Change is coming to HR… Are you ready?

Business transformation was previously driven by a focus on cost savings. It’s maturing at a rapid pace to focus on the customer, standardising functions where possible to drive efficiency and new service standards.

Any function involving transformation brings the people to the forefront – as a result, HR has become a strong voice in the boardroom.

Last week saw the return of APAC’s largest business transformation event. SSON’s Shared Services and Outsourcing Week really shone the spotlight on HR transformation throughout 2014 and into 2015.

Although we’ve seen a rapid change in the HR function of many organisations over recent years, there’s still plenty on the horizon. A few key areas stood out that I wanted to share with you. There’s also a practical look at some of the tips shared for the most common theme of the event… change management.

Process Standardisation

It’s going to be a tough balancing act between standardisation and specialisation – finding that balance is going to be critical to success.

Without standardisation it’s going to be nearly impossible to use KPIs to chart improvements as the HR function continues to become more strategic. It’s time to start thinking about:

  • How do you balance standardisation vs. specialisation?
  • What is the role of global process owners in standardisation?

Recruitment process

As it gets tougher and tougher to find the right skills to fit the right culture, organisations are starting to think outside the box when it comes to recruitment. With software engineering, energy and life sciences, mathematics, IT, and other technical skills in short supply, companies need to expand their sourcing and recruiting to a global level. That could mean locating work sites where the best talent can be found and building talent networks that attract people worldwide.

A couple of key questions are hot on the lips of many HR execs…

  • Should recruitment be kept in-house?
  • How do you select an RPO partner?

Culture

Long gone are the days when culture was just a nice add-on for organisations. Culture fit is going to have a big impact on recruitment; it’s no longer just about matching skills and salary expectations. This will no doubt be the make or break of many relationships for the organisations choosing to go down the outsourcing path for recruitment.

Enabling flexibility

There have been many studies demonstrating the focus on BYOD and flexible working. This is going to have a huge impact on HR, employees are going to get to choose how they want to work, and the business has to be agile enough to make it work.

Retention

Instead of making HR jobs obsolete, technologies will transform them, allowing HR professionals greater ability and more time to do their jobs and develop their skills improving recruitment and retention.

The key question: How can data be used to drive recruitment and retention practices?

A few of the case studies discussed how 99 per cent of the time on data has been spent looking for it, with 1 per cent left to analyse it and no time to action it. Data has some real potential to improve retention, offering insights to employees – something never before possible.. This won’t just be the fancy software; almost all speakers who have been through HR transformation spoke highly of employee surveys and implementing Employee Value Propositions (EVP).

Keeping momentum

The Hackett Group came armed with some statistics looking at where the focus was for continuous improvement over the next 12 months – talent management was a clear stand out.

Change management doesn’t end at installation; change leaders will have to embed the change principles into the day to day development of employees.

Change Management – The insiders tips.

Without doubt change management is still one of the biggest challenges any organisation faces. It’s clear to see why: process improvement, customer service, technology – it means nothing without happy staff driving it.

Here’s a summary of some key takeaways to consider in your organisation:

  • Drive it from the start. It’s a long term goal with the aim to be customer focused; all employees should respect and value each other and keep that front of mind.
  • Be firm. Don’t be afraid to send a message that if you’re not going to come on the journey for improvement, consider if it’s time to move on.
  • Culture sits next to strategy and operational excellence – build the values from the ground up and spend the time with the staff. All your service efforts are banking on it.
  • Don’t merely lift and shift when it comes to shared services or outsourcing – just because you’ve moved it, doesn’t mean the job is done. Take a look at exactly what the implication is for the business and the staff that work there. Change management and culture might be in the shared service centre, but what’s happening with the people left? The new challenge is to learn how to engage the shared service centre.
  • Be clear on the lines of reporting – your staff will get frustrated if they can’t get responses or outcomes.
  • Standardise where possible – simplify, standardise and leverage. Align the template to your own issues, take the methodology and link it to your own culture or environment. It’s about winning people’s hearts and minds and engaging them in what you’re doing. Using a template doesn’t always account for that – it’s just a starting point.
  • Look at what to use, when to use and how to use – there’s science to change management, and the art comes with how you use it.
  • Use analytics and insights – change can be hard to measure, but it’s not impossible. Use engagement surveys and indicators of satisfaction around sick leave, training, meeting participation and engagement rates. All can provide you with a benchmark to measure success – if that engagement goes up, you’re onto a winner.
  • Be flexible and adapt to your drivers – what drives your employees now might not drive them tomorrow.
  • Finally… Communicate, communicate, then communicate some more.

Accelerated design for new hospital – check out how it’s done.

In the run-up to Health Facilities Design and Development conference, I wanted to explore some of the new case studies on the agenda.

One topic that really stood out is Jeffrey Williams’ presentation in his role as Director of Nursing at St John of God Midland Public and Private Hospitals, in particular the short time it took to get the project off the ground.

I caught up with Jeffrey recently when he gave me a sneak preview on some of the features of the new hospitals, key design innovations and a breakdown of the user group consultation process:

Project overview

Construction of the new 367-bed co-located public and private hospitals has reached 70 per cent, and is on target for a November 2015 opening.

With 307 beds, the public hospital will offer a wide range of services to the communities of Perth’s northern and eastern suburbs and the inner Wheatbelt, while the 60-bed integrated private hospital will offer the choice of private health care.

State and Commonwealth Governments have jointly invested $360 million in the public hospital project that will be operated by St John of God Health Care under a public private partnership agreement. The WA-based private health care operator is investing $70 million in the private hospital.

Fast facts

  • First major hospital facilities to be built in the Midland area in more than 50 years.
  • HASSELL architects and Brookfield Multiplex are the design and construction partners.
  • The public hospital will treat approximately 29,000 inpatients, 55,000 emergency patients and 89,000 outpatients in its first full year of operation.
  • The public hospital will provide an expanded range of services from those provided by Swan District Hospital free of charge to public patients.
  • There will be 367 beds in total – 307 public beds and 60 private beds.
  • The public hospital will have 50 per cent more beds than the Swan District Hospital.
  • More than 1,000 staff will be employed at the hospitals.
  • Easy access will be provided for pedestrians, vehicles, and public transport.
  • On-site parking will include 725 staff bays and 221 visitor bays.
  • Easy drop off and access to the emergency department will be provided.
  • Patients, visitors and the community will enjoy landscaped gardens, courtyards, public art and plazas.
  • The hospitals are being built on an eight-hectare site, four times the size of the Midland Oval.

Accelerated design

The State Government released its expression of interest in September 2010 seeking responses within five weeks.

Post EOI submission, St John of God Health Care continued to work closely with its partners Brookfield Multiplex and HASSELL to develop a design within the allocated budget while awaiting confirmation of our selection to tender for the request for proposal.

Thankfully St John of God Health Care was selected and had a short 20-week window in which to prepare and submit a response.

On 1 December 2011, St John of God Health Care was announced as the preferred tenderer and, following negotiations, signed a contract with the Western Australian Government on 14 June 2012.

During the negotiation phase, St John of God Health Care, Brookfield Multiplex and HASSELL worked closely with the State Government’s consultants to ensure that any major design issues were dealt with at a high level so that construction could start as soon as possible after contractual completion.

This preparation allowed St John of God Health Care to achieve the State Government’s goal of starting work within one month of satisfying the conditions precedent, in August 2012

User group design

While we completed the design very quickly, we could only establish the design user groups after the contract was signed. This led to a concurrent construction and user consultation process that meant we had to focus on those areas where we needed to finalise the design and start building first.

We began a four-step user group process, with each group running between 16 and 20 weeks.

At the first meeting, we presented the users with a schematic design. The architects and builders then took the users’ advice and presented the modified design at the second meeting. The third stage was detailed design when we presented drawings showing room elevations and the position of furniture and equipment. The fourth meeting was a presentation of the final detailed design and allowing the users a last opportunity to highlight any remaining issues.  The detailed design was then signed off ready for construction drawings to begin.

Taking the Emergency Department User Group as an example, the users told us that the waiting room was too small and so we adapted the design accordingly. This process allowed us to drill down into the operational detail by asking them their opinion on matters such as the number of cubicles and the department’s layout.

Accelerated construction

While the user group consultations were taking place, preparatory construction work, such as piling and pouring concrete for the floors got underway. We also made decisions such as the location of wet areas to enable holes to be drilled for the later installation of pipes and drainage.

In those early days, we included around 130 square metres of expansion space on each floor. This built-in flexibility meant that we were well prepared for short-and long term expansion and design changes.

Managing expectations

From the word go, we made it clear to the user groups that the construction budgets were fixed.

The WA Health Clinical Services Planning Framework was a useful tool as some things were a given and did not need to be included in the design discussion.

For example, we had already made sure that we had the right number of beds and could explain to the users that we were working with a 30-bed medical ward, a 24-bed short stay surgical unit, or a 12-bed intensive care unit.  We also knew that St John of God Midland Public Hospital was a Level 4 hospital for cardiology and a Level 1 hospital for intensive care.

We were therefore clear about what we were trying to achieve and this allowed the users to understand the clinical scope so they could focus on how the unit might work and how we could make workflow more efficient.

Innovation in design

We standardised all of the rooms that are common across multiple areas of the hospital. For example, a dirty utility and a clean utility have the same layout in all areas.

We will be using swipe access widely throughout the hospitals for security, including to high traffic areas such as emergency department and restricted areas such as drug rooms.

All patient bedroom ensuite rooms were manufactured offsite as ‘pods’ to a standard, including a standard bedroom pod and a mental health pod, and installed within a short timeframe. While this was cost neutral from a construction perspective, cost and time savings were achieved in the installation.

We decentralised our staff stations, meaning that most ward areas have two or three staff stations instead of one centralised staff station and so clinicians will be closer to their patients.

Finally, we designed to accommodate future expansion. When the State Government issued its proposal for a 307-bed public hospital, they said that the hospital must have the capability to expand to 464-beds by 2021.

The design accommodates expansion in several ways:

1. Intensive Care Unit and Coronary Care Unit

This 12-bed shared unit has six rooms configured for intensive care patients and six rooms configured for coronary care patients. The six coronary care rooms can quickly be converted to intensive care rooms as the required services are already in place and space exists in the adjacent area for 12 coronary care beds to be installed with minimal disruption.

2. Operating theatres suite

The operating theatres suite is designed to cater for the maximum 464-bed capacity with nine theatres and three procedure rooms. These are all of equal size and configuration meaning that the three procedure rooms can easily be converted into theatres, while the procedure rooms can be re-located to a nearby area of the hospital.

3. Private beds

The two 30-bed private wards have been integrated in such a way that when the State Government wants to expand the public hospital from 307 to 367 beds, these can easily be converted into public hospital beds and St John of God Health Care will build a stand-alone private hospital on a nearby site.

4. Additional wing

The expansion to 464-beds can be achieved by adding a new wing extending out from the existing ward block on the northern side of the hospital. Again, this is designed to be achieved with minimal disruption to existing hospital operations.

Lessons learnt

I have two roles and two sets of responsibilities on this project: the first is clinical design and the second is transition and operational readiness. I have learnt lessons across both of these areas.

It was challenging in terms of the limitations on which people within WA Health that we and the other tenderers were allowed not access during the bid preparations. If we were to go through the same process in the future, we would request earlier and wider access to key players in the public sector.

Secondly, we would focus on operational preparedness earlier. While we had a firm view of how we would run the hospital, we did not start working through this in earnest until after the building program started. If we had begun earlier, we would have benefited from additional preparation time.

However, all aspects of the project, including the partnership with WA Health and the North Metropolitan Health Service, in particular, have worked really well. In terms of construction and commissioning, everything is on budget and on track for opening in November 2015

Working in partnership

The traditional public private partnership means the State saves on design, construction and facility management, but continues to deliver the service. As our model also includes clinical services delivery, the State Government can achieve further efficiencies.

Overall, it has been a very positive process, with the focus now firmly on completing construction, operationalising our commissioning program and finalising the details of the patient transfer from the existing Swan District Hospital that will close when the new hospital opens.

Hear more from Jeffrey during his presentation at Health Facilities Design and Development Victoria.

8 lessons learnt from dredging projects

There’s no shortage of hold-ups when it comes to dredging projects, with such a big industry, Australia is full of them. Ahead of Dredging and Reclamation 2014, I caught up with a few project leaders to see where mistakes have been made. Some key areas stood out that I wanted to share with you:

Mapping is key

Financial considerations are hard to overestimate in any project. Developers can often be unwilling to spend money on mapping and monitoring, instead opting for the simplest possible technique. Unfortunately, as you go down the line with this approach, there’s still some surprise when the approvals get rejected. Without the right equipment, the operation tends to go over thresholds or other similar measurements. In the field, the simplest technique doesn’t give you the answer all the time. You’ll only end up having to spend your money on fines and delays instead. Be one step ahead of the regulators and the public.

Transferring risk can end up costing big bucks

Dredging project owners are always looking to reduce their risk, trying to create contracts that transfer risk to the dredging contractor and it doesn’t work. A contractor can decide at some point that they haven’t made enough money, pick an area of AS 2124 and attack it and make a claim. If multiple contractors operate within a wharf or similar structure at the same time, this can cause access issues and lead to further claims.

There’s an illusion in the current way contracts are done that risk can be transferred from the project owner. Whilst this may save short term costs, it can lead to substantial cost and time delays down the line.

Owners still have a lack of experience in terms of practical dredging knowledge. Most teams have a procurement unit working in isolation and independently of everyone else, which leads to a single vision. Risk becomes points on a paper inside a contract that becomes transferred rather than dealt with from a practical view.

Communication is top priority

It seems obvious, but it’s still an area that leads to many issues throughout the dredging process. This is crucial both for contract relationships and to avoid delays and disputes from stakeholders.

Collaboration, partnership, and being able to see another person’s perspective is key. Building a rapport builds confidence and trust that the contract and project is being handled responsibly – work together early and often, both at the project level and more broadly.

Good planning up front and a robust assessment of baseline environmental conditions needs to be locked in. Have a very well defined project description early on and don’t change it. All of those things will help approvals, stakeholder communication and consultation.

The ‘unforeseen’ can be avoided

If you’re acting for the Principal, start thinking about the likelihood of unexpected conditions at the early feasibility stage of a project right up to when you select a tenderer. After selecting a tenderer and the Contractor is working on site, you lose much of the power to influence. Take steps to identify possible latent conditions at any early stage, before you’re confronted with them during project execution.

Latent conditions need to be managed

If a Principal is faced with a more complex project with varying soil and rock types, then it is well advised to carry out a more thorough investigation to lower the risk of not detecting a latent condition. Obviously there is a cut off; a Principal can’t investigate every cubic meter for the planned Project.

Any site investigation can only be a representation of anticipated subsurface conditions. Principals should always aim to reduce the risk to an acceptable degree. Consider Early Contractor Involvement with the scope of the planned site investigation.

Geotechnical modelling has huge potential

 

Both the Principal and the Contractor should formulate a robust 3D geotechnical model of the likely subsurface conditions. The model can determine what materials you are likely to encounter in different types and categories.

The Principal’s consultant and the Contractor’s production estimator can then calculate the derived productions fairly accurately. If a latent condition is encountered, a geotechnical model can provide the parties with a benchmark to calculate where the differences are. Be wary of interpretation – different biases can lead to issues.

Take proactive measures

A proactive way of dealing with disputes as they arise is needed. A dispute board can be selected for their knowledge and expertise before any dispute has arisen. By undertaking an on-going relationship and regular site visits, the dispute board will acquire a good working knowledge of the project. When a dispute arises, the dispute board will have a much better understanding than a court or arbitral tribunal, which will only be appointed after a dispute has arisen.

Keep learning and evolving

The fundamental of dredging is that you dig the stuff up out of the ground and put it somewhere – that hasn’t changed. What has changed is the way that you do it, and that’s driven from environmental approvals.

The management of reclamation areas has improved enormously, and understanding how to minimise the amount of turbidity or sediments that get back into the environment. That’s going to become much more important as work is done in the Great Barrier Reef Marine Park. Innovation will be dealing with the conditions and coming up with the best outcome using all of your knowledge and resources available to come up with a solution.

The Dredging and Reclamation conference has been developed as a value creation forum where knowledge, new ideas, best practice and real world learning experiences can be shared amongst other dredging professionals. Providing key case studies from leading practitioners, the conference will share insight into Australia’s most exciting dredging projects in the planning, design or development stages.

Find out more by visiting www.dredgingandreclamation.com.au or call 02 9229 1090.