Practical Methodology to control quality of IT project in upper stream(Science of Success of IT project)
Abstract: In Japan, more than 70% of IT project was recognized as failure project. Major cause of failure isanalyzed as low quality of upper stream processes. Quality of IT project plan is depending on human skills incurrent processes. The methodology to control the quality which can summarize and streamline all stake holders’initiatives is created based on QFD technology. The methodology consists of more than 100 steps, templates,
business process models and tools. The methodology have been applied many projects and got excellent results.

1. Problems of Japanese IT projects
In Japan, currently, procedures of super upperstream of IT project is not clearly defined andautomated, even lower process are clearly defined. As
a result, lots of IT projects are not recognized successproject.
More than 70% of IT projects were recognized as
failure project in Japan. It originates in two following
reasons.
1. Intentions of management are not extracted inupper stream of IT project. Only System whichalong the corporate strategy can achieve company
goal. As a result, if intention of management is
not reflect to system in planning phase, thesystem will not contribute to business.
2. Requirements of on-site are not are extracted andstreamlined by managements’ intention. System
must along the on-site activities to bring effort
and benefit to companies.

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.]

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 efficiency system.
If direction of system is not match stake holders
mind in super upper stream, the gap grows big
whenever a process advances. As a result, it may
happen that a project to be never completed or thesystem which are not used by end users.
Currently, that very important planning procedure isnot clearly defined; therefore, quality of the projectplan is depends on human skill sets.
Another problem happens, as well. Total
optimization of system must be considered because
increasing company merger and branch shrine, and the
speed of the global expansion accelerates steadily;
however, there is no person who understands all
business in company.
In conclusion, helpful methodology and tools are
required to help project planner in super upper stream.

2. Overview of SUSD methodology
SUSD is created to resolve above problems.
SUSD is the methodology to create high quality IT
project plan in super upper stream. SUSD stands forSuper Upper Stream (1) Definition, (2) Design, (3)Develop. Last D has three meaning.
Most important things to create high quality IT
project plan is identify what the company must
improve to realize their strategy. It is goal setting.
Clear goal setting is the first step to success.
We must identify intentions of management andinitiatives of on-site to set goal and way to achieve it.
Strategy breaks down to Business Objects which
achieve Strategy, Business Object breaks down toAbilities to achieve Business Object. It is Business
definition. Ideal Business Processes are designed toachieve the goals, and appropriate IT solution is
supporting to execute the processes.

Fig. 4 Relation of Strategies, Business Objects andAbilities
QFD is very good to identify above. Abilities are
identified; it is easy to find current issues which
prevent to achieve abilities, and how improve them.
Total sum of those gaps will be ROI.

Fig. 2 Relation of Business, Process and IT
SUSD is designed to identify those matters.
As final 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. Also, Estimation of
ROI (Return on Investment) and Setting of KPI, key
performance indicator, is required to evaluate theproject efficiency.

Fig. 5 ROI calculation
Overview picture of SUSD concept is following.
(Detailed SUSD procedure is following.)

Fig. 3 AS IS model and TO BE model
The models express Business Processes and linked
IT solutions. The Gap of AS IS and TO BE is ROI.
Breakdown Picture of Business Definition is
identified, as well. Those are kind of big picture of IT
project to guide all related people.
Abilities
Business
Strategies
Objects

Fig. 6 Overview of SUSD concept
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 ability on theirbusiness processes. Required IT capability will beidentified based on the information. Base number of
ROI is also extracted in this workshop. That
information are almost automatically identified
through workshop by using the SUSD QFD tool.
(Hereinafter SUSD QFD tool referred to as QFD
tool.) The QFD tool is not only implements QFD
logics, but also adds templates and issues/ROI analysis

capability. Template of QFD tool includes examples ofstrategy items, business object items, ability items andbusiness process models.
Part two is documentation work. Identified
information on part one will be classified andexamined. Following are created and documented.
1. Identify Project scope and goals
2. Streamlined AS IS and TO BE model
3. Grand design of Required IT solution
4. ROI estimation and KPI setting
5. Rough project schedule
All the procedure to execute SUSD workshop anddocumentation work is predefined in QFD tool or
SUSD guide.
SUSD part one takes one week and part two takes
one week, as well. So, qualified IT project plan can becreated in two weeks which is very fast.

3. SUSD procedures and How QFD tool works
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.
Scope must define by three elements shown as
following:
1. Organization (for example: sales division,
design division and quality management
division in Head quarter and factory A)
2. Business Processes (for example: quote,procurement and prototype creation)
3. Business line (for example; built to engineer
products are included, however, assemble toorder products are not included.)

useful to extract information and show focused point.
Facilitator of workshop leads the activities andguides participants during workshop.

3.3.1 Identify Strategies in the scope
In this session, several managements participate inworkshop as representative of scoped division. 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. Refer to Fig.4. It allows us
to identify Strategies, Business Objects, Abilities,
current issues, AS IS, TO BE and effects.
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. Usually, Japanese management cannot
provide strategies, if just ask; however participants andtemplate is helpful to execute it. Provided strategies
are input to QFD tool by facilitator. Facilitatorpromotes the discussion why other participant provides
different strategy. To understand each others’ opinion
and business process is important to make consensus
of priority and importance to strategies.
Selected
participant
ExamplesPoint Boxes

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. It is very

Participants
name list

Fig. 7 Initial view of QFD tool (#1 tab)After the discussion; each participant voteimportance for each strategy. Facilitator put point on
box. Facilitator can select participant name from mostright columns to input his points. Result automaticallyreflects and visualized on QFD tool #2 tab.

Fig. 8 Result of vote for Strategies (#2 tab)
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. Japanese people are not good at express byvalue.
Usually, it is very hard to make consensus by every
management; however, this workshop provide
environment to share information and efficient
discussion.
Finally, participants tell the result of prioritizedstrategies and reason why those are selected to next
workshop participants. This is also important the
managements indicate their intention to middle
managers to create unified big picture.

3.3.2 Identify Business Objects based on priority
and importance of strategies
Several middle managers participate. Business
Objects to achieve the strategies are identified. Priority
and importance of Business Objects will be identified.
Examples of Business Objects are contained as
template on tab #3 of QFD tool. Facilitator asks
participants to write several most important Business
Objects which realize given Strategies. Participants
write Business Object on post-it card (one per card).
Facilitator collects those and put them on white board.
Facilitator leads to sort the card with all participants,
remove duplicated cards, and unify same and similarcards on whiteboard. Participants must ask if he or she
face to unclear word on cards. Discussion is needed toshare information. Facilitator adds Business Objects to
QFD tool which is not included in template.
Each participants vote points for top 10 important
Business Objects. Facilitator collects them and reflects
to QFD tool #3 tab.

Selected
participant
ExamplesPoint Boxes
Participants name list

Fig. 9 Business Objects template and voting pointview (#3 tab)Participant’s names are listed on most rightcolumns; and facilitator can select the name to input
participant’s point. Each participant’s point data isreflected to total sum of point’s view which is #4 tab.
Usually, number of participants is around 10. 10
participants submit several Business Objects toachieve given strategy. Some of them are duplicated;
however, still more than 20 Business Objects are voted.
It is too many to for farther examination. Facilitatorpromotes discussion to select top 7-10 Business
Objects. Participants can refer total points and rank onview of QFD tool #4 tab during discussion. It is very
important to share other participants’ opinion andbusiness.
After selection discussion of top Business Objects,
selected Business Objects are automatically reflected
to next QFD tool tab. Selected Strategies are reflected,
as well.
QFD tool #5 tab is now ready to evaluate
importance and priority of Business Objects.

Strategies

Business
Objects

Result isexpressedby chart

Voting resultis expressedby signFig. 10 Identify Priority of Business Objects (#5 tab)Fig. 7 shows typical QFD matrix. Strategies are
already sorted by priority; and selected Business
Objects are lined to identify priority. Facilitatorpromote 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 session does not know.

Finally, participants tell the result and reasons tonext 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.
One – three representatives came from each division.
We identify Abilities to achieve the given Business
Objects. Priority and importance of on-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 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 activity 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.7)
After voting, facilitator can create relation chart ofStrategies, Business Objects and Abilities on #9 tab.
The chart is shown as Fig.4. 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.
3.3.4 Identify issues and business processes
This session is held separately every division. For
example, workshop for representatives from sales
division and workshop for representatives from
customer services are held separately.
It can savetime for participants. If this workshop holds for allparticipants at same time, participants form non
focused division just waits own turn.
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.
Selected Abilities and Strategies are reflected QFDtool #10 tab; facilitator can select one of it from list on
Ability cell.

Fig. 11 Ability, Issues, Causes, AS IS, TO BE, ROI
matrix (#10 tab)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. 12 Example of filled in #10 tab
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.

Fig. 13 Concept of Business Process modelBusiness Process model is expressed by four layers.
Only Business Processes around issues and uppermodels for the Business Processes are required to get. I
recommend BPMS modeling tool to draw Business
Processes because it standard. Everyone canunderstand 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
Bring back to office. All information extracted inworkshop is in QFD tool and Business Process modeldrawing.
Focused Strategies, Business Objects and Abilities
are identified and approved by all participants
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 helps to identify
priority of IT solutions.
SolutionsIssuesTotal of points
are bottom
Fig. 14 Solutions/Issues Matrix
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.

4. Effects of SUSD methodology
Summary of SUSD benefits which extracted from
customers are following.
1. Unify all stake holders’ initiatives in shape.
2. Total optimization is realized. Because every

3.

targeted section sends participants forworkshop as their representative.
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.

5. Conclusion of QFD tool efficiency
QFD tool 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 QFD
tool allow smooth discussion to unify intentions andinitiatives of participants. Big goal – small targets ofIT project are identified by QFD tool very clearly.

Profile of Author:
Name: Reiso Kimura
Title: CEO, Dream IT Research LLC
Address: #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
Education: University of San Francisco BS in Business
Experience: Over 10 years experience to design
systems and manage enterprise IT projects in major SI
companies.
Over 25 years experience for taking major role for
consulting in major consulting companies and software
vendors.
Certification: US Certified Internal Auditor, US
Certified Information System Auditor, Japanese IT
strategist

Referred Document:(1) Fig. 1 Project success ratio. [Nikkei Computer,
Fact-Finding of IT projects, 2003.]