Energy industry – Agile SAP project

Agile project brings substantial performance improvements

Marked improvement in quality, efficiency and flexibility at British energy group

In order to substantially increase its profitability, a British electricity and gas supplier with almost 10,000 employees is pushing ahead with a series of cost-cutting programs. One focus is on cost savings through the reduction of IT platforms.

Assignment

As part of the reduction from three (Domestic, Small & Medium Enterprises (SME), Key Account/Multisites) to two IT landscapes, around 90% of SME customers were to be transferred to the B2C segment and 10% to the Business Solutions segment. This was due to price transparency measures adopted by the regulatory authority, which made the SME segment legally similar to B2C customers. consistency was commissioned to introduce a scaled, agile management approach to enable the frictionless migration of SME customers to the new target landscapes with as few system adjustments as possible and to provide methodical support to the client and its external software service providers.

Implementation

To ensure significant quality improvements, more efficient implementation, faster adjustments and a strictly prioritized approach, Scrum was used instead of the classic waterfall method. Based on a scaled Scrum approach with three IT implementation teams and six “non-IT” teams, an entire program including the Program Management Office was managed in an agile manner for the first time. At the beginning, full-day training sessions were held for all employees involved to teach them the basics of Agile and Scrum. The managers learned about the opportunities and challenges of agile working in 30-minute sprints in so-called “Agile Awareness Sessions”. In addition to the ongoing learning and change processes, nine scrum teams spread across two continents had to be set up, coached and managed. Another challenge was to harmonize the software implementation by an external IT service provider with the internal customer requirements. In order to demonstrate the added value of the iterative approach in practice, an agile method was chosen for the assessment of the new IT service provider and the project initialization. In addition to providing intensive technical advice, a consistency consultant took on the role of agile coach. Furthermore, a contract was drawn up that uses an agile balanced score card to promote agile collaboration with the service provider throughout. The Chief Scrum Master provided by consistency supported the entire non-SAP area in six workstreams as well as the customers and suppliers in the agile implementation and coached a total of seven Scrum Masters. This enabled a consistently agile approach from project management at senior level through to software development after just a short time.

Conclusion

As part of the agile program, the IT landscape for Small & Medium Enterprises was dissolved and the customers were gradually transferred to the new domestic landscape. In addition, the program established a new strategic IT partner with an agile skillset and promoted agile collaboration with all service providers using the Agile Balanced Score Card. Finally, the efficient implementation of the previously vague legal requirements with the help of Scrum showed that agile methods promise success, which, this much is already certain, will set a precedent in the Group.

3

SAP implementation teams

6

NON-SAP teams (IT & NON-IT)

> 20 million

Pounds budget

approx. 3 million

Pounds of savings per year

> 150

Project staff

9

Months Implementation phase

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