Subset Overview / Details
______________________________________________________________
Requirement Set: CMMI
Subset: Integrated Supplier
Management (ISM)
______________________________________________________________
Notes:
·
The contents of this web page were extracted from
the following document: Capability Maturity Model® Integration
(CMMISM), Version 1.1, Continuous Representation,
CMU/SEI-2002-TR-011, March 2002 (CMMI-SE/SW/IPPD/SS). Copyright 2002 by
Carnegie Mellon University. NO WARRANTY.
·
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in square brackets that appear at the end of paragraphs.
·
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·
In the CMMI, a subset is known as a "Process
Area (PA)" and a requirement is known as a "Practice". The
specific practices are referred to as SPs and the generic practices are
referred to as GPs.
·
This web page contains the text for SPs and GPs as
it appears in Chapter 7 of the CMMI document, in the section corresponding to
the process area named in the heading of this page. This web page does not
include the detailed description of the GPs that appears in a separate chapter
of the CMMI document; the detailed
description of the GPs is available in a separate web
page. (Note: Using the hyperlink provided here will open that web page in a
separate window.)
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Category: Project Management
Purpose
The purpose of Integrated Supplier Management is to
proactively identify sources of products that may be used to satisfy the
project’s requirements and to manage selected suppliers while maintaining a
cooperative project-supplier relationship.
[PA168]
Introductory Notes
Integrated Supplier Management involves monitoring the
new products available on the market, evaluating sources of products that might
help satisfy project requirements, and using this information to select
suppliers. Integrated Supplier Management also involves maintaining a
cooperative project-supplier relationship, monitoring selected supplier
processes, evaluating selected work products, and making appropriate adjustments
in the supplier relationship and agreement.
[PA168.N101]
Integrated Supplier Management involves the following
activities: [PA168.N102]
· Identifying, analyzing, and selecting potential sources of products
· Evaluating and determining the sources to be used for acquiring products
· Monitoring and analyzing selected supplier processes
· Evaluating selected supplier work products
· Revising the supplier agreement or relationship as appropriate
The Integrated Supplier Management process area builds on
the concepts established in the Supplier Agreement Management process area by
adding practices that emphasize a cooperative relationship with suppliers.
Integrated Supplier Management is designed for situations in which projects use
suppliers to perform functions that are critical to the success of the project.
Analyzing sources and monitoring selected supplier processes and work products
before delivery of the product to the project are two such functions described
in this process area. [PA168.N103]
The practices in Supplier Agreement Management, such as
Select Suppliers, Establish Supplier Agreements, and Execute the Supplier
Agreement, are critically tied to Integrated Supplier Management. Appropriate
references are provided in both process areas to emphasize these relationships. [PA168.N104]
Integrated Supplier Management emphasizes relationships
with suppliers that are collaborative and coordinated. Projects evaluate the
supplier’s performance and the quality of the work products for compliance with
the requirements in the supplier agreement. Integrated Supplier Management is
not required for projects using off-the-shelf items that are generally
available and that are not modified in any way. There, the use of Supplier
Agreement Management is sufficient.
[PA168.N105]
The term “source” refers to a potential supplier or
suppliers before selection. (See the definition of “supplier” in Appendix C,
the glossary.) [PA168.N106]
See Chapter 3 for an explanation of how “product” is used
in the CMMI Product Suite. [PA168.N109]
The supplier agreement establishes the mechanism to allow
the project to oversee supplier processes and work products and to evaluate any
products being acquired. It also provides the vehicle for mutual understanding
between the project and the supplier.
[PA168.N107]
The specific practices of this process area can be
implemented either within each project, by a separate group in the organization
that supports multiple projects (e.g., contract management), or some
combination of the two. [PA168.N108]
Refer to the Supplier Agreement Management process area for more
information about establishing and maintaining agreements with suppliers.
[PA168.R101]
Refer to the Project Planning process area for more information about planning
and managing the involvement of stakeholders. [PA168.R102]
Refer to the Integrated Project Management for IPPD process area for more
information about establishing and maintaining the project’s defined process
and about implementing and managing integrated teams.
[PA168.R103]
Refer to the Risk Management process area for more information about
managing risks. [PA168.R104]
Refer to the Requirements Management process area for more information
about managing requirements. [PA168.R105]
Refer to the Requirements Development process area for more information
about developing product and product-component requirements.
[PA168.R106]
Refer to the Technical Solution process area for more information about
the products and product components to be acquired.
[PA168.R107]
Specific Goals
SG 1 Analyze
and Select Sources of Products
[PA168.IG101]
Potential sources of products that best fit the needs of the project are identified, analyzed, and selected.
SG 2 Coordinate
Work with Suppliers [PA168.IG102]
Work is coordinated with suppliers to ensure the supplier agreement is executed appropriately.
Generic Goals
GG 1 Achieve
Specific Goals [CL102.GL101]
The process supports and enables achievement of the specific goals of the process area by transforming identifiable input work products to produce identifiable output work products.
GG 2 Institutionalize
a Managed Process [CL103.GL101]
The process is institutionalized as a managed process.
GG 3 Institutionalize
a Defined Process [CL104.GL101]
The process is institutionalized as a defined process.
GG 4 Institutionalize
a Quantitatively Managed Process
[CL105.GL101]
The process is institutionalized as a quantitatively managed process.
GG 5 Institutionalize
an Optimizing Process [CL106.GL101]
The process is institutionalized as an optimizing process.
Practice-to-Goal Relationship Table
SG 1 Analyze and Select Sources of Products [PA168.IG101]
SP 1.1-1 Analyze Potential Sources of Products
SP 1.2-1 Evaluate and Determine Sources of Products
SG 2 Coordinate Work with Suppliers
[PA168.IG102]
SP 2.1-1 Monitor Selected Supplier Processes
SP 2.2-1 Evaluate Selected Supplier Work Products
SP 2.3-1 Revise the Supplier Agreement or Relationship
GG 1 Achieve Specific Goals [CL102.GL101]
GP 1.1 Perform Base Practices
GG 2 Institutionalize a Managed Process [CL103.GL101]
GP 2.1 Establish an Organizational Policy
GP 2.2 Plan the Process
GP 2.3 Provide Resources
GP 2.4 Assign Responsibility
GP 2.5 Train People
GP 2.6 Manage Configurations
GP 2.7 Identify and Involve Relevant Stakeholders
GP 2.8 Monitor and Control the Process
GP 2.9 Objectively Evaluate Adherence
GP 2.10 Review Status with Higher Level Management
GG 3 Institutionalize a Defined Process [CL104.GL101]
GP 3.1 Establish a Defined Process
GP 3.2 Collect Improvement Information
GG 4 Institutionalize a Quantitatively Managed Process [CL105.GL101]
GP 4.1 Establish Quantitative Objectives for the Process
GP 4.2 Stabilize Subprocess Performance
GG 5 Institutionalize an Optimizing Process [CL106.GL101]
GP 5.1 Ensure Continuous Process Improvement
GP 5.2 Correct Root Causes of Problems
Specific Practices by Goal
SG 1 Analyze and Select Sources of Products
Potential sources of products that best fit the
needs of the project are identified, analyzed, and selected. [PA168.IG101]
The specific practices associated with this specific goal
enhance the approach to selecting suppliers described in the Supplier Agreement
Management process area by proactively identifying potential sources of
products that satisfy the project’s requirements and by using this information
when selecting suppliers.
[PA168.IG101.N101]
The specific practices associated with this specific goal
augment those that help achieve the Establish Supplier Agreements specific goal
of the Supplier Agreement Management process area and contribute to making the
supplier selection decisions described in that process area. [PA168.IG101.N102]
SP 1.1-1 Analyze Potential Sources of Products
Identify
and analyze potential sources of products that may be used to satisfy the
project’s requirements.
[PA168.IG101.SP101]
Identifying sources of products that might be used to satisfy
the project’s requirements involves monitoring the market to identify potential
sources of such products. The products available in the market continually
change, as does the information about the capabilities of products and their
suppliers. Thus, new information that may be essential to deciding which
potential sources are most effective continually becomes available. Monitoring
the market to identify potential sources involves proactively searching for
such information and incorporating it into ongoing and future decisions. [PA168.IG101.SP101.N101]
Typical Work Products
1. List of potential sources
of products that might be acquired [PA168.IG101.SP101.W101]
2. Market studies [PA168.IG101.SP101.W102]
3. Trade studies [PA168.IG101.SP101.W103]
4. Information about potential
sources such as past performance, post-delivery support, corporate viability,
and risks [PA168.IG101.SP101.W104]
Subpractices
1. Conduct market research to identify
potential sources of candidate products to be acquired, including candidates
from suppliers of custom-made products and vendors of COTS products. [PA168.IG101.SP101.SubP101]
Refer
to the Organizational Innovation and Deployment process area for examples of
sources of process and technology improvements and how to pilot and evaluate
such improvements. [PA168.IG101.SP101.SubP101.R101]
2. Evaluate potential sources against
established criteria by performing trade studies, as appropriate. [PA168.IG101.SP101.SubP102]
The purpose of evaluating sources
is to achieve a better understanding of the relative merits of alternative
sources in terms of their potential to satisfy project requirements. [PA168.IG101.SP101.SubP102.N101]
3. Identify risks associated with the potential
sources. [PA168.IG101.SP101.SubP103]
SP 1.2-1 Evaluate and Determine Sources of Products
Use
a formal evaluation process to determine which sources of custom-made and
off-the-shelf products to use.
[PA168.IG101.SP102]
Factors that may affect the evaluation include the
following:
[PA168.IG101.SP102.N101]
· Core competencies
· Functions the products will provide and how these functions relate to customer needs
· Availability of on-site support such as responses to queries and problem reports
· Availability of maintenance support after delivery
· Availability of project resources and skills
· Ability to commit to critical delivery and integration dates
· Skills and capabilities
· Licenses, warranties, responsibilities, and limitations associated with the products
· Results of cost-to-benefit ratio analyses, as appropriate
Refer to the Decision Analysis and Resolution process area for more
information about formal evaluation approaches that can be used to select
suppliers. [PA168.IG101.SP102.N101.R101]
Typical Work Products
1. Analysis and evaluation
reports [PA168.IG101.SP102.W101]
2. Revised list of product
sources [PA168.IG101.SP102.W102]
Subpractices
1. Determine the feasibility of acquiring
custom-made or off-the-shelf products. [PA168.IG101.SP102.SubP101]
2. Determine product life-cycle costs of custom-made
or off-the-shelf products. [PA168.IG101.SP102.SubP102]
3. Use the results of these analyses to select
a supplier. [PA168.IG101.SP102.SubP103]
Refer
to the Select Suppliers specific practice of the Supplier Agreement Management
process area for more information about selecting suppliers. [PA168.IG101.SP102.SubP103.R101]
SG 2 Coordinate Work with Suppliers
Work is coordinated with suppliers to ensure the
supplier agreement is executed appropriately.
[PA168.IG102]
The relationship that exists among the project, supplier,
customer, and end user requires special emphasis.
[PA168.IG102.N101]
Achieving project success increasingly demands closely
aligned, if not integrated, processes across organizational boundaries. The specific
practices associated with this specific goal augment those that help achieve
the Satisfy Supplier Agreements specific goal of the Supplier Agreement
Management process area.
[PA168.IG102.N102]
SP 2.1-1 Monitor Selected Supplier Processes
Monitor
and analyze selected processes used by the supplier. [PA168.IG102.SP101]
In situations where there must be tight alignment between
some of the processes implemented by the supplier and those of the project,
monitoring these processes will help prevent interface problems. [PA168.IG102.SP101.N101]
The processes selected for monitoring should include
engineering, project management (including contracting), and support processes
critical to successful project performance.
[PA168.IG102.SP101.N102]
Monitoring, if not performed with adequate care, can at
one extreme be invasive and burdensome, or at the other extreme be
uninformative and ineffective. There should be sufficient monitoring to detect
issues as early as possible that may affect the supplier’s ability to satisfy
the requirements of the supplier agreement.
[PA168.IG102.SP101.N103]
Analyzing selected processes involves taking the data
obtained from monitoring selected supplier processes and analyzing it to
determine whether there are serious issues.
[PA168.IG102.SP101.N104]
Typical Work Products
1. List of processes selected
for monitoring [PA168.IG102.SP101.W101]
2. Activity reports [PA168.IG102.SP101.W102]
3. Performance reports [PA168.IG102.SP101.W103]
4. Performance curves [PA168.IG102.SP101.W104]
5. Discrepancy reports [PA168.IG102.SP101.W105]
Subpractices
1. Identify the supplier processes that are
critical to the success of the project. [PA168.IG102.SP101.SubP101]
2. Monitor the selected supplier’s processes
for compliance with requirements of the agreement.
[PA168.IG102.SP101.SubP102]
3. Analyze the results of monitoring the
selected processes to detect issues as early as possible that may affect the
supplier’s ability to satisfy the requirements of the agreement. [PA168.IG102.SP101.SubP103]
Trend analysis can rely on
internal and external data.
[PA168.IG102.SP101.SubP103.N101]
Refer
to the Verification process area for more information about recording the
results of verification and analyses.
[PA168.IG102.SP101.SubP103.N101.R101]
Refer
to the Project Monitoring and Control process area for more information about
taking corrective action. [PA168.IG102.SP101.SubP103.N101.R102]
SP 2.2-1 Evaluate Selected Supplier Work Products
For
custom-made products, evaluate selected supplier work products. [PA168.IG102.SP102]
The scope of this specific practice is limited to
suppliers providing the project with custom-made products. The intent of this
specific practice is to evaluate selected work products produced by the
supplier to help detect issues as early as possible that may affect the
supplier’s ability to satisfy the requirements of the agreement. The work
products selected for evaluation should include critical products, product
components, and work products that provide insight into quality issues as early
as possible.
[PA168.IG102.SP102.N101]
Typical Work Products
1. List of work products
selected for monitoring [PA168.IG102.SP102.W101]
2. Activity reports [PA168.IG102.SP102.W102]
3. Discrepancy reports [PA168.IG102.SP102.W103]
Subpractices
1. Identify those work products that are
critical to the success of the project and that should be evaluated to help
detect issues as early as possible that may affect the supplier’s ability to
satisfy the requirements of the agreement.
[PA168.IG102.SP102.SubP101]
Examples
of work products that may be critical to the success of the project may
include: [PA168.IG102.SP102.SubP101.N101]
· Requirements
· Architecture
· Documentation
2. Evaluate the selected work products. [PA168.IG102.SP102.SubP102]
Work products are evaluated to
ensure the following:
[PA168.IG102.SP102.SubP102.N101]
· Derived requirements are traceable to higher level requirements.
· The architecture is feasible and will satisfy future product growth and reuse needs.
· Documentation that will be used to operate and support the product is adequate.
· Work products are consistent with one another.
· Products and product components (e.g., custom-made, off-the-shelf, and customer-supplied products) can be integrated.
3. Determine and document actions needed to
address deficiencies identified in the evaluations.
[PA168.IG102.SP102.SubP103]
Refer
to the Project Monitoring and Control process area for more information about
taking corrective action. [PA168.IG102.SP102.SubP103.R101]
SP 2.3-1 Revise the Supplier Agreement or Relationship
Revise
the supplier agreement or relationship, as appropriate, to reflect changes in
conditions. [PA168.IG102.SP103]
There are a number of conditions that occur throughout
the life of the supplier agreement that warrant changing this agreement or
changing the project’s relationship with the supplier. These conditions include
changes in the business environment of the project or supplier; availability of
new products in the market that can better satisfy the needs of the project;
and deficiencies in supplier performance, project performance, or work product
performance.
[PA168.IG102.SP103.N101]
When the level of risk associated with satisfying the
supplier agreement increases significantly, the project may make changes to the
supplier agreement or to the relationship with the supplier. When the
supplier’s level of risk is low, the project should be careful not to impede
the execution of the supplier’s processes. This situation may also warrant
making changes to the supplier agreement to minimize intervention. [PA168.IG102.SP103.N102]
Refer to the Establish Supplier Agreements specific practice of the
Supplier Agreement Management process area for more information about
establishing and maintaining formal agreements with the supplier.
[PA168.IG102.SP103.N102.R101]
Typical Work Products
1. Revisions to the supplier
agreement [PA168.IG102.SP103.W101]
2. Revisions to the project’s
and supplier’s processes and work products
[PA168.IG102.SP103.W102]
Subpractices
1. Review the supplier agreement to ensure it
accurately reflects the project’s relationship with the supplier and current
market conditions. [PA168.IG102.SP103.SubP101]
2. Revise the project’s defined process or work
products as necessary to reflect changes in the project-supplier relationship. [PA168.IG102.SP103.SubP102]
Refer
to the Integrated Project Management for IPPD process area for more information
about establishing and maintaining the project’s defined process. [PA168.IG102.SP103.SubP102.R101]
3. Ensure that the supplier’s processes or work
products are revised as necessary to reflect changes in the project-supplier
relationship. [PA168.IG102.SP103.SubP103]
4. Coordinate changes to the supplier agreement
with the supplier to ensure that changes in the project-supplier relationship
are understood by both the project and supplier.
[PA168.IG102.SP103.SubP104]
Make any adjustments that affect
requirements in the supplier agreement through official channels. [PA168.IG102.SP103.SubP104.N101]
5. Adapt the supplier agreement or relationship
to better match the supplier’s performance based on the results of risk
evaluations. [PA168.IG102.SP103.SubP105]
6. Communicate to project members and other
relevant stakeholders all changes to the supplier agreement and to the
project-supplier relationship. [PA168.IG102.SP103.SubP106]
Generic Practices by Goal
(Note: The detailed description of the GPs is available in a separate web page. Using the hyperlink provided here will open that web page in a separate window. However, the GP elaborations pertinent to the process area of this web page are available below.)
GG 1 Achieve Specific Goals
The process supports and enables achievement of the specific goals of the process area by transforming identifiable input work products to produce identifiable output work products.
Perform
the base practices of the integrated supplier management process to develop
work products and provide services to achieve the specific goals of the process
area. [GP102]
GG 2 Institutionalize a Managed Process
The process is institutionalized as a managed process.
GP 2.1 Establish an Organizational Policy
Establish
and maintain an organizational policy for planning and performing the
integrated supplier management process. [GP103]
Elaboration:
This policy establishes organizational expectations for identifying,
analyzing, and selecting suppliers; and for monitoring supplier processes, work
products, and performance. [PA168.EL101]
This policy also establishes organizational expectations
for analyzing and managing risks relevant to potential sources and the
project-supplier relationship. [PA168.EL102]
Establish
and maintain the plan for performing the integrated supplier management
process. [GP104]
Elaboration:
Typically, this plan for performing the integrated
supplier management process is a part of the project plan as described in the
Project Planning process area. [PA168.EL103]
Provide
adequate resources for performing the integrated supplier management process,
developing the work products, and providing the services of the process. [GP105]
Elaboration:
Special expertise may be required including the
following: [PA168.EL105]
· Ability to evaluate potential sources and select suppliers
· Knowledge of supplier management, including appraising a supplier's planning documents, processes, work products, and services
· Knowledge of risk management
· Knowledge of the domain of the product being acquired
· Knowledge of current engineering processes, work products, verification methods, technology, costing methodologies, and tools
Assign
responsibility and authority for performing the process, developing the work
products, and providing the services of the integrated supplier management
process. [GP106]
Train
the people performing or supporting the integrated supplier management process
as needed. [GP107]
Elaboration:
Examples of
training topics include the following: [PA168.EL106]
· Identifying potential sources for candidate products to be acquired
· Acquisition feasibility and product life-cycle costs analysis
· Evaluating supplier work products
· Monitoring supplier processes
Place
designated work products of the integrated supplier management process under
appropriate levels of configuration management.
[GP109]
Elaboration:
Examples of
work products placed under configuration management include the following: [PA168.EL107]
· Results of the acquisition feasibility and product life-cycle costs analysis
· Supplier agreements
· Discrepancy reports
GP 2.7 Identify and Involve Relevant Stakeholders
Identify
and involve the relevant stakeholders of the integrated supplier management
process as planned. [GP124]
Elaboration:
Examples of
activities for stakeholder involvement include: [PA168.EL108]
· Resolving issues about the improvements to supplier agreements
· Resolving issues about the meaning of the requirements to be fulfilled by the supplied products
· Resolving issues about the reporting of performance data and handling of discrepancies
GP 2.8 Monitor and Control the Process
Monitor
and control the integrated supplier management process against the plan for
performing the process and take appropriate corrective action. [GP110]
Elaboration:
Examples of measures
used in monitoring and controlling include the following: [PA168.EL109]
· Effort expended to manage the evaluation of sources and selection of suppliers
· Number of changes to the requirements in the supplier agreement
· Number of documented commitments between the project and the supplier
· Interface coordination issue trends (i.e., number identified and number closed)
· Quality measures of the supplied products
GP 2.9 Objectively Evaluate Adherence
Objectively
evaluate adherence of the integrated supplier management process against its
process description, standards, and procedures, and address noncompliance. [GP113]
Elaboration:
Examples of
activities reviewed include the following: [PA168.EL110]
· Managing the evaluation of sources and selection of suppliers according to the project’s defined process
· Collecting data and providing appropriate data to the organization’s measurement repository
· Using the organization’s measurement repository to support management activities
· Ensuring that appropriate project subgroups participate in technical activities
· Identifying, negotiating, and tracking critical dependencies and commitments among the functions involved with the integrated supplier management process
· Handling agreement-coordination issues
GP 2.10 Review Status with Higher Level Management
Review
the activities, status, and results of the integrated supplier management
process with higher level management and resolve issues. [GP112]
GG 3 Institutionalize a Defined Process
The process is institutionalized as a defined process.
GP 3.1 Establish a Defined Process
Establish
and maintain the description of a defined integrated supplier management
process. [GP114]
GP 3.2 Collect Improvement Information
Collect
work products, measures, measurement results, and improvement information
derived from planning and performing the integrated supplier management process
to support the future use and improvement of the organization’s processes and
process assets. [GP117]
GG 4 Institutionalize a Quantitatively Managed Process
The process is institutionalized as a quantitatively managed process.
GP 4.1 Establish Quantitative Objectives for the Process
Establish
and maintain quantitative objectives for the integrated supplier management process
that address quality and process performance based on customer needs and
business objectives. [GP118]
GP 4.2 Stabilize Subprocess Performance
Stabilize
the performance of one or more subprocesses to determine the ability of the
integrated supplier management process to achieve the established quantitative
quality and process-performance objectives.
[GP119]
GG 5 Institutionalize an Optimizing Process
The process is institutionalized as an optimizing process.
GP 5.1 Ensure Continuous Process Improvement
Ensure
continuous improvement of the integrated supplier management process in
fulfilling the relevant business objectives of the organization. [GP125]
GP 5.2 Correct Root Causes of Problems
Identify
and correct the root causes of defects and other problems in the integrated
supplier management process. [GP121]