DEVELOPING THE ORGANISATIONAL DESIGN FOR THE SPMC

1
NDPW TRANSFORMATION RESTRUCTURING
PRESENTATION TO THE PORTFOLIO COMMITTEE NDPW
Project Plan
16 April 2003
2
Contents

• NDPW Transformation Project Background and
  Overview Role-players, roles and responsibilities
• Transformation Project Plan

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Change imperatives

• Need for client focused approach
• Government as a whole was changing
• Client becoming more aware of service standards
• Public Works function under review in other parts
  of the world
• Transformation of DPW continuous and efficiency
  driven
• Infusing business principles in our approach

4
NDPW Transformation Project Background and
Overview

• The Department was faced with major challenges in
  the delivery of its core mandate as envisaged by
  the new government strategy, key among them being
  the following
• An inability to maximize the R.O.I. on State
  Assets due to the non-existence of an Asset and
  Property Management wing
• An inability to deliver services quickly and
  efficiently to client departments
• An inability to take leadership of the Industries
  within which the Department operates and in
  particular to lead an Industry Wide
  Transformation effort
• The Department then embarked on a transformation
  effort aimed at changing this state of affairs
  and adopted the following key strategic drivers
  to inform its transformation route
• CUSTOMER FOCUS To provide service delivery
  excellence through customer focused world class
  operations.
• OWNERSHIP To maximise government shareholder
  value through best practice immovable asset
  portfolio management practices.
• POLICY To provide leadership in the setting and
  monitoring of construction and property related
  transformation programmes, policies and
  regulatory guidelines governing government and
  the industries at large.
• POVERTY To maximise the impact of government
  initiatives on the poor by driving the effective
  implementation of governments community
  development programmes

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The strategic focus of the department will rest
on the 2 interlinked legs.
New NDPW
Policy Ownership
Operations
HEAD OFFICE
HEAD OFFICE
Shared Services

• Owner
• Policy development
• Social development

• Strategic Property Asset Management
• Accommodation Services
• Strategic Planning
• Customer focus
• Service delivery

• Finance
• HR
• IS

REGIONAL OFFICES
REGIONAL OFFICES

• Decentralization
• Single Point of Accountability

Compliance guidelines and directives Implementatio
n in regions
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NDPW Transformation Project Background and
Overview.

• The Department was on the brink of implementing a
  Transformation Plan based on different timelines
  when Resolution 7 8 of 2002 were introduced as
  a Framework for the Transformation of the Public
  Service.
• The Department then aligned its Transformation
  Implementation to this government wide effort.
• The Department was faced with a massive challenge
  as it was not merely restructuring but truly
  seeking to Transform itself into a commercially
  robust entity able to meet its private sector
  competitors on equal footing and able to deliver
  maximum return to the State and its Clients
  whilst operating within the bureaucratic
  confines.
• The Department rolled out its Transformation
  during August 2002.
• During this Implementation Phase a lot of
  grievances were received arising from the
  matching and placing exercise.
• This prompted the new Director General in
  consultation with the Minister to order a review
  of the whole project, the outcome of which
  resulted in the whole process being reviewed.
• The decision to review gave members of staff and
  the management team another opportunity to
  critically analyze the whole project and to
  reassess the new Implementation Framework.

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NDPW Transformation Project Background and
Overview.

• The Project Team that is managing transformation
  consists of a Project Manager and a multi
  disciplinary project team reporting to him.
• This Project Team is responsible for the delivery
  of the entire Transformation effort which is
  aligned to the 30 June 2003 deadline of
  implementing Resolution 7 8 of 2003.
• Transformation will continue beyond the 30th of
  June but the people issues will have been
  resolved and finalized by then.
• The Team has developed a Project Plan Detailing
  how Transformation will be delivered

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Contents

• NDPW Transformation Project Background and
  Overview Role-players, roles and responsibilities
• Transformation Project Plan

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The transformation project plan has a number of
sub-projects that must be well coordinated to
ensure successful outcomes
Change management
DPSA Report Review
To-Be Processes
To-Be operational policies procedures
Ideal To-Be NDPW
Current As-Is NDPW
To-Be Org Structure
To-Be IT/IS
Matching Placement
Close-out reports
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For each of these sub-projects there are specific
activities and expected outcomes with cross
dependencies and timelines.
Activities
Timelines
Dependencies
Outcomes
Resources
Change management
Critical Review
DPSA Report Review
Critical Review
Critical Review
Critical Review
To-Be Processes
To-Be operational policies procedures
Critical Review
Critical Review
To-Be Org Structure
To-Be IT/IS
Critical Review
Matching Placement
Critical Review
Critical Review
Close-out reports
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Overview
Change Management
DPSA Report Review
Process mapping
Operational Policies Procedures
Structural review
Space Planning
IT/IS Systems
Matching placement
Phase 1 Closeout Reports
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Change Management
Project Dependencies None Critical Success
factors Accessibility to all stakeholders,
Project Reliability, Timeous Reporting
Change Management
Dipsticking
DG Messages to All Staff
Teleconferences
Pamflets to All Staff
WorxNews
Vistits/Meetings (EMC/TMC/Manco/DTT/ALL Staff
Team Resources C. Alexander, L. Mxenge, K.
Oagile, Communications et al Outcome Approved
activity planning
Frequently Asked Questions Reply Leaflets
Start 01/04/2003 Continuous
Counselling/Motivational Speakers/Team Building
Sessions
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DPSA Report Review
Project Dependencies None Critical Success
factors Availability of stakeholders, formal
approval of activity planning by stakeholders
(Minister, DG, DPSA)
Meetings Meetings with DPSA, Internal
Stakeholders, DTT, DGs Office re outcomes of
DPSA report
Documentation drafting Report formulation
responding to outcomes of DPSA report with
activity planning going forward
Start 13/03/03 Finish 20/03/03
Start 17/03/03 Finish 27/03/03
Team Resources C. Alexander, K. Oagile, L.
Fakazi, G. Sebati, L. Mabuntana, J. Tsimo, B.
Annandale et al Outcome Approved activity
planning
To-Be Processes, Policies Procedures
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To-Be Processes, Operational Policies
Procedures...
Project Dependencies Approved activity
plan Critical Success factors Organisational
buy-in through extensive consultation

• Process mapping
• Design and delivery of draft high level processes
• Detailed design consultations
• Presentations / Roadshow on detailed designs (RO
  HO)
• Delivery of final process mapping
• Approval of final report

Team Resources C. Alexander, L. Dhlomo, J.
Tsimo, P. Chiapasco, J. Vermaak et al Outcome
Approved To-Be Processes, Policies Procedures
and Organisational Structure
Start 26/03/03 Finish30/04/03

• Operational Policies Procedures
• Review of existing policies procedures per
  process
• Design and delivery of draft policy and procedure
  manuals
• Presentations / Roadshow on final policy and
  procedure manual
• Incorporation of input from road show
• Approval of operational policies procedures

Start 04/04/03 Finish30/04/03
To-Be Structure space planning
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To-Be Organisational Structure including Space
Planning
Project Dependencies Alignment of To-Be
Processes Critical Success factors
Organisational buy-in through extensive
consultation, structure alignment with ENE budget
estimates

• Structural review
• Review with TMC / Senior management
• Review with Managers per cluster
• Review with HR Finance (costing)
• Review with Office of the DG
• Approval of structure

• Costs made up of
• Staffing costs
• Annual increases
• Annual bonuses
• Merit awards
• Notch increments
• Severance packages
• Pension payouts
• Leave liability
• Deployment costs
• Recruitment costs

Start 28/03/03 Finish24/04/03

• Space Planning
• Draft space requirements
• Costing and layout
• Approval of space requirements
• Final space requirements
• Commence with acquisition of accommodation

Start 07/04/03 Finish25/04/03
Team Resources C. Alexander, G. MacMaster, J.
Vermaak, J. Tsimo, S. Mosegomi et al Outcome
Approved and Affordable To-Be Organisational
Structure
To-Be IT/IS
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To-Be Organisational IT/IS Systems
Project Dependencies Inputs from To-Be
Processes, Operational Policies
Procedures Critical Success factors Alignment
with user needs, IT budget availability,
procurement and implementation roll-out time

• IT/IS Systems
• Procurement of enterprise architecture systems to
  design To-Be IT/IS systems
• Input of user needs based on To-Be Processes
• Design of required enterprise architecture
• Procurement of systems
• Implementation
• Testing
• Roll-out

Start 01/04/03 Finish30/07/03
Team Resources C. Alexander, N. Mosupye, J.
Tsimo, L. Mabuntana et al Outcome IT/IS
infrastructure enabling To-Be business needs
Matching and Placement
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Matching placement and project closeout
Project Dependencies Approved To-Be
Structure Critical Success factors Approved
matching placement criteria and implementation,
availability of data / information required to
implement criteria

• Matching placement
• Design and DPSA approval of matching placement
  criteria and implementation plan
• Compilation of all data / information required to
  apply criteria
• Internal matching placement
• Advertising within Dept External for SMS
• Consultation letters to excess staff
• Interviews appointments
• Development of excess vacancy list
• Open up applications for severance package VERP
• IDTT approval re external adverts
• Second round of advertising (external)
• Shortlisting
• Interviews (all adverts done before 1 June)
• Interviews appointment deadline
• Counselling severance package
• Reports
• Draft report on transformation
• Final report on transformation

Start 14/04/03 Finish29/07/03
Team Resources C. Alexander, K. Oagile, L.
Fakazi, G. Sebati, P. Chiapasco, L. Mabuntana et
al Outcome Populated To-Be organisational
structure

• Closeout Reports
• Draft report on transformation
• Final report on transformation

Start 01/08/03 Finish18/08/03
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There are additional key factors for that top and
senior management need to keep in mind for
achieving successful transformation
Critical Success Factors

• 100 buy-in by top management to the aims and
  objectives of transformation
• Transformation effort must be driven from top
  management level
• Strong involvement and support required from
  senior management particularly in the cascading
  of transformation initiatives to lower levels of
  the Department
• Accessibility of top and senior management to
  staff across the organisation
• Accessibility of (correct) information to staff
  across the organisation
• Clients must be increasingly informed of
  envisaged service delivery improvements and major
  transformation project milestones
• Financial and other resources must be available
  for meaningful participation and effective
  project implementation
• Work teams must pro-actively identify and manage
  project risks

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Conclusion-Key challenges

• Alignment DPSA process with Government wide
  transformation (Resolutions 7 8)
• -Time pressures
• -Interpretation issues
• Transformation fatigue
• Morale issues
• Improving communication with all levels of staff
• Increasing pace of change
• Finalising the new structure (and costing
  thereof)
• Expediting appointment process
• Stabilising leadership core
• Need to change mind-sets
• Need to establish efficiency to inform continuous
  transformation of DPW.