Our initial report showed the probability of achieving the desired milestones: the predicted delays, and the risks – highlighted by the assumptions – that would need to be managed to get back to the plan. In this case, it was clear that it was advantageous to both parties to accept the delays predicted and then formalise the new milestones and ensure that they were met. It also clearly demonstrated the opportunities available to HPE. They could both manage the existing contractual engagement and engage in potential new business with DB by managing the identified risks that were being caused by both parties.
This report was followed up with specific action plans that demonstrated how HPE could reduce delay times and keep the end client on-side. Following the analysis, we facilitated an agreed solution with HPE and DB for a new set of initial milestones for the T&T programme that all parties could support. The programme duly met these milestones.
Subsequently, the HPE team calculated that, using the evidence collected by our methodical approach, they would save $4m by not triggering the contractual penalty clauses and by meeting the key payment milestones on time. In addition, and more importantly, HPE’s credibility was preserved with DB at the crucial early stage of the relationship.