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In this issue:
Quarterly Review
The
Issue Five March 2010
1-2 The‘One Room’Company!
3-4	 System Implementation
4&6	Talent Management
5	 What is Records Management (RM)?
6-7 	 Managing Business Risk
7-8 Continuous Improvement
8-9 Renewable Program Management?
The‘One Room’Company!
Continued on page 2
Much is said, and much is misunderstood, when discussing the benefits of pursuing a
strategy for managing an organisation’s knowledge.Why do I say that, when after all, we
all know that it requires us to capture the ‘tacit’ knowledge that exists in our people’s
heads and enter it into a knowledge system so that resultant transformed ‘explicit’
knowledge, is available for all to share and exploit for the benefit of the organisation?
Most organisations are also aware that knowledge capture is different to capturing data. It’s not
about technology either, and it requires a shift in the behaviour of individuals if it is to succeed.
Why then are so many organisations disillusioned with their attempts to harness the knowledge
within their organisation, or‘intellectual capital’as they understand it is to be called? More often
than not their attempts at delivering a KM strategy flounder before any business benefits can be
realised and observed.
I have often said that if all of your people worked in one room then you would not require a
strategy to tap into everyone’s collective experience and learning.You would merely have to ask
out aloud, what it was you needed to know, and someone would provide you with the answer
or would be able to tell you where you could find it. Let’s put everyone in one room then.
There are many truisms in my opening remarks. Behaviour is key, and although technology
doesn’t provide the entire answer, today’s technology provides opportunities for the well
thought-out KM strategy.
For a large organisation with thousands of people located across the
globe, sharing anything, let alone their knowledge is a
challenge, so why not put them in one room. The
technology permits you to build one room, albeit
virtually, that everyone can occupy, across time-
zones, where everyone can be heard and most
questions can be answered instantaneously.
I’ve been in one.
So you have your room. What knowledge
do you want to share? Now it becomes a
bit trickier. Your knowledge management
strategy needs to be aligned to your business
strategy. Again, you probably know that. More
importantly the knowledge that you capture
needs to be exploited commercially. If it doesn’t
lead to an increase in shareholder value then why
bother.
The challenges of today’s business are in-
creasingly demanding. At Chaucer we are
always looking for new ways to make things
easier for our clients.
The Chaucer Quarterly Review is a selection
of business topics that we believe can pro-
vide you, or your colleagues, with an insight
into practical approaches and solutions that
may be of interest.
Companies need to change for many rea-
sons particularly so during these challenging
times. An area of change that businesses
struggle with is‘Communications & Engage-
ment’. Our experience is that companies do
well in communicating change but rarely
allow enough space or time for the engage-
ment part of the change process and, con-
sequently, the change partly or completely
fails with the result that few or no benefits
are achieved.
At Chaucer we have a unique approach to
successful Change Management, it is simply
known as ‘The Chaucer Way – Change
Management’ and it is tried, tested and
proven. To find out more
contact me.
2010
Bob Laslett, Global CEO
bob.laslett@chaucerconsulting.com
BobLaslett
(Knowledge Management)
Welcome
to our
latest quarterly.
2
The‘One Room’Company! (Knowledge Management)
“You eventually own a docu-
ment management system
with a knowledge manage-
ment badge on the front of
it ”
No matter how well intentioned, most
organisations eventually find that they own a
document management system with a
Knowledge Management badge on the front
of it. The potential for keeping knowledge in
people’s heads and accessing just the bits that
you want when you want them remains an
alien concept. Knowledge, things written in
documents, becomes stale. The reason for
visiting the company’s knowledge system is
no longer compelling, if it ever was.
Knowledge Management is not Document
Management
So what can you do to ensure that you don’t
unwittinglydevelopadocumentmanagement
system?
First of all don’t fixate on encouraging your
people to transfer all of their experiences to
documents. Leave it in their heads if you can,
there it remains as knowledge. Access it when
and if it is required. How do you find it? Create
some sign-posts. Signposting is a technique
for identifying the people who can most
probably answer your question.
Create communities of interest. Put people
together who have a shared interest in a
business need or business opportunity. Put
them in the ‘room’, or their own ‘room’. They
can then ask out aloud “who knows who and
who knows what”.They don’t even have to put
it into a document.
Develop a knowledge sharing culture.
Individuals, to paraphrase Adam Smith, are for
the most part motivated by serving their own
self interest. Address the question of “what’s
in it for me” by ensuring that they not only
benefit from accessing and exploiting the
knowledge of others but are rewarded for
providing knowledge to others. In a successful
knowledge sharing environment this is
achieved by exerting peer pressure to share
knowledge, and aligning your performance
process to reward collaboration and sharing of
knowledge.You just need to make transparent
who the providers are and who are the takers.
Remember that a knowledge sharing
organisation is also a learning organisation.
You just need to know what you need to
learn.
“I have never been convinced
that you can actually manage
knowledge, I prefer to think
of it as orchestrating the
organic”
Critically, it is the behaviour of your leadership
team that will determine the success of your
KM strategy. They need to ‘walk the talk’
embrace and enter the ‘one room’ and as the
‘knowledge elders’ of the ‘knowledge
settlement’ and hand down their knowledge
by telling stories. Yes, story telling is a key
component of your knowledge management
strategy.
I have never been convinced that you can
actually manage knowledge. I prefer to think
of it more as ‘orchestrating the organic’ in
terms of growing the collective knowledge
capability.
How Chaucer can help?
Chaucer can help you ensure that you select
the right approach for identifying the
appropriate knowledge journey for your
organisation.
We might not know what knowledge, if
exploited, will grow your business, but we
have a ‘way’ of leading you through your
journey of discovery, see ‘The Chaucer Way –
Knowledge Management’
Rob Taylor is lead consultant for knowledge
management at Chaucer Consulting. He studied at
the Aston University Business School and the IESE
Business School, University of Navarra, Barcelona. He
was previously Director of
Knowledge Management at 3i
Group and has presented on
Knowledge Management at
various forums.
Rob Taylor, Chaucer Consulting
rob.taylor@chaucerconsulting.com
RobTaylor
Continued from page 1
IT Projects:
System ImplementationsXX
Systems/business analysisXX
System/documentation/database consolidationXX
Documentation/data managementXX
Documentation/data management etc.XX
IT Skills:
Business reqXX uirements gathering
System interdependency mappingXX
Act as an interface between technicalXX
 business workstreams
Migration  cutover planningXX
Strategic deployment model creationXX
Security model imXX plementation
Project/Change Management:
Both‘Soft’ Hard’skillsXX
Rigor, discipline and structure throughXX
The Chaucer Way - Project Management
Engagement, advocacy and supportXX
through The Chaucer Way - Change
Management
Approach/Style:
We turn concept into realityXX
We embrace your goalsXX
Delivery focusedXX
Pragmatic and flexibleXX
(approach  mindset)
Skilled  experienced navigatingXX
complex organisations
How Chaucer can help ensure success...
Deep Sector Experience
Global Experience3
System Implementation
Continued on page 4
A system implementation is, on the face of
it, very straight forward: either for strategic
or tactical reasons a system, or systems, is
deemed to be insufficiently meeting the
needs of the organisation.
This could be for any number of reasons; insuf-
ficient functionality, audit/inspection findings,
content duplication through multiple systems
or as a result of a change in organisational cir-
cumstance e.g. merger/acquisition. The
premise is therefore wholly straight forward
you take the system that does not meet the
organisations needs and replace it with one
that does.
The new system is bound to be faster, easier to
retrieve content, have increased functionality
and of course meets the go forward business
needs. Behind such a simple premise is a myri-
ad of issues ranging from identifying what
precisely the go forward organisation actually
needs, navigating complex internal politics 
organisational boundaries and then overcom-
ing the actual logistics of ‘swapping’ systems
with minimal disruption to all important ‘Busi-
ness as Usual’. In the post recession era the
continuity of business as usual will take on
even greater significance as less staff are avail-
able to complete day to day tasks. This is espe-
cially so for ‘secondary’ business objectives
such as system updates/implementations.
An effective system implementation com-
mences, as any good project should, with a
solid business case and a clearly defined scope.
The criticality of dedicating sufficient time, to
ensure that they are performed correctly, can-
not be stressed enough. A system implemen-
tation is an opportunity to realise benefits
through synergies and efficiencies but defin-
ing and ensuring executive leadership buy-in
to the project’s scope is paramount. Why? It
will inevitably prove costly in time, resource
and dollars if you initiate a system implemen-
tation and find that a critical business line/
unit’s needs have been overlooked or worse
yet; considered and then discarded inappro-
priately. Our experience tells us that getting
the scope/requirements wrong upfront will
deliver a system that is at best as good as the
current solution or at worst...worse!
However, defining the scope and then subse-
quently the business/functional requirements
isonly thefirst hurdle. Ensuring thattheproject
is delivered on time, to budget and quality
must be addressed and managed effectively.
Furthermore, other associated activity that ac-
tually makes or breaks an implementation is
often underestimated, namely; securing senior
and middle management advocacy for the
project and its objectives, as well as reviewing
 updating business processes and ensuring a
fit for purpose support network exists that
covers both technical (IT) issues and also busi-
ness issues. An organisation can have the best
‘new’system but if the business does not use it
or do not know how to use it the projects ROI
can never be realised.
Chaucer has a rich heritage and a deep rooted
skill set and expertise in supporting clients of
all industries with their system implementa-
tion projects. We have supported…
Pharmaceutical organisations radicallyXX
overhaul their document/data manage-
ment systems
Oil and Gas majors with HR system assess-XX
ments, implementations  consolidations
Financial services organisations transformXX
their systems for product to customer
centric (as well as consolidating a fair
number of systems too!)
Online financial and gaming organisationsXX
upgrade and implement new customer
trading interfaces
Retail organisations implement new CRMXX
system’s
As well as supporting many other indus-XX
tries and clients implement new customer,
document/data management systems
All of the examples sighted above are real
projects that Chaucer has undertaken in the
4
System
Implementation
past three years. Our involvement has been
varied from supporting the totality of
the project e.g. Strategic Planning, Project
Management, Deployment etc. to supporting
specific work streams e.g. Change
Management.
What makes Chaucer the ideal partner for your
system implementation needs. Put simply the
challenges and requirements of a system im-
plementation draw on many of our core capa-
bilities.Project/ProgramManagement,Change
Management, Business Analysis and Business
Process Re-engineering are at the very heart of
our offer and what we do best. Coupled with
our real “hands on” experience and successful
delivery record we are an ideal partner and
often act as a bridge between the technical
and business elements of any systems imple-
mentation.
System
implementations…
facile or fiendish, you
decide!
Talent management is a set of business practices that manage the identification,acquisition,
developmentandretentionoftalentinordertooptimiseperformancewithinanorganisation
so that it achieves its strategic business objectives.
At Chaucer we believe that some organisations fail to effectively manage talent because they are
addressing it as a simple recruiting exercise. Organisations might be very good at attracting some
talent but not necessarily at attracting the right talent nor at keeping and developing it.
The first challenge is to translate an organisation’s strategy into a clearly defined set of roles and for
those roles to be built on a specific technical and leadership capability framework. This will be the
first step at describing what talent is required, and will also provide the basis to assess existing and
future talent, thus enabling the identification of potential gaps and articulating optimal career
development programmes.
PhillipWallis
Phill Wallis, Chaucer Consulting
phillip.wallis@chaucerconsulting.com
Talent Management
The Talent Challenge
Continued from page 3
Knowing what talent is needed is an essential
pre-requisite for any organisation.
Attracting talent is not just about offering the
biggest paycheck, it is about having a fully
defined value proposition of which money is
one element. As important as money is the
clear demonstration of a fully articulated and
integrated career progression plan as part of a
well defined career development programme
or programmes, this is essential. A compre-
hensive talent management approach will
provide any organisation with the necessary
support for a strong value proposition.
The recent economic crisis has once again
proven that organisations do not operate in a
fixed market environment. Adaptability is the
key; organisations that will come out of this
current crisis with stronger potential will be
the ones that have displayed the highest
adaptability. Efficient talent management
should not be any different.
As organisations need to change their strategy,
the talent required to deliver it should also be
able to change.
In summary an integrated talent man-
agement approach requires:
An understanding of your needs.XX
A fully defined capability framework.XX
The continuous assessment of talent.XX
The development of robust programmesXX
to close any potential gaps.
Providing an integrated talent management
approach means that any changes in the busi-
ness environment can easily be incorporated
into this integrated approach to enable your
talent to remain talented to successfully sup-
port the achievement of the strategy.
Optimal deployment of talent is probably the
most challenging element of talent manage-
ment. It is an equation between business
Continued on page 6
PaulBurke
5
What is Records Management (RM)?
If you were to ask 10 people in 10 different
companies what they thought Records
Management (RM) meant, you would
probably get 10 different answers. This
doesn’t mean that any of them are wrong;
it just highlights what a diverse topic
Records Management actually is.
At Chaucer Consulting, we believe Records
Managementisbestthoughtofasanumbrella,
under which Document Management (both
Electronic and Paper), Data Base Management,
Content Management and Knowledge
Management can all be included.
All of these sub categories include the
management of any piece of information a
company uses to generate business, support
business, manage transactions, monitor
experiments, make decisions, prepare
contracts, maintain personnel records, and
keep a record of just about everything a
company or organisation does.
Perhaps this is best illustrated by the explosion
in the Knowledge Management (KM) market.
Many companies are now employing a full
time KM resource who is being tasked with
implementing a corporate wide KM strategy. If
thecompanyisnothiringfulltimeKMresource
they are hiring KM consultants to help with
the strategy and subsequent implementation.
The value to a company of knowledge is
immense. Therefore it stands to reason that
managing that knowledge must be a priority
and use of the knowledge an even greater
priority.
The importance Records Management has in
today’s business world is clearly demonstrated
by the announcement in January 2009 by the
President of the United States of America to
set aside billions of dollars from the financial
rescue package to pay for the implementation
of Electronic Records Management for the
healthcare industry. Further evidence of the
importance of Records Management can be
seen in the millions of dollars IBM and its
competitors are spending on TV commercials
and magazine advertising highlighting their
involvement with managing healthcare
records electronically.
However, Healthcare Records are not the only
area where an efficient and effective Records
Management strategy is viewed as critical to
business success. Banking, Financial Services,
Insurance, Pharmaceuticals, Oil  Gas,
Chemicals and Manufacturing are all business
areas that have begun to invest millions into
Records Management. In fact just about every
business and commercial sector is now
investing substantially into Records
Management.
At Chaucer both recently and in the past we
have had the privilege of working with one of
the world’s largest pharmaceutical companies
and one of the world’s largest financial services
companies to help both of them implement a
corporate wide Records Management
strategy.
In the case of the pharmaceutical company,
the project involved the retiring of multiple
Document Management applications and the
rolloutofanewglobaldocumentmanagement
solution. The financial services company
needed to migrate from a proprietary records
management solution into an open and
flexible solution that could manage access for
over 12,000 users on a daily basis. Both of these
projects involved a significant investment on
the part of the company but the rewards are
already being seen in dramatic reductions in
customer support times and record retrieval
efficiency especially in a significant reduction
in errors.
How Chaucer can help?
Chaucer has many years of experience in
Records Management spanning multiple
industries, we have helped companies write
strategy,implementastrategy,projectmanage
a rollout and review existing applications and
make suggestions for changes.
World class Records Management delivery
through-out an organisation can deliver
enormous benefits including cost savings.
Chaucer’s blend of process improvement and
delivery has been combined with deep
knowledge of Records Management to
position Chaucer as a leader in the delivery of
Records Management.
Paul Burke, Chaucer Consulting
paul.burke@chaucerconsulting.com
6
NickFaure
Talent
Management
alignment, succession planning, workforce
planning and employees’ motivation and
getting it right will deliver improved business
performance. In Chaucer’s experience, careful
engagement with key stakeholders as well as
rigorous and well defined deployment plans
will deliver success.
An integrated and efficient talent man-
agement approach will provide:
A stable foundation for a holistic view ofXX
talent that drives business results.
A sound basis that allows for continuousXX
talent improvement.
A positive environment to meet the chal-XX
lenge of a changing market place.
Talent management is a set of business prac-
tices that manage the identification, acquisi-
tion, development, retention of talent in order
to achieve business strategy and optimise
performance.
At Chaucer we have over the years worked
with human resources departments and busi-
ness partners in successfully developing and
implementing integrated
talent management
programmes for many
organisations.
Nick Faure, Chaucer Consulting.
nick.faure@chaucerconsulting.com
Continued from page 4
Managing Business Risk
The practise of Risk Management has matured to a
well defined process that can be applied throughout
an organisation.
As the current economic realities force businesses to closely evaluate where they should
optimise their investments in order to increase throughput and decrease operating
expenses, the implementation of risk management provides a supporting method for
doing this.
Certainly in the current challenging market environment and period of financial instability
and changes, risk management becomes a required tool that companies should consider at
every level.
Management of Risk
The Risk Management Process provides managers the tools to minimise exposure to risk. The
purposesoftheInitiatephaseistosetthescope,objectivesandcontextfortheriskmanagement
process and ensure a common understanding of the stage to which the risk management
process is to be applied (Strategy, Portfolio or Project).
A correct and detailed Identification of risks facilitates Assessing the probability of a particular
outcome actually happening, and will lead to the development of a risk Plan and hence it’s
Implementation to mitigate the risks occurring.
Monitoring that the execution of planned actions is having the desired effects is also important,
since signs that risks are developing can be detected early.
Risks should be analysed at the level at which they impact companies i.e. strategy, portfolio /
program or project.
Continued on page 7
7
Managing Business Risk
Strategy Risk Management
As the strategy is designed to establish the
long term goals for the company, the risk
management approach at this level will be
focused on the overall market and how best to
manage the threats and opportunities to
sustain competitive advantage.
Current economic conditions dictate that
organisations need to maximise their strategy
so that they have a sustainable future.
Reductions in access to capital make it even
more critical that companies have a clear
understanding of the risks and opportunities
they face.
Lending institutions are becoming more
stringent in the criteria they use to any
application for funding. By demonstrating a
strong risk management culture a company
will be well placed to be successful in the
restricted market place.
When applying risk management at the
strategy level within an enterprise it is
important to ensure that a holistic approach is
taken and that this also includes the vital
aspect of business as usual and any impact
that a new initiative or major change will have
from an organisational and operational as well
as a financial perspective.
Portfolio Risk Management
Corporate strategy needs to be translated into
business benefits that can be measured
objectively; in most cases this would be
achieved by a number of defined projects.
These projects can be part of a portfolio of
projects or constitute a program of projects. At
portfolio level the emphasis will be on
managing both risk and opportunity that
impact the individual projects or the portfolio
(or program) as a whole.
To ensure that projects are co-ordinated and
managed as a whole, they should be grouped
under a Portfolio or Program Management
Office (PMO). The PMO will make the best use
of resources such as manpower and finance.
They must be also responsible for ensuring
thatconflictsandconstraintsbetweenprojects
are identified and addressed.
As part of this approach, it is important to
ensure that the mix of projects (and business
as usual) initiatives included in the portfolio
combine in such a way that the overall risk
exposure is within acceptable organisation
criteria.
Project Risk Management
Whatever the scale of a project is, there will
inevitably be uncertainties associated with it
and it is important that these are managed
appropriately. The task of risk management is
to manage projects’ exposure to these
uncertainties. Risk management at a project
level focuses on keeping unwanted outcomes
to an acceptable minimum.
Project risk management is usually undertaken
on a workshop basis with all the key project
members participating. The risk workshop will
identify the risks, their likelihood of occurring
and the severity of their impact on the project.
Mitigating actions for all the identified risks
need to be included in any project plan or
schedule at the earliest opportunity.
Chaucer facilitate risk workshops regularly for
many different clients around the world and
help to incorporate the outcome of these
workshops into project plans thus mitigating
the risk to the project.
Continued from page 6
Why Continuous
Improvement?
In order to be and remain successful in to-
day’s market place, organisations are find-
ing that they must continually improve key
processes such as quality assurance, cost
management, and delivery structure. In-
creasing competition has made it a priority
for every organisation to increase and seek
advantage over rivals.
With the current recession revealing the
impact it left across virtually all sectors, the
quest for more efficiency and effectiveness in
all that a business does remains the key factor
that drives its competitive advantage.
MariaElenaCarrillo
Maria Elena Carrillo,
Chaucer Consulting
mariaelena.carrillo@chaucerconsulting.com
Continued on page 8
The Chaucer Way©
Continuous
Improvement
The Chaucer Way©
-
Continuous Improvement
A Strong Approach to Continuous
Improvement (CI)
Many managers see a culture of continuous
evaluation and improvement as an essential
tool to achieve and maintain this advantage.
The sustainability of the improvements pro-
posed by and implemented by people in the
work place is probably the strongest argument
in favour of CI. Many companies regard imple-
menting CI as a one-off exercise; it must be-
come part of the corporate culture.
Chaucer’s simple and flexible approach to
Continuous Improvement ensures success.
8
The Chaucer Way©
- Continuous Improvement
Renewable Program Management?
We are all familiar with the image of the
polar bear drifting forlornly on the melting
piece of ice, which has become one of the
iconic images to portray global climate
change. One of the suggested causes is the
continued use of fossil-based fuels as a
main source of energy.
In the UK the move towards a low carbon and
renewable fuel-based economy is in progress.
It will be driven not only by a better
understanding of global warming but also the
need to address the concerns of our national
energy security of supply given our current
dependency on imported fossil-based fuels,
both in terms of price stability and continuity
of supply.
It is not an understatement to say that moving
more to renewable energy generation is a
complex landscape. There are multiple
stakeholders who have differing views, there is
an extended and fragmented supply chain
that includes both advanced and changing
technology. There is also the environmental
licensing and land purchase situation coupled
with the fact that the sector is also highly
regulated and therefore subject to detailed
planning requirements.
Chaucer, as a leading program and change
management consultancy, has many years
experience of renewable projects and
programs and can therefore provide world
class program and project assurance necessary
to deliver these complex projects. We do this
by leading the co-ordination of multi-
disciplined work streams, closely managing
the interactions between numerous
stakeholders, contractual needs and balancing
the underlying risks and issues to successfully
deliver a program to the end-client’s
requirements in a cost effective manner.
Chaucer has been able to successfully employ
its proven methodology to assist clients
control complex and technically challenging
programs in this fast developing sector.
Within the low carbon economy Chaucer has
worked with several organisations on a variety
of projects including wave, wind, tidal, etc.
Continued on page 9
Continued from page 7
‘The Chaucer Way©’is Chaucer Consulting’s
suite of propriety methodologies. To learn
more about these or for more information
about The Chaucer Way©
- Continuous Improvement
methodology please
contact Deborah Feakins
The Chaucer Way©
- Continuous Improvement
is Chaucer Consulting’s methodology for the
successful implementation and management
of Continuous Improvement initiatives –
including tools and techniques.
The Chaucer Way©
- Continuous Improvement
is the result of more than 20 years of experience
in working and helping blue chip clients around
the world to improve their operations within the
oil  gas, petrochemicals, chemicals, power
generation, water utilities, financial services and
pharmaceuticals sectors.
The Japanese call it Kaizen.
Monitoring Regular monitoring of processes via effective
measures:
KPIs, Control Charts, Customer Satisfaction
Scores, Productivity, Quality etc. provide the
hard data to indicate which processes need
attention.
This is supplemented by complaints data
identifying those processes which are failing the
customer.
Analysis An established and trained group of operators
meet on a regular basis to review the data and
determine which processes need attention.
Improvement Improvement goals are agreed and work is
launched to identify root causes and improve
the process.
Measurement What gets measured gets done and this is a vital
step – the need to produce regular objective
evidence of performance.
It is a system of regular review of processes by internal staff –
usually representatives of the staff who operate the processes
- and the use of a range of effective techniques to make those
processes better.
DeborahFeakins
deborah.feakins@chaucerconsulting.com
9
Renewable Program Management?
One key consideration in all new and
innovative projects such as renewable energy
is in reducing costs to help improve return on
investment. Chaucer have also provided
extensive program and project assurance for
companies and organisations internationally,
these have included for example a US$750m
strategic technology investment in low carbon
initiatives. Chaucer’s contribution included:
Working with three specialist technologistXX
communities (Refining, Biofuels and Low
Impact Transportation) to prepare an in-
vestment support package for board ap-
proval.
Review of investment proposals, identifi-XX
cation and analysis of business benefits,
constructing capability development pro-
grams (people and technology infrastruc-
ture), risk identification and mitigation,
and review of IP strategy.
Design and implementation of post-XX
approval funding governance structures
and ongoing portfolio performance man-
agement.
The above examples demonstrate that
Chaucer Consulting is at the forefront of the
Renewable Energy sector and thus able meet
the challenges of projects and
programs being embarked
upon in order to move to a
low carbon economy.
Continued from page 8
AlistairReeves
Alistair Reeves,
Chaucer Consulting
alistair.reeves@chaucerconsulting.com

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Knowledge and change management strategies

  • 1. In this issue: Quarterly Review The Issue Five March 2010 1-2 The‘One Room’Company! 3-4 System Implementation 4&6 Talent Management 5 What is Records Management (RM)? 6-7 Managing Business Risk 7-8 Continuous Improvement 8-9 Renewable Program Management? The‘One Room’Company! Continued on page 2 Much is said, and much is misunderstood, when discussing the benefits of pursuing a strategy for managing an organisation’s knowledge.Why do I say that, when after all, we all know that it requires us to capture the ‘tacit’ knowledge that exists in our people’s heads and enter it into a knowledge system so that resultant transformed ‘explicit’ knowledge, is available for all to share and exploit for the benefit of the organisation? Most organisations are also aware that knowledge capture is different to capturing data. It’s not about technology either, and it requires a shift in the behaviour of individuals if it is to succeed. Why then are so many organisations disillusioned with their attempts to harness the knowledge within their organisation, or‘intellectual capital’as they understand it is to be called? More often than not their attempts at delivering a KM strategy flounder before any business benefits can be realised and observed. I have often said that if all of your people worked in one room then you would not require a strategy to tap into everyone’s collective experience and learning.You would merely have to ask out aloud, what it was you needed to know, and someone would provide you with the answer or would be able to tell you where you could find it. Let’s put everyone in one room then. There are many truisms in my opening remarks. Behaviour is key, and although technology doesn’t provide the entire answer, today’s technology provides opportunities for the well thought-out KM strategy. For a large organisation with thousands of people located across the globe, sharing anything, let alone their knowledge is a challenge, so why not put them in one room. The technology permits you to build one room, albeit virtually, that everyone can occupy, across time- zones, where everyone can be heard and most questions can be answered instantaneously. I’ve been in one. So you have your room. What knowledge do you want to share? Now it becomes a bit trickier. Your knowledge management strategy needs to be aligned to your business strategy. Again, you probably know that. More importantly the knowledge that you capture needs to be exploited commercially. If it doesn’t lead to an increase in shareholder value then why bother. The challenges of today’s business are in- creasingly demanding. At Chaucer we are always looking for new ways to make things easier for our clients. The Chaucer Quarterly Review is a selection of business topics that we believe can pro- vide you, or your colleagues, with an insight into practical approaches and solutions that may be of interest. Companies need to change for many rea- sons particularly so during these challenging times. An area of change that businesses struggle with is‘Communications & Engage- ment’. Our experience is that companies do well in communicating change but rarely allow enough space or time for the engage- ment part of the change process and, con- sequently, the change partly or completely fails with the result that few or no benefits are achieved. At Chaucer we have a unique approach to successful Change Management, it is simply known as ‘The Chaucer Way – Change Management’ and it is tried, tested and proven. To find out more contact me. 2010 Bob Laslett, Global CEO bob.laslett@chaucerconsulting.com BobLaslett (Knowledge Management) Welcome to our latest quarterly.
  • 2. 2 The‘One Room’Company! (Knowledge Management) “You eventually own a docu- ment management system with a knowledge manage- ment badge on the front of it ” No matter how well intentioned, most organisations eventually find that they own a document management system with a Knowledge Management badge on the front of it. The potential for keeping knowledge in people’s heads and accessing just the bits that you want when you want them remains an alien concept. Knowledge, things written in documents, becomes stale. The reason for visiting the company’s knowledge system is no longer compelling, if it ever was. Knowledge Management is not Document Management So what can you do to ensure that you don’t unwittinglydevelopadocumentmanagement system? First of all don’t fixate on encouraging your people to transfer all of their experiences to documents. Leave it in their heads if you can, there it remains as knowledge. Access it when and if it is required. How do you find it? Create some sign-posts. Signposting is a technique for identifying the people who can most probably answer your question. Create communities of interest. Put people together who have a shared interest in a business need or business opportunity. Put them in the ‘room’, or their own ‘room’. They can then ask out aloud “who knows who and who knows what”.They don’t even have to put it into a document. Develop a knowledge sharing culture. Individuals, to paraphrase Adam Smith, are for the most part motivated by serving their own self interest. Address the question of “what’s in it for me” by ensuring that they not only benefit from accessing and exploiting the knowledge of others but are rewarded for providing knowledge to others. In a successful knowledge sharing environment this is achieved by exerting peer pressure to share knowledge, and aligning your performance process to reward collaboration and sharing of knowledge.You just need to make transparent who the providers are and who are the takers. Remember that a knowledge sharing organisation is also a learning organisation. You just need to know what you need to learn. “I have never been convinced that you can actually manage knowledge, I prefer to think of it as orchestrating the organic” Critically, it is the behaviour of your leadership team that will determine the success of your KM strategy. They need to ‘walk the talk’ embrace and enter the ‘one room’ and as the ‘knowledge elders’ of the ‘knowledge settlement’ and hand down their knowledge by telling stories. Yes, story telling is a key component of your knowledge management strategy. I have never been convinced that you can actually manage knowledge. I prefer to think of it more as ‘orchestrating the organic’ in terms of growing the collective knowledge capability. How Chaucer can help? Chaucer can help you ensure that you select the right approach for identifying the appropriate knowledge journey for your organisation. We might not know what knowledge, if exploited, will grow your business, but we have a ‘way’ of leading you through your journey of discovery, see ‘The Chaucer Way – Knowledge Management’ Rob Taylor is lead consultant for knowledge management at Chaucer Consulting. He studied at the Aston University Business School and the IESE Business School, University of Navarra, Barcelona. He was previously Director of Knowledge Management at 3i Group and has presented on Knowledge Management at various forums. Rob Taylor, Chaucer Consulting rob.taylor@chaucerconsulting.com RobTaylor Continued from page 1
  • 3. IT Projects: System ImplementationsXX Systems/business analysisXX System/documentation/database consolidationXX Documentation/data managementXX Documentation/data management etc.XX IT Skills: Business reqXX uirements gathering System interdependency mappingXX Act as an interface between technicalXX business workstreams Migration cutover planningXX Strategic deployment model creationXX Security model imXX plementation Project/Change Management: Both‘Soft’ Hard’skillsXX Rigor, discipline and structure throughXX The Chaucer Way - Project Management Engagement, advocacy and supportXX through The Chaucer Way - Change Management Approach/Style: We turn concept into realityXX We embrace your goalsXX Delivery focusedXX Pragmatic and flexibleXX (approach mindset) Skilled experienced navigatingXX complex organisations How Chaucer can help ensure success... Deep Sector Experience Global Experience3 System Implementation Continued on page 4 A system implementation is, on the face of it, very straight forward: either for strategic or tactical reasons a system, or systems, is deemed to be insufficiently meeting the needs of the organisation. This could be for any number of reasons; insuf- ficient functionality, audit/inspection findings, content duplication through multiple systems or as a result of a change in organisational cir- cumstance e.g. merger/acquisition. The premise is therefore wholly straight forward you take the system that does not meet the organisations needs and replace it with one that does. The new system is bound to be faster, easier to retrieve content, have increased functionality and of course meets the go forward business needs. Behind such a simple premise is a myri- ad of issues ranging from identifying what precisely the go forward organisation actually needs, navigating complex internal politics organisational boundaries and then overcom- ing the actual logistics of ‘swapping’ systems with minimal disruption to all important ‘Busi- ness as Usual’. In the post recession era the continuity of business as usual will take on even greater significance as less staff are avail- able to complete day to day tasks. This is espe- cially so for ‘secondary’ business objectives such as system updates/implementations. An effective system implementation com- mences, as any good project should, with a solid business case and a clearly defined scope. The criticality of dedicating sufficient time, to ensure that they are performed correctly, can- not be stressed enough. A system implemen- tation is an opportunity to realise benefits through synergies and efficiencies but defin- ing and ensuring executive leadership buy-in to the project’s scope is paramount. Why? It will inevitably prove costly in time, resource and dollars if you initiate a system implemen- tation and find that a critical business line/ unit’s needs have been overlooked or worse yet; considered and then discarded inappro- priately. Our experience tells us that getting the scope/requirements wrong upfront will deliver a system that is at best as good as the current solution or at worst...worse! However, defining the scope and then subse- quently the business/functional requirements isonly thefirst hurdle. Ensuring thattheproject is delivered on time, to budget and quality must be addressed and managed effectively. Furthermore, other associated activity that ac- tually makes or breaks an implementation is often underestimated, namely; securing senior and middle management advocacy for the project and its objectives, as well as reviewing updating business processes and ensuring a fit for purpose support network exists that covers both technical (IT) issues and also busi- ness issues. An organisation can have the best ‘new’system but if the business does not use it or do not know how to use it the projects ROI can never be realised. Chaucer has a rich heritage and a deep rooted skill set and expertise in supporting clients of all industries with their system implementa- tion projects. We have supported… Pharmaceutical organisations radicallyXX overhaul their document/data manage- ment systems Oil and Gas majors with HR system assess-XX ments, implementations consolidations Financial services organisations transformXX their systems for product to customer centric (as well as consolidating a fair number of systems too!) Online financial and gaming organisationsXX upgrade and implement new customer trading interfaces Retail organisations implement new CRMXX system’s As well as supporting many other indus-XX tries and clients implement new customer, document/data management systems All of the examples sighted above are real projects that Chaucer has undertaken in the
  • 4. 4 System Implementation past three years. Our involvement has been varied from supporting the totality of the project e.g. Strategic Planning, Project Management, Deployment etc. to supporting specific work streams e.g. Change Management. What makes Chaucer the ideal partner for your system implementation needs. Put simply the challenges and requirements of a system im- plementation draw on many of our core capa- bilities.Project/ProgramManagement,Change Management, Business Analysis and Business Process Re-engineering are at the very heart of our offer and what we do best. Coupled with our real “hands on” experience and successful delivery record we are an ideal partner and often act as a bridge between the technical and business elements of any systems imple- mentation. System implementations… facile or fiendish, you decide! Talent management is a set of business practices that manage the identification,acquisition, developmentandretentionoftalentinordertooptimiseperformancewithinanorganisation so that it achieves its strategic business objectives. At Chaucer we believe that some organisations fail to effectively manage talent because they are addressing it as a simple recruiting exercise. Organisations might be very good at attracting some talent but not necessarily at attracting the right talent nor at keeping and developing it. The first challenge is to translate an organisation’s strategy into a clearly defined set of roles and for those roles to be built on a specific technical and leadership capability framework. This will be the first step at describing what talent is required, and will also provide the basis to assess existing and future talent, thus enabling the identification of potential gaps and articulating optimal career development programmes. PhillipWallis Phill Wallis, Chaucer Consulting phillip.wallis@chaucerconsulting.com Talent Management The Talent Challenge Continued from page 3 Knowing what talent is needed is an essential pre-requisite for any organisation. Attracting talent is not just about offering the biggest paycheck, it is about having a fully defined value proposition of which money is one element. As important as money is the clear demonstration of a fully articulated and integrated career progression plan as part of a well defined career development programme or programmes, this is essential. A compre- hensive talent management approach will provide any organisation with the necessary support for a strong value proposition. The recent economic crisis has once again proven that organisations do not operate in a fixed market environment. Adaptability is the key; organisations that will come out of this current crisis with stronger potential will be the ones that have displayed the highest adaptability. Efficient talent management should not be any different. As organisations need to change their strategy, the talent required to deliver it should also be able to change. In summary an integrated talent man- agement approach requires: An understanding of your needs.XX A fully defined capability framework.XX The continuous assessment of talent.XX The development of robust programmesXX to close any potential gaps. Providing an integrated talent management approach means that any changes in the busi- ness environment can easily be incorporated into this integrated approach to enable your talent to remain talented to successfully sup- port the achievement of the strategy. Optimal deployment of talent is probably the most challenging element of talent manage- ment. It is an equation between business Continued on page 6
  • 5. PaulBurke 5 What is Records Management (RM)? If you were to ask 10 people in 10 different companies what they thought Records Management (RM) meant, you would probably get 10 different answers. This doesn’t mean that any of them are wrong; it just highlights what a diverse topic Records Management actually is. At Chaucer Consulting, we believe Records Managementisbestthoughtofasanumbrella, under which Document Management (both Electronic and Paper), Data Base Management, Content Management and Knowledge Management can all be included. All of these sub categories include the management of any piece of information a company uses to generate business, support business, manage transactions, monitor experiments, make decisions, prepare contracts, maintain personnel records, and keep a record of just about everything a company or organisation does. Perhaps this is best illustrated by the explosion in the Knowledge Management (KM) market. Many companies are now employing a full time KM resource who is being tasked with implementing a corporate wide KM strategy. If thecompanyisnothiringfulltimeKMresource they are hiring KM consultants to help with the strategy and subsequent implementation. The value to a company of knowledge is immense. Therefore it stands to reason that managing that knowledge must be a priority and use of the knowledge an even greater priority. The importance Records Management has in today’s business world is clearly demonstrated by the announcement in January 2009 by the President of the United States of America to set aside billions of dollars from the financial rescue package to pay for the implementation of Electronic Records Management for the healthcare industry. Further evidence of the importance of Records Management can be seen in the millions of dollars IBM and its competitors are spending on TV commercials and magazine advertising highlighting their involvement with managing healthcare records electronically. However, Healthcare Records are not the only area where an efficient and effective Records Management strategy is viewed as critical to business success. Banking, Financial Services, Insurance, Pharmaceuticals, Oil Gas, Chemicals and Manufacturing are all business areas that have begun to invest millions into Records Management. In fact just about every business and commercial sector is now investing substantially into Records Management. At Chaucer both recently and in the past we have had the privilege of working with one of the world’s largest pharmaceutical companies and one of the world’s largest financial services companies to help both of them implement a corporate wide Records Management strategy. In the case of the pharmaceutical company, the project involved the retiring of multiple Document Management applications and the rolloutofanewglobaldocumentmanagement solution. The financial services company needed to migrate from a proprietary records management solution into an open and flexible solution that could manage access for over 12,000 users on a daily basis. Both of these projects involved a significant investment on the part of the company but the rewards are already being seen in dramatic reductions in customer support times and record retrieval efficiency especially in a significant reduction in errors. How Chaucer can help? Chaucer has many years of experience in Records Management spanning multiple industries, we have helped companies write strategy,implementastrategy,projectmanage a rollout and review existing applications and make suggestions for changes. World class Records Management delivery through-out an organisation can deliver enormous benefits including cost savings. Chaucer’s blend of process improvement and delivery has been combined with deep knowledge of Records Management to position Chaucer as a leader in the delivery of Records Management. Paul Burke, Chaucer Consulting paul.burke@chaucerconsulting.com
  • 6. 6 NickFaure Talent Management alignment, succession planning, workforce planning and employees’ motivation and getting it right will deliver improved business performance. In Chaucer’s experience, careful engagement with key stakeholders as well as rigorous and well defined deployment plans will deliver success. An integrated and efficient talent man- agement approach will provide: A stable foundation for a holistic view ofXX talent that drives business results. A sound basis that allows for continuousXX talent improvement. A positive environment to meet the chal-XX lenge of a changing market place. Talent management is a set of business prac- tices that manage the identification, acquisi- tion, development, retention of talent in order to achieve business strategy and optimise performance. At Chaucer we have over the years worked with human resources departments and busi- ness partners in successfully developing and implementing integrated talent management programmes for many organisations. Nick Faure, Chaucer Consulting. nick.faure@chaucerconsulting.com Continued from page 4 Managing Business Risk The practise of Risk Management has matured to a well defined process that can be applied throughout an organisation. As the current economic realities force businesses to closely evaluate where they should optimise their investments in order to increase throughput and decrease operating expenses, the implementation of risk management provides a supporting method for doing this. Certainly in the current challenging market environment and period of financial instability and changes, risk management becomes a required tool that companies should consider at every level. Management of Risk The Risk Management Process provides managers the tools to minimise exposure to risk. The purposesoftheInitiatephaseistosetthescope,objectivesandcontextfortheriskmanagement process and ensure a common understanding of the stage to which the risk management process is to be applied (Strategy, Portfolio or Project). A correct and detailed Identification of risks facilitates Assessing the probability of a particular outcome actually happening, and will lead to the development of a risk Plan and hence it’s Implementation to mitigate the risks occurring. Monitoring that the execution of planned actions is having the desired effects is also important, since signs that risks are developing can be detected early. Risks should be analysed at the level at which they impact companies i.e. strategy, portfolio / program or project. Continued on page 7
  • 7. 7 Managing Business Risk Strategy Risk Management As the strategy is designed to establish the long term goals for the company, the risk management approach at this level will be focused on the overall market and how best to manage the threats and opportunities to sustain competitive advantage. Current economic conditions dictate that organisations need to maximise their strategy so that they have a sustainable future. Reductions in access to capital make it even more critical that companies have a clear understanding of the risks and opportunities they face. Lending institutions are becoming more stringent in the criteria they use to any application for funding. By demonstrating a strong risk management culture a company will be well placed to be successful in the restricted market place. When applying risk management at the strategy level within an enterprise it is important to ensure that a holistic approach is taken and that this also includes the vital aspect of business as usual and any impact that a new initiative or major change will have from an organisational and operational as well as a financial perspective. Portfolio Risk Management Corporate strategy needs to be translated into business benefits that can be measured objectively; in most cases this would be achieved by a number of defined projects. These projects can be part of a portfolio of projects or constitute a program of projects. At portfolio level the emphasis will be on managing both risk and opportunity that impact the individual projects or the portfolio (or program) as a whole. To ensure that projects are co-ordinated and managed as a whole, they should be grouped under a Portfolio or Program Management Office (PMO). The PMO will make the best use of resources such as manpower and finance. They must be also responsible for ensuring thatconflictsandconstraintsbetweenprojects are identified and addressed. As part of this approach, it is important to ensure that the mix of projects (and business as usual) initiatives included in the portfolio combine in such a way that the overall risk exposure is within acceptable organisation criteria. Project Risk Management Whatever the scale of a project is, there will inevitably be uncertainties associated with it and it is important that these are managed appropriately. The task of risk management is to manage projects’ exposure to these uncertainties. Risk management at a project level focuses on keeping unwanted outcomes to an acceptable minimum. Project risk management is usually undertaken on a workshop basis with all the key project members participating. The risk workshop will identify the risks, their likelihood of occurring and the severity of their impact on the project. Mitigating actions for all the identified risks need to be included in any project plan or schedule at the earliest opportunity. Chaucer facilitate risk workshops regularly for many different clients around the world and help to incorporate the outcome of these workshops into project plans thus mitigating the risk to the project. Continued from page 6 Why Continuous Improvement? In order to be and remain successful in to- day’s market place, organisations are find- ing that they must continually improve key processes such as quality assurance, cost management, and delivery structure. In- creasing competition has made it a priority for every organisation to increase and seek advantage over rivals. With the current recession revealing the impact it left across virtually all sectors, the quest for more efficiency and effectiveness in all that a business does remains the key factor that drives its competitive advantage. MariaElenaCarrillo Maria Elena Carrillo, Chaucer Consulting mariaelena.carrillo@chaucerconsulting.com Continued on page 8 The Chaucer Way© Continuous Improvement The Chaucer Way© - Continuous Improvement A Strong Approach to Continuous Improvement (CI) Many managers see a culture of continuous evaluation and improvement as an essential tool to achieve and maintain this advantage. The sustainability of the improvements pro- posed by and implemented by people in the work place is probably the strongest argument in favour of CI. Many companies regard imple- menting CI as a one-off exercise; it must be- come part of the corporate culture. Chaucer’s simple and flexible approach to Continuous Improvement ensures success.
  • 8. 8 The Chaucer Way© - Continuous Improvement Renewable Program Management? We are all familiar with the image of the polar bear drifting forlornly on the melting piece of ice, which has become one of the iconic images to portray global climate change. One of the suggested causes is the continued use of fossil-based fuels as a main source of energy. In the UK the move towards a low carbon and renewable fuel-based economy is in progress. It will be driven not only by a better understanding of global warming but also the need to address the concerns of our national energy security of supply given our current dependency on imported fossil-based fuels, both in terms of price stability and continuity of supply. It is not an understatement to say that moving more to renewable energy generation is a complex landscape. There are multiple stakeholders who have differing views, there is an extended and fragmented supply chain that includes both advanced and changing technology. There is also the environmental licensing and land purchase situation coupled with the fact that the sector is also highly regulated and therefore subject to detailed planning requirements. Chaucer, as a leading program and change management consultancy, has many years experience of renewable projects and programs and can therefore provide world class program and project assurance necessary to deliver these complex projects. We do this by leading the co-ordination of multi- disciplined work streams, closely managing the interactions between numerous stakeholders, contractual needs and balancing the underlying risks and issues to successfully deliver a program to the end-client’s requirements in a cost effective manner. Chaucer has been able to successfully employ its proven methodology to assist clients control complex and technically challenging programs in this fast developing sector. Within the low carbon economy Chaucer has worked with several organisations on a variety of projects including wave, wind, tidal, etc. Continued on page 9 Continued from page 7 ‘The Chaucer Way©’is Chaucer Consulting’s suite of propriety methodologies. To learn more about these or for more information about The Chaucer Way© - Continuous Improvement methodology please contact Deborah Feakins The Chaucer Way© - Continuous Improvement is Chaucer Consulting’s methodology for the successful implementation and management of Continuous Improvement initiatives – including tools and techniques. The Chaucer Way© - Continuous Improvement is the result of more than 20 years of experience in working and helping blue chip clients around the world to improve their operations within the oil gas, petrochemicals, chemicals, power generation, water utilities, financial services and pharmaceuticals sectors. The Japanese call it Kaizen. Monitoring Regular monitoring of processes via effective measures: KPIs, Control Charts, Customer Satisfaction Scores, Productivity, Quality etc. provide the hard data to indicate which processes need attention. This is supplemented by complaints data identifying those processes which are failing the customer. Analysis An established and trained group of operators meet on a regular basis to review the data and determine which processes need attention. Improvement Improvement goals are agreed and work is launched to identify root causes and improve the process. Measurement What gets measured gets done and this is a vital step – the need to produce regular objective evidence of performance. It is a system of regular review of processes by internal staff – usually representatives of the staff who operate the processes - and the use of a range of effective techniques to make those processes better. DeborahFeakins deborah.feakins@chaucerconsulting.com
  • 9. 9 Renewable Program Management? One key consideration in all new and innovative projects such as renewable energy is in reducing costs to help improve return on investment. Chaucer have also provided extensive program and project assurance for companies and organisations internationally, these have included for example a US$750m strategic technology investment in low carbon initiatives. Chaucer’s contribution included: Working with three specialist technologistXX communities (Refining, Biofuels and Low Impact Transportation) to prepare an in- vestment support package for board ap- proval. Review of investment proposals, identifi-XX cation and analysis of business benefits, constructing capability development pro- grams (people and technology infrastruc- ture), risk identification and mitigation, and review of IP strategy. Design and implementation of post-XX approval funding governance structures and ongoing portfolio performance man- agement. The above examples demonstrate that Chaucer Consulting is at the forefront of the Renewable Energy sector and thus able meet the challenges of projects and programs being embarked upon in order to move to a low carbon economy. Continued from page 8 AlistairReeves Alistair Reeves, Chaucer Consulting alistair.reeves@chaucerconsulting.com