Software Engineering Process Group Skills Rick Hefner_ Process by pptfiles

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									     Process Improvement
in the Aerospace Industry
CMMI and Lean Six Sigma

                       USC CS510




                  Rick Hefner, Ph.D.
     Northrop Grumman Corporation
              Rick.Hefner@ngc.com
    Agenda


    • Current Challenges Facing the Aerospace Industry
    • Current Industry Approaches
       – Capability Maturity Model Integrated
       – Lean Six Sigma

    • Northrop Grumman Approach




2
    NDIA Top 5 Systems Engineering Issues
    (2006)

    • Key systems engineering practices known to be effective are not
      consistently applied across all phases of the program life cycle.
    • Insufficient systems engineering is applied early in the program life cycle,
      compromising the foundation for initial requirements and architecture
      development.
    • Requirements are not always well-managed, including the effective
      translation from capabilities statements into executable requirements to
      achieve successful acquisition programs.
    • The quantity and quality of systems engineering expertise is insufficient
      to meet the demands of the government and the defense industry.
    • Collaborative environments, including SE tools, are inadequate to
      effectively execute SE at the joint capability, system of systems (SoS),
      and system levels.

3    Systems Engineering Update, NDIA Top 5 Issues Workshop. July 26, 2006. Briefing by Mr. Robert Skalamera
    Agenda


    • Current Challenges Facing the Aerospace Industry
    • Current Industry Approaches
       – Capability Maturity Model Integrated
       – Lean Six Sigma
       – Agile

    • Northrop Grumman Approach




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    Heritage of Standards for Systems Engineering


                                                                               2002             2002
                                                                             ISO/IEC         ISO/IEC
                                                                              15504           19760
                                                                              (FDIS)           (PDTR)

                                                                               1998
                                                              1994             EIA              2002
                                                            EIA / IS           632           ISO/IEC
                                                              632                             15288
                                                                             (Full Std)
                                           1994
                                                        (Interim Standard)                     (FDIS)
                            1974         Mil-Std-                                               1998
                                                               1994
      1969                Mil-Std-        499B
                                                              IEEE             1998
                                                                                              EIA/IS
    Mil-Std-               499A        (Not Released)                                          731
                                                              1220            IEEE
      499                                                                                     SE CM
                                                            (Trial Use)       1220
                                                                                          (Interim Standard)
                                                                             (Full Std)


                                                                                                2002
                                                                                            CMMI-
        Legend                                                                            SE/SW/IPPD
             Supersedes
             Source for      Standards for Systems Engineering, Jerry Lake, 2002
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    The Frameworks Quagmire
    Sarah A. Sheard, Software Productivity Consortium




6                                             http://stsc.hill.af.mil/crosstalk/1997/sep/frameworks.asp
    Two Complimentary Approaches
    to Process Improvement

    Data-Driven (e.g., Lean Six Sigma)         Model-Driven (e.g., CMMI)




    • Clarify what your customer wants         • Determine the industry best practice
      (Voice of Customer)                          – Benchmarking, models
        – Critical to Quality (CTQs)
                                               • Compare your current practices to the
    • Determine what your processes can do       model
      (Voice of Process)                           – Appraisal, education
        – Statistical Process Control
                                               • Identify and prioritize improvement
    • Identify and prioritize improvement        opportunities
      opportunities                                 – Implementation
         – Causal analysis of data                  – Institutionalization

    • Anticipate your customers/ competitors   • Look for ways to optimize the processes
      (Voice of Business)
        – Design for Six Sigma
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    Agenda


    • Current Challenges Facing the Aerospace Industry
    • Current Industry Approaches
       – Capability Maturity Model Integrated
       – Lean Six Sigma

    • Northrop Grumman Approach




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    What is the Capability Maturity Model Integrated?


    • The CMMI is a collection of industry best-practices for engineering,
      services, acquisition, project management, support, and process
      management
        – Developed under the sponsorship of DoD
        – Consistent with DoD and commercial standards



         Three Constellations sharing common components and structure
    • CMMI for Development - used by engineering organizations
    • CMMI for Acquisition - used by buyers (e.g., govt. agencies)
    • CMMI for Services - used by service providers (e.g., help desk)



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     Basic Building Blocks – 22 Process Areas

                           Implemented by                           Implemented by
                             each project                           the organization



     Project Management    Engineering       Support                Process Management
      • Project Planning    • Requirements    • Configuration        • Organizational
                              Development       Management             Process Focus
      • Project
        Monitoring and      • Requirements    • Process and          • Organizational
        Control               Management        Product Quality        Process
                            • Technical         Assurance              Definition
      • Supplier
        Agreement             Solution        • Measurement          • Organizational
        Management          • Product           and Analysis           Training
                              Integration     • Decision Analysis    • Organizational
      • Integrated
                            • Verification      and Resolution         Process
        Project
                                              • Causal Analysis        Performance
        Management)         • Validation
                                                and Resolution       • Organizational
      • Risk                                                           Performance
        Management                                                     Management
      • Quantitative
        Project
        Management
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     Expected Practices Provide Guidance
     for Implementation & Institutionalization
         Project Planning – Implementation            Project Planning - Institutionalization
     SG 1 Establish Estimates                        GG 2 Institutionalize a Managed Process
       SP 1.1 Estimate the Scope of the Project        GP 2.1 Establish an Organizational Policy
       SP 1.2 Establish Estimates of Work Product      GP 2.2 Plan the Process
              and Task Attributes                      GP 2.3 Provide Resources
       SP 1.3 Define Project Lifecycle Phases          GP 2.4 Assign Responsibility
       SP 1.4 Estimate Effort and Cost                 GP 2.5 Train People
                                                       GP 2.6 Manage Configurations
     SG 2 Develop a Project Plan
                                                       GP 2.7 Identify and Involve Relevant
       SP 2.1 Establish the Budget and Schedule
                                                                Stakeholders
       SP 2.2 Identify Project Risks
                                                       GP 2.8 Monitor and Control the Process
       SP 2.3 Plan Data Management
                                                       GP 2.9 Objectively Evaluate Adherence
       SP 2.4 Plan the Project’s Resources
                                                       GP 2.10 Review Status with Higher Level
       SP 2.5 Plan Needed Knowledge and Skills                  Management
       SP 2.6 Plan Stakeholder Involvement           GG 3 Institutionalize a Defined Process
       SP 2.7 Establish the Project Plan               GP 3.1 Establish a Defined Process
                                                       GP 3.2 Collect Improvement Information
     SG 3 Obtain Commitment to the Plan
       SP 3.1 Review Plans That Affect the Project
       SP 3.2 Reconcile Work and Resource Levels
       SP 3.3 Obtain Plan Commitment
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     Practice Ratings for the Organization/Projects




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     How is the CMMI Used for Process
     Improvement?




                                        IDEAL
                                        Model




        www.sei.cmu.edu/ideal/
13
     Typical CMMI Benefits Cited in Literature


     • Reduced costs
        – 33% decrease in the average
          cost to fix a defect (Boeing)
        – 20% reduction in unit
          software costs (Lockheed        • Greater Productivity
          Martin)                            – 25-30% increase in
                                               productivity within 3 years
     • Faster Schedules                        (Lockheed Martin, Harris,
        – 50% reduction in release             Siemens)
          turnaround time (Boeing)
        – 60% reduction in re-work        • Higher Quality
          following test (Boeing)            – 50% reduction of software
                                               defects (Lockheed Martin)

                                          • Customer Satisfaction
                                             – 55% increase in award fees
                                               (Lockheed Martin)
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     Agenda


     • Current Challenges Facing the Aerospace Industry
     • Current Industry Approaches
        – Capability Maturity Model Integrated
        – Lean Six Sigma

     • Northrop Grumman Approach




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     What is Lean Six Sigma (LSS)?


     • Lean Six Sigma is a
       powerful approach to
       improving the work we do
     • LSS improvement projects
       are performed by teams
     • Teams use a set of tools
       and techniques to
       understand problems and
       find solutions
     • Lean Six Sigma integrates     +
       tools and techniques from
       two proven process
       improvement methods
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     Six Sigma


     • A management philosophy based on meeting business
       objectives by reducing variation
         – A disciplined, data-driven methodology for decision making and
           process improvement

     • To increase process performance, you have to decrease
       variation                                   • Greater
           Too early                Too late                Too early                   Too late     predictability in
                                                                                                     the process
       Defects                            Defects                                                  • Less waste and
                                                                                                     rework, which
                                                 Reduce
                                                                                                     lowers costs
                    Delivery Time
                                                variation                                          • Products and
                                                                        Delivery Time
                                                                                                     services that
                   Spread of variation                           Spread of variation                 perform better
                 too wide compared to                            narrow compared to                  and last longer
                     specifications                                 specifications
                                                                                                   • Happier
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                                                                                                     customers
     DMAIC Roadmap


      Define                Measure         Analyze         Improve     Control

      Define                 Identify       Explore         Identify    Define
      project                needed         data            possible    control
      scope                  data                           solutions   method

      Establish              Obtain         Characterize    Select      Implement
      formal                 data set       process &       solution
      project                               problem
                                                                        Document
                             Evaluate                       Implement
                             data quality   Update          (pilot as
                                            improvement     needed)
                                            project scope
                            Summarize       & scale
                            & baseline                      Evaluate
                            data



            [Hallowell-Siviy 05]
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     DMAIC Toolkit


      Define         Measure           Analyze            Improve            Control
 Benchmark          GQIM and          Cause & Effect     Design of         Statistical
 Contract/Charter   Indicator         Diagrams/ Matrix   Experiments       Controls:
                    Templates         Failure Modes &    Modeling          Control
 Kano Model
                    Data Collection   Effects Analysis   ANOVA              Charts
 Voice of the       Methods
 Customer                             Statistical        Tolerancing       Time Series
                    Measurement       Inference                             methods
 Voice of the       System                               Robust Design
 Business                             Reliability
                    Evaluation        Analysis           Systems
 Quality Function                                        Thinking          Non-Statistical
 Deployment                           Root Cause                           Controls:
                                      Analysis,          Decision & Risk
                                                         Analysis          Procedural
                                      including 5 Whys                      adherence
                                      Hypothesis Test    PSM Perform
                                                         Analysis Model    Performance
                                                                            Mgmt
                                                                           Preventive
                                                                            measures
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     Design for Six Sigma (e.g., DMADV)


       Define      Measure     Analyze       Design        Verify

       Define      Identify    Explore       Develop       Evaluate
       project     customers   data          detailed      pilot
       scope                                 design
                                                           Scale-up
                   Research    Design        Refine
       Establish                                           design
                   VOC         solution      predicted
       formal
       project                               performance
                                                           Document
                   Benchmark
                               Predict
                               performance   Develop
                                             pilot
                   Quantify
                   CTQs




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     Lean


     • Series of tools and techniques refined by Toyota and called
       the “Toyota Production System”
        – Called “Lean” by Womack, Jones and Roos in The Machine That
          Changed the World
     • Focused on increasing efficiency by eliminating non-value
       added process steps and wasteful practices
     • Being adopted world-wide by both manufacturing and
       transactional based organizations
     • Utilizes tools like “Value Stream Mapping,” “Just in Time” and
       “Kaizen”

        LEAN FOCUS: ELIMINATE WASTE AND REDUCE CYCLE TIME

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     Wastes in Production


                                          CORRECTION
                                                       •
                                                             MOTION
                         WAITING               Repair or
                                               Rework      Any wasted motion
                      Any non-work time                    to pick up parts or
                      waiting for tools,                   stack parts. Also
                      supplies, parts, etc..               wasted walking


                                               Types
                 PROCESSING                                  OVERPRODUCTION
                                                 of
                                                                 Producing more
                Doing more work than           Waste             than is needed
                is necessary
                                                                 before it is needed

                                 INVENTORY
                                                     CONVEYANCE
                         Maintaining excess
                         inventory of raw mat’ls, Wasted effort to transport
                         parts in process, or     materials, parts, or
                         finished goods.          finished goods into or
                                                  out of storage, or
                                                  between
                                                  processes.




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     Organizational Adoption:
     Roles & Responsibilities

     • Champions – Facilitate the leadership,
       implementation, and deployment
     • Sponsors – Provide resources
     • Process Owners – Responsible for
       the processes being improved
     • Master Black Belts – Serve as mentors for Black Belts
     • Black Belts – Lead major Six Sigma projects
        – Typically requires 4 weeks of training

     • Green Belts – Lead minor Six Sigma teams, or serve on
       improvement teams under a Black Belt
        – Typically requires 2 weeks of training

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     A Typical Lean Six Sigma Project
     in Aerospace

     The organization notes that systems integration has been problematic
       on past projects (budget/schedule overruns)
     A Six Sigma team is formed to scope the problem, collect data from
       past projects, and determine the root cause(s)
     The team’s analysis of the historical data indicates that ineffective peer
       reviews are leaving significant errors to be found in test
     Procedures and criteria for better peer reviews are written, using best
       practices from past projects
     A pilot project uses the new peer review procedures and criteria, and
       collects data to verify they solve the problem
     The organization’s standard process and training is modified to
       incorporate the procedures and criteria, to prevent similar problems on
       future projects
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     Agenda


     • Current Challenges Facing the Aerospace Industry
     • Current Industry Approaches
        – Capability Maturity Model Integrated
        – Lean Six Sigma

     • Northrop Grumman Approach




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     Northrop Grumman Approach:
     Mission Success Requires Multiple Approaches


         Risk Management                                                        Dashboards for
                                                                                Enterprise-Wide
        Systems Engineering                 Program                              Measurement
        Independent Reviews               Effectiveness
                                                                              Communications &
          & Cost Estimates
                                                                             Best-Practice Sharing
         Training, Tools, &                     Mission
                                              Assurance &
                                                                            Robust Governance Model
            Templates
                                               Enterprise                     (Policies, Processes,
                                               Excellence                         Procedures)
                                Process                      Operations
                              Effectiveness                 Effectiveness



                                        CMMI Level 5 for
                                     Software, Systems, and
                                            Services
                                     ISO 9001 and AS-9100
                                          Certification
                                               Six Sigma
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     Organizational Infrastructure Required for CMMI
     Level 3
        Policies, Processes,                                                            Process Group          Training Program      Process Improvement
         Templates & Tools




     Measurement Repositories                                                        Best-Practice Libraries   Audits & Appraisals   Communications
       Predictive Modeling
           Defects per component




                                   25

                                   20

                                   15

                                                                               UCL
                                   10

                                    5                                          _
                                                                               X

                                    0
                                        1   11   21   31   41   51   61   71
                                                  Component #




                                                  Developing and maintaining mature processes requires
                                                       significant time and investment in infrastructure

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     Northrop Grumman Approach:
     Institutionalizing Our Improvements

       We systematically analyze quality and            We improve our process assets
       process data and trends to determine           based on internal and external best
          how to improve our processes                             practices
                                                                                                      Deployed
                         Analysis                                    Disposition                         to
                                                                                    Information       programs
      ISO/AS9100
        Findings                                 Industry
                          • Systems/                                                         Policy
                            Software
                                                Standards          Configuration
     CMMI Appraisal                                                Control Board
                            Engineering          Internal
       Findings             Process Group                                                   Process
                                               Best Practices
       Customer           • QMS Working          Six Sigma
       Comments             Group                                                         Procedures
                                                  Projects
      Independent         • Program
                                                 External                                Checklists and
         Audits             Management
                            Advisory Board     Best Practices                               Guides
     Lessons Learned
        & Metrics                                                                        Templates and
                                                                                           Examples

        Tools               eToolkit            msCAS                PAL
           Increasing
                                    StartIt!        My MS Portal        Workbench        PCDB
            program
28          efficiency
     Northrop Grumman Approach:
     Lessons Learned

     • Multiple improvement initiatives helps encourage a change in behavior as
       opposed to “achieving a level”
         – Reinforces that change (improvement) is a way of life

     • Benefits results from institutionalizing local improvements across the
       wider organization
         – CMMI establishes the needed mechanisms

     • CMMI and Lean Six Sigma compliment each other
         – CMMI can yield behaviors without benefits
         – Lean Six Sigma improvements based solely on data may miss innovative
           improvements (assumes a local optimum)

     • Training over half the staff as Lean Six Sigma Green Belts has resulted in
       a change of language and culture
         – Voice of Customer, data-driven decisions, causal analysis, etc.
         – Better to understand/use tools in everyday work than to adopt the “religion”
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