Basic Reuse Activities The following are the basic reuseactivities which are necessary for a comprehensive reuse strategy. Strategic Activities á Reuse Planning á Reuse Infrastructure Development á Reuse Continuous Improvement Tactical Activities á Asset Creation andImprovement á Asset Management á Asset Utilization The following sections will describe what each ofthe these activities are and describe to what degree they are beingperformed by the Customer /1 IP program. I have marked some sections asÒ[ ]Ó where I really need input from you. In other areas IÕve given it mybest shot. Feel free to change or correct anything which is specific toCustomer /1 or the utilities industry. In writing this paper, I have tried to err on the side of getting it wrong,rather than being ambiguous. Correct me where IÕm wrong. Strategic ReuseActivities Reuse Planning Reuse Planning consists of four phases:Assessment of business environment, Direction setting and scoping ofreusable asset generations, Reuse infrastructure planning, and Projectplanning. Assessment of businessenvironment Before putting in place a reuse plan, onemust first assess whether the current business environment is conducive toreuse. Assuming there exists a common set of capabilities across some target market, one must also ensure there exists a sufficiently large body ofpotential clients over a sufficiently long period of time so as to justifythe investment. Simply stated, is the target market broad enough and stableenough? How broad and how stable it is drives how big an investment to make in reusable assets, aswell as over what period of time. Important questions to answer as part of this phase include: Who are the target clients? The target clients Customer /1 IP areutilities in the US who are most concerned with low risk solutions for customer service software.These potential clients already are running mainframe IT operations and/orare planning to upgrade to a new mainframe IT operation. How stable is this targetedmarket group? How many companies, in which regions, for the next how manyyears? The target market isentering a period of transition. There is mounting pressure for utilitiesto pursue client-server solutions as that technology platform matures.However, due to the uncertainty associated with client-server (e.g., costs, technical issues, etc.),many utilities still favor mainframe solutions. The size of the market is X utilitieswithin the US. Current forecasts would estimate that mainframe CustomerInformation Systems (CIS) solutions are viable for the next X years. What are the driving factorswhich will cause your target group to get smaller or larger over the comingyears? The primary factor thatwill impact the size of the target market is industry deregulation. This will most likely result in a consolidation of the industry. Mergers andacquisitions (both hostile & friendly) have already begun and will continuefor several years to come. Several factors could potentially increase the size of the market inthe near future: (1) the entrance of non-utility players (e.g., cablecompanies, etc.) into the marketplace. While the likelihood of this issmall, it nonetheless presents some potential opportunities, (2) utilization of the software in non-utility markets(e.g., water/sewer companies, etc.). AC already has in existencean asset specifically designed and built for this target group. It is acustomer service software package called Customer /1 IP. At a gross level,what is the application commonality supported by this asset? The application functionality of Customer/1 includes: [please modify this list to capture the common functionality providedby all customer /1 IP applications. ] á billing (i.e.,energy services, products, etc.) á credit/collection á payment processing á service orders á meter reading á meter history (e.g.,purchase/inventory/tracking á service delivery á marketing á customer contact á financial/non-financial controls At a gross level, what is theapplication variability supported by this asset? [...] The above functionalcapabilities are available on a particular technical architecture. What arethe common elements of this technical architecture? [...] What is the variability acrossthe targeted clients for the technical architecture? [...] Outside of your immediatetargeted area, what other groups might have significant overlaps offunctionality at some level of abstraction? [say something about the commonality ofthe IP solution and the other utilityÕs industry Customer /1solutions (i.e., NSP, and SolutionWorks). Currently, Andersen Consulting has three Utility CIS softwaresolutions: (1) CUSTOMER/1 IP (Illinois Power), (2) CUSTOMER/1 ENTERPRISE, &(3) CUSTOMER/1 FPC. All three of these solutions have some overlappingfunctionality (e.g., basic data model, base functionality, etc.). The primary differentiator is the technicalplatform with CUSTOMER/1 IP operating in a mainframe environment and theother two solutions being client/server applications. CUSTOMER/1 ENTERPRISE is a UNIX client/server solution beingdeveloped from the CUSTOMER/1IP software (reusing the batch architecture &replacing the on-line architecture with a UNIX/C GUI interface) withmodifications being added to support the clientÕs business environment/needs. CUSTOMER/1 FPC is a client/server solution that was developed from the original CUSTOMER/1 softwaresite (Baltimore Gas & Electric). The software in its current state containselectric only functionality (gas functionality is currently being added atSolutionworks for a client). The primary differences between the two client server applications areas follows: 1. CUSTOMER/1 ENTERPRISE is intended as a business solution where Andersen Consulting operates the software, hardware and charges aninitial development fee and a per transaction fee (e.g., per bill). 2. CUSTOMER/1 FPC is a client/server CIS developed with Andersen ConsultingÕs Foundation for Cooperative Processing toolset.This software represents AndersenÕs client/server softwaresolution. Due to the fact that the two client/server solutions originated fromdifferent CUSTOMER/1 packages (e.g., CUSTOMER/1 ENTERPRISE from CUSTOMER/1IP & CUSTOMER/1 FPC from CUSTOMER/1 developed at Baltimore Gas & Electric),there are substantial differences in the functionality. These differences are both in the scale and scope ofthe functionality, as well as in the business solutions offered. At the present time there are not any plans to establish a commonfunctional architecture across the three solutions (other than thecommonality that currently exists between CUSTOMER/1 IP & CUSTOMER/1ENTERPRISE). Is the sole differentiator between these products the technicalarchitecture? If not what are the important differences?] What other factors are drivingthis business environment? Is the target market driven by reduced cost, reduced time-to-market,reduced risk, etc.? Is the competitive situation changing? How are targetclients planning to compete? Is it increased service, reduced cost, orsome sort of paradigm shift? As mentioned earlier, the industry is trying to determine the impact thatfuture deregulation will have on the market. This uncertainty has utilitiesattempting to define themselves relative to how they are going positiontheir company within the industry (e.g., low cost provider, high quality service delivery, etc.). The positioning of the utilities within the various quadrants (e.g.,low cost, high quality,etc.) is helping to dictate the business case driversfor purchase/development of a CIS solution. While some utilities are basingtheir purchase decision totally on cost, it appears that the majority of utilities view functionality as theprimary purchase criteria with cost being the second most importantcriteria. It should be noted that cost includes not only the software purchase price, but also hardware,communication/network infrastructure, ancillary systemreplacement/modification and change management costs. Direction setting and scoping of reusable asset generations Relative to Customer /1 IP, the general direction setting and scoping hasalready been put in place. This direction is to leverage the current assetas much as possible. Currently there is no plan to localize solutiondelivery into a single site (i.e., a solution center). What would be the businessmotivator for creating a solution center? The primary motivator for creating a software solution center would be alarge enough customer base to cost justify the necessary investment.Additional decision criteria would include expected lifespan of themainframe market. Asset Packaging One part of scoping is selecting aspecific asset packaging approach. An asset may be packaged via anappropriate combination of the following delivery vehicles: people,deliverables (i.e., any sort of work product), tools, and processes. When one is creating a reusable asset,one decides how much to rely on each of these vehicles. This decision isultimately driven by a trade-off between competing delivery values. Thesedelivery values are: flexibility, productivity, speed of delivery, cost of delivery, investment cost,evolvability over time, and distributability. What are the delivery values oftargeted clients? Currently the three primary deliveryvalues for customers purchasing CUSTOMER/1 IP are: (1) cost of delivery, (2) speed of delivery, (3) flexibility. The otherdelivery value that customers are interested in is the evolvability of thesystem (e.g., many utilities are interested in the ability to migrate to aclient/server solution from a mainframe package). What is the asset packagingapproach of Customer /1 IP? Customer /1 IP consists of both design andcode assets. These assets were created as part of the Illinois Powerengagement. Subsequent engagements use these assets as the starting point of the new engagement. The solution delivery process has beenstreamlined around these assets. This process is to install, convert, andthen customize, as necessary. The specifics of the customization is amatter of negotiation and contract. What is the sales and pricingstrategy for reuse based solutions? Engagements based on the Customer /1 IPasset are billed at Òtime and materialÓ. ÒValue pricingÓ is not performed. The market is highly competitive with other competingreuse-based solutions out there. Cost is the driving factor in each sale. [??? The asset is owned by AC. No royalties arepaid. ] Kevin & Joe: Joe should be able to helpwith details in this area. I will take a stab at it. The sales and pricing strategy for CUSTOMER/1IP vary between customers. The current trend is for ÒfixedfeeÓ engagements. These type of arrangements are sought by utilities toeliminate the possibility over costs overruns, etc.. There are variationsof fixed fee arrangements (e.g., sharing of cost savings between utility and vendor, etc.) in the marketplace today. As statedearlier, cost appears to be a driving factor in the majority of purchasedecisions being made today. The software asset is owned by AndersenConsulting with customers being licensees. Royalties are paid to theoriginating utility (Illinois Power) for each sale made of the base software. What is the strategy forutilizing assets? New engagements either start with the IPasset or leverage an instantiation of it from some other engagement. At this point there is significant risk of the asset forking intomultiple versions of Customer /1 IP, each with slightly different functionality. What is the strategy for assetmaintenance and replenishment? Currently there is no strategy forimproving the core asset -- neither by direct extension nor rolling backimprovements from engagements into some baseline. There is no singleCustomer /1 IP baseline. Reuse InfrastructurePlanning Reuse infrastructure planning refers tothe planning of organizational, educational, and technology infrastructure needed to support reusewithin the targeted development environment. Since this is an ongoing reuseeffort, ignore this section and instead refer to the section ÒReuse Infrastructure Development.Ó Organization Education Technology Project Planning Project planning refers to a plan whichspans multiple projects concerning which projects will create and improveboth the reuse infrastructure and the reusable assets. For Customer /1,there is no plan which looks beyond the current set of engagements under way. Reuse InfrastructureDevelopment Reuse infrastructure development refers tothe creation and maintenance of organizational, educational, and technologyinfrastructure to support reuse. Organization Organizational infrastructure includes three critical elements: people,processes, and organizations tailored for reuse. People with the necessaryreuse training are the most critical element. The necessary reuse knowledgeincludes both knowledge of general reuse practices, as well as specific knowledge on how to use particularreusable assets. Within the ÒCustomer /1 IP teamÓ [what is a better name here?], knowledge of how to utilize the asset isconcentrated in a small number of people. Training of additional people is done as part of engagements using the asset. There is nosignificant effort to develop more general knowledge about how to performreuse in the general case. The process element refers to the reuse-centered processes fordeveloping and utilizing reusable assets. For Customer /1 IP the development processes(i.e., both creation and enhancement processes) are ad hoc. The utilizationprocess has been informally defined. It is to install, convert, and thencustomize Customer /1 IP, as necessary. This is a significant streamlining of the firm standard methodologyAC Methods. Ideally, the organizational element should be configured to maximizeeffective reuse. This is best achieved by separating the creation andenhancement portions of the organization from the utilization portions. Though this may not always beachievable it is at least important that individuals understands what rolethey are performing at any given time. In the case of Customer /1 IP, onlyutilization roles are defined. Creation and enhancement is not addressed. Education Educational infrastructure refers to thecapability to train people in the necessary skills for building and usingreusable assets. Customer /1 IP only addresses the later as part of OJT (onthe job training) while working on the engagement using the asset. Technology Technology infrastructure includes various technologies which can aid reuse.This often includes: a repository of some sort, technology for packagingassets (e.g., ways of representing deliverables, specific tools, and processformalizations). Within Customer /1 IP no special technology not commonly associated with engagementsare used. That is, there is no repository and assets are packaged asstandard engagement deliverables. Reuse ContinuousImprovement Reuse continuous improvement, as the name implies, is concerned with thecontinual improvement of the reuse process. Relative to Customer /1 IP, Iam not aware of any specific, on going activities in this area. Ignore thenext subsections and skip to the next section. Project observation andevaluation (metrics program) Re-evaluation of business environment (problem space) Innovation exploration (solution space) Tactical ReuseActivities Asset Creation andImprovement Though there is no plan for the continuedcreation and improvement of Customer /1 IP assets, there are a variety ofdesign commitments about these assets which need to be made explicit. Make explicit plannedvariability and commonality of assets [Such an explicit statement has notexisted before, but it addressed in the answers about commonality andvariability above.] What assets have beencreated and how have they been represented? Experience has shown that large grainedreuse can provide significant advantages over small grained approaches.This approach relies on shared, well understood domain models,architectures, and components. Customer /1 IP assets consist of design documentsand code. [please describe in greater detail what the actual assets arefunctionally as well as representationally (i.e., what deliverables are theypackaged as?).] CUSTOMER/1 IP includes the following assets:(1) a set of 14 binders of design documentation outlining both functionalinformation (e.g., billing binder) and technical information (e.g., data model), (2) Installation documentation, (3) CUSTOMER/1software, (4) utility software (e.g., testing software) and (5) test datafor installation testing. What is the process bywhich assets are improved or replaced by better assets? Since a baseline for Customer /1 IP is not maintained, there is no mechanismfor improving it. Improvements that are made in the context of anengagement remain with that engagement. Sharing of potentially reusableassets is very ad hoc (i.e., it is done among engagement managers based on personal relationships). Asset Management Asset management activities fall into two broad categories: maintaining therepository and the assets in it, and facilitating better communicationsbetween asset creators and utilizers. Regarding the Customer /1 IP asset noone does either of these roles. Please skip the next subsections and proceed to the following section. Repository services Repository services in concerned with theconstruction and maintenance of a repository. Repository in this context is a long term store with an appropriateclassification schema for the intended set of assets. If the repositorysupports versioning and configurations these would be handled as part ofthis activity. Note that the repository need not actually hold the reusable assets.An alternative approach is that the repository only hold descriptions ofassets with pointers to where the asset can be found. With in the firm thismay be more desirable since these pointers could point to the engagement where the asset really exists. Cataloging includes: creation and maintenance ofclassification schemes, classification of assets, retrieval of assets. repository services -- of either the actual asset or description ofasset w/ pointers as to where it is (i.e., which engagement has the asset). Certifying High quality assets is critical to asuccessful reuse program. If assets are not high quality and are notmaintained as such, it will kill any reuse program. Certification isconcerned with assessing assets. Certification can be based on specific evaluation criteriathat is applied when the asset is submitted to the repository and/or it canbe done incrementally based on experience reports on the use of assets.Fundamentally the goal is to accepts only high quality assets and to reject or discard low quality assets.(aside: discarding assets is necessary because it is quite common for highquality assets to deteriorate over time due to changes in technology and/orthe context in which they are used.) The evaluation criteria for the assets must be tailored to the specificdomain of reuse. Some criteria are generic (i.e., adhering to codingconventions, complexity below certain thresholds, etc.), but others must bespecific to the domain of reuse and the values of the asset utilizers. Brokering Utilization tracking and management This activity is concerned with supportingutilizers of the repository, as well as tracking this use. Trackinginformation is useful both for understanding which assets are better or worse, and which assets are used and not used. Thisinformation is useful to brokering because it is suggestive of what assetsare needed. It is also useful to the repository manager who can use thisinformation to identify assets which should be removed from the repository. Asset Utilization Asset utilization is development withreuse. The principle steps to development with reuse is identification ofthe potentially reusable asset(s), evaluation and hopefully selection of theappropriate asset(s), tailoring of the asset (if this is part of the specific utilizationprocess of this specific asset), and integration of this asset into thetotal solution. What is the assetutilization process for Customer /1 IP? For Customer /1 IP, this activity is performed by comparing therequirements of the client to the existing Customer /1 instantiations atprevious engagements. When the best match is identified the entireinstantiation is treated as the asset and installed at the new engagement site. The development process for Customer /1 hasbeen streamlined to go directly to conversion, after which customization isperformed incrementally as needed. Knowledge of which portions of Customer /1 can be tailored, as well as howto perform this tailoring, is known by managers and staff who have extensiveexperience with the asset. This knowledge is the single greatest limitingfactor to our capacity to build Customer /1 IP solutions. [what is the staffing requirements for experiencedpeople with the asset? i.e., what percentage of the engagement team mustalready know the asset? break this out according to levels: managers and staff] Typical staffing requirements have been to staff one manager with IllinoisPower experience together with several senior and staff consultants. Due tolimited resources with Illinois Power knowledge, project staffing has variedsubstantially from one project to another. At a minimum, it appears that each project must have atleast one experienced senior or manager (familiar with CUSTOMER/1 IP)staffed if the project is to be successful.