CEPAS reflection

To: John Smith

From: Shivangi Gosai

Date: 7/28/14

In context to the presentation held on Tuesday regarding the EZ-links and nets e–payments, I believe that the CEPAS implementation was a smart step taken for the welfare of the people of Singapore. Looking prior to 2009, when Singapore was dominated by two major card issuers with non–interoperable cards: LTA and NETS, created consumer inconvenience. However, CEPAS focused more towards an open situation i.e. a thought of having one card across all systems. I believe that on enabling this synergy between applications will minimize resource duplication. The idea of allowing both companies to operate independently and all they have to do is to adhere to the CEPAS standard seems to bring out the best from the individual strategy. Using a third party governance seems to fit the idea as it will eliminate biases and create equitable payment system. Finally, with a proper backend system which ensures accurate transmission, encouraging consumer and business adoption by offering easy access, incentives and marketing will end up getting a successful CEPAS system.

Regards,

Shivangi Gosai

Bombardier ERP Implementation Reflection

To: Richard Peterson

From: Shivangi Gosai

Date: 07/21/2014

This memo is prepared in response to the presentation held on Tuesday, with the consultant team, regarding  how Bombardier can improve its ERP implementation at the third  location and subsequent locations. As  stated in  the presentation,  Bombardier’s second  implementation at Saint-Laurent greatly  improved  from  its  first implementation at Mirabel.  Bombardier wonderfully completed some facets of implementation. These facets included knowing why the company was implementing an ERP system, recognized the value in early planning, understood the  business  processes and planned for data migration. However, Bombardier fell short in key phases which if addressed properly could lead to better implementation results.  The consultants  discussed  that Bombardier needs to improve upon building a  business  case for  an  ERP  system  with a positive ROI, gain  executive  and  organizational  commitment, ensure proper project management and resource commitment and invest in training/change management.

After unsuccessful implementation of ERP in the first rollout, Bombardier obtained rigorous feedback and implemented corrective actions in the second rollout resulting in successful implementation of ERP in the organization. The evaluation of the first and second roll out by the consultants showed a dramatic improvement in the various elements. For example, establishment of clear vision and strategy, effective project and change management, well documentation, organizing, allocation of sufficient resources, effective communication, and phase implementation improved a lot. I was quite impressed by the dynamics of transformation that integrated the levels of best practices. I agree to the areas of improvement recommended by the consultants that included knowledge transfer among the team members, effective communication between project and business teams, and evaluation of time on a realistic basis and expand scope of future rollouts.

To  address  the  inherent  disconnect  between  management,  employees  and  the project  team  and  the issues mentioned above, a best practices framework was presented. After listening to  the consultant’s recommendation  and  analyzing  my  own research,  I  agree  that  Bombardier  needs  to  implement  a  best  practices  framework.  Even  though  the  company greatly improved from the first implementation, there are still numerous issues not being addressed.  The best practices framework of presented was comprehensive and helps the company understand the importance facets.


I believe the recommendation to adopt a best practices framework is in Bombardier's best interest.  The company has committed a great deal of financial and personnel resources to this project and implementation is key in determining overall success. The best practices framework should not only be carried out by the project team but also management while the employees should be aware of this framework. If the best practices framework is carried out properly, implementation at the third location is projected to surpass the Saint-Laurent implementation.

Regards,

Shivangi Gosai

EZ-LINK AND NETS E-PAYMENT

Background:

The e–payments landscape in Singapore was previously dominated by two major card issuers with non–interoperable cards. The Infocomm Development Authority launched an initiative to develop an innovative standard that would provide an interoperable platform in order to boost local micropayments and open up e–payment services for consumers. The result was a pioneering ISO standard – the Contactless e-Purse Application Standard (CEPAS). This open standard, with unique security and high performance features, enabled multiple payment applications offered by different issuers, to be on a single smart card.

Challenges:

When consumers or business customers use their cards to make purchases, two processes are set in motion. First, there is a data or information process and secondly, there is a payment or financial settlement process. The data process is empowering, yielding valuable market information and the opportunity to monetize it. The payments process can be enriching, although this depends on how the profits are distributed along the value chain and the positioning and business practices of the stakeholders involved.

As card usage grows throughout the region, the volume of data processing is driving the trend towards specialist payment processors. However, there are new challenges arising as this ecosystem develops such as:

• Challenges and trade–offs in the development and deployment of this platfor
• Orchestrating the efforts of multiple stakeholders and balancing various stakeholders' legitimate interests.
•   Incentivizing investment in supporting infrastructure and complementary innovations
• Promoting the adoption and diffusion of the cards by consumers and merchants

               

Stakeholders and their motivations/incentives:

There were various stakeholders affected by the CEPAS alliance including consumers, card issuers, companies using e-payment systems, and the Singapore government. The card issuers preferred the new e-payment system because it might prove to be cost effective on long run. Moreover, the objective here was to move away towards a common environment i.e. using single card across all systems. This change has potential to increase revenues by driving down the costs.

Innovations:

More and more markets are adopting contact-less technology and Consumers and retailers have experienced the benefits in speed and convenience as well as reliability of contact-less devices. Contact-less cards have proven their advantages in numerous implementations, especially in the transport / ticketing and payment markets.

Motivation:

Developments in Singapore’s payments ecosystem are the outcome of strategic government planning based upon commercial principles. The government’s Infocomm Development Agency (iDA) has been promoting innovation in payment card technology and services with the introduction of contact-less payments using mobile phones, based upon near-field communications technology (NFC). The iDA has also adopted a policy requiring the full interoperability of the NFC networks that have been trialled since the latter part of 2008. This means that compliant cards can be used in either system or across other systems, thereby ensuring a competitive market for the card industry. The iDA’s approach, put in place in January 2008 with the establishment of an NFC Roundtable, involving the banks, card schemes, telecoms operators and others, was supported by the findings of a report that stated that a system of fully interoperable NFC networks would create a market eight times larger than non-interoperable networks. The iDA agreed to act as project leader to set up a Trusted Third Party (TTP) to provide management and service delivery.

Key Risks:

There were several risks to the CEPAS initiative, like the readiness of the consumers to accept the change which can be overcome by marketing it on a large scale and letting them all know about the benefits gained after the switch. Another risk I believe can be the extensive terminalisation and more importantly, a common terminal network across all card managers which can be mitigated by developing terminals at places that are most likely to be visited by card holders.

Reflection on PMO case

To: John Strider, CIO

From: Shivangi Gosai

Date: July 14, 2014

Subject: Reflection on the meeting with the consultants regarding PMO

Based on the presentation it can be recommended that our organization should adopt a combination of Project Management Office (PMO) heavy and light in bringing a positive and long term change in the organization. As stated by the consultants, PMO heavy has the disadvantage that it forces radical changes on the employees which gain short term results only.  We know that the personnel in the organization seem to have a tendency to resist adopting a changed structure of processes. A combination of the two approaches will enable us to bring long term change on the basis of the already employed personnel who can easily establish feelings of trust and cooperation among the workers. The new hiring will allow us to introduce formal pattern of control and policy implementation. In regards to the cultural issues as I mentioned earlier, AptekPC seems to have an informal pattern of communication, which can’t be radically changed within a short time. However a gradual shift can be brought through the use of PMO light by focusing on the strengths of the process and allowing the employees to understand, accept and adapt to the changed procedures. We need to support the idea of hiring the new manager for PMO application with the past experiences that we had and the lack of formal communication and project management practices that we faced. On the basis of the past failures, you can logically support the hiring if new PMO manager.  A combination of the efforts of new hiring and trained staff can be quite beneficial for the company as it can provide long term benefits to the organization.

Regards,

Shivangi Gosai

Bombardier Case study

Problem/Issue Statement

In the early 2000’s Bombardier committed to replacing its legacy systems with a state-of-the-art integrated system that would allow efficiency and effectiveness throughout its operations. The essential issue is how the company can incorporate a large scale ERP implementation across an organization with many different divisions. As a result, the systems from each division did not communicate with other effectively. Bombardier had to figure out a way for all of these systems to integrate in an effective manner. However, these large systems efforts are complex and frequently result in lower than expected performance.

Situation Assessment

The first step was establishing the goal of a “One Company” approach.  In order for the ERP implementation to be successful, it was going to have to be more about a business transformation than a technology implementation. The steps in a Best Practice approach to ERP implementation would be to:

• Define clear goals and objectives 
• Strong management support
• Choosing the right software
• Prepare for business transformation
• Training and support resources
• Clear implementation plan and timeline
• Allocate the necessary resources 

Mirabel vs. Saint-Laurent plant

The plant manager at Mirabel did not agree with the scope of the project and some internal managers and users felt that the system was being forced upon them. Whereas examining the Saint-Laurent plant, management was much more involved.  The plant managers felt that the project was theirs, and took control early on in the process.  The vision for the project was clearer when it came time for implementation at Saint-Laurent.  Employees had presentations that preceded training which enabled users to have a better understanding of the change leadership that would be occurring.  Employees felt that there was a need for change and were all on board.  These visual aids/presentations should be continued for all further facilities.  It was good for employees to see how Bombardier was doing versus its competitors and to see that the new ERP system will aid in the Company’s vision.

In terms of training, Mirabel plant felt that they had insufficient training in advance of implementation.  However, the users at the Saint-Laurent plant were more satisfied. Management at the Mirabel plant noted that issues may not arise within the first few weeks of implementation, but rather several weeks or even months later (at this point there was no support staff on the premises – other than power users).  At Saint-Laurent there were similar issues, however the issues that came up after the “Go Live” were more specific in nature and not necessarily general.  These required more in-depth and detailed follow-ups without necessary professionals on site. Training should be closer to implementation with a more generalized theme and then have follow-up, more detailed training once the system is up and running and users have a chance to see it with their own eyes and touch it with their own hands.  Going to training on something that you’ve never seen or used in some respects can be a waste of time.  People may not know the right questions to ask until they can “play” with it.

First time blunders

Some of the biggest contributing factors that lead to Bombardier having failed their ERP implementation were both strategic and structural in nature. Strategically, the ERP system did not incorporate the new business focuses that Bombardier took on after the ERP was developed. Consequently, the ERP system did not adequately reflect all the future strategic needs .In addition, there were deep rooted structural deficiencies that Bombardier was plagued with including weak sponsorship both by management and by employees.

Second time accomplishment

In 2001, the process of establishing the need for a new integrated manufacturing system was organized by senior managers who were involved in the design and project goal setting. The course-plotting committee would focus on making the ERP system as relevant and practical as it could be to insure success. The amount budgeted to implement the ERP system was $363 million. The amount of effort and initiative that Bombardier took the second time was the main reason Bombardier created a robust plan of selecting senior employees to show to the developers all of the relevant and core functions that were important and critical in being adopted into the ERP system. To insure that there were quality decisions being made, small teams consisting of senior project directors were established to review the outputs and functionalities expressed by senior employees and reviewed to make sure that these system designs also supported the overall objectives and strategies of the firm. Another successful strategy introduced by Bombardier was that they decided to progressively implement the ERP software which provided a useful and supplemental strategy for employees as they were offered training classes before the ERP program was instituted. This helped insure that everyone would be comfortable with using the new ERP system.

Conclusion

ERP systems are very important for all of the various reasons, including achieving divisional coordination within a company, having a centralized data base with customer and supplier information and having employees share in the input of one unified IT system. For many companies an ERP system plays an important role with how a company competes amongst its peers, however within the Manufacturing Aerospace industry- such as the industry that Bombardier currently competes in, an ERP system is NECESSARY and CRUCIAL for future company viability.