Social Network


                               Confidential
Social Networks Analysisr a f t i n g i n n o v a t i o n t o g e t h e r
                                                                               c


                                       •      A primary use of graph theory in social network analysis is to identify the
                                              “important” actors. Centrality and prestige concepts seek to quantify graph
                                              theoretic ideas about an individual actor’s prominence within a network by
                                              summarizing structural relations among the g nodes.

                                       •      An actor’s prominence reflects its greater visibility to the other network
                                              actors (an audience). A prominent location takes account of sociometric
                                              choices made and choices received, as well as indirect ties. The two
                                              prominence classes discussed in this literature are
                                               – Centrality: Actor has high involvement in many relations, regardless of
crafting innovation together




                                                  send/receive directionality (volume of activity)
                                               – Prestige: Actor is recipient of many directed ties, but initiates few
                                                  relations (popularity > extensivity)


                                      Bonacich, P.B., Power and Centrality: A Family of Measures, American
                                         Journal of Sociology 92, 1170-1182, 1987


                               Confidential
Eigenvector-like Measures of Centrality for
                                                   Asymmetric Relations
                                                                          crafting innovation together




                               • The eigenvector captures a certain
                                 aspect of centrality or status that is
                                 not captured by other measures.
                                 The eigenvector is an appropriate
                                 measure when one believes that
                                 actors' status is determined by
                                 those with whom they are in
                                 contact. This conception of
                                 importance or centrality makes
crafting innovation together




                                 sense in a variety of circumstances.
                                 Social status rubs off on one's
                                 associates. Receiving information
                                 from knowledgeable sources adds
                                 more to one's own knowledge.




                                A Software System is like a Social Network
                               Confidential
Existing Design (Capturing Couplinga fandi nCohesion tinputs)
                                                                         cr ting   novation toge her
crafting innovation together




                               Confidential
Existing Design – System Complexity Map
                                                                                                                 crafting innovation together


                                                                      Existing Design                                      IDEAL SYSTEM –
                                                                         Scramble                                          COMPLEXITY =
                                                       Create New Rule 16.00        Name Shuffle
                                               Preview Masking        12.00               Address Shuffle
                                                                                                                           Number of Functions
                                      Profile Management               8.00                    Generic Shuffle             Delivered = 54 with
                                                Installer
                                                                       4.00
                                                                                                   Blank Out
                                                                                                                           Cohesion closer to
                                                                       0.00                                                1.0 COHESION
                                                                                                                            LOW
                                              Scheduler                                            Replacement
crafting innovation together




                                                  Masking                                      SSN Generator

                                                 Preload Script                           Luhn Generator
                                                      Pattern Generator             Sequence Number Generator
                                                                  Random Number Generator




                               Confidential
TEAM BRAINSTORMED TO COME UP WITH THREE ALTERNATIVE DESIGNS
                                                                                      crafting innovation together
                                                          – with a Trigger to increase module Cohesion


                                                                     Design Option1                                                                                              Design Option 2
                                                                Scramble
                                         Custom Rule Manager 20.00                              Name Shuffle                                                                               Scramble
                                                             18.00                                                                                               Execute Preload Script 20.00          Name Shuffle
                                          DB Masker                                                     Address Shuffle
                                                             16.00                                                                                 Authenticate Db Credentials          18.00                 Address Shuffle
                                                             14.00                                                                                                                      16.00
                              Profile Manager                                                                 Generic Shuffle
                                                                                                                                                      Log file generation               14.00                         Generic Shuffle
                                                             12.00
                                                                                                                                                                                        12.00
                                                             10.00
                                Preview                                                                           Ethnicity Shuffle                                                     10.00
                                                              8.00                                                                         Update Transaction Table                                                       Ethnicity Shuffle
                                                                                                                                                                                         8.00
                                                              6.00                                                                                                                       6.00
                                                              4.00                                                                                                                       4.00
                            Scheduler                                                                                 Selective Name Shuffle Load Staging Table                                                             Selective Name Shuffle
                                                              2.00                                                                                                                       2.00
                                                              0.00                                                                                                                       0.00
uthenticator (Authenticate,Pre-Load &
   crafting innovation together




                                                                                                                      Look Up Names Shuffle   Common_Functions                                                              Look Up Names Shuffle
             compile)


                                        Pattern Generator                                                           Look Up Address Shuffle
                                                                                                                                                 Pattern Generator                                                        Look Up Address Shuffle


                                                                                                                                              Random Number Generator                                                 Data Encryption/Decryption
                                     Random Number Generator                                                   Data Encryption/Decryption
                                                                                                                                                 Sequence Number Generator                                    Blank Out
                                         Sequence Number Generator                                      Blank Out
                                                                                                                                                                      Luhn Generator                   Replacement
                                                               Luhn Generator                   Replacement                                                                            SSN Generator
                                                                                SSN Generator




                                  Note: The Psychological Inertia of the existing design continued –
                                  structurally similar to existing design
                                  Confidential
TEAM BRAINSTORMED TO COME UP WITH THREE ALTERNATIVE DESIGNS
                                                                          crafting innovation together
                                                                  (Contd…)


                                                                                                     Design Option 3
                                                                                                             Scramble
                                                                                                           12.00      Name ShuffleShuffle
                                                                                                                         Address
                                                                                                                             Generic Shuffle
                                                                                       Modify Rule         10.00                 Ethnicity Shuffle
                                                                               Create New Rule                                      Selective Name Shuffle
                                                                         Monitor Mask Status                8.00                        Look Up Names Shuffle
                                                                               Load Profile                 6.00                           Look Up Address Shuffle
                                                                           Start Masking                    4.00                             Data Encryption/Decryption
                                                                      Preview Masking                                                         Blank Out
                                                                                                            2.00
                                                                           Save Profile                                                        Replacement
                                                                                                            0.00
crafting innovation together




                                                          Generate Mask Information                                                            SSN Generator
                                              Search Mask Fields / Master Tables / Limit
                                                                                                                                              Luhn Generator
                                                               Tables
                                                                  Get All Mask Field List                                                    Sequence Number Generator
                                                                               New Profile                                                 Random Number Generator
                                                                             Restart Masking                                             Pattern Generator
                                                                                Preview Profile                                        Common_Functions
                                                                             Re-Schedule Masking                                    Load Staging Table
                                                                              Stop Scheduled Masking                           Update Transaction Table
                                                                                         Schedule Masking
                                                                            Get Restart / Scheduled Job Status             Log file generation
                                                                                                                       Authenticate Db Credentials
                                                                                                        Execute Preload Script




                                   Note: A shift in the thinking achieved through a focus on
                                   maximizing cohesion
                               Confidential
System Complexity Analysis of Alternatives with
                                           the existing Design                                                                                                Existing Design
                                                                           crafting innovation together
                                                                                                                                                     Scramble
                                                                                                                                   Create New Rule 16.00                                Name Shuffle
                                                                                                                        Preview Masking                       12.00                               Address Shuffle

                                                                                                             Profile Management                                 8.00                                        Generic Shuffle

                                                                                                                                                                4.00
                                                                                                                           Installer                                                                            Blank Out
                                                                                                                                                                0.00
                                                                                                                       Scheduler                                                                                Replacement



                    # of                     Size (# of   Avg Functions/                                                      Masking

                                                                                                                            Preload Script
                                                                                                                                                                                                            SSN Generator

                                                                                                                                                                                                  Luhn Generator
                                                                                                                                  Pattern Generator             Sequence Number Generator

          Design functions                   Modules)        Module          Complexity                                                       Random Number Generator




          Existing                                                                                                                                        Design Option1
                                                                                                                                                                        Scramble
                                                                                                                                                 Custom Rule Manager 20.00             Name Shuffle




          Design     54                         18              3                88.7
                                                                                                                                                                     18.00
                                                                                                                                                  DB Masker                                    Address Shuffle
                                                                                                                                                                     16.00
                                                                                                                                      Profile Manager                14.00                              Generic Shuffle
                                                                                                                                                                     12.00
                                                                                                                                                                     10.00
                                                                                                                                        Preview                                                             Ethnicity Shuffle
                                                                                                                                                                      8.00
                                                                                                                                                                      6.00



          Design                                                                                                                    Scheduler


                                                                                                    DB Authenticator (Authenticate,Pre-Load &
                                                                                                                     compile)
                                                                                                                                                                      4.00
                                                                                                                                                                      2.00
                                                                                                                                                                      0.00
                                                                                                                                                                                                               Selective Name Shuffle



                                                                                                                                                                                                               Look Up Names Shuffle




          Option 1   66                         22              3               102.3                                        Pattern Generator


                                                                                                                         Random Number Generator
                                                                                                                                                                                                            Look Up Address Shuffle


                                                                                                                                                                                                        Data Encryption/Decryption
crafting innovation together




                                                                                                                              Sequence Number Generator                                        Blank Out




          Design                                                                                                                                   Luhn Generator
                                                                                                                                                                     SSN Generator




                                                                                                                                                                    Design Option 2
                                                                                                                                                                                       Replacement




          Option 2   51                         39             1.3               174                                                Authenticate Db Credentials

                                                                                                                                       Log file generation
                                                                                                                                                                            Scramble
                                                                                                                                                  Execute Preload Script 20.00
                                                                                                                                                                         18.00
                                                                                                                                                                         16.00
                                                                                                                                                                         14.00
                                                                                                                                                                                          Name Shuffle
                                                                                                                                                                                                 Address Shuffle

                                                                                                                                                                                                         Generic Shuffle
                                                                                                                                                                         12.00




          Design
                                                                                                                                                                         10.00
                                                                                                                            Update Transaction Table                                                          Ethnicity Shuffle
                                                                                                                                                                          8.00
                                                                                                                                                                          6.00
                                                                                                                                                                          4.00
                                                                                                                               Load Staging Table                                                                Selective Name Shuffle
                                                                                                                                                                          2.00
                                                                                                                                                                          0.00




          Option 3   51                         42             1.2              154.6
                                                                                                                                Common_Functions                                                                 Look Up Names Shuffle


                                                                                                                                   Pattern Generator                                                          Look Up Address Shuffle


                                                                                                                               Random Number Generator                                                   Data Encryption/Decryption

                                                                                                                                   Sequence Number Generator                                     Blank Out
                                                                                                                                                       Luhn Generator                     Replacement
                                                                                                                                                                        SSN Generator

                                                                                                                                                       Design Option 3
                                                                                                                                                               Scramble
                                                                                                                                                             12.00      Name ShuffleShuffle
                                                                                                                                                                           Address
                                                                                                                                                                               Generic Shuffle
                                                                                                                                    Modify Rule              10.00                 Ethnicity Shuffle
                                                                                                                            Create New Rule                                           Selective Name Shuffle
                                                                                                                      Monitor Mask Status                     8.00                        Look Up Names Shuffle
                                                                                                                            Load Profile                      6.00                                    Look Up Address Shuffle
                                                                                                                        Start Masking                         4.00                                     Data Encryption/Decryption
                                                                                                                   Preview Masking                                                                      Blank Out
                                                                                                                                                              2.00
                                                                                                                       Save Profile                                                                      Replacement
                                                                                                                                                              0.00
                                                                                                      Generate Mask Information                                                                          SSN Generator



   Note: Cohesion Reduced but Complexity Increased                                        Search Mask Fields / Master Tables / Limit
                                                                                                           Tables
                                                                                                              Get All Mask Field List
                                                                                                                            New Profile
                                                                                                                          Restart Masking
                                                                                                                                                                                                        Luhn Generator
                                                                                                                                                                                                       Sequence Number Generator
                                                                                                                                                                                                      Random Number Generator
                                                                                                                                                                                      Pattern Generator
                                                                                                                             Preview Profile                                        Common_Functions




   due to increased coupling
                                                                                                                          Re-Schedule Masking                                    Load Staging Table
                                                                                                                           Stop Scheduled Masking                           Update Transaction Table
                                                                                                                         Get Restart / Schedule Masking
                                                                                                                                       Scheduled Job Status             Log file generation
                                                                                                                                                                    Authenticate Db Credentials
     Confidential                                                                                                                                    Execute Preload Script
Team Once Again Brainstormed … to Balance
                                                  Cohesion and Coupling
                                                                                                                                                                            crafting innovation together



                                       • The team brainstormed further to look at ways and means of
                                         reducing the coupling. The team hit upon the idea of a Router – A
                                         New Module, which was suggested earlier during the discussions but
                                         somehow was not pursued
crafting innovation together




                                                                                                  Final Evolved Design
                                                                                                                 Blank Out
                                                                                                     Modify Rule
                                                                                                               8.00        Replacement
                                                                                           Create New Rule                      Scramble
                                                                                   Monitor Mask Status                              Generic Shuffle
                                                                                      Load Profile             6.00                     SSN Generator
                                                                                 Start Masking                                            Luhn Generator
                                                                           Preview Masking                    4.00                          Sequence Number Generator

                                                                             Save Profile                                                      Random Number Generator
                                                                                                              2.00
                                                             Generate Mask Information                                                          Pattern Generator
                                              Search Mask Fields / Master Tables / Limit
                                                                                                              0.00                              Single Field Router
                                                               Tables
                                                                  Get All Mask Field List                                                       Ethnicity Shuffle

                                                                              New Profile                                                      Data Encryption/Decryption

                                                                            Restart Masking                                                 Name Shuffle
                                                                                Preview Profile                                           Address Shuffle
                                                                            Re-Schedule Masking                                        Selective Name Shuffle
                                                                             Stop Scheduled Masking                               Look Up Names Shuffle
                                                                                        Schedule Masking                      Look Up Address Shuffle
                                                                            Get Restart / Scheduled Job Status           Authenticate Db Credentials
                                                                                                         Execute Preload Script



                               Confidential
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload
Innovation Operational Exellence Upload

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Innovation Operational Exellence Upload

  • 1. crafting innovation together Innovation in Operational Excellence crafting innovation together Navneet Bhushan (navneet.bhushan@crafitti.com) Crafitti Consulting (www.crafitti.com) Chennai, January 22, 2010 Confidential
  • 2. The first decade of 20th Century… crafting innovation together • In 1890, Average company in US had - FOUR employees (4) • By 1901, US Steel became world’s first 1 Billion $ company • Ford Motor Company, founded in 1903, was producing half a million crafting innovation together cars a by 1913 Confidential © Crafitti Consulting Private Ltd. February 16, 2010 2
  • 3. The first decade of 21st Century… crafting innovation together crafting innovation together Confidential © Crafitti Consulting Private Ltd. February 16, 2010 3
  • 4. More is Different – Scale is the New Frontier - I crafting innovation together Google’s Custom Built Server Farms Current estimates put Google's server farm at around 450,000 machines - and they're still custom built, commodity- class x86 PCs, just like they were in 1999 crafting innovation together We Are Building Bigger and Bigger Systems Confidential © Crafitti Consulting Private Ltd. February 16, 2010 4
  • 5. More is Different – Scale is the New Frontier - II crafting innovation together The Internet Inter-disciplinary Capillary network collaborations crafting innovation together Complex system design diagram High School Friendships Systems are Evolving into Bigger Systems Confidential © Crafitti Consulting Private Ltd. February 16, 2010 5
  • 6. More is Different – Scale is the New Frontier - III crafting innovation together “The ability to reduce everything to simple fundamental laws does not imply the ability to start from those laws and reconstruct the universe” Anderson, P.W., More is Different, Science, Vol. 177, No. 4047, Aug. 4, 1972, pp. 393-396. crafting innovation together Scale Changes Everything! Confidential © Crafitti Consulting Private Ltd. February 16, 2010 6
  • 7. More is Different – Scale is the New Frontier - IV crafting innovation together “The older is not always a reliable model for the newer, the smaller for the larger, or the simpler for the more complex…Making something greater than any existing thing necessarily involves going beyond experience.” Henry Petroski, Pushing the Limits: New Adventures in Engineering crafting innovation together Scale is not a linear extrapolation! Confidential © Crafitti Consulting Private Ltd. February 16, 2010 7
  • 8. Competitive Advantage- Over Ages crafting innovation together How Fast Co-Create How Fast Innovate How much Actionable Connectedness How much Knowledge crafting innovation together and Quickly Extent of can be How much Informed How much of can be In the Connected Age – Agricultural produced Co-Creators will thrive land and Natural Resources Confidential Time
  • 9. Have You Seen Any Regular Geometrical Shapes in Nature? crafting innovation together crafting innovation together Confidential
  • 10. crafting innovation together crafting innovation together Confidential
  • 11. Nature crafting innovation together is Fractal! crafting innovation together Confidential
  • 12. Black Swan – The impact of the highly improbable crafting innovation together • “I cannot accept a pretense of science. I much prefer a sophisticated craft, focused on tricks, to a failed science looking for certainties” Nassim Nicholas Taleb crafting innovation together Confidential
  • 13. Innovation is not about Automation Alone! crafting innovation together crafting innovation together Confidential
  • 14. Artful Making crafting innovation together crafting innovation together Confidential
  • 15. Get it Right First Time! crafting innovation together crafting innovation together Confidential
  • 16. crafting innovation together crafting innovation together Confidential
  • 17. Failures/Mistakes/Errors crafting innovation together Burning your hand is a small price to pay for a good idea. PLEASE LET YOUR EMPLOYEES FAIL! crafting innovation together Confidential
  • 18. 4 Qualities of Artful Making crafting innovation together Accept wide variations • Interactions within known among members of parameters the groups Release Play crafting innovation together Collaboration Ensemble • Conversation. • Work of a group • Released from Vanity, dedicated to inhibition, preconception collaboration • Treat others inputs as • Create a whole material to make with greater than • So that New Ideas sum of its parts emerge Confidential
  • 19. Emergence can not be pre- conceived crafting innovation together crafting innovation together Re-conceiving everything in response to what team sees as newly possible with each passing movement of rehearsal, as a result of each new Confidential thing tried
  • 20. Albert Einstein Says crafting innovation together crafting innovation together Sometimes one pays the most for the things one gets for nothing The whole of science is nothing more than the refinement of everyday THINKING Confidential
  • 21. Artful Making - Again crafting innovation together crafting innovation together Confidential
  • 22. Discovery Vs Making crafting innovation together “Discovery” suggests there is a right choice waiting to be found crafting innovation together Confidential
  • 23. HOW TO THINK crafting innovation together When Einstein was asked what was most helpful to him in developing the theory of relativity, he crafting innovation together replied, “Figuring out how to think Confidential about the problem.”
  • 24. What are the Assumptions? • Care about the Premises crafting innovation together more than the Theory crafting innovation together Oh My God Really! Confidential
  • 25. crafting innovation together crafting innovation together Confidential
  • 26. crafting innovation together • The brain is a complex adaptive system. • The brain is a social brain. • The search for meaning is innate. • The search for meaning occurs through patterning. • Emotions are critical to patterning. • Every brain simultaneously perceives and creates parts and wholes. • Learning involves both focused attention and peripheral attention. crafting innovation together • Learning always involves conscious and unconscious processes. • We have at least two ways of organizing memory. • Learning is developmental. • Complex learning is enhanced by challenge and inhibited by threat. • Every brain is uniquely organized http://www.brainconnection.com/topics/?main=fa/brain-based3 Confidential
  • 27. 3 Conditions for Learning Low Threat and crafting innovation together High Challenge Relaxed Alertness Orchestrated Immersion Active Processing crafting innovation together Experiences processed as In Multiple, the basis of Complex, Meaning Authentic Experiences Confidential
  • 28. 3 Conditions for Learning crafting innovation together • "Optimizing the use of the human brain means using the brain’s infinite capacity to make connections–and understanding what conditions maximize this process." • Three interactive and mutually supportive elements that should be present in order for complex learning to occur: – An optimal state of mind that we call relaxed alertness, consisting of low threat and high challenge. crafting innovation together – The orchestrated immersion of the learner in multiple, complex, authentic experience. – The regular, active processing of experience as the basis for making meaning. http://www.brainconnection.com/topics/?main=fa/brain- Confidential
  • 29. • Chaotic Dumbness (High Threat, Low Challenge)v a t i o n crafting inno together – Comply with this or else… – Constant use of “Killer Phrases” to destroy new ideas • Automated Disjointedness (Delegation, Hands Off) – Follow the process, don’t worry about anything – Processes above people – Right processes Mandated will create results crafting innovation together – “Skill Set” based work assignment • Passive Analysis (Data Collection, Historical Data Analysis) – Give me all the data that has been accumulated – I will analyze and give you Insights – Quantify – if you cant quantify you don’t really know? – We will do a Quarterly Analysis to provide you results Confidential
  • 30. Killer Phrases Are Not Used During Idea Generation* 1. "Yes, but. . . " 21. "The boss fwill g i n n ogoa for n t o g e t h e r c r a t i n never v t i o it." 2. "We tried that before." 22. "It's too far ahead of the times." 3. "That's irrelevant." 23. . . . laughter. . . 4. "We haven't got the manpower." 24. . . . suppressed laughter. . . 5. "Obviously, you misread my request." 25. . . . condescending grin. . . 6. "Don't rock the boat!" 26. . . . dirty looks. . . 7. "The boss (or competition) will eat you alive." 27. "Don't fight city hall!" 8. "Don't waste time thinking." 28. "I'm the one who gets paid to think." 9. "Great idea, but not for us." 29. "What will people say?" 10. "It'll never fly." 30. "Get a committee to look into that." 11. "Don't be ridiculous." 31. "If it ain't broke, don't fix it." crafting innovation together 12. "People don't want change." 32. "You have got to be kidding." 13. "It's not in the budget." 33. "No!" 14. "Put it in writing." 34. "We've always done it this way." 15. "It will be more trouble than it's worth." 35. "It's all right in theory. . . but. . ." 16. "It isn't your responsibility." 36. "Be practical!" 17. "That's not in your job description." 37. "Do you realize the paperwork it will create?" 18. "You can't teach an old dog new tricks." 38. "Because I said so." * Reference: “What A Great 39. "I'll get back to you." Idea” by Charles “Chick” 19. "Let's stick with what works."C Thompson, 1992, 20. "We've done all right so far." 40. . . . silence. . . HarperCollins Publishers Confidential Copyri
  • 31. crafting innovation together From Chaotic Dumbness to Relaxed Alertness From Automated Disjointedness to Orchestrated Immersion crafting innovation together From Passive Analysis to Active Processing Confidential
  • 32. The ORGANIZATIONAL SWEET SPOT – Frequently Heard Comments crafting innovation together • You Must. • Can you think of other options? • That’s not my Job. • Am I on the right track? • You have no choice. • Lets take another look at that deadline. • Have you forgotten the deadline? • Thanks for taking the initiative. • We need to talk. • How often should we meet? • It’s the bottom line that counts. • We’re in it together. • This is for your own good. • What’s your gut feeling on this? • Get off my back. • How can I help? crafting innovation together • I don’t care how you feel. • Is this mutually beneficial? • You had better pay attention to • How does this support our overall company policy. activities? • Don’t you understand? • Please take a real critical look at my • Is it time to go home yet? proposal. • How time flies. Controlled-Access Context Shared-Access Context Confidential © Crafitti Consulting Private Ltd. February 16, 2010 32
  • 33. crafting innovation together LEAN INVENTIVE SYSTEMS THINKING (LIST) CLASSICAL THE LIST REDUCTIONISM crafting innovation together Learning, Discovery, Design, Analysis, Determinism, Evolutionary, Experimental, Dualism, Correspondence Integrative, Holistic, Non- theory of knowledge, linear, Natural Rationality, Artificial Confidential © Crafitti Consulting Private Ltd. February 16, 2010 33
  • 34. LIST – INVENTIVE THINKING crafting innovation together HOW TO INVENT, UNDERSTAND and SOLVE PROBLEMS – How to Innovate TRIZ - Theory of crafting innovation together Inventive Problem Solving Confidential
  • 35. A Brief History of TRIZ TRIZ – Inventive Problem Solving by Altshuller crafting innovation together • 1946 Patent Officer in Russian Navy Teoriya Resheniya Izobreatatelskikh Zadatch • Discovered patterns in patents, World’s best ideas published paper. A situation like mine World in this situation Sent to Gulag (Abstraction) Knowledge Access (Access) • 1954 released, Base analysed 2,500,000 Abstraction Specific patents My specific situation My specific solution • Identified what Evaluate crafting innovation together Me / my company makes a successful patent • 1956-1985 TRIZ formulated • Same Problems and Solutions appear again and again but in different industries • There are a series of recognizable Technological Evolution paths for all industries • Innovative solutions used theories outside their own area/industry • The most powerful solutions uncover and eliminate contradictions Confidential
  • 36. Problem Solving crafting innovation together * Problem solving is like digging for treasure in a field * If a hole already exists, our inclination is to dig it deeper * The deeper the hole, the more difficult it is to see what’s happening in other parts of the field crafting innovation together * If someone else comes along, we encourage them to jump in the hole with us * The overall effect is called PSYCHOLOGICAL INERTIA Confidential
  • 37. Questions that TRIZ asks you… crafting innovation together 1. What is my Ideal Final Result – How can I achieve the functionality without A spending any resources or cost B 2. How the problem/situation/system looks in time and space coordinates C 3. Am I using all the existing resources or potential resources to the fullest 4. What is the main useful function I need crafting innovation together Plain Forest Coal to deliver. What are various ways in which I can deliver the function 5. How others have solved the same Tree Seed Timber problem in the past DNA Fruit Pie Confidential
  • 38. Innovation Crafting crafting innovation together Idea Generation Situation Assessment TRIZ Six Hats Idea Clustering – Solutions crafting innovation together Generation DSM AHP Solution Implementation Solution Evaluation Confidential
  • 39. Convergence in Design…How Toyota does it… crafting innovation together How to converge from an initial set of conceptual ideas to one idea that will become the final Design? Early Convergence Strategy Toyota’s Slow Convergence - Point-Based CE – Set-Based CE Large Design Spaces – Design Critical Integration of Sets Chose Space n Analysis crafting innovation together Design Modificati “ELIMINATE on “DESIGN WEAKEST CHURNING” Confidential ALTERNATIVES”
  • 40. crafting innovation together LEAN INVENTIVE SYSTEMS THINKING Case Studies crafting innovation together Confidential
  • 41. Creating a Common crafting innovation together Operating Picture using Dependency Structure Matrix crafting innovation together (DSM) Confidential
  • 42. Dependency Analysis – Design Structure Matrix (DSM) crafting innovation together • DSM – a methodology to sequence information flows DSM is a square binary matrix whose rows and columns represent the individual activities/tasks and element values represent the relationships between these activities. Relationship Parallel Series Coupled (Loop) A A Graphic A B Representation B crafting innovation together B (CPM) (CPM) (not allowed in CPM) A B A B A B DSM A A A X Representation B B X B X (indicates iteration) Confidential
  • 43. crafting innovation together Top 3 Medical Devices Company crafting innovation together Confidential
  • 44. Cardiac Rhythm Management crafting innovation together crafting innovation together Components Suppliers US Non US Leads 545 68 78% (53) 22% (15) PG ~2500 194 87% (169) 13% (25) Confidential
  • 45. Enterprise Wide Initiative – To Strengthen, Streamline and make Processes more Robust crafting innovation together crafting innovation together Confidential
  • 46. crafting innovation together Dependency Structure Workshop Key Participants • Design Engineer crafting innovation together • Supplier Engineer • Production Engineer Confidential
  • 47. Understanding Process Complexity crafting innovation together crafting innovation together Dependency Structure Matrix Confidential
  • 48. Understand Process Complexity crafting innovation together Rework Iterations Multiple Handoffs Ambiguities Uncertainty -possible chaos crafting innovation together Identifying Complexity Blocks Confidential Copyri
  • 49. Organizational Complexity crafting innovation together crafting innovation together High Interactions between various departments – High Organizational Complexity Confidential Copyri
  • 50. crafting innovation together 10 15 20 25 0 5 Confidential WindChill WinSPC MATT CATSWEB - Applications TWO (Tool ATHENA SMART Product/Desig Supplier Manufacturing Reliability Regulatory Medical Actors Quality Test Suppliers Test Process Dependencies Compliance Documentation Tool Operators Project R&D crafting innovation together Operations Regulatory Supplier Departments Model Shop Process Dependencies on Applications, Actors and Departments
  • 51. crafting innovation together SYSTEM COMPLEXITY ESTIMATOR Applications in Software Architecture, Design & Project Planning 3rd International Conference on Quality Reliability crafting innovation together and Infocom Technologies, Delhi, 2-4 December 2006 Confidential
  • 52. Software Design Guideline – Coupling & Cohesion crafting innovation together • A software system is the decomposition of conceptual construct into conceptually independent modules that cooperate to achieve a desired result. • Coupling refers to the degree of interdependence among the components of a software system. Good software system should obey the principle of Low coupling. Strong coupling makes the system more Complex. crafting innovation together • The cohesion of a module is defined as a quality attribute that seeks to measure the singleness of purpose of a module. Cohesion seeks to maximize the connections within a module. Confidential
  • 53. System Complexity Estimator Ideal System with Minimumt iComplexityt o g e t h e r craf ng innovation A system with completely independent elements (modules) where each module performs a single function is the least complex– this is the Ideal Architecture for a system. If each of the activity performs a single function only and it does not depend on the other modules for its functioning except on itself then the complexity is minimum which is proportional to number of elements in the system. crafting innovation together Cohesion Dependency Measures (Coupling) A Measure of how much cohesive the Module Dependency on the System Index (MDSI) module is on its own – If it has less System Dependency on the Module Index (SDMI) cohesion it leads to more complexity Confidential
  • 54. System Complexity Estimator – Dependency Measures Dependency Measures (Coupling) t i n g craf innovation together Module Dependency on the System Index (MDSI) System Dependency on the Module Index (SDMI) Simple Summation of row elements of a DSM can give a measure of MDSI; Simple summation of column elements of a DSM can give a measure of SDMI A B C D sum MDSI A 1 1 1 3 0.33 Indirect Dependencies are not B 1 1 2 0.22 taken care of in this measure crafting innovation together A depends on B and B depends on C 1 1 2 0.22 D hence A depends on D D 1 1 2 0.22 sum 2 2 3 2 9 MDSI 0.33 SDMI 0.22 0.22 0.33 0.22 0.25 0.21 To take care of indirect dependencies 0.21 Normalized eigen vector SDMI 0.21 0.21 0.33 0.25 corresponding to Principal eigen Confidential value is proposed
  • 55. System Complexity Estimator (SCE) • Enables the Designer/Project Managerc rtot iIdentifyi okeyg eareas in the af ng innovat n to ther system being designed that contribute more to the complexity • Fundamental Shift in the way software systems are designed and software projects are planned. Input • Coupling between modules • A measure of lack of cohesion in each module Output crafting innovation together • Estimates total complexity of the system • Estimates how much each module contributes to the complexity Design Fundamental: Maximize Cohesion Minimize Coupling “Robust Inventive Software Design” presented at the 7th International DSM Conference in Seattle, Wa, Oct 4-6, 2005 Confidential
  • 56. Application of System Complexity Estimator crafting innovation together crafting innovation together  Team became fully aware of inter- • Identify dependencies through group brain storming dependencies and hand-offs • Determine complexities using System Complexity Estimator  Understood meaningful delivery blocks Confidential
  • 57. crafting innovation together Ideality, TRIZ and Software Design crafting innovation together Case Study: Software Product Confidential 57 ©
  • 58. Software System Evolves! crafting innovation together  Functionality of Software System (Requirements)  Requirements constructed into structure  Deployment and Usage creates new requirements (new functionality)  Software system changes structure through – Addition of new structural elements (e.g. new functionality) crafting innovation together – Changes (e.g. bug-fixing) in the existing system  Evolutionary nature of software systems keeps on increasing system complexity Confidential
  • 59. Software System Evolution – Complexity Increases crafting innovation together The Final Softwa Comple re xity System crafting innovation together New – Functionality Highly Major Design – Redesign Compl Change and New ex Initial Software patch Design Time Confidential
  • 60. TRIZ - IDEALITY crafting innovation together • IDEALITY = Sum of All Useful Functions/ Sum of All Harmful Functions Focus on Function/Functionality Proposition: Design is about structure – The ideal system structure should be included in the definition crafting innovation together of Ideality. Achieved by Ideal Structure Ideal Structure = Least Complex Structure Confidential
  • 61. TRIZ – IDEALITY for Software Systems crafting innovation together Achieved by the Least Complex Software Structure How to define the Least Complex Software System? crafting innovation together A note: Complexity is not the function delivered by a system but it is the attribute of the system Confidential
  • 62. Software Complexity Measures (Existing Measures…) crafting innovation together  Modularization Criteria – Coupling & Cohesion  McCabe Complexity and Size of the Software  Software Entropy (Bhushan N and Kaushik K, 2002)  SEI’s Maintainability Index (www.sei.cmu.edu)  Limited Work on Structural Complexity of the system crafting innovation together Confidential
  • 63. System Complexity Estimator (SCE) crafting innovation together • Software Complexity Measures and approach for managing complexity • System Complexity – Concepts of Coupling and Cohesion • Social Network Analysis – A Framework for Software Design • System Complexity Estimator (SCE) – Quantitative measure of complexity crafting innovation together Ref: Bhushan N,, SYSTEM COMPLEXITY ESTIMATOR - Applications in Software Architecture, Design & Project Planning, 3rd International Conference on Quality Reliability and Infocom Technologies, India, 2-4 December 2006 Confidential
  • 64. Software Design Guideline – Coupling & Cohesion crafting innovation together • A software system is the decomposition of conceptual construct into M M conceptually independent modules that cooperate to achieve a desired result. 1 2 M 3 • Coupling: the degree of interdependence among the components of a software system. M Good software system should obey the 4 crafting innovation together principle of Low coupling. • Cohesion of a module is defined as a quality attribute that seeks to measure the singleness M4 of purpose of a module. Cohesion seeks to m41 m42 maximize the connections within a module. Cohesi m43 m44 on m45 Confidential
  • 65. Problem: crafting innovation together • How to measure Coupling and Cohesion of Software Systems as a single metric? • A metric from Social Network Analysis… crafting innovation together Solution: A Software System is like a Social Network Confidential
  • 66. Social Networks Analysisr a f t i n g i n n o v a t i o n t o g e t h e r c • A primary use of graph theory in social network analysis is to identify the “important” actors. Centrality and prestige concepts seek to quantify graph theoretic ideas about an individual actor’s prominence within a network by summarizing structural relations among the g nodes. • An actor’s prominence reflects its greater visibility to the other network actors (an audience). A prominent location takes account of sociometric choices made and choices received, as well as indirect ties. The two prominence classes discussed in this literature are – Centrality: Actor has high involvement in many relations, regardless of crafting innovation together send/receive directionality (volume of activity) – Prestige: Actor is recipient of many directed ties, but initiates few relations (popularity > extensivity) Bonacich, P.B., Power and Centrality: A Family of Measures, American Journal of Sociology 92, 1170-1182, 1987 Confidential
  • 67. Eigenvector-like Measures of Centrality for Asymmetric Relations crafting innovation together • The eigenvector captures a certain aspect of centrality or status that is not captured by other measures. The eigenvector is an appropriate measure when one believes that actors' status is determined by those with whom they are in contact. This conception of importance or centrality makes crafting innovation together sense in a variety of circumstances. Social status rubs off on one's associates. Receiving information from knowledgeable sources adds more to one's own knowledge. A Software System is like a Social Network Confidential
  • 68. Existing Design (Capturing Couplinga fandi nCohesion tinputs) cr ting novation toge her crafting innovation together Confidential
  • 69. Existing Design – System Complexity Map crafting innovation together Existing Design IDEAL SYSTEM – Scramble COMPLEXITY = Create New Rule 16.00 Name Shuffle Preview Masking 12.00 Address Shuffle Number of Functions Profile Management 8.00 Generic Shuffle Delivered = 54 with Installer 4.00 Blank Out Cohesion closer to 0.00 1.0 COHESION LOW Scheduler Replacement crafting innovation together Masking SSN Generator Preload Script Luhn Generator Pattern Generator Sequence Number Generator Random Number Generator Confidential
  • 70. TEAM BRAINSTORMED TO COME UP WITH THREE ALTERNATIVE DESIGNS crafting innovation together – with a Trigger to increase module Cohesion Design Option1 Design Option 2 Scramble Custom Rule Manager 20.00 Name Shuffle Scramble 18.00 Execute Preload Script 20.00 Name Shuffle DB Masker Address Shuffle 16.00 Authenticate Db Credentials 18.00 Address Shuffle 14.00 16.00 Profile Manager Generic Shuffle Log file generation 14.00 Generic Shuffle 12.00 12.00 10.00 Preview Ethnicity Shuffle 10.00 8.00 Update Transaction Table Ethnicity Shuffle 8.00 6.00 6.00 4.00 4.00 Scheduler Selective Name Shuffle Load Staging Table Selective Name Shuffle 2.00 2.00 0.00 0.00 uthenticator (Authenticate,Pre-Load & crafting innovation together Look Up Names Shuffle Common_Functions Look Up Names Shuffle compile) Pattern Generator Look Up Address Shuffle Pattern Generator Look Up Address Shuffle Random Number Generator Data Encryption/Decryption Random Number Generator Data Encryption/Decryption Sequence Number Generator Blank Out Sequence Number Generator Blank Out Luhn Generator Replacement Luhn Generator Replacement SSN Generator SSN Generator Note: The Psychological Inertia of the existing design continued – structurally similar to existing design Confidential
  • 71. TEAM BRAINSTORMED TO COME UP WITH THREE ALTERNATIVE DESIGNS crafting innovation together (Contd…) Design Option 3 Scramble 12.00 Name ShuffleShuffle Address Generic Shuffle Modify Rule 10.00 Ethnicity Shuffle Create New Rule Selective Name Shuffle Monitor Mask Status 8.00 Look Up Names Shuffle Load Profile 6.00 Look Up Address Shuffle Start Masking 4.00 Data Encryption/Decryption Preview Masking Blank Out 2.00 Save Profile Replacement 0.00 crafting innovation together Generate Mask Information SSN Generator Search Mask Fields / Master Tables / Limit Luhn Generator Tables Get All Mask Field List Sequence Number Generator New Profile Random Number Generator Restart Masking Pattern Generator Preview Profile Common_Functions Re-Schedule Masking Load Staging Table Stop Scheduled Masking Update Transaction Table Schedule Masking Get Restart / Scheduled Job Status Log file generation Authenticate Db Credentials Execute Preload Script Note: A shift in the thinking achieved through a focus on maximizing cohesion Confidential
  • 72. System Complexity Analysis of Alternatives with the existing Design Existing Design crafting innovation together Scramble Create New Rule 16.00 Name Shuffle Preview Masking 12.00 Address Shuffle Profile Management 8.00 Generic Shuffle 4.00 Installer Blank Out 0.00 Scheduler Replacement # of Size (# of Avg Functions/ Masking Preload Script SSN Generator Luhn Generator Pattern Generator Sequence Number Generator Design functions Modules) Module Complexity Random Number Generator Existing Design Option1 Scramble Custom Rule Manager 20.00 Name Shuffle Design 54 18 3 88.7 18.00 DB Masker Address Shuffle 16.00 Profile Manager 14.00 Generic Shuffle 12.00 10.00 Preview Ethnicity Shuffle 8.00 6.00 Design Scheduler DB Authenticator (Authenticate,Pre-Load & compile) 4.00 2.00 0.00 Selective Name Shuffle Look Up Names Shuffle Option 1 66 22 3 102.3 Pattern Generator Random Number Generator Look Up Address Shuffle Data Encryption/Decryption crafting innovation together Sequence Number Generator Blank Out Design Luhn Generator SSN Generator Design Option 2 Replacement Option 2 51 39 1.3 174 Authenticate Db Credentials Log file generation Scramble Execute Preload Script 20.00 18.00 16.00 14.00 Name Shuffle Address Shuffle Generic Shuffle 12.00 Design 10.00 Update Transaction Table Ethnicity Shuffle 8.00 6.00 4.00 Load Staging Table Selective Name Shuffle 2.00 0.00 Option 3 51 42 1.2 154.6 Common_Functions Look Up Names Shuffle Pattern Generator Look Up Address Shuffle Random Number Generator Data Encryption/Decryption Sequence Number Generator Blank Out Luhn Generator Replacement SSN Generator Design Option 3 Scramble 12.00 Name ShuffleShuffle Address Generic Shuffle Modify Rule 10.00 Ethnicity Shuffle Create New Rule Selective Name Shuffle Monitor Mask Status 8.00 Look Up Names Shuffle Load Profile 6.00 Look Up Address Shuffle Start Masking 4.00 Data Encryption/Decryption Preview Masking Blank Out 2.00 Save Profile Replacement 0.00 Generate Mask Information SSN Generator Note: Cohesion Reduced but Complexity Increased Search Mask Fields / Master Tables / Limit Tables Get All Mask Field List New Profile Restart Masking Luhn Generator Sequence Number Generator Random Number Generator Pattern Generator Preview Profile Common_Functions due to increased coupling Re-Schedule Masking Load Staging Table Stop Scheduled Masking Update Transaction Table Get Restart / Schedule Masking Scheduled Job Status Log file generation Authenticate Db Credentials Confidential Execute Preload Script
  • 73. Team Once Again Brainstormed … to Balance Cohesion and Coupling crafting innovation together • The team brainstormed further to look at ways and means of reducing the coupling. The team hit upon the idea of a Router – A New Module, which was suggested earlier during the discussions but somehow was not pursued crafting innovation together Final Evolved Design Blank Out Modify Rule 8.00 Replacement Create New Rule Scramble Monitor Mask Status Generic Shuffle Load Profile 6.00 SSN Generator Start Masking Luhn Generator Preview Masking 4.00 Sequence Number Generator Save Profile Random Number Generator 2.00 Generate Mask Information Pattern Generator Search Mask Fields / Master Tables / Limit 0.00 Single Field Router Tables Get All Mask Field List Ethnicity Shuffle New Profile Data Encryption/Decryption Restart Masking Name Shuffle Preview Profile Address Shuffle Re-Schedule Masking Selective Name Shuffle Stop Scheduled Masking Look Up Names Shuffle Schedule Masking Look Up Address Shuffle Get Restart / Scheduled Job Status Authenticate Db Credentials Execute Preload Script Confidential