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What is PCMM?



 A presentation by QAI




     INDIA | USA | UK © QAI India Limited. All rights|reserved.
                      | CHINA | MALAYSIA
                                     SINGAPORE
What is PCMM?
The People-CMM
   A conceptual model -- from
    the Software Engineering
    Institute, USA -- based on
    state-of-art and state-of-
    practice workforce
    practices

   A maturity framework for
    continuously improving the
    management and
    development of human
    assets of an organization
        Talent and organization
         development
        Excellence at work!


   Version 1.0 released in 1995
   Version 2.0 released in 2001
    (from Bangalore!)
People-CMM Maturity
Framework
                                                      Level 5
                                                     Optimizing




                                             Level 4         Continuou
                                                                 s
                                           Predictable
                                                            Improveme
                                                                nt


                                 Level 3        Measured
                                 Defined           &
                                                Empowere
                                                    d
                                                Practices

                     Level 2         Competenc
                    Managed           y Based
                                      Practices



       Level 1            Basic HR
        Initial          Operationa
                         l Practices

  © Software Engineering Institute
Process Areas
Why Adopt People CMM®?


  •   Become ‘Employer of Choice’
      – cost of employee turnover
  •   Enhance business performance
  •   Manage:
      – intellectual assets
      – knowledge capital
  •   Measure HR’s contribution to the business
      – provides common measurement framework
      – allows benchmarking against best practices
Advantage: People-
             CMM
•   Improve the ability of Knowledge Intensive
    Organizations to Attract, Develop, Deploy, Motivate,
    Organize and Retain talent
•   Ensure alignment between the individuals’ and
    organization’s motivations
•   Develop workforce required to execute business
    strategy
•   Prioritize activities for improving workforce capability
•   Integrate operational process improvements with
    workforce process improvements

BPO / ITEs Specific
• Enhance employee and customer satisfactions levels
• Enhance talent management by optimum utilization of
  manpower through better skill mapping
• Retain and engage talent
• Provide motivation in a highly dynamic work
  environment
Some Results Reported
•   Boeing
     – 60% Increase in employee
       satisfaction
     – 33% drop in attrition

•   Ericsson
     – “Provided direction for
        improvements”

•   GDE Systems
     – “Aligned personal and organization’s
       goals”

•   Mastek
     – “Alignment with SW-CMM efforts”
     – “Helped in institutionalization”

•   Datamatics
     – “Stream-lined and mainstreamed HR
        activities”
Boeing - BRS Job Satisfaction
Extremely satisfied
   Highly satisfied
     Very satisfied
           satisfied
Not quite satisfied
             Neutral
 Not excited about
       Dissatisfied
  Very dissatisfied
Highly dissatisfied


                       1999 Mean = 8.9
                       1996 Mean = 5.7




    J. Vu (1999)
Novo Nordisk - Staffing

            Novo Nordisk IT Headcount
  25%                                           500
T
u 20%                                           400
r                                                   F
n 15%                                           300 T
o                                                   E
v 10%                                           200 s
e
r  5%                                           100

  0%                                            0




        1997         1998   1999     2000
                Program            Assessed
                initiated          at Level 2


                                     Resigned, excl. students
                                     Full Time Employees

  Thorhauge (2000)
Pro




              0.00
                        0.50
                                                1.00
                                                       1.50
                                                              2.00
                                                                          2.50
                                                                                 3.00
                                                                                        3.50
                                                                                                    4.00
                                                                                                           4.50
     je
 Pro ct 1
     je
 Pro ct 2
     je
 Pro ct 3
     je
 Pro ct 4
     je
 Pro ct 5
     je
 Pro ct 6
     je




                     Cost Of Qlty
 Pro ct 7
     je
 Pro ct 8
     j
Pro e ct 9
   je
Pro ct 10
   je




                     Overall competency Index
Pro ct 11
   je
Pro ct 12
   je
Pro ct 13
   je
Pro ct 14
   je
Pro ct 15
   je
Pro ct 16
   je
Pro ct 17
   je
Pro ct 18
   je
Pro ct 19
   je
Pro ct 20
   je
Pro ct 21
   je
Pro ct 22
   je c
        t2
          3




              0
                                    10
                                                       20
                                                                     30
                                                                                 40
                                                                                               50
                                                                                                           60
                                                                                                                  Infosys - Competency & Quality
ROI of People CMM®
                             • Increase in ESAT from
• Improvement in               70.56% to 87%
  appraisal time from One    • Created a sense of
  and Half months to On        Empowerment
  time
                             • Well defined Career
• On time Hiring increased     Path available
  from 76% to 82%
                             • New Competency
• Attrition has reduced        Development
  from 17% to 11% per          Opportunities
  Quarter




• Training throughput        • Increase in Process
  increased from 68% to        Performance Index
  84%                          from 0.80 to 0.82
• Service & Revenue          • Overall Performance
  Performance increased        of the center
  from 78.12% to 94%           improved by 7.94%
• Process-Level              • Revenue increased
  Efficiency (which            from 15.2 million to
  includes AHT,                21.1 million
  Productivity per hr,
  Utilization etc)           • Headcount from 1354
  increased from 75% to        to 1442
  91%
ROI of People CMM®
Employee
Satisfaction




               2007
                      1% 12%                                                       87%
          (Dipstick
          Survey)


                                                                                                                                                       16%
                                                                                                                                                   increase in
                                                                                                                                                    employee
               2006
                      4.42%       25.02%                                                     70.56%                                                satisfaction
          (Previous
          Survey)




                      0%     10%      20%          30%         40%          50%         60%         70%          80%         90%            100%


                                    Highly Dissatisfied, DissatisfiedSlightly Dissatisfied, Slightly SatisfiedSatisfied, Highly Satisfied




Quarterly Attrition Trend at N1


                           18%
                                      17%
                                                    16%
                           16%

                           14%                                   13%
                                                                                                                              June ‘07 Attrition
                                                                                 12%
                           12%                                                                                                 reduced to 1.74
                                                                                                                                     %.
                           10%                                                                    11%
                                        People
                                                                                                                              The lowest in the
                           8%            CMM                                                                                        year
                                       Journey
                           6%          initiated

                           4%

                           2%

                           0%
                                 AMJ 2006 JAS 2006 OND 2006 JFM 2007 AMJ 2007
ROI of People CMM®
Monthly Attrition                          8%



                           Attrition %
Trend                                                        5.80% 5.67%
                                           6%                                        5.24%
                                                                                              4.12% 4.04%             4.22% 4.34%
                                                                                                          3.82% 3.66%             3.66%
                                           4%

                                                                                                                                                                 1.74%
                                           2%


                                           0%
                                                                                     Oct'06




                                                                                                                                                                 Jun'07
                                                                 Aug'06




                                                                                                                Jan'07
                                                                                              Nov'06


                                                                                                       Dec'06




                                                                                                                                                        May'07
                                                                            Sep'06




                                                                                                                         Feb'07




                                                                                                                                             April'07
                                                                                                                                  March'07
                               Months



                                                                                 Average TAT to resolve concerns/grievances
Turn Around Time
Resolution of concerns/
grievances on our online
application –
Smart Service Desk                                        5.00

                                                          4.00
                                         Number of Days




                                                          3.00
                                                          2.00

                                                          1.00

                                                          0.00
                                                                          Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May
                                                                          '06 '06 '06 '06 '06 '06 '07 '07 '07 '07 '07
ESS Comparison
             Driver Questions      200 200
                                    6    7
                                   (Bef (Aft
                                   ore) er)
Overall ESAT                       70.5   87.0
                                   6%     0%
Resources                          53.8   82.1
                                   0%     4%
Company Policies                   55.5   84.8
                                   6%     2%
People Practices (Organizational   67.2   87.9
Identity)                          5%     5%
Pay                                36.2   68.7
                                   6%     5%
Benefits                           67.8   83.4
                                   4%     8%
Manager’s Manager                  69.0   90.1
                                   1%     8%
Supervisor                         69.0   90.1
                                   1%     8%
Training & Development             54.9   86.6
                                   7%     1%
Typical High Level Roadmap…
                                  Initiation



       Overview to P-CMM®                           Gap Analysis

                                                   Action Planning



        Process Enhancement                    Process Implementation
  [Definition, Piloting, Integration,                       &
    Iterations, Standardization…]                 Institutionalization




                                        Introduction to P-CMM® for ATMs

     Pre Appraisal (SCAMPI-C)

   Closure of Pre Appraisal Gaps



                     Final PCMM® Appraisal (SCAMPI-A)
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PCMM by QAI

  • 1. What is PCMM? A presentation by QAI INDIA | USA | UK © QAI India Limited. All rights|reserved. | CHINA | MALAYSIA SINGAPORE
  • 3. The People-CMM  A conceptual model -- from the Software Engineering Institute, USA -- based on state-of-art and state-of- practice workforce practices  A maturity framework for continuously improving the management and development of human assets of an organization  Talent and organization development  Excellence at work!  Version 1.0 released in 1995  Version 2.0 released in 2001 (from Bangalore!)
  • 4. People-CMM Maturity Framework Level 5 Optimizing Level 4 Continuou s Predictable Improveme nt Level 3 Measured Defined & Empowere d Practices Level 2 Competenc Managed y Based Practices Level 1 Basic HR Initial Operationa l Practices © Software Engineering Institute
  • 6. Why Adopt People CMM®? • Become ‘Employer of Choice’ – cost of employee turnover • Enhance business performance • Manage: – intellectual assets – knowledge capital • Measure HR’s contribution to the business – provides common measurement framework – allows benchmarking against best practices
  • 7. Advantage: People- CMM • Improve the ability of Knowledge Intensive Organizations to Attract, Develop, Deploy, Motivate, Organize and Retain talent • Ensure alignment between the individuals’ and organization’s motivations • Develop workforce required to execute business strategy • Prioritize activities for improving workforce capability • Integrate operational process improvements with workforce process improvements BPO / ITEs Specific • Enhance employee and customer satisfactions levels • Enhance talent management by optimum utilization of manpower through better skill mapping • Retain and engage talent • Provide motivation in a highly dynamic work environment
  • 8. Some Results Reported • Boeing – 60% Increase in employee satisfaction – 33% drop in attrition • Ericsson – “Provided direction for improvements” • GDE Systems – “Aligned personal and organization’s goals” • Mastek – “Alignment with SW-CMM efforts” – “Helped in institutionalization” • Datamatics – “Stream-lined and mainstreamed HR activities”
  • 9. Boeing - BRS Job Satisfaction Extremely satisfied Highly satisfied Very satisfied satisfied Not quite satisfied Neutral Not excited about Dissatisfied Very dissatisfied Highly dissatisfied 1999 Mean = 8.9 1996 Mean = 5.7 J. Vu (1999)
  • 10. Novo Nordisk - Staffing Novo Nordisk IT Headcount 25% 500 T u 20% 400 r F n 15% 300 T o E v 10% 200 s e r 5% 100 0% 0 1997 1998 1999 2000 Program Assessed initiated at Level 2 Resigned, excl. students Full Time Employees Thorhauge (2000)
  • 11. Pro 0.00 0.50 1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 je Pro ct 1 je Pro ct 2 je Pro ct 3 je Pro ct 4 je Pro ct 5 je Pro ct 6 je Cost Of Qlty Pro ct 7 je Pro ct 8 j Pro e ct 9 je Pro ct 10 je Overall competency Index Pro ct 11 je Pro ct 12 je Pro ct 13 je Pro ct 14 je Pro ct 15 je Pro ct 16 je Pro ct 17 je Pro ct 18 je Pro ct 19 je Pro ct 20 je Pro ct 21 je Pro ct 22 je c t2 3 0 10 20 30 40 50 60 Infosys - Competency & Quality
  • 12. ROI of People CMM® • Increase in ESAT from • Improvement in 70.56% to 87% appraisal time from One • Created a sense of and Half months to On Empowerment time • Well defined Career • On time Hiring increased Path available from 76% to 82% • New Competency • Attrition has reduced Development from 17% to 11% per Opportunities Quarter • Training throughput • Increase in Process increased from 68% to Performance Index 84% from 0.80 to 0.82 • Service & Revenue • Overall Performance Performance increased of the center from 78.12% to 94% improved by 7.94% • Process-Level • Revenue increased Efficiency (which from 15.2 million to includes AHT, 21.1 million Productivity per hr, Utilization etc) • Headcount from 1354 increased from 75% to to 1442 91%
  • 13. ROI of People CMM® Employee Satisfaction 2007 1% 12% 87% (Dipstick Survey) 16% increase in employee 2006 4.42% 25.02% 70.56% satisfaction (Previous Survey) 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Highly Dissatisfied, DissatisfiedSlightly Dissatisfied, Slightly SatisfiedSatisfied, Highly Satisfied Quarterly Attrition Trend at N1 18% 17% 16% 16% 14% 13% June ‘07 Attrition 12% 12% reduced to 1.74 %. 10% 11% People The lowest in the 8% CMM year Journey 6% initiated 4% 2% 0% AMJ 2006 JAS 2006 OND 2006 JFM 2007 AMJ 2007
  • 14. ROI of People CMM® Monthly Attrition 8% Attrition % Trend 5.80% 5.67% 6% 5.24% 4.12% 4.04% 4.22% 4.34% 3.82% 3.66% 3.66% 4% 1.74% 2% 0% Oct'06 Jun'07 Aug'06 Jan'07 Nov'06 Dec'06 May'07 Sep'06 Feb'07 April'07 March'07 Months Average TAT to resolve concerns/grievances Turn Around Time Resolution of concerns/ grievances on our online application – Smart Service Desk 5.00 4.00 Number of Days 3.00 2.00 1.00 0.00 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May '06 '06 '06 '06 '06 '06 '07 '07 '07 '07 '07
  • 15. ESS Comparison Driver Questions 200 200 6 7 (Bef (Aft ore) er) Overall ESAT 70.5 87.0 6% 0% Resources 53.8 82.1 0% 4% Company Policies 55.5 84.8 6% 2% People Practices (Organizational 67.2 87.9 Identity) 5% 5% Pay 36.2 68.7 6% 5% Benefits 67.8 83.4 4% 8% Manager’s Manager 69.0 90.1 1% 8% Supervisor 69.0 90.1 1% 8% Training & Development 54.9 86.6 7% 1%
  • 16. Typical High Level Roadmap… Initiation Overview to P-CMM® Gap Analysis Action Planning Process Enhancement Process Implementation [Definition, Piloting, Integration, & Iterations, Standardization…] Institutionalization Introduction to P-CMM® for ATMs Pre Appraisal (SCAMPI-C) Closure of Pre Appraisal Gaps Final PCMM® Appraisal (SCAMPI-A)
  • 17. http://www.qaiglobal.com INDIA USA UK CHINA MALAYSIA SINGAPORE Click here for more on QAI Human Capability management CONTACT US QAI India: QAI USA: QAI Malaysia: 1010 - 1012, Ansal Towers, 38 Nehru Windsor at Metro Center, 2101 Park Level 36, Menara Citibank, 165, Jalan Place Center Dr., Suite 200, Orlando, FL Ampang, 50450 Kuala Lumpur, New Delhi - 110019, India 32835-7614 Malaysia Phone: +91- 11- 26219792, 26220580 Phone: +407-363-1111 Phone: +603 2169 6241 conferences@qaiglobal.com conferences@qaiglobal.com conferences@qaiglobal.com QAI UNICOM / UK: QAI Singapore: QAI China: Unicom R&D House, One Oxford 391B Orchard Road #23-01, Rm. 1211, No. 498 Guoshoujing Rd. Road Ngee Ann City Tower B, Shanghai Uxbridge, Middlesex, London, United Singapore - 238874 Zhangjiang Hi-Tech Park, Pudong New Kingdom, Zip: UB9 4DA Phone:+65-6225-8139 Area, Phone : +44 (0)1895 256484 conferences@qaiglobal.com Shanghai, China Zip: 201203 conferences@qaiglobal.com Phone : +86-21-51314155 conferences@qaiglobal.com www.qaiglobal.c © QAI India Limited. All rights QAI © reserved. All rights reserved. No part of this document may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without prior written permission of QAI