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ICL Pathway
Bringing Monthly
Technology Progress
to Post Office R
eport
Counters P 4
November1999 WIM
POH-403D
ICL Pathway Monthly Progress Report
Contents:
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Managing Director’s Summary
Development Report
Commercial & Financial Report
Customer Requirements Report
Customer Service Report
Quality & Risk Report
Business Development Report
Implementation Report
Organisation & Personnel Report
Post Office Client Report
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ICL Pathway Programme Monthly Report Ref: PAYREP/044
Version: = 1.0
Date: 20/12/99
Document Title: ICL Pathway Monthly Report - November 1999
Associated Documents:
Reference. Vers Date Title Source
1 PM/PRO/002 1.0 26/09/96 Pathway Programme = Project
Planning, Reporting and Control
Approval Authorities:
Name Position Signature Date
J. H. Bennett Managing Director
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Managing
Director’s
Summary
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ICL Pathway Managing Director's Monthly Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
Managing Director’s Summary
PROGRAMME, PROGRESS
¢ The rollout milestone payment of £105M including VAT was received two days
early on the 3" December.
¢ By week ending 12" November the installation programme had achieved
successfully 'Go-Live' in 1856 post offices. This will increase by one when we
install a. new post office in the Millenium Dome complex on 17" December.
© The infrastructure activities of the post offices continued until 10 December with a
shorter break for Christmas. This period itself is being used to fine tune our
processes on all aspects of rollout and in particular to tighten up how we manage
our key sub-contracts internally and externally in the shape of OSD, Energis and
NTL Workplace.
e The critical work with NTL Workplace has been the main activity on sub-contracts
and following the takeover by NTL and thie joint workshops which we have run on
a mixed team basis, looks like showing visible improvement in both attitude, quality
of work and working relationships. The.real proof of.course, will only show when
the installation programme starts in January.
e The concerns shown by POCL on the training scheduling have now all been
addressed and POCL are satisfied with the status of this area. This is one:of a
number of key criteria which has to be met to meet rollout:considerations.
« We have been actively involved in an external audit by PA Consulting Group in
conjunction with the Post Office, looking at all elements of implementation. This
audit is completed and the initial feedback we have received is that the independent
audit shows that our rollout plans-are robust, satisfactorily planned and are ready to
start arid sustain roll-out for the duration of 2000.
e The big new issue this month has been the:surfacing of critical concerns regarding
the intercept of the next PC baséline which needs to come on stream in June 2000
for volume deliveries. ‘There is a specification mismatch.for the targeted platform
beyond the first 27,000 PC's and although ‘there are two options for moving
forward, each has major. drawbacks. We are in full conversation with Seimens
Fujitsu Limited to reach a clear joint way forward on this, which ideally we.need to
have in place before the 24" December.
e The issue concerning-systems stability measured in reboots and reloads of the
counter systems has shown encouraging and continuing improvement from what
was seen as a very demanding target only two monthsago. We are running on a
weekly basis consistently 20% better than target with the opportunity (if we can
handle one further complex area) of showing another 20-25% further
improvement. Whereas this is not an issie for acceptance, all improvements are
welcomed since they improve the reputation of the system, reduce calls on the
helpdesk and lower our cost base.
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ICL Pathway Managing Director’s Monthly Report Ref: PA/REP/O44
Version: 1.0
Date: 20/12/99
e The incremental release SIP16 went out in extremely good order to the whole
estate in-a short and very compressed timescale and has been running,satisfactorily
now for over two weeks with no major incidents. This is one of the best software
increments we. have achieved to date.
¢ We now move on to the EPOSS reconciliation facility, which.is required for AI376
and is one of the other critical criteria to be reached to enable National Rollout to
restart. This isa much more complex facility than SIP16 and needs to be
satisfactorily and safely delivered to all the live post offices before the 28"
December such that we can have two clear weeks of cash account running to ensure
accuracy, stability.and effectiveness. The plan is tight, manageable but not without
risk.
e We have received a Request Fora Proposal [RFP] for 3,000 ATMs for banking
arrangements with the post office and this has been replied to in conjunction with
ICL Financial Services as a One ICL bid. In addition, we have received a Request
For Information [RFI] for network banking capabilities to be delivered across the
counter. This is due to be submitted before the 24" December. It is however clear
that there is quite a lot of politics, conflict and tension between the various new
business units within the post office which we will have to manoeuvre around and
through in order to make progress.on network banking. It is very likely that the
post office will pursue their interest here.on purely competitive open tender
arrangements.
ACCEPTANCE
¢ The most serious issue on acceptance resolution concerns A1376 and the integrity of
accounting data being managed from the end.to end basis with Horizon. This in
turn requires more disciplined and strict accounting integrity controls, some of
which can be achieved through the EPOSS reconciliation software and others
through process and independent tools‘and the balance through stronger end to end
control of the reference data processes. The plan to handle the main problem area
and indeed the lower level actions across a range of Al issues is well constructed,
being followed and is capable of achievement. However, there is little contingency
in the plan with respect to timescale and we do need a formal agreement with
POCL, particularly in the case of reference data procedures which have been
defined during workshops. These need to be drawn together into an agreed
Change Control document, probably a further Supplemental Agreement.
e A1408 for.Help Desk procedures is a second but important acceptance resolution
plan, where we now have a new set of rheasures for calls answered within 20
seconds, cash account response times and cash account script compliance. This is
largely a subset of the original SLA measures and will be reviewed on a weekly basis
between the 3 December to mid January.
e¢ November was a good month for Service Operations with the service levels showing
a steady improvement with good system reliability.
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ICL Pathway Managing Director's Monthly Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
¢ Since the completion.of rollout in 1999 and a stable set of 1856 post offices, the
call rate on our Help Desk has shown quite marked improvement in the falling off
of calls. Whereas the calls per outlet, were running at just over three per week in
the week beginning.4" October, these have reduced to just over one in the week
beginning the 22" November. This is-a good improvement and.if maintained, will
help us considerably once we are through the full rollour programme.
ISSUES
e The new PC baseline is urgent and critical and has been referred to above.
¢ Communications service provider Energis is still having difficulty giving us a
forward -proposal:to cover the poor BT national.coverage of ISDN.
e We have a requirement to deliver a lightweight mobile configuration in up to 250
outlets to complete the rollout schedule. Agreement on this has been under debate
for the best part of two years and progress remains slow and sometimes quite
fraught. However time left for further debate is rapidly diminishing.
¢ The Development Directorate is having difficulty building the software release
baselines on the test rigs to both speed and quality required and this is eating into
the programme float, which leads towards the CSR+ delivery schedules. Delay
here needs to be curtailed and where possible; time pulled back.
e Reaching a termination settlement agreement with. De La Rue is proving difficult
and may well not complete in December ‘99.
e Our Year 2K plans-for the millennium weekend are now solid, we have
approximately 70 people committed to being either on site or on call for formal
working over the main weekend, with management on phone standby and
availability in case issues need to be escalated.
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ICL Pathway Development Monthly Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
Development Report
MONTHLY SUMMARY
e [was very pleased that we were able to meet the demanding reboot levels
categorised under acceptance incident 298. This was achieved in spite of the
serious Energis switch problem which generated a large number of NT blue
screen incidents. The team is now focusing’on one outstanding counter printer
issue, which if resolved, will ensure that the level of ‘reboots is well within the
long-term objectives.
e The SIP16 release, which comprises of enhancements to the cash account and
reférence data eléments completed the testing stages successfully and
distribution to the live estate commenced 20th November as planned. No major
incidents have been recorded to date.
¢ The EPOSS reconciliation facility, required for acceptance incident 376, has
proven to be a stable enhancement throughout the main system test stages. The
team is to be congratulated for delivering a high quality product in an extremely
congested schedule. Unfortunately, we have also encountered a.number of
problems with the other applications upgraded in this software bascline-and
these have put the overall delivery plan under considerable pressure. We.hope
to commence distribution tothe live estate during the weekend 18th/19th
December and complete before Christmas but this will now be a.challenge.
e We have now decided to implement Riposte 6 in the CI3 increment due to be
installed at the end of March 2000. System testing of VPN, also included in this
release, is now going well after a shaky start.
° Good progress is being maintained in the areas of-analysis, scripting, migration,
detailed planning and release rig preparation in B&TC.
¢ Progress during system testing of the main'application release (CI4) which
includes LFS and APSmart‘is frustratingly slow. We continue to experience build
problems on the test rigs and although every effort is being made.to recover the
lost time I am not optimistic that we will be entirely successful. An initial
evaluation suggests, that this.should not.impact the start-of the customer end to
end testing (PET) because.sufficient test cycles will have been completed to
satisfy the entry criteria. Although not a reason to become complacent, it is
encouraging to note that once the test rig becomes stable the applications
themselves would appear to be reasonably sound.
e The forum set up specifically to address-all known performance.and scalability
issues prior to the re-commencement of rollout in late January continues to
meet twice a week. It is proving to be an effective method for maintaining
visibility and management focus across all the programme disciplines and should
ensure that thé system has the capacity to handle the expected load.
e Resource shortages in certain key areas are now starting adversely impact the
delivery schedule. Everyone is working very hard to ensure that the impact is
kept to_a minimum but this issue will require constant management attention.
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ICL Pathway Development Monthly Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
PROGRESS
e APS system test is approximately 2 weeks behind schedule and LFS system cest 3
weeks adrift, both due to rig building difficulties. The direct interface testing
(DIT) with HAPS and Siemens Metering Service (Quantum) is due to start in
December. There has been no further progress with British Gas (SPM) and we
are not hopeful that SAPADS will be ready. Although this is not good news and
we are exploring every avenue available to recover the lost time, once the rig
becomes'stable the applications themselves would.appear to bé in good shape.
This was borne out by the recent accelerated progress and successful customer
demonstrations.
e The position regarding SPM has not changed.and they are still planning to
engage.in February 2000. If this is late January/early February then we can
probably contain the slippage. If it is later, we have suggested to Horizon that
SPM be rescheduled to occur early in the AP Client Migration Programme.
e The EPOSS reconciliation enhancement delivery schedule was always extremely
tight being driven by the acceptance demands and the desire to re-commence
rollout.24th January 2000. The software has been robust with very few major
defects encountered. However, several other enhancements were included in
this baseline and these have. caused some difficulties. The functional testing is
due to complete 11/12th December followed by operational testing and
distribution starting18th/19th December:
° System testing of the Data Warehouse is in cycle 2 of main pass and on
schedule. All of the test scripts are achieving a very high success rate circa 99%.
The late interception of the SLA measurement-change for counter file delivery
represents a'risk to the finish date.
¢ The functional testing of the RODB deliverables (i.e. the Pearce enhancement to
version 2.5 & the introduction of version 2.6) has been progressing reasonably
well but 4 recent review of the client hardware platforms confirmed that they
were not in a consistent state. They should all be on NT4 (SP3) with Y2K
patches. The critical clients will now be upgraded.before the start-of national
rollout and the other less.important clients as soon as possible during the first
few weeks of rollout. The loss of a key resource late in the test:cycle has caused
a 2 week delay to version 2.6. This has been mitigated by overlapping the start
of the B&TC testing with the completion of system test. This will ensure that
version 2.6 is available for the re-commencement of rollout.
e The VPN system.test main pass:report has been produced and issued for review.
The rig:has now been reset and final pass is-expected to-start on schedule. There
are only 5 ‘incidents residing with development awaiting resolution. KMS system
testing is also making excellent progress both in terms of the number of scripts
performed.and the high success rate achieved.
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1.0
20/12/99
ICL Pathway Development Monthly Report
¢ The system infrastructure activities (e.g. autoconfiguration, tivoli, audit, FTMS
etc) are still progressing reasonably well but we are still experiencing problems
with building cohesive software configurations. We have recently introduced a
2-stream handover mechanism which enables us to deliver a stable application
platform whilst continuing to test the system environment software.
¢ Test analysis.and scripting work continues for increments 3 and 4 for CSR+. An
early ‘trial ofincrement 3 has'started on the large release rig to prove VPN
migration. Test execution of increment 2.2 (EPOSS reconciliation) is still in
progress. CSR live regression testing has been put on hold and the resources
reallocated to system testing in the. POCL Products delivery unit.
® The proposal for resolving the ISDN/Cisco-router performance issue has been
approved by the Change Control Board and will be implemented before April
2000. The performance and scalability forum, which meets twice a week,
continues to address and monitor changes and improvements to reference data
distribution, agent performance, overnight processing and system management.
e After several intensive reviews it has beeri agreed that-Riposte 6:0 and desktop
2.2.3 will form the middleware baseline for CSR+. "This is a change from the
original plan and will put the existing manpower and hardware.resources under
considerable pressure.
COST DOWN
¢ There were no new initiatives in November although the team continues to
exercise very tight control with both hardware and manpower resources.
CURRENT CRITICAL PROBLEMS
e A fault has.been identified inthe EICON card which supports’ the ISDN
communications protocol. This is seriously impacting our ability to distribute
software updates to the counters in an efficient manner. It is also responsible.for
generating.many unnecessary-and long calls resulting in additional network
charges. We.have implemented more diagnostics as fequested by EICON and
are in the process of upgrading the driver on the counter PC’s as recommended
by them.
e We recently received notification from Fujitsu that the PC’s planned to be
intercepted in the’ final stage of roll-out will not be backwards compatible. The
Programme did not allow for any major regression testing activity of this kind,
consequently if this cannot be addressed satisfactorily it will delay the CSR+
delivery schedule by anything up to 4 months.
ISSUES
e The speed and accuracy of the rig building process is not meeting the planning
assumptions. The Development Management Team is seeking ways of
improving this process and recovering any schedule slippage that has occurred.
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ICL Pathway Development:Monthly Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
e BT and Energis have indicated that there will be a significantly greatér number
of outlets not able to connect to, ISDN than first thought. The model used by BT
to establish ISDN feasibility would appear to have been flawed. They are
suggesting that we should consider a satellite solution and this is being
evaluated. We are also asking them to respond to us formally stating the precise
position and recommending a way forward.
e A proposal for the lightweight mobile configuration required to operate in a
variety of locations throughout the UK, has been submitted to POCL. A number
of detailed questions have since been raised by them and responses given but
progress.is slow. This must be escalated to senior POCL management if a
resolition is to be found early in the New Year.
e IBM has recently stated that they-will support but not certify the current version
of Tivoli running alongside NT4 (service pack 5) i.e. in the event.of a fault they
will offer workrounds but not necessarily fixes. The existing Programine Plan is
notable to accommodate wholesale regression testing caused by upgrading to
the latest version of Tivoli. Further meetings with OSD and the supplier have
been. arranged,
¢ POCL-expect under the terms of'the-new agreement i.e. time and materials, to
closely monitor our resource consumption during the design and development
of any new product or service. Their expectations could put a huge burden on
the administration résources within our Programme.office.
COSTS
e The 1999/2000 development forecasts demonstrate that-even with the
additional development resulting from the rectification plans, costs remain
under tight control and subject to regular financial reviews throughout the year.
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ICL Pathway Commercial & Financial Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
Commercial & Financial Report
MONTHLY SUMMARY
¢ The first roll out milestone payment for £105,162,500 including VAT was
received by wire transfer on. 3rd December. As for the Acceptance payment, this
was two days ahead of the due date which fell on a Sunday.
© The focus of work has remained the resolution of residual Acceptance incident
hurdles such that both POCL and Pathway are happy for roll out to re-
commence on 24th. January. POGL have confirmed that that is'still their
intention subject to being satisfied as to progress on Al 376 in particular.
e A ‘Fourth Supplemental Agreement’ is in preparation following extensive
working sessions on Als 376 and 408.
e Accounting integrity controls, allied to stronger Reference Data processes,
represent a two pronged attack on AI376. POCL appear to have accepted in
working session that the boundaries of responsibility for Reference Data are as
we have set out, butagreeing the requisite changes to CCN562 will not be easy.
¢ POCL have come round to the understanding that dealing with residual Al376
concerns in the short to medium term dual will rely on processes and tools but
no new software features as such. The
¢ 20th December is the target date for having all Agreements to Agree resolved
(subject to reasonable endeavours). A small number will not have been resolved
by that date. Just two are cause for concern: one relates'to Reference Data
procedures (subsumed within AI376 resolution), the other to service level
reporting of transaction times.
e Activity with subcontractors (Workplace Technologies, Energis, OSD, Fujitsu}
has‘continued, aimed at both.cost down and quality of service.
© It is proving difficult to pin down’De La Rue to close the termination
settlement: the release of provision in December is now looking at risk.
¢ The refinancing arrangements should with a bit of luck be signed this afternoon
or tomorrow, having squared various circles with the banks, their lawyers,
POCL, ICL Group and Fujitsu. As indicated last month, the practical
consequence is higher fees but more flexibility to repay amounts then draw
down again between roll out milestone payments.
® The latest version of the Business Case model has been audited. by Grant
Thornton with no anomalies found. More work is however:required on the part
of Unit Controllers to check and confirm cost and volumetric assumptions for
their areas of responsibility. This needs to complete before the January forecast.
e There is a meeting with auditors this afternoon.to bring them up to date with
progress on the project and to take them through the Business Case as it now
stands. They need to end up sufficiently comfortable with the. projections that
the margins being applied for profit recognition this ycar can be upheld.
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ICL Pathway Commercial & Financial Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
PROGRESS
e First roll out payment of £105.2m including VAT received on time.
e POCL decided not to stop roll out.on 24th November or ten days.later having
explored with us the way forward on outstanding Al issues.
e Business model audited with no anomalies fotind.
e Banking arrangements.
KEY LEGAL ISSUES
e Significant changes need to be agreed to CCNS62, and it is not yet clear how
POCL will react to our draft (which goes in today).
e Exchanges of correspondence on Als 376 and 408, and respective on-going
obligations, remain to be brought together into an agreed single document.
¢ Differences of interpretation over the precise measurement of service levels have
crystallised. These need to be resolved quickly.
¢ Differences of interpretation over what Release Authorisation of CSR+ means
have also crystallised. We favour release into pilot, they favour release following
successful pilot into the estate at large, The contract envisages only one RAB but
the inference is probably nearer to the second than the first. If we have to
concede this, we must win objective critical success factor definitions as exit
criteria for thé pilot.
BUSINESS CASE
e Nothing significant’to report beyond what has been said already in the Monthly
Summary.
RISKS
¢ Principal risks remain, first, operational costs and LDs and, second, delay (to
CSR+ and to roll out).
ISSUES
¢ Reference data end-to-end processes and controls. Getting better, but much
work still to do to nail this difficult area, We need to satisfy ourselves that we
can manage the various risks, as well as POCL.
e POCL’s RFI for Network Banking,.and the related politics, both between us and
them and internally between PONU and Network Banking Unit.will require
considerable: patience and.skill to resolve in our favour. Pathway’s Option B
strategy depends on our doing: so.
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ICL Pathway Commercial & Financial Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
FINANCIAL PERFORMANCE
¢ The-Controller’s report follows.
COSTS
ICL PATHWAY - NOVEMBER 1999 FINANCIAL SUMMARY
PROFIT & LOSS ACCOUNT
Revenue Billed
Project Cash Costs
Depreciation
Interest
"Raw" Profit / (Loss)
Utilisation of BPC Staff Cost Provision
Utilisation of Lease Cost Provision
WIP Adjustment
Release of BPC Provision
Declared Profit
Month of November 1999 Cum. Full Year
Month I Month 8 mths to Forecast
Actual I Forecast I Variance] I Nov 99 1999/00
89.8 89.8 0.0) 161.4 162.2
(9.9)] (13.5) 3.6 (71.2) (127.6)
(1.5) (1.5) 0.0 (9.7) (16.6)
0.5 0:5 0.0 (8.5) (11.9)
78.9 75.3 3.6 72.0) 6.0
3.0
3.9
(69.9) (66.4)I (3.5) (57.4) (0.4)
10.0 17.0
9.0 8.9 0.1 24.6 31.6
Milestone Revenue billing and profit recognition was in line with forecast.
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ICL Pathway Commercial & Financial Report Ref: PA/REP/O44
Version; 1.0
Date: 20/12/99
Month of November 1999
ANALYSIS OF PROJECT CASH COSTS Month I Month
Actual I Forecast I Variance
Direct Costs:
Data Centre Operations 0.5 0.6 0.1
System Management and Field Service 0.4 0.7 0.3
Network Communications 0.3 0.3 0.0)
Other Direct Costs 0.1 0.0 (0.1)
Headcount Related:
Own Staff 1.0 11 0.1
Freelancers 2.2 2.2 0.0)
Travel & Subsistence 0.1 0.1 0.0
ICL Sub-contracts:
Knowledgepool 0.5 1.0 0.5,
All others, including A&TC Individuals 1.1 1.2 0.41
Other Sub-contracts:
Site Modifications (WT && Pearce) 2.0 3.9 1.9] Main variances caused,
Celestica Hangaring 0.2 0.2 0.0] by tower than forecast
Exel Delivery 0.5 0.6 0.1} invoicing relating to site
Escher 0.3 0.4 0.1] preparations
All other Subcontracts 0.1 0.5 0.4
All other Costs 0.6 0.7 0.1
9.9 13.5] © 3.6I
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ICL Pathway Commercial & Financial Report Ref: PA/REP/044
Version: 1,0
Date: 20/12/99
BALANCE SHEETS Month of November 1999 Latest
Month I Month F'cast for
Actual } Forecast.I Variance March 00
Contract WIP 75.1 78.7 3.61 132.0)
Core Working Capital 60.3 56.8 (3.5) (20.3)
March 99 Provisions - BPC (20.0)} (20.0) (3.5)
March 99 Provisions - Lease Costs (37.7) (37.7) (31.8)
Total Working Capital 77.7 77.8 0.1 76.5
Fixed Assets 40.5 40.5 46.2
Cash / (Overdraft) 47.1 45.2 1.9 32.5
Net Assets 165.3 163.5 155.2
Share Capital 191.7 151.7 (0.0) 151.7
Opening Reserves (168.5)I (168.5) 0.0 (184.2)
Earnings for Period 9.0 8.9 0.1 31.6
Shareholders' Funds (7.8) (7.9) 01 (0.9)
Long Term Debt 173.1 WAl.4 (1.7) 156.2)
Capital Employed 165.3 163.5) 155.2
Total Borrowings: 126.0 126.2 0.2 123.6
Net borrowings virtually in line with forecast, but.lower iaward invoicing levels
this month will generate favourable variances in the 4-6 weeksahead.
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ICL Pathway Commercial & Financial Report Ref: PA/REP/044
° Version: 1.0
Date: 20/12/99
SUMMARY of CASH REQUIREMENTS [ Month of November 1999 I Cum. II Full Year
. Month I Month 8 mths to} I Forecast
£m Actual I Forecast} Variance} Nov 99 J} 1999/00
Direct Costs (9.3)) (11.1) (9.3) (9:3)
Opex,.and other project-costs (31.0)I (22.8) (3.1.0) (31.0)
Project Costs (9.9)} (13.5) 3.6 (71.2) (127.6)
Interest 0:5 0.5 0.0 (8.5) (11.9)
Total Project Costs (9.4)} (13.0) 3.6 (79.7) (139.5)
Revenue Billed 89.8 89.8 0.0 161.4 162.2
Cash Outflow, re. 3/99 provisions (6.5)
Core. Business Working Capital movements (89.2}} (85.8) (3.4) (81.0) (0.5)
Fixed Asset Additions (2.3) (2.3) 0.0 (25.9) (38.5)
Share Capital Increase 131.7] “131.7
Total Gash Increase/(Decrease) (11.1)} (11.3) 0.2 106.5 108.8
Opening total borrowings (114.9) (114.9) 0.0} (232.5) (232.5)
Closing total Borrowings (126.0)} (126.2) 0.2] (126.0) (123.6)
“Savings'in project:costs were almost totally offset-by. working capital variances. °
Investment'in fixed assets (mainly rollout related) was in line with forecast.
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ICL Pathway Customer Requirements Monthly Report Ref: PA/REP/044
Version: 1.0
Date: 20/12/99
Customer Requirements Report-
MONTHLY SUMMARY
¢ The “big three” Acceptance issues have been reduced to the “big two” with the
clearance of 298 (Counter Stability). Actions have been developed for handling
the issues on EPOSS Reconciliation and Reference Data sufficient to get us to
the decision to restart the rollout on 24 January. There are new starts on
Network Banking and Euro study.
DETAILED PLAN ACTIVITIES
ACCEPTANCE RESOLUTION TIMETABLE
© Progress against the 13 Acceptance Incidents, forming the core of the
Acceptance Resolution Timetable, is reviewed below in Acceptance Resolution
order: A Red Flag issue is that TIP has appareiitly not developed the manual
input facility for low volume corrections.
© There is a.short list of PinICLs that we must deal with to clear up the
Acceptance Resolution Timetable and make it possible for POCL to approve
clearance of individual elements. This will be circulated separately.
e A meeting to establish status and actions on 211,342, 376 and 378 was held
7/12 with the POCL:Acceptance Test Manager.
211: POCL commented to ICL Pathway on 1/12 that mismatches continued to occur
for a nuniber of reasons, that it required Payments and Receipts always to be in
sync and that the incident was not ready for closure. A.more detailed
description of POCL’s intent was provided on 30/11, in effect asking for
Payments and Receipts to be forced equal through some form of automated
suspense account entry.
The only current instances of Payments and Receipts being unequal are where
the Horizon system has to inherit a manual or ECCO system that was
unbalanced before migration.
The issue was discussed on 2/12 in a full forum and POCL reconfirmed its
position that such. unbalanced migrations were preferable to making an
automated suspense accourit transfer.
Closure continues to be sought.
342: POCL commented to ICL Pathway on 1/12 that TIP references 986 and 995
had occurred and were awaiting analysis and rectification plans.
In the case of reference 986 the office was on an extended CAP, which should
have been known to POCL.. Reference 995 was caused by the outlet having
fewer counters installed than were previously scheduled and the-system controls
will not initiate polling until all counters have participated in a first end of day.
In summary, there is no problem with ICL Pathway software.
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390:
376:
378:
369:
372:
Closure continues to be sought.
The APS recovery software enhancement was distributed 29/11 and monitoring
is now in progress as scheduled.
The POCL action to approve clearance of all incremental fixes installed by 14/9
from field evidence remains open.
The Pathway procedures for manual input were presented to TIP/TP on 1/12
and material for the test of manual input has been prepared. However, POCL
has not performed activity 376.371 “POCL Develop and Test manual input
facility” and so this is how a Red Flag issue.
Cycle 3 testing of the Additional EPOSS Reconciliation Testing started on 3/12
and should complete 10/12. Software distribution is scheduled for 17/12.about
10 days ahead of plan.
The measurements will continue for the period 2/12 to 12/1 and will exclude
items that would have been prevented by a range of additional Reference Data
controls being introduced before the rollout. .
Improved diagnostic/defensive code has been produced and will be distributed
at the same time as the Additional Reconciliation. There are no instances yet
trapped.
Further tests following the ‘Pilot’ scheme were on schedule to complete 8/12.
POCL is producing a report, which it will review with DSS on 22/12, including
an analysis of impounded OBCS books and logistics of re-supply. ICL Pathway
understands that POCL will request DSS to close this incident.
There were 119 impounds in the first'three-weeks. ICL Pathway understands
this is a slightly lower rate than during the first pilot and that analysis of books
by PIRA shows the quality of the offending printed bar-codes to be still poor.
POCL commented to ICL Pathway on 1/12 that it-required an update on
Pathway’s investigations into the problem of bar-code reading after a manual
scales transaction. An update was provided at-the Delivery Meeting of 24/11.
A PinICL to resolve thé issue of scanning after manual scales is in progress. A
simple workaround is available.
POCL also stated on 1/12 that Pathway had failed:to produce-statistics for the
first two weeks of the four-week trial as agreed. In fact ICL Pathway had
delivered the statistics POCL had asked for covering the first two weeks on
30/11. POCL has since asked for a daily level of analysis. The final two weeks
totals will be available in a few days time - the daily OBCS transaction counts
will also be provided.
John C provided POCL with a paper, which was well received, describing
potential improvements.to the OBCS scanner/bar-coding system.
A review of the distributions for Riposte 5.4.10 and EPOSS 3_20 rollup was
conducted successfully. A final report on software distribution was provided
1/12.
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298:
The target was that there should be no.more than 560 qualifying incidents
between CAP31 and CAP34. In fact, there were 551.5 qualifying incidents,
including a spike of Blue Screen incidents associated with a major switch failure
within the Energis network. The weekly incidents since the end of the
monitoring period-have remained below the equivalent weekly level of 140
incidents per week (89.5 for CAP35, 114.5 for CAP36, 94 for CAP37).
The review of Revisions to the Testing & Integration Approach ‘for Pathway
Release CSR+ was completed sticcessfully.
Closure continues to be sought.
218: All Pathway’s actions were confirmed by POCL as completed, on 22/11. There
391:
314;
are still some POCL-actions not yet complete. The Performarice Review Report
has been produced.
There are two open Low incidents (364 & 365) linked to Al 218, relating to
training mode and these may hamper closure of 218 itself.
CCNS 66a (Training Window) was approved 3/12.
POCL Post installation processes have been defined in Operational Performance
Assessment, post installation questionnaires and training mode documents and
processes produced. These will be implemented from the restart of rollout.
‘The Wigan exclusion zone fence structure is complete and the alarm system
installation is forecast 10/12, two weeks or so carlier than plan. Installation of
the card access controls for the Wigan back gate is now complete. Fire
regulation issues have hampered ‘installation of the new palisade fence at
Boodle: this is forecast to complete 17/12.
The draft. document (without Appendices) was completed ahead of schedule
22/11 and formally first reviewed on schedule 1/12. POCL wants to extend the
reviews beyond the period planned. We have notified them that-such extended
reviews must be accommodated within.the overall schedule.
408: A new set of measures for calls answered within 20:seconds, cash account first
and second line responses, and cash account script compliance have been agreed
for the period 3/12 to 13/1.
412: Closure continues to be sought
CSR, CSR+
Tony H has.handled a number of awkward issues involving temporarily closed
outlets. We have to réport outlets carrying out transactions‘at a time when that
outlet is reported as being closed, including temporarily closed. Also we must
support the temporary closure of outlets, and subsequent re-opening, for
example.the seasonal Butlins holiday camp post offices. But where the closure
lasts more than a few weeks the archiving of data causes the outlet, to lose
continuity. The solution is at CSR+ and before that there-is still an open
problem.
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e Dave J is progressing DSS-free versions of the security documents. The Security
Functional Specification and Access Control Policy are now in review. Other
documents in course of update include Security Policy, Security Management
Procedures ‘and Key Management documentation.
OTHER ACTIVITIES
e We have made a start on the Network Banking RFI and.Pilot Requirements, and
the Euro Study Change Request.
e Tony H extracted essential material required for the visit of the National Audit
Office from archived BPS material. This covered Foreign Encashments, Business
Rules and a chronology of CAPS interface specifications.
¢ DOORS: Dave H has continued to import some of the contract schedules and
add in various links.
e DE Presentation: Gareth Jenkins and Dave H gave a short update on the
Pathway project to the Southern Distinguished Engineers group.
© Centrica: Dave H has been providing help to the account support team.
-e Workflow: Dave H chaired the November standards meeting and liosted
demonstration by Japan Standards Association (JSA).
CURRENT CRITICAL PROBLEMS
© The Pathway (and POCL) actions to render operation of Reference:Data during
early rollout need to be completed, in particular the “Attribute Checker” and
the associated new procedures for signoff.
e We are hopefully now into the true endgame. There-are a,number of-relatively
smaller-scale PinICLs/issues that have to be cleared down if we are to handle
objections to approving closure of incidents on the Acceptance Resolution Plan.
These will be distinguished as such.
e The Red Flag issue on the manual input facility for low-volume corrections
could prove difficult if POCL’s audit function assesses it‘seriously. We will need
a contingency.
ISSUES
e None.
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Customer Service Report
MONTHLY SUMMARY
Despite the stress of the acceptance period, November has.been a good month,
overall for service operations. Service levels have shown a steady improvement
and system reliability has been good.
Since.the time-out on the Eicon drivers on the Counters has been adjusted there
has been a significant reduction in the number of excessive short calls from-the
Oudlets.
A major concern is whether the new requirement to migrate 2-AP Clients during
Live Pilot can be achieved within the timescales. This has been raised with
POCL as part of the response to the CSR+ replan.
There was some slight relief in the workload pressure on the SSC, particularly
over the last ten days of the. month. The number of calls received in November
was 865 compared with 1123 iin October. SMC filtration remains-a concern
although implementation of a higher level of checking, prior to calls being
escalated to SSC, has certainly helped to reduce the flow. SSC.successfully
achieved the clearance of the outstanding Counter index corruptions at some
300 Outlets a commendable achievement in.co-operation with design and
development.
As part of the AI376 rectification plan, MSU presented to POCL TIP the
incident management process for’business critical incidents. Initial comments
from TIP were favourable and. they applauded the tighter management controls
that ICL Pathway is introducing.
POCL have requested a further 6-week monitoring period for those AI408
measures that were deemed as not achieved. This is to commence on Friday 3rd
December and finish on Thursday 13th January. As part of AI408, MSU will be
monitoring the performance of all 1800 Outlets with regard to Cash Account
performance on a weekly basis.
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VITAL STATISTICS
Live Base: 1859 Post Offices, 4122 counters
Total number of OBCS transactions-to date 21.3m
Total number of OBCS transactions.in November 4.9m
Number of books impounded 33,824
No. of EPOSS Transactions to date 28.5m
No. of EPOSS Transactions in:November 12.5m
Value of EPOSS Transactions to date £617m
Value of EPOSS Transactions in November £133m
No. of APS Transactions to date 5.0m
No. of APS Transactions in November 2.4m
Value of APS Transactions to dare £109m
Value of APS Transactions in Novembet £49m
PROGRESS
OPERATIONS
AVAILABILITY MANAGEMENT
SERVICE AVAILABILITY
e With the exception of Reference Data delivery for APS day D, all Minimum
Acceptable Service levels have been met for November. This may be a
measurement problem and is being investigated. There-are currently no major
service issues regarding uptime:of any component of the service.
NETWORKS
e Since the time-out on the Eicon drivers on the Counters has been adjusted there
has been a significant reduction in the number of excessive short calls from the
Outlets.
e Eicon believe that the current connection issues will be resolved by upgrading
the drivers within the Counters. This is currently under test and distribution to a
sample of 200 Outlets is planned over the next few days,
e Projected network performance still remains a major issue. Terry Austin
presented the ‘get-well ‘ plan last Monday. It will require an investment of
approximately £400k in additional router infrastructure but will have little
effect in equipment footprint within the Data Centres.
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¢ Energis have promised to keep CS informed on the progress of their action plan
following the congestion in the switch failover last month. An update will be
provided next, week in the service review forum,
BUSINESS CONTINUITY
© Progressing well. Another Data Centre failover test is being conducted this
weekend. There is still-a limitation on Tivoli capability from Wigan i.e: CS will
be unable to do software distribution. However this is will be resolved shortly.
Equipment-has been identified within Feltham for Bracknell site failover and
could probably failover sticcessfully from now, but more work is needed on
producing the complete written procedures.
© CS is in the process of agreeing a test-schedule for next year. The CFM001 and
$B001 contracts are being amended to define the CS requirements on OSD.
SOs
e Work is progressing on an update of the SOS contract. Kevin Dowling has
formally written to CS to confirm that OSD’s responsibility for remedies is
limited to that through misoperation i.e. no responsibility for failure in.-support
cover etc. The discussions continue. Vince Cochrane has permission to increase
headcount and is also looking at setting up an NT support centre in North: West,
which would be beneficial for us.
SMC
° The lack of focus on the SMC part of the red alert is being addressed through
weekly reviews. These are:concentrating on software distribution tail
management, event management and filtration. SMC will be presenting to CS
on Tuesday. 7th. December:the resourcing plan for the SMC. However progress
has been made on tail reduction and event management.
Y2K
e Plan has now been produced for this period and OSD have put in some
additional proactive checks, which will mean that positive alerts will be output
rather than exception alerts. There are a few issues around. ESNS operational
schedule but these are on track to be resolved.
CHANGE MANAGEMENT
SOFTWARE DISTRIBUTION
e There was excellent progress in reducing the pre-SIP 16 tail to just 3 problem
Counters.
e ‘The major software.releases between now and year-end are EPOSS
Reconciliation (Dec 18th) Eicon driver upgrade (currently under test) and SIP
16 (activation of remaining Outlets).
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REFERENCE DATA
The third meeting of the Reference Data get-well plan was held last week.
Attendees included Keith Baines, ‘ony. Oppenheim, Mike Coombs and Martin
Riddell. The meeting was very positive and hopefully increased the onus on
POCL to produce specific action plan to address data quality issue.
Data assumptions document has been sent to POCL. CS has received POCL
Business Rules document and comments have gone back to POCL.
There:is a problem relating to change in passport price data received from
POCL on 29th November, The price change was linked in to other changes for
which additional work was required and for which we had an OLA of 4 weeks.
The change is required for 16 December. There is a risk that we will be unable
to complete this change for the 16th December. POCL have been informed and
a response is awaited.
SIP 16 data has been delivered to all outlets and a selected number have:been
supplied with the code and activated.
Development work on CP2298, the change to RDDS/RDMC is reported to be
progressing to plan.
SLA MANAGEMENT & SERVICE INTRODUCTION
APS/TIP
CTO
‘There are no operational issues. Howeéver there is a.concern regarding the lack
of progress from TIP on issues. such.as OLA agreement, DR interim contingency
"arrangements etc. This will be raiséd again atthe TIP Steering Group meeting
on 8th December.
No issues
AP CLIENT MIGRATION
°
The major concern is the new requirement to migrate 2 AP Clients during Live
Pilot-and whether this can be achieved within the timescales. This has been
raised with POCL as part of the response to.the CSR+ replan.
AP Clients are being visited withouc ICL presence, contrary to agreement.
PERSONNEL
Paul Curley has now joined Availability Management and will have specific
responsibility of Operational Support.
RARs will be raiséd for an additional Reference Data analyst and Release
Controller.
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SUPPORT SERVICES
SYSTEM SUPPORT CENTRE
PROGRESS
°
There was some slight relief in the workload pressure on the SSC, particularly
over the last ten days of the month. The number of calls received in November
was 865 compared with 1123 in October.
Filtration at SMC remains a concern although the implementation of a higher
level of checking:prior to calls being escalated to SSC has certainly lielped to
reduce the flow..A-short secondment of one.of the key technical-staff from the
SMC to the’SSC is also a welcome:move. A.comprehensive plan for-how OSD
expect to be-able to improve the overall performance of the SMC is still
awaited.
The major technical issue during the month was to clear outstanding index
corruptions from some 300 Outlets. This was successfully achieved though
significant levels of overnight working were necessary.
To support work in the area of AI369, a further set of reports on the number of
OBCS receipts, redirections, issues and encashments at a defined set of Outlets
in POCL's trial has been produced.
The workload generated by calls, raised as a result of the Non-polling Report,
remains a concern. With the.exception of an Eicon issue no software problems
have been identified.
Staffing for the Millennium period (for SSC and OTT) is now signed off and the
initial list of back-up support from Development units has been provided.
Because A&TC have struggled to find appropriate candidates for the SSC (and
OTT) vacancies, approval has been received for external recruitment. Hays have
been briefed and CVs are promised.
ISSUES
Out-of-hours support for APS not in place within A&TC. Immediate focus is
on Christmas/Y2K arrangements and meeting has been set up with Terry
Anderson to progress this.
METRICS.
For information, the previous month is also included. ;
October November
Total Calls raised through SSC 1123 865
Total Calls closed through SSC * 1070 1068
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Total Calls passed to Development 332 454
(Of the total calls closed 510 were in categories (e.g. Advice and Guidance,
Published Known Error) which should have been closed by SMC).
OPERATIONAL TEST TEAM
PROGRESS
e Especially in the latter lialfof the month attempts have been made to minimise
changes to the:prime system components to provide a level of stability for the
final testing and release.of SIP16. This has only been partially successful - a
number of high priority changes (¢.g. CP2150, which had contractual
implications) have still had to be handled. It has been possible, though, to pick
up on the RoDB Pearce testing.
e Initial elements of SIP16 reference data were downloaded to 20 Outlets over the
weekend of 27/28 November and early monitoring shows no ill effects.
e Release introduction management.activities are now encompassing EPOSS
Reconciliation.
ISSUES
° Large CP developments are being delivered without sufficient integration testing
by Development, leading to problems in OTT testing. No early resolution of this
issue has been achieved.
INFRASTRUCTURE SERVICES
BUSINESS EFFECTIVENESS
e The name of the team has been changed from Business Process Engineering
—~Téam to Business Effectiveness Team (BET).
HSH/NBSC ELECTRONIC LINK FEASIBILITY STUDY
e Meetings have been held with HSH (STE09) and OSD OTI (MANOS) to
provide Kainos with the technical information they required to complete the
Feasibility Study. Other working contacts have been agreed with Kevin Dowling
and provided to Kainos. Written input to the Feasibility Study has been
provided on background, business scenarios and Interface Agreement principles.
WORKING WITH POCL ON SERVICE MANAGEMENT DEV’T
e The plan for 2000 was agreed. Nick Embling (POCL BSM) and Bob Davis will
continue to jointly run the Service Management Development Steering Group.
This will continue to report in-to the Horizon Service Review Forum
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MANAGEMENT SUPPORT
BUSINESS / RECONCILIATION INCIDENT MANAGEMENT
e As part.of the AI376 rectification plan, MSU presented to POCL TIP the
incident management process for business critical incidents raised by POCL or
via the newly developed EPOSS exception report set. Initial comments received
from TIP were favourable and they applauded the tighter management controls
that ICL Pathway is introducing.
¢ Non-polled offices aré still creating a large number of incidents. MSU are
identifying where there.is'a specific-system problem preventing the Outlet from
polling. However there is still the problem where MSU suspect that Outlets are
turning the Counter equipment off - evident from. Mondays reports which
contain 3 to 4 times the number of non-polled Outlets than other days within
the week.
MANAGEMENT INFORMATION
e AI 298 monitoring has officially ceased, however MSU will continue monitoring
the performance of ALL 1800 Outlets, albeit at a less formal level, as part of on
going MIS reporting.
¢ MSU will also be monitoring the. performance of all 1800 Outlets with regard to
Cash Account performance on a weekly basis as part of Al408.
¢ The number of Ad-hoc queries received from POCL is steadily growing with
MSU supplying the information within the 5-day time scale at all times during
November.
DESKTOP LT.
¢ AIL ICL Pathway staff will be on MS Outlook within a couple of days. The
TeamOffice servers are being closed down on 8/12/99, Tim Patteson has
performed an excellent job in making this happen.
¢ A disaster recovery trial will take place on 17/12/99 at Guardian.
STRATEGIC SERVICES
e POCL have requested a further 6-week monitoring period for those AIl408
measures that were'deemed as not achieved. During this period a number of
SLAs must be met, as a minimum, 4 out of the 6 weeks. This is to commence on
Friday 3rd December and finish on Thursday 13th January.
e The SLAs being monitored are as follows:
e Calls answered within 20 seconds.
e Measures for the Cash Account Period (Wednesday/Thursday) have been revised
as follows:
e Availability of trained staff to answer a Postmasters quéry.
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© 100% of calls answered by a person trained in using the cash account scripts.
e No more than 5% of calls must cause a ring-back to the Postmaster due to the
first level resource exhausting their knowledge and a higher level resource not
being available.
e Where a ring-back is required as described above.it must occur within 20
minutes.
e In order to determine that the HSH has diagnosed the query correctly and
therefore answered the query correctly, Cash Account calls are to be recorded
via tape recorders. The tapes are to be used to calculate conformance to the use
of cash account scripts. The target is 95% conformance.
e In order that.a measure of understanding of the postmaster can be recorded, the
HSH will ask and record the answer to an additional closing question of the
postmaster. This should be, “Do you now have enough information to carry on
through the Cash Account Process?”
© Since the completion of the recent roll out period call volumes have changed
significantly. The table below shows the change:in call volumes received from
live outlets in the last 8 weeks.
Week oat Jai jist fasn join jos [isn j22n
Beginning 0 0 0 0 1 1 1 1
Calls Per 3.07 I2.80 [2.94 }257 I230 [1.62 I139 I 1.25
Outlet
© UKSS have raised an issue of concern with Devlin Electronics, In October UKSS
returned 118 keyboards of which 53 were no fault found, The keyboard failures
are in the area of the keyboard RAM and swipe card facility. A suggested
workaround is a reboot of the counter. Further investigation is being conducted
with Ian Openshaw.
e Dave Fletcher and Bob Davis will mect'with POCL on the 9th December to
begin the definition of an interface agreement between the HSH and NBSC and
to gain a better understanding of each. other’s business.
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Quality & Risk Report
MONTHLY SUMMARY
Security Acceptance incident. Actions are progressing to plan.
Security. The work involved in defining KMS processes is moving ahead; the
approach to user acceptance is beginning to be defined.. Anti virus software is
being installed on peripheral system pc’s as a stop gap whilst a technical solution
is defined.
Risk Management. Implementation risk has reduced significantly with the
experience of the first 1800 offices. Process and WT issues are being addressed.
A common risk approach is:being discussed with PFI Group:
Quality. The achievement of ISO9001 registration by ‘September 2000 is now
the major objective. A programme of work is being defined with representatives
from all Directorates to drive through.
Continuity planning. A Crisis Management Plan Overview is being produced.
The contract with Guardian.for the Disaster Recovery site has been re-
negotiated.
Audit. Corrective action plans for all the 1999 audits are being followed uo —
progress on all, somewhat slow in some:areas. There are still issues with OSD
support for the Audit solution.
Y2k compliance. The major activity has been the drawing together’ail the ‘health
check’ plans, and definition of escalation routes. QRM staff will be on call
during the period to respond to any virus issues, which has been identified as a
major risk. There is still a major deficiency with OSD contingency plans.
PROGRESS
RISK MANAGEMENT
Implementation risks. The risk register has been reviewed. The overall risk is
decreasing and becoming more-specific with the hard experience of the rol! out
of the first 1800 offices. Major risks remaining include:
WT performance continues below the required standard
Other risks around state of the offices for installation eg. ISDN lines
Completion of coritingency plans
Training inefficiencies and impact on Help Desk calls
Ads-hoc analyses. Correlation between Advice & Guidance calls logged with the
HSH and training. Initial work has indicated that the existing data is not
detailed enough and more analysis is needed.
Discussions have started with the PFI Programme Office, with the objective of
establishing a single risk approach, using Predict!
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SYSTEM SECURITY
GENERAL
¢ AI391. Site security improvements at Bootle and Wigan continue to plan.
CSR
e Corrective actions identified on the Security Policy Deployment Audit are being
addressed.
e SEM monitoring/refinement is continuing and procedures updated.
Completeness of event identification over all platforms is being checked.
e For several months, a technical approach to providing up to date anti virus
software on peripheral pc’s on the live estate has been sought. This has not
progressed sufficiently to address the Y2k risk. A temporary manual installation
of the software is now planned.
e There is no specific.contingency plan for emergency administration of firewalls
in the event of a denial of service, particularly during the Millenium Holiday
Period (MHP). It is proposed to establish a secure central repository of contact
details, passwords and access control codes to mitigate against contingency risks.
CSR+
e Technical penetration testing. The scope, resourcing, timescales and
responsibilities have been identified. The next stage is to discuss with Horizon
and prepare test scripts with Admiral Testing Services.
¢ KMS User Guide. Work on producing this.continues:to plan. The complexity of
management the security of the keys across the estate.is beginning-to emerge and
will.need considerable attention before.go-live.
QUALITY
¢ Post Office DQA. A report was presented to Implementation with observations
from 23 visits during installation. WT .gave most:cause for concern with some
specific comments for Exel, BT and Celestica.
e Disaster Recovery plans. SMH plans continue to-be progressed. A scetiario was
run through with the Management Team. The:résult was the production of a
Crisis Management Plan overview and some restructuring. This will be reflected
in the detailed SMH plans, and another run throtigh.coriductéd early in 2000.
The contract with Guardian has been re-negotiated (reduction in cost) and the
disaster recovery site Will be at their Theale (Berks) facility from aboit March
2000.
e 1509001. This achievement of certification by Sept.2000 is now the major
objective. A Programme Board is being established with representatives for all
Directorates. Initial gap analyses are underway to define a programme of
activity.
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Version: 1.0
Date: 20/12/99
AUDIT
Internal audits:
e CSR+ development audit. Considerable discussion has taken place, which will
result in a CAP in December.
e Corrective Action Plans. A:number were reviewed during November:
e Customer Services. Progress has been slow but steady.
© Security Policy Deployment. The recommendations are being actioned.
e Change Management. 6 of the 12 recommendations have been closed.
* Implementation. Good progress; 14-0f the 19 recommendations have been
closed.
«Internal data provision. Considerable effort in responding to requests for audit
data from SSC.
¢ Audit Solution. We are still having problems with OSD support. There are 14
outstanding audit problems, and it is unclear who is managing their activity.
e Upgrading of On-Line Standards. This was handed over to Development 5
months ago. Migration to the Internet took place in November, with no
updating ie the transfer took 5 months!
YEAR 2000 CONFORMANCE
¢ The main activity has been in the production of ‘health check’ plans for the
early days of the New Year. A Pathway Millennium Co-ordination Centre is
being established, to.operate over the Millennium Holiday period.and link
Pathway to the Group and other Businesses on Y2K issues. All of the detailed
plans will be incorporated into a single plan to give-an overall picture. Ina
Honnor will be on duty in Feltham during this period.
e Group Security have flagged that there is a high risk of new viral forms or other
form of-attack. A global network of security related information is being
established to provide “early warnings” and NAI will be providing 24 hour
cover on high risk days. There are a number of important platforms on which
we either do not have anti-virus.software or have old versions. CPs to address
this are proceeding too slowly. Graham Hooper and Chris Billings will be on
call during the first three days,
e The lack of progress in OSD continuity planning is an issue. A major example is
Oracle financials, which has resulted in Pathway considering its own back up
plans.
e Last.minute non conformances are crawling out of the woodwork eg Firewall
systems in FELO1 and BRAO1.
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&
ISSUES
e Anti virus software on the live estate.
° Emergency administration of firewalls.
@ Secur!D Remote administration is still not complete.
e OSD suppore continues to be an issue. This has occurred in 2 areas — the audit
system and lack of co-operation with requests to provide evidence of
contingency plans and support for Y2k activities.
© Coverage of the Millenium plans is not yet 100%.
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Business
Development
Report
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ICL Pathway Business Development Monthly Report Ref: PA/REP/O44
Version: 1.0
Dave: __ 20/12/99
Business Development Report
MONTHLY SUMMARY
e¢ We have re-engaged with Post Office Network (PON) to start to discuss and
agree. how we will work together to deliver new requirements in the future. Alan
Barrie and some key members of his team visited Feltham. We proposed a way
of working and they are now considering this with a view to getting agreement
within the business.
e Post Office have issued an ITT for the supply of 3,000 ATM's and associated
. services. ICL Financial Services have responded to this with a services expression
of interest. We are also involved through some of the banks. It is questionable at
this stage whether or-not the banks have the appetite for this broad business.
The terms:of the ITT would be'unacceptable to most, if not all, banks.
e Post Office Network Banking team have issued an RFI form counter based
banking facilities. I have asked Financial Services to again lead on this for
political reasons. We are supporting FS in bidding both of these opportunities.
This RFI is a technically driven document promoted by Basil Shall. It calls for
systems to be run across the Horizon platform but the Network people are in
‘catch up' mode. There is very little evidence of business requirement. Response
is due in by 20th December. We are working with ICL FS to create and
document an integrated end to end solution utilising both Horizon and, where
appropriate, ICL Lifestyle components.
© The Post Office announced its half-year results,-with a loss of £386m. This was
put:down mainly to the write off of £570m for Horizon where they needed.to
take the hit up front as.they could not seé the-business return. over. the life of the
contract. There was no effect on IGL.Pathway and no calls from journalists were
received.
PROGRESS
Business Development:
¢ Service Development: Initial PON / ICL Pathway service development
workshop was held. This was a good interactive session. It will be a few months
before PON finalise how they want to work with us, but indications to date are
encouraging.
e EMU: PON have circulated the specification internally to ensure. that we
receive the support and resource. from. PON that will be necessary to undertake
the feasibility study successfully. We.are expecting to receive the spécification in
the next few days which will probably be worth ~£100k in analysis work.
¢ Scales; We commenced dialogue with PON on the implications of their
adopting a combined packet/parcel electronic scale at the counter. Key point in
the discussions is, as for EMU, how we will work together to deliver the
feasibility study.
e LFS: We hosted the first workshop where we demonstrated the LFS counter
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functionality to the PON LFS team. The session was well received with no
issues being raised against our interpretation of the specification
Marketing Communications:
Internal Communications in ICL Pathway
e The key milestone of 1,800 migration was communicated within ICL. Pathway
and ICL; this involved a number of audiences — ICL Pathway staff, ICL staff via
CASCADE and CafeVIK.
e The Christmas edition of Brief EnCounters, which is due to distribution w/c
13th December, is being prepared.
e Working is on going with Excellence Awards within [CL Pathway.
° For Children In Need, held a number of activities for staff members:to take part
in. These included a 6-A-Side football tournament and a dress down day. To
date, over £1,000 has been raised
External Communication
e Work is underway with ICL Corporate on Exec Relations. [CL Pathway is
considering the different events available against the target audience within the
Post Office
e Chrissie has attended a couple of meetings regarding the new approach to
‘intranets’ and CafeVIK. With the introduction of VIK2000 Intranets will no
longer be available. ‘Communities’ is the new methodology, which is a lot easier
to control and manage. There will be two communities for ICL.Pathway:
e ICL Pathway
© Post Office Virtual-Account Team (Kieran)
e These community sites up and running by mid January 2000.
POCL Communications
e Post Office Network review meetings continue. We have now held a joint
meeting between the ICL Press Office and Post Office Network to.agree a way
forward on joint press articles for next year. ICL has tasked it préss-agency
‘FireFly’ to draw up.a plan that. both parties can-agree to. The first joint release
looks like the ‘2000 post office in the year. 2000’.
Government communications
* The Government's Performance & Innovation Unit(PIU) visited ICL.Pathway on
25th November. It proved to be a very successful session, with about 3 members
attending, along with a number of representatives from the Post Office. The PIU
are due to produce a report in February. Their main focus is on the social
aspects of the post office network.
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e Alan Johnson, MP (minister responsible for the Post Office) visited on 6th
December and David Drew, MP (Stroud, Labour), visited on the 7th December.
Again, both proved to be successful events. Alan Johnson asked for‘a.similar
event every six months.
International:
© Two pieces of consultancy work are underway with Deutsche Post, one looking
at their application architecture, the other at security threat analysis.
e The Namibian development is on-going and is to plan. The ICL Pathway
resources are now reducing although there is the potential for a six-month
secondment asthe current project manager leaves in January.
e CTT, the Portuguese Post Office visited for two days in November. They went
away impressed by what they saw and heard. Descriptions of potential work
packages are now with ICL Portugal for discussion with CTT.
CRITICAL PROBLEMS
e None
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Implementation
Report
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ICL Pathway Implementation Ref: PA/REP/O44
Version: 1.0
Monthly Report Date: 20/12/99
Implementation Report
MONTHLY
Programme status within Implementation has improved during the reporting
period, making use of the 11-week lull in installations to address weaknesses
identified during the 12 weeks ofrollout in the last quarter of 1999.
The concerns oyer training scheduling have,been addressed and POCL are now
satisfied with the status of scheduling. The other area of previous critical concern,
the quality of preparations work, has also improved following the take-over of
Workplace Technologies by ntl. There is still much work to be done in this domain
but the progress achieved in the last month indicates that material improvements
will be available for the re-start of rollout.
The intercept of the next PC baseline is currently the most critical concern for
Implementation, following a specification mismatch with the targeted platform
although there are two options being pursued to resolve this. Time is the critical
factor and therefore the aim is to have decided on a.replacement, and have planned
the intercept critical path prior to the Xmas break.
Issue levels in the early weeks of Year'2000 rollout will be the barometer for
determining the success of the improvement programme undertaken by
Implementation during the 11 week break. Performance tracking is well established
in order to track and respond quickly to this. Prior to re-starting rollout, it is
anticipated. that improvements in processes, tools, the status of. scheduling and the
detailed planning from suppliers and internally, will ensure our general readiness to
re-start and sustain rollout from 24 Jariuary 2000. Although some issues remain, it
is considered that this are manageable and that the contingency maesures taken will
protect against any of these issues impacting the.success of rollout.
PROGRESS
Staffing within the Implementation directorate remains satisfactory. A further 7
staff have been approved taking the peak headcount profile in March 2000 to 110
staff. These staff have been positioned, for the short term, to strengthen the team
in the area of installation programme management and preparations quality
management. Impact to the.Implementation forecast has been neutralised through
improvements to the overall headcount profile.
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Versior 1.0
Monthly Report Date. 20/12/99
e The Infrastructure programme continues to make steady progress and is now
considered to be-entering the tail end although this may last for approximately 6
months, depending on the rate at which POCL can release suspended outlets into
the programme. Agreement has been reached with ntl (previously Workplace
Technologies) to extend their contract'for survey and preparations) by 3 months to
cater for the tai] in the programme. POCL have committed to providing a plan for
the:release of suspended and rémaining otitlets to enable Pathway to conclude their
commitments with sub-contractors.
¢ No installations have taken place during December although it is planned to install
a temporary Horizon outlet in the Millennium Dome during 16/17th December
1999. The system is effectively live as of the 17th December although training will
take place in the week commencing 20th December and the system will be first used
on 30th December. The installation programme will re-commence on 24th January
.2000. Recovery of scheduling backlog, from the period where the 16 week cycle
had been compressed into a 12 week period, has.made.good progress and will be
fully recovered prior to the re-start of rollout next year: 7
© The new software build has completed Célestica validation and building of the 3
week buffer stock has commenced such that thé.néw build will be. rolled.out from
the re-start of rollout.
° A feasibility study looking at-re-sequencing rollout by RNM clusters rather than BA
districts has been concluded and has determined ‘that the change can be undertaken
without a major impact on-rollout or RODB development change. Consequently, it
is anticipated that Pathway will soon receive approval from.PONU to undeftake a
re-sequencing of rollout.on-this basis. This will attract revenue of £50,000 for
Pathway. The change will be completed by 10th January 2000 in order to ensure it
does-not impact the re-start of rolloutand to minimise risk to the:programme. The
first.outlets installed in this sequence will go live from 1st-May 2000.
e Implementation of:all actions from AI218 have been completed, the customer has
accepted the work is:‘complete and has closed down the incident. The first preview
training.event will take place in January 2000,
© Training scheduling demonstrations have been completed with POCL and
confirmation has been réceived that they ate now satisfied with the quality of
training scheduling.
e The training system upgrade programme to increase the training platform hard disk
and memory is well underway and on-schedule to be completed prior to thé end of
the: Christmas break.
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rt Version: 1.0
Monthly Repo! Date: 20/12/99
e Implementation have been engaged in an external audit by PA Consulting on behalf
of the Post Office for the last month. The audit has been completed and the initial
feedback was that the rollout is robust and satisfactorily planned and prepared
ready to start and sustain rollout for the duration of the year 2000.
IMPLEMENTATION STATISTICS (TO 10'" DECEMBER 1999)
Activity Cumulative
NFRASTRUCTURE PROGRAMME
IRGM letters issued 17,563
Site-surveys undertaken : 17,131
Site. re-surveys required 6,647
Site re-surveys undertaken 6,489
Site‘ modifications done 4,945
Site preparations done 10,537
Sites RFI 9,965
INSTALLATION PROGRAMME
IRGM2 Letters issued 5,539
ISDN lines installed 2,471 a
Sites installed 1,864 .
Sites migrated and Live 1,856
‘Counters Live 4,096
CURRENT CRITICAL PROBLEMS
© Inthe second half of the year 2000, Pathway has planned to intercept the next
generation Fujitsu PC to replace the X365 model, the baseline for the Horizon
rollout. A replacement is required as a.result of the need for component last time
buy in June 1999. The Fujitsu Xdi+ model had been designated as the replacement
and the outline specification mét the Horizon platform requirements. Following
publication of the detailed specification for the Xdi+, it has been determined that
Horizon LAN and video drivers cannot be supported by the next generation PC.
This is the same for all Tier 1 PC suppliers who are following the PC99 format.
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¢ Consequently, Pathway must make an urgent decision whether to undertake driver
development of find an alternative PC supplier to replace the X365 model, which is
now regarded as old technology. Risk assessment of the alternatives is underway
and the options include Tier 2 PCs that march the requirement, development of
video and LAN drivers or ensuring the Horizon software baseline can intercept
future technology updates.
e Previous reports have highlighted Workplace Technologies quality of work in the
completion of preparation activity as being.a critical concern. This situation is now
improving, following the acquisition of Workplace Technologies by ntl, although
not fully resolved yet. (Note: Workplace Technologies are now fully integrated
within nt] and their trading name is ntl). Two workshops have been held between
ntl and Pathway, attended by the MDs of both organisations, with the objectives of
improving the relationship, improving the quality of work and achieving the
programme milestones. The progress achieved at these two workshops has been
very good. Both teams are being led by new project managers and with direct
reports into their respective senior management. The respective organisations have,
through consultation, agreed to targeted, small changes in the team structure and
additions of skilled resource in weak areas. Jointly agreed plans for process
improvement have been created as output from the workshops and are in the
process of béing implemented. It is anticipated that, as.a result, the degree of risk
to the programme will be significantly reduced and the seeds for-a positive,
forward-looking relationship are in place. This has only been achieved due-to the
support of ntl, which had not been available ‘previously, and explains why previous
efforts to resolve this concern had not been successful.
¢ Until such time as the benefits from this activity materialise, however, it will be
necessary to continue providing contingency support for ‘installations. This can only
be measured once the installation programme re-commences o 24th January. In the
meantime, a judgement will be taken anticipating a degree of success such that
reductions from previous contingency levels can be implemented.
e Training scheduling is no longer considered as a critical concern. POCL have
witnessed demonstrations of the revised. training scheduling capability and are
satisfied that this.is now in a satisfactory condition. A report to that effect is
expected from POCL before Christmas.
ISSUES
(Including progress on issues reported last month)
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Incompatibilities in the RODB end user platforms have been identified during the
live release-of the RODB Pearce software. This is being resolved by bringing
forward the rollout of NT platforms to all RODB users for the Secure managed
Environment, originally due next March. The RODB Pearce release was
consequently delayed to avoid creating further issues but will be introduced to the
live RODB service. in the first week of January. This release will remove many of
the RODB issues currently being raised by our suppliers.
Ntl have yet to achieve a full 5 week clearance between re-checking outlets and
their due installation date. This is essential to minimise on-the-day installation
issues once rollout re-starts. However, progress is being made and the recent
workshops with ntl indicate that the barriers preventing further progress are being
removed. Currently the first three weeks are largely complete and it is anticipated
that the majority of the 5 weeks will have been achieved 2 weeks ahead of schedule
leaving a small percentage to be addressed in the New Year.
Discussions are underway with other PFI programmes to determine the feasibility of
having a single professional unit to manage rollouts across.a number of
programmes. Pathway is regarded as the most likely centre of excellence for large
rollouts and is key in this approach. A strategy paper is being drafted to determine
the most effective way of managing this: without increasing risk on individual
programmes.
COSTS
Funding for contingency measures (spare installation teams and staff to respond to
snagging items during installations) will be added to the Implementation forecast
for the initial weeks of rollout. This is necessary whilst a measure of improvements
in the preparation quality is assessed although a degree of improvement has been
anticipated and reductions in contingency levels have been made.
During the last month, a £750, 000 impact has been absorbed into the
Implementation forecast, to cater for the costs incurred by the additional 5 week
gap over Xmas 1999. This has been achieved with neutral impact due to it
coinciding with a review of the training costs in the tail of the installation
programme (OBC), where estimates had been previously based on full beat rate.
Cost impacts for the training system upgrade programme, to a total value of £350K,
have been included in the forecast this month.
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¢ A headcount profile review has been undertaken in the last. month resulting in a net
cost reduction. Although some increase in headcount have been-approved to de-
risk the front end of the rollout profile, improvements and more detailed planning
in the tail of the programme have more than absorbed this impact.
e The Implementation budget has now’been divided into main Implementation _
rollout and OBC rollout, ifsréadiness for handing the management of OBC over to
Customer Services.
e The current Implementation forecast, including main rollout and OBC, remains at
the levels reported two months ago.
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Organisation
& Personnel
Report
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ICL Pathway Organisation & Personnel Ref: PA/REP/044
Version: 1.0
Monthly Report Date: _ 20/12/99
Organisation & Personnel Réport
MONTHLY SUMMARY
« Activity increased in relation to Millennium Holiday Period (MHP) resource
plans. Themajority of managers were briefed and provided with packs made up
of related collateral and letters for distribution to their staff. Acknowledged
signed acceptances of the MHP terms associated with on-site, standby or call-
out.cover were being returned to Personnel from the individuals in question
during the last few days in November.
e Recruitment activity continued, mostly on a replacement basis, but with some
new posts being approved in Implementation and Customer Service to allow
additional support for National Roll Out and the consequent increase in estate
size.
PROGRESS
* Appointments in Novemver:
External Recruits
‘Transfers
A&TC
LINKwise
Freelance
Tem/Fixed Term Contracts
NoOonorOoS
Total:
e Known Joiners:
External Recruits
2
Transfers 1
AX&TC
LINKwise
Freelance
CON
oral:
we
e. Offers outstanding:
External Recruits 2
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e Leavers in November:
Permanent
Freelance
Temporary(FTC)
Transfers
Total:
Noo Fw
e Millennium resource plans have almost:been finalised with Managers being
briefed and letters distributed to individuals providing on-site, standby or call-
out cover. The last few days of the month saw the return of letters from
individuals acknowledging-and accepting the terms associated with Millennium
Weekend Working.
e As the demand increases for staff to work additional hours to meet business
requirements, in particular CSR+, ICL Pathway will be temporarily mirroring
A&¢TC's Additional Hours Framework until Group HR release a One-ICL policy
for Additional/Unsocial hours. The majority of ICL Pathway managers have
been briefed on the Framework and mechanisms put in place to ensure control
and efficiency.
e In addition to Millennium plans, there is a business requirement to provide
limited call out cover during the period 26th to 28th December 1999.
Customer Service are. providing core resource with Systems Directorate
functions providing support services, primarily 4th line support. The A&TC
Additional Hours Framework will form the basis for payment over this
Christmas Weekend. Managers are confirming requirements back to Personnel
for consolidation and implementation.
¢ Whilst good progress was made in October in respect of managers returning
Professional Variable Pay objectives, approximately half a dozen remain
outstanding. Active steps are being taken to ensure 100% is achieved.
e Following last month's meeting with representatives of the ICL Project
Management Community, letters to individuals confirming their official
alignment to the professional community will be issued shortly.
e Recruitment activity continues, Whilst many vacancies relate to the replacement
of leavers, some new positions have been approved in principal at OMRs in
both Customer Service and Implementation in response to National Roll Out
and support.for the increased live estate.
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e We have held a series of ‘meetings with A&TC Skill Set and Career Managers to
improve their understanding of ICL Pathway resourcing requirements. We have
also worked with A&TC to improve our job descriptions and provide additional.
ICL Pathway ‘collateral to help facilitate recruitment action.
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i
I
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9
a
Mil
= Client
hi
i
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ICL Pathway The Post Office - Client Director's Ref: PA/REP/O44
Monthly Report Version: 1.0
y P Date: 20/12/99
The Post Office - Client Director’s Report
MONTHLY SUMMARY
¢ The new initiative for eBusiness has been reviewed with PO’s Business &
Commercial Strategy Director.
EBUSINESS
e The new initiative has been reviewed with John Dunlop and some follow-up
questions answered. PO eBusiness group are now pulling together all their
thoughts in this area for review at PO Exec Board 23 December.
SERVICE MANAGEMENT PRODUCTIVITY PROGRAMME
e The Initial Discovery Phase Has Uncovered A Wide Range Of Opportunity
Areas For Service Management Improvement Across Post Office It Services.
These Are Being Consolidated Into Plans And Proposals For Review And
Agreement With PO Over The Next 2 Months, With The Goal Of Achieving A
Substantial Services Order By Company Year-End. The Immediate Requirement
For An Asset Register, Prior To April 1 When PO It Services Take On
Responsibility For All PO Desktop PO’s, Is Being Developed Using Peregrine
Software.
MODERN GOVERNMENT
e The general pace of development across government remains painfully slow and
Post Office remain buried in the implications of setting up the new business
units: Government Gateway does not appear to be a priority. A number of
potential joint initiatives continue to be put to PO eg Smartcards for Newcastle
City’s Distinct project.
SMARTCARDS
¢ Ownership of the smartcard opportunity has now been returned to Network
Banking, to the consternation of the Govt Gateway team. PO Research group
are working on their mandate to procure smartcard systems for all 200,000 Post
Office employees for internal use, with considerable assistance from ICL, but
have yet to articulate a business case.
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Monthl rt
ly Repo Date: 20/12/99
Microsoft
e MC are bidding against Computacenter to win an Enterprise Agreement for
supply of all Microsoft products. Microsoft are pushing to conclude the
negotiations and have “recommended” ICL. The ICL proposal goes in from MC
on Dec 16th.
TECHNICAL RESOURCING
* This contract, for bodyshopping, is administered by ICL Govt Div who have
proposed revised pricing, as the contract allows, after the first anniversary. As
A+TC substantially increased their rates after the.original.contract was let, Govt
Div are-now proposing an average 25% rate increase.
NEW BID - HELP. DESK OUTSOURCE
© This bid has been cancelled by PO.
COST. DOWN
e No change.
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