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A Technical History of the SEI

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and performance comparisons, Navigation Process training, and a program to license organizations<br />

and certify individuals to deliver <strong>the</strong> Navigation Process. The SGMM Matrix <strong>of</strong>fers a summary<br />

view <strong>of</strong> <strong>the</strong> model domains and expected characteristics<br />

in each domain and at each maturity level. 21<br />

The View from O<strong>the</strong>rs<br />

The Consequence: Effective Method for<br />

Utilities’ Transition to <strong>the</strong> Smart Grid<br />

Utilities that have approached <strong>the</strong>ir smart grid transformation<br />

planning with <strong>the</strong> SGMM Navigation Process<br />

have seen a number <strong>of</strong> benefits. They have <strong>the</strong> evidence<br />

needed to maintain financial support and an initial opportunity<br />

to formally review and plan <strong>the</strong>ir smart grid activities.<br />

The use <strong>of</strong> a common language across <strong>the</strong> enterprise<br />

enables effective communication about smart grid realities<br />

and objectives.<br />

Ultimately, in <strong>the</strong> U.S. and o<strong>the</strong>r nations, grid reliability,<br />

security, efficiency, and safety will increase. As organizations<br />

progress, <strong>the</strong>y manage power flows so that power<br />

losses are minimized and <strong>the</strong> usage <strong>of</strong> lowest cost power<br />

generation resources are maximized. They implement<br />

business processes that deliver an environmentally<br />

friendly energy network while minimizing costs and sustaining<br />

pr<strong>of</strong>itability. The growing number <strong>of</strong> industry<br />

“SGMM Navigators,” trained by <strong>the</strong> <strong>SEI</strong>, means <strong>the</strong>re is<br />

model expertise in industry able to guide <strong>the</strong> SGMM Navigation Process.<br />

The <strong>SEI</strong> Contribution<br />

Pepco Holdings has been involved<br />

with <strong>the</strong> SGMM since its inception.<br />

We recently completed <strong>the</strong> survey<br />

again, using <strong>the</strong> SGMM Navigation<br />

process. This was helpful in<br />

fostering candid, fact-based discussion<br />

<strong>of</strong> where we have been,<br />

where we are today, and where we<br />

expect to be in <strong>the</strong> future. We look<br />

forward to using <strong>the</strong> tool as an integral<br />

part <strong>of</strong> our ongoing planning<br />

and transformation process,<br />

and in measuring our progress<br />

over time.<br />

– George Potts, Vice<br />

President, Business<br />

Transformation, Pepco<br />

Holdings, Inc. [SGMM<br />

2010a]<br />

Initial work leading to <strong>the</strong> SGMM was done by an IBM-led coalition <strong>of</strong> major utility companies,<br />

<strong>the</strong> Global Intelligent Utility Network Coalition. Their work was handed over to <strong>the</strong> <strong>SEI</strong> as a neutral,<br />

third-party steward. The Department <strong>of</strong> Energy funded <strong>the</strong> <strong>SEI</strong> to take on <strong>the</strong> SGMM stewardship.<br />

In addition to its neutrality, <strong>the</strong> <strong>SEI</strong> had an existing relationship and o<strong>the</strong>r work in critical<br />

infrastructure. The DOE provides tools in support <strong>of</strong> public-private partnership efforts to modernize<br />

<strong>the</strong> grid as a national priority. The <strong>SEI</strong> is also collaborating with APQC, a non-pr<strong>of</strong>it memberbased<br />

research organization to help organizations adopt <strong>the</strong> model.<br />

As SGMM steward, <strong>the</strong> <strong>SEI</strong> evolves <strong>the</strong> model and makes it freely available as a service to <strong>the</strong><br />

utility industry. With industry stakeholder and DOE input, <strong>the</strong> <strong>SEI</strong> released Version 1.1 <strong>of</strong> <strong>the</strong><br />

model in 2010 and Version 1.2 in 2011. In addition, <strong>the</strong> <strong>SEI</strong> developed <strong>the</strong> SGMM product suite<br />

that includes <strong>the</strong> Navigation Process, <strong>the</strong> Compass assessment, Navigation Process training, and<br />

<strong>the</strong> licensing and certification program for delivering <strong>the</strong> Navigation Process. SGMM expertise is<br />

21 SGMM products and o<strong>the</strong>r SGMM information are available at http://www.sei.cmu.edu under “Work<br />

Areas.”<br />

CMU/<strong>SEI</strong>-2016-SR-027 | SOFTWARE ENGINEERING INSTITUTE | CARNEGIE MELLON UNIVERSITY 138<br />

Distribution Statement A: Approved for Public Release; Distribution is Unlimited.

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