Integration Track SOW and Project Governance

Transcription

1 WEDNESDAY 2:00 3:00 PM TOWER A Integration Track SOW and Project Governance Moderator: Kersten Buck, Director, Strategic Solutions, CCWP, Staffing Industry Analysts Panellists: Jim Brozny, Director, Account Services, Fieldglass Nilashis Coomar, Global Head, Labor Services, Cisco Peter Schmutzer, Director Purchasing, Intel Corp July 2015 Shangri La Hotel, Singapore 2015 Crain Communications Inc. All rights reserved July 2015 Shangri La Hotel Singapore

2 SOW and Project Governance What is a SOW or Statement of Work? - The underlying document that defines a project or service with defining characteristics: Supplier accepts an element of risk Work requires minimal daily direction from engagement manager Payment is based on meeting defined service level agreements inclusive of:» Fixed fee» Milestone based» Transactional or action based» Time and materials 2015 Crain Communications Inc. All rights reserved July 2015 Shangri La Hotel Singapore

3 Why focus on Services Spend? Visibility Risk mitigation Compliance: internal policy as well as legal regulatory Leverage spend reduce cost Optimize supply chain by category uncover staff augmentation hiding in an SOW Measure quality against deliverables Enhanced reporting and business analytics 2015 Crain Communications Inc. All rights reserved July 2015 Shangri La Hotel Singapore

4 Varying levels of managing SOW spend Visibility Who has access to building, systems, and intellection property Financial management Budget approvals, change orders, consolidated invoicing Supplier management Cost Quality Efficiency Risk Competitive bidding Utilize VMS for RFX capability 2015 Crain Communications Inc. All rights reserved July 2015 Shangri La Hotel Singapore

5 SOW and Project Governance Keys to Success CWS Summit Asia Pacific July 22,

6 Key Factors to Successful Adoption Don t shortchange change management User experience with a capital U 2015 Fieldglass, Inc. All rights reserved. Proprietary and Confidential. 6

7 Change Management - Communicate early and cast a wide net - Identify key stakeholders early - Post-launch stabilization period - Support your suppliers 95% of our spend is SOW, and Fieldglass has been key in helping us resolve challenges as we work through the change management issues in our corporation. -- Customer in the technology/telecomm industry 2015 Fieldglass, Inc. All rights reserved. Proprietary and Confidential. 7

8 User Experience - Technology must be simple to use - Have a strategy for exceptions - Support your suppliers Project-Based Services ICs & Freelancers Pick & Choose Offshore Services Equipment Tracking 2015 Fieldglass, Inc. All rights reserved. Proprietary and Confidential. 8

9 Peter Schmutzer, Director Purchasing Intel Corp.

10 Background and Vision We are in a very dynamic domain, requiring extremely good planning capabilities and corresponding flexibility in adjusting course whenever needed One of our biggest assets is human capital. Hence having the right number and quality of resources is key to our success Outsourcing is a means to augment our human resource capability whenever needed to respond to changing market demands. In itself, managing the outsourcing process is an asset which some companies do better than others, and we have decided to do it best.

11 Contingent Workforce Environment for Engineering GER GAR AMR Sweden Ireland GB DNK Poland Germany France Austria Russia Japan USA Israel China Taiwan Mexico India Malaysia Vietnam Costa Rica Singapore 45% of spends 21% of CW 35% of SOW 25% of spends 54% of CW 45% of SOW 30% of spends 25% of CW 20% of SOW 11

12 Intel s Engineering Outsourcing Journey 2014 Governance 2011 Chaos Established Individuals contracting governance with process whomever they wanted Understanding Identified subset of of what preferred was to & be authorized outsourced vendors not thought to usethrough prior Utilize to RFPs engaging to select in T&M partners and vendors CW Moved sponsors away from not closely T&M to managing KPI and fixed outsourcing price outsourcing and spending models Lack CW sponsors of creativity aware from of vendors, what they deliver are spending bodies & and collect acting money as business managers

13 Changing The Game To Drive New Standards Time and Materials Excessive Cost Poor Performance 45% to 72% 1 st Pass Defects Up to 70% efficiency 30%+ Velocity

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15 SOWs DeMystified Nilashis Coomar, Global Procurement Services

16 C-Worker Introduction VOD

17 Cisco C-Worker Journey 2012 US, Canada, India, China (UCCI) 89% SOW % of Global SOW & TEMP Spend 2014 Dec 2015 UK, IR, NL, PL 5500 SOW transactions Globally 2015 March 2015 BE, FR, GE, IT, SP, PO, NO June 2016 South Africa, Israel, Czech R 80% of Global SOW & TEMP Spend Further expansions APAC, LATAM

18 Cisco TEMP/JP Like for like services to Cisco FTEs Utilized for staff augmentation Selected and managed by Cisco Tenure limit of 18 months (or as per local law) SOW Managed Service On-going service fully managed by supplier Clear SLAs in place Supplier holds risk for delivery Supplier assigns resources to services and manages them SOW Managed Project Project based work with clear start and end date Clear milestones and deliverables in place Supplier assigns resources to services and manages them VMS SOW Module, MSP to drive SOW savings, sourcing, quality

19 Challenges Market Readiness How do you define SOWs and how complex are they? Classificati ons SOW Savings What value do you want to drive? What activities do you want the MSP to own? Change Mgt Quality

20 Changes Continuous Training SOW quality training to HMs C-Worker VODs Classification Training during implementation HR policy to support classification EMEAR: Enforcement from the start Compliance alignment with VPs Change Mgt Policy Task force on savings Optimization Push on Sourcing EMEAR: More Compliance driven Continued push to leverage preferred suppliers Savings Market Readiness Quality Audit SLA quality metric VMS enhancements Supplier training MSP Training

21 Road Ahead Ability to manage supplier to individual SOW SLAs & KPIs via the tool Performance surveys to measure SOW delivery quality Enhanced data analytics through the tool Invoicing through the tool (outside of US) SLA libraries

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23 WEDNESDAY 2:00 3:00 PM TOWER A Integration Track SOW and Project Governance Moderator: Kersten Buck, Director, Strategic Solutions, CCWP, Staffing Industry Analysts Panellists: Jim Brozny, Director, Account Services, Fieldglass Nilashis Coomar, Global Head, Labor Services, Cisco Peter Schmutzer, Director Purchasing, Intel Corp July 2015 Shangri La Hotel, Singapore 2015 Crain Communications Inc. All rights reserved July 2015 Shangri La Hotel Singapore

24 Don t forget to provide feedback SOW and Project Governance DIGITAL SURVEYS Rate this session by accessing the evaluation from your Conference Mobile Community OR tap the ipad screen as you exit July 2015 Shangri La Hotel, Singapore 2015 Crain Communications Inc. All rights reserved July 2015 Shangri La Hotel Singapore