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SSFM International, Inc.

SSFM International, Inc. Project Management, Planning & Engineering Hawaii, Pacific Islands & Asia Corey Matsuoka, P.E., PMP, LEED AP Civil Engineer by License Structural Engineer by Education. PURPOSE. Developed an Understanding of the Importance of Risk Management

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SSFM International, Inc.

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  1. SSFM International, Inc. • Project Management, Planning & Engineering • Hawaii, Pacific Islands & Asia • Corey Matsuoka, P.E., PMP, LEED AP • Civil Engineer by License • Structural Engineer by Education

  2. PURPOSE • Developed an Understanding of the Importance of Risk Management • 10 Foundations of Risk Management • Tools for Risk Management

  3. HYATT REGENCYKANSAS CITY • Constructed in 1978 • 40 Story Building (MO tallest) • Lobby with a Multi Story Atrium • Suspended walkways • Column-less Staircases • A Triumph of Modern Architecture and Engineering

  4. HYATT REGENCYKANSAS CITY • July 17, 1981 Dance Contest • 2nd and 4th Floor Walkways Collapsed • 144 Dead, 200+ Injured

  5. HYATT REGENCYKANSAS CITY Investigation • During Construction Design was Modified • New Design was Inadequate • Poor Communication • Poor Quality Control/Assurance

  6. HYATT REGENCYKANSAS CITY Aftermath • Engineers convicted of gross negligence, misconduct and unprofessional conduct • Engineers lost their licenses • Company lost license • $140 Million in Damages

  7. 10 FOUNDATIONS OFRISK MANAGEMENT Project Management 6. Scope 7. Compensation 8. Contracts 9. Contract Documents 10. Construction Phase Business Practices 1. Culture 2. Prevention and Proactivity 3. Planning 4. Communication 5. Education

  8. 1 CULTURE Create a Culture of Managing Risks and Preventing Claims • Involves all levels of Staff and even Clients • A conscious commitment that leads to unconscious actions • Tool: Guide to Create Culture

  9. 1 CULTURE ***Tool: Guide to Create Culture*** • Artifacts • Shared Values, Knowledge, and Learning • Basic Unspoken Assumptions

  10. 1 CULTURE ***Tool: Guide to Create Culture*** Artifacts • Meeting Agendas • Post Reminders – Screen Savers, Posters • Risk Manager

  11. 1 CULTURE ***Tool: Guide to Create Culture*** Shared Values, Knowledge, and Learning • Horror Stories and Statistics • Tie Risk to Monetary Value • Role Play • Presentations

  12. 1 CULTURE ***Tool: Guide to Create Culture*** Basic Unspoken Assumptions • Developed through Artifacts • Developed through Shared Values, Knowledge and Learning • Employee Interviews

  13. PREVENTION & PROACTIVITY 2 Act with preventive techniques, don’t just react • Risk Management Plans • Develop Process and Systems • Tool: Employee Interview Guide • Tool: Project Risk Evaluation Checklist

  14. PREVENTION & PROACTIVITY 2 ***Tool: Project Risk Evaluation Checklist*** • Microsoft Access Program • General Company Questions • Client/Owner Questions • Project Questions • Responses to Answers that Trigger Risk

  15. PREVENTION & PROACTIVITY 2 ***Tool: Project Risk Evaluation Checklist***

  16. PREVENTION & PROACTIVITY 2 ***Tool: Project Risk Evaluation Checklist***

  17. PREVENTION & PROACTIVITY 2 ***Tool: Employee Interview Guide & Template*** • Hard Skills, Talent & Soft Skills • Outline / Agenda • Sample Questions • Template

  18. PREVENTION & PROACTIVITY 2 ***Tool: Employee Interview Guide & Template*** • Hard Skills • “Success in any business is 85% ability to relate to other people and attitude and only 15% job knowledge and technical skills.” • – Carnegie Foundation, 2005.

  19. PREVENTION & PROACTIVITY 2 ***Tool: Employee Interview Guide & Template*** • Talent • “People don’t change that much. Don’t waste time trying to put in what was left out. Try to draw out what was left in. That is hard enough.” • – Marcus Buckingham, First, Break All The Rules: What the World’s Greatest Managers Do Differently

  20. PREVENTION & PROACTIVITY 2 ***Tool: Employee Interview Guide & Template*** • Soft Skills • “There is a growing recognition that interpersonal (soft) skills are not simply helpful in business today; they are essential…” • – Kelly Pierce, eSight Trend Watch: Increased Value of Soft Skills

  21. PREVENTION & PROACTIVITY 2 ***Tool: Employee Interview Guide & Template***

  22. PREVENTION & PROACTIVITY 2 ***Tool: Employee Interview Guide & Template***

  23. PLANNING 3 Plan to be Claims Free • Staff Hiring & Retention • Client & Project Selection • Training & Quality Assurance • Project Planning • Tool: Corporate Risk Management Plan

  24. PLANNING 3 ***Tool: Corporate Risk Management Plan***

  25. COMMUNICATION 4 Communicate to Match Expectations with Perceptions • Communications Plan • Templates (correspondence logs, etc) • Protocols (telephone, e-mail, etc) • Tool: Project Status Report Template

  26. COMMUNICATION 4 ***Tool: Project Status Report*** • Activities Completed • Action Items • Schedule • Comments / Announcements

  27. COMMUNICATION 4 ***Tool: Project Status Report***

  28. EDUCATION 5 Educate All the Stakeholders • Staff Training • Mentoring / Coaching • Communication with Owner / Client / Sponsor • Tool: Guide to the Practice of Structural Engineering

  29. EDUCATION 5 ***Tool: Guide to the Practice of Structural Engineering*** • CASE Document • Guide for new Engineers • Searchable, Electronic Document • Test Questions

  30. SCOPE 6 Develop and Manage a Clearly Defined Scope of Services • Provides Understanding • Serves as a Basis for Negotiation • Work Breakdown Structure • Tool: Scope Template

  31. SCOPE 6 ***Tool: Scope Template***

  32. COMPENSATION 7 Prepare and Negotiate Fees that Allow for Quality and Profit • Effort or Value Based • Don’t be Afraid to Walk • Fee Proposal Template • Sanity Checks • Tool: Revenue vs. Profit (Client Evaluation)

  33. COMPENSATION 7 ***Tool: Revenue vs. Profit (Client Evaluation)***

  34. COMPENSATION 7 ***Tool: Revenue vs. Profit (Client Evaluation)***

  35. COMPENSATION 7 ***Tool: Revenue vs. Profit (Client Evaluation)***

  36. CONTRACTS 8 Negotiate Clear and Fair Agreements: Risk Should be Fairly Proportioned to Each Party • Standard Templates • Insurable? • Standard of Care • Tool: Red Flag Word Search

  37. CONTRACTS 8 ***Tool: Red Flag Word Search*** • Total • All • Approve • Complete • Every • Indemnify • Liquidated Damages • Ensure • Full • Defend • Best • Certify • Guarantee • Insure • Warrantee

  38. CONTRACTS 8 ***Tool: Red Flag Word Search***

  39. CONSTRUCTION DOCUMENTS 9 Produce Quality Construction Documents • QA/QC Procedures • Quality Management Plan • Guidelines / Codes • Tool: A Guideline Addressing Coordination and Completeness of Structural Construction Documents

  40. CONSTRUCTION DOCUMENTS 9 ***Tool: A Guideline Addressing Coordination and Completeness of Structural Construction Documents*** • CASE Document • Guide for new Engineers • Searchable, Electronic Document • Test Questions

  41. CONSTRUCTION PHASE SERVICES 10 Provide Services to Complete the Risk Management Process • Provide Timely Responses • Establish Good Relationships • Keep Good Records • Lessons Learned • Tool: Site Visit Cards

  42. CONSTRUCTION PHASE SERVICES 10 ***Tool: Site Visit Cards*** • Prior to the Site Visit – What to Do • What to Take • During the Site Visit – What to Observe • After the Site Visit – What to Do

  43. CONSTRUCTION PHASE SERVICES 10 ***Tool: Site Visit Cards***

  44. CONSTRUCTION PHASE SERVICES 10 ***Tool: Site Visit Cards*** • General Guidance and Rules of Thumb • Composite Slab on Metal Deck • Reinforced Concrete Flat Slabs • Concrete Spread and Wall Footings • Reinforced Concrete Masonry Unit Walls • Structural Steel – General Framing • Wood Framing – Sheer Walls

  45. Questions? • Corey Matsuoka, P.E., PMP, LEED AP • SSFM International, Inc. • (808) 531-1308 • CMatsuoka@ssfm.com

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