Are You Ready for Smart Grid?
When the New Seven Wonders of the World were Announced, maybe they should have included advanced metering infrastructure (AMI) along with the likes of the Taj Mahal and Machu Picchu. That's because utility customers around the world are being alerted to the wonders of AMI systems, which are bringing data and energy-consumption choices to consumers like never before.
Utilities are investing in smart meters and AMI that meet their business models and at a rapid pace. They are educating consumers in preparation for new demand-response and energy-efficiency rates that AMI enables. But are utility employees ready for the changes that these new systems bring?
Smart meter and AMI deployments are complex and touch (almost) every work group and department in a distribution utility. The daily work of meter reading and field operations employees is directly changed by an AMI implementation. IT departments, meter shops, and billing and call center groups face major changes as new technology from the network and system alter standard processes and ways of interacting with customers. New processes will drive integration across workgroups. More data will be available than ever imagined. The massive deployment of meters alone is a major feat the utility employees must accomplish.
Preparing employees for all this change is a challenge. Many utilities have a less-than-stellar track record of implementing similar major changes in systems and processes — remember the decimation of employee morale from re-engineering and downsizing in the 1990s? In order to avoid this repeat of employee negativity, utilities must focus not only on the process and technology changes from AMI, but on the people it impacts, by investing in strategies to enable employees to accept, adopt and even thrive in this changing environment.
Instead, let's support an action-oriented approach to change that focuses on two outcomes: first, enabling employees to continue high levels of productivity as this new technology is unfolding in the industry; and second, to equip employees with a high level of knowledge about AMI, so they can be advocates of the benefits to customers.
Employee change management (ECM) is an action-oriented approach to change. Employees at all levels understand what they need to do differently and why they need to do it.
Let's pioneer employee change as we pioneer deploying AMI. For the focus on employees to be successful, the AMI project team's dedicated ECM resources must be included as an integral part of an AMI project team, collaborating closely with the extended teams, including process redesign, meter deployment, and system development and integration. To be effective, support for the ECM efforts must come from both the leadership of the AMI project team and the organization.
In the big scheme of AMI implementation, the small investment in ECM (typically less than 1% of total deployment costs) may seem almost inconsequential. But this investment is an essential element to successful deployment of AMI. An ECM focus prepares the employees of the utility to manage change, so that the implementation is as smooth as possible, and employees become advocates of the new technology. Through knowledge transfer of effective ECM practices, the organization will become ready for the next level of coming changes.
Effective knowledge transfer of the existing processes and development of new processes is another area of challenge. Designing new processes in AMI implementations that effectively transfer knowledge via integrated systems that can be distributed virtually allows improved productivity and effective use of technologies.
Providing employees with a high level of knowledge on the customer benefits of an AMI implementation and developing advocates for demand-response and energy-efficiency programs is a goal of ECM. Most utilities' plans now focus on reducing carbon emissions and embracing green strategies, worthy purposes that may serve to attract environmentally conscious “millenials” to the industry.
AMI and Smart Grid technologies are exciting advances and enable a workplace metamorphosis, in both processes and technology. They provide immediate access to and use of information that our next-generation millenials crave. They're comfortable with data on-demand, from iPods to instant messaging. Plugging our millenials into this AMI initiative is an excellent way to engage new talent.
Pioneering a proactive employee focus as we implement AMI and the coming Smart Grid technologies will enable us to engage our workforce as we tap into the inherent value of Smart Grid for our utilities and our customers.
Ellen Krohne is director of utility industry for Capgemini Outsourcing Services. Previously, Krohne served as vice president of customer care for Illinois Power.ellen.krohne@capgemini.com
Editor's note: Ellen Krohne will be a presenter at T&D World University in October 2008 in Dallas, Texas.
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