APM Heathrow Prsnt-PMO Common Denominators

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  • Dr D. N. AntoniadisCEng FAPM FCMI MIMechE

    www.danton-progm.co.uk

  • The speaker

    Dimitris AntoniadisWorking for Carillion Plc and Lecturer in Project Management at the University of West London

    25 year in Programme and Project Management

    Worked for various organisations:

    BAA, Southern Water, Thames Water, Balfour Beatty, Brown & Root, T&T

    PhD, MSc in Project Management and BEng Mechanical Engineering

    Fellow of APM Thames Valley Branch Ctee member

    Fellow of the Chartered Management Institute

    PMGreece founding member

  • The subject of this presentation

    This presentation will cover a brief review of what is

    Project Control and the benefits of setting it up .

    Then, and in the main part, three case studies will be

    presented highlighting implementation issues, outputs

    and supporting systems.

    We will close with the listing of common denominators

    that should run through project controls and discussion.

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  • The basics of Project Control

    We will cover briefly: What is project control

    Purpose of project control

    The project control loop

    The symptoms of good control

    The symptoms of no control

    The benefits of project control

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  • What is it?Project Control is part of the Project Management process and is about the provision of structured and analysed data to enable informed decision making.

    It is about the integration of project schedule and project cost in order to give an integrated plan that can be measured and trended against.

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  • Purpose of Project Control To tell us where the project currently is , where it

    is going, how it is performing against the plan and what, if any, management action needs to be taken.

    Allows earlier management interventions and enables insight into the causes behind performance issues.

    It brings together time, cost and change control data into an integrated picture of how well the project is performing.

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  • The Project Control Loop

    PlanScope, Deliverables, Baseline

    MeasureData, Analysis, Report

    Monitor & Evaluate

    Baseline Vs Current

    ActionImplement or not corrective

    action(s)

    What has to be done

    What has been done

    How did we perform against the plan

    Onl

    y th

    en ta

    ke a

    ctio

    n

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  • Symptoms of Good Controls Improved & timely management information

    Performance problems identified early

    Standardised reporting & fewer reports

    Improved financial management and cash flow

    Managing scope creep, change, risks & opportunities

    Improved collaboration and value delivered by the supply chain

    Minimising project administrative costs lean cont rol

    Integration of information - example

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  • Symptoms of No Controls

    PM reacts to current tangible performance issues: Squeaky wheel gets the oil Love of fire fighting

    Lots of data & little information: Partial, contradictory, late & unfocussed

    information Minority of time in intervention Poor response

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  • Project Control Benefits

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  • Project Reporting process in reality11stst ICEC & IPMA Global CongressICEC & IPMA Global Congress

    Ljubljana, Slovenia April 23 Ljubljana, Slovenia April 23 26, 200626, 2006

    Vacuum filter

    Company Report

    A

    Other dept.

    Company Report

    BOthers

    Project TeamReport

    Pockets of info

    manipulation

    Individual reports

    Reduction of filtering in reporting

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  • Case study 1 The Egnatia programme

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  • The Egnatia programme - Context 670Km motorway 332 towns & villages 63 junctions

    177 bridges 73 twin-bore tunnels

    43 river crossings 11 railway crossings

    Final cost 6Bn EuroThe works: Photo 1, Photo 2, Photo 3

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  • The company and the PC department

    The Company structure

    The Programme Division structure

    The PC department structure

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  • The System and the standard structures The Project Control System (see Fig. 1) The System and the PC department Project WBS, CBS, Document BS, (see Fig. 2, 3, 4)

    Integration of standard structures: WBS-OBS-CBS West Region

    Programmes: 1, 2 Cost Management: West, Central, East

    Risk Management Figure 1, 2 (see Fig. 5)

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  • Summary The EOAE PMO Top-down system

    High-level PM/PC processes

    Standardised structures

    Standardised documentation

    Project Control as a contract obligation

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  • Case study 2 The Thames Water Engineering

    Alliance

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  • Thames Water Engineering (TWE) - Context Biggest water

    authority 13.8M customers

    6 Major programmes Sludge, Sewage &

    Water Treatment Sewerage, Water

    Network Customer Led-ntwk

    AMP3 approx 1Bn

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  • The TWE company and its PMO TWE was the works delivering arm of Thames

    Water

    TWE comprised of four divisions:

    Process, Network, Design and Development

    The PMO supported all four divisions and reported to the Process and Network Directors PMO structure

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  • The Alliancing approach Six construction and respective design

    companies were contracted to deliver the Process and Network APM3 programme. Each one located in a different area.

    Agreement based on ICheME Green book

    All six construction companies were interviewed and their delivery systems and capabilities reviewed.

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  • The Alliancing project control approach The TWE programme of works - example Alliancing and PMO 1, 2, 3 The PMO approach PMO value added The Alliance Project Control Handbook The Alliance Project control 1, 2; training:1, 2 The overall CBS triangle Rolling wave, combined WBS-CBS

    Examples: 1, 2, 3, 4 The TWE integrated system

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  • Project Control and the other departments

    Supporting the Programme Managers, Alliance Managers and the Project Managers

    The System was used by TWE departments as

    well as the Contractor departments

    Information from the contactor system was rolled

    up to the TWE software system through the Programme Controllers

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  • Summary The TWE PMO Common system(s) with documented benefits

    Common PM/PC processes

    Standardised structures

    Standardised documentation & Templates

    Training

    TRUST and openness

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  • Case study 3 BAA T3 Partnering and

    Project Control

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  • BAA The Context -1 Strategy to Deliver: Clarity and definition of value Processes aligned to delivering value

    and eliminating waste Long term Partnerships with selected

    suppliers Non adversarial contracts and

    relationships Shared objectives and rewards

    4.3Bn

    Queens Building

    Pier 2

    Pier

    1

    Walkway

    MSCP2

    FCC

    MSCP1a

    Terminal 2

    1.8Bn

    From 140M to 110M

  • The Context 2: Six key principles Continued commitment to long term framework

    relationships with suppliers rewarded by performance. Progressive dependence on, and trust in, supplier

    capability. Pre-agreed commercial model with incentives to exceed

    targets. Collaborative working with real time transparency to drive

    value. Active management of risk and opportunity. Relationship driven by aligned objectives, behaviours

    and values.

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  • Partnering approach - setting the scene

    The overall processes DGS-IGS

    The PMPs: 1, 2

    The project control storyboard: Storyboard

    Rolling out resource scheduling example

    The Project Control Handbook: PCH

    Latter on developed the WPEP

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  • The T3 approach to Project Control Programme Control Manager supported all five

    major projects and the small projects programme of works T3 Organigram

    Development of the project control approach

    Coordination of all Contractors project control departments

    Detailed work carried out by the contactors

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  • The Partnering approach at T3 Combining WBS and programme: 1, 2

    The linking with the other processes: 1, 2

    The high level programme: example

    The detailed level: example

    The other/smaller level projects example

    Reporting using Earned Value: example

    Reports example: 1

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  • Summary Partnering and PMO Common benefits Common PM/PC processes

    Flexible but descriptive structures Linking processes & using templates

    Training TRUST and openness

    Requirements - setting up. Other processes

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  • Conclusions Common Denominators

    The Project Control Handbook Use of standard project structures Flexibility on the structures Flexible templates Simple IT systems Training and follow up Selling and telling Support support supportand above all TRUST

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  • Contact Details: Dimitris Antoniadis

    Email: [email protected] [email protected]

    Website: www.danton-progm.co.uk

    Thank youThank you

    www.danton-progm.co.uk www.danton-progm.co.uk

  • Egnatia Figure 1: Project Control Systems

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  • Egnatia Figure 2: WBS

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  • Egnatia Figure 3: CBS

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  • Egnatia Figure 4: Document Breakdown Structure

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  • Egnatia Figure 5: Risk Analysis results

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  • TWE Figure 1: Alliance Project Control System

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    TWE Figure 2: Alliance Scheduling System

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    TWE Figure 1: Integrated System Diagram

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    Sample: Contents of Project Control Handbook

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    Sample: Contents of Work Package Execution Plan