the human side of standardization - pidx.org · benefits of standardization. enables smooth handoff...

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The Human Side of Standardization

November 14, 2016

Peggy MontanaDirector, Shell Midstream Partners

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Copyright of Shell Pipeline, LP

My Experience

2PIDX Conference November 2016


Benefits of StandardizationEnables smooth handoff between processesMake possible performance comparisonsCommon language and better understanding of how the business operates

Multiple CompaniesMakes commerce easier for the same reasons aboveCan allow for easier offshoring/outsourcing of processes



“Frictionless” Commerce is Key


VS


Standards change


https://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjOsoLg3prQAhVFy1QKHXfXDikQjRwIBw&url=https://redmondmag.com/articles/list/windows-7.aspx&bvm=bv.138169073,d.bGg&psig=AFQjCNHRNxqj9zvGG2AaA9xDSTxLst1b-Q&ust=1478748779373721


REACTIONS VARY


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WHY DO TECHNOLOGY PROJECTS FAIL?

42% Leadership27% Organizational and Cultural Issues23% People Issues4% Technology Issues4% Other


Jim Markowsky, Organization Dynamics, 1995


Change Management is Key

9PIDX Conference November 2016Source: Org-Oz.com


Business Context – Shell Adapting to Changing World

100 years of success and growth through strong local autonomy and proximity to the customers...

...challenged by the requirements of a globalised world.

http://en.wikipedia.org/wiki/File:COLLECTIE_TROPENMUSEUM_Afscheepsteiger_Tarakan_14_TMnr_10010382.jpg

http://www.google.co.uk/imgres?imgurl=http://www.canninghouse.com/res/gfx/partner-shell.gif&imgrefurl=http://www.canninghouse.com/content/corporate/links/&usg=__guxRkFfQBhh_c3N-uxZuCb49PsQ=&h=180&w=180&sz=5&hl=en&start=18&zoom=1&um=1&itbs=1&tbnid=SI5HhKE-IdGO5M:&tbnh=101&tbnw=101&prev=/search?q=Shell+International&um=1&hl=en&biw=1259&bih=878&tbm=isch&ei=AsHbTZa4DcOv8QPlxoAG

http://www.google.co.uk/imgres?imgurl=http://www.treehugger.com/vintage-shell-oil-can-080801.jpg&imgrefurl=http://www.treehugger.com/2008/07/27-week/&usg=__vBOREI3KqVPE9sy_gc_iI2vpu_w=&h=374&w=468&sz=142&hl=en&start=13&zoom=1&um=1&itbs=1&tbnid=1-S4JzNdBZRYCM:&tbnh=102&tbnw=128&prev=/search?q=the+history+of+Shell+Petroleum&um=1&hl=en&biw=1259&bih=878&tbm=isch&ei=diDVTcXGB4y6-AaQ9eSeDA


The Case for Change

Panel 1b

media reporting -1999-2001

PIDX Conference November 2016

Global standardization would reduce complexity and costsEconomies of scale

become vital to growthEarly adopters of global

standardization would secure competitive advantage

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~140

6,000+

Local high cost

Limited

Variable andinconsistent

FROMFully direct,complex

Business Models

Enterprise systems

Connected IT applications

Back office

Process management

Customer Service

SIMPLIFICATION AND STANDARDISATION

1

~ 250

Shared services/ low cost

Operationally excellent,real time by KPI

Standardised and consistent

Simple,low cost

TO

Operational Excellence

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What’s the Status of your processes?



Don’t Automate Chaos

15MOST CONFIDENTIAL

http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjhi9ycgJzQAhXGlSwKHSeTCgQQjRwIBw&url=http://www.openforum.com/articles/10-tips-to-eliminate-chaos-in-your-daily-routine/&bvm=bv.138169073,d.bGg&psig=AFQjCNE5dSkEQGmw8d4ovPKTk-4sZrBwxw&ust=1478792062762941


Widely varying Processes at the Start

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Business Leads, Not IT


https://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjpiL-O_pvQAhXKiywKHYw1Cx0QjRwIBw&url=https://www.nuigalway.ie/engineering-informatics/information-technology/&bvm=bv.138169073,d.bGg&psig=AFQjCNFwv_olREYOFxM5wqq_B64HVkCPog&ust=1478791528844898


Start Earlier Than You Think

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http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwjylPiThJzQAhVD2ywKHc2gAwoQjRwIBw&url=http://startups.co.uk/10-steps-to-starting-a-business/&bvm=bv.138169073,d.bGg&psig=AFQjCNFW79yvTQIJi3Wod_Ed1GydxhJgOw&ust=1478793149051416


Mobilize Leaders



No Fly Zone


http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&ved=0ahUKEwjbmKmurJ7QAhVGiSwKHQ_7DXUQjRwIBw&url=http://www.cbsnews.com/news/napping-controllers-spotlight-shift-work-dangers/&bvm=bv.138169073,d.bGg&psig=AFQjCNHDkXOEoB5Ihon7PiiChFlxBQ0hwg&ust=1478872634116344


Use Your Best People



Get people READY For THE CHANGE

Communicate- What Happens, When Clear Roles and Responsibilities One Team Get Them Involved Celebrate Successes along the Way Don’t Forget the Customers Training



Aha Moment: Training



Test, retest and test some more



Implementation: You won’t feel ready and it wont be perfect



The REAL Finish Line


http://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwif-ePsiZzQAhVB2ywKHXgmDdgQjRwIBw&url=http://fitz.hk/sports/running/%E9%A6%AC%E6%8B%89%E6%9D%BE%E8%B3%BD%E5%BE%8C%E6%81%A2%E5%BE%A9/&bvm=bv.138169073,d.bGg&psig=AFQjCNHkLbB4_uFqcaUpzlP7iRMNErkRSw&ust=1478794634565955


The Human Side of Standardization


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PIDX Conference November 2016

the human side of standardization - pidx.org · benefits of standardization. enables smooth handoff...

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