Record CMMI Appraisals and the Growing Trend to Continue

By January 5, 2018BLOGPAGE1

Record CMMI Appraisals Indicate Growing Demand for Improved Organizational Capabilities

CMMI (Capability Maturity Model Integration) appraisals and its benefits are at the top of the business news recently. As the CMMI Institute declared that the record number of 2,237 organizations has achieved the prestigious CMMI certification in a year, businesses probably have started relating these appraisals to improved organizational capabilities. That’s the reason, not only large organizations but even among the small scale business houses, clearly, it’s a growing trend of getting certified and staying compliant. In this context, Kirk Botula, the CEO of CMMI Institute has rightly said – “CMMI appraisals are recognized around the world as a trustworthy measure of an organization’s capability to deliver higher quality products and services.”

CMMI Model as a Yard Stick

CMMI is an ideal development model that has been designed by taking an ample number of data references from the organizations who had joined the initial phase of the research conducted by the US Department of Defense. Since then, the model has gone through many modifications and has been extensively used worldwide by government agencies, corporate, business houses, etc. The model has been accepted as a yardstick of what an organization can do to streamline its processes that would lead to improved performance of products, services, and internal operations.
How CMMI Works for Organizations

According to McKinsey & Company, the capability is anything and everything that a business does well and it leads toward producing meaningful business outcomes. This organization which is one of the oldest management consulting house also believes that if a company’s key capabilities are defined without any ambiguity, every person and element associated with that company start complimenting each other. Many still ask the question – how the capability maturity model implementation actually helps organizations weigh their organizational capabilities? And the answer lies in adherence to CMMI itself which enables organizations in evaluating their capabilities against ideal organizational practices and finding out the key drivers resulting superior performance.

Allianz’s CMMI Implementation and 123% Raise in On-budget Project Completion

There is ‘n’ number of examples of organizations who have successfully implemented CMMI standards have been at the receiving end of a streamlined internal as well as delivery processes and great reputation. One such example that every other leading CMMI consultant takes often is of Allianz UK. Already being Europe’s largest insurance provider, when they decided to re-design their distinct capabilities in engineering innovation and project management, nobody knew what impact it would bring. In order to address the complexity of their functions in different geographies, when Allianz implemented CMMI, they got overwhelmed with the result. With 39 percent rise in on-time project delivery, whopping 53 percent increase in the number of satisfied customer responses, and an unbelievable 123 percent rise in overall project completion on budget surprised the entire industry. In this context, Jean Harris, the Director for System Development for Allianz UK, said – “In today’s rapidly evolving world, the ability to create new value and the ability to be innovative is now more important to an organization’s survival than at any other time in our history.”

Booze Allen Hamilton Exceeded 94% SLA Meet by Becoming a CMMI Level 5 Company

Another similar spectacular example is of Booze Allen Hamilton, a multi-billion dollar American management consulting company. Since 1998, Booze Allen Hamilton has attained a record of 18 CMMI appraisals as part of their continuous improvement drive. In the year 2016, the company achieved the feat of becoming a CMMI Maturity Level 5 company from CMMI Maturity Level 3. This broadly resulted in 35 percent dipping in the average ticket resolution time and enabled them with smooth handling of complex systems.

CMMI Certification Will Continue to be in Demand

The year 2016 saw 16 percent growth in the number of organizations obtaining CMMI certification and through the statistics is yet to be made public, it must be a whopping number in 2017 as well. Krik Botula earlier mentioned – “Every year more and more organizations realize the value of a CMMI maturity level and in 2016 we saw that growth particularly in the US, China, and India.” Nevertheless according to leading CMMI consultants and leaders, the year 2018 will be no different and would be even more progressive in terms of businesses taking interest in getting certified to stay competitive with their customers.

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