ENSURING PROJECT SUCCESS PRESENTATION 9th December-2015 AGENDA Introduction Project Basic Goals Key Project Critical Success Factors Todays Overview & Case Study Factors that caused Project Delay Mitigation of Project Delay Project Close Out Check List Project Close Out Report Lessons Learned INTRODUCTION Name: James Quigley Role: Project Control Manager Report to: Project Manager Responsibilities: Project Controls (Cost, Risk, Planning, Change Management, Procurement & Sub-Contracts Experience: 38 years in Project Controls Projects: Chemical/Petro Chemical, Pharmaceutical, Power & Nuclear Plants Locations: UK, US, Asia, China & South America PROJECT BASIC GOALS Every Project has 4 Basic Goals: Lowest Cost Timely Completion Quality Optimal Safety PROJECT CRITICAL SUCCESS FACTORS Mobilise Experienced Project Team Define Roles & Responsibilities Establish Project Goals/Objectives &Team Buy-in Agreed Project Scope Define Contract Strategy Development of Detailed Programme Stick to the Programme Manage & Control of Change Effective Communications Manage Cost Control & Risk Management CASE STUDY - Based on Chemical Plant Constructed in 2009 -2013 Project Contract Value - $350m Final “as built” Value - $950m Planned Construction Labour Force - 2000 men Actual Construction Labour Force - 6000 men Original Construction Duration - 2 years Actual Construction Duration - 4.5 years Reasons for Overrun – Poor Project Management ,Poor Project Controls Etc. KEY REASONS FOR PROJECT DELAYS In-experienced Project Management Team Team Lack and Understanding of Project Scope Unrealistic Project Schedule Poor Change Management/Approval Process Protracted Commercial Negotiations (Sub- Contracts & Purchase Orders) Delays during Detail Design impacting Schedule (late placement of purchase orders) Vendor’s Poor Performance Late Delivery to Site of Critical Materials KEY REASONS FOR PROJECT DELAYS Local Political Issues Industrial Relations Issues resulting in Strikes Delays in Site Handover Contractor Performance Late Materials Delivery to Site Poor Safety Management Weather Complexity of Project Poor Project Closeout MITIGATION OF PROJECT DELAYS Analyse Delay Establish Programme to Mitigate Delay Establish Critical Completion Milestones Implement Programme to Mitigate Delay Effective Progress & Productivity Monitoring Selective Overtime Working Review Contractors Resource Levels Review Contractors Performance MITIGATION OF PROJECT DELAYS Alignment of “Key” Team Members Define Roles & Responsibilities Project Workshop – Identify Delay &Team “buyin” to Remaining Project Goals Project Scope – Realistic “to go” Project Scope Establish Accurate “to go” Cost Estimates Scope Change – Included in Estimate & Schedule Regular Commercial Reviews – No Surprises Team Willingness to Remove Road Blocks PROJECT CLOSE OUT CHECK LIST Accepted Works has been signed off prior to handover Uncompleted Works have been agreed, listed & categorised “A” / “B” / “C” Items Time Frame Agreed for Uncompleted Works “As built” Documentation has been reviewed and accepted Final Accounts agreed and signed off Close Out All Outstanding Commercial Issues Training (if required) Produce Close Out / Lessons Learned Report PROJECT CLOSE OUT REPORT Did the Project Achieve its Critical Success Factors Project Accomplishments Effectiveness of Project Management Processes Major Issues Project Data – Contractor Performance Project Changes Budget Review PM Feed Back on Team Performance Customer Satisfaction Recommendations & Knowledge Transfer LESSONS LEARNED Prior to de-mobilisation of Project Team conduct a Lessons Learned Workshop: Purpose of Workshop Objectives Organisation Review Schedule Performance (compare baseline to as-built Project Changes & their Impact Issues to Complete & Participation by Team Members Produce Project Final Account & Explain Variances Team Recommendations