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It is the IT world
                               How to bring IT org closer to the business?




opitConsulting - Stephan Katz - proprietary & confidential     1
Opening
                                                            the big fix


             Identify what is that ONE change we need to make first

             How does that change makes Hello World more competitive?

             How do we apply that change?




                                                   “It is not enough to do your
                                                     best; you must KNOW
                                                   what to do, and THEN do
                                                        your best” -- Deming


opitConsulting - Stephan Katz - proprietary & confidential                2
Success stories
                                                    within the account applying TOC
                                                             Thinking Process

             300% increase in defect throughput in less than two weeks
                  From 15-17 a day to 47-50 a day
             Turnaround Hello World deployment process after one week
                  A source of constant complaints turned into a non-issue
             Increased projects throughput by 50% in three months




opitConsulting - Stephan Katz - proprietary & confidential        3
Some ground rules

             Avoid of "we know" to reach a breakthrough
                  There is always a myriad of possibilities awaiting for a grab
             Change is acceptable as long as it is a good change
                  How do we know that a change is a good change?
             Come up with simple practical solutions
                  Avoid fixing everything, everywhere and everybody at the same time




opitConsulting - Stephan Katz - proprietary & confidential   4
Strategy

         Hello World can outperform its                         Hello World strategic
                                                                                                The business becomes more
          rivals only if it can establish a                  positioning means a mesh of
                                                                                                prosperous as a result of IT
            DIFFERENCE that can be                          unique activities that cannot be
                    preserved                                  easily replicated by rivals     Operational Effectiveness (OE)




                                                                                                 Therefore, Hello World IT's
                                                            YES, it is delivery of projects.
                What is Hello World                                                             throughput is measured by IT
                                                             Every initiative turns into a
                 production floor?                                                              ability to deliver projects faster
                                                                        project
                                                                                               and better than its competition




                                                                                                                      Based on Michael E. Porter
opitConsulting - Stephan Katz - proprietary & confidential                   5
Core conflict cloud
                                                        IT Wants                             IT Need

                               Process Of OnGoing Improvement
                                            a stable set of project                   a clear work stream flow
                                              requirements and                         of work steps towards
                                               priorities per its                           final assembly
                                           organization capabilities




                                                 rformance
         Conflict
   Business wants IT to                                                                                         Common Objective
                                               Per

     deliver innovative                                                                                            Have an ever
 projects faster and better                                                                                     flourishing company
  while IT wants to retain
 sound operational stability



                                                                                           Time

                                         As time progresses performance is moving in one direction UP

                                            As time progresses performance
                                              Business Wants             Business Need
                                             is moving in one direction – market share
                                          dynamic IT that is able to
                                           turn quickly the latest    Increase
                                                                                UP!
                                                                      Beat the competition,

                                           concept while keeping                       through fast TTM and
                                         sound operational stability                           DDP
                                                                                                          ©




                                               Growth vs. Stability
opitConsulting - Stephan Katz - proprietary & confidential               6
Roadmap to breakthrough
                                         Addressing the Delivery Model
      The problem                      The Solution                            The Actions                    Desirable Effects                 ++ Side Effects
        Undesirable Effect                     Solution                               Action                           Desirable Effect          Desirable Side Effect
                                         Provide the ability to                  Lavishly assign top
      Customer Experience is                                                                                                                    Business is confident with
                                      produce initiative projects            resources: business and IT              Project are delivered
           below par                                                                                                                               IT ability to deliver
                                      faster and better projects                  during Concept                     between 5-7 months
                                                                                                                                                    initiative projects
                                         than the competition                      development
        Undesirable Effect                     Solution                               Action                           Desirable Effect          Desirable Side Effect
                                                                              IT provides professional
                                        Provide the ability to                                                        Clear and concise             Business better
          High degree of                                                      services to the Business
                                      effectively work multiple,                                                    Business Requirements         understands system
        requirements churn                                                        during Concept
                                        simultaneous projects                                                                (BR)                     capabilities
                                                                                   Development

        Undesirable Effect                     Solution                               Action                           Desirable Effect          Desirable Side Effect
      Quality goes down as a                                                                                                                    Downstream SDLC steps
                                                                              Zealously focus on the               Increase quality only from
      result of high WIP, bad          Use Critical Chain Project                                                                                  receive a full-kit to
                                                                             Critical Chain of tasks and             the mere fact that bad-
      multi-tasking and ever            Management (CCPM)                                                                                       effectively perform their
                                                                                      resources                      multi-tasking is avoided
       changing of priorities                                                                                                                              tasks

        Undesirable Effect                    Solution                                Action                           Desirable Effect
                                         Before jumping to
      Below par of Due-Date-         solutions too fast, use the               Reduce WIP and bad                    Higher percentage of
        Performance (DDP)                  Thinking Process                       multi-tasking                     Due-Date-Performance
                                      methodology and tools
        Undesirable Effect                     Solution                              PM focus                          Desirable Effect
       To protect "ourselves",                                               Apply 50/90 estimate rule
                                                                                                                      Focus on full project
      estimates given are vastly       Implement a process of               Monitor buffer penetration               completion rather than
      cushioned affecting TTM           on-going improvement
                                                                            Subordinate buffer resources           individual task completion


                                                                    DDP              Due-Date-Performance
                                                                     WIP                Work In Progress
                                                                    WITCE      What Is The Customer Experience
                                                                    CCPM        Critical Chain Project Managemet

opitConsulting - Stephan Katz - proprietary & confidential                                 7

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It is the IT world

  • 1. It is the IT world How to bring IT org closer to the business? opitConsulting - Stephan Katz - proprietary & confidential 1
  • 2. Opening the big fix Identify what is that ONE change we need to make first How does that change makes Hello World more competitive? How do we apply that change? “It is not enough to do your best; you must KNOW what to do, and THEN do your best” -- Deming opitConsulting - Stephan Katz - proprietary & confidential 2
  • 3. Success stories within the account applying TOC Thinking Process 300% increase in defect throughput in less than two weeks From 15-17 a day to 47-50 a day Turnaround Hello World deployment process after one week A source of constant complaints turned into a non-issue Increased projects throughput by 50% in three months opitConsulting - Stephan Katz - proprietary & confidential 3
  • 4. Some ground rules Avoid of "we know" to reach a breakthrough There is always a myriad of possibilities awaiting for a grab Change is acceptable as long as it is a good change How do we know that a change is a good change? Come up with simple practical solutions Avoid fixing everything, everywhere and everybody at the same time opitConsulting - Stephan Katz - proprietary & confidential 4
  • 5. Strategy Hello World can outperform its Hello World strategic The business becomes more rivals only if it can establish a positioning means a mesh of prosperous as a result of IT DIFFERENCE that can be unique activities that cannot be preserved easily replicated by rivals Operational Effectiveness (OE) Therefore, Hello World IT's YES, it is delivery of projects. What is Hello World throughput is measured by IT Every initiative turns into a production floor? ability to deliver projects faster project and better than its competition Based on Michael E. Porter opitConsulting - Stephan Katz - proprietary & confidential 5
  • 6. Core conflict cloud IT Wants IT Need Process Of OnGoing Improvement a stable set of project a clear work stream flow requirements and of work steps towards priorities per its final assembly organization capabilities rformance Conflict Business wants IT to Common Objective Per deliver innovative Have an ever projects faster and better flourishing company while IT wants to retain sound operational stability Time As time progresses performance is moving in one direction UP As time progresses performance Business Wants Business Need is moving in one direction – market share dynamic IT that is able to turn quickly the latest Increase UP! Beat the competition, concept while keeping through fast TTM and sound operational stability DDP © Growth vs. Stability opitConsulting - Stephan Katz - proprietary & confidential 6
  • 7. Roadmap to breakthrough Addressing the Delivery Model The problem The Solution The Actions Desirable Effects ++ Side Effects Undesirable Effect Solution Action Desirable Effect Desirable Side Effect Provide the ability to Lavishly assign top Customer Experience is Business is confident with produce initiative projects resources: business and IT Project are delivered below par IT ability to deliver faster and better projects during Concept between 5-7 months initiative projects than the competition development Undesirable Effect Solution Action Desirable Effect Desirable Side Effect IT provides professional Provide the ability to Clear and concise Business better High degree of services to the Business effectively work multiple, Business Requirements understands system requirements churn during Concept simultaneous projects (BR) capabilities Development Undesirable Effect Solution Action Desirable Effect Desirable Side Effect Quality goes down as a Downstream SDLC steps Zealously focus on the Increase quality only from result of high WIP, bad Use Critical Chain Project receive a full-kit to Critical Chain of tasks and the mere fact that bad- multi-tasking and ever Management (CCPM) effectively perform their resources multi-tasking is avoided changing of priorities tasks Undesirable Effect Solution Action Desirable Effect Before jumping to Below par of Due-Date- solutions too fast, use the Reduce WIP and bad Higher percentage of Performance (DDP) Thinking Process multi-tasking Due-Date-Performance methodology and tools Undesirable Effect Solution PM focus Desirable Effect To protect "ourselves", Apply 50/90 estimate rule Focus on full project estimates given are vastly Implement a process of Monitor buffer penetration completion rather than cushioned affecting TTM on-going improvement Subordinate buffer resources individual task completion DDP Due-Date-Performance WIP Work In Progress WITCE What Is The Customer Experience CCPM Critical Chain Project Managemet opitConsulting - Stephan Katz - proprietary & confidential 7