Situation

Sydney Water had defined a new strategic direction. They had the ambition to become a customer-centric organisation. This required a fundamental shift in the operating model which was service and asset-centric at the time.

Approach

Micheal Mallon (Transformation Architect) and Chris Gould (Program Executive) were engaged for the operating model review and transformation program design. The program involved:

- Definition of the organisational-level capabilities

- Engagement of over 50 senior leaders across the organisation

- Conduct the capability maturity assessment

- Establish a reference group for the proposed changes.

- Identify the gaps in the current-state

- Engage with the MD, the Executive team and Heads of Business

- Achieve agreement on the missing capabilities

- Develop the operating model options

- Identify the implications of each option

- Present options to the MD and Board

Outcome

Based on the chosen option, the organisational value chain was redesigned and the high-level organisational design developed. Micheal developed the transformation program to deliver the new operating model ensuring alignment with the planned technology rollout. 

Situation

Sydney Water had had a fragmented Procurement, Supply Chain environment with divergent operating models and compartmentalised accountability. This required a fundamental shift in the operating model and the integration of its component parts.

Approach

The integrated Supply Chain program was deemed the key enabler of the future strategy realisation and thus, the first program commenced post the delivery of the new operating model. Micheal Mallon and Shane Lamont led the delivery of the supply chain transformation. This included:

- Design and implement an integrated Supply Chain operating model with supporting organisation structure and role design.

- Developed the functional strategy to enable an integrated Supply Chain.

- Developed the business case which identified in excess of $200M in benefits.

- Developed the detailed program to deliver the benefits and outcomes

- Development and design of the Supply Chain aspects of SAP S4/Hana program

- The Supply Chain operations sub-program included materials & inventory management warehouse management and network design (2 warehouses, 11 depots & 33 site stores)

- A project within the Supply Chain operations sub-program was the Materials identification program. This identified in excess of 9000 new SKU and over 36,000 items (critical spares & major items) and more than 100 cubic meters of breakdown spares and consumables. In excess of $15M in benefits delivered within the first year.

Outcome

Procurement and Supply Chain operating model and organisational design implemented. Benefit delivery and program cost neutral within the first 12 months of the program. Procurement, Supply Chain, technology transformation and Infrastructure Delivery model transformation commencement (P4S)