PEG Case Tcs Operating Tactics Reduce Costs Retain Customers

OperatingTacticsinToughTimes: ReduceCostsandRetainCustomers
CaseStudy
TataConsultancyServices
SiteVisitDate:July15,2009 SITEVISITSHOSTS:
GovindarajanJagannathan ExecutiveVicePresident, GlobalHeadofBusinessExcellenceandLeadershipandGovernanceProcess Design ProcessExcellenceGroup,TataConsultancyServices A.Srinivasan VicePresidentandGlobalHeadofKnowledgeManagementSystemsandProcessDigitization, ProcessExcellenceGroup,TataConsultancyServices VipinArora PrincipalConsultant, GlobalHeadofProgramandChangeManagement ProcessExcellenceGroup,TataConsultancyServices LakshmiV.Murali PrincipalConsultantandCoLeadforLeadershipandGovernanceProcessDesign ProcessExcellenceGroup,TataConsultancyServices D.Rangarao SeniorConsultant,LeadershipandGovernanceProcessDesign ProcessExcellenceGroup,TataConsultancyServices PathikritBandyopadhyay SeniorConsultant,LeadershipandGovernanceProcessDesign ProcessExcellenceGroup,TataConsultancyServices SmritiMulye Consultant,LeadershipandGovernanceProcessDesign ProcessExcellenceGroup,TataConsultancyServices
2009APQC.ALLRIGHTSRESERVED
TataConsultancyServices
SNAPSHOT
Foundedin1868,theTataGroupisamultinationalconglomeratebasedinMumbai,India.Thelargest privatecorporategroupinIndiaandoneofthemostrespectedinstitutionsintheworld.Tatahas interestsinMaterials,Engineering,InformationTechnologyandCommunication,Energy,Services, ConsumerProducts,andChemicals.SomeofitslargecompaniesincludeTataSteel,TataMotors,Tata ConsultancyServices,TataPower,TataCommunications,TataChemicals,TataTea,Voltas,andTitan Industries.With114companiesandsubsidiariesinsevenbusinesssectors,TataGroupoperatesinmore than85countriesacrosssixcontinentsandprovidesservicestomorethan80nations.In2008theTata Groupreported$63billion(USD)inrevenue. Establishedin1968,TataConsultancyServices(TCS)isthefirstandlargestsoftwarecompanyinIndia. Withrevenuesof$6.01billioninFY2009,TCShasaglobalpresencein140officesacross42countries andapproximately126,000employees.TheorganizationisalsorecognizedasoneofthetopIndianIT companiesandhasmorethan900clientsin55countries.Fortynineofthetop100organizationsonthe Fortune500CompanieslistareTCSclients.Inaddition,TCShasahighlyeducatedanddiverse workforce.Morethan70percentofitsemployeesareengineersorPhDholders,andtheorganization incorporatesnationalitiesacrosstheglobe. Theorganizationoperatesinnumerousindustriesincludingbankingandfinancialservices;insurance; energyandutilities;telecommunications;mediaandentertainment;government;lifesciencesand healthcare;manufacturing;retailandconsumergoods;travel,transportation,andhospitality;andhigh technology.TheTCSportfolioofofferingsincludesITservices,consulting,businessprocessoutsourcing, ITinfrastructuresolutions,engineeringandindustrialservices,andproductbasedsolutions.TCSisalso thefirstorganizationintheworldtobeassessedatLevel5forintegrated,enterprisewideCMMI (capabilitymaturitymodelintegration)andthePCMM(peoplecapabilitymaturitymodel). TCSsVisionistobeaglobaltop10organizationby2010.TheTCSmissionis:Tohelpcustomers achievebusinessobjectivesbyprovidinginnovative,bestinclassconsulting,ITsolutions,andservices. Tomakeitajoyforallstakeholderstoworkwithus.AsnotedbyExecutiveVicePresidentandGlobal HeadofBusinessExcellenceandLeadershipandGovernanceProcessDesignGovindarajanJagannathan, Itsnotjustwork,butworkwithpleasure.Thevisionandmissionisfulfilledbyastrongsetofcore values,whichincludeleadingchange,integrity,respectfortheindividual,excellence,learning,and sharing. TCScontinuestoreceiveinternationalrecognitionforitsprocessexcellenceandistherecipientof numerousawardsincludingtheJRDQualityValueAwardfromtheTataGroupandIndiasCIIEXIM BusinessExcellenceAward(similartotheEuropeanFoundationforQualityManagementExcellence
OperatingTacticsinToughTimes: ReduceCostsandRetainCustomers 2 CaseStudy:TataConsultancyServices
Award).In2009TCSreceivedtheMostAdmiredKnowledgeEnterprise(MAKE)awardforthefourth timesince2005andrankedNo.1bytheDataquestMagazinesDQTop20companyrankingsfor2009 forthe7thconsecutiveyear.
BACKGROUND
Everyyeartheenvironmentarounduschanges.Aschangesoccurinthemarket,wemustanticipateand updateourprocesses.Today,ourfocusisonhowtodelivermorewithless. A.Srinivasan,VicePresidentandGlobalHeadofKMSystemsandProcessDigitization,TCS TCSOperatingModelandProcessExcellence ProcessexcellenceisengrainedintheTCSculture,services,customermanagement,andorganizational operations.Since1994,TCShasstrategicallyfocusedonprocessimprovement.Figure1depictsthe processexcellencejourneyatTCS,whichinitiallyfocusedonqualitycontrolsystemsandquality management.
Our Process Excellence Journey

2009
TCS wide Triple ISO Audit ISO 9001:2008, ISO 27001, ISO 20000 TCS wide CMMI v1.2 Level 5 ISO 14001 iQMS + Sales, Consulting Practices + integrated BPM iQMS + BPO, Environment Practices +CMMI V1.2 iQMS + Domain models iQMS + Security, IS, BCP practices iQMS + CMMI V1.1 + P-CMM ISO 9001:2000
2007
2006 2005 2004 2002 2001 1999 1994
TL9000, AS9100, IS13485, ISO 27001, ISO 20000
TCS wide ISO 9001:2000, BS7799, BS15000
TCS wide CMMI and P-CMM Level 5, JRD QV Award
TCS wide ISO 9001:2000 certification 4 centers assessed at P-CMM Level 4
P-CMM 17 centers assessed at SW-CMM Level 5 SW-CMM
TCS wide ISO 9001:1994 certification ISO 9001:1994 Early 90s: TCS-QMS 80s: Quality Assurance
15th July 2009 19
Copyright 2009 Tata Consultancy Services Limited
Figure1:TheTCSProcessExcellenceJourney TheprocessexcellencejourneyiscontinuousanddynamicatTCS.Moreover,sinceinformation technologyisanagileindustry,strategyandprocessreviewsoccurquarterlyandsometimesmore
CaseStudy:TataConsultancyServices
frequentlybasedonneed.Strategicplanninghorizonsaresetout12to24months,againmainly becausetheindustryisconstantlychanging. TCSisledbyaCEO/managingdirectorwhooverseesthecorporatefunctionssuchasHR,corporate finance,corporateaffairs,marketing,legal,andresearchanddevelopment,whereastheCOOtakescare oftheentireoperationsoftheorganization.Industrysolutionsunits,newgrowthmarkets,major markets,andstrategicinitiativesaretheprimarybusinesssegments. Likemanyorganizations,TCSisaligningprocessimprovementstoreflectchangingbusinessneeds.In 2008itscustomerbaseexperiencedeconomicstressandrequiredanincreaseinbusinessvalue,which hasaffectedkeyprocessesandTCSbusinessproposition.Processchangesaddresscost,productivity, andcustomerrelationships.Forinstance,in2008and2009theorganizationdevelopedprocessesto servicedifferentmarketsegmentsandenhanceditsofferingsthatprovidecustomervalue.
PROCESSCAPABILITYANDMATURITY
Thethreecornerstonesofprocessexcellencearesimplification,standardization,andintegration. A.Srinivasan,VicePresidentandGlobalHeadofKMSystemsandProcessDigitization,TCS Processcapabilityandmaturityisalsomanagedbytheprocessexcellencegroup.Thegroupsgoalisto ensure(TCSclients)anexperienceofcertainty&oneglobalservicestandardbyenablingtheoperating unitstodriveagility,rigorandcontinuousimprovementthroughtheadoptionoflean,pragmaticand standardizedprocesses.TCSprocessexcellencegroupdrivescontinuousprocessimplementationand improvementacrossalloperatingunits.Operatingunitsareaccountablefordeployingprocessesacross businessunits.Theprocessexcellencegroupworkscloselywithoperatingunitsthroughoutprocess design,deployment,andsupport.
TheprocessexcellencegroupworkswitheachTCSoperatingunittoensurethateachprocessis designed,deployed,andimprovedinaconsistentmanner.Figure2illustratesthelinkbetweenthe processexcellencegroupandTCSoperatingunits.Teamsfromthegrouparedeployedtoensureproper support,design,andcomplianceofTCSprocesses.
Process Excellence Group and its Interface with Operating Units

Operating Unit (ISU Example)
Operating Unit Head
PEG
Process Excellence Head
Process Excellence Leader
Deployment Support
Process Area 1 Process Area 2 OU Support Team OU Support Team Process Area 3 Process Area 4 Process Area (n) Audit Compliance Digitization Support
Design Team
Process Area 1 Process Area 2 Process Area 3 Process Area 4 Process Area (n)
Audit & Compliance
Bid/Sales Mgmt. Office Audit & Compliance Manager Quality Assurance Manager Program Mgmt. Office
OU Support Team
Client Groups & Other OU functions
Audit & Compliance Team
Knowledge Champion Information Security Manager
OU Support Team
PI Champion BM Champion
Digitization
Process Digitization
Process Improvement
Process Improvement
PI Support
15th July 2009
21
Figure2:OperatingUnitsInterface Theprocessexcellencegroupimplementsimprovementsusingitswheelsofprocessexcellencemodel (Figure3).Processexcellenceisachievedthroughrobustprocessdesignandimprovement,deployment, compliance,anddigitization1,supportedbystrongorganizationalchangemanagement.AtTCS,thekey toachievingprocessexcellenceisensuringeachofthesefactorsisrobustandintegrated.

The Wheels of Process Excellence Ensuring Agile, Rigorous and Pragmatic processes
Program & Change Management
Process Design & Improvement Process Digitization Process Compliance OU PE n Process Deployment
OU PE1
OU PE 2
The key to achieving process excellence is by ensuring that each of the wheels are extremely robust and its cogs are well integrated
15th July 2009 22
Figure3:TheWheelsofProcessExcellenceModel AtTCS,processdigitizationestablishescontrolsandautomation.Refertopage6ofthiscasestudyfor additionaldetailonprocessdigitization.

Theprocessexcellencegroupusesseveralleverstoensurecostandproductivityineachwheelof processexcellence:sharedservices,enablementthroughcompetencybuilding,knowledgereuse,and digitization.Knowledgereuseiscriticaltotheprocess.Wedependonknowledgereuseacrossour 126,000employeestomakesurewearenotreinventingaprocessortool,saidJagannathan.Shared serviceshelptopoolresourcesandeliminateprocessredundanciessothatrepetitiveactivitiesthatcan bedeskilledthroughdigitizationareoutsourcedtoaninternalsharedservicesgroup.Thegoalisto consolidateresourcesthatcanincreaseproductivity.Processflowacrosstheorganizationincorporates feedbackandinputfromachangeadvisoryboard,operatingunits,theprocessexcellencegroup, customers,andsuppliers. Eachoperatingunithasanextendedprocessexcellencegroup.Thesegroupswithintheoperatingunits haveadefinedsetofrolesandresponsibilities.Forexample,theymustnotify,prepare,andconduct operatingunittrainingplans.Operatingunitprocessgroupsmustalsodeployprocessesandprovide processdataspecifictotheoperatingunit.Participatinginsurveysandprovidingsuggestionstoimprove processesaresomeoftheadditionaltasksgiventotheextendedprocessexcellencegroups.Asthe organizationbecomesmoreverticalinorganizationalstructure,theroleofextendedprocessexcellence groupshasbecomemoredecentralized.However,throughthedigitizationofprocesses,collaboration acrosstheoperatingunitprocessexcellencegroupsisachievedtherebycreatingavirtualteam comprisingofcoreandextendedprocessexcellencegroups.
TheProcessDesignandImprovementModel Asmentioned,processdesignandimprovementisoneofthekeywheelsthatdriveprocessexcellence acrossTCS.Processdesignandimprovementadherestoamodelthatprovidesinputsandlinksfrom severalresources.Figure4depictstheprocessdesignandimprovementstepsintheorganization.

Process Design & Improvement Process Digitization Process Compliance OU PEn Process Deployment OU PE 1
Process Design and Improvement

Inputs
Stakeholder Requirement & Practitioner Feedback
OU PE 2
Process Steps
Gather Requirements Prioritize Requirements
Linkage
To Process Digitization for defining digitization requirements
Process Design and Improvement
Analyse Impact s Identify KPIs Design Processes Modify Process Design

Redefine
Quality Models
To CAB for Plan integration
Improvement Strategy
Pilot process
Yes with Change
Success
Yes
Discard/Redefine processes
No
Learning/ Best Practices
Baseline new processes Prepare Training Material Update Knowmax
To CAB, Audit & Compliance, Deployment Support for process review and sign off
Process Performance Analysis
Train PDS/ACM
To Deployment Support for process deployment
15th July 2009
28
Figure4:ProcessDesignandImprovement Asshown,eachprocessimprovementincorporatesinputfromstakeholdersincludingcustomers,senior management,andprocessteams.Aspectspertainingtoqualitymodels,improvementstrategies,best practices,andprocessperformanceanalysisarealsotakenintoconsiderationwhilemakinganyprocess changeorimprovement. Aftergatheringrelevantinputsandrequirements,eachpotentialprocessisprioritizedbythegroup. Wedontwanttopickupallprocessimprovementsatonetime,saidVicePresidentandGlobalHead ofKnowledgeManagementSystemsandProcessDigitizationA.Srinivasan.Accordingly,allrequirements areanalyzedtodeterminetheimpactonexistingprocessesandareprioritized.Keyperformance indicatorsarealsodevelopedtoshowtheimpactaprocesswillhaveontheorganization.Duringthe earlystagesofdevelopment,theprocessdigitizationgroupdefinesautomationrequirementsand enablesthechangeadvisoryboardtoprepareforfullscaleintegration. TheProcessDesigngroupssuchasLeadershipandGovernance,Salesandrelationships,Deliveryand othersdesigntheirrespectiveprocesseswithinputsfromthechangeadvisoryboard,throughauditand
complianceandthroughdeploymentsupportforprocessreviewandapproval.Eachprocessismodified andpilotedpriortofullscalerollout.Oncetheprocessisapproved,deploymentsupportisprovided, andoldprocessesarediscardedorredefinedasrequired.Abaselinefornewprocessesisdevelopedin conjunctionwithtrainingmaterials.Duringtheprocessdesign,theprocessdesigngroupupdates relevantknowledgerepositoriesandtools.Accordingly,theinternalknowledgeplatformisupdatedby therespectiveDesigngroupstoreflecttheprocesschanges(Figure4above,onpage7).Throughoutthe processlifecycle,theprocessexcellencegroupgathersfeedbackfromstakeholdersincluding customers,practitioners,partners,suppliers,andalliancepartners. ProcessDigitization Processdigitizationisanotherkeyingredientforprocessexcellence.AtTCS,processdigitization establishescontrolsandautomation.Automationiscriticaltoensureprocesscomplianceand deployment.Accordingly,thedigitizationprocessisclearlyarticulatedacrosstheorganization.Figure5 showsthedigitizationprocessusedatTCS.AsdescribedbyVipinArora,globalheadofprogramand changemanagement,Thedigitizationofprocessessimplifiesdeploymentandsubsequentvalue capture,sooperatingunitsfacedecreasedimplementationorcompliancerelatedproblems. AsshowninFigure5,inputstodigitizationarereceivedfromthechangeadvisoryboard,IT,thechief technologyofficer,andthechiefinformationofficer.Adigitizationexercisethatinvolvescontrols, automation,andpreparationofDashBoardsalsoconnectswithprocessdeploymentandsupportteams throughoutthelifecycleoftheprocess.Eachprocessstepmustevaluatedigitizationneedsupfrontso thatwhenprocessesarerolledout,thecorrespondingdigitizationisalsoreadyforautomatingprocess deployment.
Process Design & Improvement Process Digitization Process Compliance OU PEn Process Deployment OU PE 2 OU PE 1
Inputs
Process Design
Process Steps
Digitization
Linkage
Process Deployment
From CAB
Review high level processes and Sign off Integrated Process Release Plan
Process Acceptance
From Process Design & Improvement
Identify digitization requirement
Process Deployment/ Support
Digitize process workflow
Sign off User Acceptance Testing
Release Digitized Process Workflow

15th July 2009
42
Figure5:ProcessDigitization
Toassistwiththeprocessdeployment,TCSleveragesdigitizedtoolsencompassingseveralareasof integratedqualitymanagementsystemsthroughouttheprojectlifecycle.Figure6depictstheprocess, tools,andmethodsthatsupportdigitization.
Digitized tools which enable iQMS adoption through the Project Lifecycle (Example)
Project Startup IPMS Project Planning IPMS Project Management Review (PMR) EQP
Template/Planning Data
Lessons Learned/ Best Practices
Project planned & actual data/ Risks
Project closure Information/ Project end metrics
IPMS
TQAS
EQP, GQD
D-25
Project Status/Metrics
Project data
Project Windup IPMS
Project Monitoring (PM) GQD, TCS RP, D25
Project Audit TQAS
15th July 2009
43
Figure6:DigitizationProcess,Tools,andMethods ProcessdigitizationbyacentralizedITteamenablestherolloutofconsistentapplicationsforasetof processesacrossTCS.Thisisacriticalnecessityconsideringthelargenumberofemployeesspread aroundmultipleofficesaroundtheworld.Butthisdoesnotruleouttheneedforhavingtailoredor customizedprocessesforindividualoperatingunits.
ProcessDeployment Designingthebestprocessesispointlessunlessthoseprocessesaredeployedwell,saidArora.Figure 7showstheenterprisewideprocessdeploymentstrategyatTCS.Theprocessexcellencegroup overseesdeploymentandisaccountableacrossoperatingunits.Adeploymentplanisdevelopedbythe ProcessDeploymentSupportGroupusinginputfromprocessdesigners,thechangeadvisoryboard,as wellasprocessdigitizationandauditandcompliancestaff.Processdeploymentincorporatesallaspects ofimplementationincludingcommunication,training,workshops,anddeploymentsupport.TCStracks traininganddeploymentstatusmetricsandcollectsfeedbackinordertoidentifyimprovementsand communicatechangerequirements.Anydeploymentrelatedchallengesorissuesareaddressedbythe coreprocessdesignandimprovementteams.
Process Design & Improvement Process Digitization Process Compliance OU PEn Process Deployment OU PE 1
Process Deployment
Inputs
Process Design
OU PE 2
Process Steps
Deployment Review high level processes and Sign off Integrated Process Release Plan
Linkage
OU PEG
From CAB on Integrated Release Plan From Process Digitization
Process Acceptance
Prepare Deployment Plan Prepare & Update Communication Plan & Deployment Checklist Prepare training plan for OU PEG Conduct training workshop for OU PEG
To OU PE for deployment in the OU
From Process Design
Support Deployment Tracking training and deployment status Collect Feedback
From OU PE based on deployment challenges/ issues faced To Core Process Design and Improvement
15th July 2009 44
From Audit & Compliance on change requirement
Identify improvement Communicate change requirement
Figure7:ProcessDeployment
10
ProcessComplianceandAudit ThefinalelementintheTCSprocessexcellencewheeliscompliance.Figure8showsthecompliance processesatTCS.

Process Design & Improvement OU PE 1
Compliance
Compliance
Process Acceptance CAB
Process Digitization Process Compliance
Process Deployment
OU PE 2
OU PEn
Process Design & Improve ment
Prepare Integrated Release (feature) Plan (Budgeting) Review & Sign off Process Design Decide on piloting
Design Team
Review & Sign off Process Design
Digitization Team
Process Acceptance ACT
Prepare ACM Training Material Update Audit Checklist
Process Verification
Process Design & Improve ment
Yes
Need
NO
Conduct Process Audit Analyze Non Compliance Communicate change Deployment Team
Release process
15th July 2009
51
Figure8:Compliance Thisprocessisalsousedtoprepareforinternalaudits.TCSauditsthedeployedprocessesinorderto ensureeffectivenessapartfromcompliance.Wedontwanttoprepareforanauditperse;wewantto bepreparedforanauditatanytime,saidArora.Wewanttomakesurethattheprocessiseffectively usedandisprovidingbusinessvalue. EnablingToolsforProcessManagement TCSleveragesseveraltoolstoenhanceandpromoteprocessmanagement.Srinivasansaid:Doingall thesethingsinmanualmodewouldbeimpossible.Thatiswhyweautomateeverythingandfocuson developinginhousetoolsforimprovement. Processmodeling,forexample,issupportedbyaBPMtoolplatformforprocessdesignandintegration. ABPMplatformcreasehighlevelprocessmodels,whereasawikiportalstoresdetailedquality managementprocesses,guidelines,andtemplates.Thiswikiplatformpromotescollaborativeauthoring andencouragessocialnetworking.Designteamscreateprocesscontentandprovidefeedbackdirectly usingthewikiplatform.Processdesignersaccessfeedbackcommentsenteredasdiscussionsinwiki pagesandinotherKMplatformsinordertoimprovetheprocesses.
11
KnowMax,TCSKMplatform,isleveragedforcollaborationduringprocessdesign,digitization,and improvement.KnowMaxhelpstocaptureandstoreexplicitknowledgeintermsofstructuredasset typessuchascasestudies,caselets,whitepapers,andprojectprofilesandalsopromotescollaboration andinteractiontohelpuncovertacit(unstructured)knowledgefortheorganization.TCSKMplatform playsasignificantandpivotalroleinenablingenterpriseknowledgetobesharedacrosstheenterprise. IMPACTisanadditionaltoolwithintheKMplatformthathelpsmonitorandmanageimprovement projects.Thistoolshowsworkflow,showsimprovementactionbyindividuals,andprovidesbusiness benefitinformation.Inaddition,TCSdeploysfeaturerichtoolssuchasIdeaMaxandCTOBlogthatactas platformstocaptureinnovativeideasfromemployees.Finally,anumberofimprovementtoolsand methodologiesincludingLean,DMAIC(define,measure,analyze,improve,control),designpattern, technologychangemanagement,andprocesschangemanagementareusedacrosstheorganizationto promoteprocessinstitutionalizationandemployeeengagement,aswellasimproveoperational efficiency. InnovationandIncrementalImprovementsforProcessExcellence Innovationandincrementalimprovementsalsoplayanimportantroleindevelopingandsustaining processimprovements.AtTCS,breakthroughinnovationmethodsaresupplementedbyincremental improvementstoenableaholisticprocessimprovementapproach.Theorganizationsgoalistofocuson innovationandencourageparticipationacrosstheorganization.Equalimportanceisgiventobuilding alliancestopromotebusinessalignedinnovationandrewardandrecognizeindividualsandteamsfor innovativecontributions. Adirectorofthetechnologyorganizationworksdirectlywithacademia,alliancepartners,and stakeholderstonurtureinnovations.TCShasmorethan20innovationlaboratoriestofosterinnovation innewtechnologyandprocessareas.Seniormanagersalsoinviteteamstoparticipateinidea generationandinnovationprogramstoimplementideasacrosstheorganization.TCStechnology excellencegroupwascreatedtopromoteinnovationinnewtechnologyareasthatinturnpassonthe knowledgetoprojectdeliveryteams.Together,theseinvestmentsdriveanapproachoflearnonceand replicateeverywherewithinTCS. Innovationishighlyvaluedwithintheorganization,andemployeesarerecognizedandrewardedfor contributionstoinnovationandprocessexcellence.Wevelearnedovertimethatmoneyisnotthe onlymotivator;employeesarealsomotivatedintrinsicallythroughothertypesofreputationmodels saidSrinivasan.Accordingly,theorganizationrecognizescontributionsusingpublicationsthatdescribe theinnovationandhighlightstheachievementofanemployee.SuchpublicationsaresharedacrossTCS. AndarewardsystemcalledGemsenablesemployeestocollectpointsthatcanberedeemedfor merchandiseindifferentstores.Employeesareencouragedtosubmitinnovationsintoanidea generationplatformeitherindividuallyorthroughteams.
12
TheTataGroupencouragesinnovationfromitscompanies,includingTCS,throughapopularannual competition.Teamssubmitinnovationstoregionalnetworksandforumsandthenadvancetoafinal roundofcompetitionatheadquarters.SelectedteamsarerecognizedinaformaleventbytheTata Groupchairman.
PROCESSADAPTABILITYANDQUALITY
TCSdevelopedarobustqualityframeworkforprocessmanagementthatencompassesindustry standards,anintegratedqualitymanagementsystem,andorganizationalvaluepropositions.Figure9 depictstheunderlyingqualityframeworkforprocessmanagement.
The underlying quality framework for process management

Industry stds
ISO9000/ IS027001/ IS020000 CMMi PCMM TBEM/ MBNQA Domain TL9000 - Tele AS9100-Aero ISO13485 Medical devices
Strengths
Solution/Service Delivery Processes People Processes Security Processes Support Processes Knowledge Management Tools and Technology Assets
iQMS Integrated Quality Management System
Value Proposition
On-Time, OnBudget, Defectfree delivery Year-on-Year productivity improvement Agree, deliver and validate value provided Reduce cost of quality Defect Prevention Continuous Improvement
Policies
Process Hand Books Procedure Manuals Standards, Guidelines Checklists, Templates
TCS Quality Policy

To achieve customer and other stakeholders satisfaction by delivering solutions which meets their needs and expectations
15th July 2009
31
Figure9:QualityFrameworkforProcessManagement Allprocessesintheorganizationundergodetailedanalysistoensureefficiencyandeffectiveness,bythe respectiveunitswithinProcessExcellenceGroup.Whennewprocessesaredesigned,processindicators aredefinedintermsofoutputandoutcomeindicators.Outputmeasuresareindicatorsduringthe deploymentoftheprocesses,whereasoutcomemeasurestrackthevalue(benefits)generatedafterthe deploymentoftheprocesses.Thefinalbenefitsofeachprocessareidentifiedandmeasuresare collectedinordertofullyexaminethevalueoftheprocess.Forexample,adeploymentmeasurerelated toknowledgemanagementwouldhavetypicaloutputmeasureslikethenumberofpeopleusingthe platform,downloadingdata,anduploadingartifacts.Ontheotherhand,measuressuchasreductionin
13
proposalmanagementcycletimeandproductivityusingreusableassetsdescribetheoutcomethrough theKMprocesses. Tomeasureprocessdeployment,TCSusesaprocessdeploymentindex,illustratedinFigure10.Process metricsaresegmentedintodifferentareas,suchassalesprocesses,knowledgemanagement,and finance.Eachareatracksrelevantmeasurestodeterminethelevelofdeploymentacrossthe organization.Themeasuresfromeachprocessarearolleduptocomputeoverallprocessdeployment statuswithintheprocessarea.Dependingontheprocess,onaweeklyormonthlybasis,the organizationcantrackhowaprocessisdeployedacrosstheorganization.
Measuring Process Deployment using Process Deployment Index (PDI)

Approach
Process Area 1 Metrics
Process Area (n) Metrics
Mostly Lead Measure s
PEG Core Level Internal Dashboard (Readiness and Deployment Measures)

Mix of Lead & Lag Measure s
Deployment
Process Deployment Dashboard and Index (PDI) Selected measures from each box to compute overall process deployment status
Composite status of Process Deployment
PDI PDI
Results
OU Head BSC
Global PEG Head BSC
Lag Measure s
Results of Deployment (Some BSC Measures should have a bearing with Measures of PDI)
Goals
Corporate BSC Organizational Business Objectives
Lag Measure s
15th July 2009
45
Figure10:ProcessDeploymentIndex Ifaprocessisnotachievingtherequiredlevelofdeployment,theneveryeffortismadebytheProcess Excellencegrouptouncovertherootcauseofnoncompliance.Additionaltraining,coaching,or mentoringisprovidedbytheconcerneddesigngroupssupportedbytheProcessDeploymentSupport groupifaprocessisnotdeployedeffectively.Theinitialfocusfornewprocessesistoreducethe variationintheprocessdeploymentindexmeasuresacrossdifferentoperatingunitsbefore improvementmeasuresareattempted.Avariationinresultsindicatesadifferenceindeploymentlevels, whichinturnindicatesalackofinstitutionalization.However,determiningarootcausefor noncomplianceisakeyfocus.Weneedtounderstandtherootcauseofwhypeoplearenotusinga certainprocess.Insomecases,itisatrainingissue.Butifitisbecauseanemployeeisnotfindingvalue intheprocesses,weneedtoknowsowecancommunicatethebusinessvaluebetter,saidArora.
14
TCStracksandmonitorsprocessdeploymentacrossallofitsoperatingunits.Usingaglobaldashboard system,employeeshaveawindowtoviewallmeasuresacrosstheorganization.Measuresare consolidatedattheoperatingunitlevel,processarealevel,andattheenterpriseleveltoprovidea corporateviewandgeneratemeaningfuldiscussion.Allprocessesmustreachastipulatedmaturitylevel acrossoperatingunitswithinagiventimeframe.Thisprocessfortheprocessdeploymentindexis strictlyadheredtobyalloperatingunitsofTCS,includingthosecreatedthroughacquisitions. Theinitialfocusfornewprocessesistoreducethevariationintheprocessdeploymentindexmeasures acrossdifferentoperatingunitsbeforeimprovementmeasuresareattempted.Avariationinresults indicatesadifferenceindeploymentlevels,whichinturnindicatesalackofinstitutionalization. Duringacquisitions,processintegrationissupportedthroughaframeworkthatcomparesexisting processestoTCSprocesses.Theobjectiveistoidentifythebestprocesses.Ifourprocessesaremore matureandeffective,thenweuseourprocess,saidArora.However,insomecases,TCSidentifies processesintheacquiredorganizationthatdemonstrateabettervalue.Itisextremelycriticalthat processesandtechnologybeintegratedforachievingbetteradoption.Legalandculturalrequirements arealsoconsideredduringprocessintegration. ChangeManagementandCommunication AccordingtoArora,effectivechangemanagementandcommunicationarecriticaltoachieveprocess excellence.Communicatingbusinessvalueiscriticalbecausepeople,nottechnologies,driveprocess excellence,andthosepeopleneedtobeawareofthevalueinadoptinganyprocess,hesaid. AtTCS,changemanagementensuresconsistentprocessadoptionacrosstheorganization.Itschange managementmodel(Figure11onpage16below)issegmentedintoanalysis,planning,andexecution. Intheanalysisphase,stakeholderanalysis,benefitidentificationandplanning,andachangeimpact assessmentfeedintoachangereadinessassessment.Thechangereadinessassessmentexamines changeresponsebehaviorandassessesreadiness.Theplanningphaseisguidedbyatrainingand communicationstrategy.Thechangemanagementplansummarizesconcernareastoprepareforand detailshowtofacilitatethechangeprogram.Finally,theexecutionphaseinvolvestrainingand communicationandpossiblyorganizationalrestructuringandrolealignment.Insomecases,thechange managementstrategymayrequiretheorganizationtoredefinerolesandresponsibilities.Each operatingunitleveragesdedicatedchangeagentstoensureimplementation,communication,training, andprocessadoption.
15
Organizational Change Management for ensuring process adoption

Business Solution
A Identify & engage key stakeholders B Identify, prioritize & set measures C Assess change impact Stakeholder Analysis A Benefit Identification & Planning B Change Impact Assessment C G Summarize concern areas & action plan for facilitating the change program
Analysis
D Examine change response behavior & assess readiness
Change Readiness Assessment
D H Execute training plans & measure effectiveness; replan based on feedback I Deploy communication plan & measure effectiveness; refine communications Organisation Restructuring J J Re-define roles & responsibilities
Training Strategy & Plan
Communication Strategy & F Plan
E Devise training strategy & plan F Formulate communication plans, describe channel & interventions
Planning
Change Management Plan
Training Delivery
Communication Delivery I
Execution
15th July 2009
47
Figure11:ChangeManagementModel TCSusesacommunicationmanagementstrategytoensureprocessimprovementsareclearly articulatedacrosstheorganization.Intheearlystagesofprocessrollout,communicationplanning determinesinformationandcommunicationneeds.Onceneedsaredefined,communicationplans addresshowtomakeinformationavailabletostakeholdersinatimelymanner.Theorganizationalso developswaystomeasureeffectivenessofcommunication. TCSadoptsanumberofonewayandtwowaycommunicationchannelsthatleverageacombinationof pushandpullcommunicationstrategies.Itsobjectiveistomakesurecommunicationscascadeacross theorganizationbothverticallyandhorizontallyonaregularbasis.Onewaycommunicationchannels include: surveys, KnowMaxaKMportal, processevents, @TCSaninternalmonthlymagazine, UltimaxNewsCorneranintranetsite, wikis,and screensaversandwallpapersonPCs, leadershipvideos. internalemailbroadcast, Theorganizationalsousesthefollowingtwowaycommunicationstrategies: reviews, wikis, internalcustomerconnections, aKMdiscussionboard,
IdeaMaxanideagenerationplatform, internalblogs, emails,
processevents,and townhallmeetings.
CUSTOMERREQUIREMENTS
Obtainingstakeholderandpractitionerfeedbackiscriticaltooursuccess.Ourtoolsandtechniquesare designedtocaptureimmediatefeedbackoncumbersome,difficult,andredundantprocesssteps. A.Srinivasan,VicePresidentandGlobalHeadofKnowledgeManagementSystemsandProcess Digitization,TCS AccordingtoSrinivasan,stakeholderandpractitionerfeedbackarecriticaltoprocessimprovementat TCS.Accordingly,eachprocesscollectsfeedbackfrommultipletypesofconsumers,includingcustomers, practitioners,partners,suppliers,alliancepartners,shareholders,professionalbodies,andanalysts. Figure12showsthefeedbackcollectionmethodsemployedbyTCS.Customerfeedback,forexample,is gatheredstrategicallyandtactically.Atthestrategiclevel,customerinputisobtainedfromclient engagementandleadershipteams,clientvisits,clientevents,andacustomersurveyprocess.Customer feedbackisalsoobtainedthroughinteractionwithclientpartnersandduringprojectreviews.Feedback frompartners,shareholders,andregulatorybodiesisgatheredfromavarietyofteamsandmeetings thatincorporatekeyshareholdersandpartners.
Stakeholder and Practitioner Feedback Collection

Customer Feedback
Strategic Level: Client Engagement by Leadership Team, Client Visits, Client Events, Lifeline survey Tactical Level: Client interaction with Client Partner/GRM, Client Events, Lifeline Survey Operational Level: CSAT Survey, Project Review Internal Customer Connect Advisory Council Meetings Feedback collected from deployment support Partner Surveys, Partner Relationship Management Leadership Team & Partner connect Feedback through AGM Shareholder compliant handling by Company Secretary Leadership Team connect Pilot & Process Reviews Surveys (Dipstick and Detailed) Wiki Platform Ideamax
Practitioner Feedback Partner/ Suppliers/ Alliances
Shareholders Government/ Regulatory Bodies/ Professional Bodies
Participation in forums organized by Government agencies, Regulatory bodies, Professional Bodies Leadership Team connect Analyst Relationship Managers Analyst Meets & participation in Analyst surveys, forums Analyst reports
Analysts
Provides immediate feedback on cumbersome/ difficult to use/ redundant process steps Creates buy in amongst users, and reduces process deployment drag
15th July 2009 29
Figure12:FeedbackCollection
17
TCSrelationshipswithacademicinstitutionsareanotheropportunityforcontinuousfeedback.TCS oftenrecruitsemployeesfromuniversitiesandworkscloselywiththoseuniversitiestoensureitis obtainingthebestpossiblecandidates.Everysixmonths,leadersfromTCSmeetwithheadsof universitiestosharethecurrentbusinessplanandcommunicateknowledgegapsinitsworkforce. Universityleadersusethisinformationtodesigncoursesthatareintegratedintothecurriculum. OngoingcollaborationbetweenTCSanduniversitiesismutuallybeneficial;studentsreceivetrainingthat makesthemmoremarketableintheworkforce,andTCSensuresitwillattractemployeesthatfilla businessneed. TCSalsoobtainspractitionerfeedbackthroughitsadvisorycouncilmeetings,pilotandprocessreviews, andsurveys.Theprocessexcellencegroupalsoreliesonanumberofinternalplatformstocollect practitionerfeedback.Theorganizationalwikiplatform,IdeaMax,andtheinternalcustomerconnectare someofthetechnologiesthatcollectprocessfeedback.Aspartofitsplatform,TCShasanumberof socialnetworkingplatforms(likeanenterprisewideQ&Aplatform)nurturingemployeecollaboration andtheseplatformsalsoplayadirectorindirectroleingatheringfeedback.Apartfromthis,virtual communitiesareoftenformedintheKMplatformtodiscusscustomerfeedbackorotheraspectsthat affectprocessimprovement. Asnoted,customerrequirementsaregatheredfromsurveysandcustomersatisfactionmetrics.TCS usesfrequentcustomersatisfactionsurveystocollectfeedbackthatcanaffectprocessexcellence.Each projectisrequiredtoissueacustomersurveyeverysixmonths.Datafromthesesurveysistracked againstprocessmaturitymetricstoensureTCSismeetingclientexpectations.Inaddition,alifeline surveyisissuedtoensuretheorganizationiscreatingvalueforthecustomer.Customerfeedbackisused todevelopbenchmarksandensureconsistentperformance.Thecustomerperspectiveisimportant;TCS strivestoensureapositiveexperienceforcustomersonthemostcriticalparametersfromtheir perspective.Dataiscorrelatedtocustomersatisfactiontoensurethereisalignmentbetweeninternal andexternalmeasures. TCSalsotracksmeasuressuchasontimedelivery,onbudgetdelivery,anddefectfreedelivery.The deliveryandnondeliverymeasuresaremadeavailabletocustomersthroughadashboardthat customersusetoprovideinstantandonlinereviewsofongoingprojectactivities. Sinceemployeesarethelargestconsumersofprocesses,theirfeedbackisalsocollectedand incorporatedasacriticalmeasureintoTCSorganizationalprocessdashboard.TCStrackstheoverall associatesatisfactionindexusinganinternalsatisfactionsurvey.Morethan110,000employees completedthesurveyin2009.
18
CRITICALSUCCESSFACTORS,LESSONSLEARNED,ANDTHEFUTURE
Processexcellenceisacontinuousprocess.Itisajourneythatcontinuesyearafteryear. GovindarajanJagannathan,ExecutiveVicePresidentandGlobalHeadofBusinessExcellenceand LeadershipandGovernanceProcessDesign,ProcessExcellenceGroup,TCS TCSsuccessinprocessexcellenceisvalidatedbytheawardsitreceives,highcustomersatisfaction,and continuousgrowth.InFY2009itsrevenuesexceeded$6billion,whichearnedtheorganizationarankof 442ontheForbesGlobal2000list.AmongglobalITserviceorganizations,TCSisalreadyrankedinthe top10foritsrevenue,profits,marketvalue,andemployees.Therankingisbasedonthecompanys studyofvariouscompanieswebsites.Engagementscontinuetogrowbothinsizeandscope.Projects thatexceed$50millionincreased380percentin2008. Duringitsprocessexcellencejourney,TCSidentifiedseveralcriticalsuccessfactors. First,itiscriticaltoinvolveallrelevantstakeholdersinprocessmanagement.TCSleadershipsupportfor itsprocessimprovementstrategiesplaysacriticalrole.Forexample,seniorexecutivesinteractwithkey stakeholdersinkeepingprocessesimprovedonacontinualbasis.Seniorleadersalsohelppromote changemanagementstrategiesandworkcloselywithdesignteamsonaregularbasis. Secondly,itisimportanttoalignprocesseswithoverallbusinessneedsandstrategy.Identifyingbusiness valueandappropriatemeasureshelpsensureprocessimprovementsarealignedwithstrategyand improvingefficiency.Ifyoucantcorrelateaprocesstoabusinessvalue,thenyoucantbesureitis improvingtheorganization,saidJagannathan. Third,itisimportanttofocusonorganizationalchangemanagementandaddresschallengesinthe processdesignphase.Processesmustbefocusedonpeople,nottechnology,saidArora.Itispeople whoultimatelydeployandintegrateaprocess.Asaresult,TCSfindsthatprocessesmustbealigned withtheexpectationsandmotivationsoftheworkforce.Changemanagementandcommunication strategieshelpobtainbuyinandcomplianceacrosstheworkforce. Also,organizationsmustfocusonenablerssuchasdigitization,competencybuilding,andreuse.You cantbeexpectedtomanageprocessesmanually;itispainstaking,saidJagannathan.Everythingmust beautomatedandfeedintothecollectiveknowledgebaseoftheorganization. Finally,itisimportanttoleverageforumsthatfocusonbestpracticesandknowledgesharing. Continuousimprovementreliesonfeedbackfromstakeholders,practitioners,andothersthatusethe processes.Socialnetworkingandcollaborationareimportanttotheeffectivenessofeachstrategy.
19
TCSalsosharedlessonslearnedfromitsprocessexcellencejourney.Theorganizationemphasizesthe importanceofasystematicprocessdeploymentstrategyinconjunctionwitharobustchange managementandcommunicationstrategy.Youcanhavethebestprocessesinplace,butunless someoneisusingthem,theyhavenovalue,saidJagannathan.Inaddition,theorganization recommends: processenablementthroughcompetencyenhancement, processenablementthroughdigitization, customercentricityandfocusonbusinessvalueofanyprocessthatistobedeployed,and simpleandintegratedprocesses. Processexcellenceisajourney,andTCSstrivestoconstantlyimprove.Thegoalistoensurethatall processesaresimple,agile,integrated,andreflectLeanprocessmanagement. TCSprocessesevolvebasedonmarketandcustomerneeds.Eachyeartheenvironmentchangesand TCSmustupdateitsprocessesandofferingstoaddresschangingcustomerneeds.Someofthechanges in2008resultedinproductivityandcustomerrelationshipimprovements.Thefocusin2009istodeliver morevaluetocustomersusingfewerresources.Accordingly,TCSfocusesonoperationalexcellenceand thebusinessadviserprograminresponsetochangesintheeconomy.Jagannathansaid:Timeschange andprocessesalsochange.Withthat,weimplementchangesintheprocessexcellencegroupaswell. Operatingduringchallengingperiodsrequiresincreasedoperationalefficiency.Operationalefficiency canbeachievedinseveralways,accordingtoJagannathan.Headvisesfocusingonthedesignof appropriateprocessesinseveralfunctionalareaslikesales,delivery,marketing,andHR.Streamlining processesusingdigitizationalsomakesiteasiertomanagedeployment.Processefficiencyrelatesto howwellprocessesaredeployed,whereasmeasuringbusinessbenefitsrelatetoeffectiveness. Designingprocessesanddigitizingappropriateprocesseswithafocusonmeasuringefficiencyand effectivenessarekeyenablersforidentifyingandreducingwaste,whichcontributestooperational efficiency.Aligningtheprocessdesignwithbusinessstrategyandkeepingtheprocessesagilethrough regularfeedbackfrommultiplestakeholderscannotbeandshouldnotbecompromised,said Jagannathan.Providingplatformsforsharingknowledgeacrosstheorganizationhelpsaccelerate organizationallearning.Finally,beingtransparentonprocessandrelatedmeasurementdetails enhancescustomerconfidenceandplaysasubstantialroleinfosteringalongstandingrelationshipwith customers.
20

PEG Case Tcs Operating Tactics Reduce Costs Retain Customers

Caricato da

Informazioni sul documento

Copyright

Formati disponibili

Condividi questo documento

Condividi o incorpora il documento

Opzioni di condivisione

Hai trovato utile questo documento?

Questo contenuto è inappropriato?

Copyright:

Formati disponibili

PEG Case Tcs Operating Tactics Reduce Costs Retain Customers

Caricato da

Copyright:

Formati disponibili

OperatingTacticsinToughTimes: ReduceCostsandRetainCustomers

Award).In2009TCSreceivedtheMostAdmiredKnowledgeEnterprise(MAKE)awardforthefourth timesince2005andrankedNo.1bytheDataquestMagazinesDQTop20companyrankingsfor2009 forthe7thconsecutiveyear.

Our Process Excellence Journey

2006 2005 2004 2002 2001 1999 1994

TL9000, AS9100, IS13485, ISO 27001, ISO 20000

TCS wide ISO 9001:2000, BS7799, BS15000

TCS wide CMMI and P-CMM Level 5, JRD QV Award

TCS wide ISO 9001:2000 certification 4 centers assessed at P-CMM Level 4

P-CMM 17 centers assessed at SW-CMM Level 5 SW-CMM

Copyright 2009 Tata Consultancy Services Limited

Figure1:TheTCSProcessExcellenceJourney TheprocessexcellencejourneyiscontinuousanddynamicatTCS.Moreover,sinceinformation technologyisanagileindustry,strategyandprocessreviewsoccurquarterlyandsometimesmore

TheprocessexcellencegroupworkswitheachTCSoperatingunittoensurethateachprocessis designed,deployed,andimprovedinaconsistentmanner.Figure2illustratesthelinkbetweenthe processexcellencegroupandTCSoperatingunits.Teamsfromthegrouparedeployedtoensureproper support,design,andcomplianceofTCSprocesses.

Process Excellence Group and its Interface with Operating Units

Process Excellence Leader

Audit & Compliance

Client Groups & Other OU functions

Audit & Compliance Team

Knowledge Champion Information Security Manager

15th July 2009

Copyright 2009 Tata Consultancy Services Limited

Copyright 2009 Tata Consultancy Services Limited

Figure3:TheWheelsofProcessExcellenceModel AtTCS,processdigitizationestablishescontrolsandautomation.Refertopage6ofthiscasestudyfor additionaldetailonprocessdigitization.

TheProcessDesignandImprovementModel Asmentioned,processdesignandimprovementisoneofthekeywheelsthatdriveprocessexcellence acrossTCS.Processdesignandimprovementadherestoamodelthatprovidesinputsandlinksfrom severalresources.Figure4depictstheprocessdesignandimprovementstepsintheorganization.

Process Design and Improvement

Process Design and Improvement

Analyse Impact s Identify KPIs Design Processes Modify Process Design

To CAB for Plan integration

Learning/ Best Practices

Baseline new processes Prepare Training Material Update Knowmax

Process Performance Analysis

To Deployment Support for process deployment

15th July 2009

Copyright 2009 Tata Consultancy Services Limited

From Process Design & Improvement

Identify digitization requirement

Process Deployment/ Support

Digitize process workflow

Sign off User Acceptance Testing

Release Digitized Process Workflow

15th July 2009

Copyright 2009 Tata Consultancy Services Limited

Toassistwiththeprocessdeployment,TCSleveragesdigitizedtoolsencompassingseveralareasof integratedqualitymanagementsystemsthroughouttheprojectlifecycle.Figure6depictstheprocess, tools,andmethodsthatsupportdigitization.

Lessons Learned/ Best Practices

Project planned & actual data/ Risks

Project closure Information/ Project end metrics

Project Windup IPMS

Project Monitoring (PM) GQD, TCS RP, D25

Project Audit TQAS

15th July 2009

Copyright 2009 Tata Consultancy Services Limited

From CAB on Integrated Release Plan From Process Digitization

From Process Design

Support Deployment Tracking training and deployment status Collect Feedback

From Audit & Compliance on change requirement

Identify improvement Communicate change requirement

Copyright 2009 Tata Consultancy Services Limited

ProcessComplianceandAudit ThefinalelementintheTCSprocessexcellencewheeliscompliance.Figure8showsthecompliance processesatTCS.

Process Digitization Process Compliance

Process Design & Improve ment

Review & Sign off Process Design

Prepare ACM Training Material Update Audit Checklist

Process Design & Improve ment

15th July 2009

Copyright 2009 Tata Consultancy Services Limited