Right People, Right Process, Right Technology

26
Esri European User Conference 26 th October 2011, Madrid, Spain Right People, Right Process, Right Technology Pete Massey, Director, Gas Distribution Transformation National Grid plc

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Presentation by Pete Massey from National Grid UK on Esri European User Conference.

Transcript of Right People, Right Process, Right Technology

Page 1: Right People, Right Process, Right Technology

Esri European User Conference 26th October 2011, Madrid, Spain

Right People, Right Process, Right Technology

Pete Massey, Director, Gas Distribution TransformationNational Grid plc

Page 2: Right People, Right Process, Right Technology

Disclaimer

“The information contained in this presentation has been compiled by National Grid Group from sources believed to be reliable, but no representation or warranty, express or implied, is made by National Grid Group its affiliates or any other person as to its accuracy, completeness or correctness. Accordingly, National Grid Group or their agents, servants or contractors do not accept any liability for any losses arising under or in connection with this information. any losses arising under or in connection with this information. This limit on liability applies to all and any claims in contract, tort (including negligence), misrepresentation (excluding fraudulent misrepresentation), breach of statutory duty or otherwise. This limit on liability does not exclude or restrict liability where prohibited by the law.”

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Agenda

� Who we are…

� The Case for Change…

� Technology Innovation: SAP/ESRI design integration

� The Transformation Journey…

� Lessons Learnt so far…

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based in the UK and northeastern US

One of the world’s largest

Investor -owned utilities

27,000 employees 60% work

in the US; 40% work in the UK

Gas Distribution Transformation

National Grid – who we are…

We own the high-voltage electricity transmission system in England and Wales and operate the

own and operate gas transmission

£30bn asset base £3.6bn operating profit £22bn investment (2010-2015)

19m industrial, commercial and

domestic customers

A dedicated electricity and gas company…

generation plants with a

capacity of >4,000 mW

unregulated businesses: liquefied

natural gas (LNG) importation,

land remediation, metering and interconnectors

system across Great Britain. We own and operate the high pressure gas transmissionsystem in Britain, and Britain’s largest gas distribution business delivering gas to almost 11 million homes

and businesses. In the US we distribute electricity to 3.4 million customers and we distribute natural gas to 3.5 million customers

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Our core purpose…

…to connect people to the energy they use everyday

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COLLAB-

NEWREGULATORYINCENTIVES

FORMER PUBLIC SERVICE

UNBUNDLING

>20 YEARSPRIVATE

Our current world…

OLDMULTIPLE

ITSYSTEMSBEHIND THE

COMPETITON

DISENGAGEDWORKFORCE

ORATIVEWORKING

ACQUISITIONMERGERS

UNBUNDLING

POOR ITPROJECT

MANAGEMENT

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The case for change

Performance Challenge

GD IDNsASPIRATION

£230m

7.5 7.9 8.3

£285M*

Efficiency – opex

Customer

Safety

Efficiency - totex

£71£75

Best in class

Best in class

Poor

Poor

Poor Best in classFRONTIER

Poor customer satisfaction

68% 78%

0.12 0.05

People

Best in class

Best in class

Poor

Poor

Page 8: Right People, Right Process, Right Technology

Simplifying the systems landscape

L3 Capabilities

Work De livery

Asset Management

E xecute Work

Dispatch W ork & Resources

S chedule Work & Resources

M anage Mate ria ls, Plant, Equ ipment & Logis tics

M anage Integ ra ted Work & Resource Plan

Develop Integra ted Work and Resourc e Plan

M anage Resource Requi rem en ts

M anage Permits & Notifica tions

P rogramm e Ini tiation

Undertake Regula tory Reporting

Generate Des ign

Technica l Approval / Sanction

Investment Approval / Sanction

P ost Investmen t A ppraisal

Develop Investment Strategy & Plan

Develop & Manage A sset Strategy & P olicy

WE4

RM11

RM10

RM 9

RM 7

RM 6

RM 5

RM 3

P12

P11

AD6

AD5

AD4

IM7

IM5

A P1

QB Networks

QB Networks

WA M

Offl ine

Offl ine

Offl ine

Offl ine

Offl ine

Offl ine

Offl ine

Customer Driven Construction

QB Networks

QB Networks

P rimavera

Offline

Offline

STORM S

MPRS, M RDST

Offline

Offline

Offline

Offline

Offline

Construction

QB Networks

STORMS

S AP BO

WAM - QB

Offl ine

S TO RM S

ETON

N/A

QB Ntwks

N/A

N/A

Offl ine

Offl ine

Offl ine

Offl ine

Repair

QB MARS

QB MARS

MIMS 4 .3

Offline

MIMS 4 .3

MIMS 4 .3

QB MARS

Offline

MIMS 4 .3

MIMS 4 .3

N/A

Offline

Offline

Offline

Offline

MIMS 4 .3

M aintenance

E &MW - JIS

E &MW - JIS

E &MW - JIS

SAP B O

Offline

E&MW

Offline

ETON (manual )

N/A

E &MW

N/A

N/A

Offline

N/A

Offline

Offline

Emergency

T EA RS AP BOE&MW S AP BO

OffQ B

STORMS OffQ B

S TORM S

DODS

E TON S TORMS

QB Ntwk s ST ORMS

SA P BO DODS

E TON ST ORMS

QB Ntwk s ST ORMS

SAP B O DODS

T EA R, MRDST

TE AR, NGS

TE AR, CMS

TE AR, STO RM S

QS AQ S

QS AQ S

QS AQ S

MPRS, M RDST

L3 Capabilities

Asset ManagementDevelop & Manage A sset Stra tegy & P oli cyA P1

Custom er Dr iven Construction

Cons truc tionRepairM aintenanceEmergency

SAPS AP SAPS AP SAPS AP SAPSAP S APS AP SAPSAP

Existing patchwork Landscape

To be Landscape

Customer

M anage Work C losure & In form ation Capture

P erform ance Management

Inciden t Management

WE15

WE12

WI 9

WA M

N/A

WAMN/A

QB Net

WA M

ST ORMS

QB MARS

N/A

E&MW - JIS/FA

B usiness Objects

Offline QB

A nalyse to Improve Custom er Servic e

M anage Outbound Customer Com munic ations

M anage Complaint

Crea te or Update Cus tomer W ork

Crea te / In itia te Custom er Quote

M anage Enquiry

Receive Customer Contact

CM08

CM07

CM06

CM05

CM04

CM02

CM01

Offl ine

Sharepoint

Offl ine

Offline

Lotus Notes DB

S harepoint

N /A

N/A

Offline

Alliances & Coaliti ons*

Offl ine

Offl ine

Sharepoint

N/A

N/A

Sharepoint

Offline

Offline

S harepoint

N/A

N/A

S harepoint

Offline

Offline

E&MW

S harepoint

E&MW

N/A

E &MW - E CHP

E &MW - E CHP

MIMS 4 .3

QB MARS MIMS 4 .3

STORM S QB Net ST ORMS

ECHP

QB Net ST ORMS

QS, AQS S AP BO

Q S,AQS S AP BO

Q S,AQS S AP BO

Q S,AQS S AP BO

N/A

Customer

Work De liver y

M anage Work Closure & In form ation Cap tu re

P erform ance Management

Inciden t Management

E xecu te Work

Dispatch W ork & Resources

S chedule Work & Resources

M anage Mate rials, Plant, Equ ipment & Logis ti cs

M anage Integ ra ted Work & Resource Plan

Develop Integra ted Work and Resourc e Plan

M anage Resource Requi rem ents

M anage Permits & No tifica tions

P rogramm e Ini ti ation

Undertake Regula tory Reporting

Generate Des ign

Techn ica l Approval / Sanction

Investment Approval / Sanction

P ost Investment A pprai sal

Develop Investment Strategy & Plan

WE15

WE12

WI 9

WE4

RM11

RM10

RM 9

RM 7

RM 6

RM 5

RM 3

P12

P11

AD6

AD5

AD4

IM7

IM5

A nalyse to Improve Custom er Servic e

M anage Outbound Customer Com mun ic ations

M anage Complaint

Crea te o r Update Cus tomer W ork

Crea te / In itia te Custom er Quote

M anage Enquiry

Receive Customer Contact

CM08

CM07

CM06

CM05

CM04

CM02

CM01

SAP

SA P, Mobi le ( BoB)

S AP BI

N/A

Mob ile ( BoB)

S&D (BoB )

SAP, S&D

SAP, S&D

SAP, S&D

SAP, S&D

SAP, ETON

SAP

S AP BI

N/A

SAP

SAP

SAP

SAP

S AP, Mob ile (BoB )

SAP BI

SA P, S& D

Mob il e (BoB )

S& D (BoB)

SA P, S& D

S AP

SA P, S& D

SA P, S& D

SA P, S& D

SAP, ETON

N/A

SAP BI

N /A

N /A

S AP

N/A

S AP

SAP

SA P, Mobi le ( BoB)

S AP BI

N/A

Mob ile ( BoB)

S&D (BoB )

SAP, S&D

SAP, S&D

SAP, S&D

SAP, S&D

SAP, ETON

SAP

S AP BI

N/A

SAP

SAP

SAP

SAP

S AP, Mob ile (BoB )

SAP BI

SA P, S& D

Mob il e (BoB )

S& D (BoB)

SA P, S& D

S AP

SA P, S& D

SA P, S& D

SA P, S& D

SAP, ETON

N/A

SAP BI

N /A

N /A

S AP

N/A

S AP

SA P, Mobi le ( BoB)

S AP BI

N/A

Mob ile ( BoB)

S&D (BoB )

SAP, S&D

SAP, S&D

SAP, S&D

SAP, S&D

SAP, ETON

SAP

S AP BI

N/A

SAP

SAP

SAP

SAP

S AP, Mob ile (BoB )

SAP BI

SA P, S& D

Mob il e (BoB )

S& D (BoB)

SA P, S& D

S AP

SA P, S& D

SA P, S& D

SA P, S& D

SAP, ETON

N/A

SAP BI

N /A

N /A

S AP

N/A

S AP

SA P, CRM

SA P, CRM

SA P, CRM

N/A

N/A

SA P CRM

SA P CRM

S AP CRM

S AP CRM

S AP CRM

S AP CRM

N/A

S AP CRM

S AP CRM

SAP, CRM

SAP, CRM

SAP, CRM

N/A

N/A

SAP CRM

SAP CRM

S AP, CRM

S AP, CRM

S AP, CRM

N /A

N /A

S AP CRM

S AP CRM

SAP , CRM

SAP , CRM

SAP , CRM

SAP CRM + SAP

SAP CRM + SAP

SAP CRM

SAP CRM

SA P, CRM

SA P, CRM

SA P, CRM

N/A

N/A

SA P CRM

SA P CRM

S AP CRM

S AP CRM

S AP CRM

S AP CRM

N/A

S AP CRM

S AP CRM

SAP, CRM

SAP, CRM

SAP, CRM

N/A

N/A

SAP CRM

SAP CRM

S AP, CRM

S AP, CRM

S AP, CRM

N /A

N /A

S AP CRM

S AP CRM

SAP , CRM

SAP , CRM

SAP , CRM

SAP CRM + SAP

SAP CRM + SAP

SAP CRM

SAP CRM

SAP, Mob il e (BoB)

SAP BI

S AP, S &D

Mobile (BoB)

S&D (BoB)

S AP, S &D

SAP

S AP, S &D

S AP, S &D

S AP, S &D

SA P, ETON

N/A

SAP BI

N/A

N/A

SAP

SAP

SAP

SAP, Mob il e (BoB)

SAP BI

S AP, S &D

Mobile (BoB)

S&D (BoB)

S AP, S &D

SAP

S AP, S &D

S AP, S &D

S AP, S &D

SA P, ETON

N/A

SAP BI

N/A

N/A

SAP

SAP

SAP

S AP, Mob ile (BoB )

SAP BI

N /A

Mob ile (BoB )

S& D (BoB)

SA P, S& D

S AP

SA P, S& D

SA P, S& D

SA P, S& D

SAP, ETON

S AP

SAP BI

SA P, GIS

SA P, GIS

S AP

SA P, GIS

M RDST, SA P

S AP, Mob ile (BoB )

SAP BI

N /A

Mob ile (BoB )

S& D (BoB)

SA P, S& D

S AP

SA P, S& D

SA P, S& D

SA P, S& D

SAP, ETON

S AP

SAP BI

SA P, GIS

SA P, GIS

S AP

SA P, GIS

M RDST, SA P

SAP , Mobi le (B oB)

SAP B I

N/A

Mobi le (BoB)

S&D ( BoB)

SAP, S&D

SAP

SAP, S&D

SAP, S&D

SAP, S&D

SA P, E TON

SAP

SAP B I

SAP, GIS

SAP, GIS

SAP

SAP

SAP

SAP , Mobi le (B oB)

SAP B I

N/A

Mobi le (BoB)

S&D ( BoB)

SAP, S&D

SAP

SAP, S&D

SAP, S&D

SAP, S&D

SA P, E TON

SAP

SAP B I

SAP, GIS

SAP, GIS

SAP

SAP

SAP

…a proven SAP backbone with selected best of breed applications reduces 40 core

systems to 4 to create a simplified, standardised and integrated systems landscape…

9

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...step change in customer service

...make life simpler for our people

...make us more productive

...build robust process & controls

UK Gas Distribution Transformation

Large scale IT investment

Business Performance /Perceptions

Planned Performance

Uncontrolled change

Our controlled change

100%

Depth of Solution(Business

Functionality)

Complex business change journey

... Our comprehensive approach to business engagement underpins the design and delivery of benefits. Our deployment strategy reduces the technology risk by focusing Release 1 to core foundational

components and progressively embedding business improvement through Release 2 and 3…

Time

Realisation

Performance

Fear

Depression

Anger Understanding

Under Performance

Enthusiasm

Performance risk

100%50%

50%

Breadth of Solution

(Software Components)

Release 1

Release 2

Release 3

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...delight our customers

...make life simpler for our people

...make us more productive

...build robust process & controls

UK Gas Distribution Transformation

Large scale IT investment

Largest single GD capex investment

>£200m delivers annual

benefits of >£39m

7

>35,000 types of legacy

data rationalised to 5,000 on

new systems

40m

• A journey that taps to the core of our established culture and performance

• 4500 employees to successfully engage and train

Complex business change journey

7 vendor partners operating as one

team across 5 countries

(18 hours/day at peak)

Up to 500 staff onshore and

offshore

40m data items to be cleansed

and 13m new data items to be

created

>50,000 tests to be

undertaken

engage and train

• Implement new process centric organisation and create new Customer Centre

• Develop our process skills and leadership capabilities

• Deliver over 100 innovative business engagement events

… Our comprehensive approach to business engagement underpins the delivery of benefits. Our deployment strategy seeks to reduce the technology risk by narrowing the focus of Release 1

to core foundational components and enabling an early release of the emergency solution…

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Enterprise Asset Management (EAM)Geographical Information System (GIS)

Customer Centre Solution• Telephony• Intelligent Call Handling• Contact Management

Integration to Specialist systems:• Highway Authority Noticing & Permits • Network Analysis• Mains Risk Score Management

Our

Pro

cess

esO

ur C

usto

mer

s

SAP- centric solution with integrated geospatial planning, scheduling and mobile applications

MobileWork Mgt

Mobile GIS

• Asset & Work Management • Customer Contact Management • Projects & Portfolio Management• External Partner Access (Portal)• Document Management • Management Information • Back Office (HR, Finance, Procurement)

Advanced Work Scheduling & Planning

• Work Forecasting & Planning• Work Scheduling• Work Location • Work Analytics

Geographical Information System (GIS)• GIS Desktop• GIS Designer• GIS Mobile (Field Solution)• LocatorHub (Address Management)

3GGPRSGSM

SmartTravel(GPS)

Our

Pro

cess

esO

ur F

ield

For

ce

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SAP Central Hub with ClickSoftware

� Dynamic auto-scheduling for optimisation of resourc es� Visibility of all work and ability to bulk issue an d drip-feed work� Integration with Smart Travel via ClickLocate provi des real time

geographical view of all work and vehicles

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Unlocking knowledge using GIS

� Graphical information layers and analysis� Asset and Work Management performance online� Linear assets mastered in GIS and replicated in SAP� Work creation from either SAP or ESRI� Single address management across all applications

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Manual paper

design

Manually Create Work

Orders

IssueWork pack

to Alliance

Subdivide into

parcelsof work

Capture JobRecord

& Paper ‘As Built’

Recreatescheme

templates in CAD

1 2 3 4 5

Manuallydigitise in core GIS

Old Process

Build

6 7 9

8

Innovation in the Design Process

Subdivide into

parcelsof work

Issue SAP

Work Order

Print design

templates

2 3 4Promotedesign to‘As Built’on GIS

- Electronic re-design as required -Work orders

automatically created using the design

-Removes manual digitisation

-QA check only

New Process

Create design polygon, design assets using CU’s, create engineering jobs

1

Build

- Electronic Design based upon CU’s

- Identification and creation of service jobs

- Improved estimates & tracking of costs

- Automated splitting of pipes

5 6

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ArcFm Designer –Create design polygon and select asset to be replac ed…

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ArcFm Designer –Design new asset (Cyan Line) insertion route in exi sting pipe

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ArcFm Designer –Use Address Layer to identify affected services

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ArcFm Designer –Postcode and NRSWA notice period automatically from spatial layer

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ArcFm Designer –Design sent to SAP and Work Orders automatically cr eated in SAP

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ArcFM Designer – Scheme TemplateChanges updated ‘as built’ and then promoted to fina l asset record.

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Engagement from the start of design

July 2009 - March 2011

Design

Jan 2010 - Oct 2012

• ‘man-in-a-van’ Testing• Get Connected • Supervisor training• Individual training • Health Checks• Post Go-Live Support• Mobile screen review

• Design Theatres• Deep Dive and End to End • Mobile Screen Design (HCI)• Acceleration Weeks• Offshore detailed design• Partner Collaboration

• Mobile screen review• Detailed design output• Learning….

• How we should do a great job?• Apply the ‘customer lens’… • Verify controls & change impacts

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Scale of the transformation

Systems

Structures

ProcessPerformance

Behaviours

Leadership

� Implementing a new process centric operating model

Developing new process capabilitiesPutting customer at the

Implementation of GDFODefining clear behavioural expectations and working

practices

Desired

hardware

Developing our longer term resourcing strategy

Developing our talent and senior succession plans

‘‘Rigorous Execution’

…we need to address all the dimensions of transformation, both ‘hardware’ and ‘software’, to create the desired culture and achieve sustainable success…

Process

Environment

Management Information

Governance

Organisational Readiness

Performance Management

Creating a new Customer Centre

Improving data quality and regulatory reporting

Putting customer at the heart of our processes

Design TheatresManaging implementation risk

Preparing for RIIO-GD1

DesiredCulture

software

term resourcing strategy

Demonstrating our compliance and improving process and data controls

‘Harnessing Energy’

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Release 2:2,800 peopleFull emergency deployment

Enhanced mobile data capture for maintenance

Customer Centre Telephony & CRM

Release 3:3,000 people Repair

Construction & Customer driven construction

New Customer Centre and organisation in place

New leadership and staff structure in place

Collaborative design theatres

A

Release 1: 1,200 peopleSmart travel (GPS)

Maintenance

Emergency early release area

Transformation Roadmap

Integrated solution design

Build the architectural and capability foundation

Telephony & CRM

May 2011 to May 2012

October 2010

November 2011 toOctober 2012

A

B 1 3

release area

Process centric operating model

Process

Function

2

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Lesson Learnt so far…

� Click Schedule

Planning & Dispatch Regular milk-runs Skills sets Everyday ����� Process end to end view

creates transparency and enables focused actions to raise performance

� People like the screen designs – because they designed them!

Planning & Dispatch Regular milk-runs Skills sets Everyday behaviours critical����

� Engagement needs to manage expectations, hold to commitments. Extend beyond go-live to establish new ways of working and maintain buy-in

� Thinking spatially opens up new dimensions in understanding the performance of the business – but very few people naturally think this way…

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Summary

� The Transformation of our Gas Distribution business is a exciting mix of exploiting new technology and leading the management of change to fundamentally transform the way we work.

� The integrated ESRI/SAP/Syclo design will improve the efficiency and effectiveness of our end-to-end process by helping get better designs,

� The integrated ESRI/SAP/Syclo design will improve the efficiency and effectiveness of our end-to-end process by helping get better designs, streamlining capital planning and opening up our asset information management to enable better asset decisions.

� Our People and our asset data remains critical to the effectiveness of our business and we are tackling all aspects of our culture to ensure we can achieve sustainable business results:

Right People, Right Process, Right Technology

Page 26: Right People, Right Process, Right Technology

Summary

Las Personas Correctas…

Procesco CProcesco Correcto…

La Tecnologia Correcta…