Saving Energy Step 1 ? Implementing a Management System

There has been much hype down the years regarding whether management is art or science. Thankfully, where people are concerned the pendulum has swung away from standard times in sweatshops in the west. However, when it comes to measuring physical things like harvest per square meter and the amount of energy consumed there is no substitute for scientific measurement, and this implies a system.

Managing energy cost and consumption down is like any other strategy. American engineer / statistician / management consultant W. Edwards Demming may have passed on in 1993. However he was as right as ever when he said:

  1. When people and organizations focus primarily on quality, this tends to increase and costs fall over time.
  1. However, when people and organizations focus primarily on costs, costs tend to rise and quality declines over time.

Demming believed that 90% of organizational problems arise from systems we put in place ourselves. This can be because we are so accustomed to them that we fail to notice when they are no longer relevant. The currently prevailing laissez faire towards energy is a case in point. What is managed improves and what is not, deteriorates. We know this. Let us take a look at how to apply this principle to energy management.

First, you need to get the subject out the closet and talk about it. How often do you do this is your boardroom, and how does energy rank against other priorities? Good governance is about taking up a position and following through on it. Here is a handy checklist you may like to use.

  • Do we use a consistent language when we talk about energy? Is it electricity, or carbon emitted (or are we merely fretting over cost).
  • How well engaged are we as a company? Looking up and down and across the organization are there points where responsibility stops.
  • How well have we defined accountability? Do we agree on key performance areas and how to report on them.
  • Are we measuring energy use at each point of the business? When did we last challenge the assumption that ?we’re doing okay?.
  • Have we articulated our belief that quality is endless improvement, or are we simply chasing targets because someone says we should.

A management system is a program of policies, processes and methods to ensure achievement of goals. The next blog focuses on tools and techniques that support this effort.

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How SOA can help Transformation

Undoubtedly, today’s business leaders face myriad challenges ranging from fierce market competition to increasing market unpredictability. In addition, the modern consumer is more informed and in control of what, where and how they purchase. Couple these challenges with effects of globalization, and you will appreciate that need for business transformation is more of a necessity than a privilege.

As recent business trends show, top companies are characterized by organizational and operational agility. Instead of being shaken by rapid technological changes and aftershocks associated with market changes, they are actually invigorated by these trends. In order to survive in these turbulent times, business leaders are opting to implement corporate transformation initiatives to develop leaner, more agile and productive operations. In line with this, service oriented architecture (SOA) has emerged as an essential IT transformation approach for implementing sustainable business agility.

By definition, service oriented architecture is a set of principles and techniques for developing and designing software in form of business functionalities. SOA allows users to compile together large parts of functionality to create ad hoc service software entirely from the template software. This is why it is preferred by CIOs that are looking to develop business agility. It breaks down business operations into functional components (referred to as services) that can be easily and economically merged and reused in applicable scenarios to meet evolving business needs. This enhances overall efficiency, and improves organizational interconnectivity.

SOA identifies shortcomings of traditional IT transformation approaches that were framed in monolithic and vertical silos all dependent on isolated business units. The current business environment requires that individual business units should be capable of supporting multiple types of users, multiple communication channels and multiple lines of business. In addition, it has to be flexible enough to adapt to changing market needs. In case one is running a global business enterprise, SOA-enabled business transformation can assist in achieving sustainable agility and productivity through a globally integrated IT platform. SOA realizes its IT and business benefits by adopting a design and analyzing methodology when developing services. In this sense a service consists of an independent business unit of functionality that is only available through a defined interface. Services can either be in the form of nano-enterprises or mega-enterprises.

Furthermore, with SOA an organization can adopt a holistic approach to solve a problem. This is because the business has more control over its functions. SOA frees the organization from constraints attributed to having a rigid single use application that is intricately meshed into a fragmented information technology infrastructure. Companies that have adopted service oriented architecture as their IT transformation approach, can easily repurpose, reorganize and rescale services on demand in order to develop new business processes that are adaptable to changes in the business environment. In addition, it enables companies to upgrade and enhance their existing systems without incurring huge costs associated with ‘rip and replace’ IT projects.

In summary, SOA can be termed as the cornerstone of modern IT transformation initiatives. If properly implemented great benefits and a sharp competitive advantage can be achieved. SOA assists in transforming existing disparate and unconnected processes and applications into reusable services; creating an avenue where services can be rapidly reassembled and developed to support market changes.

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Matrix Management: Benefits and Pitfalls

Matrix management brings together managers and employees from different departments to collaborate with each other towards the accomplishment of the organizational goals. As much as it is beneficial, matrix management also has limitations. Hence, companies should understand its benefits and pitfalls before implementing this management technique.

Benefits

The following are some of the advantages of matrix management:

Effective Communication of Information

Because of the hybrid nature of the matrix structure, it enables different departments to closely work together and communicate frequently in order to solve project issues. This leads to a proficient information exchange among leaders and subordinates. Consequently, it results to developed strategies, enhanced performance and quick productivity.

Efficient Use of Resources

Resources can be used efficiently in the organisation since it can be shared among functions and projects. As the communication line is more open, the valuable knowledge and highly skilled resources are easily distributed within the organisation.

Increased Motivation

The matrix structure promotes democracy. And with the employees working on a team, they are motivated to perform their duties better. The opinions and expertise of the employees are brought to the table and considered by the managers before they make decisions. This leads to employee satisfaction, empowerment and improved performance.

Flexibility

Since the employees communicate with each other more frequently, decision making becomes speedy and response is adaptive. They can easily adjust with diverse situations that the company encounters.

Skills Development

Matrix employees are pooled out for work assignments, even to projects that are not necessarily in line with their skill background. With this approach to management, employees have the chance to widen their skills and expertise.

Discipline Retention

One significant advantage of matrix management is that it enables the employees to maintain their skills in functional areas while working with multidisciplinary projects. Once the project is completed and the team wraps up, the members remain sharp in their discipline technically and return to their home functions.

Pitfalls

Here are some disadvantages of matrix management:

Power Struggle

In the matrix structure, there is always tension between the functional and project manager. Although their intent is polite, their conflicting demands and competition for control over the same resources make it more difficult.

Internal Complexity

Having more than one manager, the employees might become confused to who their immediate leader is. The dual authority can lead to internal complexity and possible communication problems. Worst, employee dissatisfaction and high employee turnover.

Heightened Conflict

In any given situation where people and resources are shared across projects, there would always be competition and conflict. When these issues are prolonged, conflicts will heightened and will lead to more internal problems.

Increased Stress

For the employees, being part of a matrix structure can be stressful. Their commitment is divided among the projects and their relationship with multiple managers requires various adjustments. Increased stress can negatively affect their performance in the long run.

Excessive Overhead Expenses

Overhead administrative costs, such as salaries, increase in a matrix structure. More expenses, more burden to the organisation. This is a challenge to matrix management that leaders should consider carefully.

These are just some of the advantages and disadvantages of matrix management. The list could go on, depending on the unique circumstances that organisations have. The key is that when you decide to implement matrix management, you should recognise how to take full advantage of its benefits and understand how to lessen, if not eradicate, the pitfalls of this approach to management.

How DevOps Could Change Your Business

Henry Ford turned the U.S. auto industry on its head when he introduced the idea of prefabricating components at remote sites, and then putting them together on a production line. Despite many industries following suit, software lagged behind until 2008, when Andrew Clay Shafer and Patrick Debois told the Agile Conference there was a better way to develop code:
– Write the Code
– Test the Code
– Use the Code
– Evaluate, Schedule for Next Review

The term ?DevOps? is short for Development and Operations. It first appeared in Belgium, where developers refined Shafer and Depois? ideas. Since then, DevOps became a counter movement against the belief that software development is a linear process and has largely overwhelmed it.

DevOps – A Better Way

DevOps emerged at an exciting time in the IT industry, with new technology benefiting from a faster internet. However, the 2008 world recession was also beginning to bite. Developers scampered to lower their human resource costs and get to market sooner.

The DevOps method enabled them to colloborate across organizational boundaries and work together to write, quality assure and performance test each piece of code produced in parallel.
DevOps? greater time-efficiency got them to market sooner and helped them steal a march on the competition.

There are many advantages to DevOps when we work in this collaborative way. Cooperation improves relationships between developers, quality assurers and end users. This helps ensure a better understanding of the other drivers and a more time-effective product.

Summary of DevOps Objectives

DevOps spans the entire delivery pipeline, and increases the frequency with which progress is reviewed, and updates are deployed. The benefits of this include:

? Faster time to market and implementation

? Lower failure rate of new releases

? Shortened lead time for bug fixes and updates

The Psycho-Social Implications of DevOps

DevOps drills through organization borders and traditional work roles. Participants must welcome change and take on board new skills. Its interdepartmental approach requires closer collaboration across structural boundaries and greater focus on overarching business goals.

Outsourcing the detail to freelancers on the Internet adds a further layer of opportunity. Cultures and time zones vary, requiring advanced project management skills. Although cloud-based project management software provides adequate tools, it needs an astute mind to build teams that are never going to meet.

The DevOps movement is thus primarily a culture changer, where parties to a project accept the good intentions of their collaborators, while perhaps tactfully proposing alternatives. There is more to accepting a culture than using a new tool. We have to blend different ways of thinking together. We conclude by discussing three different methods to achieve this.

Three Ways to Deploy DevOps in your?Organisation

If you foresee regular DevOps-based projects, consider running your entire organisation through an awareness program to redirect thinking. This will help non-participants understand why DevOps members may be ?off limits? when they are occupied with project work. Outsourcing tasks to contracting freelancers can mitigate this effect.

There are three implementation models associated with DevOps although these are not mutually exclusive.

? Use systems thinking. Adopt DevOps as company culture and apply it to every change regardless of whether the process is digital, or not

? Drive the process via increased understanding and feedback from key receivers. Allow this to auto-generate participative DevOps projects

? Adopt a continuous improvement culture. DevOps is not only for mega upgrades. Feedback between role players is paramount for success everywhere we go.

You can use the DevOps concept everywhere you go and whenever you need a bridge to better understanding of new ideas. We diminish DevOps when we restrict its usefulness to the vital role it plays in software development. The philosophy behind it belongs in every business.

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