The document discusses Valeo's 10 years of experience with software process improvement. It outlines their pragmatic approach, which focused on customer needs and an incremental lifecycle model. Key results included decreased costs, improved productivity, and recognition from customers. Valeo used CMMI concepts to structure their improvement efforts and created an "improvement machine" to systematically capture lessons learned, best practices, and implement process improvements. Measurement was critical to selecting improvement opportunities and demonstrating ROI.

1. 21/02/2010
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Property of Valeo. Confidential, Reproduction prohibited
10 years in Software Process Improvement
Benefits – Tips – Traps
FX de Launet
R&D Efficiency Manager
VALEO
Release A
Jan 10 I 2 IProperty of Valeo. Confidential, Reproduction prohibited
AgendaAgenda
Context
Needs
Customer
Pragmatic approach
ROI
Results
CMMI
“Improvement machine”
Assets
Lean 6 Sigma
Business objectives
Measurement
Strategy
Operations Capitalization
Corporate
Request
Support
Drivenby
Competitors

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Jan 10 I 3 IProperty of Valeo. Confidential, Reproduction prohibited
ProductProduct -- NeedsNeeds
VALEO switches & Control
Product lines
Key figures
Production…
R&D…
Needs
High volume of production “Economic security”
R&D efficiency Shareholders, “Back on track”
Customer request (CMMI Level 3) Business hold
Opportunity
Capitalize lessons learned, historical data “Improvement machine”
Optimize SW process efficiency/simplicity Process tooling
Jan 10 I 4 IProperty of Valeo. Confidential, Reproduction prohibited
ContextContext –– customerscustomers –– competitorscompetitors
Shenzen
Auburn Hills
Toluca
Itatiba
Ben A rous
Shashi
Technical & Sales office
Production plant
R&D footprint
Rio Bravo
Sao Polo
3 M€
27 M€
207 M€
VSC Europe*
7 plants
1 044 employees
Créteil
Creteil
Nogent
Annemasse
Felizzano
Prague
Rakovnik
Bad Rodach
* In 2008
Cairo (VALEO software factory)
Multi site R&D
Large range of customers OEMs
Market share with more than 20 competitors

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Jan 10 I 5 IProperty of Valeo. Confidential, Reproduction prohibited
Incremental lifecycle
MMI
CAN
Low
Layer V1
V&VSW
construction
Thermal
A pragmatic approach...A pragmatic approach...
Engineering based
Start
(2000)
Engineering
(2002)
Model based designCOTS
Real Time Scheduling (OSEK, µCOS/II)
HMI
Logic
Diagnostic
Thermal
Regulation
Panel
Drivers
HVAC
Drivers
HardWare Interface
Automotive
Networks
Drivers
(VECTOR)
Modes Management
SW Architecture Standards
HIL
Integration
MIL
SIL
Model Based
Design
Standard
Components
Jan 10 I 6 IProperty of Valeo. Confidential, Reproduction prohibited
A pragmatic approach...A pragmatic approach...
Start
(2000)
Engineering
(2002)
Customer oriented
Model based designCOTS
Real Time Scheduling (OSEK, µCOS/II)
HMI
Logic
Diagnostic
Thermal
Regulation
Panel
Drivers
HVAC
Drivers
HardWare Interface
Automotive
Networks
Drivers
(VECTOR)
Modes Management
SW Architecture Standards
Incremental lifecycle
MMI
CAN
Low
Layer V1
V&VSW
construction
ThermalCustomer, service rate
(2003)

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Jan 10 I 7 IProperty of Valeo. Confidential, Reproduction prohibited
A pragmatic approach...A pragmatic approach...
Customer oriented
Phase 0 Phase 1 Phase 2 Phase 3(DV)
CIP
SW
SKO SPC SD SCSOD “Before” GV
Phase 3 Phase 4(PV)
DV
Overall specification
Architecture
SW construction
Prepare software project Industrialization review
Soft verification
Soft validation
SW global validation
Low layers CAN layers
ThermalHMI
Diagnosis, BIST
SW increment development
HW/SW
integrations
LCC
MBD
Iterative, incremental and adaptative software lifecycle
Interfaces/phasing with VALEO project core process (CIP) are defined
Immediate benefits of such lifecycle for tailoring process
MBD
Jan 10 I 8 IProperty of Valeo. Confidential, Reproduction prohibited
A pragmatic approach...A pragmatic approach...
Discipline
(12 months to be CMM-2 Mar-2004)
Marketing
(18 months to be CMM-3 Sept-2005)
Start
(2000)
Customer, service rate
(2003)
Engineering
(2002)
Incremental lifecycle
MMI
CAN
Low
Layer V1
V&VSW
construction
Thermal
Model based designCOTS
Real Time Scheduling (OSEK, µCOS/II)
HMI
Logic
Diagnostic
Thermal
Regulation
Panel
Drivers
HVAC
Drivers
HardWare Interface
Automotive
Networks
Drivers
(VECTOR)
Modes Management
SW Architecture Standards
Using CMMI “Improvement path” (Maturity levels)

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Jan 10 I 9 IProperty of Valeo. Confidential, Reproduction prohibited
Driven by CMMI concepts…Driven by CMMI concepts…
ProjectsProcessAssets
Engineering
Training
(GP2.)
Support
-Configuration management
-Quality assurance
-Measurement
Planning
Monitoring
& control
Supplier
Management
Basic project management
Set of standards processes
Measurement repository
Lifecycles
Tailoring criteria & rules
Process assets library
Work environments
-Decision process
-Risk management
Organizational
process focus
Adapt
standardsCollect
improvements
Organizational
process
definition
Organizational Training
Basic process management
Integrated project
management
From level 1 to level 3
Directives
(GP2.1)
Business
objectives
Jan 10 I 10 IProperty of Valeo. Confidential, Reproduction prohibited
Results...Results...
Customer
Recognized as a control panel leader inside and outside VALEO
Decrease Start of Production risks
Systematically requested by car manufacturers for quotation
R&D costs
Real cost = estimates (<10%)
Productivity
(Line of Code /hour)
drastically improved
ROI
>1:1,7 for a 2 years period
Avoid non quality costs: can be > 500 K€
Be a “learning enterprise”:
LEARN and KEEP with Lessons Learned process (Each project quality gate)
SHARE using “Improvement machine” (SW Process Improvement project)
Qualitative LL : Project issues/Bugs root cause analysis, know-how…
Quantitative LL : Historical data to feed effort models, criteria for process tailoring, peer
review efficiency…
SW Productivity Progress
40
50
60
70
80
90
100
110
120
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
Workload
1
2
3
4
5
6
7
8
9
10
Index
Average hours
Complexity Index
Productivity Index

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Jan 10 I 11 IProperty of Valeo. Confidential, Reproduction prohibited
Improvement machineImprovement machine –– FeedFeed--back Loopback Loop
Assets
SW group Documentation
Project instances
Capitalization
Product/process measures
Audit/verification reports
Lessons learned
Project steering / risk sheets
Peer review
Anomalies root cause analysis
Anomaly auto quality matrix
Project xxx
SPI project
capitalization
database
Process related
documentation
IS
IS
Projects data,
Lessons learned,
best practicesData recording
Lessons learned (LL)
Best practices (BP)
Improvement suggestion (IS)
Process
Modification
form (PMF)
Tailoring
Historical data
Lessons learnt
Train people in project
SEPG
meeting
SQS
SQS
Activities
SEPG
SEPG
P-CCB meeting
SEPG
Referent
Jan 10 I 12 IProperty of Valeo. Confidential, Reproduction prohibited
Improvement machineImprovement machine –– FeedFeed--back Loop + initiativesback Loop + initiatives
SEPG
Pilot projects
SPI project
capitalization
database
Process related
documentation
IS
IS
Projects data,
Lessons learned,
best practices
Improvement suggestion (IS)
Process
Modification
form (PMF)
SEPG
meeting
SQS
SQS
Activities
SEPG
SEPG
P-CCB meeting
Referent
Define initiative
Support project
Measure ROI
Lessons learned
Initiative deliverables
Initiatives
Initiative reservoir
Objective
Cost
Pay-back
Deliverables
Track Progress
Capitalize

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Jan 10 I 13 IProperty of Valeo. Confidential, Reproduction prohibited
Improvement machineImprovement machine –– Need measuresNeed measures
Determine process improvement opportunities
Coming from Organization’ s business objectives
– Select scope of improvement
– Business objectives must be measurable (Define ROI)
Organization’s processes appraisal
– Not always an official appraisal SCAMPI!
– Tool box (Observations, interview, process mapping, survey…)
– Use QUALITY ASSURANCE and VERIFICATION process findings.
Process improvements identification
– Qualitative lessons learned from projects, Issues root causes analysis
– Analyze measures aligned with process improvement objectives
Plan and implement process improvements
Process improvement project monitored as a normal project
– Define initiatives (Priority, cost, referents …)
– Assets are the product the process improvement project
Deploy and Institutionalize
Try locally (Pilot projects). Measure and demonstrate ROI.
Incorporate innovation and lessons learned in projects.
Maintain
existing
metrics
Specify
metrics to track
initiative
Analyze
existing
metrics
Analyze
metrics to
control ROI
Jan 10 I 14 IProperty of Valeo. Confidential, Reproduction prohibited
Measurement needsMeasurement needs
Metrics must address needs
Different needs have to be addressed
Process needs
(Improvement, performance)
Organization
(Business objective)
Standard
Management
Standard
work
Visual
Management
KAIZEN
Green triangle concept
Goal 1 Goal 2
Q1 Q2 Q3 Q4 Q5
M1 M2 M3 M4 M5 M6
Goal Question Metric
(GQM) method
Financial
Internal
processes
Customer
Learning
and growth
Vision and
Strategy
Balanced Score Card
method
“Improvement Machine”
Operational needs
(Projects monitoring, quality assurance)

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Jan 10 I 15 IProperty of Valeo. Confidential, Reproduction prohibited
Operational objectives… to metricsOperational objectives… to metrics
Generic objectives
Apply to internal processes objectives
Example : “Perform peer review”
Metric defined using GQM process
CMMI
GP2.8 : Monitoring needs
GP2.9 : Evaluation needs
ISO TS
Effectiveness
Efficiency
Question:
Q1 : How many defects detected are accepted ?
Q2 : How many pages per hour are read?
Q3 : Are defect handled immediately?
Metrics :
M1 : Ratio of defect accepted
M2 : Number of page cross read per hour
M3 : Time for inspector feedback
M4 : Time for work-product correction
Q1 Q2 Q3
M1 M2 M3
Perform
Peer reviews
M4
Standard
Management
Peer review guideline,
templates
Visual
Management
KAIZEN
Definition
Collection
Storage
Acceptance criteria
Analysis: When, Who
Standard reaction
Standard Metric description
Jan 10 I 16 IProperty of Valeo. Confidential, Reproduction prohibited
Capitalization objectives… to metricsCapitalization objectives… to metrics
Generic objectives CMMI
GP3.2 : Capitalization needs
GP4.1 : Process performance
ISO TS
Continuous
improvement
Apply to internal processes objectives
Example : “Improve peer review”
Metric defined using GQM process
Question:
Q1 : What are thresholds for defect detection ?
Q2 : Are thresholds dependent of work-product?
Q3 : Is defect detection varies along time
Metrics :
M1 : Aggregate projects ratio of defect accepted
M2 : Aggregate projects Number of page per hour
M3 : Trend of M1 per quarter
M4 : Trend of M2 per quarter
Q1 Q3
M1 M2 M3
Improve
Peer reviews
M4
Q2
“Look”
Alert thresholds
0,75 Defect/page
“Ratio” (59/83
review) Thresholds
0,5 Defect/page
GDD
Analysis in SEPG
Whisker box + histogram method
Update thresholds in defined process
Standard Metric description

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Jan 10 I 17 IProperty of Valeo. Confidential, Reproduction prohibited
Business objectives… to metricsBusiness objectives… to metrics
Use “Balanced Score Card” method to derive
business objectives from organization strategy
initiatives from Business objectives
Metrics to track initiative objectives achievement
Concept
Decrease
rework
Learning
and growth
Customer
Internal
processes
Financial
Service
rate
Capitalize
(LL, data)
Estimates
process
Auto
control
Sell more
products
Customer
intimacy
Competencies
Economic
intelligence
Example (Chain to effect relationship)
Jan 10 I 18 IProperty of Valeo. Confidential, Reproduction prohibited
Metrics categoriesMetrics categories -- SynthesisSynthesis
<<abstract>>
Operational metric
Process performanceDeadline Cost Quality
<<abstract>>
Existing metric New metric Project metric
<<abstract>>
Metric
ID:
Capitalization
<<abstract>>
Organizational metric
Metrics class diagram
Initiative: Project:

10. 21/02/2010
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Property of Valeo. Confidential, Reproduction prohibited
Thank-you
Release A
?!?