Friday, October 12, 2012

What are Maturity Models? What is CMMI?


Identify two frameworks or maturity models and briefly discuss similarities and differences between them.
1.0 Maturity Models
Maturity models are “generic models that help analysts identify the specific management processes.”
Some of the “frameworks and maturity models that are currently popular … the Project Management Institute's (PMI) Project Management Maturity Model and then consider the Software Engineering Institute's (SEI) CMMI model, the Supply Chain Council's (SCC) SCOR business framework, and the IT Governance Institute's (ITGI) COBIT framework.” (Harmon, 2007).
In this discussion, I will focus on two of these; the Software Engineering Institute's (SEI) Capability Maturity Model Integrated (CMMI) and the Supply Chain Council’s SCOR Framework.
2.1   Software Engineering Institute's (SEI) Capability Maturity Model Integrated (CMMI)
The SEI’s Capability Maturity Model Integrated (CMMI) “is a process improvement approach that provides organizations with the essential elements of effective processes, which will improve their performance. CMMI-based process improvement includes identifying your organization’s process strengths and weaknesses and making process changes to turn weaknesses into strengths.” (http://www.sei.cmu.edu/cmmi/index.cfm).
The model was described in a book, The Capability Maturing Model: Guidelines for Improving the Software Process in 1995. (Reviewed by Paul Harmon at www.bptrends.com).  “In essence, the CMM team defined five stages that organizations go through as they move from an immature to a mature understanding of business processes. These stages were defined using examples from software organizations, but they apply equally to any large organization.”  (Harmon, 2007).
“The key assumption that the CMM team makes is that immature organizations don't perform consistently. Mature organizations, on the other hand, produce quality products or services effectively and consistently.”  (Harmon, Introduction. 2007).
In the CMM book, they describe it this way:
“In a mature organization, managers monitor the quality of the software products and the processes that produce them. There is an objective, quantitative basis for judging product quality and analyzing problems with the product and process. Schedules and budgets are based on historical performance and are realistic; the expected results for cost, schedule, functionality, and quality of the product are usually achieved. In general, the mature organization follows a disciplined process consistently because all of the participants understand the value of doing so, and the necessary infrastructure exists to support the process.”  (Harmon, Introduction. 2007).
Watts Humphrey, one of the leading gurus behind the CMM effort, describes it this way:
“An immature software process resembles a Little League baseball team. When the ball is hit, some players run toward the ball, while others stand around and watch, perhaps not even thinking about the game. In contrast, a mature organization is like a professional baseball team. When the ball is hit, every player reacts in a disciplined manner. Depending on the situation, the pitcher may cover home plate, infielders may set up for a double play, and outfielders prepare to back up their teammates.”  (Harmon, Introduction. 2007).
CMM identified five levels or steps that describe how organizations typically evolve from immature organizations to mature organizations as follows:
Level 1: Initial. The process is characterized by an ad hoc set of activities. The process isn't defined and success depends on individual effort and heroics.
Level 2: Repeatable. At this level, basic project management processes are established to track costs, to schedule, and to define functionality. The discipline is available to repeat earlier successes on similar projects.
Level 3: Defined. The process is documented for both management and engineering activities and standards are defined. All projects use an approved, tailored version of the organization's standard approach to developing and maintaining software.
Level 4: Managed. Detailed measures of the software process and product quality are collected. Both the software process and products are quantitatively understood and controlled.
Level 5: Optimizing. Continuous process improvement is enabled by quantitative feedback from the process and from piloting innovative ideas and technologies.
“The CMM approach is very much in the spirit of the Total Quality Management (TQM) movement that was popular in engineering and manufacturing during the late eighties.  CMMI's focus is on improving processes, but their major assumption is that processes are improved as they are defined, executed consistently, measured and, as a result of measurement, systematically improved.” (Harmon, 2007). 
“CMMI models are collections of best practices that help organizations to dramatically improve effectiveness, efficiency, and quality. These products, or CMMI solutions, consist of practices.  Practices cover topics that include causal analysis; configuration management; quality assurance; verification and validation; risk management; requirements management; supplier management; project management; interface compatibility; make, buy, or reuse analysis; capacity management; availability management; disaster recovery, data collection, process performance; and more.”  (http://www.sei.cmu.edu/cmmi/index.cfm).



2.2   Supply Chain Council’s SCOR Framework
The Supply Chain Council’ SCOR framework “is a management tool. It is a process reference model for supply chain management, spanning from the supplier's supplier to the customer's customer. The SCOR-model has been developed to describe the business activities associated with all phases of satisfying a customer's demand. By describing supply chains using process building blocks, the Model can be used to describe supply chains that are very simple or very complex using a common set of definitions. As a result, disparate industries can be linked to describe the depth and breadth of virtually any supply chain.” (www.supply-chain.org).
SCOR helps manage “a common set of business problems through a standardized language, standardized metrics, and common business practices which accelerate business change and improve performance.”  It is primarily “used to identify, measure, reorganize and improve supply chain processes make up a supply chain system.”  (www.supply-chain.org).
“For each supply chain process, like Source, Make, Deliver, or Return, they require the modeler to add a Plan process. … in effect creating a picture of the process management effort required for a supply chain process.”  (Harmon, 2007).  The Plan sub-process calls for “management of business rules, supply chain performance, data collection, inventory, capital assets, transportation, planning configuration, regulatory requirements and compliance, and supply chain risk” as well as aligning the supply chain plan with the financial plan.  
According to the SCC, a SCOR framework contains “a standard description of management processes, a framework of relationships among the standard processes, standard metrics to measure process performance, management practices that produce best-in-class performance, and standard alignment to features and functionality.  Once a complex management process is captured in Standard Process Reference Model Form, it can be implemented purposefully to achieve competitive advantage, described unambiguously and communicated, measured, managed, and controlled, and tuned and re-tuned to a specific purpose.”  SCOR Frameworks, (www.supply-chain.org).
The SCOR model “provides a unique framework that links business process, metrics, best practices and technology features into a unified structure to support communication among supply chain partners and to improve the effectiveness of supply chain management and related supply chain improvement activities.”  (www.supply-chain.org).
3.0 Similarities and Differences
A number of industry groups “are working to define the processes that managers use when they manage specific processes. Some groups have focused on the activities, skills and processes that a manager would need to manage an ongoing process, and others have focused on the activities, skills and processes a manager would need to manage a project. Some have focused on the activities of senior process managers and others have focused on managers who are responsible for very specific core processes. Organizations that focus on managerial processes usually tend to establish process management training programs to help their managers acquire the skills they need to perform better.”  (Harmon, 2007).
4.0 References
Harmon, P. (2007). Business Process Change: A Guide for Business Managers and BPM and Six Sigma Professionals. Burlington, MA 01803: Morgan Kauffman Publishers.
Harmon, P.  CMMI: Guidelines for Process Integration and Product Improvement. September 02, 2003. www.bptrends.com.
For more information on Software Engineering Institute's (SEI) Capability Maturity Model Integrated (CMMI), visit www.sei.cmu.edu.
For more information on the Supply Chain Council's SCOR framework, visit www.supply-chain.org.

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