Defence Renewal Annual Report 2014-2015 - Framework for Continuous Improvement

Alternate Formats

Annex A - Defence Strategic Change Synchronization Matrix

Information Brief

  • For DSX – 11 June 15
  • Briefed 9 Apr 15 to VCDS/ADM

Brief – Outline

  1. Reasons for Synchronization
  2. Methodology
  3. Defence Strategic Change Synchronization Matrix Overview
  4. Focus on priorities for FY15/16
  5. Strategic Governance

Reasons for Synchronization

Given the large number of Government of Canada, L0 and L1 change initiatives, they need to be prioritized and de-conflicted to ensure that DM/CDS can articulate short, mid, and long-term priorities.

As directed by DSX, DRT had a deliberate look at how all change initiatives across Defence were inter-related.

The intent is to convey the most comprehensive picture of the Defence change agenda, manage interdependencies and risk, set organizational priorities for sequencing of decisions and outcomes, and avoid dissonant messages.

DRT is responding to a request to brief DSX on the Defence Strategic Change Synchronization Matrix by end of February 15

Synchronization Methodology

  • Requirement to objectively filter over 200 initiatives across Defence
  • Began by:
    • Examining interdependencies;
    • Prioritizing by value (eg. GoC mandate, ops impact, core Defence values, etc); and,
    • Strategic visibility (high risk, profile, significant quick win, etc)
  • Then:
    • Grouped into themes;
    • Sequenced in time; and,
    • Aggregated to strategic outcomes
  • Result – Defence Strategic Change Synchronization Matrix

Defence Strategic Change - Synchronization Matrix

The portfolio of 32 Defence Renewal initiatives to improve performance and enhance organisational practices represent only a portion of the more than 200 strategic change initiatives that are currently being implemented across the Defence Team: either as creative solutions from Level 1 organisations; broader strategic change activities including the Defence Procurement Strategy and the move to Carling Campus; or, as Government of Canada sponsored initiatives such as Blueprint 2020 and Workplace 2.0. In an organisation as large as Defence, it is critical that they be prioritized and de-conflicted to ensure that senior leadership can articulate short, mid, and long-term priorities.

Work continued in FY 2014/15 to develop a method for influencing synchronization and coordination of all Defence strategic change initiatives, monitoring dependencies and interrelationships, identifying potential second and third order effects, and recommending mitigation where required. The intent is to convey a more comprehensive picture of the Defence change agenda, manage interdependencies and risk, set organizational priorities for sequencing of decisions and outcomes, and avoid dissonant messages – that change is deliberate and in step. Annex A provides the draft Defence Strategic Change Synchronization Matrix. This matrix is a graphical representation of the major change initiatives underway within the DNF/CAF, their relationships to each other and their proposed sequence of implementation.

The major change initiatives were grouped into six themes and then aligned by strategic change program as follows:

  • Operational Excellence. This theme has three strategic change programs that will be implemented on the following timeline:
    • CFDS Renewal
    • Defence Plan & Operational Force Development and Readiness
    • Multi-year Establishment Plan (MYEP)
  • In the short-term (FY14/15-15/16) the goal will be to prioritize operational requirements
  • In the mid-term (FY16/17-17/18) the goal is align the MYEP with the Lean HQ initiative and realign the Defence Plan with the CFDSR in three areas: Capital development, Capital Element Production and Ready Force Development
  • Over the long-term these changes will contribute to more effective and efficient operational readiness.
  • The desired strategic outcome will be all defence systems, programs and processes fully aligned in effective and efficient support of current and future force operational effectiveness and readiness.
  • Acquisition. This theme has two strategic change programs that will be implemented on the following timeline:
    • Defence Procurement Strategy (DPS)
    • DPS – Procurement Authority Delegation
  • In the short-term (FY14/15-15/16) the goal is to start the Independent 3rd Party Review and implement the $1M NCR authority delegation.
  • In the mid-term (FY 16/17 – 17/18 the goal is to implement the $1M authority delegation across all of Defence and improve the ability of IM/IT to support acquisition and operations.
  • Over the long-term the Defence wide delegation will be increased to $5M.
  • The desired strategic outcome is the timely and efficient acquisition of equipment, goods and services in support of operations and readiness while maximizing the value of every defence dollar.
  • IM/IT & Security. This theme has three strategic change programs that will be implemented on the following timeline:
    • SSC Transition
    • Security Reform
    • DND IM/IT Renewal
  • In the short-term (FY14/15-15/16) the goal is to transfer operations to SSC as planned   and scheduled.
  • Develop Defence Resource Management Information System (DRMIS) roadmap and    initial IM governance. And start DRMIS implementation where needed.
  • Develop the IM/IT enablers needed for Carling Campus.
  • In the mid-term (FY 16/17 – 17/18) and the long-term, the goal is to finalize the enablers needed for improved IM/IT support to acquisition, HQ 2020 and complete the process of rationalizing and aligning IM/IT to our current and future needs.
  • The desired strategic outcome is an integrated, secure, effective and efficient IM/IT environment providing timely critical information for the support of operations and strategic management and decision making.
  • Defence Renewal. This theme has three strategic change programs that will be implemented on the following timeline:
    • Performance Initiatives
    • Strategic Change Management
    • Organizational Practices
  • In the short-term (FY14/15-15/16) the goal is to synchronize and develop initial reinvestments. Improve governance and organizational practices and operationalize reinvestment and commence the Lean HQ pilot initiatives.
  • The desired strategic outcome is a lean and efficient organization that continuously finds ways to conduct the business of defence smarter, frees up resources that can be reinvested in operational capabilities and readiness and delivers the best military capabilities at the best value for Canadians.
  • HQ Transformation. In the short-term (FY14/15-15/16) the goal is to establish initial objectives for improved strategic clarity and governance within defence.
  • In the mid-term (FY 16/17 – 17/18) and the long-term, the goal is to complete the move of NDHQ to Carling Campus and attain initial integration of a strategic enterprise management capability in support of HQ 2020.
  • The desired strategic outcome of HQ 2020 is a modern, effective and efficient HQ focused on timely strategic decision making and governance to provide strategic resources in support of operations and readiness.
  • People & Workplace. This theme has two strategic change programs that will be implemented on the following timeline:
    • Blueprint 2020 & Workplace 2.0
    • Personnel Modernization
  • In the short-term (FY14/15-15/16) the goal is to establish initial objectives for Military Personnel Management Capability Transformation (MPMCT), attrition reduction, complaints resolution and recruiting.
  • In the mid-term (FY 16/17 – 17/18) and the long-term, the goal is to attain initial capability for an improved civilian human resource management system and implement Blueprint 2020 and Workplace 2.0.
  • The desired strategic outcome is a networked efficient environment with enhanced service delivery and value using smart tools and a capable, motivated and empowered workforce with leaders leveraging an evidence-based decision making.

Defence Strategic Change – Synchronization Matrix – Draft

Short-Term Operational Excellence Interdependencies

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Defence Strategic Change – Synchronization Matrix – Draft

Short-Term Strategic Governance Interdependencies

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Top Defence Strategic Change Priorities for FY15/16

Ops Excellence:

In order to assure improvements to operational readiness in the medium term, it is essential in the short-term to identify priority operational requirements addressing concurrency and potential gaps in joint enablers, and to clearly articulate this in the nascent Defence Plan.

Acquisition:

In order to ensure continuing improvements in the procurement of materiel and support services, it is necessary to ensure the success of initial contract delegation while defining the strategy for mid-term improvement of IM/IT enablers like DRMIS and AIT.  

Information Management, Information Technology and Security:

In order to enable Defence business and operations, it is critical that IM/IT activities be aligned with the needs and priorities of the Department. This strategic alignment must be established and maintained through strong IM/IT Governance led by the Defence CIO. Strategically aligned IM/IT is critical to support midterm improvements to operational readiness, acquisition, and improved strategic governance.    

Defence Renewal:

In order to sustain commitment to renewal in the midterm, it is necessary to coordinate and focus efforts across interdependent areas of Defence by achieving initial improvements to Strategic Change Management.   

Strat Governance:

It is critical to align Departmental resources around key priorities by establishing initial improvements to Strategic Clarity and Governance. 

People and their Work Environment:

In order to bolster morale and promote core Defence values in the midterm, Defence must ensure initial improvements are made to recruiting, supporting IM/IT systems (HRMS), career and attrition management, and complaints resolution. This will, in turn, support midterm improvements in operational readiness, acquisition, and strategic governance.

Expanded Top Defence Strategic Change Priorities for FY15/16

Ops Excellence:

In order to assure improvements to operational readiness in the medium term, it is essential in the short-term to identify priority operational requirements addressing concurrency and potential gaps in joint enablers, and to clearly articulate this in the nascent Defence Plan. This will require the following action:

  • Articulating initial operational readiness improvement priorities in the Defence Plan based on concurrency and joint enablers – Jun 16
  • Updating operational capability and readiness improvement priorities once the renewed CFDS is approved by Government

Acquisition:

In order to ensure continuing improvements in the procurement of materiel and support services, it is necessary to ensure the success of initial contract delegation while defining the strategy for mid-term improvement of IM/IT enablers like DRMIS and AIT. This will require the following action:

  • Stand-up Independent Review Panel (IRP) and commence reviews on selected Major Acquisition Projects by Jul 15*
  • Commence new streamlined Project Approval Process (6.2 PAPR) on low risk projects by Jul 15*
  • Delegation of PWGSC Contract Authority to ADM Mat for up to $1M by Jul 15, and Defence-wide by Apr 16
  • Continue defining priority requirements for mid-term improvements to DRMIS (see IM/IT & Sec  Theme below) by Jul 15

Information Management, Technology and Security:

In order enable Defence business and operations, it is critical that IM/IT activities be aligned with the needs and priorities of the Department. This strategic alignment must be established and maintained through strong IM/IT Governance led by the Defence CIO. Strategically aligned IM/IT is critical to support midterm improvements to operational readiness, acquisition, and improved strategic governance. This will require the following action:   

  • Commence renewal of IM/IT Governance to align IM/IT activities and define requirements for information in support of decision making and performance tracking by Nov 15
  • Ensure successful SSC transition to assure initial improvements to network infrastructure and cyber/IT security in order to assure Ops readiness, sustainment, and continuity,  enable acquisition, and enable Strategic Governance and HQ Trans/Carling – Mar 16
  • Enable midterm improvements to Acquisition by developing an improvement strategy for DRMIS by Jul 15 and commencing phased implementation of priority improvements by Mar 16.

Defence Renewal:

In order to sustain commitment to renewal in the midterm, it is necessary to coordinate and focus efforts across interdependent areas of Defence by achieving initial improvements to Strategic Change Management. This will require the following action: 

  • Demonstrate and communicate ongoing senior leader commitment to renewal as a key Defence priority - ongoing
  • Demonstrate and communicate initial benefits of reinvestments – Jun 15
  • Achieve initial synchronization and articulate strategic improvement priorities and milestones in the Defence Plan – Jun 15
  • Initial improvements to Strategic Clarity and Governance in support of decision making – Oct 15
  • Design (Oct 15) and commence transition (Mar 16) to Lean HQ for pilot organizations, a key enabler for improved strategic governance and HQ Trans/Carling

Strat Governance:

It is critical to align Departmental resources around key priorities by establishing initial improvements to Strat Clarity and Strategic Governance. This will require the following action:

  • Define initial requirements for improved informational decision support for more effective and agile major acquisition approvals - see IRP, PAPR, and DRMIS under Acquisition for milestones
  • Demonstrate initial improvements to Strategic Clarity by articulating in the Defence Plan the Defence Priorities and Intended Outcomes for operations, operational capabilities,  readiness, support, and continuity, and for strategic improvements – Jun 15
  • Articulate the HQ2020 vision for a modern, effective, and efficient HQ focused on timely strategic decision making and management of strategic resources in support of operational outcomes, key corporate internal services, and strategic improvement, thus integrating and synchronizing Lean HQ and HQ Trans/Carling – Oct 15

People and their Work Environment:

In order to bolster morale and promote core Defence values Defence must ensure initial improvements to recruiting, HRMS, career and attrition management, and complaints resolution. This will, in turn support midterm improvements to operational readiness, acquisition, and strategic governance. The following action is required:

  • Achieve initial improved CAF HRMS capability (5.3 MPMCT) – May 16
  • Continue Op RESOLUTION to reduce Grievance backlog by 80% of those at IA level for 4 months or more – Jun 15
  • Digitize Grievance system while developing and testing an Integrated Conflict and Complaint Management approach – Mar 16
  • Complete Government pay transformation for civilian personnel – Mar 16

Recommendations

  • Note the Defence Strategic Change Synch Matrix
  • Consider including the Strategic Synch Matrix in the Defence Plan
  • Note priorities for FY15/16
  • Consider integrating Strategic Change Governance within overall governance
  • Endorse the intention of DRT to operationalize the Defence Strategic Synchronization Matrix by establishing tools, coordination processes, reporting and decision support criteria

Top Defence Strategic Change Priorities for FY15/16 (Detailed)

Ops Excellence:

In order to assure improvements to operational readiness in the medium term it is essential      in the short-term to identify priority operational requirements addressing concurrency and potential gaps in joint enablers, and to clearly articulate this in the nascent Defence Plan

  • Jan 16 - Prioritized Operational Requirements
    • FCG Update – Jun 15 – Prioritized future capability gaps
    • Defence Plan – Jun 15 – Articulated priorities for Ops Capabilities and Readiness 
    • MYEP – Jun 15 - baseline readiness pressures of regular full-time establishment
    • CIPPR Update – Nov 15 – Prioritized capability IP
    • FP&R Directive – Jan 16 – Prioritized joint enabler gaps
    • Initial Strat J4 - Dec 16 – Op Support requirements

Acquisition:

In order to ensure continuing improvements in the procurement of materiel and support services, it is necessary to ensure the success of initial contract delegation while defining strategy for mid-term IM/IT enablers like DRMIS and AIT

  • Jul 15 - Third Party Reviews established on Major Capital Projects in synch with                                    PAPR on low risk projects
    • DR 6.2 PAPR commenced on low risk projects – Jul 15
    • DPS Independent Third Party Review commenced – Jul 15
  • Jul 15 – Deleg. of Contract Auth. to ADM Mat
    • DR 2 Series and MA&S Campaign Plan – Jul 15
  • Jul 15 - Roadmap for DRMIS and AIT acquisition enablers
    • DRMIS – Jul 15 - Prioritized DRMIS improvements vs time (roadmap)
    • DR 2.1 MA&S – Jul 15 - AIT Project Charter (roadmap)

IM/IT & Security:

In order to enable Defence business and operations, it is critical that IM/IT activities be aligned with the needs and priorities of the Department.  This strategic alignment must be established and maintained through strong IM/IT Governance led by the Defence CIO.       Strategically aligned IM/IT is critical to support midterm improvements to operational      readiness, acquisition, and improved strategic governance.

  • Nov 15 - Initial improvements to IM/IT Governance
    • IM/IT Governance – Nov 15 -  Initial Improvements
    • DR 3.3 – Jul 15 – Initial Strategy to Rationalize IM/IT Program
  • Mar 16 - Initial enablers for improved Ops
    • SSC for Ops – Mar 16 - SSC improved datacentres, bandwidth, and Cyber/IT security and start of network migration
  • Mar 16 – Begin implementation of DRMIS roadmap to enabled improved Acquisition and contracting
    • DRMIS – Mar 16 - Start implementing prioritized DRMIS improvements vs time
  • Mar 16 - Ready with initial IM/IT enablers for HQ Trans/Carling
    • SSC Carling – Mar 16 - SSC improved datacentres, bandwidth, and Cyber/IT security and networks ready at Carling
    • GC Docs – Mar 16* - ready for initial implementation at Carling
    • Security Single Access Card – Dec 15 – Card and security enablers ready for Carling

Defence Renewal:

In order to sustain commitment to renewal in the midterm it is necessary to coordinate and focus efforts across interdependent areas of Defence by achieving initial improvements to Strategic Change Management.  This will require the following action: 

  • Jun 15 – Initial reinvestments and synchronization across Defence of all strategic change initiatives
    • DR Performance Initiatives, particularly 2 Series, 3.1, and 4.1 - Jun 15
    • 7.1 Strategic Intent , 7.2 Ph 3 complete – Initial governance improvements and articulation of renewal priorities in Defence Plan - Jun 15
  • Oct 15 - Initial Organizational Practices in support of Strategic Clarity, decision making and Strategic Change Management     
    • Continuing engagement of senior leadership - ongoing
    • 6.1 Lean HQ – Lean HQ pilot organizational design ready – Oct 15
    • 7 Series, 8.1 Evidence-based Decision Making - initial improvements in support of decision making – Oct 15
  • Mar 16 – Integration of PI reinvestment management into business planning demonstrating benefits for Ops Readiness while commencing transition to Lean HQ for pilot organizations
    • First year of 6.2 PAPR and 2 Series continued improvements in synch with Acq 1b Delegation of Contract Authority – Mar 16
    • 6.1 Lean HQ – Commence transition to Lean HQ for pilot organizations –  Mar 16

Strategic Governance:

It is critical to align Departmental resources around key priorities by establishing initial improvements to Strategic Clarity and Governance.  This will require the following action:

  • Jul 15 - Initial transition to Independent 3rd Party Review and commenced PAPR on low risk projects
    • DR 6.2 PAPR commenced on low risk projects – Jul 15
    • DPS Independent Third Party Review commenced – Jul 15
  • Jun 15 - Articulate integrated Defence and strategic change management priorities in Defence Plan
    • Defence Plan – articulate Defence Priorities and Intended Outcomes including for strategic change and Defence Renewal – Jun 15
  • Oct 15 -  Initial Strat Clarity and Governance
    • 6.1 Lean HQ – Lean HQ pilot organizational design ready – Oct 15
    • 7 Series, 8.1 Evidence-based Decision Making – Oct 15
  • Mar 16 - Commence transition to Lean HQ organization
    • 1  Lean HQ – Commence transition to Lean HQ for pilot organizations Mar 16   
  • Mar 16 - Ready with initial IM/IT enablers for HQ Trans/Carling
    • SSC improved datacentres, bandwidth, and Cyber/IT security and networks ready at Carling – Mar 16
    • Single access card and initial security enablers ready for Carling – Mar 16
    • GC Docs ready for implementation at Carling – Nov 16

People and their Work Environment:

In order to bolster morale and promote core Defence values, Defence must ensure initial improvements to recruiting, HRMS, career and attrition management, and complaints resolution. This will, in turn support midterm improvements to operational readiness, acquisition and strategic governance.  The following action is required:

  • Initial  improvements to CAF recruiting , MPMCT, career and attrition management, and complaints resolution, including reduction of military grievance backlog
    • 5.3 MPMCT initial capability – May 16; 5.4 Recruiting/5.2 Career Mgt –  tentatively Mar 16
    • Op Resolution, Mil Grievance System Digitization and Integrated Conflict and Compliant Management – Mar 16
    • HR Civ – Complete GoC Pay Transformation – Mar 16
Note:

* Since briefed to VCDS/ADM on 9 April, the IPR and PAPR reviews were adjusted respectively from May and April to July 15