Director of Operations - SCAF Relationships...Siemens Enterprise communications. Sixt. TNT. Toshiba....

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PAS 11000 the worlds first Collaborative relationship management standard © copyright Midas Projects Ltd June 2009 SCAF Workshop : ‘Defence indecision, Cost & Schedule impacts Wednesday 21 st April 2010 Building Relationships between Organisations David Hawkins Director of Operations

Transcript of Director of Operations - SCAF Relationships...Siemens Enterprise communications. Sixt. TNT. Toshiba....

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

SCAF Workshop : ‘Defence indecision, Cost & Schedule impactsWednesday 21st April 2010

Building Relationships between

Organisations

David HawkinsDirector of Operations

PAS 11000 the worlds first Collaborative relationship management standard

•Back ground to PSL & CRAFT

•Development of PAS 11000

•Overview of Framework

Agenda

© copyright Midas Projects Ltd June 2009

Motivation

Power

Prestige

Ambition

Rules

Expectations

Needs Security

Culture

Systems

Tools

Management structure

PoliciesSkillsMeasures

Experience

Personality

Learning style

Formal relationship Process issues

Informal relationship People Issues

The Relationship Iceberg

The Importance of Relationships

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

Background

Formed in 1990 DTI now BIS and the CBI

Assist organisations to develop collaborative relationships for competitiveness

Develop, share, promote best practice Business Relationship Management

Self financing – Not for ProfitA Company Limited by Guarantee

20 years of practical experience

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

PSL Board

• Lord David Evans of Watford – Chairman

• Lord Tony Berkeley

• Barry Sheerman MP

• Andy Scott – CBI

• David Smith –BIS

• Marion Luckhurst – VT Group

• Chris Odam - NATS

• Les Pyle – CEO

• David Hawkins – Director of Operations

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

PAS 11000 the worlds first Collaborative relationship management standard

PSL Executive Partnering Knowledge Network

Office of Government CommerceDept. for Business, Innovation & SkillsCBIForeign & Commonwealth OfficePolicy ConnectDept. for Communities & Local GovernmentDept. for TransportHealth & Safety ExecutiveDEFRADept. of Works and PensionsUK Trade & InvestmentNuclear Decommissioning AgencyMoD-DE&SRoyal NavySport England

University of BathUniversity of CranfieldUniversity of StrathclydeUniversity of SouthamptonUniversity of ExeterManchester Business SchoolUniversity of SurreyC.I.P.S.ASAP

ACERAMECAscent Flight TrainingAWEBAe SystemsBECTABritish Retail ConsortiumBritish Standards InstituteBTCAPITACH2MHillCofely (Gaz De Suez)D-LinkEADSEMCORFrost and SullivanInterserveLife channelLockheed MartinLogistics InternationalMott MacDonaldNational Air traffic ServicesNIPOraclePERAPfizerProbrandRaytheon Systems

SCCSelex Systems IntegrationSenate publishingSERCOSiemens UKSiemens Enterprise communicationsSixtTNTToshibaTWIUKAEAVT Group

© copyright Midas Projects Ltd June 2009

Adversarial

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

Relationship journey

Confrontational

Collaborative

Mutual Trust

Compliant

Co-operative

Value Creation

Co-creating

Partnering

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

Partnering

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

• Lack of stakeholder commitment / management support• Lack of strategic direction• Poor up-front planning / partner evaluation• Cultural mismatch• Lack of shared goals / success criteria• Poorly defined measurement (often too many)• Lack of benefit / risk sharing• Hidden agendas• Poor communication• Ineffective blockage resolution mechanisms

The challenges of collaborative business relationships

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

The Importance of Relationships

Relationships PeopleMachine

Functional

•Transactions

•Information

•Specifications

•Inventory

•Accounting

•Payment

•Taxation

•Security

•Duties

•Pricing

Procedural

•Bidding

•Planning

•Demand/supply

•Evaluation

•Budgeting

•Contractual

•Performance

•Alarms

• Marketing

• Renewal cycle

Relational

•Language

•Law

•Legislation

•Visibility

•Reporting

•Customer

profiles

•Integration

•Currency

•Risk mgt.

Emotional

•Confidence

•Trust

•Culture

•Leverage

•Negotiations

•Problem solving

•Dispute resolution

•Ownership

•Motivation

•Innovation

•Risk awareness

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

PAS 11000 the worlds first Collaborative relationship management standard

C R A F T

Collaborative Relationship Assessment Fulfilment Transformation

A structured framework for building effective and profitable relationships

Awareness

Knowledge

Internal assessment

Partnerselection

Stayingtogether

Exit strategy

Valuecreation

Workingtogether

© copyright Midas Projects Ltd June 2009

PAS 11000 the worlds first Collaborative relationship management standard

Published by the British Standards

Institution (BSI) in association with

Partnership Sourcing Limited (PSL)

PAS11000 is the world’s first

relationship management Standard

for creating and maintaining successful

business-to-business collaborations.

External collaborators

Suppliers

Internal departments

Customers

Collaborativerelationshipmanagement

© copyright Midas Projects Ltd June 2009

Background to PAS 11000 1990 PSL Formed by DTI now BIS and the CBI

Mandate to Develop, share, promote best practice Business Relationship Management

1994 Latham Report

1998 Egan Report

1999 PSL publishes Vision 2010

2004 CRAFT programme launched

2005 PSL research programme Future Connections (2020)

2005 BSI & PSL initiate development of standard

2006 BSI launch PAS 11000

2009 BSI initiates Corporate certification programme

2010 BSI certification pilots Qt1 successfully completed

2010 BSI launch full certification programme Q2

2010 BS 11000 Q4 to be published

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

Football?

Rules

Teams

Duration

Languages

Cultures

Playing fields

KitBall

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

Benefits of a framework standard

External

Collaborativebenchmark

Pan industry

Efficiency&

effectiveness

Resourcedevelopment

Public &PrivateSector

Consistentplatform

Riskmanagement

Process andsystems

Benefits of BSI Standard

Internal

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

BSI - PAS 11000 Certification Pilot

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

EMCOR- Lockheed Martin – NATS – Raytheon Systems – VT Group

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

Relationship Management Plan RMP

© copyright Midas Projects Ltd June 2009

RMPRev 0

Supporting the initial business case to develop a partnering / collaborative approach and platform for implementation

Establishing the basis for Partner selection and foundation for contract development

Establishing the joint governance as part of contract

Ongoing joint through life operational

management

conceptRMPRev 1

Strategy

RMPRev 2

Agreement

RMPRev 3 +

Life cyclemanagement

PAS 11000 the worlds first Collaborative relationship management standard

Overview of requirements

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

1. AwarenessUnderstanding your objectives

• Executive sponsor• Business objectives• Business case• Identify focus• Initial risk assessment • Key individuals

PAS 11000 the worlds first Collaborative relationship management standard

Operational efficiency

Accountability

Valuecreation

Joint Innovation

Joint ownership

Knowledgesharing

Profitability

Improved performance

What does Joint success

Look like

Industryobjectives

SharedRisk & reward

Operationalrequirements

Commercial objectives

© copyright Midas Projects Ltd June 2009

2. KnowledgeLearning from those that are ahead of you

• Identify drivers• Benchmark• Knowledge map• Strategy• Risk management• Exit strategy

People

Strategy& Risk

Processes

OrganisationBusiness

Environment

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

3. Internal AssessmentKnowing your strengths & weaknesses• Self Assessment

• Constraints• Skills / Processes• Appoint leader• Partner profile• Action plan

Hard issuesSoft issues TRUST

Objectives

Processes

Procedures

Systems

Reporting

Resources

Management

Organisation

Leadership

Experience

Capability

Communication

Motivation

Culture

Concerns

Needs

Enablers

Openness

Honesty

Performance

Confidence

Risk & Reward

Consideration

Recognition

Understanding the impacts of organisational behaviour

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

4. Partner selectionFinding the right partner with appropriate strengths• Assess partners

• Strength analysis• MAP assessment• Evaluate• Select partner• Joint objectives

PAS 11000 the worlds first Collaborative relationship management standard

Existingsuppliers

Consortia

Newsuppliers

ExternalAlliances

Partneringpotential

© copyright Midas Projects Ltd June 2009

5. Working relationship

• Governance • Partnering Charter• Joint objectives• Processes /Plan• Joint risk mgt.• Measurement

PAS 11000 the worlds first Collaborative relationship management standard

Contract

• Objectives & scope• Performance • Terms• Risk & reward

Partnering charter• Joint Vision & Values• Critical success factors• Governance• Underpin behaviours

Operating practice• Manage relationship• Exploit knowledge• Create value• Drive innovation

Systems & process• Drive objectives• Monitor progress• Enhance communication• Measure performance

© copyright Midas Projects Ltd June 2009

• Define value• FIT teams• CI Process• Innovation groups• Staff development• Future options

CustomerSatisfaction

Resources Specification Performance

Total cost profile

Cycle timeBusinessprocesses

ValueCreation

Innovation

Creating additional value

PAS 11000 the worlds first Collaborative relationship management standard

6. Additional Value creation

© copyright Midas Projects Ltd June 2009

7. Staying togetherMaximising joint potential for the future

• KPIs• Performance• Joint exit plan• Health checks• Dispute mgmt.• Joint exit strategy

PAS 11000 the worlds first Collaborative relationship management standard

= Output Maintaining 1 + 1 = 3

Input =

© copyright Midas Projects Ltd June 2009

8. Exit strategy

• Set boundaries • Monitor change• Establish triggers• Assess liabilities• Mang. Knowledge• Review future

ReputationTime

KnowledgeCost

Sequence

Strategy

Customers

Business Objectives

SuppliersCompetition

Recognising the changing market place

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

BSI- BS 11000 DevelopmentCommittee

ADS (formerly SBAC)ASAPBAE SystemsCIPSCiscoDept. Business Innovation & SkillsEMCORFacilities Management AssociationHome OfficeLockheed MartinMODNational Air Traffic ServicesNational Audit OfficeNational Outsourcing OrganisationNHS Supply chainOGCProduction Engineering Research AssociationPSL (chair)Rail Industries AssociationRaytheon SystemsVT Group

PAS 11000 the worlds first Collaborative relationship management standard

Development Milestones

November 2009 Kick Off meeting

December – April 2010 Drafting

May 2010 – Pre-consultation Review

June- July 2010 Public consultation period

August 2010 Consultation review

September 2010 Final drafting

October 2010 Publication

© copyright Midas Projects Ltd June 2009

Benefits of a framework standard

Pan industry

Efficiency&

effectiveness

Resourcedevelopment

Public &PrivateSector

Consistentplatform

Riskmanagement

Process andsystems

Benefits of BSI Standard

Internal

Collaborativebenchmark

•Better engagement•Underpins effectiveness•Stronger processes•Improved risk management •Neutral starting point•Efficiency improvement•Skills enhancement•Sustainable relationships

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009

Sustainable Relationships... ....that deliver value

and Recognised to a standard

Thank YouDave [email protected]

PAS 11000 the worlds first Collaborative relationship management standard© copyright Midas Projects Ltd June 2009