Transcript eXegy Partners - Target PSP

ISM / APICS Tampa
Business Requirements – the foundation for sourcing,
supplier management and stakeholder engagement
Presented on behalf of eXegy Partners, LLC
Erik Stavrand
November 21, 2013
© eXegy Partners, LLC 2013 – All Rights Reserved
Agenda
Topic
Page(s)
Who is eXegy?
3-6
Business Requirements Analysis
7 - 20
Practice Session
21
Closing
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Partners, LLC 2013 – All Rights Reserved
7/18/2015
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2
A very brief introduction – you’re not here for a commercial
WHO AND WHAT IS EXEGY?
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Partners, LLC 2013 – All Rights Reserved
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About eXegy
Procurement transformation focused consultancy
eXegy
"eXegy" is our unique
adaptation of the Greek
word exegesis which is
focused on the merits of
consistent process &
effective learnings transfer.
•
Our Experience:
- Foundation of experience in senior corporate roles
- Deep category experience across numerous sectors
- Wide range of successful consulting experience
- Best practice supply chain exposure
- Demonstrated ability to enable self-sustainability
•
Our Approach:
- Deeply experienced consultants who are credible at
personal and professional level
- Day 1 plan for self-sustainability
- Ensure cross-industry best practices are reviewed
and applied appropriately
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Partners, LLC 2013 – All Rights Reserved
7/18/2015
4
Client History
We supported supply chain transformation in the following global clients:
Associated British Foods plc
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Partners, LLC 2013 – All Rights Reserved
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Scope of Services
•
•
•
Capability Assessments
Delivery Modalities
- Classroom Based
- Web based – Instructor Led
- On-line self-directed learning modules
- Train-the-Trainer (“Boot Camp” Leadership)
Approach and Ongoing Support
- Training delivery modulated to align with
actual application
- Stage Gate Reviews
- Certification – Theory, Application and
Delivery of Results
End-to-End Capability Development Delivering an Integrated
Procurement approach with Measurable Results
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Partners, LLC 2013 – All Rights Reserved
7/18/2015
6
Without business requirements and a strategy we’re shoppers.
BUSINESS REQUIREMENTS
ANALYSIS
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How do you work with stakeholders?
Maybe there’s a better way….
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Partners, LLC 2013 – All Rights Reserved
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Who is this?
Add picture of Abraham Maslow
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Maslow’s Hierarchy of Needs
Self-actualization make the most of your abilities
Aesthetic: attractive surroundings (nice house, car, etc)
Cognitive: increase intelligence, learn, discover, create
Esteem: respect, self-esteem, fame, confidence
Social: friendship, intimacy, family
Safety: personal, financial security, health
Physiological: eating, drinking ,breathing
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Partners, LLC 2013 – All Rights Reserved
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10
Business Requirements Hierarchy
Innovation
A/R Q S C I
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Partners, LLC 2013 – All Rights Reserved
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Benefits of Business Requirements
Analysis
Linking the business objectives with the sourcing
strategies
Enabling development of the most appropriate strategies
Segmenting and selecting the appropriate suppliers
Enabling the appropriate internal management of
commodities
Establishing the basis for SLA’s and KPI’s
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Assurance of Supply and
Regulatory/Ethical Right to Use
Guaranteed availability of regulatory and ethically
compliant goods/services when needed.
Available capacity
Ability to ramp up and ramp down capacity
Quantities required, when and where
Legal and regulatory compliance
Environmental and similar ethical needs
Safety
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Quality
Quality in design of goods or processes
Quality in meeting specifications
Reliability
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Service
Lead-times and order flexibility horizon
Electronic Data Interchange
Vendor scheduling
Inventory holding and staging
Co-location of production
Response times
Help Desk/Call Centre
Dedicated account manager
Continuous improvement
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Cost
Current and future cost requirements
Cost reduction/avoidance
Continuous improvement
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Innovation
Preferred access for competitive advantage
New product plans
Use of leading-edge technology
Market-driven innovation
Supplier supported innovation
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17
Internal Customers - Ask Open-ended
Questions:
What is it about this Category that is particularly important to your business?
What are its most critical properties?
How can what we buy be improved to better suit your needs?
What problems or issues do you have with this Category?
How would you prioritize your needs regarding this Category: quality, supply,
innovation, cost?
How will your need, purpose, and use of categories within this Category
change in the future?
What would success look like in 3 years? What breakthroughs do you seek?
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Partners, LLC 2013 – All Rights Reserved
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18
Developing Business Requirements
Some of the toughest work a team will do!
Looks easy … often difficult because:
– People confuse wants and needs (Ask 5 “Why’s”)
– Business requirements can change over time
– Highly diverse teams (geographies/countries)
often bring vastly different views, especially
regarding what’s important
– S-M-A-R-T
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Making Business Requirements SMART
S
M
A
R
T
(Specific) To the point and behavioral in nature.
(Measurable) Observable characteristics that will define successful
achievement.
(Attainable) Possible to attain; but a stretch. “Just out of reach but not out
of sight”; in some cases may relate to continuous improvement.
(Results Oriented) Truly worth taking on; it is of value. Provide outcomes
that impact processes.
(Time Bound) A clearly identified time element that can be mutually
agreed.
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Partners, LLC 2013 – All Rights Reserved
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20
It sounds so easy – let’s see how this works…
PRACTICE OPPORTUNITY
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Partners, LLC 2013 – All Rights Reserved
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21
The ‘Virtuous Circle’ of Trust Building
You
Stakeholder
Business Needs
Understand all of their
needs
Feels Understood
(accepts your role)
Act on Their Needs
Buys-In
(trusts you)
Develop Plans
Measurements Created
Buys-In Further
(trusts you more)
Over-Delivery
(all measureable)
Values your role
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Partners, LLC 2013 – All Rights Reserved
7/18/2015
22
Questions & Answers
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Partners, LLC 2013 – All Rights Reserved
7/18/2015
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