Re: Topics for next week

Thanks for the responses -- all look great. I like coming over knowing that
my calendar will be pretty full. Dinner sounds great, too. I am having
dinner with Beth Apollo on Monday evening to talk more about her assignment.
I received a note from Fernley asking about dinner on Thursday evening also.

Hope that the New York trip was worthwhile and that the trip back was
smooth. --Sally

Mike Jordan
01/11/2001 01:57 PM
To: Sally Beck/HOU/ECT@ECT
cc:
Subject: Re: Topics for next week

see comments in red - rushed - so please excuse my typos

Enron Capital & Trade Resources Corp.

From: Sally Beck 11/01/2001 17:57

To: Mike Jordan/LON/ECT@ECT
cc:

Subject: Topics for next week

Well, I didn't get this out to you before I left the office last night. I
was still pouring over bonus info until 9:30, and decided to call it quits at
that point. Here are some of the things that I would like to do next week:

review your action plan to move the close and officialization of London
books to same day, - certainly want to review this in detail with you - the
issue being that we may not in the short/medium term be able to change
systems infrastructure to run same day - but with a combination of process
and tactical systems enhancements we may be able to deliver no action p&l,
new activity p&l and position signoff on trade date with 'officialisation' of
books on T+1 in time for RAC VAR explain and limit monitoring process

Also I would like to go through our credit difficulties with you and Ted at
same time - more for information on this - because when we 'solve' market
risk reporting issues we will face big push to 'clean' credit exposure
reporting process - Office of Chair is very insistent on this

to replicate, if appropriate, an Operational Risk information session for
London counterparts (you and I can review early in the week what we are
doing here in Houston today and modify the info for Europe)
Would defintely welcome this - I can walk through the European MO issues
trying to identify key operational risk themes - top of my list is Metals

I would like to spend some time on Metals with you - hence the lunch on
Wednesday with Andy Cornfield and Howard Carter the two controllers for
Metals ( Brokerage and Merchanting ) - the starting place for this will be
the presentation I gave to Rick Causey in early December.

discuss the Doorstep process with you and, if you deem appropriate, your
business controllers in the London office who will participate in Doorstep
reviews this year (clear up and questions and get your input on how to
continually improve the process),
Would like to brainstorm the linkage between control standards reporting,
self assessment of Op risk and doorstep - this can be done initially in a
small group but additionally I believe the business controllers would welcome
some more background of why Rick,Rick and yourself need the process to be
successful - I think they understand ( I have fully promoted it ) but your
'asides' explaining the weight Jeff assigns to it are very powerful motivators

discuss with Mark Pickering the technology dependencies of the London office
related to speeding up London's information for the corporate DPR
As explained above - additionally I would like to walk you through the
implementation of our change management structure which attempts to cross
prioritise all IT development efforts - a meeting with Steve Whitaker, Mark
and Fernley on this would be useful

do some planning with you for the February 12 & 13 ASE - certainly in
calendar and signed off by the executive committee of one ( my wife !!! )

discuss the feasibility of utilizing our operational pricing model in London
- can you let me know some more of this - I am uncertain of it

discuss your ideas and thoughts on CommodityLogic and other ideas around
potential commercialization of mid and back office services - The below is a
section of an objective I am asking my settlements director to follow - I
would like to expand on these and other thoughts - particularly the absence
of vision/strategy documentation for CL

Lead on all CommodityLogic initiatives associated with Settlements ( note
this is my definition of what CL should be doing ) including :-
Changing Market practices
create cashflow messaging within each transaction
create payment advice notification for each transaction at inception and
liquidation
re-evaluate operational cost structure associated with any possible changes
to terms of trade
Module/Application developments
Synergy from internal process changes ( pulling Settlements and Documentation
together )
elimination of paper/fax confirmation processes if we can utilise electronic
messaging of cashflow details within transactions and electronic messaging of
payment advices at inception ( based upon planned trade settlement ) and at
liquidation ( based upon actual trade settlement )

In addition, I would like to meet with anyone in the London office that you
think would be beneficial. Through Nicki Scott, I understand that Michael
Brown would like to meet with me so we are setting that up. I will also
spend some time with Beth Apollo and Ted Murphy while I am there. And I plan
to meet with Fernley as well.

Any other suggestions on topics or people to see? Can I suggest we also
cover
Remote offices with Naomi Connell
The ledger control process - similarities and differences with Houston
Static reference control processes - ( Global
Counterparties/Companies/Contracts/Facilities etc )
Themes from our business process reengineering reviews prior to Christmas -
similar to bottom up Op risk assessment
A gap analysis for the risk management team - explaining the 'legacy' work
that James New has been leading on
Our plans for EAS in Europe

I shall call to discuss / prioritise and then I can instruct Fiona to
organise meetings

Mike

I think that we have lunch already on the calendar for Wednesday - as above
but would you also be available for dinner with the controllers and Fernley ?