IT Alignment: The Supply / Demand Perspective April-2008 Meeting.

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IT Alignment: The Supply / Demand Perspective April-2008 Meeting

Transcript of IT Alignment: The Supply / Demand Perspective April-2008 Meeting.

Page 1: IT Alignment: The Supply / Demand Perspective April-2008 Meeting.

IT Alignment: The Supply / Demand Perspective

April-2008 Meeting

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Agenda

• Happy Spring / April!

• Today’s Review

– THE IT FACTORY

• Current State

• Supply / Demand Balance

• Actions

• Issues – Resource or Other

• Your Feedback is Appreciated

• Ideas for Improvement or New Method to View our Data

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Our IT Factory …

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

ACTIVEPROJECTS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

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Our IT Factory …

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

We are averaging approx 35* new request projects per month …

* March-08 is high due to RC transition.

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Our IT Factory …

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

We are averaging approx 20* completed projects per month …

* expect this to decrease in 2008.

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Our IT Factory …

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

The number of project cancellations and rejections are decreasing …

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Our IT Factory …

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

ACTIVEPROJECTS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

There are 134 requested projects

<90 days old.

There are 22 requested projects

>90 days old.(Fill / Kill)

There are 36 projects on-hold.

(Fill / Kill)

There are 135 projects that are

active and scheduled to

complete in 3mo planning horizon.

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Our IT Factory …

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

ACTIVEPROJECTS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

35/mo 20/mo

<3/mo

134

22 36

135

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Our IT Factory … ARE WE FOCUSING ON THE RIGHT PROJECTS?

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

ACTIVEPROJECTS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

35/mo 20/mo

<3/mo

134

22 36

135

• IT Worked on 155 Projects in March

• 80% Effort into 27 Projects (right ones) – 80/20

• 20% Effort into 128 Projects

• 19% Effort into 31 Top 5 Projects – downfrom 25% in March – 5 top5’s are scheduled to complete this week

Yes

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Our IT Factory … ARE WE IN BALANCE?

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

ACTIVEPROJECTS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

35/mo 20/mo

<3/mo

134

22 36

135

No

This will decreaseas R3 Upgrade,

M+A, Notes Rollout,etc. ramp up in

2H – 2008 …

We need to makesome adjustments

in order to bring ourfactory into equilibrium …

APPLY BRAKES, gently.

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Our IT Factory … TARGETS FOR BETTER BALANCE

InboundProjects

Outbound Completed

ProjectsParkingLot

Work Scheduledand In-Process to be

delivered in NEXT 3 MONTHS

ACTIVEPROJECTS

OutboundCancelled or

Rejected Projects

Short TermParking

Long TermParking

Work Startedbut Placed On-Hold

35/mo 20/mo

<3/mo

134

22 36

135

X X

X

X

X

2560

60

20

>=5

Targets

X

Constraint

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Actions in Next Months: SUGGESTED ACTIONS THAT SHIFT PERFORMANCE TO TARGETS …

• Demand / Business Relations Managers– Only enter the highest value project requests – Decrease the volume from past– Reject projects that are requested or initialized – at sponsor checkpoint– Recommend cancellations for active projects in early phase of implementation– Manage customer expectations based on current constraints and from other actions

below

• Portfolio Managers– Do not approve new projects, Approve new Top 5 projects to replace cancelled active

projects – Make trades– Cancel or Hold active projects based on recommendations

• Projects Managers– (Re)Schedule active projects with realistic completion date (scheduled finish date) –

making nice progress on this …include calendar time for production move and customer signoff

– Validate remaining effort hours – encourage contributor estimate on timesheet

• Resource Managers– Validate that resource effort is flowing to approved work schedules– Approve less resource requests – concentrate resources on fewer projects and

schedules– Transition RTE work to offshore services – freeing up more time for project work

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Issues

• IT resources are not overloaded in the 6 week horizon

– We are capacitated for next 6-12 weeks

• Overloads:

– False Positive?: Sheldon Wolfe (R3 upgrade)– R/3 upgrade allocations could cause overloads – approx half of allocations are

completed … we will watch this (please raise the red flag)

• Available:

– ~10 resources have some available capacity (Make-to-order developers)

• Are there any resource constraints that need resolution?

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• REFERENCE DATA

• PROJECTS SCHEDULED TO COMPLETE IN THE 3 MONTH PLANNING HORIZON

• ORGANIZED BY PARENT TEAMS

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Top 5’s scheduled to complete in next three months. Will we achieve these scheduled finish dates? …

Encourage Proj Mgr to revisit and assess scheduled finish date … Work with Business

Relations folks to manage the customer expectations …

If adjust, make sure customer communication is appropriate …

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Planning Horizon for: BAD

Encourage Proj Mgr to revisit and reset finish date

based on current assessment …

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Planning Horizon for: BIC, BID

Encourage Proj Mgr to revisit and reset finish date based on current

assessment …

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Planning Horizon for: BMD, Shared Services Teams

Encourage Proj Mgr to revisit and reset finish date based on current assessment …

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Planning Horizon for: OTC

Encourage Proj Mgr to revisit and reset finish date based on current assessment …

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Planning Horizon for: EHS, eRela, Global Support, HR, Mfg+SupplyChain, Sales + Marketing

Encourage Proj Mgr to revisit and reset finish date

based on current assessment …

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Planning Horizon for: ITAI, PMO

Encourage Proj Mgr to revisit and reset finish date

based on current assessment …

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Project Manager Actions

• Set projects status to complete– Look for Work notifications and respond, otherwise set the work status to complete

• Set realistic schedules– Add a multiple-week bias to the estimated schedule finish date– Use online procedure in training– Step 10, Set the Schedule,

http://learning.rohmhaas.com/D2D/Flash/D2D_Discretionary.html

• Encourage use of contributor estimate in the timesheet– Overrides remaining allocated effort with “contributor’s best assessment of

remaining work”– Discuss at weekly project team meeting(s)

• Set baseline when ready – project manager discretion– Baseline takes snapshot of allocated effort and schedule dates– Use online procedure in training– Step 13, Report Progress,

http://learning.rohmhaas.com/D2D/Flash/D2D_Discretionary.html