The Capability Maturity Model (CMM) is like a ruler that measures how good a company is at making and delivering things. Imagine you are playing with building blocks, and you can make a simple house. Now imagine you want to make a bigger and more complex house, with different rooms and furniture. To do that, you need to learn new skills, such as how to use more blocks or how to connect them in different ways.
It's the same for companies that make software or provide services. At first, they can make simple products or do basic tasks. But as they grow and take on more complex projects, they need to learn new skills and processes to do them well. The Capability Maturity Model measures how good they are at doing this.
There are five levels in the CMM, like steps on a ladder. At the bottom, Level 1, companies are just starting out and have few processes in place. They might make mistakes and take a long time to finish their work. At Level 2, they have basic processes for managing projects and can deliver products on time. At Level 3, they have better processes for managing projects and know how to improve them. At Level 4, they have advanced processes that help them avoid mistakes and save time and money. At Level 5, they are experts and can handle any project with ease.
Think of it like learning to ride a bike. At first, you might need training wheels and lots of practice to get going. As you get better, you can take on new challenges like riding uphill or on bumpy roads. Eventually, you might become a pro and even compete in races. The Capability Maturity Model is like the steps you take to become a pro, but for companies that make things instead of people on bikes.