1 / 31

Are your projects in control?

Are your projects in control?. Infrastructure Conference Oct 2014. Introduction. Financial background Chartered accountant CFO for a number of transport businesses incl. Heathrow Airport I nvolved with Project Controls for 11 years commencing with start of T5 construction

wynter-jefferson
Download Presentation

Are your projects in control?

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Are your projectsin control? Infrastructure Conference Oct 2014

  2. Introduction • Financial background • Chartered accountant • CFO for a number of transport businesses incl. Heathrow Airport • Involved with Project Controls for 11 years commencing with start of T5 construction • MD of LogiKal Projects for the last 5.5 years

  3. Definition of Project Controls ‘Project controls are the data gathering, management and analytical processes used to predict, understand and constructively influence the time and cost outcomes of a project or program through the communication of information in formats that assist effective management and decision making.’

  4. are project controls important?

  5. Literature and research ‘The design of a project control system is an important part of the project management effort’ (Shtub, Bard, & Globerson) ‘Despite the continuous evolution in the project management field, it appears evident that the traditional approaches still show a lack of appropriate methodologies for project control’ (De Falco & Macchiaroli) ‘Project performance can be improved if more attention is given to the issue of control (Avison, Baskerville, & Myers)’

  6. Where you REALLY need Project Controls? High level of innovation No experience of similar projects Non-aligned stakeholders Multiple parties involved Inherent uncertainties Rapidly changing environment Difficult project interfaces Complex dependencies Hard to measure progress Understanding the risk too late!

  7. Project Controls through the Lifecycle Too many projects fail Poor management control is the biggest cause Management of stakeholders Capturing requirements Allowing realistic costs to meet needs Moving forward without capturing success conditions Getting the optimum solution – balancing design and delivery Adequate design for procurement Best value supply chain Integrated planning Working to the plan Control of execution risks Controlling change Measurement of performance + Intervention lifecycle Quality management Handover preparation To get the value out of a project management control MUST be strong

  8. Investing in a Project Controls solution Improved Delivery Efficiency Returns / Business Case Earlier Intervention Confidence Reduced Risk Benefits: Hard benefits – based on target improvements in efficiency and reduced risk Soft benefits – organisation capability / confidence in outcome. People Process Systems Investment

  9. Project Controls Solution

  10. The Process Dimension

  11. Processes • Project Controls is about operating good processes effectively • Good, workable processes are key • Integration of processes needed to ensure all dimensions of the project work together • Test the logic flows in theory and in practice • Training • Monitoring compliance/ Assurance

  12. Getting the right processes Requirements/Scope Mgmt. Schedule Mgmt. Cost Mgmt. Risk Mgmt. Performance Measurement Baseline (PMB) Change Mgmt. Integrated Baseline Review Current Plan Performance Measurement Performance Management Assurance Framework

  13. The Systems Dimension

  14. Systems Requirements Mgmt. Estimating Schedule Management Cost Management Risk Control Earned Value Analysis Contract Management Change Management Actual cost capture Performance Analysis Management Reporting Forecasting Issue Tracking

  15. Project Control Systems • Systems are servants of the process – not the other way around • Fit systems around a well designed solution • Critical to get ‘buy in’ to the model • ALIGN CODING !!! • Data model • Invest properly in designing the data model • Integrity of data is everything – its absence destroys confidence • Integrate the tools around the operating solution • Don’t think you are saving money when using Excel !

  16. The People Dimension

  17. Leadership • A strong individual who believes in the importance of project controls • Will fight for it and influence others • Sets realistic goals and expectations • Elevates the status of Project Controls professionals • Attracts good people • Trains and inspires them

  18. Team • Attract top talent • Blend the skills • Technical • Non-technical – communication and influencing skills often outweigh technical capability • Develop a Competency Framework – use it as a basis for developing the capability • Recognise status of the professionals • DON’T: • Use low grade project managers / engineers • Expect to buy in resource without properly integrating it into your management

  19. What gets in the way? Scenarios to avoid / overcome!

  20. Example one:Enthusiastic lip service • Scenario • Senior management want to improve control environment • Enthusiasm for using dashboard / EV measures at senior level • Fail to invest in the level of capability change needed at operating level • Solution is not mature and suboptimal in value • Underlying causes • Lack of investment funds • Don’t understand requirements • Organisations culture reluctant to accept the change.

  21. Example two: Disconnected Function Scenario • Enthusiastic team in the organisation pushing project controls agenda • Struggling to get recognition and support • Function lacks authority in the organisation Underlying causes • Competing management priorities – absence of leadership • Lack of understanding / differing views on value of controls • Turf wars with related functions • Communication

  22. Example three:Process Zoo Scenario • Immature process set • Standard processes not clear or not followed • Everybody does it their way • Poor disciplines observed Underlying causes • Too many cooks – everyone has their way of doing it • Poor process integration • Processes too academic and impractical • Failure to train and embed • Low consequence for non adherence

  23. Example fourAll you need is love Excel Scenario • Simplistic tools created rapidly • Data handling is unreliable • Poor integration with key management systems • Demotivated team • Weak control Underlying causes • Rush to do things quickly • Familiarity with the software • Implementation cost

  24. Recent Trends • Major Project Clients are requiring more capability in Project Controls

  25. Recent Trends • Systems – are getting more integrated Schedule Health Checks Subcontractor Schedules Risk Reviews Integrated Schedules Project Status Reports Risk Registers Client Status Reports Actual Costs Change Meetings Status Updates Logistics Reports Change Requests Portfolio Reporting

  26. Recent Trends 3) Career – Project Controls becoming a career of choice

  27. Recent Trends 4) Move away from Fixed Reporting in favour of Data Mining / Business Intelligence Better Decisions Through Targeted Discovery

  28. Anymore Questions? Find us on our stand!

More Related