raising the standard for collaboration – delivering transformational collaborative change in...

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Delivering Transformational Collaborative Change in Austere Times ’’Raising the Standard for collaboration’’ David E Hawkins Operations Director & Knowledge architect © copyright Midas Projects Ltd October 2013 rev1 BS 11000 the worlds first Collaborative Relationship management national standard

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On Tuesday 26th November 2013 in the heart of Birmingham ProgM SIG staged “Delivering more 4 less: using programme management to achieve transformational change in times of austerity." The SIG had promised an event that weaved together the four ‘C’s’ theme namely collaboration, change, community and competence, drawing on a wealth of experience from across the public sector. http://bit.ly/progmm4l Merv Wyeth, ProgM Chair introduced the conference by describing how the event had been designed with the intention of providing delegates with a high return on their personal investment – i.e attendance and participation #eventroi. The big idea was that the day should be an enjoyable shared experience that offered an exceptional opportunity for learning, motivation and networking in the field of programme management. Time and space was built into the programme to enable the audience to interrogate (police were present), and otherwise question, speakers. They were also given the opportunity to vote in polls on issues and questions that speakers posed, which offered additional insights into audience perception and sentiment which otherwise would not have been available. The conference offered the chance for Jim Dale to provide a ‘sitrep’ on his ProgM-backed Collaborative Change research namely “Using research to improve the delivery and effectiveness of change programmes and projects” previewed in last month’s show-case webinar. During his presentation Jim provided an update of the story so far, thanked those who had already participated either in an interview or by completing the survey. ProgM would like to extend the opportunity to all those currently, or previously, involved in programme management and related collaborative activity to participate in this important Collaborative Change survey. On the day, Steve Wake, newly appointed Chair of APM Board, was available to round-up the proceedings and provide a special vote of thanks to his Board colleagues, the organising committee and our generous sponsors, BMT Hi-Q Sigma. He reminded those present of the ongoing Strategy 2020 initiative of “Listening, learning and leading” that complements events of this type. One delegate (Neil White) wrote “A constant theme, running like a golden thread throughout the day, was that effective programme management is a necessary and complimentary bedfellow of collaboration, and an important ingredient in delivering successful transformational change. Whereas projects are essentially objective and enable the effective development and delivery of ‘products’ (some of which are can be very big products!) it was recognised that programmes are much more subjective and must be sensitive to the environment in which they are operate. Rather than see them as obstacles, programme managers must respect and be prepared to exploit the systems and organisations surrounding them to their mutual benefit.

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Page 1: Raising the standard for collaboration – delivering transformational collaborative change in austere times

Delivering Transformational Collaborative Change in Austere Times

’’Raising the Standard for collaboration’’

David E HawkinsOperations Director &Knowledge architect

© copyright Midas Projects Ltd October 2013 rev1

BS 11000 the worlds first Collaborative Relationship management national standard

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Building business relationships2

© copyright Midas Projects Ltd October 2013 rev1

David E Hawkins

David E. Hawkins FCIPSDavid has an extensive career in projects and procurement within the construction industry. For over 40 years he has been associated with the development and implementation of major projects in many parts of the world, which has provided an insight into the many organisational and cultural challenges that projects can generate. Over the past decade he has been an active promoter of partnering concepts and the development of extended enterprises through the building of alliances.

As a strategic thinker he has deployed these approaches to support manufacturing to outsourcing programmes, capitalising on the opportunities within project operations to exploit global sourcing. Building on these experiences he has helped a number of major organisations to implement change management programmes in different industrial arenas including chemical processing, oil and gas, power generation, and mining and minerals processing.

He was the architect and author of the CRAFT collaborative methodology and technical author of the British standards Institution (BSI) PAS 11000 framework the world’s first Collaborative business relationship standard and chairman of the BSI committee who developed the BS 11000 standard.

In 2009 he was acknowledged as one of the world’s top 100 thought leaders on CSR. He has been a regular contributor to professional magazines, published a wide range of papers on the subject of collaborative working and as an established author he has several publications to his credit including

Sun Tzu and the Project Battleground: Creating Project Strategy using the Art of War published by Palgrave Macmillan 2004

The Bending Moment: Energising corporate strategy published by Palgrave Macmillan 2005.

Corporate Social Responsibility; Balancing Tomorrows sustainability with Today’s profitability published 2006 published by Palgrave

Macmillan.

Raising the standard for collaboration : published by British Standards Institution 2013

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Collaboration

Building business relationships3

© copyright Midas Projects Ltd October 2013 rev1

or synchronised swimming with sharks

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Background to ICW

Our Aims

• To be recognised and acknowledged as the thought leader on business collaborative working.

• To carry out research to further develop collaborative working principles, practices and process.

• To ensure the widespread development of collaborative working skills through training and development

• To progressively build a global collaborative working knowledge sharing community

Our Vision

Collaborative Working recognised as

a fundamental business discipline necessitating a

structured methodology to underpin successful business

relationships.

Building business relationships

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Background to ICW

i Formed in 1990 as Partnership Sourcing

DTI now BIS and the CBI

i Assist organisations to develop collaborative relationships for

competitiveness

i Develop, share, promote best practice

Business Relationship Management

i Self financing – Not for Profit

A Company Limited by Guarantee

i Renamed in 2012 as Institute for Collaborative working

i 22 years of practical experience

Building business relationships5

© copyright Midas Projects Ltd October 2013 rev1

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ICW Executive Knowledge Network

BISCBIDept. for Communities & Local GovernmentDept. For Culture Media & SportDEFRADept. HealthDept. for TransportDEFRAFCOHSEMinistry of JusticeUK Trade & InvestmentMoD-DE&SNational Audit OfficeNHS Shared Business ServicesNDARoyal NavyRoyal Air Force US Department of Defense

AMECA&O GroupAnsaldoARUPAtkinsBabcock International BAE Systems Balfour BeattyBam NuttallBechtelBritish Standards Institute British Retail ConsortiumBT Global ServicesBusiness Continuity InstituteCAPITACH2MHillChartered institute of BuildingChicksCostain EMCORFrequentisFrost and SullivanGuide Dogs for the BlindInstitute for Export Life channelLockheed MartinMorgan SindallJ. MurphyNational Express (C2C)

NATSNetwork RailNewsdesk MediaNIPNSAREPERAPolicy ConnectProbrandRail Alliance Rail Industries AssociationRT InfrastructureRaytheon Systems SelexSiemens plcSignalling SolutionsSkanskaSofcatToshibaXchanging

CASS Business SchoolManchester Business SchoolUniversity of Bangor University of BathUniversity of BournemouthUniversity of BathUniversity of Cambridge IfMUniversity of CardiffUniversity of CranfieldUniversity of ExeterUniversity of East LondonUniversity of SouthamptonUniversity of St. AndrewsUniversity of Strathclyde University of SurreyUniversity of Warwick Warwick Manufacturing Group

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Business relationships formed

by committed organisations to maximise joint performance for

achievement of mutual objectives and

creation of additional value

Collaborative Working

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Building business relationships 8

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Benefits from Collaborative working

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Collaborative Challenges

Building business relationships

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Corporate boundary

Acquisition

Production

Processing

Distribution

Sales

Suppliers

Customers

• Price• Quality• Delivery• Management• Contracts• Performance• Integration• Culture• Ethos• Commitment• CSR• Interdependence• Trust

Outsourcingproviders

Virtual boundary

© copyright Midas Projects Ltd June 2013

Building business relationships

The ‘Outside in’ theory

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The Importance of Relationships

Building business relationships12

© copyright Midas Projects Ltd October 2013 rev1

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The Importance of Relationships

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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

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The Importance of Relationships

Building business relationships14

Valu

e C

reati

on

Mutual Trust

Confrontational

Compliant

Co-operative

Collaborative

Co-creating

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Executive sponsorship & Policy

© copyright Midas Projects Ltd October 2013 rev1

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Procedures and Systems

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Knowledge and skills profile

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Behaviours and competencies

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Evaluate objectives and drivers

© copyright Midas Projects Ltd October 2013 rev1

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Establish common objectives

Our objectives

Their objectives

Joint objectives

© copyright Midas Projects Ltd October 2013 rev1

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TCO & Value not Price

Investor

Developer

Designer

Engineer

Deliverer

Integrator

End user/consumer

Suppliers

Quality

Service

Time

Total cost

Standards

Connectivity

Reliability

Communication

Trust

Commitment

People ProcessesCatalyst

Value Chain

© copyright Midas Projects Ltd October 2013 rev1

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Collaboration vs. contracting spectrum

© copyright Midas Projects Ltd October 2013 rev1

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Focus Procurement

Rationalise spend

Consolidate needs

Discipline approach

Reduce suppliers

Enhance processes

Transaction costs

E-procurement

Raise skills

Improve negotiation

Demand forecasting

Frameworks

Integrated planning

Review specification

Collaboration

Process improvement

Exploitation

Opportunism

Harness change

Rising input costs

Complacency

Reduced competition

Market awareness

Forward planning

Long term pricing

Productivity wins

Innovation

Investment

Reduced overheads

DangerZone

OpportunityZone

SavingZone

EfficiencyZone

StrategicZone

Market price

Power price

Sustainable low cost

Glass floor

Sustainable efficiency

© copyright Midas Projects Ltd June 2013

The Glass floor –Supply chain challenges

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The foundation of BS 11000

Building business relationships24

© copyright Midas Projects Ltd October 2013 rev1

Next step ISO 2016 ?

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Football?

Rules

Teams

Duration

Languages

Cultures

Playing fields

KitBall

© copyright Midas Projects Ltd October 2013 rev1

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Benefits of framework standard

© copyright Midas Projects Ltd October 2013 rev1

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Early Adopters

© copyright Midas Projects Ltd October 2013 rev1

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The Collaborative framework/BS 11000Understanding Your

objectives

Establishing the governance for joint working

Creating additional value

Maximising joint potential

Recognising the changing market

placeDeveloping the

way forward

Knowing your strengths & weaknesses

Finding the right partner

with appropriate strengths

Building business relationships © copyright Midas Projects Ltd October 2013 rev1

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Benefits others have recognised BS 11000 sets out a framework that will enable companies like ours to apply good practice principles to its own way of working, and has wide applications on how to manage valuable business relationships - EMCOR

The biggest single benefit of working to BS11000 is the requirement for greater structure and process in the management of the relationship- Network Rail

Adopting BS11000 was a “no-brainer” and doing so will demonstrate to our customers that we do what we say- Costain

BS 11000 gives us a ‘universally’ recognised structure and the catalyst to develop the next stage of our collaborative working capabilities – Balfour Beatty

The standard has provided us with a framework for implementing and objectively measuring the benefits of collaborative working- Lockheed Martin.

this standard has provided 'structure to our culture' Certification and adoption of BS11000 supports our strategic aims –Raytheon Systems

BS11000 supports our ‘innovating for growth’ strategy through successfully demonstrating the benefits of its collaborative capabilities and practices- NATS

This standard offers an innovative, structured approach to Relationship Management has the potential to yield transformational long term benefits – Selex -SI.

BS11000 provides a framework and a language to improve the way we create and sustain our collaborative business relationships - Skanska

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Look beyond traditional quality

Management

and

Training

Executivesponsorship

Business

Culture

Businessprocesses

Service

levels

Corporateculture

DocumentationCollaborative

profile

RelationshipsContinuous

ImprovementContinuous

Improvement

Behaviours &Reputation

ProcessesTraining &

development

Quality

Systems

Collaborativeskills

LearningOrganisation

Marketplace

Demand

Supplier Capability

SlowFast

High

Low

Cycle time

CustomerExpectations

Learning

© copyright Midas Projects Ltd October 2013 rev1

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BS 11000 = Better business

Not a plaque on the wall ..its a different way of working !

Better engagement

Risk management

Value creation

Consistency

Efficiency

Innovation

Behaviours

Culture

Continual Improvement

Sustainable relationships

© copyright Midas Projects Ltd October 2013 rev1

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Thank You

[email protected]