Drax: IT Transition and advisory, at pace

The Project

We were engaged by Drax to assist in the IT work required to support the sale of four thermal sites, leveraging the experience and knowledge we gained from the original Scottish Power acquisition/transition project.

During a six week engagement, as well as building the Drax initial IT transition plan and managing its delivery, we also provided ad-hoc advisory to VPI, at the request of Drax, to help ensure the handover happened on schedule

Things happen fast - we are responsive

We spent three days putting plans together with Drax then hit the ground running with a 28-day deadline. We prepared the ground, put the plan together, ran the project, coordinated resources, and acted as the prime interface with the buyer.

During our engagement, as well as building the Drax initial IT transition plan and managing its delivery, we also provided ad-hoc advisory to VPI, at the request of Drax, to help ensure the handover happened on schedule.

We worked heavily on the TSA – we helped build it and handed over the amended processes to provide the TSA.  Drax has moved into a BAU type role and is only providing a bureau service, although on a day-to-day basis this makes no difference to operations.

Using our earlier work as a foundation we were able to make the process easier for seller and purchaser. Our earlier work made the project leaner and more cost-efficient.

From the point of engagement, we had four and a half weeks to act, with a one-week wrap-up and we successfully completed the mission.  Cutover (which was virtual this time) went without hitch and VPI became the operator of the sites.

The Project Revived

We were brought back on board to assist with the final part of the transition and ensure that Drax/VPI could exit the TSA safely and on schedule. Given other internal priorities, Drax identified the need to bring in external programme management capability and, with the TSA end date looming, recognised the need for someone with experience and knowledge of the acquisition who could complete the TSA and ‘manage’ VPI.

We successfully managed Drax’s existing commitments but also assisted the buyer as much as possible. VPI owned just one power station. As a lean organisation, their challenge was that having made the acquisition of new sites, they weren’t set up to make the transition happen. We had a unique knowledge of the acquisition as we had programme managed and coordinated the disposal, so we were in a perfect position to assist.

As before, there was a cutover then transition. There was a TSA – but the difference was that VPI was buying not selling. As a result of our previous project, the infrastructure was in much better shape and we had the plans from the last acquisition, so we reversed the position to enable the transition.

A benefit to all parties

The key benefit was that our experience of the earlier acquisition made for a very rapid project; we were able to exploit the knowledge, collateral, and processes. A great outcome for all. 

A major benefit of our project was the exit of the TSA, which meant that there were no penalties on the buyer or seller side.

To maintain independence, we had to make sure we didn’t overstep any boundaries and do the buyers job for them, so we carefully invested time guiding, assisting and providing advice to smooth the process and drive mutual success.

Preparation, delivery, success

We invested time and knowledge in preparation of the transition and established all the steps our clients needed to take. What helped make this such a smooth project was that we knew the people, the processes and had the relationships.  Our knowledge and experience in the previous acquisition made the outcome a great success.

Project Manager Simon Thomas said:

“We started working with Drax in 2018. They didn’t habitually use consultants but when they bought Scottish power they needed to upscale their capacity and skills to meet the M&A deadlines. Our sponsor proposed bringing in an external capability and wanted an intact team, which was a new experience for Drax.

During the early days of working together, we faced challenges, not least that our full team arrived en masse and we needed to go through a learning period as we got to know the working practices and culture at Drax. Our team made progress swiftly and gained a massive amount of credibility with internal employees, who had long-established set practices. Our team introduced a different mindset, treating the impossible as possible and descoping the project to make it achievable. 

Our ability to look at the big picture caught on well with the Drax team and we integrated swiftly. The key to our success was becoming part of their team, which brought mutual respect and understanding. We had to blend a pragmatic and practical approach in order to dovetail into the business’ current processes.

The project was a massive challenge, if it was a film you would play the Mission Impossible theme tune; when many thought the task was impossible, the skills and capability we brought to the Drax team changed perspectives and the task became achievable. We achieved great results and the credibility we earned on this first phase led to us being asked to work on the integration phase.”