Facing the Challenges of Industry 4.0Moving from Project & Portfolio Management to

TOTAL COLLABORATION MANAGEMENT

By

HARIDOSS SARMA, Ph.D., IEEE Senior Member

GO 2 SCOUT 4 R&T

07 March, 2016

PMI - Lakeshore

Presentation Outline

• Introduction

• Industry 4.0

• Why Collaboration matters?

• Total Collaboration Management Framework• Behaviour Model

• Business Model

• ISO 11000 Framework

• Quality and Impact

• Q&A

Industry 4.0

“Real-time analysis of streaming data that works for social networks and media providers can work for large machinery sensors,” Harel Kodesh, VP of Predix and CTO of GE Digital

Digitization of Manufacturing

Industry 4.0 – Platform Architecture

Human-Human-Machine Interactions

COOLaboration™TOTAL COLLABORATION MANAGEMENT

Results

Project’n’

Project1Project2

Inability to adapt to change

Poor communication

Conflict in priorities & politics

Insufficient qualified resources

Lack of a process to intervene

57%

25%

12%

6%

Success

Recovery

Failure

Terminated

$ 74 million at risk

$ 200 million

per firm

ROOT

CAUSE

20,821 projects closed by 134 organizations155 projects per firmSource: Strategies for Project RecoveryA PM Solutions Research Report, 2011

Project Management

70%Failure Rate in Change Efforts R

OOT

CAUSE

Communication

Stakeholder Management

Change Management

New Product Planning

Continuous Improvement

Only ~49%

achieve success

Only ~35%

support initiatives

Making Innovation Profitable Making Change

happen

CollaborationDesign,

Manufacturing,Supplier-Customer

Source: Tooling U-SME Manufacturing Insights Report: Winning Practices of World-Class Companies, The MPI Group, Aug 2014

Innovation Management

ROI in Collaboration

Total Collaboration Management Framework

PerformanceTransformational - Learning - Value

ProcessNimble – Flexible

–Boundary Awareness

PeopleIndividual-Professional-Collaborator

Terms

• Collaboration: “A process in which autonomous actors interact through formal and informal negotiations, jointly creating rules and structures governing their relationships and ways to act and decide on the issue that brought them together; a process involving shared norms and mutual beneficial interactions” [1]; a process that is “peer and purpose-driven” rather than “administrative governance driven”

• Collaboration Capacity: Organization’s orientation and infrastructure for collaboration

• Collaboration Resources: Shared expertise and network-benefits together with the actual human resource

• Collaboration Quality: “The totality of characteristics of an entity that bear upon its ability to satisfy stated and implied needs” [2] – Capacity x Resources

• Minimum Viable Transformation (MVT): Collaboration outcome supporting validated learning, rapid intervention and frugal efforts enabling transformation at scale to satisfaction and benefits

• Total Collaboration Management (TCM): an approach based on the participation of all partners and aiming at long-term success through collaboration satisfaction and benefits to all stakeholders.

[1] Thomson Ann Marie, Thesis, 2001; [2] quality definition by ISO 9000 para 3.1.5

Individual Behaviour

Position

Based

Motivation

Extrinsic and Intrinsic

Approach & Avoid

Cognitive

Org. Role Perspective

Culture of Openness &

Sharing

Professional Perspective

Inter-professional Competency

Individual Perspective

Individual CompetencyEmotions Based

Status, Rank, Autonomy, Fairness, Expectations…..

Cognitive and Neuro Dimensions of Individual Behaviour influencing Collaboration

CVs and the leading technology dimensions Collaborator and the leading emotional style dimensions

Sensors, displays, on-board and off-board computing

Resilience (determines the recovery rate from adversity)

In-vehicle operating systems Outlook (determines the ability to sustain positive emotion)

Wireless and in-vehicle data communication Social intuition (determines the capacity to pick up social signals)

Machine learning Awareness (determines how the reactions are perceived)

Analytics and speech recognition Sensitivity to context (determines the strength of emotional response regulation)

Content management Attention (determines how sharp and clear is the focus)

Emotional Style Architecture in the “shoes of an autonomous connected vehicle (CV)”

Adapted from Strategyzer.com

Vision Outcome

MVT Risk

CONTEXT

Technical External

Social Internal

COMPLEXITY

Autonomy Procedures

Boundary

SpanHierarchy

COORDINATION

Trust• Interdependence• Predictability• Extension of the boundary• Substitute (Agreement)

Reciprocity• Obligation• Demonstrate behaviour• Listen and Question• Time and Effort

Transparency• Observe-Understand-

Integrate shared information

• Track the impact of decision

Faith• Adherence to process

COLLECTIVE ACTIONS

Communication

• Boundary Leadership• Feedback loops• Knowledge transfer

Conflict

• Accountability/priority outside collaboration• Organizational autonomy• Resolution strategies

Control

• Organizational• Shared• Monitored• Cognitive

Strategic

• Awareness• Knowledge• Internal Assessment

Engagement

• Partner Selection• Working Together• Value

Management

• Staying Together• Exit Strategy

ISO 11000 Collaborative Business Relationship Management

Adapted from Strategyzer.com

• Operational Awareness• Knowledge• Assessment• Working Together

• Staying Together• Value Creation

Can we grow together?

Assessing the problem against other boundaryresource needs

Collaboration Model Canvas and ISO 11000 Elements

Collaboration Capacity

Collaboration Resources

Collaboration Quality

Collective Work

Determined by

Arrows indicate Learning and Contribution at different levels

Det

erm

ines

Key Performance

Factor

Key Success Factor

Key Performance

Indicator

Individual and Partners

Collaborative Effort

Business Impact

Total Collaboration Management Impact

t = t build + t elapse + t activity

Resource = R (team) + R (experts) + R(org. network)

RecommendationsTo the Leaders and Followers

• Transform to T - type resources

• Demonstrate Value to the Individual

• Focus on Collective Learning

• Treat Collaboration as a business by itself with a process to intervene

Collaboration starts in the dynamic space between partners

PI & PX

Key for Successful Collaboration in the Industry 4.0 Era