Mind the gap. Overcoming the gap in alignment, thinking and operating between engineering and project delivery functions

Transcription

1 Mind the gap Overcoming the gap in alignment, thinking and operating between engineering and project delivery functions

2 Welcome Paul Lambert Senior Client Partner, Industrials Market Korn Ferry Hay Group Colin Brown Associate Korn Ferry Hay Group 2016 Korn Ferry. All rights reserved 2

3 Welcome to Tomorrow s Engineering Workforce: A three-part webinar series Today s webinar: Mind the gap: What steps can leaders take to bridge the gap between engineering and project delivery functions for greater project impact Previously Tomorrow s engineering workforce: How to attract, retain and engage the right engineering workforce now and for the future Tomorrow s engineering leaders: How to select and develop future leaders whose qualities go beyond technical proficiency to align, engage and enable the workforce Past webinar recordings 2016 Korn Ferry. All rights reserved 3

4 What we will cover 1 WHAT IS THE GAP? 2 THREE DAMAGING EFFECTS OF THE GAP 3 HOW TO CLOSE THE GAP 4 RECAP 5 YOUR QUESTIONS 6 GET IN TOUCH 2016 Korn Ferry. All rights reserved 4

5 What is the gap?

6 Engineering Project Overruns and Overspends 2016 Korn Ferry. All rights reserved 6

7 Divided they fall: the gap Success in infrastructure projects often relies on overcoming the gap in alignment, thinking and operating between engineering and project delivery functions. The cost-time-quality triangle Engineers tend to focus on quality of outcomes and eliminating risk, whereas project managers tend to be focused on delivering on time and to budget. Over time, the two viewpoints can be become polarized Korn Ferry. All rights reserved 7

8 Three damaging effects of the gap 1 The cost-time-quality gap is not just a theoretical concept it leads to three damaging effects. Segregation (Silo Working) 2 Over management 3 Project overruns and organisational impacts Silo working, antagonistic attitudes and behaviours between engineers and project managers. Lack of mobility of technical expertise Ineffective and inefficient operations Higher level of errors / re-work Fix one problem but create another Increase in project management, planning and document control processes to exert more control over engineering. Lots of project management complexity, processes and organization without efficiency improvement. Impacts of trying to fix the gap incorrectly Project time and cost overrun Loss of reputation, credibility and profitability Human impact including high staff turnover, absence. Low engagement and discretionary effort 2016 Korn Ferry. All rights reserved 8

9 Closing the gap

10 Close the Gap through integrating people, process and organisation Project cost, quality and time issues are driven by the Gap between Engineering and Project Management (and other supporting functions) Developing Whole System View Closing the Gap is achieved through integration of: Mind-sets Whole System View Behaviours Aligning Incentives Build integrated leadership and project teams Closing the Gap Create right behaviours Shared capability Cross-skilling Integrated Leadership and Teams Develop broad perspective through crossskilling 2016 Korn Ferry. All rights reserved 10

11 PROJECTS 1. Develop a whole system view How to do it: Operating model should clearly define how work gets done, by who and how objectives will be achieved. Organisation s systems and processes should drive collaborative employee behaviours and the outcomes required. Enable resource sharing and mobility across projects and programmes Key questions to close the gap: Does your organisation s operating model, work design, processes and culture support collaborative working between project managers and engineers? Do engineer and project manager job descriptions have role responsibilities that reflect cost, time and quality elements? Expertise: Engineering, Commercial etc Korn Ferry. All rights reserved 11

12 2. Drive the right behaviours How to do it: Develop and manage the behaviours required to overcome the gap: including collaboration, communication and flexibility. Align behaviours to the role and the organization s strategy, values and culture; Embed behaviours into reward systems, recruitment, talent management and development processes Key questions to close the gap: Do balance scorecards reflect collaborative working and flexibility in thinking? Are project managers and engineers rewarded together for time, cost and quality? Do recruitment, talent management and development processes for both the engineer and project manager roles assess for desired competencies? 2016 Korn Ferry. All rights reserved 12

13 3. Develop and cross skill to encourage a broad perspective of the business How to do it: Encouraging leaders, engineers and project managers to develop multi-perspective thinking will help both sides move beyond rigid and entrenched views. The aim should be to instil a broader understanding of the organisation as a whole (including the company s strategic direction), and both the technical and delivery sides of the business. Crossskilling, coaching and the creation of more collaborative team working environments can support this. Key questions to close the gap: Does your organization enable engineers and project managers to develop an understanding and appreciation of each other s roles, and also wider areas of the business and strategy? Do graduate programs, mentoring and coaching schemes encourage and develop wider thinking? Are training budgets also invested in developing broader competencies (e.g. influencing) instead of just technical expertise and qualifications? 2016 Korn Ferry. All rights reserved 13

14 4. Build integrated leadership of project teams How to do it: Put together integrated project teams spanning the skills required to run complex, multi-disciplined engineering initiatives. Develop collaborative leadership styles and team climate Broader, more collaborative leadership profiles Key questions to close the gap: Do your leadership teams use a range of leadership styles to create a collaborative climate? Are the personal behaviours of leaders consistent with those that are needed to overcome the gap? Do organizational structures enable integrated leadership teams? 2016 Korn Ferry. All rights reserved 14

15 Case study: Integrating and collaborating to deliver 30 % cost savings Case study: A complex UK engineering business faced the challenge of reducing its operating cost by 30 percent over five years whilst maintaining its exemplary delivery record and safety and quality standards The existing organizational structure managed safety and quality well but delivery issues had begun to surface. To solve the problem, engineers were reintegrated back into the delivery teams and each regional team was incentivized as a business unit. Leaders designed and role modelled desired behaviours to encourage collaboration Margins and on time delivery improved across the portfolio Korn Ferry. All rights reserved 15

16 Let s recap

17 Successful projects require us to Mind the Gap The Gap is characterised by: The cost-time-quality triangle 1. Silo Working / Segregation 2. Over management 3. Project overruns The Gap is addressed by integrating: 1. Mind-sets Whole System View 2. Behaviours Aligning Incentives 3. Shared capability Cross-skilling 4. Integrated Leadership and Teams 2016 Korn Ferry. All rights reserved 17

18 Questions?

19 Find out more We have published a set of viewpoints and a research report to go with this series of webinars. We will send you these reports after each webinar. Three engineering workforce viewpoints The Gathering Storm research report 15 senior leader interviews 100+ survey responses 2016 Korn Ferry. All rights reserved 19

20 Get In Touch Paul Lambert Senior Client Partner, Industrials Market Korn Ferry Hay Group Colin Brown Associate Korn Ferry Hay Group 2016 Korn Ferry. All rights reserved 20

21 Thank you