11

ERCOT Market Meeting SupportERCOT Market Meeting Support

Improved Meeting Support forImproved Meeting Support for

More Efficient Resource UtilizationMore Efficient Resource Utilization

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DriversDrivers ERCOT’s governance model (GM) is a key cornerstone to its ERCOT’s governance model (GM) is a key cornerstone to its

overall market successoverall market success

GM requires a large commitment of key resources from ERCOT, GM requires a large commitment of key resources from ERCOT, PUCT, and Market Participant’sPUCT, and Market Participant’s

Like all stakeholders, ERCOT Staff is being asked to do more Like all stakeholders, ERCOT Staff is being asked to do more with less, be more efficient and effective, control staff additionswith less, be more efficient and effective, control staff additions

ERCOT Staff is expected to deliver a range of GM services at a ERCOT Staff is expected to deliver a range of GM services at a high level and consistentlyhigh level and consistently

Many issues cross multiple functional areas, requiring Many issues cross multiple functional areas, requiring significant cross impact analysis and coordinationsignificant cross impact analysis and coordination

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ERCOT Staff GoalsERCOT Staff Goals

Professional support of the MP market meeting structureProfessional support of the MP market meeting structure

ConsistentConsistent executionexecution EfficientlyEfficiently meet the needs of the participants and Staffmeet the needs of the participants and Staff Right resourcesRight resources available given the body type and agendaavailable given the body type and agenda Sound preparationSound preparation of ERCOT presentations and positions of ERCOT presentations and positions Timely and precise communicationTimely and precise communication with stakeholders with stakeholders Early identification of issuesEarly identification of issues and coordination across ERCOT and coordination across ERCOT

• ID, coordinate, analysis/impact, position development,…ID, coordinate, analysis/impact, position development,… Maximize utilization of ERCOT facilitiesMaximize utilization of ERCOT facilities

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A Significant Commitment Indeed…A Significant Commitment Indeed…

In 2004 - Over 600 ERCOT MP meetings:In 2004 - Over 600 ERCOT MP meetings:

Approximately $700,000 in outside facilities and meals for Approximately $700,000 in outside facilities and meals for meetings coordinated through ERCOT meetings coordinated through ERCOT

Well more than 100 skilled or highly skilled ERCOT Staff called Well more than 100 skilled or highly skilled ERCOT Staff called on to contribute to GM process. 25 - 30 FTE’s demanded by on to contribute to GM process. 25 - 30 FTE’s demanded by meeting volume and ERCOT service responsibilities.meeting volume and ERCOT service responsibilities.

ERCOT costs to support GM estimated at $4-5mm/yearERCOT costs to support GM estimated at $4-5mm/year Staff (loaded), plus facilities (depr., util., taxes, insur.)Staff (loaded), plus facilities (depr., util., taxes, insur.)

MP & PUCT costs to support GM (if 3x) = $12 - 15mm MP & PUCT costs to support GM (if 3x) = $12 - 15mm Staff (loaded), T&E, consultants/counsel,…. Staff (loaded), T&E, consultants/counsel,….

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but, the Return is Greatbut, the Return is Great

Fair and open forum – democratic decision makingFair and open forum – democratic decision making Stakeholder driven agenda and accountabilityStakeholder driven agenda and accountability Deliberative, advance notice, no surprisesDeliberative, advance notice, no surprises Transparent via published agendas, minutes and votesTransparent via published agendas, minutes and votes Opportunity to ensure no issues are avoidedOpportunity to ensure no issues are avoided Expected business outcomes: Expected business outcomes:

Continuous improvement to the Texas electric marketContinuous improvement to the Texas electric market Value of market benefits in excess of cost to change Value of market benefits in excess of cost to change

ERCOT rated the #1 competitive electric market in N. America !

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Feedback from MP’sFeedback from MP’s

Staff support performing well in many areas, could improve in other Staff support performing well in many areas, could improve in other areas:areas:

Designate and publish to each committee’s website a lead and alternate Designate and publish to each committee’s website a lead and alternate Staff person to attend and be responsible to each bodyStaff person to attend and be responsible to each body

Ensure there is a cross functional “internal ERCOT review” before staff Ensure there is a cross functional “internal ERCOT review” before staff present views in MP forumspresent views in MP forums (“part of the problem may be a lack of consistency in who attends, which can lead to internal communication problems”)

Prepare meeting locations in advance of the posted start timePrepare meeting locations in advance of the posted start time

Prepare and distribute minutes of each TAC, Subcommittees, Task Forces Prepare and distribute minutes of each TAC, Subcommittees, Task Forces and Work Groupsand Work Groups (“it is not fair to ask someone who is representing their company to be saddled with note taking”)

Limit the number of employees that attend various meetings – only those Limit the number of employees that attend various meetings – only those that have a direct responsibility to the meeting or the agendathat have a direct responsibility to the meeting or the agenda

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Principal ChangePrincipal Change

One, named ERCOT Staff member for each One, named ERCOT Staff member for each standing bodystanding body

responsible to serve the needs of the committee in pursuit responsible to serve the needs of the committee in pursuit of its mission, andof its mission, and

To coordinate internally, the broader ERCOT To coordinate internally, the broader ERCOT Staff in support of the bodyStaff in support of the body

Defined role and responsibilitiesDefined role and responsibilities Part of individual performance goalsPart of individual performance goals Plan regular check points with body Plan regular check points with body

leadership and committeeleadership and committee

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Functional Expertise

Business, Market andR&R Impacts

Change Management ofProtocols and otherMkt. Rule Documents

Policy MakingSupport

Key Contribution to Market

Board ofDirectors

PRS, TAC

WMS, RMSROS, COPS

Task Forces,Working Groups

AppropriateBusiness Managers

Executive Team

Key Coordination w/in ERCOT

Functional Directors& Officers plusCS, Rules and RA

Executive Team

The Right Type of Contribution to the Governance Model andThe Right Level of Coordination within ERCOT

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Chair

Meeting Infrastructure

Agenda

•Schedule Meeting Spaces – SS (BA)

•Manage Acquisition – SS (BA)

•AV Requirements

•Catering

•Communications

•Post on Web Calendar – SS (BA/AB)

•Facilitate Scheduling/Coordinate Conflicts – SS (BA)

•Notice for Call (market and internal) – SS (AB)

•Create Draft Agenda –SS (AB)

•Review action items from prior meeting – MM

•Co-facilitation of Agenda Call – MM

•Finalize Agenda – SS (AB)

•Notify Specific ERCOT Staff – MM

•Internal Communication (internal clients/requested participants) – MM

•Distribute Agenda and post to web – SS (AB)

ERCOT Meeting Prep (internal)

•Coordinate presentation materials from internal authors – MM

•Schedule Preparation Meeting – MM

•Anticipate, Discuss, Establish ERCOT answers – MM

•Notify/Discuss Emerging Issues – MM

•Distribute/Post ERCOT Presentations – SS (AB)

ERCOT Meeting Prep (external)

•Follow up with external presenters – MM

•Receive/Distribute Presentations – SS (AB)

•Post presentations to web – SS (AB)

Final Briefing

•Schedule meeting – MM

•Facilitate Conference Bridge – MM

•Internal Coordination – MM

•Meeting Notice – MM

•Co-Facilitate Meeting - MM

Meeting Day Coordination

•Sign in Sheets/Record Attendance into Minutes – SS (AB)

•Tent Cards/Set-up – SS (AB)

•Receive and Manage Proxies/Alt. Reps – SS (AB)

•Presentation Setup/Preparations – MM

•Meeting Minutes – SS (AB)

•Coordinate Tech Support – SS (BA)

•Internal Summary/Action item development – MM

•ERCOT Presentations – SME/MP/MM

•Response to Market Inquiries – SME

•Voting – SS (AB)

•Facilitate lunch focus group/intrameeting groups – MM

•ERCOT Charge Approval (offsite) – MM

•ERCOT Input coordination – MM

•Quality/Feedback process, compilation, tracking -MM

Post Meeting

•Minutes – Draft – SS (AB)

•Incorporate Comments – SS (AB)

•Publish/Distribute for Comment – SS (AB)

•Publish Internal Summary/Action Items –MM

•Contact key ERCOT Staff on assignments and emerging issues – MM

•Update and publish final presentations to web – SS (AB)

•Email Vote Facilitation – SS (AB)

•Notice/deadline

•Compiling votes

•Result notice

•Review/Approve costs meeting costs (room, catering, AV) – SS (BA)

•Offsite service/quality assessment – SS (BA)

Resource Requirements for TAC/Subcommittee Meeting Process

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“Core Team”

•Assigned responsibilities•Standing role•Accountable to both market body and ERCOT team•Alternates named

Focus: coordination, communication, continuity of support for both committee and staff

+ERCOT Experts

•As requested by body via CT•Dictated via agenda, or•As assigned by a Manager, Director or Officer•Not a standing role

Focus: expertise, analysis, facts to aid market decision making process

Market Meeting/Committee Support

Key ERCOT Roles

1111

Board ofDirectors

PRS, TAC

WMS, RMSROS, COPS

Task Forces,Working Groups

AM, SME orSME, AM

Bus. Manager,Rules, SS

Rules, SS, Legal

Corp Sec’y,Officer Team, Legal

Core Team

FunctionalBusiness Managers

Executive Team

ERCOT CoordinationKey Clients

Impacted Directors& Officers plusCS, Rules and RA

Executive Team

Market Meeting SupportKey Clients

Underlined position = performs ERCOT Staff Meeting Management role

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2005 Committee Assignments

TAC : MM - Cheryl Moseley, SS - Ann Boren, Legal - Mark Walker

PRS : MM - Cheryl Moseley, SS – Market Rules Team, Legal – Andy Gallo

ROS : MM - Steve Myers, SS - Ann Boren, Rules – Nieves Lopez

WMS : MM - Ted Hailu, SS - Ann Boren, Rules – Nieves Lopez

COPS : MM - Ted Hailu, SS - Ann Boren, Rules - Diana Zake

RMS : MM - Dale Goodman, SS - Ann Boren, Rules - Sonja Mingo

Note: Brittney Albracht performs facilities and meeting services coordination

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2005 Committee Assignments – ERCOT Staff Next Steps

During Q1

MM to coordinate/establish assignments to TF and WG’s

Establish back up for minutes taking at TAC and Subcommittee’s

Resolve TF and WG documentation need, responsibility and resource req.

During Q2

MP feedback checkpoint at TAC and Subcommittee level

Further improve coordination across ERCOT Staff supporting MP’s on cross functional initiatives

During Q3

MP feedback checkpoint at TF and WG level

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2005 Facilities Coordination

TAC, Subcommittees and TNT•Basically little change to existing process•Schedule as far forward as necessary•Seek best match of facilities with needs (size, AV,)•Look to minimize outside facilities utilization via scheduling cooperation

Working groups and task forces•Schedule up to two months forward•Match facilities to needs•Use ERCOT facilities at preferred location first (Austin), use low-cost adjacent hotel space second if preferred location not available, use ERCOT alternate locations (Taylor) third

Operator training in April creates the need for flexibility from committee Chairs that month. Thanks in advance for your assistance.

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Possible Continuous Improvement Ideas

In TF & WG meetings, ERCOT Staff introductions and identification of your reason for being at the meeting (contributor/observer and area of interest)

At end of all meetings, quick check point survey (verbal w/ input documented and retained):

•What worked well today?•What did not work as well as you would have expected?•How could the next meeting be improved? (need actionable input)

Start each agenda call with the feedback from last meeting and discuss how to improve the next meeting to address concerns

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Possible Continuous Improvement Ideas

Establish a tracking mechanism regarding committee, TF and WG agenda items, workflow, assignments, next steps

Implement cost/benefits criteria and analysis for non-administrative protocol and guide changes

Update and standardize format and detail regarding committee, TF and WG “key documents”

Publish key docs on web site including: procedures, mission and scope, voting members, chair and vice chair (as appropriate for body type), ERCOT Staff assigned

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Questions and Suggestions?Questions and Suggestions?