Services Industry Case Study: A Practical Approach To Process Automation

May 22-24, 2007

Washington Dulles HiltonThe Business Transformation Conference1

David B. HollidayChief Technology OfficerAdvanced Management Technology, Inc.A Tetra Tech Company

SessionTitle:Services Industry Cast Study: A Practical Approach to Process Automation

WelcomeWelcome

to Transformation and Innovation 2007 The Business Transformation Conference

May 22-24, 2007


Agenda

Tetra Tech / AMTI Profile Overview of Automating Process at AMTI AMTI Approach Other Notes Questions

May 22-24, 2007


Profile

Consulting, Engineering & Project Management Services

$1.4B Revenue in FY2006

63%37%

Over 7,500 Associates Worldwide

(Think: Consulting) (Think: Engineering)

Complex World, Clear Solutions™

May 22-24, 2007


Customers

* % of Revenue, Net of Subcontractor Costs

Q1-07

International 1%

State & Local 17%

Commercial34%

Federal48%

$244.9M

Top Clients (by rev.) %*

U.S. Navy 10.4

U.S. Army COE 8.7

U.S. Air Force 6.3

U.S. DOD – Other 5.5

U.S. EPA 4.8

U.S. DOE 3.9

NASA 3.5

FAA 2.7

Fed. Clients – Other 2.7

State & Local Clients 17.1

Verizon 1.4

Wal-Mart 0.6

General Motors 0.5

Alcoa 0.4

Lowe’s Companies 0.4

Lockheed Martin 0.4

Sprint 0.4

FE

DE

RA

LC

OM

ME

RC

IAL

May 22-24, 2007


Profile

One of two Information Technology components of Tetra Tech

8a graduate Acquired by Tetra Tech in March 2004 $70 million revenue FY2006 320 employees

May 22-24, 2007


Customers

FAA NASA DOT DHS TSA Air Force

Program Management Support

High Performance Computing

Software and System Engineering

Customer Support Logistics

May 22-24, 2007


AMTI Process Timeline

May 22-24, 2007


Transaction Volumes

Process Start/End Total Per Year (Avg.)

Purchase Request

April 2001 / Sept 2005

5,837 / $87,864,970

1,297 / $19,525,548

Education Request

July 2001 / TBD

2,002 325

IT Support Request

May 2004 / TBD

6,131 1,988

Travel Advance May 2002 / TBD

133 27

SubK Invoice Jan 2007 / TBD 162 640 est.

Updated: April 9, 2007

May 22-24, 2007


Reduce Administrative Burden

Revenue

Staff

May 22-24, 2007


Drive ComplianceClient Name: Tetra Tech

Master List for 2005

Summary of Aggregated Deficiencies - Management & PwC - (SAD)

Period: 10/1/2004 - 9/30/2005

#Business

UnitSAD List

DateKey

Control #Control Description Control Deficiency

Business Process

Deficiency Impact

Remediated

1 AMTI 8/31/2005 A-1

Administrator rights are only assigned to individuals who require these rights to perform their job duties. - A

Generic ID's are being used and shared. - SA (SQL ID that cannot be removed and used by Saritha, David, and Sean) - CAPTAIN (Can be removed, currently used by Saritha, David, and Sean) - EXCHADMIN (built-in account that gives NT authentication to both Franklin and Marcie servers)

Access to Programs and

Data

Both Design & Operating Deficiency

Yes

2 AMTI 8/31/2005 A-2

Programmers cannot perform accounting functions or make changes to any application production data; DBA's cannot make unauthorized changes to production data

1. IT Systems Manager Saritha Somasundaran has access to Franklin(e-Work Production server). 2.DBA access to production is not monitored. Access to

Programs and Data


Yes

3 AMTI 8/31/2005 A-3

User account and password configurations will be set up in accordance with the Corporate User Account and Password policy, with exceptions approved by IT Management - A

e-Work does not follow the Corporate Password Policy. (i.e. password minimum length, aging, reuse, lock outs, etc.) Access to

Programs and Data


Yes

4 AMTI 8/31/2005 A-5

A reconciliation is performed at least annually for the network and applications to verify that active users have proper program access levels given their job functions and that terminated users have no access to systems and applications - M

User certifications have not been completed for Costpoint users and Network users.


Data

Operating Deficiency

Yes

5 AMTI 8/31/2005 A-8

To ensure 1) that access to Significant Spreadsheets is restricted to only those individuals who require these rights to perform their job duties and 2) that proper backups are performed of the Significant Spreadsheets. - ITdM

Need to complete testing


Data


Yes

6 AMTI 8/31/2005 CM-2

Changes may not be moved into production by the same individual who developed or worked on the change- M

Saritha Soma has ability to program changes and move them into production for eWork


Data


Yes

7 AMTI 8/31/2005 CO-3

Key systems, including application databases and system files, and other key data are backed up fully on a regular basis and stored offsite.- A

There is no backup tape rotation log. Determining which tapes are in the library and which tapes are offsite at the Network Manager's home can be difficult.

Computer Operations


Yes

8 AMTI 8/31/2005 CO-5

The Company's network security settings limit and log unauthorized access. The company utilizes a firewall, and the access to modify firewall settings is restricted to authorized personnel.

There are no formal evidence of the monitoring of audit logs (i.e. failed login attempts, failed process, failed file attempts, etc.)

This function was activated on 4/18/2005.


Data


Yes

May 22-24, 2007


Improve Visibility

• Disconnects between PM’s and HR were creating problems

• Implemented process to improve visibility and collaboration

• Reduced backlog of open positions from on average 21 to 14 per week

May 22-24, 2007


Automation Team

1 Team Lead 2 Process Programmers 1 .NET Developer 1 Analyst 1 QA/CM Person

May 22-24, 2007


Development Characteristics

Typical development is 1 person, 4-6 weeks, 12-20 human stages, 6-8 roles, and 3-4 unique actions per stage

Email primary notification mechanism Standardized functions and libraries Some website integration Incorporating SOA elements

May 22-24, 2007


Tool Selection Criteria

Factor Selection

Human vs. System Weighted toward Human

Target Environment Primarily Windows

ERP Oracle

Rules Engine Not Required

Reporting Capability Primarily Management (trending toward BAM)

Portal Integration Sharepoint (recently implemented Vignette at Corp.)

Critical Criteria Maximize productivity of limited resource pool

May 22-24, 2007


AMTI Approach

Bus

ines

s S

trat

egy P

rocess Goals

May 22-24, 2007


Process Architecture

AMTI HR – New Hire Business Process

Key

Pro

cess

A

rea

s

Busi

ne

ss

Pro

cess

Busi

ne

ss

Sub

pro

cess

App

licatio

ns

New Hire

EmploymentRequisition

Recruitment Selection Hiring OrientationPositionIdentification

eEmploymentRequisition

eApplicant(In Work)

Employee Transaction

Request (ETR) Form

(to be automated)

Narrative

Narrative (optional)

Swim Lane (optional)

User Guide

Narrative

Swim Lane

Swim Lane (optional)

Business Development

Contracts Facilities Finance HR IT Operations Security & Safety

Tetra Tech IT Infrastructure Process Layer

SSS IT Infrastructure Process Layer

AMTI IT Infrastructure Process Layer

May 22-24, 2007


Process Detail 4. Partner Agreement and Sign-off (TA-SO) 5. Issue Resolution (TA-IR) 6. Archive (TA-AR)

Teaming Agreement

Pre

side

nt

BD

MC

FO

Con

trac

ts

Ma

nage

r

Se

nior

PM

an

d C

OO

Con

trac

ts

Ad

min

Cap

ture

M

ana

ger

PartnerSigned

TA?

Ready for Signature?

If the TA Partner is the Prime rather than AMTI, the execution order is reversed from that shown in this diagram. The Agreement is signed first by the AMTI CFO and then by the Partner

IncludeTA Estimated

Expiration Date

President Review

Required?

ApproveTA?

Transfer TAto Repository

Cancel

Send

SignTA

Expired?

With Capture Manager

Resolve Any Issue

Issue Rereview

No

Issue

Issue

Issue Issue

Yes

No

Yes No

No Yes

Yes

No

Extend Expiration?

Yes

No

Yes

• TA-IN: Initiation (Step 1)

An employee acting in the role of capture manager may initiate a TA. The Capture Manager will identify the partner company and the specific business opportunity.

• TA-PD: Proceed Determination (Step 2)

• TA-PD1: Business Development Manager Review

The Business Development Manager will determine whether or not it is in the best interests of AMTI to proceed in a teaming agreement with the selected partner company in pursuit of the given business opportunity. If the Business Development Manager determines it is best not to proceed, the TA will be cancelled unless the BDM indicates further review by the President.

• TA-PD2: Optional President Review

If review by the President is indicated, the President makes the final decision as to whether to proceed with the TA or not. If the President concurs with the decision not to proceed, the TA is cancelled, archived and this process is completed; otherwise,the process is moved forward to documentation by the Contracts Administrator.

May 22-24, 2007


Technical Architecture

Metastorm InsightDashboards, Reports,

Monitoring

Metastorm Designer Metastorm Envision

Metastorm RulesMetastorm Administration

Metastorm Process Engine

Clients – Mail, Mobile, Web, Portal

Metastorm Integration ManagerLegacy, Commercial Apps, Custom Systems

Metastorm Orchestrators.NET, Java, WS, Messaging

System A System B System C System D

Met

ast

orm

Pro

ces

s A

ccel

erat

ors

Ver

tical

& O

pera

tion

al P

roce

ss P

ods™

, 3rd

Par

ty F

unct

ions

, S

ervi

ces

& M

etho

dol

ogy

Visibility

Design, Simulation & Analysis

Execution

Integration

May 22-24, 2007


Change Management

Every project starts with a Business Case and an understanding of the Process that it supports

IT Steering Committee Process Owners CMMI Level 2 Change Request Process

May 22-24, 2007


Change Request Checklist

May 22-24, 2007


Phase 1: Define

Review Business Case and Documentation Identify Process Owner and Stakeholders Identify Interfaces and Points of Integration Ask Questions and Seek Clarification Establish Concept and Define Increment Conduct JAD Session(s) Identify Critical Requirements

May 22-24, 2007


Phase 2: Implement

Create an Initial Process Perform a Walkthrough Enter Iterative Development Cycle Establish Initial Operational Capability (IOC) Obtain Sign-off from Process Owner Test Process

May 22-24, 2007


Phase 3: Deploy

Handoff through Configuration Library Complete Testing Process Get Process Owner Sign-off Prepare Release Notification Deploy Identify Issues and Expedite Changes

May 22-24, 2007


Phase 4: Change

Collect Feedback from Users Manage database of Change Requests Work with Management to Prioritize Changes Coordinate Updates with Process Owner Establish a Refresh Cycle

May 22-24, 2007


Tracking Metrics

Estimate to Complete Process Delivery Task Completion Assumptions/Dependencies Risk: Green, Yellow, Orange, Red

May 22-24, 2007


General Recommendations

Tool choice is important Establish a governance structure First project should have an impact but not be

in the critical path Work towards business goals and objectives Deploy sooner than later

May 22-24, 2007


Questions?

May 22-24, 2007


Thank YouThank YDavid B. HollidayChief Technology OfficerAdvanced Management Technology, Inc.A Tetra Tech Company

Contact Information:[email protected]

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Services Industry Case Study: A Practical Approach To Process Automation

Business

chief technology

advanced management

tetra tech

tetra tech

process owner

improve visibility

operating

design amp