leveraging six sigma for it process excellence

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Leveraging Six Sigma forIT Process Excellence

WCBF 3rd

Annual Global Lean, Six Sigma and Business Improvement SummitOctober 16, 2008

Leveraging Six Sigma forIT Process Excellence

WCBF 3rd

Annual Global Lean, Six Sigma and Business Improvement SummitOctober 16, 2008

Jacob GranekManaging Director –

Information Services

Habs MoyDirector, MBB –

Business Reengineering & Quality




Business Reengineering & Quality

Presenter�

Presentation Notes�

Jacob Some icebreaker, perhaps anecdote about exec GB, funny story that can be related to Six Sigma, etc.�

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DTCCDTCC

Largest post-trade financial services infrastructure organization in the world: Over 13 billion equity and bond transactions processed in 2007

“Cradle-to-Grave” management of securities: Over $40 trillion of securities on deposit

Primary business focus on clearance, settlement and asset servicing for equity and fixed income securities: Over $1.86 quadrillion in securities settled in 2007

Industry owned

Largest post-trade financial services infrastructure organization in the world: Over 13 billion equity and bond transactions processed in 2007

“Cradle-to-Grave” management of securities: Over $40 trillion of securities on deposit

Primary business focus on clearance, settlement and asset servicing for equity and fixed income securities: Over $1.86 quadrillion in securities settled in 2007

Industry owned

Presenter�


JACOB Let me share with you a little bit of background about DTCC DTCC is industry owned by our participants Largest Financial Service infrastructure in the world today – and hopefully tomorrow as well DTCC is focused on clearance, settlement, and asset servicing of equities and debt instruments 13 billion transactions processed last year $40 trillion in assets on deposit $1.86 quadrillion in securities settled last year – that’s a number with 5 commas in it AND that is 34 times the global GDP I’ll now turn your attention to Habs who will discuss the history of “quality initiatives” at DTCC�

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Business Transformation at DTCCBusiness Transformation at DTCC

•

Catalyst for Change

•

Support DTCC Growth and Strategy

2010

2001

’02 to ‘06

2007

2000

The 100-Day

Plan

Launch of

Six Sigma

Program

Expansion

Program

Acceleration

1980’s

Quality Circles

Employee Participation Program

1990’s

Continuous Improvement Program

Cost of Non Conformance

Work Process Improvement

1980’s

Quality Circles

Employee Participation Program

1990’s

Continuous Improvement Program

Cost of Non Conformance

Work Process Improvement Early 2000’s

Launched Six Sigma

Quality Council

Central Quality Office

Balanced Business Scorecard

CMMI and ITIL

Early 2000’s

Launched Six Sigma

Quality Council

Central Quality Office

Balanced Business Scorecard

CMMI and ITIL

Presenter�


Habs�

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Engagement at DTCCEngagement at DTCC

97 GB, 88 YB (Lean), 10 BB, 4 MBB out of ~2700 employees

8 rounds of GB training

Online and instructor-led training

Over 300 projects completed since inception

800+ employees engaged

97 GB, 88 YB (Lean), 10 BB, 4 MBB out of ~2700 employees

8 rounds of GB training

Online and instructor-led training

Over 300 projects completed since inception

800+ employees engaged

Targeted training classes

Enhanced coaching skills

Project pipeline

Kaizen Events

Quality Day

Chairman’s Award for Quality

Targeted training classes

Enhanced coaching skills

Project pipeline

Kaizen Events

Quality Day

Chairman’s Award for Quality

Engaging the “Base”Engaging the “Base”

Presenter�


Habs �

5

Engagement at DTCCEngagement at DTCCEngaging the “Middle”Engaging the “Middle”

Identify Project Champions

Expand Process Excellence

Identify Project Champions

Expand Process Excellence

Establish a Quality Forum – VP/Director

Require Business Process Management Training

Launch Quality Champion of the Year Award

Draw by example via Executive GB Training

Establish a Quality Forum – VP/Director

Require Business Process Management Training

Launch Quality Champion of the Year Award

Draw by example via Executive GB Training

Presenter�


Habs Executive GB setting the tone for the middle�

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IT at DTCC A Culture Of Metrics and a Role Model for the Enterprise Scorecard IT at DTCC A Culture Of Metrics and a Role Model for the Enterprise Scorecard

Presenter�


Habs Introduce IT as one of many departments that has been engaged with Six Sigma.�

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IT at DTCCIT at DTCC

Application DevelopmentCMMI Certified

Application DevelopmentCMMI Certified

Six Sigma Adoption9 Green Belts

15 Yellow Belts / Lean1 Black Belt in progress

2 Executive Green Belts in progress

Six Sigma Adoption9 Green Belts

15 Yellow Belts / Lean1 Black Belt in progress

2 Executive Green Belts in progress

IT InfrastructureITIL / COBIT Enabled

IT InfrastructureITIL / COBIT Enabled

Presenter�


JACOB Explain in simple English what is CMMI? ITIL/COBIT? In September DTCC completed the assessment process for CMMI Level 3 Certification. CMMI = Capability Maturity Model Integration We are now addressing if and how we should pursue further certifications. DTCC began its ITIL rollout in late 2005. ITIL = Information Technology Infrastructure Library COBIT = Control Objectives for Information and related Technology We have in place today, Incident management, Problem management, Change management Pursuing Configuration Management as our next discipline Actual it is as a result of incident management that I became involved in Six Sigma Six Sigma Recite stats on GB and Lean 1 BB in training from ADM out of 5 firmwide (RS, KH, CB, WM, KF) 2 executive GBs out of 6 firmwide (JG, GK, CL, KH, AS, AB) from Ops, Finance and Customer Service One of the ways that IT has contributed to a culture of quality at DTCC was to pioneer the use of the balanced scorecard for IT governance.�

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Replicating Success for the EnterpriseReplicating Success for the Enterprise•

Pioneered use of Balanced Scorecard for IT Governance

•

Served as model for Enterprise Balanced Scorecard•

Pioneered use of Balanced Scorecard for IT Governance

•

Served as model for Enterprise Balanced Scorecard

Presenter�


JACOB Originally, Applications Development began utilization of a scorecard for key metrics that we felt were important for our success. Shortly thereafter, we incorporated infrastructure measurements as well and then we had our combined IT scorecard. This highly influenced the creation of the Enterprise Balanced Scorecard with a trial run 2004. The current version of the enterprise scorecard is shown here. As a result of our Continuous Improvement focus, it has evolved to become more inclusive of the firm at large. Recent metrics around Anti-Money Laundering, operational risk and diversity have been added, not just IT. As you can see, there are several IT related metrics that are tracked Average cost per IT FTE IT SLA Index (Production) – includes metrics around Application availability Common services availability Response time Milestone compliance IT Spend on New Product, Cost Reduction and Growth Initiatives Next, I’ll talk about Process Excellence Sigma Level and how metrics are created and tracked at a grass roots level, and IT metrics that have been created as a result of the Process Excellence rollout�

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The Big Picture IT Metrics in DTCC’s Process Excellence Initiative The Big Picture IT Metrics in DTCC’s Process Excellence Initiative

Presenter�


Jacob Skip to next page�

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Process Excellence Burning Platform at DTCCProcess Excellence Burning Platform at DTCC

A metrics-driven senior management team

An imperative to factually demonstrate commitment to Quality

A desire to maintain excellent customer satisfaction results at world class 90% overall satisfaction

A need for a rallying methodology to engrain Quality improvement tools across ALL DTCC functional areas

A metrics-driven senior management team

An imperative to factually demonstrate commitment to Quality

A desire to maintain excellent customer satisfaction results at world class 90% overall satisfaction

A need for a rallying methodology to engrain Quality improvement tools across ALL DTCC functional areas

Presenter�


JACOB I know what you’re all asking yourself, Why is Process Excellence an integral part of the way DTCC does business ? I let Habs tackle that one, but let me just say a couple of things up front. First and foremost, our senior management is metrics driven and goal oriented. As you have seen, we use the Balanced Scorecard to manage the business. Process Excellence is for us a bottoms up approach to establishing measurement systems from which we can continuously improve. We continue to strive to exceed customer expectations. We’re extremely proud to have achieved > 90% “world class” customer satisfaction for 3 years running And we want to continue to raise the bar. Because processes are by there very nature interdependent, it is critical that Process Excellence be engrained across the firm. As Habs will explain, we’ve taken a phased approach to rolling this out across the firm�

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Process Excellence Rollout in 2007Process Excellence Rollout in 2007

Launched in January 2007Corporate goal to engage 8 business partnersProcess teams consisted of process champion, process owner, process managers and data providers

ResultsSurpassed corporate goal with rollouts in 15 areasBaseline metrics developed and targets set for 2008

Building on SuccessProcess Excellence Sigma Level Index becomes part of 2008 Balanced Scorecard2008 corporate goal to engage an additional 8 business partners

Launched in January 2007Corporate goal to engage 8 business partnersProcess teams consisted of process champion, process owner, process managers and data providers

ResultsSurpassed corporate goal with rollouts in 15 areasBaseline metrics developed and targets set for 2008

Building on SuccessProcess Excellence Sigma Level Index becomes part of 2008 Balanced Scorecard2008 corporate goal to engage an additional 8 business partners

Presenter�


Habs And across the firm is where we’ve taken it.�

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Process Excellence RoadmapProcess Excellence Roadmap

ID Core Process

Map and/or SIPOC

ID Metrics

ID Process Specifications Start to

Track Metrics

Baseline& Control Charts ID Improvement

Targets

ID Pipeline of Improvement Projects

ID Process Team ID Project

TeamsLaunch Improvement Projects

Track Progressvs. Targets

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

1. Setting the Stage

1. Setting the Stage

2. Understanding the Issues

2. Understanding the Issues

3. Executing3. Executing

Curriculum:• E-Learning for Metrics• Process Control & Mgt• Lean

Line-UpProcess TeamMembers forTraining

Presenter�


Habs JIT training available Originally rolled out in Operations Recently published sigma level metrics associated with our supply chain Visit our website Instructional video available�

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IT Process Excellence MetricsIT Process Excellence Metrics

Effectiveness of Quality Assurance and non-Quality Assurance tested software releases

Accuracy of service requests handled by Network Engineering

Timeliness of completing desktop computing service delivery requests

Timeliness of access removal for terminated employees

Timeliness of consultant on-boarding

Effectiveness of Quality Assurance and non-Quality Assurance tested software releases

Accuracy of service requests handled by Network Engineering

Timeliness of completing desktop computing service delivery requests

Timeliness of access removal for terminated employees

Timeliness of consultant on-boarding

Presenter�


JACOB Here’s a smattering of IT Process Excellence metrics that are currently tracked. You can see these metrics run the gamut from testing, service delivery, information security and consultant onboarding�

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Pipeline for SuccessPipeline for Success

Project Pipeline

Process Improvement

Projects

Project Pipeline

Process Improvement

Projects

Sample ReportingProcess

Excellence Sigma Level

Index

Process Excellence

Sigma Level Index

Presenter�


JACOB Here’s a sample of typical reporting for one of these process excellence metrics. On the right, you can see the defect rates for a particular process. Monthly targets have been set for this metric and monthly status reporting indicates red, yellow or green relative to meeting the target. On the left are the sigma levels associated with the defect rates. Process Excellence metrics such as this are in turn aggregated into the Process Excellence Sigma Level Index which is an element of DTCC Balanced Scorecard that you saw a few slides earlier. We have targets to meet and actively monitor progress and improvement activities for each of these metric components. Process Excellence lays the groundwork for a fertile project pipeline and is the basis for continuous improvement. So Process Excellence is an example of an across the firm approach to quality. Next, Habs will talk to you about part of the top-down approach with our executive Green Belt program.�

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View from the Top Two IT Executive Green Belt Projects View from the Top Two IT Executive Green Belt Projects

Presenter�


Habs Top down = lead by example �

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DTCC Executive Green Belt ProgramDTCC Executive Green Belt ProgramWhat is it?

•

Designed for Executive Leadership

•

8 sessions delivered over 16 weeks

•

Crystallized summary of GB staff training

•

Stresses key concepts versus completing deliverables

•

NOT a free ride for execs

What is it?

•

Designed for Executive Leadership

•

8 sessions delivered over 16 weeks

•

Crystallized summary of GB staff training

•

Stresses key concepts versus completing deliverables

•

NOT a free ride for execs

Benefits

•

Sets the tone from the top

•

Creates obvious executive sponsorship

•

Supports company’s commitment to Quality with our external customers

•

Feeds the project pipeline

•

Provides exposure to assigned Six Sigma coaches

•

Spreads energy across the company

•

Sends a strong message: “If an executive can make time for this, so should everyone else”

Benefits

•

Sets the tone from the top

•

Creates obvious executive sponsorship

•

Supports company’s commitment to Quality with our external customers

•

Feeds the project pipeline

•

Provides exposure to assigned Six Sigma coaches

•

Spreads energy across the company

•

Sends a strong message: “If an executive can make time for this, so should everyone else”

Presenter�


Habs �

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Roles and ResponsibilitiesRoles and ResponsibilitiesRole and Responsibility Executive

Candidate Project Leader Coach

Identify and select appropriate project √ √Commit to coaching and review sessions √ √Demonstrate competency around why data, tools and analyses are critical to project success √ √

Gain proficiency in knowing what questions to ask as a future project sponsor √

Provide one on one coaching to executive on tool usage and project deliverables √

Complete project deliverables per executive direction √

Understand relevance and process to complete project deliverables √ √

Review project deliverables to ensure correct tool usage and understanding √

Participate in public relations campaign for quality and reengineering to share project success stories √ √ √

Actively sponsor local and cross-functional projects √

BEF

OR

ED

UR

ING

AFT

ER

Presenter�


Habs �

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IT Notification & Alerts Re-engineeringIT Notification & Alerts Re-engineering

Project ScopeImprove systems monitoring infrastructure and customer support functions to enable interactive and rapid response to system and network alerts and high priority incident assignments

ImprovementsRetire legacy notification systems and migrate to a centralized messaging hubProvide a basis for improving customer support processes and service delivery response time with metrics trackingEliminate manual updates to user and paging groupsImprove accuracy of notification acknowledgements

Project ScopeImprove systems monitoring infrastructure and customer support functions to enable interactive and rapid response to system and network alerts and high priority incident assignments

ImprovementsRetire legacy notification systems and migrate to a centralized messaging hubProvide a basis for improving customer support processes and service delivery response time with metrics trackingEliminate manual updates to user and paging groupsImprove accuracy of notification acknowledgements

Executive Green Belt ProjectExecutive Green Belt Project

Standard SIPOC

Updated: 05-01-2008 E. McDonald

Supplier Input Process Output Customer

Systems Monitoring Infrastructure ITO Monitoring System Alert Events ITO System Monitoring Automated Facilities

System Event Notification and Alerting through a Central Notification Solution. Paging verification and Acknowledgement logs.

All IT System Owners and Technology StaffAccountable Product Manager

Network Monitoring Infrastructure NetCool Monitoring System - Network Alert Events

INetCool Monitoring Automated Facilities

Network Event Notification and Alerting through a Central Notification Solution. Paging verification and Acknowledgement logs.

Network Communications Technology Staff and Department Management

Service Desk Functions, Tier 1 & 2 Support Functions

Service Center Incident Ticket Created by Service Desk or Technical Support Functions.Reassignment of Problem Management Tickets

ITIL Incident Management Process Alarmpoint Notifications with Service Center Ticket that requires Acknowledgement.Escalation Notification upon Acknowledgement Failure.

Technology Support Functions, Infrastructure Management, Product Management & CSG Staff, Management and Stakeholders

Jacob Granek – Six Sigma Executive Green Belt Project

Project: Notification & Alert Services Improvement Project

Depository Trust &Clearing Corporation M C I A D

VOC

SIPOC

Cause & Effect

Failure to ReceiveSystem

Notification or Alert

(1) Alarmpoint Integration with PagingVendors Fail.

(2) Alarmpoint Integration FailureITO, Netcool Email Infrastructure

(5) Alarmpoint AdministrationError

(7) Data SynchronizationFailure

(3) Alarmpoint Network Configuration DMZ to Campus and Inter-site Connectivity

Service Delivery Causal Factors

Operations Causal Factors

(1a) Verizoninterconnect

(1b) AT&Tinterconnect

(1c) T-Mobileinterconnect

(1d) Skytelinterconnect

(2b) NetcoolIntegrator Fail

(3d) ADC / RDC Netcool DMZ Interconnectivity Problems

(2c) ITOIntegrator Fail

(3f) Core Alarmpoint DMZInterconnectivity Problemsw/ Notification Servers

(6) Phase 1: End UserNotification / Alert Send Error

(7a) Data Extract from SISInaccurate or Late

(7b) Device Data from Asset CenterInaccurate or Late

(5a) Network StaffUnable to AdminAlarmpoint

(5b) CSC StaffUnable to AdminAlarmpoint

(3e) RDC ITO DMZ Interconnectivity Problems

(5c) OTS Staff Unableto Admin Alarmpoint

(6a) NEO Staff Unable toSend Page to TargetEnd-point

(6b) CSC Staff Unable toSend Page to TargetEnd-point

(6c) OTS Staff Unable toSend Page to TestTarget End-points

(7c) Email Address & PagerNumber Information fromLotus Notes Inaccurate or Late

(7d) Dataset Changes unableto be Normalized Dynamically

(4) Systems AvailabilityBCP

(4b) Single Database SolutionReplication & Restore

Required

(4c) Application High-availability across sites

(4d) Core AlarmpointDMZ InterconnectivityProblems

(2a) Lotus NotesSMTP / IMAP Fail

(3c) ADC / RDC Netcool Campus Interconnectivity Problems

(3b) ADC / RDC ITO Campus Interconnectivity Problems

(3a) Core Alarmpoint Campus Interconnectivity Problems

(8) Metrics & Reporting

(4a) Inter-node NotificationServer High-availability Failure

(8a) Data schemais not accessible toperform reporting

(8b) Report Distribution Inoperable

(8c) Baseline data unavailable to establishoptimal performance targets withoutsignificant experimentation & analysis.

(8d) Tool reporting capabilities insufficientto identify notification Failures

DTCC Confidential

Depository Trust &Clearing Corporation

Voice of the Customer Jacob Granek – Six Sigma Executive Green Belt Project

Project : Notification & Alert Services Improvement Project Project Goal Statement: Improve the quality and effectiveness of DTCC’s Technology support functions by implementing an Enterprise notification and alerts solution that integrates with existing system monitoring and support tools and aligns with the ITIL processes by end of Q1 2008.

Project Scope: Phase 1 - Implement a centralized notification and alerts solution that integrates with DTCC’s system monitoring infrastructure and provides interactive communications with customer support tools for acknowledgement of Incident assignments.

Voice of the Customer - VOC Critical to Quality - CTQ Requestor:

Fill the gap in the ITIL Incident Management Process, where high-priority incident assignment notifications are not acknowledged and recorded in a timely fashion.

Improve incident response by requiring acknowledgement of high-priority incident notifications.

CTO

The Incident Management process does not currently generate Notification acknowledgement metrics that indicate staff response time to high-priority Incidents.

Enable continuous Incident Management process improvement through the creation of Notification acknowledgement metrics.

CTO

Eliminate the waste of maintaining an antiquated Notification system that requires manual administration of end-user and paging groups.

Improve the quality and accuracy of Notification & Alert services by eliminating manual administration of end-user and paging groups within text scripts.

Operations Technical Support Core Network Services

Improve end-user satisfaction by providing a means for users to verify receipt of Notifications or Alerts. This is currently a lengthy manual process that can only be performed by Operations staff.

Improve the quality of Notification & Alert services by providing end-users with the ability to validate the receipt or view the status of notification events through a web based user interface.

Operations Technical Support Core Network Services

M C I A D

Presenter�


JACOB Let’s talk a bit about a specific project in which we utilized these principals. At one point in time, we had multiple systems and processes to alert individuals or groups of individuals. Our goal was to limit the number of processes or systems utilized, to expand end to end coverage, and to enable interactive responses to notifications. This was all accessed in response to a Voice of the Customer. SIPOC – Supplier Input Process Output Customer, was especially helpful with capturing inputs and outputs from the various legacy systems. Shown here is the high level SIPOC, but trust me that the detailed SIPOC was comprehensive Cause & Effect. Given the complexity of the system implementation and various feeder applications, it was key to proactively assess potentially causes of notifications and alerts not being sent in a timely or accurate manner, and account for this in the system design and configuration. Although it’s not illustrated on this slide, the Failure Mode and Effects Analysis (FMEA) was another key design tool that was used to ensure we accounted for conditions that could compromise the proper functioning of the system�

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Software Change Management ComplianceSoftware Change Management Compliance

•

Project Scope•

Analyze and recommend updates to SCM Compliance Metric (for IT Scorecard) collection and reporting process

•

Improvements•

All migrations will have an associated Risk profile which will help determine:

•

Number of lead days to notify SCM•

Levels of approval needed•

There will be 2 risk evaluation points in the project lifecycle

•

Pre-Build•

Pre-Production•

Selected solution will be incorporated in CMMI-based Application Development Process Architecture Model and ITIL-based Infrastructure processes

•

Project Scope•

Analyze and recommend updates to SCM Compliance Metric (for IT Scorecard) collection and reporting process

•

Improvements•

All migrations will have an associated Risk profile which will help determine:•

Number of lead days to notify SCM•

Levels of approval needed•

There will be 2 risk evaluation points in the project lifecycle•

Pre-Build•

Pre-Production•

Selected solution will be incorporated in CMMI-based Application Development Process Architecture Model and ITIL-based Infrastructure processes

Using Six Sigma to leverage ITIL to enable CMMI

ITILCMMI

SixSigma

Executive Green Belt ProjectExecutive Green Belt Project

Presenter�


JACOB One of my colleagues in Application Development also is working on her executive Green Belt in the area of software change management. Under normal circumstance, software is tested prior to being promoted into the production environment in a scheduled migration cycle. However, there are special events like system outages and unplanned cuts that cannot wait for the normal migration cycle because of their urgency. But urgency should not preclude good software practice. From our IT Scorecard, we found that compliance to our software change management process was not as good as we expected, due in part to these special events. So, as a result of this project, all software migrations are subject to a risk assessment. Depending on the risk profile, higher risk migrations will be subject to longer lead times to ensure adequate testing as well as higher levels of approval. The process is currently being piloted with 5 projects and we’re incorporating feedback and adjustments to the risk assessment process.�

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View from the Trenches Kaizen for IT View from the Trenches Kaizen for IT

Presenter�


JACOB So these are examples of large scale projects to improve the business. Training may be involved, project plans, project team, etc., etc. What about process improvements where you don’t have the luxury of 6-9 months time for a DMAIC (duh-MAY-ic) project? Is there a simple, yet quick and effective approach to less complex problems? DTCC has recently rolled out the Kaizen improvement methodology for concentrated, quick hit opportunities. Habs will explain more about Kaizen and I’ll follow up with a Kaizen event that was recently conducted in IT.�

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Be Customer CentricBe Customer Centric

95% 95% NonNon--Value Value

AddedAdded

5% 5% Value Value AddedAdded

Increase Value Added Activities Increase Value Increase Value

Added ActivitiesAdded Activities

0

10

2 0

3 0

4 0

50

6 0

1st Qt r 2 ndQt r

3 rdQt r

4 t h Qt r

Contribute to Continuous

Improvement

Contribute to Contribute to Continuous Continuous

ImprovementImprovement

Reduce Cycle timeReduce Cycle timeReduce Cycle time

改善 or KaizenJapanese, Verb, [Ky-zin],

“to make better”

改善 or KaizenJapanese, Verb, [Ky-zin],

“to make better”

Improve Customer Satisfaction

Improve Customer Improve Customer SatisfactionSatisfaction

Defect Levels

A hands-on series of activities that follow a ten step process, allowing a team of people to make rapid, action-oriented improvements across the enterprise

Events run from 1 to 5 days, implementing small incremental changes

that add up to big improvements. Usually low-cost / no-cost solutions that

can be implemented every day. Becomes a philosophical shift in doing

work, constantly looking for a better way

SalesSales

HRHR

QualityQuality

OperationsOperations

AccountingAccounting

TechnologyTechnology

CustomerCustomer

Presenter�


Habs �

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How do I identify a Kaizen opportunity?Does a process seem too complicated?Does it feel like there is a straightforward solution?Do you see non-value add (waste) activities in a process?Are multiple departments involved?Is a rapid implementation or fix needed?

How do I identify a Kaizen opportunity?Does a process seem too complicated?Does it feel like there is a straightforward solution?Do you see non-value add (waste) activities in a process?Are multiple departments involved?Is a rapid implementation or fix needed?

How do I prepare for a Kaizen?Identify all of the data available for the topic

Identify the problem statement “something causes something resulting in something”

Identify the perfect condition

How do I prepare for a Kaizen?Identify all of the data available for the topic

Identify the problem statement “something causes something resulting in something”

Identify the perfect condition

Who is involved in a Kaizen?

Subject matter experts Seasoned facilitator

“Process Neutral” contributors Empowered personnel

Who is involved in a Kaizen?

Subject matter experts Seasoned facilitator

“Process Neutral” contributors Empowered personnel

What Happens in a Kaizen?1. Define the problem2. Document the current situation3. Visualize the ideal situation4. Define measurement targets5. Brainstorm solutions to the problem6. Develop Kaizen plan7. Implement plan8. Measure, record and compare results to targets9. Prepare summary documents10.Create short term action plan, on-going standards

and sustaining plan

What Happens in a Kaizen?1. Define the problem2. Document the current situation3. Visualize the ideal situation4. Define measurement targets5. Brainstorm solutions to the problem6. Develop Kaizen plan7. Implement plan8. Measure, record and compare results to targets9. Prepare summary documents10.Create short term action plan, on-going standards

and sustaining plan

ACTACT

DODO

PLANPLAN

CHECKCHECK

If YES

a. You have identified an opportunity for a Kaizen event

b. You can contact Business Reengineering & Quality for recommended next steps

a. You have identified an opportunity for a Kaizen event

b. You can contact Business Reengineering & Quality for recommended next steps

Presenter�


Habs �

23

Kaizen at DTCCKaizen at DTCC

Launched in 2007

Completed 10 Kaizen events across 20 departments

Operations (various units)

Finance / Purchasing / Accounts Payable / Receivable

Procurement / Corporate Services

Distributed Services / Application Development / IT

HR / Training / Security

Product Management

Launched in 2007

Completed 10 Kaizen events across 20 departments

Operations (various units)

Finance / Purchasing / Accounts Payable / Receivable

Procurement / Corporate Services

Distributed Services / Application Development / IT

HR / Training / Security

Product Management

Presenter�


Habs �

24

•

Interdependency based User Guide •

Enterprise accountability for requests•

Acknowledgement of limited resources with realistic timelines•

Straight through communication between groups•

Enabler request prioritization•

Enterprise-wide portfolio management

Ideal Situation

IT Infrastructure Service Request KaizenIT Infrastructure Service Request Kaizen

•

Application Development service requests of IT Infrastructure do

not provide visible delivery expectations causing inefficiencies resulting in customer satisfaction issues.

Problem Statement

Limited ownership of requestsLack of request prioritizationLack of Service Level Agreements, Escalation, Key Performance IndicatorsLack of request visibilityCommunication gap between groups Cost of Poor Quality – cycle time, determining status, searching for requests

Waste Identification

Kaizen Implementation Results•

Established report structure and content

Sustaining Activities• Actively monitor Key Performance Indicators

Actual Storyboard

Actual Storyboard

Presenter�


JACOB Our IT Infrastructure group supports requests from across the entire organization and had suffered from a lack of visibility to requests by request submitters, i.e. what is the status of my request, when will it get done, etc. In addition, IT groups that were fulfilling these requests had no visibility to the incoming requests and as a result, were unable to effectively staff or prioritize the pending requests. As a result of this Kaizen event and applying lean principles, the team designed and implemented a report listing all IT requests by 14 categories like : requestor, project name, project number submission date, etc. The real beauty was not so much in the generation of a simple solution such as a tracking report, but in the ability of the various groups to gather with our internal Kaizen Sensei, and constructively and cooperatively determine the content of the report, ownership of the creation and ownership of any out of control metric or KPI. The benefit to the rest of the firm was to reduce time spent chasing after the status of requests, compared to the 12 hours of Kaizen time that it took to solve the issue. This is a great example of how kaizen helped us overcome a process issue in a short period of time.�

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Training & AwarenessBalanced ScorecardProcess Excellence

Training & AwarenessBalanced ScorecardProcess Excellence

Tying It All TogetherTying It All Together

A Culture of QualityA Culture of Quality

Executive GBExecutive GB

Kaizen

Presenter�


Jacob �

26

Contact InformationContact Information



[email protected]


Business Reengineering & [email protected]

212.855.5362

Corporate Website: www.dtcc.com



[email protected]


Business Reengineering & [email protected]

212.855.5362

Corporate Website: www.dtcc.com

Presenter�


Jacob �

leveraging six sigma for it process excellence

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