MRO Software Product Selection Implementation And Beyond

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MRO Software Product Selection Implementation And Beyond

  1. 1. 1st Annual Aircraft Friday 4th May 2012 London,Records UKConference
  2. 2. MRO Software: Product Selection - Implementation andBeyond “Initiation of the Implementation” Wes Parfitt, CEO, EnvelopeAPM Inc.
  3. 3. 3World MapIndividual countries for company representation for today
  4. 4. Hello,My Name is Wes ParfittCertified PM PMI-Project Management ProfessionalLead QMS AuditorLead Aerospace Industry Experienced Auditor
  5. 5. AUSTRALIAN
  6. 6. CANADIAN
  7. 7. Aviation Maintenance Software “The Numbers”  200 + MRO M&E, Aviation Maintenance Software providers worldwide in 2012.  100 + within the last 5 years.
  8. 8. Regulatory Requirements Regulations demand the exact same diligence for conditional worthiness management. Functionality of the M&E software must meet the same regulations regardless of size of the fleet. If all operators must follow the same Regulators functions of monitoring & control then why is neeccassary to have different MRO software? Generally it‟s the Cost V‟s functionality
  9. 9. Lack of understandingOver a decade working with MRO software projects, I have found thatone of the most difficult challenges for implementation is the lack ofeducation and understanding of MRO M&E; aircraft maintenancesoftware.The other main challenge is a limited knowledge of the true scale of aproduct implementation from operators and upper management.
  10. 10. Investments neededFor successful implementation to take place, a certain number ofinvestments are required. It requires an investment of financial resources, time, and staff. Other important points are enthusiasm, determination, decision making, planning, execution and continuous improvement.
  11. 11. The right time Projects are always desirable and generally someone is always pushing for them to happen immediately. The key is to examine whether the project is right for the present time and situation. Analysis must be done to see what projects are already in place and how the initiation of another may impact them or vice versa. Many operators tend to already have too many projects in place and it is almost impossible for them all to succeed. Since all projects require access to limited or even scarce resources, it is vital that each project has a clear reason for existing. It must be determined that the present time and situation are right for the project and whether the existence of this project might effect the success of another.
  12. 12. Aircraft Maintenance Software – Implementation Cycle
  13. 13. Defining the problem - GraspWithout a grasp on the project direction, you simply will not succeed inthe delivery.MRO IT systems, aircraft maintenance software cost a great deal toimplement and you definitely do not want to find that you have gonethrough the expense for nothing; so be sure that you have defined theproblems identified and to be overcome with the induction of a newsystem
  14. 14. Business case – Before you can select a new MRO software you must establish the need, although many can establish the problem, not everyone can establish the specific requirements for new M&E software. The perceived need is usually overshadowing the actual need. Too many times in the aviation industry, software is selected by operators when staff move between different organisations. New operators typically ask for a new software system based on their experience working with different software at their previous employment at another organisation. Purchasing new software because someone asked for it will not necessarily solve the situation.
  15. 15. Business case – Not enough information Simply not having enough information to generate a clear and effect appreciation of what is required of the new software and whether or not the legacy system replacement will even bring a positive situation to the business, in some cases you are simply changing from one lacking program to possibly another with a whole set of additional issues. This is an example of when some organisations try to implement a solution without understanding the actual issue in the first place. The organisation is trying to generate a solution to problems which have never properly been established. Implementing an MRO solution is a difficult practice. It is important that the organization makes the correct decisions when selecting the best MRO IT for their purposes. Consideration must be given to projected growth, long term abilities and the investigative factors when selecting the MRO IT package. This practice is difficult for a typical MRO or engineering department that simply have limited exposure and knowledge about the MRO IT environment, the selection process and benchmarking involved in the required deliverables.
  16. 16. Defining the problem - Grasp Precisely define the problem you are trying to solve by replacing you aircraft Maintenance software. Specific businesses processes you need to systematize? Shorten processing lead times or reduce extensive paper shuffles Legacy system simply no longer being supported?
  17. 17. Defining the problem – Feasibility Study Selection process should begin with precisely defining the problem. You must define the requirements, needs, wants and expectations. you must consider who will conduct the feasibility study? Do you have the internal resources? If so, are these resources the best to manage such a study?
  18. 18. Defining the problem –Feasibility Study / Necessary experience  Internal team or outside consulting firm must have the necessary experience in conducting these types of studies.  They should also be knowledgeable in the project subject matter, in our case of MRO software.  They should be fair and critical, They should remain unbiased and make sure that they are not swayed by the glitz and glamour of sales representatives.  The feasibility study team needs to remain emotionally unattached to certain software over others. They must keep an open mind. It is important that all necessary data is collected, analyzed and presented so that the best decision can be made.
  19. 19. Defining the problem –Feasibility Study / The outcome  The feasibility study is to provide management with the information they need to make the best decision possible, to go ahead with the procurement and implementation of a new MRO software or not.  The only way this can be achieved is with an extensive study of the current legacy including shortfalls of that product and future developments expected from the vendor.  Comparisons of current functionalities of other MRO software systems must also be included in the study. The feasibility study will show the present needs and wants and it will also look into the financial and operational impacts of implementing a new product. -
  20. 20. Identify and establish the Project Sponsor (either an individual or a committee)  The project sponsor holds the accountability for the project.  They will be responsible for the project remaining on track.  This means they should meet with the project managers regularly and review the project time lines and key milestones regularly.  Part of their job is to hold project managers accountable for hitting project objectives throughout the project and to ensure that the project managers continue to produce the deliverables that were established within the project scope.  The sponsor should be available and be consistently accessible to the management team.
  21. 21. Identify and establish the Project Sponsor (either an individual or a committee)  The sponsor and project manager must establish a partnership and/or a good working relationship as well as develop an environment that will allow for a successful project result.
  22. 22. Project Sponsor -Should the project sponsor not understand the project, the projectmay not be identified as a priority and without that crucial support, theproject will lack investment of interest and as such, of capital!The project sponsor will champion the project within the organization,secure spending authority and resources, and provide support to theproject manager. At this point, the sponsorship of the project must beconfirmed and securing approval early in the project managementlifecycle helps to ensure a commitment to the project.
  23. 23. Development of Project Charter – Objective  The Project Charter is the objective of a proposal which, in our example, is to evaluate the possibility of replacing the current MRO Software program. The project charter must be established in a formal document.  Write everything down on paper this will help in establishing a commitment among project team members as well as between the team and the project stakeholders. You may wish to further define the business objectives, which in the case of MRO M&E software replacement might include objectives such as web-based aviation management software program, the ability to integration or transfer of data from/to current systems, planning/maintenance scheduling / forecasting / tracking, reliability monitoring, electronic library management, integration with third party document management systems, etc.
  24. 24. Develop Project Scope This activity is one of the most important, the project scope statement also serves as a launching board for the project. The project scope can be a large document or a simple one or two-page manifesto. So how big does this thing have to be? Well, take it from me, larger projects typically require more detail than smaller projects. In other words, the bigger the project, the longer it‟s going to take to create the project scope statement, and the more information you‟ll need to include in the document. The scope is the formal definition of the project and what needs to be accomplished. It should address and document the characteristics and limitations of the project. It will establish the methods of acceptance and scope control. Information from the initiator or the project sponsor will typically be used to develop the scope. The scope will define the parameters of the project and this can include the vision.
  25. 25. Develop Project Scope This document will be the foundation of the forthcoming steps required to complete the project cycles and the scope must make the direction clear by focusing on the project’s final outcomes. During the devolvement of the scope the team will have the ability to define a vision. Having a clear vision and scope will avoid confusion among staff and stakeholders. It will be clear where the project ends. There is a risk with an under-defined scope, in the case of the implementation of an MRO system that it becomes a never ending implementation. The scope statement should include the description, acceptance, deliverables, exclusion, contracts and assumptions. It will and must represent an understanding between the team members of the project. This understanding helps in communication among the stakeholders as well as for defining authorities and setting limits for the project manager and team. The scope statement includes how the project is related to business objectives. It also defines the boundaries of the project in multiple dimensions including approach, deliverables, milestones, and budget. A scope statement can be a brief document or a full-fledged document, or an example of a simple scope brief may be ”To implement Aircraft Maintenance Management System-MRO M&E software for said company Maintenance & Engineering personnel by November 1, 2012 that will provide users with the most efficient, “real time” software program that allows visibility to the fleet status”.
  26. 26. Initial Project Team One of the major factors in predicting success for any project is selecting the right project manager. Project management is both a science and an art. More than planning and project execution, involving maintenance of schedules and budgets plus requiring considerable project management skills. This is where the project manager comes into play. For a project to be successful, the project manager must have the backing and support of upper management, and that can sometimes be tough. If the project manager wants to please everyone, he/she is not the right person for the role. The project manager ensures that the deliverables are met regardless of whose toes he/she needs to step on to get the job done.
  27. 27. People Insufficient resources and an insufficient number of team members will also play a major role in the project‟s success or failure. A lack of resources or insufficient resources required for the MRO software implementation will lead to failure or serious problems in achieving the project objectives and milestones. The system needs proper infrastructure and resources for its successful implementation. Choosing the right people and the right team is a key contributor to success. Team members must all possess the necessary skills and must be willing to be involved in the project. The right people will be enthusiastic about the project.
  28. 28. PeopleThe team may be small and may include, as a minimum, the managerand a small group of individuals who can provide support in the initialstages of the project and perhaps take more leadership roles shouldthe project be approved.Generally, the project sponsor will take the lead in the selection of theteam individuals within the engineering department. In his selection,the sponsor should include people who can make decisions about theproject, can ensure that the project is fully resourced to achieve itsdesired result, and be those who are most affected by the project.Ideally, the team can include members from outside the organizationas well.This team may be selected from internal resources or an InternalPMO (project management office), or may be an outsourced projectmanagement firm (ex: EnvelopeAPM Inc.)
  29. 29. People - Lack of manpower Once a project starts to fail because of lack of manpower, it is difficult to negotiate for the additional time and money which will be necessary to ensure success. A commitment to enough manpower resources must be settled upon before starting the project implementation. A complete resource analysis should be carried out in the initial phase to justify the expenditure and need. With respect to the implementation and possible success of your project, you may additionally need to identify other external resources such as facilities, equipment and managerial staff. These resources are a major cost and will impact the budget. Failure to identify outside resource costs could place a considerable burden on the project; however utilization of outside specialists or consultants may reduce this risk.
  30. 30. Development of methodologies  There are several ways for assuring project realization and success. We can do this with the development of methodologies and quality processes that are now considered standard. Despite the existence of standard methodologies, projects still fail because companies do not have them in place in the organization as policy. You must set in place your company project management methodologies. Without them, projects undertaken in your organization simply have no foundation for success.
  31. 31. Training Extensive training programs need to be given to users to overcome implementation troubles. The users of a newly implemented MRO IT software must be given sufficient time to understand the new system and get used to it. They should be allowed more time to learn the system logically as well as being provided with opportunities to work through complete system workflows perhaps with small workshop scenarios prior to the „go live‟ phase.
  32. 32. Training initial investment of time and support for new users will give greater returns into the future operation of the system. When we look at training programs we must look at the benefits, advantages and value of trained and knowledgeable staff, as they are the foundation for MRO software implementation and future operations. For the greatest return on your investment with your system, users must fully understand the software capabilities. Training must focus on technical and non-technical aspects. Training programs should be defined for each level of user.
  33. 33. Project Failure Often companies that implement MRO IT systems have only a vague notion of what deliverables they want to see from implementation of a new system, and this is really where companies should focus their attention. Most aviation software implementations have a terrible implementation record as do software implementations generally for that matter. A study by PwC (PricewaterhouseCoopers) concluded that “half of all projects fail, and only 2.5% of corporations consistently meet their targets for scope, time and cost goals for all types of projects” - www.pwc.com.
  34. 34. Project Failure Why do software implementation projects fail? There are lots of reasons such as poor sponsorship, weak reporting and communication and a lack of management leading to improper control of the project. Other reasons for which projects fail include poorly defined objectives, poor planning, continued utilization of old technologies, lack of project management methodologies and utilizing poorly trained or inexperienced staff with insufficient levels of knowledge. The number one reason for failure is that project managers often fail to set a clear direction for the project. Without a clear direction, their projects suffer scope creep, cost overruns and delays.
  35. 35. Change management Change is difficult for most people and companies and it must be managed; but it is inevitable and so staff must be flexible. The software company and the software itself will often introduce changes, including to roles, responsibilities, procedures and processes. Your management team must be able to deal with these changes, adapt and continue to control the project. Where there is a lack of information, there will be lack of control over the change. Remember, to overcome resistance to change is to give clear communication and education. Resistance usually comes from fear so educating the employees will reduce this. Some people will resist change and will have adjustment issues and some employees will simply have anxieties during these transition periods. These employees should be supported. Management needs to be supportive. Special training programs may be required. People and departments will be greatly affected because of the implementation of a new MRO IT system. Some individuals may lose considerable power that they currently hold within the old system and will resist change as much as possible.
  36. 36. Excess customisation Excess customization and multi-location implementation can have an effect on the system. Many modern MRO systems allow for some customization, however too many alterations to suit the requirements of the business outside of the initial intended use can and will cause issues if the product is customized to fit the organization and not the organization to fit the product. The risk is that the software will have too many alterations which can change the software totally and result in project failure. A little customization is helpful but too much can lead to errors in the implementation. Initially, it is best to allow the software to operate off the shelf; then, only after running-in, production and a gap analyses, implement the required customizations.
  37. 37. RFP/RFQ (Request for Proposal/Request for Quotation  What are the requirements needed for a new MRO system?  Having a thorough RFP/RFQ (Request for Proposal/Request for Quotation) is key in being able to effectively analyze and compare the results you will receive from each vendor. The RFP/RFQ will help you determine which product best fits your needs. This document will allow you to compare what different products offer in a consistent manner.
  38. 38. RFP/RFQ (Request for Proposal/Request for Quotation  Your RFP/RFQ should include: an executive summary, your company background, your business objectives, your company organizational chart, required format for proposal, project constraints and assumptions, scope of work, project start, contract overview, specifications of requirements, evaluation and reward criteria, terms and rules for vendors to abide by during the procurement, schedules, closing date for receipt of proposals, awarding authority information, details of management and key personnel, schedule of costs and much, much more.  Your organisation may have a procurement process document itself for the procurement of company assets and such, if not it might be advisable to deal with outsourced contractors who have experience in the procurement of a new MRO systems, for example. Contact advisors who will have experience and are aware of techniques and skills required to create a well-developed procurement document.
  39. 39. RFP/RFQ (Request for Proposal/Request for Quotation  A well written RFP will allow the organisation maximum control in the selection and purchase of an MRO software. A poorly defined RFP will lead to poor results in the search for a replacement to the legacy software. The creation of the RFP is a complex undertaking but it is very important so take the time to do it thoroughly. It will ensure that your project objectives are met.
  40. 40. The decision process – It’s decision time! Time to analyze replacement MRO software solutions It‟s time to decide and document which system best for your operation. Evaluate each solution objectively against your feasibility data requirements. Create quantitative basis document for judging and evaluating each software alternatives. A common method to formalize the decision-making process is a decision matrix. The matrix is a tool you can use to derive a number that specifies and justifies the best decision. Develop the matrix for ranking, in order of importance, the desirable attributes or criteria for the MRO software solution.
  41. 41. The decision process – It’s decision time! Include factors such as features and functionality, check sheet, cost, compliance with regulatory authority, system that best fits with your requirements, etc. Important considerations - proven track record of key personnel in providing required services Financial viability, Technical ability, Project management Quality of customer support, after sales service, and technical assistance, ability of meeting project timeframes, costs, available documentation and training, maintenance and supportKeep in mind that during the decision making process you may beinfluenced by the quality of the RFP/RFQ answers that you receivesuch as the methodology the vendor included, the demonstratedunderstanding of the requirements, etc.
  42. 42. The decision process – It’s decision time! Another great way to gather information for your decision making process is ask for references! Talk to references, visit with existing customers and if possible, go and visit existing clients to see how the software operates in a live environment. Also, request if possible to visit with a customer that is currently undertaking an implementation.
  43. 43. The “Other” issues The system may not work in the way that was planned. To overcome MRO IT implementation troubles, a contingency plan must be developed at the beginning of the project. Make sure that proper research about the software has been completed. The selected MRO software package should be suitable for the company and the selection of the software vendor should be done only after proper research has been undertaken including an evaluation of internal processes, and talking and meeting with actual users and/or current customers of the short listed software vendors. Request onsite customer visits and involve your own internal users.
  44. 44. The “Other” issues Your internal users of the current legacy system are the ones who know the environment best. Some of the factors that lead to errors with MRO software implementation could occur if care is not taken. Implementation takes investment meaning time and budget investment, resource investment and upper management investment. Regardless of all that, if the new software is not implemented the right way from the initial phases, you will have long term and continual loss on that investment, more than likely for the life of the software. It is therefore important to consider all possible risks to ensure that the software is implemented successfully. It is also important to have as much control as possible to produce as few errors as possible.
  45. 45. The “Other” issuesWe have covered some of the points that will need to be consideredfor successful implementation of an MRO IT product plus possibleproblems that operators may encounter if project managementprinciples are not followed. In order to achieve a successfulimplementation, one that is running with the desired deliverables andin which the users are satisfied with the improvements to their day today work, it is recommended that project management principles befollowed. A successful MRO IT implementation will provide a goodreturn on investment.
  46. 46. This is just the beginningWhat about –Project Planning, Project Execution & Project close.Well that‟s another day I‟m afraid 
  47. 47. I can be contacted via:Look for me on Linkedin Skype Wesley Parfitt Twitter EnvelopeAPM wesleyparfitt@EnvelopeAPM.com QR Code - Scan Me for contact de +15146511583
  48. 48. HOW DO YOU BEGIN LINKEDIN?Sign on at LinkedIn.com, provide your e-mail address& a password.• Create your profile– Customize to market yourself & present thoseskills you want to highlight– Customize by establishing links to your own site,Notable items about you on the net, etc.E.g. http://www.linkedin.com/pub/wesley-parfitt-pmp
  49. 49. WHY USE IT?The Facebook of the business worldLinkedIn brings your contacts closer 100+ Million business user worldwide. It exposes/connects you to more people within you industry It helps you get answers to difficult issues It allows you to advertise not only your existence, butyour unique value proposition You can establish a reputation as an expert in your field You become searchable, (if U choose) even when you’reonly passively interested in other career opportunities It enables you to stay in touch with those you networkwith in the physical world. It helps cement the relationship

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