Change should be seen as an action to be implemented instead of a process that should be navigated. To successfully execute change, there should be a collaboration between all team members. There should be an end-goal, time parameters and key performance indicators (KPIs) defined for any change process to be managed effectively through project management.
When it comes to change or transformation, project management is used to assist companies in creating a new supply chain strategy or validate a previously formulated strategy to eliminate uncertainties.
Project management programmes are configurable to the specifications, size, and complexity of the planned changes. They will use project management software such as risk registers, project plans, action logs, etc. They also use project governance like budget reporting, staged payments, project variations management and status reports.
5 Key Steps in Project Management
There are 5 distinct steps to manage a project and effectively implement change:
Initiation Phase – Define
This step is to create an overall plan and structure. Health checks of existing arrangements are carried out and objectives are defined for the project. End-state logistics solutions must be sufficiently well-defined and understood by all team members and employees.
Transformation Planning
The next step is to design and plan the individual step changes. The transformation project and workstreams must be planned, including sequencing operational changes. During this planning phase, a project management group must define key dependencies between operational tasks and workstreams to effect the change. The transformation process must be planned in detail, and the appropriate resources must be put into place to manage the changes.
Change Control Processes to Monitor Progress
During this step, there is an assessment of the change management process and environment and the impact of the change on existing plans. This includes project stakeholder mapping, communication plans and the mapping of roles and responsibilities. An accompanying change management plan to monitor progress and ensure success should be created.
Risk Assessment
This phase is essential as it will outline the potential risks that a company might face during the implementation of any major shift. Once potential risks have been identified, creation strategies, plans and actions to eliminate or alleviate these risks are prepared.
Implementation
In this execution phase, project management must support any operational changes. This phase includes project charter, project tracking, reporting tools and managing issue log. This can also include interim operational management if required. This step also provides the opportunity for chairing formal project reviews and lessons learnt workshops.
The Benefits of Outsourcing Project Management
- The client does not have to rely on a single individual as an interim, (one person will not have the breadth of expertise required).
- Provides a ‘Golden Thread’ through the transformational change, with an obvious mitigation of project risks.
- Improved ability to see issues ahead and resolve without the need for escalation
- Flexible resources can be brought in to deal with specific needs if existing resources become constrained.
- Firm and experienced supplier management ensures no over-reliance on supplier pushed solutions or technologies e.g. MHE or 3PL
- The key risk areas are the cross-over points between phases – this is mitigated by continuous engagement of project team, tight project management and minimising workstream complexity
Bisham’s consultants have implemented a wide variety of supply chain transformation projects from implementing new distribution centres and closing old ones, to major transport operations, to supply chain process re-engineering and related IT aspects. In these projects our clients have enjoyed the benefits of an open and honest external view of the transformations risks in addition to the experience of lessons learnt from previous projects. It is important to have a safe ‘right first time’ implementation with contingency planning in case of unforeseen issues. If you would like an informal chat to discuss any projects please contact us on 01628 487000.