Six Sigma Black Belt Project: Reducing SDE Delivery Time Mar – Nov 2006

1. Six Sigma Black Belt Project: Reducing SDE Delivery Time Mar – Nov 2006

2. Define - Develop team charter, identify key stakeholders and requirements. Define critical processes. D M A E C DEFINE STORYBOARD : Reducing SDE (Strategic Development Environment) Delivery Time • The Problem: • Business customers feedback of SDE delivery process was poor. • Takes too long (2-20 weeks) to delivery an SDE. • Takes 13 man days of effort. • Cost is too high (ranges from $9K - $17K). • Business Case: • Committed to delivering 120+ SDEs 2006. • Improving the time is an opportunity to delivery more. • Cycle time improvement will provide opportunities to strengthen our competitive position and reducing our cost associated with delivery. • There is a potential cost savings in $1.1M. • Goals : • Reduce delivery time to 4 weeks or less. • Reduce man hours required by 50%. • Eliminate delivery errors. • Improve customer perception. • Metrics: • Cycle time to deliver an SDE. • Defects in delivering an SDE. Identified Customer Requirements : • Hurdle: • Required to create RBPM Initial Request Document by HCOI Sr. Management team. • Document reviewed and approved. • Project Team: • Team identified: 22 members from US, UK and HK. • Stakeholder analysis indicates all are supportive. • Developed Voice of the Customer (VOC) Plan. • Grouped customer responses into categories: • Delivery Time • Quality • Requirements • VOC categories translated into CTQs. • Deliver an SDE in 20 Days • Quality check • Orders accepted every 2 weeks • Project schedule and workflow developed • Scope of Project defined by using Multi Generation Plan. Agreed scope is to improve cycle time and reduce defects. Project Charter Approved High Level Process Map : Critical Processes defined in 4 steps; RIP DMAEC FUTURE STATE GRANTED ! • Tollgate : • Meeting held with Champion. • We have identified resources. • We have their support. • We defined the project scope. • We need approval to more forward.

3. Measure – Map and Analyze the process, Collect data, determine process capability. D M A E C MEASURE STORYBOARD : Reducing SDE (Strategic Development Environment) Delivery Time • Project Kick-off Meeting: • Held kick-off meeting with 22 attendees. • Project champion was present to iterate importance of project. • Spent entire day mapping the ‘As Is’ SDE Process. • Mapped & Analyzed the ‘As Is’ Process: • 84 Steps in the process, totalling 92 hours. • Process has 437 hrs of delay and 25 hrs of non-value added tasks. • 3 sub-processes found: Placing an Order, Setting up hardware and Building the SDE. • 24 teams involved in build of a SDE. They are located in 4 different global regions. • Costing Analysis of ‘As Is’ SDE build: • Used Activity Based Costing model. • Resource cost = $8500. • Cost of Non-value added tasks = $2300. • Data centre facility cost = $4865. • Takes 11 weeks to build SDE. • Resource hours to build an SDE = 92. • Total cost per SDE = $13408. • Critical outputs determined: • Delivering in 20 days. • Quality of the delivery. • Created an XY Matrix to determine which inputs have the highest effect on the 2 outputs: • Experience of team members • Requested configuration • Hardware and Resource availability • Data Collection Plan Summary :How we got the data: • Data collected by the Delivery PM. • Data collected for 2 months, Mar & Apr. • What we measured: • the cycle time of delivery • # of deliveries by region • # of defects in deliveries • Analysis • 41 deliveries in 2 months.

4. Measure – Map and Analyze the process, Collect data, determine process capability. D M A E C • Determined Process Capability • The average delivery time = 33 days. • Median = 30 days. • Process sigma = 0 • 20 Days delivery is were we want to be, but we are far from it. • SDE Delivery process is Unstable & Incapable of a 20 day delivery cycle ! What Does this mean? • IDENTIFIED THE FOLLOWING QUICK HITS: • Create one document that contains the information that every team member needs in order to build an SDE. • Seek dispensation from HCOI Information Security team regarding the expiration frequency of the XMLAccess account. • Create a database that will store details of the XMLAccess account for all SDEs. • Add additional items to the OS kickstart script and thereby removing them as manual tasks. • Create a common naming convention for the ‘entity’ field which is used by 4 of the teams during the build. reality goal 20 Days • Tollgate: • Meeting held with champion. • We gave an update on the process and our quick hits. • We communicated the present capability. • Asked for approval to move forward to Analyse Phase. Granted Delivery Days

5. Analyse – Identify Sources of Variation, Rank Key Causes of Variation & Validate Root Causes. D M A E C ANALYSE STORYBOARD : Reducing SDE (Strategic Development Environment) Delivery Time • IMPLEMENTED THE FOLLOWING QUICK HITS USING OUR SPECIAL CAUSE STRATEGY TOOLS. • XML Access Lotus Notes database created. • SDE Provisioning Request Template created. • SDE Provisioning Information Sheet created for engineers. • ‘How to Order an SDE’ process documented and communicated. • Additions to Kickstart script have been made. • Standard entity naming convention created. • Improvements made for DOTSEC Help to create user accounts. • Baseline for GSD CIs created. Brainstorming meeting held with project team who identified the following as possible sources of variation (X’s) for missing our delivery date. • Rank List of Critical (X’s) • Experience of Resources. • Configuration requested. • Hardware availability. • Engineer Resource availability. • Number of environments being requested. • Established process flow. • Number of teams involved in build. • Region the delivery is for. • Project management of deliveries. • Getting Cost Approval. VALIDATION OF (X’s) Root Cause: Used The Cause and Effect Analysis to confirm major causes and opportunities. By using the following analysis tools the factors impacting SDE Delivery Time were determined; From Cause & Effect Diagram we concluded: • Requirements not complete, given late or not available. • Some team members do not have dedicated time to work on SDEs. • Hardware is ordered too late in the present process. From the Pareto Chart we concluded: • Deliveries are not worked on right away. The project team’s Analysis has determined the following as the improvement goals for this project as priority. • Reduce the time period for accepting advance orders. • Start working on orders sooner than 15 days. • Gather all requirements upfront. • Assure hardware is always available, place orders in advance. • Have dedicated resources working on delivery. From Data Analysis and Stratification we were able to determine patterns and concluded: • 90% of the time there is a 15 delay from the period orders are received to when work is started on them. • If no hardware is available it takes 3 weeks to order and another 3 weeks to setup in the datacenter. • Deliveries are done in bulk, 3 to 5 at a time by the team members. • If the requirements are captured upfront it will eliminate the present process of engineers trying asking for details and waiting for a response. • Tollgate: • Meeting held with champion. • Update of our analysis and completed Quick Hits presented. • Asked for approval to move forward to generate solutions. Granted

6. Engineer – Generate Solution Ideas, Select Best Fit Solution, Test Solution and Confirm Results D M A E C ENGINEER STORYBOARD : Reducing SDE (Strategic Development Environment) Delivery Time Held sessions to Brainstorm Solution ideas for the critical X’s. Project team agreed on moving ahead with 3 solutions that would address the critical X’s. POTENTIAL SOLUTIONS (X’s) ESTIMATED BENEFITS COSTS • This will reduce the order wait time. • Help engineers to manage their time. 1. START 5 SDE BUILDS EVERY WEEK. • No incremental Hard Cost. 2. BUILD AN ‘ON THE SHELF’ Process. • Allow for tasks to be done in advance that are independent of orders. • When orders are placed, will eliminate the wait time for ordering and setting up hardware. • $5K/week cost to keep 12 server in datacenter. 3. BUILD a Workflow system in GSD • Reduce delay time in process. • Eliminate Project Management tasks performed by HTSU PM. • No incremental Hard Cost. SOLUTION #1: ‘5 SDEs a Week’ Details and Pilot Results. • Created a NEW ‘SHOULD BE’ Process Map. • Created a delivery schedule based on the teams’ SLA and concluded that 5 SDEs can be built in 10 business days. • Delivery teams agreed on this schedule. • Process was piloted with 4 SDEs and were delivered in a range of 12-15 days. • Pilot is considered a success within the project team.

7. Engineer – Generate Solution Ideas, Select Best Fit Solution, Test Solution and Confirm Results D M A E C SOLUTION #2: ‘On the Shelf Process’ Details and Pilot Results. SOLUTION #3: ‘Workflow system using GSD’ Details and Pilot Results. • As GSD (Global Service Desk) is a Group System tool and has no associated development cost it was decided to create a workflow system using the work order option. • The GSD workflow tool was piloted for two SDE Deliveries. • Feedback gathered from the project team indicated the tool was not user friendly, had many limitations and provided no value add. • GSD Development team informed us the changes we wanted were not achievable. • The Pilot was considered unsuccessful within the project team. • From the process mapping exercises it was concluded that a number of tasks can be performed without needing to know who the environment will be given to. It was therefore agreed to create a solution of having the servers ‘waiting on the shelf’ till a request comes in from a customer. • Agreed to have a pool of 16 Application and 8 Web servers ready to be used for a customer request. • At the start of every week 5 new servers are added to the ‘shelf’ as they are taken off. • Pilot considered successful within the project team. • BENEFITS SUMMARY Cycle Time • Work begins 3 days after order is agreed to. • Reduced delivery time by 9 weeks. Process Steps • Reduced to 35. Originally 81. Cost • Reduced resource cost by $5K • Reduced facilities cost by $4K • TOLLGATE • Held meeting with Champion to present results. • Updated Champion on 3 Solutions ideas and results of Pilot. • Asked for Solution #1 & #2 to be implemented. • Champion agreed with implementation of both solutions and asked us to look at other solution ideas for the workflow tool. • Approval to move to CONTROL phase granted. IMPLEMENTATION PLAN ACTIONS • Document new Delivery Process. • Role out new Process to Global Regions. • Create Measurements Control Plan. • Create Implementation Plan. • Get Benefit results certified by HBUS Finance. Granted

8. Control – Implement Solution, Monitor Process & Results, Replicate & Share Best Practices. D M A E C CONTROL STORYBOARD : Reducing SDE (Strategic Development Environment) Delivery Time SDE DELIVERY PERFORMANCE IMPROVEMENT RESULTS BUSINESS CASEImproving the time it takes to deliver an SDE environment provides an opportunity in delivering more environments and delivering environments on time. In addition, cycle time improvement will provide opportunities to strengthen our competitive position and reducing our cost associated with delivery. • RESULTS • Reduced delivery time to under 20 days, average is 11 days. • Reduced man hours for delivery. • Delivered at a minimum 20 SDEs a month. • Wait time from placing order to starting build is 2 days. • Streamlined Delivery process, value added tasks make up 41% of the process. • Standardized Kickoff process and template. Implementation of new Process in 3 Global Regions. Certified by HBUS Finance CONTROL PLAN ELEMENTS PROJECT BENEFITS • Standard Operating Procedure. • Process Maps and Request Template completed and up to date. • Central repository created in Lotus Notes. • Communication Plan • SDE Delivery Process Document completed. • Process Control Plan • Control Chart Monitoring Plan completed. • Cycle time reports and graphical analysis. • Based on weekly analysis corrective actions will be taken. • INSTITUTIONALIZATION • Learning and ownership transferred to Product Delivery SDE PM. • Wrap up celebration lunch/meeting held with Project Team and Champions. The results of project were communicated and coffee mugs saying ‘I solved the SDE Delivery Process using Six Sigma’ were handed out’. • Project methodology and results were presented at Champion’s offsite meeting and communicated up to the Sr. Director level. • PROCESS ISSUES, BARRIERS, THINGS TO WATCH: • Decentralizing delivery ownership to Regional ITOs. • Delay caused by DOTSEC Help. • Turnaround time by HTSU PE Team. • New staff to delivery process being trained on delivery.

9. Define Phase > Appendix Summary of Tools

10. Page #1 Define: Project Selection & Planning Matrix

11. Page #2 Define: Stakeholders Analysis

12. Page #3 Define: Project Charter Title: Reducing SDE Delivery Time. Prepared by: Satinder SadharChampion: Matt Henniges/Rob Mian Key Stakeholders: Matthew Henniges, Sally Howarth., Sairam Santharam, Pat Caufield, Jonathan Braithwaite, Sarah Carroll PROBLEM STATEMENT: BUSINESS CASE: HTSU organization is committed to delivering at the very least 120 SDE environments in 2006 for the 2G program, with an opportunity for the demand to increase over 120. Improving the time it takes to deliver an SDE environment provides an opportunity in delivering more environments and delivering environments on time. In addition, cycle time improvement will provide opportunities to strengthen our competitive position and reducing our cost associated with delivery. If the first and second goals are achieved there is a potential cost savings in $1100K. Presently in the HTSU organization the time it takes to deliver an SDE environment to the local IT entities ranges in elapsed time from 2 to 20 weeks with a total of 13 man days of effort. The environments are not always delivered accurately. The approximate delivery cost for SDE ranges from $9,659 to $17,621. GOAL STATEMENT: • Reduce delivery time to 4 weeks or less. • Reduce man hours required by 50%. • Eliminate delivery errors. • Improve customer satisfaction with our delivery PROBLEM MILESTONES: PROJECT SCOPE AND BACKGROUND: Feb 06 Champion approval of project charter Mar 06 Kickoff meeting Mar 06 Define Tollgate Mar 06 Measure Tollgate Apr 06 Analysis Tollgate Aug 06 Engineer Tollgate Nov 06 Control Tollgate Metrics: Primary: Cycle Time to deliver an SDE. Secondary: Defects in delivering an SDE. Scope: IN: Cycle time in delivering an SDE to local development teams. Team Selected: Black Belt Satinder Sadhar 100% Networking Eng. Matt Gannon 10% Firewall Eng. TBD 5% DBA Gulshan Grover 10% System Eng. John Paul P. & Vlad Seagal 15% Middleware Eng. Andrew Lopinto 15% Product Delivery Amar Barodekar 10% LDAP Eng. Alka Sharma team member 15% SDE Requestor Jonathan Braithwaite, Pat Caufield 15% Build Team Judy Yi 5% Deployment Team Vlad B. 5% Security Testing Sam Heinrich 5% IDS/Vulnerability Team John Roskopha 5% Monitoring Team Jeff Gandulla 5% Compliance Info Sec. Peter Duca 5% eBI Philip Manning 5%

13. Page #4 Define: Voice of Customer Plan

14. Page #5 Define: Affinity Diagram Delivery Time Quality Requirements It takes too long to get an SDE I am searching for the details to do my job SDE always delivered with defects I need an SDE in a few weeks The requirements are not complete Deployment never works I can’t start my work till someone communicates what was done. I can not plan 2 months in advance for what I need. I don’t know what was the SDE has.

15. Page #6 Define: Translating VOC to CTQs

16. Define Projects Gen 3: Desired State Implement System Gen 2:Interim State • GEN 2 Capabilities plus • Automated Tool • Limitation of human intervention DMAEC Project Generation Gen 1:As is State • GEN 1 Capabilities plus • Improved cycle times • Reduced defects RIP Project • Manual workflow • Many handoffs • Environments created w/ defects Time Page #7 Define: Multi Generation Plan

17. Page #8 Define: Block Diagram and SIPOC • Entity PMs • Regional ITO PMs • ITDMs • Network Engineering • Global Dev Teams • Hardware Vendor • Amhurst Datacenter • HCOI Info Sec • HTSU eBiz Engineers • Requirements • Budget Approval • Procedures - Delivery • Change Orders • IT Resources • Order Book • SDE - Synched - Non-synched - eCare • Documentation • Entity PMs • Regional ITO PMs • ITDMs • Global Dev Teams • 2G Management Teams START END Get Order Obtain Equipment Build SDE Deliver SDE

18. Measure Phase > Appendix Summary of Tools

19. Page #9 Measure: AS IS Process Map The Original Process Map can be viewed in detail on the HBUS Six Sigma Project Site. Under the project name : HTSU – SDE Delivery Improvement.

20. Page #10 Measure: Process Analysis

21. Page #11 Measure: Process Analysis (cont.)

22. Page #12 Measure: Process Analysis (cont.)

23. Page #13 Measure: Process Analysis (cont.)

24. Page #14 Measure: Activity Based Costing

25. Page #15 Measure: Activity Based Costing (cont.)

26. Page #16 Measure: Data Collection Plan

27. Page #17 Measure: XY Matrix

28. Page #18 Measure: XY Matrix (cont.)

29. Analyse Phase > Appendix Summary of Tools

30. Page #19 Analyse: Cause and Effect Diagram

31. Page #20 Analyse: Quick Hit The Request Template is located on the HBUS Six Sigma website under the project name HTSU SDE Delivery Improvement

32. Engineer Phase > Appendix Summary of Tools

33. Page #21 Engineer: Improvement Solution Matrix Improvement Solution Matrix

34. Page #22 Engineer: ‘On the Shelf’ Process Map The Visio file is located on the HBUS Six Sigma site under the project HTSU SDE Delivery.

35. Page #23 Engineer: ‘New’ Process Map The Visio file is located on the HBUS Six Sigma site under the project HTSU SDE Delivery.

36. Page #24 Engineer: ‘New’ Process Map (cont.)

37. Control Phase > Appendix Summary of Tools

38. Page #25 Control: Benefits Certification

39. Page #26 Control: Benefits Certification (cont.)