IT Innovation Management Office Program Status Report -Q

IT Innovation Management Office Program Status Report -Q 1 2008 - Ver 02122008

Q 4 2007 Accomplishments • • Initiating Phase – – – Confirm executive vision and commitment Document Innovation Management Program (IMP) goals, requirements & success criteria Draft IT Innovation Management Office Guide Template Planning Phase – – People: • • • Create Innovation Champion role and assign resource Create IMP Strategic Leadership Team and assign resources Seek out other IMP-like groups in organization and request partnership Create Idea Review Board and assign resources Create Idea Hub resource classification and assign resources Create IMP Organizational Chart (Network = yes; Hierarchical = no) Processes: • Define and document: – – – 2 Ver 02122008 Creativity/Innovation Concepts "Basic Training“ curriculum Creativity/Innovation Concepts "Advanced Training“ curriculum Idea Champion/Idea Review Board Training curriculum Idea Generation Facilitator Training curriculum Metrics and Success/Failure Threshold criteria Required Templates, Forms and Program Document Repository Idea Submission/Capture process Idea Generator Feedback/Communication process Idea Filtering/Assessment process Idea Reward/Recognition process Innovation Management Program Communication/Reporting process

IT IMO Projects to Date • IT Operations – Current: • Voice of the Employee and structured idea generation on improving WFE scores and addressing ITOps WFE scoring anomalies – Past: • Manager Training on Organizational Creativity and Innovation • Root Cause Analysis Training for Critical Situation Managers • IT Operations and Corporate Real Estate – Current: • Streamline MAC (Moves, Adds & Changes) Process • IT Shared Services – Past: • Basic Training on Organizational Creativity and Innovation • Consultation and Design for ITSS Idea Management Pilot Program • PMTP Training Program • Payment Services: – Past: • Basic Training on Organizational Creativity and Innovation 3 Ver 02122008

IT IMO Overall Formation Status Project to plan, design, build and deploy the IT Innovation Management Office (IT IMO) is on-track, slightly ahead of schedule. ** NOTE = The project has been re-baselined to deliberately slow down implementation to avoid conflicts with other IT initiatives 4 Ver 02122008

Key IT IMO Responsibilities Identified… 5 Ver 02122008

Key Innovation Processes Defined… Innovation Management Process: Engagement People Process (Phase I) Process (Phase II) Execution Step 1: Listening & Strategy Session Step 4: Identify & Secure Resources Step 7: Idea Capture Process & Tech. Step 10: Idea Filtering & Selection Step 13: Implementation Plan Step 2: Climate Survey & Analysis Step 5: Create Org. Diagram & Charter Step 8: Idea Flow Process & Tech. Step 11: Metric Establishment Step 3: Current Status Review & Change Recommendations Step 6: Create RACI Chart Step 9: CPS Training Process & Tech. Step 12: Documentation, Reporting & Communication Step 14: Innovation Portfolio Design & Alignment Step 15: Strategy Alignment Analysis Key Document Deliverables • IMP Strategy & Alignment Roadmap • Creativity / Innovation Culture Survey • Creativity / Innovation Survey Analysis & Report • Senior Leadership Commitment Contract 6 Ver 02122008 • Innovation Champion Roster • Innovation Facilitator Roster • Innovation Review Board Roster • Innovation Management Program Organization Chart • Innovation Management Program RACI Chart • Idea Campaign Strategy & Criteria • Idea Solicitation & Capture Process • Idea Flow Process Map • Creativity & Innovation Training Plan • Innovation Culture Change Management Plan • Idea Selection Criteria Chart • Risk Analysis Document • Business Case & Charter Template • Listing of Metrics • Data Collection Process • Innovation Campaign Communications Plan • Implementation Plan • Implementation Schedule • Cash Curve Diagram • Recognition & Reward System • Project Portfolio System • Innovation Strategic Planning Document • Return on Investment Validation Spreadsheet • IMP Pilot Execution

Key Innovation Processes Defined… Idea Management Process: Problem ID Incubation Generation Step 1: Symptoms & Attributes Analysis Step 4: Environment Analysis Step 7: Idea. Gen Technique #1 Step 2: Root Cause Analysis Step 3: Cause & Effect Analysis Step 5: Subconscious Assignment Exercise Step 6: Mind Mapping Implementation Step 8: Idea. Gen Technique #2 Step 10: Idea Champion Assignments Step 11: Business Case & Charter Step 9: Idea. Gen Technique #3 Step 12: Implementation Plan Feedback Step 13: Metric Establishment Step 14: Recognition & Reward Establishment Step 15: Strategy Alignment Analysis This is an iterative process, but is shown here in a linear format to illustrate the necessary steps Key Document Deliverables • Symptoms & Attributes Analysis List • 5 Why’s Ladder Chart • Ishikawa (Fishbone) Diagram 7 Ver 02122008 • Environment Assessment Document • Subconscious Assignment Problem Trigger • Mind Map • Idea Generation Technique Evaluation and Selection Document • Idea Capture Log • Idea Theme Log • Idea Selection Log • Idea Champion Roster • Idea Assignment • Risk Analysis Document • Business Case & Charter • Cash Curve Diagram • Implementation Plan • Implementation Schedule • Listing of Metrics • Recognition System • Reward System • Innovation Leadership Organization Chart • Innovation Strategic Planning Document • Return on Investment Validation Spreadsheet

Key Innovation Processes Defined… • Idea Capture and Filtering Process – Idea Capture system based on Survey Solutions data collection technology – Capture, Tracking, Filtering etc. system based on message board collaboration technology 8 Ver 02122008

Key Innovation Processes Defined… • Idea Implementation & Hand-Off Process – Process includes hand-off “stage gates” to IT CI, Corporate CI, Marketing and Products NBD and Fraternal NBD – Process will integrate with IT project consideration, launch and governance mechanisms already in place • PAC, IT PMC, ITMod 9 Ver 02122008

Key Innovation Processes Defined… • Reward & Recognition Process – Recognition: • Parties & Celebrations – Picnics, Division Meetings, IT Leaders Meetings, IT SLT Meetings – – – Voicemail thank you’s from CIO & IT SLT E-mail thank you’s from CIO & IT SLT Handwritten note thank you’s from CIO & IT SLT – – – E-mail IT Connection Corporate Daily Intranet • Certificates • Thank You’s • Announcements – Rewards: • Bronze Level: Rewards that are based on establishing and encouraging culture changing behavior – – Idea Lottery = One lottery ticket per idea submitted Lottery winners receive non-cash prizes such as PTO day – – Frequent Idea Submitter Points = Points are award for each idea submitted; Additional points can be accumulated the further the idea moves through the idea funnel Points collected can be spent on logo products or a catalog of other prizes – Annual CIO Leadership In Innovation Award • Silver Level: Rewards that are based on ideas targeted to resolve specified business problems • Gold Level: Rewards that are based on ideas selected for prototyping or piloting » » Dinner with CIO & IT Senior Leadership Team Fixed Cash Reward • Platinum Level: Rewards that are based on ideas selected for launch and provide a measurable benefit to the organization – 10 Ver 02122008 Annual BHAG Contribution Award » » Dinner with CEO and Executive Management Team Fixed Cash Award

Key Innovation Metrics Defined… • Preliminary 2008 IT IMO Target Metrics: – – Number of ideas submitted • Threshold = 500; Target = 1000; Stretch = 2000 • Data collection method – Percentage of IT employees and managers completing innovation & creativity training • Threshold = 10%; Target = 25%; Stretch = 50% • Data collection method – – Actual number of employees and managers attending training classes (roll call method) vs. total number of IT employees and managers Idea campaigns launched • Threshold = 6; Target = 12; Stretch = 18 • Data collection method – Actual number of formal idea campaigns filed, planned, communicated and launched via IT IMO Ratio of implemented ideas to submitted ideas • Threshold = 1: 500; Target = 1: 250; Stretch = 1: 100 • Data collection method – Ratio calculated between “Number of Ideas Submitted” metric and projects started from idea hand-off Establishment of innovation-centric reward and recognition system • YES / NO – Target Only Goal • Data collection method – 11 Actual number of ideas submitted into automated idea management system Ver 02122008 Communication and launch of reward/recognition system followed by first actual usage of system

2008 Innovation Management Roadmap 12 Ver 02122008

IT Innovation Management Office - Q 1/Q 2 2008 Task List • • • • 13 Processes: – Define and document Idea Management Technology/Delivery Solution – Define and document Idea Campaign Strategy process Culture Change/Transformation: – Confirm executive and all other management level commitment to culture change – Define and document culture change employee activities – Assemble IMP culture change activity plan documentation Communication Management: – Define and document communication needs and activities – Define and document communication delivery methodology – Assemble IMP communication activity plan documentation Prepare and distribute Creativity/Innovation Culture Assessment Survey Analysis, Scoring and Report Generation Deliver survey read-out and recommendations IMP Strategic Leadership Team Kick-Off Meeting Idea Review Board Participant Kick-Off Meeting IMP Idea Hub Participant Kick-Off Meeting IMP Communication Strategy & Plan Implemented IMP Culture Change/Transformation Strategy & Plan Implemented IMP Lunch 'n Learn Sessions conducted Idea Management Program templates and documents distributed Innovation Portfolio Management, Design & Integration with PPM/PAC Projects, Training and other Assistance As Requested Ver 02122008

QUESTIONS? Ver 02122008