BA (Hons) Leadership & Management
SM0377
UNDERSTANDING STRATEGY
Student: Stephen Reynolds
Student No: W10027804
Tutor: Eustathios Sainidis
Submitted: 12 January 2011
Word Count: 3929 (excluding Annexes, Quotes & Tables)
CONTENTS PAGE
1 Introduction 3
2 Method 4
3 Analysis of the Far (Macro) Environment 4
4 Sector Analysis – Porter’s Five Forces 5
5 MoD & DE&S (Corporate) Strategic Overviews 7
6 Arty Sys – Business and Operational Strategies 8
7 Strategic Frameworks 9
8 Strategic Capability 11
9 Personal Contribution to Organisation’s Strategy 12
10 Conclusions & Recommendations 13
11 Personal Reflection on the Strategy Module 14
12 Bibliography 17
13 Glossary 20
Annexes
A Artillery Systems project team Business Plan 21
B Artillery Systems Simplified Team Structure 27
C The MoD’s Team Values 28
D MoD PESTEL Analysis 29
E UK Governmental Spending Profile 31
F Culture Paradigm 32
G Understanding Strategy Learning Log 33
Introduction
1. This paper will seek to investigate and evaluate the strategic procurement model perused by the Ministry of Defence (MoD), Defence Equipment and Support Agency (DE&S) and in particular the Artillery Systems Project Team (Arty Sys), an organisation within DE&S that delivers military capability and support to the Royal Artillery. Johnson et al (2008) state that: ‘Strategy is the direction and scope of an organisation over the long term, which achieves advantage in a changing environment through its configuration of resources and competencies with the aim of fulfilling stakeholder expectations’ and then identify three distinct levels of strategy:
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a. Corporate Strategy. Concerned with the overall purpose and scope of the organisation and how value will be added to different parts of the organisation.
b. Business-level Strategy. Concerned with how to compete successfully in particular markets.
c. Operational-level Strategy. Concerned with how the components of the organisation deliver effectively the corporate and business level strategies in terms of resources, processes and people.
In respect to the three levels of strategy, it is intended that the strategic frameworks and behaviours utilised by Arty Sys are critically assessed to validate whether they are appropriate and fit for purpose in the current political/social climate and, if not, identify key drivers for change.
METHOD
2. During the course of this paper, an analysis will be undertaken to substantiate the strategic direction and practices currently being engaged by Arty Sys, by investigating the following areas:
a. Analysis of the Macro Environment;
b. Sector Analysis;
c. Strategic Intent;
d. Strategic Frameworks;
e. Strategic Capabilities.
In conclusion of the paper, a reflection of the Author’s contribution to strategy will be identified and recommendations for possible improvement will be offered. Additional to the paper’s main theme, a reflection of the Author’s journey through the strategy module will be noted highlighting the lessons learned and contemplate his learning experiences with the aid of a Learning Log (detailed at Annex G).
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ANALYSIS OF THE FAR (MACRO) ENVIRONMENT
3. MoD is a Public Sector organisation and is therefore constrained by a number of political and economic elements that place Arty Sys under constant scrutiny to provide value for money to the tax payer. To fully appreciate and realise strategic goals, the environment to which the organisation belongs must be analysed. The Macro Environment is arguably the first layer to be considered when formulating a strategy (Figure 1 identifies the layers of the Business Environment that are considered during the formulation of strategy).
As stated by Thomas (2007): ‘The external context of strategic decisions is very broad-ranging. It can include governments, competitors, technological and social change and the dynamics of buyer and supplier markets. One way for managers to analyse their exposure to the set of potential contextual factors is through the application of a PESTLE analysis’.
Figure 1: Layers of the Business Environment (Source: Johnson et al 2008)
With regard to the MoD, and by extension Arty Sys, the PESTEL macro environmental factors that are considered key drivers for change are as follows (a full PESTEL analysis can be found at Annex D):
a. Political. The international and national political influences and levers that dictate governmental organisations;
b. Technological. The ever changing and fast moving technological environment experienced in the Defence Industry;
c. Economic. The current economic austerity measures being experienced during, and post, the global recession; in addition to the perceived frivolous financial practices being made on behalf of MoD regarding defence procurement.
SECTOR ANALYSIS – PORTER’S FIVE FORCES
4. As per Figure 1, the Sector or Industry is the next layer to be investigated; as a tool for sector analysis, Porters’ Five Forces (as detailed in Figure 2) is the most revered and common model. Porter (1980) argued that all industries/sectors have an underlying structure that is influenced by five factors in the near environment that need to be considered to understand the key forces that will affect the respective industry/sector. However, it must be noted that the framework does have limitations in current fast moving and agile market environments. Hammel & Prahalad (1990) noted that the framework was based on static structures and does not fully cater for today’s environment and it is not advisable to develop a strategy solely on the basis of Porter’s model.
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Additional to Hammel & Prahalad’s criticism of Porter’s framework, MoD and Arty Sys’ Strategies struggle to comply with all of Porters Forces as its primal motivation is through value for money and efficiency through working practices. Being the only governmental organisation that is remitted to supply military capability to the Armed Forces, threats of neither entry nor substitutes are currently areas the organisation needs to defend. However the remaining forces are relevant and, therefore, the Author has selected Porter’s framework as a model for analysis; the key drivers utilising this framework are investigated below:
Figure 2: Porter’s Five Forces Framework (Source: Johnson et al 2008)
a. The Power of Buyers. The MoD (and therefore Arty Sys) have substantial resources that are closely monitored to ensure value for money is considered when procuring equipment for military capability and is remitted to push industry hard. The process is costly and usually attracts the bigger corporate suppliers, who by their very nature are concentrated suppliers with powerful negotiation options/skills. Competition is harsh and negotiation for contracts fierce but the power balance should remain with the MoD, if the user’s requirements are stated correctly. An example of the MoD’s buying power is the procurement of standard 1.5v batteries. Owing to the number of batteries needed for electrical equipments, one central project team has been established to procure all batteries that is now applying considerable pressure on suppliers to deliver in bulk at large discounted rates. This strategy of Single Source Procurement (SSP) has substantially increased MoD’s buying power in that area, resulting in SSP being highlighted as best practice.
As an additional positive element to the MoD’s buying power, MoD is held in high regard by the International Defence Industry. For the smaller company, to be seen as a supplier to the MoD is advantageous for business purposes. MoD is aware of this fact and uses it as purchasing leverage.
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b. The Power of Suppliers. MoD and Arty Sys have contracts with numerous companies within the defence industry. However, there are a number of global defence manufacturers who tend to dominate the industry (e.g. BAE Systems and Lockheed Martin).
These bigger companies tend to flex their resourcing muscles and often practice vertical integration and deal, where possible, with the MoD without using any other manufactures to supply their product. The defence industry is very much a niche market, where the power of supply is ever present. In recent years, through numerous acquisitions and mergers, the industry’s global company supplier power has increased, leading to mistakes being made in equipment procurement programmes. An example is the recent pressure BAE Systems placed on the MoD regarding the procurement of two aircraft carriers. In essence, the contract and industrial position BAE held was so strong the MoD were financially, but unwillingly, tied to continue with the contract. Additionally, the exploitation of high switching costs experienced in the defence industry has also led to some projects costs over-running and the MoD being wittingly tied into unsatisfactory and costly contracts.
c. Competitive Rivalry. At the corporate level, MoD is required, on a yearly basis, to compete against other governmental bodies such as Health and Welfare & Pensions organisations for funds from the Treasury (an approximation of National Audit Office yearly spending profiles are detailed in Annex E).
As an extension and reflection of the competition for funding experienced at governmental level, Arty Sys is also required to compete against other SBUs for funding from DE&S so that it may continue to support its procurement and support to projects for the Royal Artillery. To ensure revenue is secured during the yearly Financial Planning Round, Arty Sys will experience fierce and robust competition from other procurement organisations within DE&S (an approximation of 2010/11 spending requirements are detailed in the Arty Sys Business Plan detailed in Annex A) which, if unsuccessful, may result in cancellation or alteration of delivery product regarding the aforementioned projects.
MOD & DE&S (CORPORATE) STRATEGIC OVERVIEWS
5. Bovaird (2007) noted: ‘To be without strategy is to appear directionless and incompetent’. In short, all organisations will encounter challenges of a strategic nature and today’s managers will be involved in influencing, implementing and the communication of strategy. In consideration of the macro and sector analysis in the previous serials, the Corporate level strategies that govern the Arty Sys are as follows: DE&S is the organisation directed by the MoD to acquire/procure emergent military capability and support in-service equipments deployed by the UK Armed Forces. As a governmental organisation, DE&S is remitted to follow an intended externally-imposed type of strategy, this is driven and mandated by the Defence Industrial Strategy (DIS) (2005) assisted by the Defence Acquisition High Level Blue Print (2008).
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The DIS is a comprehensive document that details the strategic direction to enable the method of procurement and through life support of military capability to be financially and professionally catered for. The DIS identifies the following statement as its vision:
‘To provide the Armed Forces with the equipment which they require, on time and representing value for money to the tax payer’.
The DIS’ vision statement follows theories of Koch (2006), who describes the use of vision statements as what an organisation should aspire to achieve, or in quasi Maslow (1993) terms: self actualisation. The main strategic thrust of the DIS is the requirement to create a consistent and clearly defined operating framework to conduct and govern the procurement and support processes. The outcome was the Defence Acquisition Change Programme (DACP) which introduced the concept of Through Life Capability Management (TLCM) (a methodology that details the management of military capability from conception to disposal, identifying whole life costs) and the Acquisition Operating Framework (an on-line guide to military acquisition and support processes and procedures following the TLCM model); together they form the DE&S paradigm.
However, the DIS is a comprehensive but unwieldy selection of processes that sets-out the desired outcomes of all DE&S portfolios. Its heavy reliance on process can be countered by Mintzburg (1994), ‘strategic planning is not strategic thinking’ and can often lead to innovation being stifled and little regard being paid to the ‘coal face’s’ learning processes and thus having the tendency to remain static and responding slowly to changing environments.
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ARTY SYS – BUSINESS AND OPERATIONAL STRATEGIES
6. Arty Sys is a Project Team within DE&S, and through the process of Market Segmentation (Johnson et al (2008) state that: ‘A Market Segment is a group of customers who have similar needs that are different from customer needs in other parts of the market), identifies the Royal Artillery as its Strategic Customer (primary stakeholder) and formulates its strategy to support them. To conform to the DIS vision statement and strategic guidance, and as suggested by Bovaird (2007), Arty Sys follows a conventional approach to business strategy and publishes its own Business Plan (BP).
The Arty Sys BP supports the work by Lynch (2006) and defines a Mission Statement to identify the intent of Arty Sys in relation to its stakeholders’ expectations:
‘To deliver through life artillery capability and enabling of integrated joint fires in the land environment’
To underpin the mission statement, the Arty Sys BP also identifies team values and strategic objectives (detailed in Annex A) to guide its personnel and processes for success; Arty Sys’ ‘head-line’ strategic objectives are as follows:
a. Support and sustain equipment and deliver logistics;
b. Develop and sustain a highly professional and motivated workforce;
c. Excel in managing through-life a portfolio of complex projects;
d. Develop a strong and enduring relationship with Industry;
e. Embed a culture of continuous improvement.
Arty Sys is based on a project hierarchical structure and governs a number of smaller independent project teams and operational support functions (finance, requirements, commercial and clerical) to assist and guide where necessary (a Simplified Team Structure Diagram is detailed in Annex B).
The Arty Sys’ BP Mission Statement and Strategic Objects give guidance to the Arty Sys independent project teams at the business strategy level. At the operational level, it is intended that operational strategies are adapted from the BP’s Strategic Objectives for their own use by the independent project teams, thus supporting Bowman (1998) and Mintzburg (1994) who argue that cumbersome strategies, and ill informed mission statements, do little to add value and may become nugatory practices failing to adapt to change. It is at this point that the Author finds conflict between the strategic intent and actual practice. Although the Strategic Objectives are well stated and articulated, individual understanding of their implementation is less clear, which occasionally leads to working practices following a different path to that of the strategic intent.
STRATEGIC FRAMEWORKS
7. Johnson et al (2008) state that ‘competitive advantage is achieved by providing customers with what they want or need’. At the Business Level, Porter (1980) defined a strategic framework of four competitive strategies or positions (Low Cost Leadership, Differentiation, Cost Focus and Differentiation Focus)).
However, Bowman (1998) was critical of Porter’s generic strategies, suggesting that there was confusion and debate on what the strategies actually meant. As an alternative framework, Bowman devised the Strategic Clock (see Figure 4) to assist managers to understand the changing market and to help maintain competitive advantage. In relation to Bowman’s Clock, to align itself with its strategic objectives and maintain competitive advantage, Arty Sys is focussed on delivering value for money when procuring or supporting military capability. The objectives are achieved by identifying Arty Sys’ core competencies, which sets Arty Sys apart from other SBUs within DE&S by employing Civil Service Procurement Project Managers and Military Subject Matter Experts to deliver military judgement and experience as an intangible asset that cannot be obtained within other areas the MoD.
Owing to the fact that Art Sys does not manufacture a product, or look to make profit, it gains additional competitive advantage by using its core competencies to create synergies from the Military and Civil Service team members ensuring that the equipments/systems procured fill identified capability gaps, are fit for purpose (in relation to user and system requirements) and fall under the criterion of field 2 in Bowman’s Strategy Clock (i.e. at low cost, thus fulfilling the user’s needs but endeavouring to maintain value for money without slipping into the precarious positions of 6-8).
However, it must be noted, the aspiration for Arty Sys is to deliver position 3 (Hybrid) but the recent economic climate has resulted in position 2 and occasionally 1 becoming the normal practice.
Figure 4: Bowman’s Strategic Clock (Source: Johnson et al 2008)
STRATEGIC CAPABILITY
8. Arty Sys identify that its employees are its most valuable tangible resource and therefore their core and functional competencies are critical success factors and aspires to invest in their development. Prahalad and Hammel (1990) advise that ‘The real source of advantage is to be found in management’s ability to consolidate technologies and production skills into competencies that empower businesses to adapt to changing environments’. Within recent years, a Performance, Agility, Confidence and Efficiency (PACE) programme for change has been initiated to foster and mature core competencies, encouraging initiatives such as flexible resourcing and increased up-skilling the workforce which intensifies core competencies and cross-pollinates departments with fresh innovation, thus developing the strategic architecture¹.
In addition to the military judgment during the procurement process, management skills are a theme that Arty Sys wishes to increase as a core competence and endeavours to train all employees in its various facets (Arty Sys retain competitive advantage through dynamic capabilities by modeling the training on latest management techniques and practices in project/logistical management etc).
The main business of Arty Sys is the competent management of procurement and support to military equipment, therefore deep (which is largely tacit and therefore must be understood and profited from) knowledge in those areas is imperative to ensure all projects and support contracts maximize their value for money. Entwined with the competencies, are the core values that bind the cultural ethos of the MoD (detailed in Annex C) as identified by such techniques as Johnson and Scholes’ (1992) Cultural Web (analysis by the means of evaluating an organisation’s culture via the aid of a web of six interrelated elements they referred to as the paradigm, as detailed in Annex F).
Without the values (and by extension the working culture of the MoD), the organisation’s competencies are meaningless and without real purpose or direction; which would effectively undermine the Business Strategy if unheeded.
The constant evolving training culture (all employees are mandated to complete 10 days training per year) and the accumulation of competencies enables a culture of dynamic capability that Bryson et al (2007) referred to as ‘the resource view of strategy’, which if managed correctly, will enable Arty Sys to intellectually progress and evolve with change. However, it must be stressed that the working culture within Arty Sys can be described as ‘a little stagnant’ and resistant to change.
1: As yet, no data is available to confirm whether the PACE initiate has been successful in its aim
Therefore care must be taken to discourage the tendency to narrow the professional qualities of an individual to the point where they are so engrossed with their individual view of the organisational culture, that any deviation from it causes anxiety and derision. This practice, as detailed by Rollinson (2002) as he cites Ray (1986): ‘one of the main functions of a culture may well to be to enable people to resist change’ is a common theme in MoD and can be a ‘pitfall’ of strong organisational beliefs and cultures.
The culmination of fostering a culture of competence (without ‘stove-piping’ or allowing individuals to professionally stagnate) and focusing on differentiation, Arty Sys is aware of what it needs to maintain competitive advantage and endeavours to maintain this as its focus. Collectively these skills and ideals can be measured against Porter’s (1985) Value Chain (The Value Chain is a concept where Porter articulated a process of thinking through the manner in which an organisation could deliver value to its customers) to gauge the effectiveness of the organisation, where to focus its energies and thus maintain competitive advantage; as noted by Jeffs (2008), citing Hamel and Prahalad (1993): ‘an organisation can find value adding opportunities by stretching or exploring existing resources and knowledge and should aim to leverage skills and technologies between products and business areas’.
PERSONAL CONTRIBUTION TO ORGANISATIONAL STRATEGY
9. With Arty Sys, the author is employed as a Requirements and Acceptance Manager for artillery equipments. The duties that are performed on a day-to-day basis is the production of complex user and system requirements and the formulation of system acceptance strategies prior to equipments being brought into service in the Royal Artillery. The role requires the Author to be engaged in the strategic goals of the Arty Sys and possess core competencies (both tacit and explicit) that have been gained in over twenty years of experience of operating Artillery equipments/systems, being testament to Prahalad and Hammel’s (1990) statement: ‘Unlike physical assets competencies do not deteriorate as they are applied and shared. They grow’.
In relation to Whittington’s (2006) Pyramid of Practice (see Figure 5), the Author has the opportunity to initiate and develop acceptance strategies that has a direct influence into the strategic activities and strategic methodologies to be implemented and maintained in Arty Sys (the What and Which domains of Figure 5) with regard to Requirements and Acceptance Management. Johnson et al (2008) identify the practice of the lower ranked managers being involved in the operational strategy as a positive step and that no hard or fast rules apply regarding whom should participate in strategy, stating that: ‘personnel involved should vary according to their contribution and the nature of the issue’.
During the formulation of acceptance strategies the Author is expected to evaluate the strategy by the means of SWOT Analysis (a method to summarise the Strengths, Weaknesses, Opportunities and Treats that are most likely to impact development (Johnson et al (2008)) and develop a plan to ensure the equipment/system has been subjected to a rigorous verification and validation regime in relation to the user’s requirements. This package of work requires a robust stance of decision making (which can occasionally become fraught with the clash of strategic and operational agendas not being an uncommon occurrence) to ensure sunflower syndromes and champion basis do not occur and the plan is communicated effectively (i.e. ‘the buy-in’) to all stakeholders. During the acceptance process, the Author is responsible for the implementation of the acceptance strategy, chairing regular Acceptance Working Groups and Workshops with stakeholders to evaluate the processes’ evolution and to dynamically adjust strategies of acceptance, loosely following emergent strategy techniques.
Figure 6: Whittington’s Pyramid of Strategy Practice (Source: Johnson et al 2008)
CONCLUSIONS & RECOMMENDATIONS
10. The MoD is under significant pressure and scrutiny to reduce the £35Billion defence over-spend. In response to critical reports by Haddon-Cave (2009), scrutinising competencies within the MoD, and Gray (2009) investigating the MoD’s acquisition strategy and procedures; questions have been raised as to whether the current strategies are delivering the UK’s defence needs within the value for money context. Through analysing the strategies of MoD, DE&S and Arty Sys, the Author has found that the strategic vision and objects are coherent throughout. However the application of how to implement the strategies is not fully understood and appreciated at the operational level and a static culture unwilling to change at the lower levels of management is stifling innovation. It is these key areas where focus and ‘buy-in’ are required.
To alleviate these shortfalls, a key driver for change remains Arty Sys’ most critical resource -its employees. In times of austerity, employees must be educated in the virtues of strategy and empowered to use their competencies to full effect leading to more efficient practices at the operational level to deliver value for money; following Prahalad and Hammel’s (1994) key areas of competence: Speed, Consistency, Foresight, Agility and Innovativeness.
In addition, MoD, DE&S and Arty Sys need to revitalise its cultural habits and foster a professional culture that embraces change in relation to optimising its areas of competence. Bovaird (2007) cites Kotter and Heskett (1992): ‘high performing organisations tend to have adaptable cultures’. However he later, counters their position: ‘most studies of the public sector indicate that adaptable cultures are indeed rare… and probably remains the greatest single challenge to strategic management in the Public Sector’. Then again, nobody said it was going to be easy!
PERSONAL REFLECTION ON THE STRATEGY MODULE
11. The learning out comes for the module are detailed as follows:
a. Demonstrate a creative and critical approach to assessing the dynamic nature of developments in the global business environment and show understanding of how modern organisations deal with the challenges of global markets and competition;
b. Demonstrate sound research skills and critical appreciation when assessing
complex and dynamic strategic issues of organisations.
Initially the author was tentative and felt a little intimidated by the learning outcomes and the subject of strategy, as they have had little experience in the higher echelons of strategic decision making and felt that the strategy was undertaken at a much higher level than they had experienced. This feeling of vulnerability was however slowly subdued once the module was into its second quarter and the Author felt comfortable enough to start expressing and applying their knowledge in the work place. Although it is fair to say that each week’s study brought about new challenges that the Author tackled with varying measures of success and confidence which is reflected in the Learning Log at Annex G.
Petty (2009) informs that: ‘Learning is a voluntary process’ the ability to receive and synthesize information and put it to a practical use is a skill that requires hard work and considerable effort. The Author, prior to the strategy module, was aware that his preferred method of learning favoured the kinaesthetic and pragmatic approach (as detailed in the Visual, Auditory and Kinaesthetic learning styles described by Kolb (1984) and more recently by Honey and Mumford’s (1992) Learning Style Inventory) and therefore knew, without the ability to physically interact with other students and the lecturer, the distance learning style of the module was going to be a challenge.
To counter the isolation of distance learning and avoiding the pitfalls of learning by rote (Petty (2009) describes rote as surface learning or learning without cognitive understanding), the Author was fortunate in his employment to have the ability, once comfortable to do so, to put into practice some of the strategy theories learned during the module, which helped to bolster confidence and assisted in learning confirmation. This extension to the learning process is supported by Harrison (1997) who champions the belief that behaviours will evolve when new skills are entwined with previous experiences. Additionally, the use of the internet (via the University Web Page Blog Tool and discussion board) to gain informal assessments from the lecturer and peers on the course became a extremely helpful (especially the feedback the Author received regarding the understanding of the PESTLE frame work in week two and core competencies in week five, as detailed in Learning Log detailed in Annex G ).
Indeed, Walklin (1990) states that: ‘during the process of informal feedback required by students throughout the learning process, a student requires informal assessment to assess their own performance (including what skills they need to strengthen their existing performance to master the skills and knowledge they are studying) to progress’. In essence, all feedback received was a powerful tool to improve the Author’s understanding of the subject matter and gave the opportunity to view peers’ opinions and views of how strategic theories could be aligned and applied to different organisations in the public and private sectors.
From the out-set, and throughout the modules duration, to meet the aforementioned module objectives, the learning curve and amount of new information to be digested was quite intimidating. At times, the Author experienced minor frustration especially when the module’s main text book (Johnson et al (2008) Exploring Corporate Strategy) was predominantly focused on the private sector and references to the public sector were few and occasionally difficult to appreciate (especially in the context of MoD practices) and pushed the author past his proxadental zone of development. However, as the module matured, the new skills and theories learned were applied in the Author’s daily tasks as a Requirements and Acceptance Manger in Arty Sys. This was especially prevalent during the formulation and reviews of Acceptance Strategies the Author has a direct influence upon. The understanding and application of operational frameworks became extremely beneficial to the Author during Acceptance Working Groups and User Requirements Meetings/Workshops, resulting in improved and coherent strategies for requirements and acceptance policies².
The final hurdle of the module was the construction of this report. Without doubt, the biggest challenge has been to compress into approximately three thousand words all the information learned throughout the twelve weeks of study – the Author could have (and preferred to) double that amount and would have still found the task challenging. That said, although the module has been difficult and at times complex, the Author feels that he has hugely benefitted from the experience, is more strategically minded and has started to put the new knowledge into action in their current employment adding value their personal stock and the organisation as a whole.
SJ Reynolds
WO1
Master Gunner Arty Sys
2: The Arty Sys Acceptance Strategies cannot be annexed in this report owing to the confidential nature of their content with regard to military capability.
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GLOSSARY
Arty Sys Artillery System Team
BP Business Plan
DE&S Defence Equipment and Support
DIS Defence Industrial Strategy
MoD Ministry of Defence
PACE Performance, Agility, Confidence and Efficiency
SWOT Strengths, Weaknesses, Opportunities and Threats
TLCM Through Life Capability Management
ANNEX A TO BALM STRATEGY
DATED JAN 11
ARTILLERY SYSTEMS PROJECT TEAM BUSINESS PLAN
MISSION
To deliver through life artillery capability and enabling of integrated joint fires in the land environment.
VALUES
Our values and behaviours are aligned with the Defence Industrial Strategy (DIS) enabling us to contribute effectively to managing the delivery of military capability through-life.
• People are the Key to our Success
• The Best can be the Enemy of the Very Good
• Trade off between Performance, Time and Cost
• Never Assume Additional Resources will be Available
• Time Matters – Slippage Costs
• Think Incrementally
• Quantify Risk and Reduce It
• Respect Industry’s Contribution
• Value Openness & Transparency
• Embed a Through Life Culture
• Value Objectivity rather than Advocacy
• Success & Failure Matter
STRATEGIC OBJECTIVES
What we will do, how we will measure achievement, and what success will look like?
We will help deliver DE&S:
Strategic Objective 1: Support and sustain equipment and deliver logistics by ensuring that:
Our Users report that equipments and platforms funded through the Joint Business Agreement are available.
We respond to requests from the Joint Support Chain to authorise release of controlled spares within timescales.
… and with an in-year target to progressively reduce stock holdings to three times annual usage.
90% of UORs delivered by approved equipment delivery dates.
Capital assets are reported as delivered to Users within -/+ 10% of our forecast at the start of the Financial Year.
Our accrued and expended outturns on the General Ledger at the end of the Financial Year do not exceed our latest allocated Capital, Direct Resource and Administrative Cost Regime Control Totals.
Strategic Objective 2: Develop and sustain a highly professional and motivated workforce by ensuring that:
Line Managers will lead, support and develop their team well, making the most of what each can contribute; manage the team’s performance collectively and as individuals; and adjust the team’s membership over time so that the mix of competence, experience and skills remains well fitted to its objectives.
The Team complies fully with its duties under the Management of Health and Safety at Work Regulations 1999 (as set out in JSPs 375 and 418), with no major accidents or incidents recorded that could lead to Crown Censure.
The Team adheres fully to MoD Equality & Diversity policy, with no discrimination or harassment complaints initiated.
Within the first six weeks of assuming a new post, continually thereafter, and during annual development review, jobholder development needs, their importance to the business or career/personal development, and the dates by when they need to be met are discussed with the Line Manager, and recorded on HRMS; once met, the delivery method is recorded and evaluated.
85% of staff in post on 31 Mar 2011 have undertaken, recorded and evaluated at least 6 days non-CPD learning or development within the report year.
85% of jobholders in key skills posts on 31 Mar 2011 have undertaken, discretely recorded, and evaluated a minimum of 4 days continuing professional development within the report year.
HRMS records show that jobholders occupying professional posts (as defined by the DE&S Skills Directors) hold the required licence or qualification.
… and with an in-year target that all finance staff and jobholders exercising authority to commit expenditure hold a current FSC(F); and that all jobholders in job code 321 or 322 posts hold a current APM licence.
100% of the Team’s calculated allocation is awarded through the MoD Civilian Special Bonus and Minor Award schemes to recognise and reward exceptional performance in specific tasks or achievement of a professional qualification that benefits the MoD.
All jobholders considered for Commendations, Team awards and (Non-)State Honours (with industrial supply chain personnel considered for the latter).
Strategic Objective 3: Excel in managing through-life a portfolio of complex projects by ensuring that:
97% of the key capability requirements approved at main investment decision points are delivered, or remain deliverable, unless ‘traded-out’ by our Sponsor.
The forecast date for Sponsor acceptance of each capability {to allow it to be declared ‘in service’) remains consistent or varies by
