ahri vic od webinar cooperative workplaces by design...• mitigation costs are hidden • health,...
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Cooperative Workplaces by Design
AHRI VIC OD Webinar
Peter Aughton
Phil Volkofsky
The context
2
• 50 billion IoT devices connected in 2020
• 14% Engagement in A & NZ Workforces
• 100 Degrees F in Siberia last month
• COVID-19 – 12.4m cases ; 560K deaths
• Australia recession
• Next Quarter GDP (- 8%) Women –
long term impacts
Organization
Industry
Learn
Extended
Environment
Plan, Do
A highly uncertain and rapidly shifting environment
AHRI : Peter Aughton and Phil Volkofsky 2020
The organisationchallenge
Extreme challenges to viability
1. To improve customer experience and market share with severe price competition from China.
2. To retain a global airline customer services contract for ongoing sustainability
3. To reform the care business model to deliver better care with reduced financial resources.
3
The design challenge
1. Mixed mode of teams ,traditional bureaucracy and a disempowered workforce.
2. Services that cut across technical silos demanded new ways of working. Teams attempted were not scalable.
3. The supervisory model reduced time for care and increased direct and indirect costs.
AHRI : Peter Aughton and Phil Volkofsky 2020
4
The Intrinsic Motivators
Elbow room Learning on the job Variety
Mutual support and respect
Meaningfulness Desirable future
AHRI : Peter Aughton and Phil Volkofsky 2020
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Design Principle 1 - The Traditional Organisation
Competitive by design
• We must better our competitors
• Management must keep unions at bay to prevent cost blow outs
• Who are the best individuals, who stands out by achieving their individual targets
• Careers are founded on beating others to the next promotion
• Personal success is my ability to outshine my colleagues in the EYES of my manager.
• If there is bad news don’t pass it up
• Self interest is served through internal competition
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Design Principle 2 - The Team based Organisation
Cooperative by design
• Brown field design or start up design includes team members working on the design of their own work
• Cooperation with team members and other teams is supported through process ownership
• Holistic Goals are negotiated with other functions
• Problems of team performance or progress are solved by the team members
• Self Interest is served through cooperation
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Webinar Participants Questions
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Organisational Redesign Case Studies
MANUFACTURING TELECOMMUNICATIONS DISABILITY CARE
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Manufacturing To compete with low-cost imports from China, a Queensland-based manufacturer redesigned its organisational structure from DP1 to DP2.
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Manufacturer Design Principle 1-Traditional Structure
Plant ManagerAdmin Assistant
OperationsSupervisor
Site Engineer
DistributionSupervisor
QA Admin
QA Tech
Night ShiftOperators
Aft. ShiftOperators
Day ShiftOperators
Leading Hands(D/S, A/S, N/S)
Electrical Engineer
Fitters
MaintenanceEngineer
DistributionOperators
Supply Operator/RM
Quality LossController
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Silos
Peter Aughton AMERIN 2020
Manufacturer Design Principle 2 –Team Structure
Management Team
Materials
Distribution
Team
Maintenance
Team
Plant priorities and Goals
G G
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Production Teams
GAft.DayNight
Planning horizon 1
Planning horizon 2
Planning horizon 3
Peter Aughton AMERIN 2020
Telecommunications
Australian Telco was about to lose a major customer.
We established a virtual DP2 Managed Network Services company to dramatically improve customer experience.
Within 18 months MNS Co. was awarded preferred supplier status by their global airline customer
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Telco virtual transformation concept
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TELE
SERVICE
SALES
SDN
ISDN
WAN
Strategy Team
Operations Support Team
Operations teams
Planning horizon 1
Planning horizon 2
Planning horizon 3
Peter Aughton AMERIN 2020
WAN
ISDNTeleservice
GCSC
GDNSDN
Co-located specialist skills
Telco Design Principle 2 - Customer Care Team Structure
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G Global Airline Management Team
(GMT)
Response TeamInternal Support
Team with Customer
G
Planning horizon 1
Planning horizon 2
Planning horizon 3
G
This structure was replicated for other major customers e.g. banking
Peter Aughton AMERIN 2020
Disability Care
A national silo-based culture
Increasing costs and low cooperation
A new customer centred funding model.
• Several thousand employees
• Many different geographies
• Working in offices and remotely
• Clients whose care needs change over time
A HR led transformation project changed the organisational structure from DP1 to DP2
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Disability CareDesign Principle 1- Traditional Structure
S1S1
S2
S3
S2
TAS VIC
X 40
S3
S2 S2 S2 S2
X 4
X 15
CP
X 11
CP
SL
S2
CP
Remote IS CarersAccommodation, Day & Remote IS Carers
CP
X 28
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Planning horizon 1
Planning horizon 2
Planning horizon 3
TAS & VIC
G
Melbourne South West Individual SupportX 21
SL
Accommodation, Individual Support & Day Carers – remote and in-person staff
CPs CPs CPs CPsSS CPs
Melbourne North East Individual SupportX 15
Hobart & Melbourne Specialist SupportX 10
TAS NW Accom and Individual SupportX 14
Hobart Accom and Individual SupportX 22
Tasmanian Day programX 26
GG GGG
G
Disability CareDesign Principle 2-Team Structure
Peter Aughton AMERIN 2020
Summary
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• Traditional design drives competition and domination• Control and coordination is centralised• Mitigation costs are hidden• Health, workforce motivation and business
performance suffer
• Design Principle 2 drives system wide cooperation• Control and coordination is decentralized • Strips out unintended costs • Health , motivation and productivity improve
dramatically
Our operating context continues shifting dramatically
Thankyou
• Peter Aughton, Director
• Amerin
• M: +61 (0)409415956
• Phil Volkofsky
• Brakten
• M:+61 (0)40008472
AppendixTypical stakeholders
Planning and preparation
AHRI OD Network Committee and Aims
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Stakeholders slide
• Fair Work Commission
• Unions
• Customers
• Suppliers
• Regulators
Planning & preparation
steps for transitioning
to DP2
• Key players know the design principles and their consequences for intrinsic motivation, mental health and productivity
• Commitment from CEO, senior management and the board
• CEO communication to all employees – strategic goals and rationale for change
• Establish an online employee communication channel
• Feedback from ecosystem members – customers, supply chain partners, unions, others
• Establish and train a PDW transformation team
Planning & preparation
steps for transitioning
to DP2 (cont’d)
• In the current environment, the transformation team will need to know how to:• Design work for hybrid workers – remote and/or in-person• Eliminate / mitigate errors identified during process mapping
using smart technology
• Scale agile teams
• Design a bottom-up PDW project plan for entire organisation
• Establish a T&Cs project group to:• Develop DP2 terms & conditions of employment
• Use PDW data to establish a skills-based career path and remuneration program
• Develop a redundancy policy• Seek support from the Fair Work Commission’s ‘New
Approaches’ program for building cooperative and productive workplaces
This AHRI Online Forum is a delivered by the Organisational Development Network of Victoria
Committee (volunteers)• Ashley Butler• Peter Aughton• Peter Halcomb• Lauren McDaniel• Debra Panipucci• Karol Zdravevski, Convenor