1. Sheffield Homes Case Study Richard Whittaker Investment Manager Sheffield Homes

2. Agenda Background What We Used to Do Investment Planning Problems with Old Approach Supply Chain management Partnering Preparing for the ALMO The Need The New Approach What We Do Now Benefits of New Approach Conclusions

3. Background Sheffield is divided into 10 housing management areas looking after 55,000 properties Maintenance and repairs are carried out within an environment of £750 to £800m backlog of repairs April 1 st 2004, Sheffield Homes was launched to manage its housing stock and bring the houses up to the Decent Homes standard Sheffield Homes has been created as an Arms Length Management Organisation on behalf of Sheffield City Council.

4. What We Used to Do SIP and CETEP –Mainly traditional single element replacement schemes £14m budget –About 9 contractors –Short term traditional contracts (2+1)

5. Investment Planning Consult with Tenants and Residents Determine our city-wide investment priorities Produce a three year investment plan Keep it a secret

6. Supply Chain Management Client Sharrow Material Suppliers Other Network Providers

7. Problems with Old Approach Fragmented Inconsistency Short term relationships Quality of reporting Needed to change

8. Partnering Sir Harold Emerson ‘ A Diagnosis of Ill Health’ Latham ‘Constructing the Team’ Egan ‘Rethinking Construction’

9. Partnering Approach Active Client Active Contractor (1995) Partnering Trial Refurbishment Partnering Contractors The Three Ways

10. Maintenance Partnership Kier Sheffield LLP 10 Year deal Responsive, Cyclical and Void repairs £640m

11. Prepare for ALMO Bidding Process Area D&G 2004/2005 Area E,P,H 2005/2006 Other five areas 2006/2007 Subject to tenants vote and 2 BV inspections

12. Prepare for ALMO Area D&G Successful vote/bid £145m £28m expenditure 2004/2005 1 st BV inspection result had to be successful November result = 14 week delivery programme

13. Prepare for ALMO Strategy –Long term sick –Cheat Mobilisation –8 Weeks

14. Prepare for ALMO Transitional Works Programme 2,200 properties Remodelling properties Kitchens, bathrooms Windows Central heating fits 55 page Programme of works

15. Housing Inspection Result –Maximum three star rating, with promising prospects for improvement –From over 700 housing inspections carried out, only around 20 have won three stars. –Only a few of those for all the service

16. Procurement Selected Five Partnering Contractors –Connaught –Keepmoat –Kier –Lovell East Midland –Mears Group

18. Supply Chain Management Client Sharrow Material Suppliers Other Network Providers

19. Supply Chain Management Client Doors WindowHM&EBathroomKitchenAsbestos

20. Supply Chain Management Client Fire Service PoliceSchools Social Services Private Sector Housing Building Standards PlanningAmbulance

21. This means we can plan to Refurbish 55,000 properties to Decent Homes and/or Decent Homes Plus Standards –250,000 Windows –300,000 Kitchen Units –80,000 Doors –45,000 bathrooms –35,000 central heating systems –Completion rate = 150 properties per week

22. The Need Need to manage and track all information collaboratively A City-wide view is required for executive directors and main board members An Area-wide view for Area Managers and Local Board Members A Contractor wide view for Project Managers Need feedback to update the OHMS and APEX systems Need to work within contractual requirements

23. What we have to do Project manage in a consistent but flexible way

25. Process Management Process manage in an efficient way Retail Industries Standard Conventions Consistent Processes Throughout the Supply Chain

26. Collaborative Software package Procure an Enterprise Project Management (“EPM”) solution to manage the project Involved Partners in the requirements and selection process

27. What We Do Now Solution consists of Delcam EPM (Microsoft EPM and PS-Team) Web-based system, hosted by Delcam and accessible to all Partners via Internet All projects, documents and updates are managed by the EPM system Partners can still use their own systems for detailed planning and execution of work

28. EPM Views… City-wide View Area View Partner View Microsoft Project Server view (Gantt Charts)

29. 12  $ = Due date = Work Time = Cost

33. Drill into one Task Show associated documents (with version control) e.g. spreadsheet with the house details (from OHMS) or letters Show audit trail of activity in that Task

34. Click on Document to open it in a new window

37. How Does It Work Sheffield Homes Export out of OHMS to Excel file (containing house addresses, UPRN’s and details) Create Project placeholder in PS-Team Attach Excel file to Project in PS-Team Attach MS Project Professional 2003 template (based upon Microsoft Enterprise Global Template) Assign Project (“Phase”) to Partner Partner Downloads MPP template and XL file Modifies order in XL file to suit, and then loads into project template Schedules work in MS Project Re-uploads MPP file (now scheduled) to PS-Team Project Sheffield Homes Project Manager Imports MPP Plan into PS-Team (this creates the individual house tasks) Partner Logs onto PS-Team project weekly to update activity Sheffield Homes Project manager periodically publishes PS-Team Plan to Microsoft Project Server

38. Document Management – Create a document Library File Structure –Create Document Templates –Create circulation list by Library

41. Email messages are enhanced… 1)Colour coding – red, if you are assigned the task, grey, if you are just listening in on the topic. This makes it easier to spot the more important emails if you tend to receive a lot of messages in a day 2)Each email message has a unique task identifier. This can be used to move messages relating to different topics into specific Outlook folders automatically 3)Information can be found in PS-Team’s knowledge base so there is no need to keep messages permanently in an inbox folder 4)No attachments sent with the email. Instead, hyperlinks inside the message point you to the latest document revision 5)Users simply reply to a task, attach files and re-assign to others

42. Benefits of New Approach Integrated approach Collaborative working Project Management Flexibility Process Management Efficiencies You become a cog rather than a spanner

43. Conclusions Decent Homes Investment Programmes are a once in a lifetime opportunity, tenants and residents expect us to get it right. Partnering is not just about ‘TRUST’ its about ‘CONFIDENCE’ Decent Homes Investment Programmes are not Client, Contractor or Supply Chain Driven. They are driven by time The content of work is simple it is only made complex by volume If we are to succeed we need to work smarter not harder

44. Any Questions