ISMA 15 conference: Function Point based multidimensional innovation at Telenor

ISMA 15 conference: Function Point based multidimensional innovation at Telenor

Cecilie Thormodsrud (Telenor)


Main Topics:

  • Background, the 2013 setup and metrics driving wrong focus
  • Execution of the Productivity Improvement Agenda (PIA)
  • Establishing common baseline and goals
  • Decisions based on IFPUG FP metrics
  • Next steps


Benefits for Participants:

  • How various FP based metrics enable valuable business decisions
  • What type of focus and decisions were implemented
  • How a small PIA team can initiate valuable changes



Background: In 2013 the new mobile contract was signed, to reduce IT cost and make the vendor responsible for high stability in value chain, focused on high offshore degree and managed by a penalties regime. No standardization of way of work, poor handover and utilization of the new Telenor project model, resulted in very slow IT deliveries and ended in a time-consuming taskforce in 2015. Gartner conducted a Telco benchmarking by Fast Function Point Analysis and Root Cause Analysis. The Benchmarking indicated that productivity was much lower than average and cost per FP was high.

Established joint vendor-customer Productivity Improvement Agenda(PIA). Our primary focus was to improve Trust, Collaboration and Transparency and then PIA proposed necessary changes in Organisation, Processes, Contract/Funding and Architecture.

Establishing common baseline and goals: The productivity improvement work included a parallel IFPUG FPA and Gartner FFPA count to set baseline and bridged IFPUG to the Benchmarking results. Based on the results the joint management group decided the 2017 cost-efficiency (NOK/FP) and productivity (FP/MD) ambitions.

Decisions based on FP metrics: Based IFPUG FPA and FFPA measurement pilots were launched to test new way of work. Organisation: Launched medium size project factory, and 3 pilots in agile way of work, and tuned onshore/offshore decisions. Process: 50% cut in analysis time for large projects, automated product configuration into world class productivity and now standardizing software delivery workflows and supporting tools. Contract: changed metrics, contract models and funding. Architecture: started middleware and channel modernization

Next Steps:

  • Integrate IFPUG FPA into the software delivery lifecycle and estimation
  • Simplification of organization, process, contract, funding and architecture
  • Utilizing lean start-up techniques

About the speaker:

Cecilie Thormodsrud has 30 years of experience from creating value from measurement in large transformation projects. In the 1990s she developed balanced scorecards to implement business goals and strategies in transportation and telco companies, both in the public and the private sector. First 5 years of this millennium, Cecilie delivered a successful multi billion cost saving transformation programme in leading position. She switched from management consulting to Telenor in 2007 and improved internal collaboration between IT and the business, created better value chain stability measurement system and improved performance. From 2010 she managed a 3 year successful Data Center transformation project. Since 2014 the main focus has been improving vendor-customer relationship and establish the AD Productivity Agenda. This include several value creating decisions and executions based on Function Point and Root Cause Analysis.