Complex programme support at BT
- OverviewRead more
BT's 'Milestone' programme was designed to shed 500 of their 650 legacy systems, consolidate over 100 networks to under 10, reduce 25 data centres to 4, and outsource mission critical, non-core operations. 'Milestone' was valued at £1.1bn (total contract value of contracts let), but BT knew they lacked the in-house capability for a programme of this size and so employed Moorhouse's expertise. We established a central Programme Management Office (PMO) and placed 2-3 of our consultants in each. Once Milestone controls were established, we worked with BT to develop the disciplines essential to success, building capability and transferring project and programme management (PPM) skills to their own people. Our work delivered several key and measurable benefits including network operations savings of £247m, rationalisation of legacy systems by 72% that reduced costs by 60%, and a harmonised 'next generation' product set based on leading-edge technologies driving user adoption to 90%.
- Our client's challengeRead more
Like many organisations that have expanded by acquisition, BT had a compelling need to reduce complexity. They set up a 'programme of programmes' (“Milestone”) designed to shed 500 of their 650 legacy systems, consolidate over 100 networks to under 10, reduce 25 data centres to 4, and outsource mission critical, non-core operations to a small, carefully chosen set of strategic partners. The total contract value of this seven year programme was £1.1Bn. BT knew, however, that they lacked the in-house programme and project management (PPM) capability for programmes of this size.
- Our responsesRead more
Milestone was already in training when Moorhouse was called in. First we established control without over-burdening already busy teams. We established a PMO, with 2-3 consultants in each programme. These small but highly capable teams acted not just in a conventional PMO capacity, but as constituent parts of a central control and reporting function, directly supporting BT programme leaders. This critical success factor optimised information flow, without drowning the programmes, and allowed senior management to make fully informed decisions, whilst maximising repeatable and standardised practices.
We then worked with BT to develop the disciplines essential to success in any complex transformational programme, such as benefits realisation management, rigorous change control and the re-application of lessons learned.We helped change the prevalent view of business cases as purely financial, investment decision-making tools to a more rounded and enduring view embracing strategic alignment, delivery feasibility and affordability and commercial viability.
Finally, we developed and empowered BT's existing PPM community by assessing skills and establishing a competency framework aligned to existing job families and skill groupings.
- The value to our clientRead more
Key benefits deliveredKey benefits delivered
- Improved understanding of cost base and cost of ownership to facilitate strategic decisions
- Programme leaders have been able to sustain momentum by making the right decisions at the right time, based on accurate information
- Threats to success are fully understood and tightly managed
- Reversed the tendency to leap straight into “doing”, without appropriate planning
- Repeatable, flexible and scalable processes and tools are now in place and readily accessible
- Proactive management of benefits realisation is now in place, built on the premise that programmes enable benefitsPartner investment of £167m, accelerating the transition to 21CN architecture;
- Network operations savings of £247m
- Legacy systems rationalised by 72% reducing management costs by 60%
- 2% improvement in Right First Time targets
A harmonised 'next generation' product set based on leading-edge technologies driving user adoption to 90%
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