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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
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BACKGROUND
Everyyeartheenvironmentarounduschanges.Aschangesoccurinthemarket,wemustanticipateand updateourprocesses.Today,ourfocusisonhowtodelivermorewithless. A.Srinivasan,VicePresidentandGlobalHeadofKMSystemsandProcessDigitization,TCS TCSOperatingModelandProcessExcellence ProcessexcellenceisengrainedintheTCSculture,services,customermanagement,andorganizational operations.Since1994,TCShasstrategicallyfocusedonprocessimprovement.Figure1depictsthe processexcellencejourneyatTCS,whichinitiallyfocusedonqualitycontrolsystemsandquality management.
2007
TCS wide ISO 9001:1994 certification ISO 9001:1994 Early 90s: TCS-QMS 80s: Quality Assurance
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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.
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PEG
Process Excellence Head
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)
Bid/Sales Mgmt. Office Audit & Compliance Manager Quality Assurance Manager Program Mgmt. Office
OU Support Team
OU Support Team
PI Champion BM Champion
Digitization
Process Digitization
Process Improvement
Process Improvement
PI Support
21
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
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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.
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OU PE 2
Process Steps
Gather Requirements Prioritize Requirements
Linkage
To Process Digitization for defining digitization requirements
Quality Models
Improvement Strategy
Pilot process
Yes with Change
Success
Yes
Discard/Redefine processes
No
To CAB, Audit & Compliance, Deployment Support for process review and sign off
Train PDS/ACM
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
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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
Process Digitization
Inputs
Process Design
Process Steps
Digitization
Linkage
Process Deployment
From CAB
Review high level processes and Sign off Integrated Process Release Plan
Process Acceptance
42
Figure5:ProcessDigitization
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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
IPMS
TQAS
EQP, GQD
D-25
Project Status/Metrics
Project data
43
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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
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 OU PE based on deployment challenges/ issues faced To Core Process Design and Improvement
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Figure7:ProcessDeployment
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Compliance
Compliance
Process Acceptance CAB
Process Deployment
OU PE 2
OU PEn
Prepare Integrated Release (feature) Plan (Budgeting) Review & Sign off Process Design Decide on piloting
Design Team
Digitization Team
Process Acceptance ACT
Process Verification
Yes
Need
NO
Conduct Process Audit Analyze Non Compliance Communicate change Deployment Team
Release process
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.
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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.
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PROCESSADAPTABILITYANDQUALITY
TCSdevelopedarobustqualityframeworkforprocessmanagementthatencompassesindustry standards,anintegratedqualitymanagementsystem,andorganizationalvaluepropositions.Figure9 depictstheunderlyingqualityframeworkforprocessmanagement.
Strengths
Solution/Service Delivery Processes People Processes Security Processes Support Processes Knowledge Management Tools and Technology Assets
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
31
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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
Lag Measure s
Results of Deployment (Some BSC Measures should have a bearing with Measures of PDI)
Goals
Lag Measure s
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.
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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.
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Analysis
D Examine change response behavior & assess readiness
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
E Devise training strategy & plan F Formulate communication plans, describe channel & interventions
Planning
Training Delivery
Communication Delivery I
Execution
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,
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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.
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
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Figure12:FeedbackCollection
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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.
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2009APQC.ALLRIGHTSRESERVED
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.
OperatingTacticsinToughTimes: ReduceCostsandRetainCustomers
19
CaseStudy:TataConsultancyServices
2009APQC.ALLRIGHTSRESERVED
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.
OperatingTacticsinToughTimes: ReduceCostsandRetainCustomers
20
CaseStudy:TataConsultancyServices
2009APQC.ALLRIGHTSRESERVED