1 © The Delos Partnership 2004 Project Implementation Making Excellence a reality

2 © The Delos Partnership 2004 Survival is not optional “It is not the strongest or the most intelligent of species that will survive. It is those that are most adaptive to change” – Charles Darwin “It is not the strongest or the most intelligent of species that will survive. It is those that are most adaptive to change” – Charles Darwin

3 © The Delos Partnership 2004 Excellence “If you aim for the impossible, the incredible will happen”

4 © The Delos Partnership 2004 Issues What are the issues which have encouraged you to start down this path?

5 © The Delos Partnership 2004 Objectives What are the objectives that you have started to set for this project ?

6 © The Delos Partnership 2004 Delos Delta Model OVERCOMINGOBSTACLESOVERCOMINGOBSTACLES DELIVERSDELIVERS INTEGRATEDINTEGRATED ManagingThechangesManagingThechanges ROCEModelROCEModel BusinessModelBusinessModel ChangeModelChangeModel = change

7 © The Delos Partnership 2004 Project Objectives 1.To make more money for shareholders –By reducing costs –By increasing sales –By reducing inventory 2.To create a better organisation to deliver added value 3.To deliver to customers the value they demand

8 © The Delos Partnership 2004 Delos ROCE model ROCE Profit Capital Sales Costs Material Labour Overhead Fixed Current Stocks Creditors Debtors Projects

9 © The Delos Partnership 2004

10 © The Delos Partnership 2004 The Delos Model For Business Integration Innovation Innovation Vision Strategy Prioritisation Prioritisation Demand Support Supply

11 © The Delos Partnership 2004 Project Deliverables 1.To develop a vision 2.To understand and create the strategy 3.To enable integration of all of the processes 4.To create the right culture 5.To ensure continuous improvement 6.To ensure the right alignment of measures and strategy

12 © The Delos Partnership 2004 Delos Change Journey MobiliseDesignCommunicateReviewUnderstandASSESSASSESS EDUCATION STRATEGY & DESIGN DEFINE & MEASURE BENEFITS ORGANISATION SYSTEMS

13 © The Delos Partnership 2004 Changing focus in some projects Let’s change the culture Let’s get the system in

14 © The Delos Partnership 2004 Basic reasons for Failure 1.Poor Quality of Data 2.Inadequate ERP systems 3.People and lack of involvement 4.Absence of Integrated Enterprise Planning 5.Departure of Sponsor – lack of focus 6.Insufficient Internal Education 7.Inappropriate reliance on consultants 8.Failure to change the culture

15 © The Delos Partnership 2004 Successful Enterprise Systems projects balance the needs of culture/behaviour, ways of working and technology. Failure to do so results in a new approach which is not sustainable for the business in the future. This means that all decisions regarding the programme must take all three elements into consideration. For instance: Project organisation Design Implementation Governance CULTURE/ BEHAVIOUR WAYS OF WORKING TECHNOLOGY An Integrated Approach

16 © The Delos Partnership 2004 Integration – focus and result CULTURE/ BEHAVIOUR TECHNOLOGY WAYS OF WORKING No tools to do the job - Frustration Formal Procedures in place But nothing to use them With !

17 © The Delos Partnership 2004 Integration – focus and result CULTURE/ BEHAVIOUR TECHNOLOGY WAYS OF WORKING No formal procedures - Automated chaos Systems in place But no control Over how to use Them !

18 © The Delos Partnership 2004 Integration – focus and result CULTURE/ BEHAVIOUR TECHNOLOGY WAYS OF WORKING No hearts and minds -Alienation System in place Procedures in place But no-one uses them !

19 © The Delos Partnership 2004 Integration the right blend! CULTURE/ BEHAVIOUR TECHNOLOGY WAYS OF WORKING

20 © The Delos Partnership 2004 Integration CULTURE/ BEHAVIOUR TECHNOLOGY WAYS OF WORKING Consumer And Customer Focussed Simplicity Itself Delivering Shareholder Value

21 © The Delos Partnership 2004 The Delos approach Focus is on ROCE An integrated Business Model is a necessary support A well tried change model will overcome the obstacles Emphasis on right blend of change to culture, technology and formal processes Only the combination will bring a lasting competitive advantage

22 © The Delos Partnership 2004 Key activities MONTHS Activity EducationProject TeamPilotManagersPilotUsers InternalPilotLive IEPDefine ProcessPilotPilot processPilotAdd all familiesPilotLive InnovationDefine ProcessPilotDefine policiesPilotEstablish organisationPilotLive Demand PlanDefine ProcessPilotDefine PoliciesPilotEstablish organisationPilotLive MPSMTS v ATOPilotDefine PoliciesPilotEstablish organisationPilotLive IRA AccuracyControl GroupInitCycle CountingPilotLive BOM AccuracyFind ErrorsFix ErrorsUploadLive BOM StructureDefineRestructure and set up all Bills of MaterialsLive RoutingsFind errorsFix ErrorsLive Planning DataDefineSet upLive PurchasingDevelop Purchasing ToolsPilotEducate all vendorsLive ManufacturingDevelop Lean ManufacturingPilotEstablish across businessLive FinanceDevelop costing and IEP/Budget LinkPilotDevelop costs, Inv and WIP valuesLive Cont ImpDevelop Continuous Improvement toolsPilotEstablish across businessLive SoftwarePT debugPilotCarry out Software modifications and interfacesPilotLive