1 © The Delos Partnership 2004 Delos Excellence Project Implementation Project Plan

1 © The Delos Partnership 2004

Delos Excellence Project Delos Excellence Project ImplementationImplementation

Project PlanProject Plan


Programme Management and Programme Management and PlanningPlanning• Enterprise Systems programmes are notorious for

being late, over budget and failing to meet reasonable business expectations.

• The secret to a successful programme is to use the same management techniques that we use for engineering/capital projects

• Contingency planning is a critical element of any well managed project

• Major programmes like this are infrequent experiences for most organisations


Delos Change JourneyDelos Change Journey

MobiliseMobilise DesignDesign CommunicateCommunicate ReviewReviewUnderstandUnderstand

Identify quickIdentify quickBenefitsBenefits

DevelopDevelopChange VisionChange Vision

InternalInternalSell-inSell-in

ReviewReviewSystemsSystems

EstablishEstablish ResourcesResources

Gain quickGain quickBenefitsBenefits

DetailedDetailedProcess DesignProcess Design

Public/PrivatePublic/PrivateWorkshopsWorkshops

Develop Develop SystemsSystems

Develop TaskDevelop TaskTeamsTeams

Gain earlyGain earlyBenefitsBenefits

Document Document Policies etcPolicies etc

InternalInternalEducationEducation

CreateCreateSystemsSystems

EstablishEstablishOrganisationOrganisation

SecureSecureBenefitsBenefits

RefineRefinePolicies etcPolicies etc

AASSSSEESSSS

ContinueContinueEducationEducation

RefineRefineSystemsSystems

GainGainTeamworkTeamwork

AASSSSEESSSS

Cost/Cost/BenefitBenefit

DevelopDevelopBus StrategyBus Strategy

InitialInitialEducationEducation

AppointAppointSponsorSponsor

PPIILLOOTT

PPIILLOOTT

PPIILLOOTT



1. Timescale needs to be realistic and achievable• 12 months minimum• 24 months maximum

2. Key stages• Vision• Software understanding• Task Team activities• Pilots• User Education• Cutover


TimescalesTimescales

• Most successful projects complete within 18 months – 12-15 months is not unusual.

• Why?– Organisations have a short attention span– Things change – acquisitions, new markets, new

products etc.– Scope creep– Cost– Individual and corporate fatigue



• Project Plan should cover:– Scope– Systems/Technology– Process Development– Culture/People – winning hearts and minds

• Key phases :– Create the vision of the company– Develop the detailed policies and procedures, roles

and responsibilities– Match the software to the requirements– Educate and train the users


ScopeScope

• Scope drives everything!– The business case – both cost and benefits– The project organisation– The project timescale– The process design– The implementation programme

• A badly defined scope usually results in a poor project – over budget, over time, under delivery of benefits etc.

• Also a badly defined scope is a major opportunity for an implementation partner!


ScopeScope

What must be covered:• Detailed functional scope – by individual process area

(and sub-process where necessary)• Detailed geographic scope – by region, country, office,

plant etc.• Detailed organisational scope – by department/function• What is excluded must be as clear as what is included.• There should be some people who are unhappy with

the scope.• Be ruthless in defining and maintaining the scope.



1. Formal document

2. Recognises need for resource management

3. Illustrates cost of delay

4. Provides review for recovering delay


Project Plan - detailsProject Plan - detailsInitial Buy-in/Top Man seminar Top management TeamEstablish Project Team Top management TeamCost/Benefit analysis Project TeamDevelop Company Vision Project TeamProject Team Pilot Project TeamSet up Task Teams Steering CommitteeIntegrated Enterprise Planning Task TeamSales Forecasting Task Team

Master Scheduling Task Team

Innovation management Task Team

Data Accuracy Task Team

Lean and Agile Task Team

Procurement Task TeamTask TeamSupplier Relationship Management

Financial Management Task Team

Performance Measures Task Team

Change Management Task Team

Task Force Pilot Task Team

Internal Education for UsersData Migration from Legacy to newCutover ManagementUser PilotGO LIVE

Education for Top Management Top management TeamEducation for Project Team Project TeamEducation for Task Teams Task Teams



Key Milestones– Completion of Vision– Completion of Policies and Procedures– Project Team Pilot– Task Team Pilot– User Pilot


Critical PathCritical Path

1. Pilots only occur after each phase

2. Understanding crucial to each phase

3. Education requires around 80 hours per person

• 80 hours for each Task Team member• 80 hours for each user

• Software should not be on critical path• Data should not be on critical path

• People can be

• Software should not be on critical path• Data should not be on critical path

• People can be


Key activitiesKey activitiesMONTHS

Activity 0-3 4 4-7 8 9-11 11-14 15

Education Project Team Pilot Managers Pilot Users Internal Pilot Live

IEP Define Process Pilot Pilot process Pilot Add all families Pilot Live

Innovation Define Process Pilot Define policies Pilot Establish organisation Pilot Live

Demand Plan Define Process Pilot Define Policies Pilot Establish organisation Pilot Live

MPS MTSv ATO Pilot Define Policies Pilot Establish organisation Pilot Live

IRA Accuracy Control Group Init Cycle Counting Pilot Live

BOM Accuracy Find Errors Fix Errors Upload Live

BOM Structure Define Restructure and set up all Bills of Materials Live

Routings Find errors Fix Errors Live

Planning Data Define Set up Live

Purchasing Develop Purchasing Tools Pilot Educate all vendors Live

Manufacturing Develop Lean Manufacturing Pilot Establish across business Live

Finance Develop costing and IEP/Budget Link Pilot Develop costs, Inv and WIP values Live

Cont Imp Develop Continuous Improvement tools Pilot Establish across business Live

Software PT debug Pilot Carry out Software modifications and interfaces Pilot Live


Master Project PlanMaster Project Plan

# Activity Target Complete1 Implementation plan prepared by Project Team and

Put to Steering committee for approval

2 The Plan indicates who is accountable for each element, and acceptance for responsibility agreed

3 Each Functional Task Force Leader has signed off on the plan

4 Implementation plan signed off by Steering Committee

5 Vision approved

6 Completion of Project Team Pilot

7 Completion of Managers and Trainers Education

8 Accuracy of Control Group Data = 100 %

9 Pilot phase of Integrated Enterprise Planning complete


Integrated Enterprise Integrated Enterprise PlanningPlanning# Activity Target Complete1 Responsibility for implementation of Integrated

Enterprise Planning assigned to MD or equivalent

2 Initial Workshop on Sales and Operations Planning complete

3 Product Families, Planning Horizon, and Time Fences agreed

4 Performance measurements to be reported have been agreed

5 Meeting cycle agreed and timetable for next 12 month published

6 Process started with one Family

7 All other families implemented in the process

8 Financial linkage to Budget completed


Innovation ManagementInnovation Management

# Activity Target Complete1 Responsibility for implementation of Innovation

Management assigned to an Innovation process owner

2 Initial Workshop on Innovation and Programme Management

3 Stage Gate and Business Filter process defined. Agreement on sign off authority levels, and prioritisation

4 Performance Measures for successful completion of milestones agreed. Earned Value calculation agreed.

5 Software for Programme Management tested and signed off

6 Cross Functional Programme management organisation established.


Customer Relationship Customer Relationship ManagementManagement# Activity Target Complete1 Responsibility for implementation of Customer

Relationship Management assigned to an Demand process owner

2 Initial Workshop on Sales Forecasting and Demand management and CRM

3 Forecast process agreed around Level, Horizon, Units and Buckets, and frequency of update

4 Responsibility for Sales Forecasting established with Sales and Marketing

5 Policies on Forecast Consumption, abnormal demand, and use of Available to promise defined, and approved by Steering committee

6 Software for Sales Forecasting and Demand management and Customer Relationship Management tested and signed off

7 Demand Planning and Demand Management organisation set up under Sales and Marketing


Master Production Master Production SchedulingScheduling# Activity Target Complete1 Responsibility for implementation of Supply

Management assigned to Supply Process Owner

2 Initial Workshop on Sales Forecasting and Demand management and CRM

3 Model for Master Scheduling established which specifies how Make To stock, Assemble To order and Engineer to Order will operated

4 Software checked for ability to support the Master Scheduling model.

5 Policies on Time Fences and Changes to Master Schedule agrees and approved by Steering committee

6 Performance measures and target service levels agreed

7 Master Scheduling Organisation established which follows Vertical Planning concept.


Data Quality - InventoryData Quality - Inventory

# Activity Target Complete1 Task Force established with responsibility set up

under Warehouse Manager

2 Inventory Data Quality objectives agreed, with Target accuracy of 98 % of all items with 0 tolerance

3 Process for movement of inventory, and recording of Inventory Transactions completed

4 Review of required equipment and technology completed and recommendations accepted

5 Control Group cycle counting established, in order to identify errors

6 Control Group achieves 100 %

7 Policies and Procedures for Inventory process in Stores and Factory agreed and communicated.

8 Initialisation of Balances complete

9 Systematic Audit established using Process Control cycle counting.


Data Quality – Bills of Data Quality – Bills of MaterialMaterial# Activity Target Complete1 Task Force established with responsibility set up

under Development department

2 Bill of Material objectives agreed, with Target accuracy of 100 % of all BOM’s

3 Sample of current Bills of Material used to verify current level of accuracy of BOM’s

4 Bill of Material Policy Established on Accuracy of BOM’s and agreed

5 Correction of Database undertaken for the whole database.

6 Procedure for reporting of BOM inaccuracy completed and established.

7 Process for prompt correction of Bills of Materials within Development department agreed and established.

8 Bill of material Administrator role defined and filled within the Planning Deparment


Data Quality – Structure of Data Quality – Structure of Bills of MaterialBills of Material# Activity Target Complete1 Task Force established with responsibility set up

under Planning Function

2 Structure of BOM’s agreed with reference to the MPS task force and decision on MTS/ATO/MTO

3 Software checked to ensure that configuration ability is supported

4 Resource identified for restructuring of Bills of Materials.

5 Bill of Material Database populated with restructured Bills of materials.

6 Restructured Bills of Materials verified for accuracy as part of Bill of Material Quality audit.


Data Quality – Bills of Data Quality – Bills of Material Change ControlMaterial Change Control# Activity Target Complete1 Task Force established with responsibility set up


2 Current change control procedures and policies reviewed for completeness

3 Software review of functionality for Change Control completed, and documented

4 New Procedures for BOM Change control identified, and established with policies in place for handling phase in and phase out

5 New procedures reviewed and agreed through pilot process

6 BOM Change control group established to review impact of proposed design and development changes


Data Quality – Planning Data Quality – Planning DataData# Activity Target Complete1 Task Force established with responsibility set up


2 Exercise on verification of existing data on basic information – set-up, run, Queue and move times

3 Basic Order Quantity data established with correct figures for minimum and multiples for manufactured and purchased items

4 Scrap and yield factors determined and agreed. Correct Units of Measure established.

5 Safety Stock parameters agreed in line with the Master Scheduling policy.

6 Manufacturing Lead Times agreed and set up in the Planning system, consistent with Shop Floor control data

7 Purchasing Lead Times Established within the system


Manufacturing Task ForceManufacturing Task Force

# Activity Target Complete1 Task Force established with responsibility set up

under Manufacturing Director

2 Decide on where to use Work to Lists, and where to use Kanban process

3 Determine opportunities for re-layout of factory to provide improved flow and ways of working

4 Determine Work centre definitions and agree parameters for each work centre for routings

5 Establish Demonstrated capacity at each work centre.

6 Establish Feedback process for planning, and culture of “No news is good news”

7 Establish programme for getting Work-in-Process accuracy


Purchasing Task ForcePurchasing Task Force

# Activity Target Complete1 Task Force established with Purchasing as the Task

Force Leader

2 Establish Vendor Scheduling reporting process, and use.

3 Determine Purchasing Strategy based on current spend map

4 Determine measurement criteria for suppliers, and establish SMART goals to be shared with suppliers

5 Carry out Education programme with suppliers focussing on the key elements of the Purchasing strategy.

6 Set up Qualified Vendor group

7 Set up organisation that differentiated between Procurement and schedulers.


Finance Task ForceFinance Task Force

# Activity Target Complete1 Task Force established with Finance manager as the

Task Force Leader

2 Establish Costing process based on BOM’s to reflect Standard or Average actual costs

3 Determine how Accounts Payable, Accounts Receivable and General Ledger will work

4 Develop process for providing Financial Planning process as linked to the IEP process

5 Establish how the Budget will be prepared from the ERP system

6 Develop reports from the system that will generate Cash Flow reports and simulations


Performance MeasuresPerformance Measures

# Activity Target Complete1 Task Force established with Finance manager as the

Task Force Leader

2 Establish Vision, Goal and Objectives together with Targets for achieving the objectives

3 Establish how the system will provide Performance measures, and data for problem solving

4 Carry out Benchmarking exercise to establish best in class performance for targets

5 Layout Process ownership, and responsibility for cascaded sets of measures

6 Review current reward structures, and establish new performance measures contained within Personal Development Plans


System and SoftwareSystem and Software

# Activity Target Complete1 Suitable Software Packages Identified

2 Software selected by reference to the users, Standard system, and the degree of integration required

3 Internal programming and modification support identified

4 Software tested by Project Team

5 Modifications identified for supplier to remedy by start of conference pilot

6 Software Training set up and carried out for all functions

7 Test of Modifed and debugged software completed and signed off

8 Validation of Run Times and Response Times


External EducationExternal Education

# Activity Target Complete1 Start-up Education

2 Project Management/Implementation workshop

3 Managers Education while Project Team develop vision

4 Specialist Education for Task Force Team Leaders and their Teams

5 On going external Education


Internal EducationInternal Education

# Activity Target Complete1 Project Team Develop their Vision of how company

will operate

2 Project Team detail their vision of how the company will work to the Steering committee so that they sign off on this vision.

3 Project Team Educate Managers and Trainers on Business Excellence/Vision/Software

4 Managers/Trainers’ Pilot to validate Training and company ways of working

5 Managers and Trainers carry out user training on Business Excellence/Vision/Software

6 User Pilot to validate Training and that users will be able to do their job.


Pilotting processPilotting process

# Activity Target Complete1 Software tested by Project Team, bugs identified, and

all required modifications and interfaces identified.

2 Project Team pilot to test Software, Organisation, Policies and procedures to verify new company will work

3 Managers/Trainers’ Pilot to validate Training and company ways of working

4 User Pilot to validate Training and that users will be able to do their job.

5 Cutover Takes place during appropriate shut down period


Cutover processCutover process

# Activity Target Complete1 Signoff that Data is at required Quality levels three

months prior to going live.

2 Sales and Operations planning is up to speed.

3 Master Scheduling policies and organisation established, and planners in place

4 All purchased part orders have been reviewed, and past due dates eliminated, and replaced with valid dates

5 All manufacturing orders have been reviewed, and past due dates eliminated, and replaced with valid dates

6 Software modifications fixed and working

7 Balanced plan in new system reviewed and established through ensuring all data in old system, and dates updated on open works and purchased orders.



1. A Live document• Constant revision• Review resource required to complete

2. Key milestones identified• Vision identified• Education completed• Conference pilots• Integrated Enterprise Planning started

3. Where Delays are identified• Identify possibilities to recover• Review cost of delay from Cost/benefit analysis

Documents

1 © The Delos Partnership 2004 Delos Excellence Project Implementation Project Plan