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F REE Co-operation in virtual organisation; The results

F REE Co-operation in virtual organisation; The results. C. Hof Project co-ordinator. F REE. Esprit : 23286. Models, tools and systems to realise a Fast Reactive Extended Enterprise to meet the customers demand in industrial markets. A European project cooperation between:. Adepa

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F REE Co-operation in virtual organisation; The results

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  1. FREE Co-operation in virtual organisation;The results C. Hof Project co-ordinator

  2. FREE Esprit : 23286 Models, tools and systems to realise a Fast Reactive Extended Enterprise to meet the customers demand in industrial markets A European project cooperation between: • Adepa • Cap Gemini B.V • Daimler-Benz Aerospace AG ULM • European Society for Concurrent Engineering • Seaview B.V. • Thomson-CSF Technology and Methods • University of Twente • Hollandse Signaalapparaten B.V. • (Co-ordinator)

  3. Overview • FREE definition • FREE objectives • FREE products • FREE usebility

  4. FREE definition • An alliance betweenpartnersthat • have complementary knowledge & skills • to reach competitive edge in a business • Key features of such alliance are: • shared leadership, • common purpose, mission & values, • common business & strategic goals • networked organisation based on • workforce empowerment, • shared processes & policies

  5. Today’s Operational Problems • Incompatible methods/techniques/procedures • Lack of process ownership and process management • Lack of process measurements • Lack of clear responsibilities • Accomplishing effective and efficient collaboration processes • Configuration and data management problems • Lack of knowledge transfer

  6. Motivations for the FREE project • current trends in industry for new business practices to increase the enterprise reactivity • on customer expectations • to global market changes • of people, methods and tools • team building and co-operation (both inside and outside the enterprise) • culture and practices of reactivity • improved quality of enterprise operation • Capability Maturity frameworks

  7. Project scope • to address the4 major demands of a FREE organisation : • collaboration management (virtual enterprise integration) • peoplemanagement (workforce co-operation & flexibility) • process management (interoperable shared processes) • resources management (including technology & knowledge) • focusing on collaborationandcommunication • to provide practical guidance's for improving the quality of operation of FREE organisations • building on current capability maturity frameworks • integrating the different aspects of a virtual enterprise

  8. FREE domain (1) • FREE domain is: collaborative virtual enterprise(developing complex, one-of-the-kind products) • Topicsof concern are : • Environment strategy and goals, partnership, customer relations, ... • Organisational arrangements facilitating communication & collaboration • Shared processes between partnersmanagement, adaptation, support • People and other resourcesknowledge, technologies, etc...

  9. FREE domain (2) • excluded of the FREE project domain • “Primary” (Engineering) processesthat are (or should be handled by) specific quality frameworks such as: System Engineering, Software engineering, etc... • People management process aspectswhennot related to collaboration and flexibility • Legal arrangementsbetween organisations building a FREE

  10. FREE results Overall architecture FREEImprovementManual FREE-SME FREE-CAFReferenceManual FREE-PMM Manual FREEImprovementManual FREE Model FREE-CAFReferenceManual FREE-PMM Manual Quick Scan FREE-PMMlibrary FREE-CAF ReferenceModel Ready for use documents or as easy access CD-ROM Navigationtool

  11. MARKET SEGMENTATION Horizontal Integration Business Network Main- subcontractor Vertical Integration SME’s Consortium SME’s Community Business Broker or Integrator Large Enterprise

  12. Measurement consequences Limited ability NETWORK (repetitive projects) VERTICAL organisation HORIZONTAL organisation OPPORTUNITY (single project) Enhanced ability Organisation depends on the product architecture Organisation depends on partners expertise Maturity/PI evolution

  13. Industrial expectations of FREE Rewarding employees for collaboration Cost Opening company boundaries Creating collaborative mentality Intercompanytraining Security Immaturity of technology Building infrastructure 0 10 20 30 40 50 60 70 80 Collaboration implementation challenges (FREE 1997)

  14. FREE Context Collaboration Model outcome represents CAF Structural alignment Process operation Communication Influences Influences Checks Checks Checks PMM

  15. Static - Dynamic relation FREE-PMM FREE-CAF FREE-PMM FREE-PMM FREE-CAF FREE-PMM Communication FREE Virtual enterprise process structure Positive relation process operation Positive relation Degree of Formal integration communication between partners Product between partners development success (costs, quality and time) Degree of overlap Informal of tasks between communication partners between partners Actual Structural alignment alignment

  16. Improvement scenario business case &project plan orientation phase analysis phase Implementation & Evaluation organisational model / quickscan preferred project management method capability assessment framework businessissues improve-mentscenarios businessobjectives key process areas project plan projecttriggers improvementactivities critical success factors enterprisefunctions evaluation performance measurement method

  17. FREE-CAF focus Environment Strategic level Adaptive level Operational level

  18. CMMProcess Commitment to perform Sponsorship Ability to perform Scope definition Planning Preparation Activities performed Data collection Data Verifying consolidation Rating Findings Reporting Follow up

  19. FREE Key Process Areas SharedProcesses Enterpriseintegration Organizationalarrangement Resources • Managementprocesses • Decision Process • Conflict resolutionprocess • etc. • Engineeringmanagement • Configuration & data management • Peer reviews • etc • Communication management • Process management • People management • Developing capabilities • Motivating & managingperformance • Shaping the workforce • Technology management • Knowledge management • Infrastructure management • Structuralarrangements • Communicationstructure • Team structure • Procedure • Culturalarrangements • Participatory culture • Policies • Allianceenforcement • Leadership • Business planning • Policy & strategy • Marketing • Customersatisfaction

  20. Assessment goals • 1 • 2 Assessment: - FREE - Partners FREE

  21. Improvement scenario business case &project plan orientation phase analysis phase Implementation & Evaluation organisational model / quickscan preferred project management method capability assessment framework businessissues improve-mentscenarios businessobjectives key process areas project plan projecttriggers improvementactivities critical success factors enterprisefunctions evaluation performance measurement method

  22. Type of measurement ? Business focus VisionaryManagement Capability focus Levels of maturity ProgramInitiation Mgmt ProgramOperation Mgmt

  23. Contingency factors STRATEGY CONTROLLINGPHILOSPHY SIZE OFTHE PARTNERS EXTERNALREPORTS SIZE OFTHE FREE MANAGEMENTSTYLE DEGREE OFAUTOMATION BRANCH DEVELOPMENTS CULTURE COMPANY PROCESSES STRUCTURE FREE-PMM

  24. PM Method Contingencyfactors T,Q,C goals project planning Communicationprocessmeasurement Transformationprocessmeasurement process overlapintegrationdegree (in)formalcommunicationtools Actual and activity alignment Feedbackloop PI ofcommunicationtools PIreference values

  25. Collaboration measures .. as a capability training education .. as an organisational goal procedure improvement quality measures ICT facilities Measurements: meeting structure information distribution schedule acceptance frequency cost control risk management PDM usage

  26. Challenges I takes effort: A will for changes on partners behaviour The need for professional staff to support changes The budget for changes PIs helps! Getting engineers “on board” Agreement on shared mission and goals Achieve alignment between tasks Agreement on performance levels (as reference level, yardstick)

  27. Expected FREE insights (partner point of view) • Company strategy and goals inline with: • Peoples skills, culture • FREE organisation • Full management support • Insight in FREE organisation • Control of the FREE key practices • IT facilities that support the FREE goals • Security facilities that supports collaboration

  28. Conclusion: An integrated suite ContinuousimprovementProcess Businessissues triggers FREE Improvement Manual FREEPerformanceMeasurement FREE-CAFAssessmentMethodology Dynamic behaviour Staticorganisation Navigationtool FREE-CAFModel CSF Organisationalmodel PIs

  29. On-going activities ! • Awareness & dissemination of project results through CE-NET, ICC • workgroup MI-FREE Purpose: • industrial validation through pilots • achieving recognition from the international community: SEI, EFQM, Agile Forum, ... • maintenance & improvements of the FREE project results

  30. Contact • Contact for more detailed information or to get the FREE reports or CD-ROM • Look at: www.kcc.nl/free and down-load the navigator. • Kees (C) Hof •  ()31 74 248 3288 • c.hof@signaal.nl

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