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erables of the Process Alignment phase are as follows: ? Revised processes ? Organization and work force needs ? Quantification of savings ? Performance measures developed for continuous improvement PROJECT APPROACH BellSouth Call Management Project Phase I Phase II Phase III Phase IV Planning amp。 Preparation Opportunity Assessment Process Alignment Performance Measurement TELECOMMUNICATIONS 12 BELLSOUTH RTHUR NDERSEN amp。 O, A A C SC B el lS ou thC al l M anag e me nt Pr ojec tPha se I Pha se II Pha se III Pha se IVP lann i ngamp。 P rep a rati onO pp or tun it yA s s es s men tP ro ces s A lign m entP erfo rm a nceM eas ur em entPhase IV Performance Measurement Key Objectives The key objectives of the Performance Measurement phase are as follows: ? Develop specific implementation plans ? Communicate plans and action steps to appropriate personnel ? Smooth transition into implementation Approach The approach to achieving these objectives is to: ? Summarize, prioritize, and sequence opportunities for change ? Develop high level implementation plans ? Appoint implementation teams ? Assign responsibility ? Develop timeline and monitoring process ? Develop and track key performance measures Key Deliverables The key deliverables of the Performance Measurement phase are as follows: ? High level implementation plans ? Staffing and budget modifications ? Responsibility and timing ? Management considerations for monitoring ? Overall monitoring process PROJECT APPROACH TELECOMMUNICATIONS 13 BELLSOUTH RTHUR NDERSEN amp。 O, A A C SC ? Communication ? Obtaining BuyIn ? Turf Protection ? Frequent management munication throughout process ? Multilevel interaction ? Participative process ? Bottomup analysis and clearance ? Focus on activities, not people ? Joint project teams ? Development of objective data base ? Strong management direction ? Objective perspective of teams Keys to Success Management Issues PROJECT APPROACH TELECOMMUNICATIONS 14 BELLSOUTH RTHUR NDERSEN amp。 O, A A C SC ? Changing the Right Things ? Obtaining Real Savings ? Maintaining Service While Change Occurs ? Linkage with business strategies ? Focus on internal and external customers ? Objective analysis ? Strong management mitment ? Setting a fast pace for analysis and implementation ? Buyin at all levels ? Measure results ? Proper staffing of project ? Fast pace ? Communicate goals and objectives to all employees Keys to Success Management Issues PROJECT APPROACH TELECOMMUNICATIONS 15 BELLSOUTH RTHUR NDERSEN amp。 O, A A C SC ? Builds crossfunctional understanding throughout anization ? Injects fresh ideas and perspectives ? Reduces cost, presses elapsed process time and improves customer service ? Utilizes knowledge base of how other panies have solved these issues ? Use of experts minimizes your long term investment BENEFITS OF OUR APPROACH TELECOMMUNICATIONS 16 BELLSOUTH RTHUR NDERSEN amp。 O, A A C SC PROJECT TIMELINE AND PROFESSIONAL FEES Months Phase 1 2 3 4 5 6 7 8 I. Planning amp。 Preparation II. Opportunity Assessment III. Process Alignment IV. Performance Measurement Management Checkpoints ? Frequent management checkpoints will allow BellSouth to adjust the project scope, as required. ? We will bill professional fees and expenses as incurred. We estimate fees for this project to be in the range of $900,000$1,000,000 (based upon 20 site visits and BellSouth participation as outlined in the “Project Approach.”) ? Our policy is that billings should be consistent with the value we provide. We will adjust our billings if you are not satisfied with the value you received. ? Additional sites can be analyzed at marginal incremental costs. TELECOMMUNICATIONS 17 BELLSOUTH RTHUR NDERSEN amp。 O, A A C SC Exhibit I Project Experience Major Local Exchange Carrier Management Challenge Increasing petition and deregulation moveme