Visual Management in Procurement Dialogue Boot Camp Guidance V3 Visual Management in Procurement Dialogue Boot Camp Guidance V3.0 Execution of Sourcing Strategy through Competitive Dialogue Phase

Content Introduction Standard Templates 1.1 Background / Overview 1.2 Accommodation Requirements 1.3 Purpose, Objectives and Deliverables 1.4 Stakeholders/Users Boot Camp Set Up 2.1 Project Room: a. A Standard Template Layout b. A Standard Room Layout 2.2 Dialogue Room: 2.3 Supplier Room: Standard Templates 3.1 3 Cs 3.2 Action List 3.3 Boot Camp Etiquette 3.4 Customer Needs Statement 3.5 Dialogue Schedule 3.6 Dialogue Status Map 3.7 Objective of the day 3.8 Question Log 3.9 Supplier Relationship Barometer UNCLASSIFIED

1. Introduction UNCLASSIFIED

1.1 Background/Overview Visual Management Visual Management is used in a Lean environment to make the status and performance of a work area immediately obvious, both to those working in the process, and to those managing the process. The test of good Visual Management is that a visitor to the work area should be able to pick up the progress and issues in the work area, without having to ask. This is the Visual Management pack for the Competitive Dialogue Boot Camp to aid the team in successfully managing the whole period of dialogue. It is intended to give you specific guidance on how to set up the rooms and the Visual Management templates to be used. Competitive Dialogue Boot Camp A dialogue boot camp will be held during the execution of the sourcing strategy stage as outlined in the Future State Value Stream Map (FSVSM). The dialogue boot camp sessions will be based around the draft contract and schedules and any related technical work streams you have identified. The dialogue boot camp is likely to be run over a number of weeks. Accommodation required will depend on the number of suppliers and work streams but is likely to include a room for dialogue sessions, a project room for the performance hub and a working room for each of the suppliers. Related Documents Value stream map SOP 2.7 Establish boot camp logistics SOP 6.5 Finalise boot camp logistics SOP 6.6 Plan dialogue sessions SOP 7.2 Run dialogue sessions UNCLASSIFIED

1.2 Accommodation Requirements Supplier room (1) Supplier room (2) Supplier room (3) Supplier room (X) Dialogue room Project Performance hub Project working space Client space Ongoing access to client

1.3 Purpose, Objectives and Deliverables The best outcome based solution established through fact based negotiations. Ensuring suppliers only have to engage once through iterative discussions over the course of a few weeks rather than via multiple separate meetings that take place over many months. Objectives Mutual understanding of final solution requirements, validation and affordability Immediate evaluation and feedback to suppliers with the opportunity for self de-selection Agreed draft contract against which final tenders can be invited. Deliverables Draft Full Business Case Draft Solution from Suppliers with Indicative Pricing (to enable closure of dialogue) Draft Contract

Legal (HR & Commercial) / 1.4 Users Owner: Project Lead Dialogue Boot Camp Scenario 3: Team (Evaluation) Procurement Legal (HR & Commercial) / Finance Team Manager Contract SRO (or delegate) Project Business End User (Subject Matter Experts) Core Supplier Bid Team (Decision Makers)

2. Competitive Dialogue Boot Camp A standard set up UNCLASSIFIED

2.1a Project Room – A Standard Template Layout Supplier 1 Supplier 2 Supplier 3 Evaluation Team Supplier Organogram for Bid Team A3 Supplier Organogram for Bid Team A3 Supplier Organogram for Bid Team A3 Evaluation Criteria A3 Supplier Relationship Barometer A3 Standard Template #25 Supplier Relationship Barometer A3 Standard Template #25 Supplier Relationship Barometer A3 Standard Template #25 Dialogue Schedule A3 Standard Template #10 Question Log for Supplier A3 Standard Template #18 Question Log for Supplier A3 Standard Template #18 Question Log for Supplier A3 Standard Template #18 Dialogue Status Map A3 Standard Template #11 3 Cs A3 Standard Template #1 3 Cs A3 Standard Template #1 3 Cs A3 Standard Template #1 Objective of the day A3 Standard Template #13 Supplier Outline Solution A3 Standard Template OST Supplier Outline Solution A3 Standard Template OST Supplier Outline Solution A3 Standard Template OST

2.1b Project Room – A Standard Room Layout Tables Wall Space Workspace Note: You may also require WIFI, Teleconferencing , Videoconferencing and IT functionality TOP TIP: Only the project team and in-house dialogue teams should have access to the project room.

2.2a Dialogue Room – A Standard Template Layout Objective of the Day A3 Standard Template #13 Boot camp Etiquette Standard Template #4 Question Log for Supplier Standard template #18 Evaluation Criteria Outputs Inputs Processes Action List for Supplier A3 Standard template #2 Action List for Project team A3 Standard template #2

2.2b Dialogue Room – A Standard Room Layout Chairs Tables Wall Space Note: You may also require WIFI, Teleconferencing, Videoconferencing and IT Functionality

2.3a Supplier Room – A Standard Template Layout Customer Needs Statement A3 Standard Template #7 Objective of the Day Standard Template #13 Question Log for Supplier Standard template #18 Evaluation Criteria Outputs Inputs Processes 3 Cs Standard Template #1

2.3b Supplier Room – A Standard Room Layout Tables Wall Space Workspace Note: The supplier may also require WIFI, Teleconferencing TOP TIP: Ensure that the rooms have adequate mobile signal

3. Standard Template Guidance A set of standard templates has been developed to help facilitate a dialogue boot camp. It is recommended that you use some of these or similar to help manage the dialogue sessions. This guidance has been designed to enable the user to attain a good understanding of how to use, populate and display the visual management, as well as their benefits, how frequently they could be reviewed and updated and who might be responsible for the data. UNCLASSIFIED

3.1 3Cs 1 2 3 4 5 6 7 Benefits To capture issues and concerns throughout each day particularly if they cannot be resolved instantly. How to use Print a blank version and display in the project room and each of the suppliers rooms (if required) Insert the date that the concern was raised Highlight the concern Include the cause for the concern Highlight the countermeasure for the concern Who is responsible Date for review Status of the concern Owner Supplier bid team lead Nominated project team member Users Supplier team Project team Frequency of review Daily Audience Procurement Team UNCLASSIFIED

3.2 Action list Benefits How to use To capture actions throughout the day. Ensure no actions are missed. Can sometimes be used instead of taking minutes. How to use Template to be drawn on flip chart paper and used throughout dialogue. Write succinct description of the action required Use initials to identify the team member that will complete the action Identify (by date) when the action will be carried out/completed (see 4 for details) Use the following symbols to identify when a task should be completed and the progress being made: Blank circle: Action is due Green circle: Action is completed on time Red circle: Action not completed 4 1 2 3 Owner Nominated team member Users Project team Procurement team Frequency of review Daily Audience Stakeholders Project team UNCLASSIFIED

3.3 Boot Camp Etiquette Benefits How to use Setting ground rules can be a key component of the facilitation process . They can help ensure everyone understands the various roles being employed and the responsibilities accorded to each. Ground rules can also help define the role of the person in charge of the meeting e.g. The lead negotiator. How to use Prior to the dialogue sessions agree the rules (see example opposite). Print and display in the dialogue room Run through each rule at the dialogue principles workshop and if required at the beginning of dialogue sessions. Owner Nominated team member Users Procurement team Audience Suppliers All team members in dialogue sessions Frequency of review At the dialogue principles workshop and then as required UNCLASSIFIED

3.4 Customer Needs Statement Benefits Having the customer needs statement on display will provide a reference point for suppliers and the project team. How to use Either print out on A3 or larger the customer needs statement or Draw the template on flip chart paper and write in the date and needs statement. Display in the dialogue rooms Today's date Detail the customer needs statement from the business 1 2 Owner Project lead Users Project team Frequency of review As & when required Audience Suppliers UNCLASSIFIED

3.5 Dialogue Schedule Benefits How to use The timetable forms part of the audit trail of the bootcamp. Getting the timetable right is essential in ensuring resources are not overburdened & that there are enough rest points included and that consolidation time is built into the plan e.g. daily “wash-up” sessions, and weekly “re-cap” team sessions to review performance against the plan How to use The document provided in the Standard Document Library is an example only. You should use Excel to schedule activities for the week – in whichever format works best for the Project Team. Owner Nominated team member Audience Project SRO Key stakeholders – inc. evaluators Suppliers Frequency of review Review daily Users Project lead Project team UNCLASSIFIED

3.6 Dialogue Status Map Benefits How to use 1 2 3 Provides an instant visual of the RAG status for each supplier and work stream. Can be used as a way of tracking issues at a high level. How to use Print a blank version and display in the project room. Populate the template with the following information: Supplier Name & the relevant work stream (e.g. commercial, technical) A Red, Amber or Green Status for dialogue work stream progress A note of any recovery or follow up action required by supplier or client (procurement) team Owner Nominated team member Users Project lead Project team – inc. evaluators Audience Project SRO Key stakeholders Frequency of review Every day during wash up sessions UNCLASSIFIED

3.7 Objective of the Day Benefits How to use Provides a visual reminder for all in the dialogue session of the day’s objective. How to use Print and display this template in the project and dialogue rooms. Areas should be populated as follows Date The objective to be achieved during dialogue session for that day 1 3 Owner Project / work stream lead 2 Users Project team Audience Suppliers Project team in the dialogue session Frequency of review Daily 3 4 UNCLASSIFIED

3.8 Question Log Benefits How to use 1 2 3 4 5 To capture and record questions to ensure that answers are either generated during the day and fed back or overnight and fed back the next day. How to use Either print a blank version or draw on flip chart paper and display in the project room (one for each supplier & one for common questions). Use a blank version in the dialogue room to capture supplier specific questions and then feed back into project room after each session. Give a version to suppliers so that they can track their own questions to the project team & the answers they receive if they want to. Write up each question as its raised List who the question came from and the date Write up the response given List follow up action required Specify open or closed status Owners Project team Note taker in dialogue sessions Suppliers Users Supplier team Project team Audience Project Team Frequency of review Ongoing UNCLASSIFIED

3.9 Supplier Relationship Barometer Benefits Enables the team to be honest about any negative feelings in a “safe” environment. Prompts discussion on issues that need management. How to use Print for each supplier attending and display in the project room Display each one in the Project Performance Hub after dialogue boot camp Print 3 sets of starbursts with the suppliers name for each of the suppliers participating in dialogue After each dialogue session has been completed a member of the project team (involved in the dialogue) selects the ranking that best reflects the supplier throughout the session (by placing the starburst)for each of the 3 categories: Openness: Shows trust in sharing information which could be deemed as sensitive. Willing to build on alternative approach/suggestions. Open in their logic about the approach Responsiveness: Quick and effectively responds to requests Quality of Dialogue: Having an even balance of creating ideas and suggestions, building upon the suggestions, exploring pitfalls of suggestions and facilitation of the conversation 1 2 3 Owner Nominated team member Users Project lead Project team Audience Project SRO Key stakeholders Frequency of review After each dialogue session UNCLASSIFIED