1. MAV Planning Improvement Conference
Melbourne Water 17/10/14

2. Enhancing Life and Liveability
Our Vision
Enhancing Life and Liveability
We will work with others to achieve this
We will achieve this regardless of issues like population growth, increased urban density, a variable climate, natural resource scarcity and community expectation for affordable services
We will do this whilst continuing our commitment to better service, a safe work environmental and a constructive culture
This is our vision and has been guiding by inputs from others 2

3. Port Phillip and Westernport Region

4. What are we hearing? we are . . we need to be
You have given us feedback that:
we are not responsive or innovative
we are too deliberative which leads to slow and overly complicated responses
you would like us to be more open and transparent
We have had independent advice that:
Customer value would be created by re-orienting our business around a customer centric model rather than an asset centric approve
There is opportunity to improve our customer processes and systems – our old structure was difficult to navigate and relied on the persistence of our customers to identify the right person to speak to
There is opportunity for Melbourne Water to better understand your business drivers and tailor our services to deliver on what you want to achieve
There is scope for Melbourne Water to offer new services

5. Our new Business Model Improved Business Efficiency Improved
Customer Experience
Delivering operational excellence for all services
Improving customer interactions
Optimising the value created through services
Liveability
Environmental Stewardship
Asset Value Maximisation
Integrated Water Management
Speaker Notes:
Just to re-cap, the shift to a new business model is underway.
We remain vigilant in ensuring the appropriate balance is maintained between improved customer experience and achieving the optimal levels of business efficiency.
Clearly there is a need to work across the industry and government spectrum, particularly in regard to the service orientated projects.

6. Aligning our operating model
There are many activities underway to align our operating model with our business model
Structure
Customer focussed
People
High performing and aligned
Alignment
Key strategies
Performance metrics
High Performing
Activity reviews
Capability review
Customer Focussed
Initial restructure completed
Systems
Enabling
Process
Efficient and effective
Efficient
Business Efficiency Projects
Expenditure process review
Effective
Business Enablement Program (process model and systems alignment)
Commercial model & Benefits realisation
Enabling
Develop business driven systems architecture
System capability review

7. Emerging approach - Changing the focus
What we used to do…
Risk
Meeting obligations
Shareholder
Obligation
Customer
Optimised Core Services
What we want to do…
Customer
Shareholder
Commitments
Risk
Customer valued services
Customer
Expectations
Asset Value Maximisation
Environmental Stewardship
Liveability
Integrated Water Management
Valued New Services
Our service promise

8. A new Floodplain Strategy for Port Phillip and Westernport?
Defining the future together?
We're developing a new regional Floodplain management strategy with our key partners in floodplain and drainage management.
We want to work more closely with you, to make sure a new strategy reflects your needs and priorities, and helps us best serve communities across the region.
Flood and Drainage Management is bigger than Melbourne Water. Councils manage 95% of the drainage system, the Victorian SES and the community are critical emergency responders, and increasingly, water retailers and the development industry will need to play a role. Councils are crucial players in emergency planning and recovery, urban development and water planning.
There are lots of challenges & opportunities - getting the best outcomes for the community will require us to work together.
We have already heard from your colleagues that strong and effective partnerships between government agencies are needed to get the best outcomes for the community - As flood management increasingly uses and supports Whole of Water Cycle Management approaches, and responds to urban consolidation, urban growth, regional issues, and climate change challenges.
Quick background to why flooding is important
Flooding is a significant issue in the Port Phillip and Westernport region with more than 100,000 properties estimated to be flood-prone or at risk of flooding when a severe storm occurs, leading not only to potential structural damage to houses and infrastructure but also immeasurable damage such as loss of life, items of personal or sentimental value and fear for personal safety or property security.
$245M annual average estimate of damage caused by flooding
 >100,000 properties are known to be at risk of flooding
o Of which, 70% affected by overland flooding and 30% affected by riverine flooding
o Of which, 23% identified as having an extreme flood risk
 >8,000 properties at risk of tidal flooding from current storm surge risk

9. Consultation in September
We’re about to share a summary of Key Directions and Concepts with you. This outlines what we've heard about the challenges and opportunities, and the actions we could take to respond. We want to make sure you're comfortable with the direction of a new strategy, and we are starting the discussion with you now to make sure a new strategy reflects your knowledge and the needs of your community.
Local Government knowledge and participation are vital to developing a successful strategy.
We want your help to prioritise actions we could take, and understand how best to deliver them - in partnership.
Your feedback will be used to build a draft strategy, and implementation plans
We hope you'll take this opportunity to help set the future direction for floodplain management.
[NB: FS team may have specific dates/timeframes by the 18th]

10. Customer Mapping

11. Changing our Customer Service Level
As is Processes
Customer Service Model
‘To-be’ Processes

12. Development System Project Overview
In response to feedback from Councils and other customers, we are undertaking the following;
A review of our systems to improve our ability to manage and respond to statutory referrals, development enquiries and works applications.
To enhance/replace our internal databases so as to improve our ability to administer the planning, construction and funding of drainage assets and water quality works.
To improve the online service offering for customers, offering more timely responses, simplified interactions and transparency of services.

13. Challenges with our transformation
Being clear on why
Understand our true cost of servicing
Balance between maintaining service while transforming
Must be across, people, process and systems
Helping people to maintain ownership of change
Maintain our focus and momentum

14. “how aligned is it to deliver customer value”
key insight
No matter how Melbourne Water approaches its operational changes, the principle measure of suitability should be
“how aligned is it to deliver customer value”

15. What will be different…
We hope that the changes that you will see over time are:
Services that are tailored to meet your business drivers
Dedicated Melbourne Water resources responsible for ensuring that we deliver
New services