Faster resolution of incidents and implementation of changes to improve the quality of delivery to the business operations.
“Reducing the cost of IT incidents from 6 million to less than 350.000 within 12 months.”
Nutreco is a global leader in animal nutrition and aquafeed. The advanced nutritional solutions of Nutreco are at the origin of food for millions of consumers worldwide. Quality, innovation and sustainability are guiding principles, embedded in the Nutreco culture from research and raw material procurement to products and services for livestock farming and aquaculture. With 100 years of experience, Nutreco brings a rich heritage of knowledge and expertise to the markets. Nutreco employs approximately 11,000 people in 35 countries with net sales of € 5.7 billion.
Nutreco has several IT departments in a number of countries, including sites in Europe and North America. A total of 120 IT specialists manages an IT infrastructure consisting of over 5,500 desktops and 300 servers. The ambition was formulated to improve the effectiveness of the IT departments by managing them more tightly. The challenge was in embedding these improvements within the IT organization itself. A business can have dozens of highly skilled IT specialists that are busy day in, day out, delivering great work. Yet still, the majority of their time can be taken up with fighting fires. How can you ensure that the IT issues that have arisen are solved as quickly as possible, while staff still have enough time to deal with major and minor changes needed on the business side of the organization?
Nutreco hired Quint Wellington Redwood to assist with the implementation of a new IT Service Management approach. The most important objectives were: faster resolution of incidents, ensuring that fewer new incidents occur, while also ensuring that changes are implemented quicker and with greater uniformity. This is to be seen in the context of improving services to the client’s business operations. The change project started with the organization of so called ‘improvement workshops’ where improvement teams were appointed, trained and coached who were responsible for reducing the number of incidents. Lean methodologies were introduced, progress was made visible and measurable and team roles was determined. Team members were named as “chaser” and became responsible for investigating incidents until they were resolved to full satisfaction. Reporting tools were implemented to provide an overview of the status of the incidents.
Following the conclusion of the project, the customer satisfaction was measured. The IT department found that its satisfaction rating went from 7 to 8. Furthermore, it was now also possible to make a provisional calculation of what the project had achieved. The department manager speaks of the “Quint millions”. “The Quint millions are based on the sum of the lost production hours per worker multiplied by the hourly cost of a worker. Before the project started, production losses amounted to €6 million per year. By the time the project had finished, this figure had fallen to less than €0.5 million. This means a gain for Quint of over €6 million. The Quint millions are not real money, of course, but it is such a vast difference which clearly quantifies how the project has had a very positive effect on the business.
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