Practical Methodology to control QCD of Information systems in super upper stream-- How to enable IT to contribute to achieve business goals -Reiso Kimura CEO, Dream IT Research LLC#702, 1-4-11, Minamikasai, Edogawa-Ku, Tokyo 134-0085, Japan
Tel#:+81-90-5445-2397,Fax#:+81-3-3688-7042 E-Mail: reiso.kimura@dream-biz.jp
Abstract: More than 70% of IT project was recognized as failure project. Major cause of failure is analyzed as
low quality of planning phase which is called super upper stream. Quality of IT project plan is depending on
human skills in current processes. The methodology to control the quality which can summarize and streamline all
stake holders’ initiatives is created to improve QCD of planning. The methodology have been applied many
projects and got excellent results.

1. Problems of Japanese IT projects
Purpose of Information system deployment inenterprise organization is business improvement incertain area, however, few IT project is recognized asenabler of business contribution. Main issues areexisted in IT project planning phase.
Currently, procedures of IT project planning is notclearly defined and automated, even lower stream
processes are clearly defined. Some famous guideline
for planning activities indicate only What to do,
however, they do not describe How to do them. As aresult, Quality of IT project plan is depending on
human skills
More than 70% of IT projects were recognized as
failure project shown as fig 1.

Success
26.7%
Fail
73.3%

Fig. 1 Project success ratio.

User recognizes that
73.3% is Failure, and 26.7% is Success. [Nikkei
Computer, Fact-Finding of IT projects, 2003.]

The 2013 Cisco Global IT Impact Survey shows thatbusiness leaders and other non-IT teams roll out new
applications without engaging IT (76 percent) and that IT
professionals are brought into the planning anddeployment process late (38 percent), which indicatesthat the importance of IT introduction planning is notconsidered equivalent to that of business planning evennow shown as fig.2.

Fig.2 2013 Cisco Global IT Impact Survey/IT andBusiness Alignment

It is very important to coordinate every stakeholders’ requirements with company strategies which
are created by management. The system which fusedwith a company strategy and the business processes
must be required to build efficient system.
If direction of system is not match stake holders
mind in planning, the gap grows big whenever aprocess advances. As a result, it may happen that a
project to be never completed or the system which are
not used by end users.
The 19th Corporate IT Trend Survey, 2012, which isissued by Japan Users Association of Information
Systems, indicates that among the primary tips for

successful
businessinnovation
are
close
communication between the IT department andmanagement or other head office divisions andunderstanding of the business process across relevant
divisions to reach total optimization for theorganization.
Currently, that very important planning procedure isnot clearly defined; therefore, quality of the projectplan is depends on human skill sets.
Fig.3 shows 45% of features of information system
are never used. Only 20% of features are always andoften used. It obviously issue came from bad planning.

Fig.4 Overview of SUSD concept, Dream IT Research
LLC

Fig.3 Standash group study report at XP2002 by Jim
Johnson, Chairman

In conclusion, helpful methodology and tools are
required to help project planner in planning phase.
2. Effective methodology for IT project planningI developed total planning methodology to support
planning which is called SUSD.
SUSD consists of two main parts.
Part one is workshop which extracts informationfrom stake holders regarding to the project such as
strategy, business objects, and required abilities on
their business. Required IT capability will be identified
based on the information. Base number of ROI is also
extracted in this workshop. The information are almost
automatically identified through workshop by using
the SUSD QFD tool. (Hereinafter SUSD QFD toolreferred to as QFD tool.) The QFD tool is not only
implements QFD logics, but also adds templates andissues/ROI analysis capability. All information throughworkshop are summarized, streamlined and containedin QFD tool, expect business process chart.
Part two is documentation work. Project plan is
documented based on output from the workshop.
All the procedure to execute SUSD workshop anddocumentation work is predefined in QFD tool.
SUSD part one takes one week and part two takes
one week, which is very fast planning work.
Overview of SUSD procedure is shown as Fig.4.

SUSD promote collaborative discussion withstakeholders based on following three models tounderstand all stakeholders’ intentions for the project:
1. Business model—Usually, each stakeholders has
slightly different expectation for certain IT projects. It
is necessary to correspond to their intention to achievegoals of IT project. Clear goal setting is the first stepto success. Company goal is Breaks down to Strategies.
Strategy breaks down to business objects which
achieve strategies. Business object breaks down toabilities, as well. Strategies are differentiator fromcompetitors. Business objects are internal objects toachieve strategies. Activities are Action or capability toachieve business objects. This model express whatbusiness initiatives are expected to be achieved.
2. Business process model—Organizations must
define ideal business processes to achieve abovebusiness model. The ideal business process might bedifferent form current business processes. We call “ASIS” for current business process, and “TO BE” forideal business processes. Optimized business processes
must be created from a goal-centric perspective as “TOBE”.
3. IT solution model—This is the ideal solution
overview to support the ideal business process. The
business process contains not only tasks that are
executed manually, but also tasks that should be
supported by an IT solution to obtain an effective
result.
Overview is shown as Fig.5.

Fig.5 Relation of Business, Process and IT, DreamIT Research LLC
SUSD is designed to identify those matters.
Breakdown Picture of Business model is identified,
like Fig.6. It is a kind of big picture of IT project toguide all related people.

Fig. 6 Relation of Strategies, Business Objects andAbilities, Dream IT Research LLC
As next figure, we need to identify AS IS figure
which include current business process and issues,and TO BE figure which include improved new
business processes and solutions, like Fig.7. Also,
Estimation of ROI (Return on Investment) andSetting of KPI, key performance indicator, is required
to evaluate the project efficiency.

Fig.7 SUSD AS IS model and TO BE model, DreamIT Research LLC

Fig. 8 SUSD ROI calculation, Dream IT Research LLC
The models express Business Processes and linked

IT solutions. The Gap between AS IS and TO BE is
ROI.
Identified Ability is the item must achieve to realize
Strategies and Business Objects. That means Activities
have not been realized. So, some issues are existed toprevent realizing the activities. Important point ofissue finding is that find issues directly give impact tostrategies. We need to find out the each issues and AS
IS and TO BE. Total sum of those gaps will be ROI.
Concept of this ROI calculation is shown as Fig.8.
3. How SUSD works in real IT project planning
Following is the procedure of SUSD.
3.1 Define Scope
At first, we need to define scope to create IT projectplan. If scope is not clear, nobody can identify
anything. Scope must be very clear and agreed bystake holders.
3.2 Preparation for Workshop
Identify stake holders and select participants for
SUSD workshop. Arrange room and schedule.
3.3 SUSD Workshop
Now, scope is very clear; however, every stakeholder has different intention to improve their business.
This is because they take different responsibilities indifferent environment; even they talk with every day.
They do not know about business of other division.
We must find the directionality that all the members
can make consensus.
SUSD workshop is consists of five part to clearly
identify above matters by using QFD tool. Facilitatorof workshop leads the activities and guides participants
during workshop.
3.3.1 Identify Strategies in the scope
In this session, several managements participate inworkshop as representative of scoped division. The
participants must be MECE for scope. At first, we
identify strategies in the project scope based onparticipants’ input. And then, priority and importanceof strategies will be defined by numeric by using QFDtool.
QFD tool is consists of 11 views which can selecttab button on bottom line. #1 tab which is shown as
Fig.9, allows us to identify Strategies.
Facilitator asks participants to provide several mostimportant strategies. Participant can refer the template
before provide own strategies. Template gives themidea and clear direction what they must provide as
strategies. Provided strategies are input to QFD tool byfacilitator. Facilitator promotes the discussion why
other participant provides different strategies. Tounderstand each other’s opinion and business process
is important to make consensus of priority andimportance of strategies.
Selected
participantof information between participants. By End of
discussion, several original Business Objects are found.
Facilitator adds the Business Objects to QFD tool.
Each participants vote points for top 10 important
Business Objects as next step. Facilitator collects themand reflects to QFD tool #3 tab.

Strategies

Point Boxes

Selected
participantParticipants
name list

Fig.9 Initial view of QFD tool (#1 tab) , Dream IT
Research LLC
After the discussion; each participant voteimportance for each strategy, again. Facilitator checkpoint box. Facilitator can select participant name frommost right columns for inputting his points. Result ofvote is automatically reflected and visualized on QFD
tool #2 tab shown as Fig.10.

Fig. 10 Result of vote for Strategies (#2 tab), DreamIT Research LLC
Facilitator promotes participants to discuss based on
result of their vote. Most important things in thissession are to reach agreement about priority andimportance of strategies with representatives.
Importance and priority of strategies are expressedby numeric and chart. Then, everybody can understandeasily. Usually, it is very hard to make consensus by
every management; however, this workshop provide
environment to visually share information and efficient
discussion to make consensus.
3.3.2 Identify Business Objects based on priority
and importance of strategies
In this session, several middle managers participate.
Business Objects to achieve the strategies are
identified. Priority and importance of Business Objects
will be defined by numeric.
Examples of Business Objects are contained as
template on tab #3 which is shown Fig.11. Facilitatororganize KJ method discussion to share wide variety

Business
Objectslist

Name list ofparticipants

Point Boxes
Fig.11 Business Objects template and voting pointview (#3 tab) , Dream IT Research LLC
Each participant’s point data is reflected to total sumof point’s view which is #4 tab.
Usually, more than 20 Business Objects are voted. It
is too many to forward to farther examination.
Facilitator promotes discussion to select top 7-10
Business Objects. Participants can refer total points
and rank on view of QFD tool #4 tab during discussion.
It is very important to share other participants’ opinion.
After the work, selected Business Objects areautomatically reflected to next QFD tool tab. Selected
Strategies are reflected, as well.
Strategies

Business
Objects

Result isexpressedby chart

Voting resultis expressedby signFig. 12 Identify Priority of Business Objects (#5 tab),Dream IT Research LLC

QFD tool #5 tab which is shown as Fig.12 is now
ready to evaluate importance and priority of Business
Objects. It is typical QFD matrix. Strategies are
already sorted by priority; and selected Business
Objects are lined to identify priority. Facilitatorpromote voting workshop. All participants vote point
for each cell depends on efficiency of Business
Objects for each Strategy. Point is indicated by sign
which represents point. It is easy to understand by
participants. Result is reflected weight of Strategies;
and draw as chart.
Point is decided by majority vote; however, if
minority request to speak, it must be carefully listened.
Because the participant may know something what noone in the room does not know.
After the Business Objects workshop, participants
show the result and reasons to next workshop
participants.
3.3.3 Identify Abilities based on priority andimportance of Business Objects
Around 10-15 on-site experts in the scope divisions
participate in workshop as representative of on-site.
We identify Abilities to achieve the given Business
Objects in this session. Priority and importance ofon-site Abilities will be defined by numeric.
Examples of Abilities are contained as template on
tab #6 of QFD tool. Facilitator promotes discussion to
add other original activities other than template.
After the discussion, each participants vote points
for top 10 important Activities. Facilitator collects
them and reflects to QFD tool #6 tab; total sum foreach ability automatically reflects to QFD tool #7 tab.
Then, facilitator promotes discussion to select top
7-10 Abilities. Participants can refer total points andrank on view of QFD tool #7 tab during discussion.
After the discussion results are automaticallyreflected to #8 tab of QFD tool. Prioritized Business
Objects are reflected, as well.
QFD tool #8 tab is now ready to evaluate
importance and priority of Business Objects. The #8
tab is similar as # 5 tab which is QFD matrix view.
(Refer to Fig.12)
After voting, facilitator can create relation chart ofStrategies, Business Objects and Abilities on #9 tab.
The chart is shown as Fig.6. This chart is very
useful to everyone understand what they must achievein the project. It is good for review for participants ofworkshop, as well.
In conclusion, Identified required Abilities is very
important for project plan. Usually, if top 1-2 Abilities
realized, more than 90% of problems are resolved as
my experience.
3.3.4 Identify issues and business processes
This session is held separately every division.
We already identified required abilities to achieve

Business Objects in previous workshop. So, we canidentify what is the issue to prevent to realize theabilities in current business processes. Those issues,cause, current business process, improved businessprocess and effect of the improvement are found in thissession by using #10 tab shown as Fig.13.
Required Ability means that it is not realized now;and some issues prevent to realize it. Facilitator focus
the Ability one by one; ask participants the issues,cause of issue, AS IS figure, TO BE figure, effected
Strategies by the Ability and ROI.

Fig. 13 Example of filled in #10 tab, Dream IT
Research LLC

At the same time, identify business processes andoverview of systems around the issues. In this time, it
is not necessary to identify all detail businessprocesses because we already identified issues
which .gives big impact for strategies. We canconcentrate to those issues and related businessprocesses.
Example of issues and business process mapping chart
is shown as Fig.7 Everyone can understand the format;

it is easy to share information with outsourcers of the
project, as well.
3.3.5 Summarize and report
All activities in the workshop are summarized in
QFD tool. Report it to all participants and stakeholders
to get feedback from them.
3.4 Overview of SUSD Documentation
Summarize and streamline all information extracted
in workshop in QFD tool and Business Process modeldrawing.
Map all current issues to current business processes,
and map all improved points on improved businessprocesses which is TO BE process model.
Create grand design of IT solution to realize TO BE
process model. # 11 tab of QFD, which is shown as
Fig.14., helps to identify priority of IT solutions.
Evaluate efficiency of Solution corresponds to issue
on each cell in matrix. Total sum of point is displayedbottom line. Order of importance of solution is
calculated.
Create achievable project schedule based on above
information. Implementation plan should be separated

several phase to get early return. Most importantsolutions must put in first phase.
Create ROI chart for each project phases based on
information of ROI matrix of QFD tool.
Finally, collect and unify them as IT project plan.
SolutionsIssuesTotal of points
are bottom
Fig. 14 Solutions/Issues Matrix, Dream IT Research
LLC
4. Example of SUSD Workshop
SUSD effectiveness are proved by many projects,
such as IT project planning for Automotive company,
Heavy Industry company, Telecom company,
Semiconductor equipment maker and so on. Following
is the example deliverables for automotive maker.
One of the division of this maker had been
straggling to create IT project for more than one year,
and, they decided to apply SUSD in their projectplanning as methodology. The plan was completed in
one month and approved by authorities to start the
project.
This project achieved 3 main goals in certain
duration, 1. Dev Period Reduction by 30%, 2. Dev
Cost Reduction by 30%, 3. Equal quality of Global
Production processes as target of plan which is createdby SUSD.
Issues, causes, AS IS, TO BE and ROI is not
permitted to show detail.
Usually, more than several thousands of issues areexisted in the company, and, SUSD does not have toinvestigate all issues. SUSD can find only high priority
issues to resolve to achieve strategies very easily.
Member of the maker told me that they are notexpected not only prioritize Activities and issues, butalso estimate effects for each strategies by such alogical way.
Schedule is not permitted to show detail.
The member of this project told me that usually IT
project is not complete by deadline, however, thisSUSD applied project is easily completed by deadline
because few change requests are submitted.
The members of the project were appreciate that

relation between Strategies, Business Objects,
Activities, issues, cause, AS IS, TO BE and ROI isclearly linked by charts in logical way. They canevaluate effects of project at any milestones clearly.
Also, SUSD documentation format are applied forsummarizing contents of many success case studies.
Many summary of success cases are written in SUSD
format in my written book.
5. Conclusion
SUSD is not only very effective to extract valued
information from management through on-site people
accurately in short time, but also useful to classify
items in numbers. Lists, charts and pictures in SUSD
allow smooth discussion to unify intentions andinitiatives of participants. Big goal – small targets ofIT project are identified by SUSD very clearly.
5. 1. Effects of SUSD methodology
Summary of SUSD benefits to keep up QCD ofplanning which extracted from customers arefollowing.
1. Unify all stake holders’ initiatives in shape.
2. Total optimization is realized. Because every
targeted section sends participants forworkshop as their representative.
3. Everybody who is related to the project canshare clear view of IT project very easily, suchas big picture, issues, milestones, expected
effects. Because that information are expressed
charts, picture by using real number extracted
from stake holders.

References:Fig. 1
Project success ratio. User recognizes
that 73.3% is Failure, and 26.7% is Success. [Nikkei
Computer, Fact-Finding of IT projects, 2003.]
Fig.2 2013 Cisco Global IT Impact Survey/IT andBusiness Alignmentwww.cisco.com/en/US/solutions/collateral/ns1015/
Cisco_IT_Impact_Survey_Results_2013.pdf
Fig.3 Standash group study report at XP2002 by Jim
Johnson, Chairman,2002