lowering tco: txu’s approach
DESCRIPTION
Lowering TCO: TXU’s Approach. Higher Productivity at Lower Cost. Vision. ... result in a world-class, managed computer environment which benefits TXU by lowering costs, improving service, and increasing corporate agility. TXU’s Approach. KEY GOALS & DRIVERS: Prepare for Deregulation by….. - PowerPoint PPT PresentationTRANSCRIPT
TXU Confidential & Proprietary
TXU Business Services
Lowering TCO:TXU’s Approach
Higher Productivity at Lower Cost
TXU Business ServicesTXU Confidential & Proprietary
... result in a world-class, managed computer environment which benefits TXU by lowering costs, improving service, and increasing corporate agility.
Vision
TXU Business ServicesTXU Confidential & Proprietary
TXU’s Approach
• KEY GOALS & DRIVERS:
• Prepare for Deregulation by…..
• Lowering Costs of Desktop Computing
• Improving Internal Service & Support
• Increasing Corporate Agility
TXU Business ServicesTXU Confidential & Proprietary
STRATEGY:
Implement Best Practices to…..• StandardizeStandardize the Environment
• Improve Asset ManagementAsset Management
• Improve ProcurementProcurement Practices
• Enhance Support StrategiesSupport Strategies
• Increase End-User ProductivityEnd-User Productivity
• Leverage Electronic Software DistributionElectronic Software Distribution
• Implement Server MonitoringServer Monitoring
• Improve Client SatisfactionClient Satisfaction
TXU’s Approach
TXU Business ServicesTXU Confidential & Proprietary
Reviewed practices of industry leaders….
Best Practices
TXU Business ServicesTXU Confidential & Proprietary
Unmanaged Environment
Standard Hardware
Standard Software
Managed Environment
Distributed Systems Systems ManagementManagement
STEP 1
STEP 3
STEP 2
STEP 4
Established Roadmap
TXU Business ServicesTXU Confidential & Proprietary
Standardize the Environment
Actions:
• Developed Business Unit Council to Set Standards
• Reviewed Software in Use in the Company
• Established Software Standards
• Developed Hardware Standards
• Managed Change and Frequency of Change to the Standards
• Implemented Desktop Software (Full Armor) Which Protects PC from Certain Configuration Changes
• Communicating the Standards throughout the Company
• Developing Corporate Standardization Policy
TXU Business ServicesTXU Confidential & Proprietary
Examples:
• Reduced software images from 17 to 5
• Developing Business Unit Software loads
• Migrating to a single operating system - Windows 2000
• Encouraged use by developing robust standards
Benefits:
• Reduces complexity, reducing support costs
• Stable, known environment increases success rate of software distributions
• Configurations/settings can only be changed by authorized personnel - Reducing change, eliminating work
• Increases compatibility, productivity
Standardize the Environment
TXU Business ServicesTXU Confidential & Proprietary
Improve Asset Management
Actions:
• Leverage EDI, e-Commerce for Billing and Reconciliation
• Provide End-Users View Access to Inventories
• Provide End-Users Update Capability for Certain Types of Changes (e.g. relocations and transfers)
• Shift Accountability for Maintenance of Records to End-User Organization (for certain types of changes)
• Install Automated Inventory Software on Desktops and Servers
TXU Business ServicesTXU Confidential & Proprietary
Improve Asset Management
Benefits:
• Records More Accurate
• Reduced Cost of Maintenance
• Billings More Accurate
• Appropriate Accountability
• Automated Inventory Scans
TXU Business ServicesTXU Confidential & Proprietary
Improve Procurement Practices
Actions:
• Leveraging a Single Vendor for PC’s
• Developing .Com Capability for End-Users to Order PC’s
• Developing Corporate Desktop Technology Procurement Policy
• Leveraging a Catalog of Standard Hardware/Software
• Applying an Asset Tag to Each PC as it is Manufactured
TXU Business ServicesTXU Confidential & Proprietary
Improve Procurement Practices
Benefits:
• Costs of PC’s Dropped Immediately with Single Vendor
• Technicians Only Need to Be Certified on One Vendor, i.e. Better support and lower costs
• Improved delivery times yield higher productivity
• End-users order standard equipment 95% of the time reducing cost of consulting
• Limited hardware/software will enter the environment without support groups’ knowledge, thus improving support
TXU Business ServicesTXU Confidential & Proprietary
Average PC Order-to-Delivery Time
Ticket Duration (avg. days)
41
19
0
10
20
30
40
50
Before After
# Days
TXU Business ServicesTXU Confidential & Proprietary
PC Lease Replacement
Estimated vs. Actual
0
1000
2000
3000
4000
5000
6000
2000 2001
Business Case Estimate (entire year) Actual (thru 6/30/01)
5297
34764000 4000
TXU Business ServicesTXU Confidential & Proprietary
PC Lease Replacement
Estimated $ Savings at $300/PC
0
0.5
1
1.5
2
2000 2001
$ (M
)
Business Case Estimate (entire year)Actual (thru 6/30/01)
1.2
1.6
1.21.0
TXU Business ServicesTXU Confidential & Proprietary
PC Orders
Industry Best Practice = < 10%
TXU Actual = < 5%
Requiring Custom Configuration
TXU Business ServicesTXU Confidential & Proprietary
Enhance Support StrategiesIncrease End-User Productivity
Actions:
• Increase Training of Help Desk (Support Center) Staff
• Develop Self-Help Capabilities for End-Users via Intranet and IVR
• Implement Remote Support Software (Timbuktu) on End-User Desktops and at Help Desk
• Implement Installation/Return Processes - Encouraging End-Users to Return Off-Lease Asset at Time of New Installation
• Discourage “Trickle Down” PC Re-deployments
TXU Business ServicesTXU Confidential & Proprietary
Enhance Support StrategiesIncrease End-User Productivity
Benefits:
• Increased First Call resolution at the Help Desk – Lowers total cost and provides faster service
• Fewer incidents require on-site support
• Provide help when needed to employee
• Better use of expertise, resources
• Lower costs to business unit for continued lease cost or maintenance of obsolete equipment
TXU Business ServicesTXU Confidential & Proprietary
Support Center Calls(monthly average)
0
2000
4000
6000
8000
10000
12000
14000
1st Qtr'00
2ndQtr '00
3rd Qtr'00
4th Qtr'00
1st Qtr'01
2ndQtr '01
Total Calls Answered Calls Problem Tickets (Desktop)
TXU Business ServicesTXU Confidential & Proprietary
User Support RequirementsActual
User to Support Center Call Time (minutes)
01234567
Time on Phone
Before After
4.9
6.1
TXU Business ServicesTXU Confidential & Proprietary
Problems Resolved at First Contact ( Tickets opened and assigned to IT Support Services)
0
10
20
30
40
50
60
70
Per
cent
age
57.7%
TXU Business ServicesTXU Confidential & Proprietary
Problems Resolved Using Timbuktu
1169812
58206
270517
468521
481593
670
0 200 400 600 800
May '00
Jul '00
Sep '00
Nov '00
Jan '01
Mar '01
May '01
TXU Business ServicesTXU Confidential & Proprietary
Ticket Duration for User Requests
37
21.7 20.2 20.7
27.1
19.3 21.116.5
9.25
05
10152025303540
After TCO Project (Avg. = 19 days)
Ave
rage
# D
ays
TXU Business ServicesTXU Confidential & Proprietary
Tickets Requiring On-Site Support:% Dispatched
05
101520253035404550
Per
cent
age
TXU Business ServicesTXU Confidential & Proprietary
Leverage Electronic Software Distribution
Actions:
• Installed Microsoft SMS on over 10,000 PC’s and NT servers
• Developed Intranet-based TXU Software Library - Enabling End-Users to Download, Tested/Certified, Standard Software to PC’s
TXU Business ServicesTXU Confidential & Proprietary
Leverage Electronic Software Distribution
Benefits:
• Faster - Delivery of new tools to employees within minutes of need
• Cheaper - Upgrade of mass corporate software over a weekend instead of months to deploy - avoided between $1M - $2M in costs since implemented in December 2000
• Encourages use of standard, certified software
• “Scripted”, consistent, repeatable installation supports standards, lowers cost
• Unattended software distribution reduces user involvement
TXU Business ServicesTXU Confidential & Proprietary
Software Deployment & Management Implementation
• User information is gathered from user input as well as extractions from existing, managed databases
• Scheduled, automated scans report inventory (hardware and software) on a regular basis
• Capability now exists to deploy software to a target base of users with or without their knowledge/interaction
• To-date 19 “scripted” application configurations reside in TSL database, available for distribution on demand, initiated by a simple “click of the mouse”
TXU Business ServicesTXU Confidential & Proprietary
Software Distributed Via SMS(17 Applications, 3/1/01-6/30/01)
Success Rates
0
2,000
4,000
6,000
Acr
ob
at
Atl
as
MD
AC
NT
SP
5
AM
FM
ER
M
IE 5
.01-
AM
FM
Win
98
Targeted Received Installed
TXU Business ServicesTXU Confidential & Proprietary
Software Distributed Via SMS(17 Applications, 3/1/01-6/30/01)
Success Rates - Percentage(Average 87%)
020406080
100A
cro
bat
DE
IS
NT
SP
5
SM
S
IE 5
.01-
AM
FM
Per
cen
tag
e
Installed
Received
TXU Business ServicesTXU Confidential & Proprietary
Software Distributed On-demand Via Software Library
Software Library Dowloads for two-week period (June 18 - June 30, 2001)
114
7,410
0
2000
4000
6000
8000
Number ofDownloads
$ Savings @$65 ea
TXU Business ServicesTXU Confidential & Proprietary
Implement Server Monitoring
Actions:
• Installed Tivoli Software on 850 Servers
• Implemented Monitoring Thresholds for Server Disk Space, Memory and other Critical Components
• Implemented an Enterprise Console for Monitoring of Alerts on Servers
• Integrated Console with other Monitored Systems, i.e.. Network
• Integrated Console Alerts with IT Work Management System to Create “Tickets” for Incidents and Page on Critical Alerts
TXU Business ServicesTXU Confidential & Proprietary
Implement Server Monitoring
Benefits:
• Proactive, preventative maintenance reduces unplanned outages, increasing application availability, increasing corporate revenue and lowering maintenance costs
• Enables one technician to support more servers. Ratio has increased from 1:14 to 1:22, lowering total costs of expensive resources
• Incidents can be correlated between network, servers, etc.
• Complete records of incidents
TXU Business ServicesTXU Confidential & Proprietary
Increase Client Satisfaction
Actions:
• Build Each Enhancement with Business Unit Council Partnership and Guidance
• Leverage Enhancements to Provide Better Service, Faster, at a Lower Cost and with Higher Availability
Benefits:
• Client Satisfaction actually increased during implementation of these changes
TXU Business ServicesTXU Confidential & Proprietary
Gartner Measurement of IT Customer Satisfaction (January, 2001)
• General Criteria - Overall score increased 0.11
• Largest score increases• Impact on Your Work - +0.21• Support Expertise - +0.17• Product Functionality - +0.14• Cost - +0.14
• Specific Criteria - Overall score increased 0.17
• Largest score increases• Client Support - +0.23• New Applications Development - +0.23• Desktop Computer HW/SW - +0.22• Intra/Internet - +0.18
• No score decreases!No score decreases!
TXU Confidential & Proprietary
TXU Business Services
Questions??
TXU Business ServicesTXU Confidential & Proprietary
End of Presentation
TXU Business ServicesTXU Confidential & Proprietary
Current StateY2K Inventory
Word Processors 10 vendors 56 versions
Spreadsheets 8 vendors 46 versions
Databases 19 vendors 73 versions
Presentation 10 vendors 30 versions
Browsers 14 vendors 70 versions
CAD 7 vendors 26 versions
Comm Packages 11 vendors 22 versions
Over 7,537 versions of “recognizable” software found !
TXU Business ServicesTXU Confidential & Proprietary
Current StateRoot Cause Statistics
Root CauseFor Month Ending October 31, 1999
464460
436
264
230223208
196184177
145
11297
83 7867 65
43 42 39 32 30 25 20 15 14 13 11 10 9 7 7 4 4 3 2 10
50
100
150
200
250
300
350
400
450
500
Nu
mb
er
of
TR
AC
's R
ep
ort
ed
TXU Business ServicesTXU Confidential & Proprietary
Root Cause - 1999
4342 4287
3667
2522 24702187
0
1000
2000
3000
4000
5000
SoftwareInstallation
SoftwareProblem
HardwareInstallation
ConfigurationProblem
HardwareFailure
NetworkConnectivity
• Network Connectivity
• Equipment Pickup
• Printer Problem
• Configuration Request
• NAV
• Operating System
• Moves
• User Error
• Printer Installation
• Worm Virus
• Y2K
• UserID / Password
• Driver
• Lack of Training
• Hard Drive Space
• Virus
• Data Backup / Transfer
• Information Request
• Server
• Image Load Issue
• Upgrade
• Netcensus
• Mainframe
• Maintenance
• Monitor
• Memory
• Migration
• Loaner
Primary Root Causes Identified During 1999