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Beating the Odds – A Tale of One Company’s Rapid Rise to Maturity Level 5

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While implementing the CMMI at Maturity Levels 2 and 3 usually contributes to some level of improved performance, successfully implementing Maturity Level 5 enables an organization to begin to truly optimize their performance. This distinction is even more noteworthy when an organization matures rapidly. A division of a large international systems integration company headquartered in Seoul, South Korea (LG CNS, LG Insurance Sector) reached this pinnacle in October 2005 having successfully reached Maturity Level 5 after achieving Maturity Level 3 just twelve months earlier. Though this speedy rise through the Maturity Levels can not be accomplished by everyone, there are certain attributes, practices, and lessons learned that can be applied to any organization seeking to manage change, improve processes, and rapidly transform performance.

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Beating the Odds – A Tale of One Company’s Rapid Rise to Maturity Level 5

  1. 1. Facilitating your process journey … Beating the Odds: A Tale of One Company’s Rapid Rise to Maturity Level 5 Henry Schneider Process and Product Quality Consulting, LLC Seung Wook Bang LG CNS 7th Annual CMMI® Technology Conference November 12 – 15, 2007
  2. 2. Facilitating your process journey … Agenda Success Lessons Intro Overview Summary Story Learned 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 2
  3. 3. Facilitating your process journey … Time to Move Up 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 3
  4. 4. Facilitating your process journey … LG Products 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 4
  5. 5. LG CNS is a Reliable IT partner that Thinks of the Customer’s Future Established Year 1987 CEO & President Chae-Chol Shin 7,300 people Employees (including overseas subsidiaries) Sales 2.1 billion USD (2006) Business Domains Consulting, SI/SM, NI, ITO, BPO 5 divisions / Organization 3 divisions under the direct control of the CEO Overseas USA, Brazil, Europe, India, Indonesia, Subsidiaries Japan and China *As of June 2007 Copyright © 2007 LG CNS Co., Ltd.
  6. 6. Best Service… from Consulting to Operation Consulting System Integration/ IT Outsourcing ITO SI/SM System Management Business Process BPO NI Network Integration Outsourcing Copyright © 2007 LG CNS Co., Ltd.
  7. 7. Facilitating your process journey … LG CNS, LG Insurance Sector • System maintenance organization for LG Insurance LG Insurance Sector • Financial software products Process • CMMI Maturity Level 3 October 2004 Improvement • CMMI Maturity Level 5 October 2005 Milestones 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 7
  8. 8. Facilitating your process journey … LG Insurance Sector 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 8
  9. 9. Facilitating your process journey … Learning It is the true nature of man to learn from mistakes, not from example – Sir Fred Hoyle 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 9
  10. 10. Facilitating your process journey … Critical Success Factors Korean Management Culture Commitment Short, Corporate Repetitive Resources Cycles Low Six Sigma Employee Focus Turnover 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 10
  11. 11. Facilitating your process journey … Management Commitment Prevalent Walk the Walk Teams Proper Given Attention Power 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 11
  12. 12. Facilitating your process journey … Corporate Resources Provide internal Establish local Leverage consulting and Train local staff SEPGs lessons learned appraisal services Corporate SEPG group works directly with each LG CNS division 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 12
  13. 13. Facilitating your process journey … Six Sigma Focus 5. 1. Define Control 5 Optimiz- ing 4 Quantitatively 4. 2. Managed Improve Measure 3 Defined 3. Analyze 2 Managed 1 Initial 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 13
  14. 14. Facilitating your process journey … Low Employee Turnover Team members happy, Between 2003 and 2005, enjoyed job assignments, the LG Insurance Sector and motivated to had the lowest employee improve processes and turnover rate in LG CNS procedures 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 14
  15. 15. Facilitating your process journey … Short,Repetitive Cycles Project Life Cycle Statusing Analyzing Testing Measuring Reporting 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 15
  16. 16. Facilitating your process journey … Korean Culture Minimal resistance Strong element of team work Strong sense of pride Personal identification Doing whatever it takes 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 16
  17. 17. Facilitating your process journey … Planning In preparing for battle I have always found that plans are useless, but planning is indispensible. – President Dwight D. Eisenhower Good tactics can save even the worst strategy. Bad tactics will destroy even the best strategy. – General George S. Patton 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 17
  18. 18. Facilitating your process journey … Challenges LG Insurance Sector faced many challenges with High Maturity concepts 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 18
  19. 19. Facilitating your process journey … Achieving Consensus 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 19
  20. 20. Facilitating your process journey … Identifying Innovations 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 20
  21. 21. Facilitating your process journey … Causal Analysis 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 21
  22. 22. Facilitating your process journey … Managing Risks 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 22
  23. 23. Facilitating your process journey … Estimation and Load Balancing 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 23
  24. 24. Facilitating your process journey … Practical Approaches Involve your customer Provide strong leadership Communicate effectively Promote a process improvement lifestyle Have fun! 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 24
  25. 25. Facilitating your process journey … Bottom Line Provide dedicated Focus on the goal and committed Learn from others resources Provide strong Learn from your management mistakes support 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 25
  26. 26. Facilitating your process journey … Some Parting Thoughts I believe the true road to preeminent success in any line is to make yourself master in that line. - Andrew Carnegie The three great essentials to achieve anything worthwhile are, first, hard work; second, stick-to-itiveness; third, common sense. – Thomas Edison It's very important that you find something that you care about, that you have a deep passion for, because you're going to have to devote a lot of your life to it. – George Lucas 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 26
  27. 27. Facilitating your process journey … LG Insurance Sector Video 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 27
  28. 28. Facilitating your process journey … Questions 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 28
  29. 29. Facilitating your process journey … PPQC Services Consulting • CMMI • Software Engineering • Systems Engineering • Process Improvement Appraising • SCAMPI A, B, C • Gap Analysis Training • CMMI • Process Improvement • Action Planning Workshops • Measurement and Analysis • Process Area Specific Training 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 29
  30. 30. Facilitating your process journey … Contact Information - 1 Address: Henry Schneider President/Senior Principal Consultant Process and Product Quality Consulting, LLC 2111 Heather Green Houston, TX USA 77062 Phone: 281-218-6682 E-mail: ppqc@comcast.net Web Site: www.ppqc.net 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 30
  31. 31. Facilitating your process journey … LG CNS Services Best Service… from Consulting to Operation Consulting System Integration/ IT Outsourcing ITO SI/SM System Management Business Process BPO NI Network Integration Outsourcing 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 31
  32. 32. Facilitating your process journey … Contact Information - 2 Address: Seung Wook Bang Quality Consulting Team Quality Innovation Sector Technology Service Division Solution Business Unit LG CNS #B5-3, DMC Sangam-dong, Mapo-gu Seoul, Korea, 121-270 Phone: 82-2-6710-4333 E-mail: swbang@lgcns.com 11/12/2007 ®2007 ***Proprietary*** All Rights Reserved - Process and Product Quality Consulting, LLC 32

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