Steve Langish October 4 - 6, 2011

1. Princeton UniversityPlasma Physics LaboratoryEVMS Certification ReviewEVMS Implementation on NSTX-U Steve Langish October 4 - 6, 2011

3. Overview • Organization • Planning, Scheduling, and Budgeting • Accounting Considerations • Status (outside ANSI/EIA 748) • Analysis and Management Reports • Revisions and Data Maintenance

4. ANSI 748 Elements - Understand contract status - Use data for decision-making Organization • - Define the work • Assign responsibilities • The Control Account Assignments made to responsible organizations Analysis & Management Reports Planning, Scheduling, & Budgeting Maintenance of budget, work, and schedule relationships Do not modify past budget or actuals (w/o permission) Revisions - Costs Elements - Cost summarization - Schedule all work - Authorize all work - Time-phase the work - Develop cost accounts All documents properly maintained Accounting Considerations

5. Organization: Work Breakdown Structure (WBS) • The Work Breakdown Structure (WBS) for NSTX Upgrade Project can be found the Project Execution Plan (PEP). • A product-oriented, hierarchical outline of all work elements required to accomplish the entire work scope of the project. • Each element is decomposed to the Work Package level • This is the total NSTX WBS which the Upgrade project follows. • Not all elements applicable

6. Organization: Organizational Breakdown Structure (OBS) • The Organization Breakdown Structure (OBS) can also be found the in the Project Execution Plan (PEP).

7. Organization: Control Account • All planning, scheduling, budgeting, work authorization and cost accumulation occur at the Control Account (intersection of WBS/OBS) as depicted on Responsibility Assignment Matrix (RAM).

8. Organization: Responsibility Assignment Matrix • This is not the entire RAM

9. ANSI 748 Elements • - Define the work • Assign responsibilities • The Control Account - Understand contract status - Use data for decision-making Organization Assignments made to responsible organizations Analysis & Management Reports Planning, Scheduling, & Budgeting Maintenance of budget, work, and schedule relationships Do not modify past budget or actuals (w/o permission) Revisions - Costs Elements - Cost summarization - Schedule all work - Authorize all work - Time-phase the work - Develop cost accounts All documents properly maintained Accounting Considerations

10. Planning, Scheduling & Budgeting:Work Authorization • Control Account Plan (CAM Notebook Tab 2) includes the following items: • Authorization Document (WAD) • Resource Loaded Schedule (Primavera) • Work Approval Form (WAF) – Estimates, Risk, contingency etc. (On-line interactive Excel worksheet designed for CAM’s) • WBS Dictionary • Budgeted Cost per month

11. Planning, Scheduling & Budgeting: WAFs • Work is laid out in discrete WPs/PPs • Estimated • Sequenced • Interdependancies • Time phasing • Risk/Contingency estimates • Review/Approval • Completed by the CAM ( Job Manager) for each Control Account (Job) Tab A Cover/Approval Page

12. Planning, Scheduling & Budgeting: WAFs Tab B Cost & Schedule Estimate

13. Planning, Scheduling & Budgeting: WAFs Tab C Risk and Uncertainty

14. Planning, Scheduling & Budgeting: WAFs Tab D M&S Detail

15. Schedule Process ENG-053 WAF Review

16. Planning, Scheduling, and Budgeting:Resource Loaded Schedule (Primavera) • Resource loaded schedule with sequenced work and task interdependencies. • This is result of WAF/WAD process. Explain each of these columns…

17. Planning, Scheduling, and Budgeting: Milestones • PEP Milestones shown in the project schedule. Level 1 and 2 Milestones shown.

18. Planning, Scheduling, and Budgeting: Critical Path

19. Planning, Scheduling, and BudgetingTime-phased Budget (from Cobra) $k/month

20. Planning, Scheduling, and Budgeting:Earned Value Techniques • Earned Value (EV) or Budgeted Cost of Work Performed (BCWP) is “earned” according to the Earned Value Technique assigned to the Work Package (Activity). • Discrete (typically used EVTs on NSTX-U) • 0/100 (All EV earned when WP is completed) • 50/50 (50% earned when started, 50% earned when finished – most future tasks < 40 days are 50/50) • % Complete (incremental earned based on assessment) • Non-discrete • Level of Effort (LOE)

21. ANSI 748 Elements • - Define the work • Assign responsibilities • The Control Account - Understand contract status - Use data for decision-making Organization Assignments made to responsible organizations Analysis & Management Reports Planning, Scheduling, & Budgeting Maintenance of budget, work, and schedule relationships Do not modify past budget or actuals (w/o permission) Revisions - Costs Elements - Cost summarization - Schedule all work - Authorize all work - Time-phase the work - Develop cost accounts All documents properly maintained Accounting Considerations

22. Accounting Considerations: Timesheets • Primary vehicle for recording labor costs is via the Timesheet Systems • Report total time

23. Accounting Considerations: Job Cost Reports Control Account Numbers = Job Numbers • Total monthly cost for the CA by expense element • direct expenses 1x,2x,3x, & 4x • indirect expenses 5x,6x • Costs are captured on Job Cost Reports • Labor (hours) by skill and name • Subcontracts/Requisitions • RFBA process used to correct errors (ref Accounting Manual – Tony Bleach) • CAMs receive a copy of Job Cost Report before Monthly Status Meeting. (also available on-line for all of PPPL) Procurements x labor rate Labor (hours)

24. Accounting Considerations: Rates • Loaded rates were used in the development of the Primavera P3 schedule. • Based upon standard PPPL labor, overhead and escalation rates. Vetted by budget office. • Indirect & Overhead rates controlled by the Budget office (ref Budget Office Manual- Marie Iseicz) • P3 rates then transferred to Cobra

25. Accounting Considerations:Subcontracts with EV Flow-down • The earned value flow-down subcontracts are generally high dollar value high-risk subcontracts. These subcontracts require careful planning prior to solicitation and award. The solicitation (RFP) or Memorandum of Understanding (MOU) must include the proper language and the subcontract the appropriate contract clauses, including full description of the reporting requirements. The reporting requirements include monthly earned value, and performance reporting from the subcontractor to PPPL. Requirements for reporting are described in the Request for Proposal (RFP) and formalized in the contract.

26. Monthly Statusing

27. Status: Monthly Calendar Monthly EVMS calendar posted at the bottom of the CAM notebook web site

28. Status:Initiation Email

29. Status: Monthly Status Process

30. Status: EVMS Data Flow

31. ANSI 748 Elements • - Define the work • Assign responsibilities • The Control Account - Understand contract status - Use data for decision-making Organization Assignments made to responsible organizations Analysis & Management Reports Planning, Scheduling, & Budgeting Maintenance of budget, work, and schedule relationships Do not modify past budget or actuals (w/o permission) Revisions - Costs Elements - Cost summarization - Schedule all work - Authorize all work - Time-phase the work - Develop cost accounts All documents properly maintained Accounting Considerations

32. Analysis & Management Reports:Contract Performance Reports (CPR Formats 1,2,3)

33. Analysis & Mngmt Reports: PPPL’s CPR Format 2 Type Report

34. Analysis & Management Reports:Format 5 Explanations & Problem Analyses • Thresholds are specified in the PEP • Variance reported when any WBS Level 2 cumulative to date variance exceeds: • SV +10% AND >$50K or any impact on any DOE Level 1 or 2 Milestone • CV +10% AND >$50K • Upcoming PEP draft makes above a bit less restrictive • CAM for Control Account which is driving the variance prepares analysis report (this has been added to draft change being made to PEP) • Project Manager may also choose to request a VAR for further variance explanation/analysis

35. Variance Reporting Process

36. Analysis & Management Reports:Format 5 Explanations & Problem Analyses

37. Analysis & Management Reports: Estimate at Complete • PPPL PMSD (Procedure 8 Monthly Status Reporting) indicates the following for ETC • On a monthly basis, the CAM shall review the Estimate to Complete (ETC) for the elements of their control account. If, in the judgment of the CAM, the current ETC does not accurately reflect the cost for the remaining work in the control account, the CAM develops a new estimate and submits it to the Project Manager. CAMs should include in the ETC any cost variances to date as well as estimates for known pending changes and mitigation of known risks.

38. Analysis & Management Reports: Estimate at Complete • Bottoms up estimate required every 6 months by PEP • Last completed in June • Monthly EAC/ETC updates gathered in monthly update/status meetings

39. Analysis & Management Reports:June Bottom’s Up

40. ANSI 748 Elements • - Define the work • Assign responsibilities • The Control Account - Understand contract status - Use data for decision-making Organization Assignments made to responsible organizations Analysis & Management Reports Planning, Scheduling, & Budgeting Maintenance of budget, work, and schedule relationships Do not modify past budget or actuals (w/o permission) Revisions - Costs Elements - Cost summarization - Schedule all work - Authorize all work - Time-phase the work - Develop cost accounts All documents properly maintained Accounting Considerations

41. Revisions & Data Maintenance: Change Control Process

42. Revisions & Data Maintenance:Change Control Thresholds • Thresholds are specified in the PEP

43. Revisions & Data Maintenance:Engineering Change Proposals (ECPs) • Procedure NSTXU-PROC-001 NSTXU Configuration Control is the vehicle to incorporate authorized changes in budgets and schedules.

44. Revisions & Data Maintenance:Engineering Change Proposals (ECPs) Log http://nstx-upgrade.pppl.gov/Engineering/ProjectStatus/Configuration_Control/ECPindex.htm

45. CAM Notebooks • http://www-local.pppl.gov/EVMS/CAMNB/INDEX.htm

46. Questions ??? Questions