1) The company implemented CMMI for Services Level 2 to better manage their services like maintenance in addition to their existing CMMI for Development Level 3 practices. 2) This allowed them to transition projects to services more smoothly and get feedback from services to improve development. It also created a service culture focused on customer needs. 3) Challenges included changing mindsets from project to service management and defining non-IT services. Benefits included new service revenue streams, more structure and accountability in services, and improved customer relationships.

1. From development to services in CMMI v1.3 – a case study Dublin, 9th of June 2011 Pedro Castro Henriques (Strongstep), Pedro Gomes (Strongstep); Carla Nogueira (Strongstep)

2. Agenda Introduction Needs Benefits Challenges Conclusions& Nextsteps

4. We want to induce a positive change in organizations. This will represent a step with a strong, sustainable and innovative way - a strong step

5. Examples of ongoing projects:

7. PresentationGoals The benefits of implementing CMMI Level 2 for Services in a Development company (CMMI dev level 3) The challenges associated to the migration from a pure development culture to a services culture Where and how to combine CMMI for Development and CMMI for Services level 2 best practices Conclusions and next steps

8. Context The CMMI for Services constellation brings a new dimension of best practices in service management that complement the software development life cycle works as a catalyzer for a service culture in traditionally development oriented companies Some synergies and challenges will be addressed on the way the development and services worlds can together create value

9. NEEDS Part II

10. Needs Gap that was missing in process oriented organizations for some type of activities that intrinsically are continuous and involve less engineering

11. Needs On top of that the fact that a model was needed that didn’t constrain itself for IT related business but to services in any line of businesses CMMI for Services was a breakthrough in the best practices spectrum. With the process capability aspects provided by the CMMI framework, these new service management best practices filled the gap that was missing in process oriented organizations for some type of activities that are continuous and involve less engineering

12. Case Study About the company Information Systems Company based in Portugal CMMI Development - Level 3 with a strong quality culture About 80 persons with mostly engineering background International clients They develop solutions mostly for central government, regional and public organizations Their clients are demanding more and more for levels of service and SLA’s Always looking for new ways to improve the way they work Also looking for new ways to find profit and new sources of income

13. Case Study – CMMI serviceslevel 2 Processes that we defined: Work Management process (for services and projects) Requirement Management process(for services and projects) Service establishment process– in order to setup new services in the company Service delivery process - ex: receive a request; check it’s in the catalog of services, solve the request Apart from … traditional – quality control, metrics, configuration management with some adaptations Lessons learned Separate project management and service management processes – its easier

14. Case Study- ServiceManagement ServiceDelivery (SD): settingupagreements, takingcareofservicerequests, andoperatingtheservicesystem IncidentResolutionandPrevention (IRP): handlingwhatgoeswrong—andpreventingitfromgoingwrongaheadof time ifyou can

15. Benefits Part III

16. Advantages for users of CMMI dev using CMMI serv 1-The implementation of processes that are related to maintenance or “very small” projects where a service philosophy applies better

17. Advantages for users of CMMI dev using CMMI serv 2-A better transition from the project phase to the service phase (example: maintenance service) where’s it’s important to have in mind the necessary steps for a smooth service setup (change, configuration and release management) Services must now follow clear work instructions (and not a project management methodology)

18. Advantages for users of CMMI dev using CMMI serv 3-The importance of a systematic feedback from the services to the development teams provide insight about the utilization and errors in place (incident, problem and service level management, measurement and analysis) “Customers want more attention, more appreciation and more recognition when making their purchases with you, not less. Customer service quality is simply essential. Now we have a more clear continuous improvement of our services”, CEO

19. Advantages for users of CMMI dev using CMMI serv 4-The creation of a culture of service where the solutions that are built are intended for customers with expectations and needs in terms of service levels This internal awareness provides a better focus on the usability aspects and nonfunctional requirements

20. Advantages for users of CMMI dev using CMMI serv 5- Services are a continuous source of income (example contract for maintenance) a Project has a finishing date and a total cost services have “no end date” To keep clients fidelity the service has to be well structured the more efficient the bigger profit you have

21. Advantages to ourclientbyimplementing CMMI serv Customers want to continuously manage services and customer expectation … For example response time: Time to correct a bug or malfunction Time to implement a new requirement In the case of our show case– it led to a breakthrough: a new area of training services was created a new mechanism to make it easier to create new services A Monthly Services meeting was created: For continuous services improvement To articulate with client to have more feedback For example maintenance was not properly organized “it was a poor cousin inside the company” started to get more visibility

22. Advantages to ourclientbyimplementing CMMI serv More income – raise on billing Ex: new “chargeable” services areas: training and coaching Company realized it was “giving away free” some services Service reports are now sent to the customer Customer started to appreciate more and recognize the value added of the provided services With Services area more structured -> revenue is higher and more constant =

23. Challenges Part IV

24. Chalenges for users of CMMI dev using CMMI serv 1-The need for the team to understand that project management is different from work management, though there are a lot of common practices People need to get into a service culture … with training and experience (its necessary to give much training to those who will be in charge of designing, setting up and providing the services )

25. Chalenges for users of CMMI dev using CMMI serv 2-Service management is not just IT service management. An IT company thinks typically service is just IT services or to manage incidents … It can beservicesthathavenothing to do with IT

26. Chalenges for users of CMMI dev using CMMI serv 3- Requirements definition and management is a different subject in the services world.

27. Chalenges for users of CMMI dev using CMMI serv 4- Service planning - it’s very different from planning a project in the typical engineering company culture, with its very diverse lifecycle

28. Conclusions & Next steps Parte V

29. Conclusions forUsers of CMMI dev … by using CMMI serv Companies that already have processes in place in line with CMMI for Development havethe cost for this new direction greatly reduced - specially for CMMI SRV ML2

30. Conclusions forUsersof CMMI dev … byusing CMMI serv Difficulties: Explain what a service is to an “engineering company” Is not just IT service and incident management Explain the benefits … to people that are might be used to be in the background … one of the most important thing is to build a culture of services

31. Conclusions Benefits: Services area/department Services became more clear and accountable - is not providing services for free “without realizing” More sources of income (new services arise, example: training, coaching) Service contrast with project – possibility of a steady and continuous income Customer recognizes easier the added value of services - by seeing the reports of services The company started to value more services itself Structured services help keeping client “fidelity” The more efficient services, the higher is the profit Service culture can improve: company, the service department, the relation with clients … as well as the income/profit

32. Contact Strongstep - Innovationin software quality Email: pedroch@strongstep.pt Web: www.strongstep.pt Telefone: + 351 22 030 15 85 Rua actor Ferreira da Silva, UPTEC 4200-298 Porto, Portugal

33. Next steps Move to higher maturity levels in Services Gofurtherout of IT scope to bring more added value -> newservices Explore further, Services & Innovation models together (example NP 4457 – Portuguese RDI norm)