IDMS – PMSA Infrastructure Project

Management Congress, Durban, 16/17

September 2013Greg Evans: Strategic Executive – Engineering Unit

IDMS

“Infrastructure Delivery

Management System”

SECTION ONE

Introduction to IDMS and the Pilot for Local

Government application

SECTION TWO

Starting to understand the environment for Municipal

Application

IDMS

SECTION ONE

A summary of IDMS

WHAT IS IDMS:• Body of Knowledge / methodology surrounding the

planning and execution of INFRASTRUCTURE /

CONSTRUCTION PROJECTS from cradle to grave

but with a focus on initial preparation / planning.

• Structured to embed government’s budgeting and

expenditure cycles into the planning, delivery and

operation and maintenance of infrastructure.

WHO INITIATED IT:• National Treasury, CIDB, Public Works, DBSA and

other.

IDMS key delivery processes... 1

The System encompasses 3 key delivery processes:

•Portfolio management (identifying objectives, planning

and intelligently grouping projects or initiatives into infrastructure programmes and monitoring and

controlling the roll-out of these programmes),

•Project management (identified in the planning

processes),

•Operations and Maintenance (assets are operated,

maintained and ultimately disposed of).

As depicted in the following diagram...

IDP... DP1: Portfolio Management

DP1-2 Programme ManagementDP1-1 Infrastructure Planning

Review Infrastructure Asset

Management - prioritised MTEF works list

(incl portfolio level Work Plans)Develop

/review ConstrProc Strat

Develop

/review IPMP

Manage Implementation

Authorise

Implementation

Monitor &

ControlClose Out

DP2: Project Management

DP2-1 Implementation Planning

Prepare

Packages

Define

Packages

Develop/Review

IPIPs (Prgr & Proj level)

DP2-2 Design

Design

devlpmt

Detailed

design

Compile

MFC Info

DP2-3 Works

Construct / Deliver works

Handover works

DP2-4 Close Out

Contracts Close Out

AdminstrClose Out

DP3: Operations & Maintenance

DP3-1 Recognise &

accept assets

DP3-2 Mobilisation

for Facilities MgtDP3-3 Operations DP3-4 Maintenance DP3-5

Demobilisation of Facilities Mgt

Informed by: Long term PIPELINE and Infrastructure ASSET MANAGEMENT Principles

IDMS key delivery processes... 2

IDMS why is it needed

• National calls for improved infrastructure delivery – SA

Government’s developmental strategy is infrastructure led.

• Public spend stimulates the economy - there is a large

reliance of public spend on a core of capable public sector

officials to translate these funds into work on the ground.

• Shortage of technical skills and technical management

skills facing our industry – move towards bundling

approaches being less resource intensive, and,

...TO BE UNDERSTOOD

ACROSS ALL OF THE

INFRASTRUCTURE

DELIVERY SPECTRUM, TO BREAK DOWN

BOUNDARIES.

• The need to move from short to medium term (MTEF) and to medium to long term planning focus– Stakeholders informed earlier

– Improved planning, integration & support phases

– Improved communication and understanding across the board).

• Introducing the consistency of a project management approach.

• Introducing uniform approach & standards at all levels of government impacting information management & reporting...

How is eThekwini involved?

Leading up to May 2012 eThekwini’s Engineering Unit had been adopting a set of business improvement

principles, which during follow up and engagement with National Treasury and CIBD reflected the

principles of their IDMS initiative, part of the Cities Support Programme.

National Treasury were already substantially relatively

far down the path of engaging with National and Provincial Government departments – Western Cape

Provincial Government had adopted IDMS and other provinces were following close behind.

• Documentation, guidelines, practice notes and toolkits all existed for such roll-out, but not for Local

Government.

• In July 2012 National Treasury and our City Manager formalised the relationship by agreeing that we Pilot IDMS concepts, principles and documentation for

Local Government.

Stakeholder Organisations and

their required outcomes

• CIDB: An IDMS toolkit for local government application and use.

• National Treasury: Development of a replicable

management model.

• Province: Alignment between Province and Local Government.

• eThekwini Municipality: Streamlined Infrastructure Delivery / Implementation / Efficient

capital spend

The IDMS Roadmap

1

2

3

4

• Support from National Treasury & CIDB

• Implementation Agreement

• Project Charter and other planning documents

• Monthly Steering Committee meetings with National Treasury, CIDB and Provincial stakeholders. Discussion forums.

• Assist NT in presentation to national forums for national drive.

• Conceptualising IDMS principles / issues for local government level.

• Interface with Provincial IDMS roll-out Team.

• Introduce concept of IDMS to other City Technical Units.

IDMS pilot group activity

IDMS activity particular to ETM

INDIRECT

• Unit restructuring.

• Improved Information Management.

• Move to single source data.

• Improved systems, move towards

data warehousing principles.

• Improve Construction Procurement process (ISO / separation).

• Improve business processes (eg. Document Management, reporting).

• Documentation standardisation.

• Construction procurement process options cataloguing (existing and proposed models) with SCM

consultation.

DIRECT• Pipeline conceptualisation.

• Disaggregate 12/13 MTEF budget for generic categorisation.

• Propose Portfolios to match 12/13

budget.

• Identify Programmes to match

identified 12/13 Portfolios.

• Match Projects to Programmes 12/13.

• Apply structure to 13/14 MTEF

budget

• Apply structure to 14/15 MTEF budget

• Create single system

• Construction Procurement Strategy with SCM

• Review 15/16

SECTION 2: STARTING TO

UNDERSTAND THE ENVIRONMENT

FOR MUNICIPAL APPLICATION

ETM: Getting the basics right first... summary

• Efficient information management [Duplication / conflicting / ad-hoc / silo-

based ...]

• Alignment both internal and external to stakeholder organisations,

particularly asset management approaches [Understanding the need,

supportive legislation, enabling environment ...]

• IT systems [Supportive ERP or equivalent / supportive of information

management / client driven approaches ...]

• Efficient business processes (from work or project identification to design to

procurement to operation & maintenance to disposal)

• Embedment through communication and training in project management and

ultimately IDMS practitioner registration through a suitable institution, such

as SACPCMP or other.

Aspects of Information Management:

• Understanding the “as is” across a broad spectrum of

functionality and purpose.

• Simplification / single IT system requirement.

• Designing the “to be”.

• Change Management Planning to ideal state.

• Incorporating information flow, visibility & accessibility

• Creating the Project Pipeline ...

Information management

The PIPELINE concept...

INPUT

Objectives / needs / requirements / stakeholder consultations / planned, existing and new project details...

OUTPUT

Prioritised, packaged and approved

programmes & projects meeting MTEF (medium term expenditure framework) &

other delivery objectives...

PIPELINE = DATABASE OF EXISTING & POTENTIAL PROJECTS +

COMMUNICATION + CO-ORDINATION + GIS + PLANNING + PRIORITISATION +

BUDGETING + CLM + DASHBOARD + REPORTS + ACCESSIBILITY +...

Software based input, planning, prioritisation, coordination, implementation &

monitoring...

In a little more detail: interactive model

12

3

4

Alignment

Some Aspects / examples of Alignment include:

• Legislative environment (see following slide)

• Sustainable Infrastructure Asset Management (SIAM)

• External:

• IMESA’s Asset Management Programme Learning Environment (AMPLE) roll-out. A

National Asset Management Steering Committee (NAMS) was established in this

regard.

• Internal:

• eThekwini’s SIAM (Sustainable Infrastructure Asset Management) – whole of city / whole of asset portfolio approach.

• CoST (Construction Sector Transparency) Concept

• Initiative as being introduced by CIDB – proactive and reactive disclosures...

• Organisational (ETM & other)

• Stakeholder introduction and alignment

• Resources and organogram

• Breaking through silos where they exist

Dealing with the Legislative environment

Solutions embedded within development strategies include:

• Getting the right people into infrastructure positions in government – achieved by:

• MFMA minimum competency regulations• MSA performance management regulations

• Finalising IDoEW regulations (Identification of Engineering Work)

• Getting the right systems

• Infrastructure asset management regulations are not adequately regulated at LG level (currently only covers inventories, valuation and depreciation and not asset

management plans and effective infrastructure asset management)• A project level approach (quick responses and approvals, procurement) is not

efficient in the current regulatory environment and does not, for instance,

effectively drive socio-economic objectives.

• Getting the right structures, for instance separated construction procurement, regional delivery models between spheres of government, infrastructure clustering (multi-departmental).

Snapshot of aspects within the Legislative

environment

It is starting to improve...

• The various competency regulations are being aligned with the Engineering Profession

Act

• Issue of MFMA regulations supportive of IDMS will follow those of PFMA.

• (Draft) Standards influential in supporting IDMS are:

– Standard for an Infrastructure Delivery Management System, and,

– Standard for a Construction Procurement System.

National Treasury, for instance, are driving:

• Increased technical involvement in Construction supply chain processes for accountability

for related professional practices.

• Dedicated or separate infrastructure / construction supply chain management process to

streamline infrastructure delivery.

• Composition of the Bid Committees going forward (BSC and BEC particularly) will pick up

the minimum competency requirements.

Dovetailing with SIAM...

eThekwini Municipality is implementing SIAM (Strategic Infrastructure Asset

Management) which has a whole of City approach. Whilst preparing for IDMS

we also have to look at the following key aspects of SIAM that need to

supplement the scope of IDMS as it stands:

• Portfolio management, aside from looking at new projects, must look at all

infrastructure assets we own and their part in service delivery, their condition and

required condition at any point in time. Too often we are looking at new assets to be

added to our portfolios – we are only adding at around 2.2% per annum so a balance

is needed.

• Capital, operational and maintenance strategies need to be looked at concurrently.

(Life-cycle cost analysis)

• Integration is required within a metro across a large range of asset service deliveries

– often “silo structured”.

IT systems

Some Key considerations:

External:

• The lack of a single ERP system across Government and

• Varied reporting requirements, often from the same data

• Need for standardised data formats

Internal:

• Varied ERP functionality requiring integration: financial, technical

• Stand-alone software, diverse applications

• Data-warehousing type solutions

• System Ownership, Client driven approach by IT

• etc...

ERP?

Repository

The complexity of IT / software systems

Data- bases per

technical

discipline

Spreadsheets

Specialist

design software

Asset

Management

software

Maintenance

Management

software

Project

performance

software

Treasury financial

systems

SCM

systems

Planning

software

Contract

management

Document

management

systems

Risk

Management

IS

Planning

Resource

Planning

JDE

Project

Management

software

Budget

Planning

software

Our Business Processes – required alignment

To External:

• Comparison to IDMS guidelines & templates

• Comparison to those from PMFA draft regulations...

• Comparison to those of other LG stakeholders...

Internally:

• Documentation and records

• Introducing improvements to Departmental procedures

• Construction procurement process improvements

• Application of ISO standards

• Change management...

Improvement of our Business

Process

• Business process improvement opportunity dovetails with our SCM ISO 9001

project and our Treasury P2P initiatives where supply chain processes are being

reviewed to improve delivery.

• Opportunity for improvement in terms of alignment to best practice,

standardisation and portfolio, programme and project management principles, or

simply doing it more efficiently.

• Reinforcement through laid down visible business process and documentation

well beyond the current MTEF will greatly assist / facilitate City / stakeholder

planning.

In Conclusion...

• This presentation emphasises the importance of constructive

dialogue within the industry as a whole and understanding

between us all as to the potential scale of IDMS.

• IDMS is an opportunity for us all to start dealing with

infrastructure delivery in a similar and compatible manner, from

a common platform, as National Treasury is promoting.

• The volume of work required and the strategic importance of

systems such as IDMS and their complex environment must not

be under-estimated, it’s huge!

• This is a journey....