itSMF Cleveland - Executive Metrics Dashbaord · Metrics and Key Performance Indicators • A...
Transcript of itSMF Cleveland - Executive Metrics Dashbaord · Metrics and Key Performance Indicators • A...
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MetricsMaking a splash with executive metrics dashboards
HP IT Executive Scorecardhttp://www.hp.com/go/xs
Mark [email protected] Product Manager – XS & ITFM
Mark E. Bradley, Senior Product Manager September [email protected]
IT enables the Instant-On Enterprise
of capital projects dependon information technology
INNOVATION
70%70%
30%30%
OPERATIONS
AverageBest in Class
50%50%
50%50%
However IT can perform better
2 in 3 projects fail34% not aligned to strategy
Over 80% lack documented requirements2-8 weeks to provision code change
End-users detect 75%+ of production outages10+ hours to restore service
Costly, high profile security attacksExplosion in rich and structured data
Increasing compliance burden
Bringing the Data Together – Design
United Airlines & Metrics Journey
Agenda
Why does Performance Management Matter?
The importance of good Information
© F
ortu
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agaz
ine
Does any of this sound familiar?
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“We spend more time gathering data than
analyzing it.”
“By the time the reports are ready they are out of
date.”
“The business is debating the origin of the facts rather than
what the facts tell them.”
“With IT and business systems we have at least two sources of financial truth and three sources
of labor truth”
“Like a duck - calm on the surface but paddling like the dickens underneath.” Michael Caine
Source: Implementing Service & Support Management Processes: A Practical Guide Page: 276 -- By Mark E. Bradley
Expectation/s
IT Services
Performance/$
Request for service
SLA SLA
Highly satisfied
Highly dissatisfied
Consumers
IT Organization
Service Catalog
GoldSilverBronze
Options
Parameters
Levels
OLA UC
The Metrics Challenge
SpreadsheetAt
Starting Gate
Partial Automation
IT Warehouse And Analytics
Where are you?
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GROUP INPUT: WHERE ARE YOU ON THE ROAD-MAP AND HOW FAST ARE YOU GOING NOW????
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What is on the Mind of a CIO?Raise the ROI of IT
Execution
Pipeline & Resource
Management
ProjectExecution Operations
& SupportProject/Program Management
IT ValueMeasured by: value generation customer satisfaction employee engagement cost efficiency
Strategic Alignment
ProjectPortfolio
Management
Envisioning
Architecture
IT Value Chain
• Right balance between Cost / Investments and Value Generated
• Leverage information and technology to enable business strategies • Drive operational excellence
Bringing the Data Together – Design
HP Reporting Strategy & Executive Scorecard
Agenda
Why does Performance Management Matter?
Bringing Data Together
• Is there a lot of manual data collection?
• Is the data you need available when you need it?
• Are there issues with complexity or reliability of the data?
Metrics and Key Performance Indicators• A metric is a piece of measurement data such as:
– Number of incidents logged– Response time– Number of full time employees
• A KPI is a specialized form of metric
• KPIs can be used to show organizational goals– Example: Goal – increase customer satisfaction levels – KPIs may rely on multiple metrics: Customer Satisfaction, Incident Escalation, Service Reliability, SLA
• KPIs lead to action! Choosing the right KPIs, using accurate, up-to-date information to base decisions on, and acting on the data will lead to success in enhancing your organizations performance
The SMART side of metrics• First business needs, then processes, then metrics, then tools
• Keep them simple
• Use “as is/to be” & “is/is not” lists
• Metrics should be S-M-A-R-T–Specific–Measurable –Attainable –Repeatable–Time-dependent
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To Dashboard or Scorecard, that is the question?
Dashboard Scorecard
Tactical – focused on short-term decision making. Strategic – focused on long-term decision making.
Provides a snapshot of business performance Represents trends/changes in business activity over time.
Operationally focused and supported by individual manage Supported by a clearly defined management strategy
Change in performance are evaluated by decision maker. Changes in performance are measured against business goals.
Dashboard Metrics Scorecard Metrics
Number of outbound calls in progress vs. number of individuals currently on the phones.
Average duration of calls with successful resolution
Number of calls exceeding five minutes in duration Average duration of calls with unsuccessful resolution
Number of dropped calls over the last hour Number of successful vs. unsuccessful resolution calls over a period (monthly/quarterly)
Number of calls resolved vs. number of calls made Number of customer complaints over a given period
Counts & comparisons of most frequent customer complaints
Balanced Scorecard• Scorecards have been around for more than 20 years – what’s changed?
– Customers are trying to build their own system of record for IT
– Balanced scorecard with best practice information for IT• Norton/Kaplan: Learning and Growth, Business Process, Customer, Financial
• HP: Future Orientation, Operational Excellence, Customer, IT Value
– IT Managers want to measure and demonstrate performance improvement – KPIs are a way we can help them do that – they have the source data in their environments today
Dashboard Design Concepts• Know your audience
–What are the real questions we are trying to answer?–What level of information are they truly interested in?
IT FinanceCIO
Lines of Business
IT managers
CFO
VP Applications
VP Operations
How do we get timely insights into emerging problem
areas?
How can I reducethe time and
effort needed to report status?
How do we communicateIT value to the
business?
What is the business impact of
increasing or decreasing IT
spending?
CIOBusinessviewpoint
ITviewpoint
“Increasingly, the Board of Directors are realizing how important IT is to the business and many Board members just don’t know the right questions to ask.” CIO, Fortune 500 company
How do we present multiple IT aspects
in consistentbusiness language?
Know your audience – answering key questions
Dashboard Design Concepts• Flexibility
• Instantly understand information value–Monitor at a glance and quickly identify concerns
• Use the right chart to depict the data–Avoid having to ‘learn to read the chart’
• Answer the high level question first–Don’t force deep analysis to get the answer–Make sure the detailed data is accessible if required
• Consistency
United Airlines Case Study
22Footer goes here
United drives strategic investments, removes silos and redundancy
Driving business transformation
CORPORATE OVERVIEW– Commercial Airline Industry; Revenue: $23.2B US (CY2010);
86,000 Employees and over 1200 planes
CHALLENGES– Rationalizing investments, consolidating assets, and improving on corporate wide business
process in a merger driven industry
GOALS– Build an IT infrastructure to support the enterprise-wide business– Eliminate application sprawl, implement consolidated metrics– Develop and execute on a set of consolidated services that
supports UAL both pre- and post-merger with ContinentalSOLUTION
– HP Business Scorecard, supported by …– Broad range of HP Software Products as the Enterprise
services delivery management platform
RESULTS– Complete picture of assets, strategy and plan for renewal – Reduced time to develop by 52%– Changed time to deploy from 6-8 weeks to a few hours– Changed Strategic/Tactical spend ratio from 1:24 to 4:7 Extensibility, Orchestration, and Analytics
Strategy, Planning, and Governance
Services and Support
Application Lifecycle Management
Information Management
IT Operations Management
Security Intelligence and Risk Management
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UAL IT transformation journey timeline
2003 2004 2005 2009 20102006 20082007 2011 2012OMC, NMC , Radia (Client Automation)
OM, GlancePPM
SA, OO, SE, SaaS, Professional Services
CMS, Release Manager, BSM (EUM, SLM)Performance Center, Quality Center, Service Management Center
SaaS, Asset Center
Executive Scorecard
Techno-centric
Service-centric
Business-centric
Merger with Continental
IT TRANSFORMATION ERA
The Journey
Use of technology to provide solutions to support ad hoc requirements
IT services aligned to business requirements, based on common infrastructure, framework, workflow and standardized processes
Partnership with business to proactively drive the strategic direction leveraging a mature and flexible infrastructure
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Our #1 Priority…
Successful merger and integration between
Continental and United
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First Challenge: Metrics and Performance Reporting
Too Many Dashboards
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Second Challenge: DataGroup Program Leader
EPM/PPM # Request Name Resource Time Period Role
Actual Hours UA/On/Off
Operations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Bollampally; Malathi 03/27/11‐04/02/11 Development Lead 14.0 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Saliby; Ziad 03/27/11‐04/02/11 Project Manager 15.0 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Ravipaty; Hamsini 03/27/11‐04/02/11 Developer 16.0 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Sun; Boyuan 03/27/11‐04/02/11 Developer 22.0 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Zhao Ling 03/27/11‐04/02/11 Developer 24.0 Contractor ‐OnOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Zhao Ling 04/03/11‐04/09/11 Developer 8.0 Contractor ‐OnOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Saliby; Ziad 04/03/11‐04/09/11 Project Manager 21.0 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Skidmore; Linda 04/03/11‐04/09/11 Developer 23.0 Contractor ‐OnOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Ravipaty; Hamsini 04/03/11‐04/09/11 Developer 24.5 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Sun; Boyuan 04/03/11‐04/09/11 Developer 36.0 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Bollampally; Malathi 04/03/11‐04/09/11 Development Lead 37.0 UAOperations Crew and Food Services Jane Beeby 51704 Inflight Records Expansion for Merger ‐ Crew and Food Se Aguirre Fernando 04/10/11‐04/16/11 Project Engineer 7.5 Contractor ‐On
Labor type Resource Type CAP/EXP Plan Variance to Plan Jan‐11 Feb‐11Non Labor Hardware / Software Capital (3,587,326) 6,490
Non Labor Hardware / Software Mai Expense (242,795)
Non Labor Hardware / Software Capital 1,100,000 ‐
Non Labor Hardware / Software Mai Expense 180,000 ‐
Non Labor Hardware / Software Capital ‐
Non Labor Hardware / Software Mai Expense 16,990 ‐
Hotel Inventory Application Staff Aug AFE‐Non Shr IAD Baggage Processing Airline AFE‐SHR 52248_11_BPMs for Baggage Screen Processing Total Cost PC Applications Staff Aug Support PC APPS Total Cost CO‐ETA ETA Production Support Staff Aug Support eTA_Hou
SCO SUA Total
Commercial ‐ Contact Center 3 5 8Commercial ‐ Loyalty 19 16 35Commercial ‐ Sales 9 10 19Common Services, Architecture ‐ DW/BI 4 5 9Corporate ‐ Finance 9 10 19Corporate ‐ HR and Payroll 5 6 11Corporate ‐ Revenue Accounting 3 6 9Infrastructure ‐ Enterprise Systems 12 12 24Infrastructure ‐ Service Mgmt 4 4 8Operations ‐ Airline Operations 5 6 11Operations ‐ Cargo 4 5 9Operations ‐ Crew and Food Services 6 7 13Operations ‐ Maintenance 10 10 20Operations ‐ NOC 8 9 17Operations ‐ SSQE 3 4 7PSS ‐ PSS Migration 41 39 80Revenue ‐ Network 1 2 3Revenue ‐ Revenue Management 2 3 5Executable Plan Programs Totals 148 159 307
Project Counts
EXECUTABLE PLAN PROGRAMS
Too Many Sources of the Truth
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Third Challenge: Culture and Philosophy
Different Business Models
Classification of Key Measures
Available, Responsive, Secure
Key Goal Indicators
Critical Success Factors
Key Performance Indicators
Key Performance Metrics
Strategic
Key Fact Metrics
IT Balanced Scorecard
IT Process health dashboards
Functional & process scorecards
Efficient, Effective, Quality, Progress, Utilization, Compliant
FCR Rate, MTTR, Failed RfC, Calls, Abandon, Cycle Times, MTBI, Cost per Call
RFC, FTEs, CIs, Incidents, Problem, Breaches, MAC, Wait Times, # of Calls, Down Time
Real time tickets – Openview Monitoring Integrations, Hot Tickets
Agile Optimized
Tactical
Impact
Alignment of Key Measures
KGICSF
KPI
KPM
KFM
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Key Goal Indicators
Critical Success Factors
Key Performance Indicators
Key Performance Metrics
Strategic
Tactical
Impact
Key Fact Metrics
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s/Se
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Man
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“Do the right things, and do things right”Transform ‘Data’ into Business ‘Information’
Harmonize cultural diversity, standardize terminology, consolidate data sources and align the Division against one standard set of performance metrics.
Establish linkage from Top –Down:
• Corporate Dashboard• IT Division Dashboard• CIO Dashboard• VP Dashboard (Operations,
Application Development)• Director Dashboard• Project Manager Dashboard• Individual Performance Objectives
Ability to aggregate and roll up views
Integration Efforts:• 2 Portfolios• 5 Sub-Portfolios • 25 Programs• 600+ Projects
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Integration Project Dashboard:
United Airlines Solution
See Source: United’s presentation at Discover
• Aligned the portfolios to be integrated to the corporate plan• Broke down the integration efforts into several program and program into several projects• Leveraged HP solution to established a single source• Track 320 IT integration projects mapped to 7 portfolio groups • Map the progress to Corporate Go Forward Plan• Report the progress with metrics at various levels – CIO, PMO, Bus• Integrate the integration performance metrics with overall IT performance
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• 7 Integration Portfolio Groups• 25 Programs• 600+ Projects• ~3,000 IT Resources
Wall Walk Project & Portfolio Mgmt. PMO Executive Scorecard
+
Making Dashboards Work for You• Bring data together automatically–not manually
–Actionable data–Flexibility to take data from alternate sources–Free your people to do the job rather than report on how well they did the job
• Identify the right KPIs to meet your organizational goals
• Know your audience and focus–Not enough data may lead to questions of the context and integrity of the data
–Too much data may make the dashboard unusable
Outcomes• Enable strategic decision making and communicate
business value of IT
• Measure, monitor and improve cost efficiency of assets, labor and processes
• Analyze and understand the financial impact of change
• Drive alignment of IT resources with business problems
• Forecast service labor supply and budgetary needs
• Establish business-aligned metrics to quantify the financial value of IT services
• Optimize IT processes and resources—continuous improvement
QUESTIONS?
Data maturity and the value of analytics
2300 years ago, a few data points enabled Eratosthenes to determine the circumference of the Earth to within 2%
Alexandria
Syene
Eratosthenes
You don’t need a lot of data – just the right data
Eratosthenes calculated the circumference of the Earth without leaving Egypt
THANK YOU
HTTP://WWW.HP.COM/GO/XS
Mark Bradley - Senior Product Manager – XS & ITFM
HP customer and industry research drives the content
Driven by persona business challenges
Aligning IT objectives to persona business
challenges
Based on industry standards
Key performance indicators and analytics
The HP IT Data Model
Scorecard and
Dashboard views
Screen clipping taken: 3/17/2010, 10:47 AM
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