Application of quantitative analysis methods (essentially advanced statistical tools) becomes necessary for an organization to earn the 'CMMI High Maturity' tag and sustain it thereafter. Statistical tools are powerful ways to understand and characterize the behavior of a process. There are papers and articles which elaborate upon the various statistical tools which could be applied by a 'CMMI High Maturity' organization.
This post is not about which statistical tools to use but the pre-conditions one must check before applying the selected statistical tools for maximum value and effectiveness. In fact, selection of the appropriate statistical tool is probably the most crucial pre-condition. However, there are many more and this post makes an attempt to elaborate upon those. This post is essentially about the cultural factors that have direct and strong influence on real improvement in the organization.
CMMI High Maturity Pre-condition 1 - Focus First on Process Stability
Trying to characterize an unstable process is akin to statistical suicide. The data one collects from an unstable process is completely unreliable for any meaningful characterizationof the process. There are times when organizations tend to question the very usefulness of statistical tools if the results obtained seem to be fuzzy and non-conclusive. This practice is similar to shooting the messenger if the message can't be decoded.
It must be remembered that statistical tools are mere messengers of the information contained in the organization's systems and processes. Statistical tools can serve as good messengers if and only if the systems and processes capture and provide reliable and consistent data and information to them. This is basically as per the rule of GIGO (Garbage In Garbage Out) as well.
In case statistical tools fail to provide clear signals, an organization should not stop at questioning the appropriateness and usefulness of the statistical tools but must look beyond to its systems and processes itself. It is wise to apply statistical tools to relatively and reasonably stable processes only. In fact, the statistical tools can be used to even guide the attempts at stabilizing the processes.
CMMI High Maturity Pre-condition 2 - Avoid "Data Must be Wrong" Syndrome
There are times when data analysis would communicate bad news about the organization's systems and processes. In such cases organizations tend to first question the appropriateness and usefulnessof the statistical tools . And if that attempt fails, they then question the data accuracy. "Data Must be Wrong" syndrome is common in organizations and managers living in the denial mode - it afflicts those who assume that they can't go wrong, ever.
Again it must be remembered that statistical tools are messengers and the analysis results are messages. Situations where the messages don't show the systems and processes in a positive light are not problems that must be defended against and trashed but opportunities that must be studied further to bring about improvements to the organization's systems and processes.
It may happen that the data may have certain issues and inaccuracies and if that is so, it must be addressed. Reasonably accurate data is the pre-requisite for any meaningful analysis. However, this doesn't mean that data are adjusted or 'massaged' to modify the actual message. All attempts to improve data collection, storage and collation should aim at making the message "louder and clearer" without modifying it to imply a different message.
CMMI High Maturity Pre-condition 3 - Avoid "Let's Try to Improve All Processes" Syndrome
This is generally a common misconception amongst the low maturity organizations. They consider Continuous Process Improvement to mean that all processes need to be improved continuously.
There are two pitfalls in this approach. The first one, a technical one, is that improvements are never continuous but continual. What this means is that every phase of improvement should follow a phase of non-improvement, where the improvements are sustained, refined and stabilized.
The second pitfall, a business one, is that improvements should be seen as business investment opportunities with quantifiable RoI (Returns on Investment) projections. An organization is a true 'CMMI High Maturity' organization if it has a system in place to determine the improvement projects based on economic considerations.
For Level 1, 2 or 3 organizations, there would generally be too many process weaknesses existing in the organization per se that it may not be worth to be choosy about what to improve. But as an organizations matures to Level 4 and 5, it must choose improvement projects with utmost care.
It must be remembered that improvement projects have a cost or investment associated with them in terms of budget, people and other resources required to make them happen. Any improvement project where the projected benefits or returns are not commensurate with the cost or investment needed to make it happen is not worth it, from an economic perspective. A 'CMMI High Maturity' organization would thus align improvements with what matters most to any business - money.
CMMI High Maturity Pre-condition 4 - Avoid "Let's Measure Everything" Syndrome
This is probably the most difficult one to handle for it's never precisely known when to stop collecting and analyzing data. Data are collected and analyzed with a certain purpose and business requirement in mind. Over quantification translates into unnecessary data getting collected and the analysis either not making use of all the collected data or going beyond the stated purpose and requirement.
There are organizations that try to measure everything. The fancy amongst the management, especially the top shots, is to see numbers and charts for everything. And to make things worse, requirements to measure new things come up in ad hoc manner in different management review meetings. There is never an attempt to take this up in a holistic manner. This puts pressure on the data collection and analysis system.
CMMI High Maturity Pre-condition 5 - Avoid "Tell Me All" Syndrome
There are times when a manager at a certain level of organizational hierarchy demands data and information which may not be in line with what is required at that level of organizational hierarchy. This creates unnecessary pressure on the data analysis and reporting mechanism.
The above happens because of the "Tell Me All" Syndrome, when everyone wants to know everything at the same level of detailing. This, from the organization's standpoint, leads to inefficiencies and redundancies in data collection, analysis and reporting. Reporting formats must be designed in such a way that they align to the reporting needsof the various levels of organizational hierarchy.
This can become a major organizational challenge (and at times a major issue) if this is done at the senior management level. The senior management in almost all organizations, especially the larger ones, is interested in '1 page, 1 chart, 1 number' kind of approach for managing anything and everything. The oft-repeated statement one hears in the corporate world is that the senior management, the top shots are hard pressed for time and need to know about things "in quick and short".
This is a fair expectation as long as the parameters being tracked are a select set of key high-level parameters. At times some of the senior managers and top shots attempt to look deeper down into the low-level parameters, when it may not be really required.
CMMI High Maturity is About Culture Also and Not Just Data and Analysis
At the end, to summarize the above, true 'CMMI High Maturity' is not just about more data and more analysis but rather the following:
This post is not about which statistical tools to use but the pre-conditions one must check before applying the selected statistical tools for maximum value and effectiveness. In fact, selection of the appropriate statistical tool is probably the most crucial pre-condition. However, there are many more and this post makes an attempt to elaborate upon those. This post is essentially about the cultural factors that have direct and strong influence on real improvement in the organization.
CMMI High Maturity Pre-condition 1 - Focus First on Process Stability
Trying to characterize an unstable process is akin to statistical suicide. The data one collects from an unstable process is completely unreliable for any meaningful characterizationof the process. There are times when organizations tend to question the very usefulness of statistical tools if the results obtained seem to be fuzzy and non-conclusive. This practice is similar to shooting the messenger if the message can't be decoded.
It must be remembered that statistical tools are mere messengers of the information contained in the organization's systems and processes. Statistical tools can serve as good messengers if and only if the systems and processes capture and provide reliable and consistent data and information to them. This is basically as per the rule of GIGO (Garbage In Garbage Out) as well.
In case statistical tools fail to provide clear signals, an organization should not stop at questioning the appropriateness and usefulness of the statistical tools but must look beyond to its systems and processes itself. It is wise to apply statistical tools to relatively and reasonably stable processes only. In fact, the statistical tools can be used to even guide the attempts at stabilizing the processes.
CMMI High Maturity Pre-condition 2 - Avoid "Data Must be Wrong" Syndrome
There are times when data analysis would communicate bad news about the organization's systems and processes. In such cases organizations tend to first question the appropriateness and usefulnessof the statistical tools . And if that attempt fails, they then question the data accuracy. "Data Must be Wrong" syndrome is common in organizations and managers living in the denial mode - it afflicts those who assume that they can't go wrong, ever.
Again it must be remembered that statistical tools are messengers and the analysis results are messages. Situations where the messages don't show the systems and processes in a positive light are not problems that must be defended against and trashed but opportunities that must be studied further to bring about improvements to the organization's systems and processes.
It may happen that the data may have certain issues and inaccuracies and if that is so, it must be addressed. Reasonably accurate data is the pre-requisite for any meaningful analysis. However, this doesn't mean that data are adjusted or 'massaged' to modify the actual message. All attempts to improve data collection, storage and collation should aim at making the message "louder and clearer" without modifying it to imply a different message.
CMMI High Maturity Pre-condition 3 - Avoid "Let's Try to Improve All Processes" Syndrome
This is generally a common misconception amongst the low maturity organizations. They consider Continuous Process Improvement to mean that all processes need to be improved continuously.
There are two pitfalls in this approach. The first one, a technical one, is that improvements are never continuous but continual. What this means is that every phase of improvement should follow a phase of non-improvement, where the improvements are sustained, refined and stabilized.
The second pitfall, a business one, is that improvements should be seen as business investment opportunities with quantifiable RoI (Returns on Investment) projections. An organization is a true 'CMMI High Maturity' organization if it has a system in place to determine the improvement projects based on economic considerations.
For Level 1, 2 or 3 organizations, there would generally be too many process weaknesses existing in the organization per se that it may not be worth to be choosy about what to improve. But as an organizations matures to Level 4 and 5, it must choose improvement projects with utmost care.
It must be remembered that improvement projects have a cost or investment associated with them in terms of budget, people and other resources required to make them happen. Any improvement project where the projected benefits or returns are not commensurate with the cost or investment needed to make it happen is not worth it, from an economic perspective. A 'CMMI High Maturity' organization would thus align improvements with what matters most to any business - money.
CMMI High Maturity Pre-condition 4 - Avoid "Let's Measure Everything" Syndrome
This is probably the most difficult one to handle for it's never precisely known when to stop collecting and analyzing data. Data are collected and analyzed with a certain purpose and business requirement in mind. Over quantification translates into unnecessary data getting collected and the analysis either not making use of all the collected data or going beyond the stated purpose and requirement.
There are organizations that try to measure everything. The fancy amongst the management, especially the top shots, is to see numbers and charts for everything. And to make things worse, requirements to measure new things come up in ad hoc manner in different management review meetings. There is never an attempt to take this up in a holistic manner. This puts pressure on the data collection and analysis system.
CMMI High Maturity Pre-condition 5 - Avoid "Tell Me All" Syndrome
There are times when a manager at a certain level of organizational hierarchy demands data and information which may not be in line with what is required at that level of organizational hierarchy. This creates unnecessary pressure on the data analysis and reporting mechanism.
The above happens because of the "Tell Me All" Syndrome, when everyone wants to know everything at the same level of detailing. This, from the organization's standpoint, leads to inefficiencies and redundancies in data collection, analysis and reporting. Reporting formats must be designed in such a way that they align to the reporting needsof the various levels of organizational hierarchy.
This can become a major organizational challenge (and at times a major issue) if this is done at the senior management level. The senior management in almost all organizations, especially the larger ones, is interested in '1 page, 1 chart, 1 number' kind of approach for managing anything and everything. The oft-repeated statement one hears in the corporate world is that the senior management, the top shots are hard pressed for time and need to know about things "in quick and short".
This is a fair expectation as long as the parameters being tracked are a select set of key high-level parameters. At times some of the senior managers and top shots attempt to look deeper down into the low-level parameters, when it may not be really required.
CMMI High Maturity is About Culture Also and Not Just Data and Analysis
At the end, to summarize the above, true 'CMMI High Maturity' is not just about more data and more analysis but rather the following:
- Right kind and amount of data gets collected and analyzed as per stated purpose and business requirement
- Appropriate statistical tools are applied with full understanding of the five aspects described above
- Reporting in the organization is apt for the level of organizational hierarchy to optimize the data collection and analysis efforts
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