Reorganization

Sia Partners partnered with a leading E&P organization to help them improve their organization design and increase staff engagement. 

Challenge

A growing E&P organisation wanted a strategic partner to support them in two organization development workstreams. The objectives were to:

• Build capability, methods, and tools to ensure the organisation is appropriately structured, resourced, and capable of delivering its objectives
• Identify the organisation’s key behaviours and implement mechanisms to nurture and sustain the desired culture

Recent Staff survey results and internal focus groups had identified that the organisation design was not clear and employees did not understand their career development options.   Performance management and appraisal systems were seen as ineffective and the quality of line managers was highly variable with most avoiding “difficult conversations” about behaviours and development needs.

Approach

Organisation Design workstream

To support this workstream we developed a set of OD principles and a high-level operating model to provide the strategic direction for all future OD. We developed a bespoke OD toolkit with a range of tools and templates for on-going use within the organisation and tested the OD toolkit on a live example in the Subsurface function.

Behaviours and Culture workstream

In order to increase effectiveness, we Identified “Moments that Matter” for employees – those disproportionately impacting staff engagement, prepared a behavioural competency framework defining expected behaviours and how they apply to each level in the organisation and updated “people” processes (appraisal, recruitment, learning and development, etc.) based on the behavioural competency framework. We also worked with communications to creatively promote new behaviours.

To support both workstreams, Sia Partners also worked alongside the internal HR function to ensure project deliverables were incorporated into the business.

Results

We successfully achieved greater accountability for major processes across the organisation’s value chain and increased clarity of interactions between functions. A successful pilot of the OD toolkit was carried out within the Subsurface function with internal resource gaining experience in a controlled environment with the support of Sia Partners’ OD experts. A Behavioural Competency Framework was embedded into the business, which employees found engaging and this helped managers hold more effective performance discussions and reinforced organisational culture through revised people processes. We also up-skilled HR staff to undertake OD projects using the OD toolkit and champion the organisation’s new behaviours and culture.

Overall, this resulted in an increase in staff engagement of 8%, verified through a company-wide staff survey.

Sia Partners worked with a global professional services company to support them with the development of a new growth strategy. Find out more about what we did and the impact this had on our client...

Challenge

Our client, a global professional services company focusing on sustainability, had agreed to ambitious sales and enterprise value growth targets with its new investors. Competition in its core markets was intensifying and a number of services were becoming commoditized. The company was more focused on its technical practices, not its clients, and had little or no conversations at a senior level.

A new strategy needed to be developed which:

• Focused on clients and their needs
• Responded to market developments
• Addressed different levels within client organizations, including BoD’s
• Maximized the value of its assets, particularly its people and data
• Excited and energized staff
• Drew on the best ideas from across the company

Approach

Sia Partners applied its strategy development IP and expertise to run a successful strategy creation process. We interviewed senior management and facilitated key meetings, to create alignment around the need for a new strategy and its central theme. This involved implementing a structured process to gather the best ideas from staff, prioritizing these and developing robust business cases. Sia Partners provided detailed input and support in the following areas:

• Strategy purpose & storyline development
• Data & technology approaches
• Client-focused offerings
• Organizational design
• Brand
• Implementation planning

Results

We developed a powerful new strategy that engaged and energized all staff and enabled our client to refocus their organization around their clients and their needs. We identified and agreed our client’s core priority which was to develop data management and technology capability and use this to underpin and enhance the client experience. We successfully developed new business models, including a managed services offering and generated exciting new thinking around the evolution of the brand.

Expected benefits by 2020 include a 100% increase in sales revenue and enterprise value, an improved set of client-focused capabilities, and a greatly enhanced market presence.

Sia Partners worked with a leading E&P organization to support them with the development of a new operating model. Find out more about how we helped them and what we did...

Challenge

Our client’s E&P Organisation was designing and implementing a new, ambitious strategy with the aim of doubling existing production volumes, with maximum improvement in profitability. The existing Operating Model was not fit for purpose and would not in its existing state support the projected growth rate that the organization had set itself. Sia Partners was engaged to design and implement a new, robust Operating Model that would ensure one consistent way of working across critical areas of operation, implement best practices, and promote a culture of responsibility and autonomy.

Approach

Sia Partners assessed the current Operating Model, including:

• As-is performance analysis of the corporate center and operating companies, including their roles, responsibilities, and interactions
• Level of integration and effectiveness of the technical functions across the value chain
• Effectiveness of the corporate support functions
• Pain points and quick wins

Sia Partners then designed and implemented an effective and fit for purpose Operating Model for the corporate centre and operating companies including organizational structure, governance, and key processes. We implemented quick wins identified during current state analysis and designed and facilitated a series of ‘Brown-paper’ workshops with senior leadership, corporate center, and operating companies to communicate the Operating Model, clarify areas of uncertainty, and develop further improvements.

Results

A new robust Operating Model was put in place that will, in time, enable the organization to achieve its strategy. This includes a new organisation structure, consistent business processes, a fit-for-purpose governance framework, performance monitoring and reporting process, and finally a clear view of how the Functions support the business in an efficient and effective way.

We developed a continuous improvement framework that will ensure regular reviews of the Operating Model to identify and implement improvement opportunities and ensure it continues to align with the organizations evolving strategy. We also created a detailed document that describes how the business works on a daily basis in order to achieve its strategy – including defining the interactions and roles and responsibilities of each group within the Organisation. This document was used to communicate the new way of working and Operating Model to all employees.

Sia Partners supported our client with the creation of a new organization design methodology to help them improve their internal capability. Find out more about our approach and the results...

Challenge

Following an internal audit of organization design projects that had been conducted across the business, our client, an Oil and Gas Super Major, concluded that there was a lack of understanding around the best way to approach organization design across several of its functions. The organization design projects undertaken had been carried out inconsistently at varying levels of quality and therefore resulted in mixed outcomes and missed opportunities. There was also no process in place to capture the lessons learned from each project which could be helpful for future organization design projects.

Approach

Sia Partners supported our client with the creation of a structured Organisation Design Methodology including all the phases, steps and supporting detail for each phase and step. This included continuous improvements and project evaluation guidance.

We then converted this material into a master class training course and created and tested the course content and facilitator notes with key stakeholders and organization design experts. Sia Partners ran the course globally, refining course materials based on feedback and making updates to the methodology where required.

Results

We successfully improved consistency in the way that Organisation Design is delivered across the organization by developing a consistent process and then training individuals on how to apply it. Feedback from the courses shows that attendees saw the benefit of the process and training and the course consistently receives some of the highest ratings of any of the courses.

We increased the capability of staff to confidently undertake organization design projects using the methodology and the understanding developed through the training. Feedback following the courses shows that attendees have used the increased capability to lead or support organization design projects across the organization.

As a result of these courses, we increased the confidence of staff to undertake organization design projects. This has led to a reduction in spending on external support.

Where we started

Our client a statutory body in Ireland faced a severe backlog and was concerned that the main process was significantly strained. In addition, its remit was extended to take responsibility for additional public services. We were invited to review the organisational structure and key processes for improvement.

The challenges

The organisation had not changed its structures since 1984. It lacked flexibility, responsiveness and was no longer ‘fit for purpose’. The biggest challenge was the team’s disposition, they were sceptical of its ability to achieve meaningful change.

What we did

We worked with the internal design team of 10 staff and assessed the organisation’s capacity to meet current and anticipated demand. To demonstrate the challenges and breakdowns facing the organisation we then socialised our findings with the broader team within our client. Together we designed a radically different citizen demand handlings process and redesigned the organisation to support the new process and give flexibility. To ensure successful management of the new processes we took the backlogs away from the ‘business as usual team’ and created a special team to eradicate them.

The outcome

The new design organisational structure was implemented in full and allowed a more flexible approach to managing demand. Our client extended its remit to manage the increased demand without increased headcount. The backlogs were completely eradicated within 6 months, ahead of schedule.

Where we started

Our client, a global Co-op food ingredients and agribusiness, which had incorporated its milk collection business into its ingredients division, decided a review of its ‘farm to market’ process. Having previously reviewed the milk collection process from farm to factory and having redesigned how it would be operated we were asked to expand the review to cover ‘farm to market.’

The challenges

With daily collections from 3,000 farmers, and with 960m litres of milk processed per year, the level of activity required to generate value in the market was substantial and required constant attention in order to ensure that it delivered a return on investment.

The review needed to examine the areas where value was being added and where it was being destroyed.  As well as covering physical activity and related inefficiency in the process, the review covered the difficulties of changing composition of the raw material i.e. milk, where any number of factors can influence overall return. The need to combine our client’s core capabilities and market in order to generate a better return on investment was critical to the Co-op’s future success.

What we did

We worked with the team to carry out a comprehensive review of the financial impact of people, process, technology and organisation issues from farm to market. We identified areas where poor practice was leading to waste and sub-optimal value. We redesigned organisation structures and management practices in order to deliver an increased performance end to end.

The outcome

We identified more than ten significant improvement initiatives, the vast majority were subsequently implemented, thus eliminating millions of euro in costs. Commercial arrangements, including a new ‘single commercial equation’ with supplier customers, were redefined.  Quality, composition, volume and a number of other factors were incentivised and penalised. The result was a substantial increase in the overall performance of the milk pool.

Where we started

Following the development of a five-year strategy for an existing client, (a global leader in nutrition and ingredients), we were asked to join the senior team, establish a change programme, and work with all staff to deliver the strategic outcomes whilst building and enhancing the overall capability of their team. The leadership team has committed to significant change in the business, in order to deliver the full potential of the strategy. There is a clear strategy in place supported by explicit strategic propositions and defined change initiatives.

The challenges

The strategy sets out changes in many aspects of the business,  specifically; pricing and market strategy, credit and cash management, customer channel approach, digital channels, supply chain and manufacturing, central management and support, people change and operating model change, cost reduction and growth. The breadth and depth of change means that the future operating model requires a substantial people change element where new behaviours/approaches are needed.

What we are doing

Following a successful mobilisation of the programme streams with internal business owners and their teams we have been supporting the senior team in the design and mobilisation of changes at all levels throughout the organisation. We have been analysing and designing the management practices and information required to provide feedback to teams, so that each individual’s personal learning drives their improvement.

We have been supporting changes with technological advancements, particularly in the mobile and digital space. We have been working with the teams to implement a multi-channel approach to engaging customers that will see customer service delivery that is recognised as best in class whilst continuing to return value to all stakeholders.

The predicted outcome

Our client is becoming leaner whilst growing market share and return to its shareholders and members. Also, the overall  capability is maximising the return from quota elimination by changing and adapting in advance.

Going forward

The 2015 milk quota removal in Ireland and Europe will allow the dairy sector to establish itself as a low cost source of production, taking advantage of the growing demand for dairy products around the world.

Reflecting the significant change in the economy, as well as changes in a regulatory environment, a major bank in Ireland undertook the re-organisation of its customer recoveries business unit.

The challenge

We had to support the merger of three different product-driven collection teams into a single customer-focused recovery area, while dealing with significant historic backlogs in each of the teams, continued increases in customers entering the recovery unit, and remaining compliant with changing regulatory requirements.

What we did

The implementation of this project meant addressing a number of issues. These included the definition of new team roles and responsibilities, re-visiting business processes and removing bottlenecks, clarifying policy and getting agreed changes to the policy to allow faster and more effective decisions, introducing new action-focused metrics to allow for better decision making, mobilising the recruitment of a number of temporary staff into the team and merging three existing teams into a new team with its own identity.

The outcome

The project was completed over 10 months and resulted in a single customer recoveries team, with processes focused on customer debt collection rather than product, policy and processes designed for different thresholds and likely recoverability of debt, and a fully cleared backlog of work across all areas.