Leveraging Quality ProcessesIn Technology Businesses

Satyendra KumarPadmanabha Rao

InfosysExcellence

Initiative2000

2001 - 9947 employees

Excellence @ Infosys

1999 - 4000 employeesCMM Level 5 in 1999

5

1997 - 2500 EmployeesCMM Level 4 in 1997

1993 - 1000 EmployeesISO 9001 Certification

Infosys Excellence Initiative

Core Processes

Leveraging CMM Level 5

Management Processes

Baldrige Framework

Business Processes

Six Sigma CFPM

Industry Average Level 4 Companies

Industry AverageLevel 5 Companies

Infosys0

0.5

1

1.5

2

2.5

Nov-97

Mar-98

Jul-98

Oct-98

Jul-99

Sep-99

May-00

Jan-01

Def

ects

/ P

erso

n H

our Industry Average

Level 4 Companies

Industry AverageLevel 5 Companies

Infosys

Defect Prevention

Identify CommonDefect Types

Identify CommonDefect Types

PrioritizePrioritize

Find SolutionsAnd Pilot

Find SolutionsAnd Pilot

ImplementMonitor Results

ImplementMonitor Results

Project LevelOrganization Wide

Reduction in Defect Injection

Reduction in Delivered Defects0.00

0.05

0.10

0.15

Nov-97

Mar-98

Jul-98

Oct-98

Jul-99

Sep-99

May-00

Jan-01D

eliv

ered

def

ects

/ fu

nctio

n po

ints

Caper Jones 2000Level 5 Benchmark

Caper Jones 2000Level 4 Benchmark

Process Change Management

PL Suggestions11

33

44

55

66

MonitorProgressPrioritize

22

Form Team

Pilot

Enab

leDe

ploy

men

t

Deploy

Measure

Effectiveness

Improvements in Productivity

Value as Perceived by Customers1

2

3

4

5

6

7

Honouringcommitments

Deliveringthe promise

Partnering Value formoney

Servicingemerging

needsValue

Ratin

gs o

n 7

poin

t sca

le

Jul-99

Sep-99

Nov-99

Jan-00

Mar-00

May-00

Jul-00

Sep-00

Nov-00

Jan-01

Mar-01

May-01

Pro

duct

ivity

(FP

/p-m

onth

)

Caper Jones 2000 Productivity Benchmark

Jul-99

Sep-99

Nov-99

Jan-00

Mar-00

May-00

Jul-00

Sep-00

Nov-00

Jan-01

Mar-01

May-01

Pro

duct

ivity

(FP

/p-m

nth)

Caper Jones 2000 Productivity Benchmark

Delivery Response

Robust Deployment

Sustenance through Systems

Variable Cost Productivity

CMM & Six Sigma: Components of Delivery Excellence

Customer Value

ReduceProject

Cost

ReduceMaintenance

Cost

IncreaseProductivity

ReduceTime

To Market

ReduceLife cycle

Cost

StrengthenPartnership

IncreaseReliability

ReduceResponse

Time

IncreasePredictability

Robust Deployment: ROFO - A Unique Approach

Partnering process definitions

Leadership in process deployment

Driving process evolution

Senior Management Reviews

Deployment is the responsibility of Delivery

Quality Department Delivery Practice Units

Working Groups for Process Definition

SQA SEPGDeliveryExcellenceManagers

PSQA

80+9947

10+ 200+

25+

WG1 WG2 WG3 WG4 WG n

250

InternalAuditors

Process Council

800+

Integrated Project Management System

Transforming Intranet into a decision enabler

Project HealthVisibility

Hierarchical ViewsOn Line TrackingProject Budgeting

Life Cycle Improvement

ProposalManagement

ContractManagementResource

Management

ProjectManagement

DefectTracking

ProcessManagement

AuditManagement

Supporting Cost Leadership ….

Variable Cost Productivity

11007550250-25-50

Productivity 2000

3002001000-100

Productivity 2001

Productivity increases by 10 %

Effort

0 10 20 30 40 50 60 70 80

USL

Variable Cost 2000

16 36 64

USL

Variable Cost 2001

Variable costs decreases by 5 %

ReworkReviewTestingTraining

Reducing Total Cost of Ownership

100 -50 0 50

Mean schedule slip down to 3.7 % from 19.6%

403020100-10-20-30-40

Process DataUSL

20.0000Target

*LSL

10.0000Mean

19.6024Sample N

103St Dev (Overall)

35.5838

Observed Performance%<LSL

50.49%>USL

32.04%Total

82.52

LSL USL

Schedule Slip % CY 2000

Schedule Slip % CY 2001

LSL USL

Process DataUSL

20.0000Target

*LSL

10.0000Mean

3.7494Sample N

25St Dev (Overall)

13.1715

Observed Performance%<LSL

68.00%>USL

12.00%Total

80.00

-4 -1 0 1 4 9 14 25 36

806040200-20

Mean delivered defectsdown to 3.8 % from 8.8%

Process DataUSL 8.00000Target *LSL 0.00000Mean 8.84286Sample N 77St Dev (Overall) 11.3541

Observed Performance%<LSL 0.00%>USL 35.06%Total 35.06

Delivered defects % CY 2000

Sqrt of Delivered defects % CY 2001

Process DataUSL 3.00000Target *LSL 0.00000Mean 1.81403Sample N 15St Dev (Overall) 1.23112

Observed Performance%<LSL 0.00%>USL 20.00%Total 20.00

LSL USL

LSL USL

Business Process Excellence

SelectProcess

DefineAs-Is

DevelopShould-Be

DetailDesign

ImplementProcess

MonitorResults

Motorola Six Sigma CFPM Process

Order through Receipt Process»Revenue gain > $ 1 Million»15% Reduction in renewal time

Talent Deployment Process»96% Readiness In < 22 Days»70% internal customers > satisfied

Customer Relationship Process»Customer Management Skills»Relationship Management Process»Project Initiation Process

Management Process Excellence

Customer and Market Focused Strategy and Action PlansCustomer and Market Focused Strategy and Action Plans

ResultsTriad

LeadershipTriad

2StrategicPlanning

2StrategicPlanning

1Leadership

1Leadership

3Customer andMarket Focus

3Customer andMarket Focus

5Human Resource

Focus

5Human Resource

Focus

6Process

Management

6Process

Management

7BusinessResults

7BusinessResults

4Information And Analysis

4Information And Analysis

Guiding Evolution To World-Class Management Practices

Infosys Leadership System

Customer Value Measurement Support Quality System

Benchmarking - Jugalbandhi

IMC Ramakrishna Bajaj Award

0

250

500

750

1000

Ass

essm

ent S

core

Scores 450 525 750

MBNQA 1 MBNQA 2 IMC Award

IMC Ramakrishna Bajaj Award

0

250

500

750

1000

Ass

essm

ent S

core

Scores 450 525 750

MBNQA 1 MBNQA 2 IMC Award

IMC Ramakrishna Bajaj Award

0

250

500

750

1000

Ass

essm

ent S

core

Scores 450 525 750

MBNQA 1 MBNQA 2 IMC Award

Coming together to Deliver Customer Value

APAC CAPS CENA ES ESCP EURP SONA WENA

Satis

fact

ion

Ratin

g

Customer Satisfaction Internal Partner Satisfaction

Voice of the Customer

0%

20%

40%

60%

80%

100%

1996 1997 1998 1999 20000%

20%

40%

60%

80%

100%

1996 1997 1998 1999 2000

Customer More Than SatisfiedCustomer more than satisfied

Measures Of Customer Loyalty

0%

20%

40%

60%

80%

100%

Met Needs Recommend ConsiderBetter

Measures of customer loyalty

0%

20%

40%

60%

80%

100%

Met Needs Recommend ConsiderBetter

Quality Process Consulting

A value added service for key customers

To strengthen selected customer relationships

Based on actual implementation experience

A testimonial of customer confidence in Infosys quality

To Summarize

Core Processes

Leveraging CMM Level 5

Management Processes

Baldrige Framework

Business Processes

Six Sigma CFPM

Thank You