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October 28, 2020

Andrew Peacock, Gina Langel & Brian Kramer

If You Build It…They Will ComeILC Annual Conference

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OPPD QUICK

FACTS

PURPOSE &

GOALS

SETTING A

FOUNDATION

PIVOTING &

BUILDING NEW ERA

Q&A

Today’s Agenda

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2019 OPPD Quick Facts

VISIONLeading the way we power the future

MISSIONTo provide affordable, reliable and

environmentally sensitive energy services to

our customers.

VALUESWe have a PASSION to serve - We HONOR our

community - We CARE about each other.

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Accomplishments!

786600+ 1,908

40,000+

Completed

ProjectsEmployee

Engagements

Employee

Suggestions

Productivity

Hours

Millions

of Dollars

Saved

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PURPOSE &

GOALS

SETTING A

FOUNDATION

PIVOTING &

BUILDING NEW ERA

Q&A

OPPD QUICK

FACTS

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• Stages

• What worked

• What hasn’t worked

• The future

• Deliver relevant perspectives

• Discuss key takeaways

PURPOSE

GOALS

What are we going to talk about today?

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PURPOSE &

GOALS

OPPD QUICK

FACTS

SETTING A

FOUNDATION

PIVOTING &

BUILDING NEW ERA

Q&A

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What We Did… What We Learned..

OPPD CI Journey V1.0 (2009-2015)

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OPPD Lean Toolkit (V1)

Value Stream

Map

Process

Mapping

Kaizen

Events

5S

A3

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OPPD QUICK

FACTS

PURPOSE &

GOALS

SETTING A

FOUNDATION

PIVOTING &

BUILDING NEW ERA

Q&A

PURPOSE &

GOALS

OPPD QUICK

FACTS

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2015

Diagnostic2016

2017

Sustainability2018+

OPPD CI Journey V2.0 (2015-2017)

Implementation

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Lean Toolkit V2.0 (Idea Generation Session)

Initial Prioritization

Document Idea

Finalize Idea

Implement Idea

Idea Implemented

IGS

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Problem Solving Session (PSS)

• Structured way of solving problems

• Identify what is causing the problem

• Get input from a variety of people

• Drive a team to actions and due dates.

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Change Management

The process that guides how we prepare, equip, and

support individuals to understand, engage in, and

successfully adopt any changes needed to consistently

deliver on OPPD’s mission, vision, and core values.

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Nelson Mandela

“If you talk to a man in a language

he understands, that goes to his

head. If you talk to him in his

language, that goes to his heart.”

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Comparing Change Mgmt. & Project Mgmt.

Current

State

Transition

State

Future

State

Project Management – Technical Side

Change Management – People Side

Process:

• Pre-Initiation

• Initiation

• Plan

• Execution

• Close-Out

Process:

• Preparing for change

• Managing change

• Reinforcing change

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The Reality of Change

Individuals

C T F

C T F

C T F

C T

C T F

C T F

Organization

FutureState

Each impacted employee has his or her own journey to the future state…

Legend:

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Continuous Improvement

Adapting to a changing energy environment…

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Major Operational Changes from Current State

• OPPD joined integrated Marketplace on March 1, 2014

• Addition of wind generation since 2005

• Caused major change in the way OPPD ran base load plants

• Units not cycled much, cycled up and down

• Market called for base load units to go into reserve shutdown

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Transitional State – Project Management

• Engineers anticipated changes on how units would run

• Completed capability tests on units:

Minimum load

Maximum load

Ramp rates

• Ensured adherence to market rules and guidelines

• Employees technically ready for changes

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Transitional State Missing Link

• Employees were ready from a technical aspect, however something was missing

• Employees didn’t know why we were running the units differently

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Influence Model – Mindset & Behavior Shift

“I see superiors, peers

and subordinates

behaving in a new way.”

ROLE MODELING

“I have the skills and

competencies to behave

in a new way.”

DEVELOPING TALENT & SKILLS

“The structures, processes and

systems reinforce the change in

behavior I am being asked to make.”

REINFORCING WITH

FORMAL MECHANISMS

“I know what is expected of me –

I agree with it, and it is

meaningful.”

FOSTERING UNDERSTANDING

& CONVICTION

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Influence Model – Mindset & Behavior Shift

Input Oriented Results Oriented

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Applying the Influence Model

Interventions:

• Set daily workload targets

• Stress to the supervisors the importance of supportive interaction with the frontline on achieving the targets

Description:

• Checklist and explanation of key milestones for daily work

ROLE MODEL

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Applying the Influence Model

Interventions:

• Explains the need for a change and how it is

achieved

• Is in plain language

• Is consistent with all other communication

Description:

• Change story to be communicated in

person by management and followed up by

written communications

FOSTERING

UNDERSTANDING &

CONVICTION

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Applying the Influence Model

Interventions:

• Lean leadership and coaching skills

• Conduct training on how the market works and

how the units are dispatched

Description:

• Managers are leading the change and taking

ownership of ensuring the sustainability of further

improvement

• Managers give feedback and have a good rapport

with their subordinates

DEVELOPING TALENT & SKILLS

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Applying the Influence Model

Interventions:

• Performance dialogues

• Recognition for improvements

Description:

• Managers run productive performance

dialogues where all attendees are active and

the main issues are addressed

• Managers interact with the team on a regular

basis with feedback

• Celebrate successes

REINFORCING WITH

FORMAL MECHANISMS

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Who is Involved in Managing Change?

Senior

Leaders

Managers &

SupervisorsEmployees

Change

ManagementProject Team

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PIVOTING &

BUILDING NEW ERA

Q&A

OPPD QUICK

FACTS

PURPOSE &

GOALS

SETTING A

FOUNDATION

PURPOSE &

GOALS

OPPD QUICK

FACTS

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How does CI ‘go

to market?’

What is our

roadmap and

how might we

get there?

Strategy

How are we

staffed?

Where are we

placed?

Structure

What is our

intake model?

How do we work

with our internal

and external

customers?

Process

What are the

skills, mindsets

and behaviors

that a successful

CI Team Member

needs to have?

People

OPPD CI Journey Version V3.0 (2018-Present)

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Vision:

We foster continuous improvement every day.

Mission:

In pursuit of operational excellence, we generate ideas,

challenge assumptions, solve problems and cultivate a

sustainable culture of continuous improvement.

Continuous Improvement

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Continuous Improvement

Lean Pillars: Create Value Eliminate Waste Respect People

Measures of Success:

Financial Value

Operational Value

Customer Value

Employee Value

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ROCKS

Less complex than

Boulders and routinely

impact one or two business

units; may have high

financial value and risk.

BOULDERS

Routinely includes large,

complex projects that affect

multiple business units;

often has significant

financial value and risk.

SAND

Less complex than Pebbles

and routinely impact one

department or team; may

have low financial value

and risk.

PEBBLES

Less complex than Rocks

and routinely impact one

department or business

unit; may have moderate

financial value and risk.

CI Intake Model

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Partnering with CI: Methodology*

Organizational Alignment

Sustainment

Change Management

Problem Solving

Visual Management

*Based on Cleveland Clinic model

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To the Gemba we go…

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NEW ERA

Q&A

PIVOTING &

BUILDING

OPPD QUICK

FACTS

PURPOSE &

GOALS

SETTING A

FOUNDATION

PURPOSE &

GOALS

OPPD QUICK

FACTS

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What should you takeaway today?

Tools & Training1

People & Change

Mgmt.2

Gemba, Visual Mgmt & Field

Presence3

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