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Implementing a new operating model at BT

  • Overview
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    BT introduced the Operating Model Programme to establish a single way of working to the organisation and make a strategic change to its capability. It was of strategic importance, and likely to impact more than half of BT's 100,000+ employees. Moorhouse joined the programme after a pilot within a major BT product launch. We developed an implementation schedule and enhanced the capability of the workstream and project team leads. Using a Maturity Model to measure the Operation Model's adoption across all lines of business enabled us to focus on improving several key areas. Each division employing the new Operating Model saw benefits following implementation. The new end-to-end finance process was key and reduced development costs (£30m p.a.). The benefits of the Operating Model will continue to be realised well into the future.

    The Operating Model Programme was named as a 'Programme of the Year' finalist at the Association of Project Managements' Annual awards

  • Our client's challenge
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    The programme was borne out of and aligned with BT's strategy to deliver products and services to market faster, better and cheaper. It was quickly recognised that this change programme, which was of strategic importance to BT, was likely to impact – either directly or indirectly – more than half of the 100,000+ employees of BT. 

  • Our responses
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    Implementation started with a pilot of the Operating Model principles within a major BT product launch which yielded significant business benefits to BT. Moorhouse joined the programme after the pilot and worked with the senior sponsors to:

    • Develop an implementation schedule and detailed plans for rolling out the new Operating Model across the nine major divisions of BT
    • Develop the capability of the workstream and project team leads and provide delivery support to their implementation teams
    • Instil programme and project management disciplines at the centre of the programme
    • Use a Maturity Model to measure adoption of the Operating Model across all lines of business
    • Close the programme, transition to business as usual including further qualitative improvements, including re-shaped delivery governance and embedded continuous improvement of the Operating Model and its implementation  
  • The value to our client
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    The benefits of the Operating Model will continue to be realised  and drive  the following improvements :

    • Customer engagement – Collaboration with external customers to shape and understand requirements
    • Workload management – Managing the workload via prioritisation, scheduling, flow and reporting
    • Proposition definition – Using an agile approach to requirements and solution iteration
    • Development & testing – Using an agile approach to development, integration and testing
    • Re-use – Driving reuse of technology and process across the BT estate
    • Business Change Delivery – Ensure clear accountability to deliver a whole business change
       

    All nine divisions within the roll-out agreed targets for increasing maturity. The targets were built into the Managing Director's individual and team annual scorecard and results had a direct impact on bonus payments. Each division saw a positive increase in maturity.

    The new end-to-end finance process was a key enabler to reduce development costs (£30m pa); providing senior management with a dashboard to improve transparency of cost / benefits across the delivery portfolio (in excess of £700m pa).

     

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