Transcript Presentation

Embedding effective Project Control
- Lessons Learned
Project Control Lessons Learned
Simon Springate – CH2M HILL Head of Project Controls, Europe
October 2014
Copyright 2013 by CH2M HILL • Company Confidential
Introduction
CH2MHILL is renowned for supporting some of the UKs most iconic
projects such as the Olympics 2012, CrossRail, HS2 and Thames
Tideway plus many more globally.
When the starting gun fires how do you set up project control that is
both fit for purpose and its deliverables welcomed by the client.
Copyright 2013 by CH2M HILL • Company Confidential
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It’s a conversation
I work on the principle that all
management is a conversation
In life all knowledge is shared through conversation
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What knowledge will make the client ‘comfortable’
 We are in the business of making clients client informed
and confident in our material
 We want to facilitate an open conversation
 We want to support our Client in reporting to their ‘client’
Copyright 2013 by CH2M HILL • Company Confidential
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So what is Project Control
 It is a term that grew out of the integration of project support
disciplines
– It treats Planning, Cost control, Risk, Change management &
Reporting as an Integrated system
 It understands how these disciplines relate to others such
as Document Control, Quality Management and tools such
as BIM
Copyright 2013 by CH2M HILL • Company Confidential
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Classic mistakes of project control
 Aiming for an automated system early on
– Data Cubes
 Those designing reports are more aware of the project
minutia than those reading.
– Keep it simple
 Projects change their nature
– Design is not the same process as construction which in turn is not
the same as commissioning
 Projects are about people
– Material produced has to support the performance discussion or
provide assurance
Copyright 2013 by CH2M HILL • Company Confidential
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Start with the output
 What does the client need now
 What will they need – do they believe you?
 Classic – Money & Milestones
 Midway – Loaded schedules and contract integration
(NEC3)
 Fully functional – Earned Value
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The Basics
 Time
 Money
 Change Control
 Risk Management
 Value & Opportunity Management
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Start with the output
 An educated client is an easy sell
 Be aware that their priorities are not always the classic
time/cost & Quality
 Reports are quick to model (excel is your friend)
Copyright 2013 by CH2M HILL • Company Confidential
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Basic dashboard
Project Title:
AE Number:
Description:
Risks
Report Date:
Data Date:
Monthly Report Proformer
No:
Backfill Storage Tank project
Descripton
Piping construction may take longer than expected
due to in house construction team labour constrain
1
To fabricate and install an additional backfill tank, with agitator and shaft assembly,for hydraulic fill preparation
at STP to optimise feed preparation.
Mitigation
Construction team to work longer
period and at weekends.
2
3
Project Contract Numbers
C4092
Project Status
Project which started 13 July is about 80% completed. Plan completion by
November ending. Piping construction may take longer than expected due to in
house construction team labour constrain
Periodic data - Not Cumulative
AE Auth
482.00
145.00
Milestones
AC
Forecast
0.00
4.42
Aug-13
93.00
0.00
Sep-13
145.00
445.88
Oct-13
135.00
4.18
Annual
Budget
Project / Department Team
No:
PM
1
2
Project Start - Contract awarded
Complete tank and steel structure fabrication
Forecast
date
13/07/2013 13/07/2013
08/04/2013 08/04/2013
Eng
3
Install Structural Steel
09/04/2013 09/04/2013
0
30/09/2013 01/11/2013
-32
Name
Name
4
Planner
Nov-13
390
Dec-13
155
Jan-14
Contract
Commit
Name
Cost
Name
Feb-14
Commercial
Mar-14
Name
Apr-14
Document
Name
Doc control
Project Managers Forecast Project End
date
30/11/2013
1,000
454
EFC=
Project Managers Baseline Project End
17/10/2013
545
0
----------1,000 Variance
0.00%
Annual Monthly Values
200
100
Commission and hand over.
30/11/2013 30/11/2013
0
8
0
9
0
10
0
11
0
12
13
14
15
16
17
18
19
20
0
0
0
0
0
0
0
0
0
Total Project
10,000
1,200
8,000
1,000
Actual Cost
4,000
Forecast
2,000
AE
Actual Cost
Forecast
800
600
400
200
Copyright 2013 by CH2M HILL • Company Confidential
Jun-14
Apr-14
May-14
Mar-14
0
Jan-14
-600
-5
7
Feb-14
-500
-9
20/11/2013 25/11/2013
Dec-13
-400
11/04/2013 20/04/2013
Fabrication & installation of Pipe works
Oct-13
-300
Installations of Electrical &instrumentation works
Jul-13
-200
Jul-13 Aug-13 Sep-13 Oct-13 Nov-13Dec-13 Jan-14 Feb-14 Mar- Apr-14 May- Jun-14
14
14
0
0
6
6,000
0
-100
Slip
5
Annual Cumulative
300
12 Months
variance
Target Date
handover on contract deliverables
Nov-13
May-14
Jun-14
Qtr 3 2014
Qtr 4 2014
2015
2016
Future
Totals
Descripton
Sep-13
To-date
Jul-13
5
Aug-13
$K
4
0
AE AC EFC
10
Country:
Ghana
Iduapriem
Asset Name
Project Description:
Current Project Gate Stage:
Concept
Project Stage Start Date
08/08/2012
Accelerated Low Capex expansion and Detox compliance of the existing processing facility at Iduapriem, with an objective of approximately 30% increase in throughput.
2. PROJECT LEADERSHIP
Project EXCO Study Sponsor:
Project EXCO Execute Sponsor:
Project EXCO Commercial Sponsor:
Ludwig Eybers
Mike Birkhead
Mark Lynam
Project Manager:
Project SVP Operational Sponsor:
Project Asset Operational Sponsor:
Project Independent Peer Review Leader:
Paulo Nathan
Peter Anderton
Sicelo Ntuli
Roel Stausebach
AGA Asset Shareholidng Share (%):
AGA Equity Share (%) :
Is AGA the Project Manager ?
Managing Organisation :
100%
100%
Yes
AGA
3. HEALTH, SAFETY & ENVIRONMENT
Original dashboard
Update Safety
Graph
Hours Worked
No. of Medically Treated
Injuries (MTIs)
Hrs
#
This Period
Project Since Start
2,380
7,894
0
0
Date of Next Contractor Mobilisation to Site (yyyy/mm/dd) :
Total Project Manning This Month for All Owners Team, Consultants
No.of Lost
Time Injuries
(LTIs)
No. of Fatalities
#
#
Target
Actual
Target
Actual
0
0
0
0
3.09
0
1.00
1.00
0.32
0.00
0.00
0.00
N/A
14.88
Medically Treated Injury
Frquency Rate (MTIFR)
Lost Time Injury
Frequency Rate
(LTIFR)
Total Recordable Injury
All Injury Frequency
Frequency Rate
Rate (AIFR)
(TRIFR)
Are There Any Onground Works
No
No. of Safety Audits/ Interventions Completed This Month :
Target
Actual
Target
Actual
3.42
0.00
0.00
0.00
3.42
0.00
0.00
0.00
No of
Reportable
Enviro
Incidents to
EPA
Fatality Frequency
Rate (FFR)
No. of
Environmental
Incidents
#
#
0.00
0.00
0.00
0.00
0.00
0.00
No. of Weekly Team Meetings
2
Number of PreStart/ Daily Kick Off
0
No of Safety Audits/ Interventions for Whole Projec
0
0
4. STUDY OPTIONS UNDER INVESTIGATION
Option No.
Option Name
Post
Investment
Mine Life
Indicative NPV5
Indicative NPV10
Indicative IRR
1
2
3
4
5
Text
Low Capex Plant Expansion
0
0
0
0
Years
11
0
0
0
0
USD$m
641
0
0
0
0
USD$m
341
0
0
0
0
%
27
0
0
0
0
Concept
yyyy/mm/dd
yyyy/mm/dd
yyyy/mm/dd
yyyy/mm/dd
1
2
3
4
5
01/07/2011
00/01/1900
00/01/1900
00/01/1900
00/01/1900
08/08/2012
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
PreFeas
Feasibility
Execution
Indicative Plant
Throughput
CAPEX Payback Period -Post
Investment
mt/pa
7.5
0
0
0
0
Years
4
0
0
0
0
Indicative Post Investment
Average Head Grade
g/t
1.4
0
0
0
0
6. COST- EXPECTED STAGE GATE COSTS AT TIME OF STUDY KICKOFF
Full Ramp Up/
Full Production
Concept
PreFeas
Feasibility
Execution
yyyy/mm/dd
yyyy/mm/dd
USD$m
USD$m
USD$m
USD$m
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
0.5
0.0
0.0
0.0
0.0
5.5
0.0
0.0
0.0
6.4
0.0
0.0
0.0
0.0
107.0
0.0
0.0
0.0
0.0
First Gold
Indicative Post
Investment
Operational Cost
(USD$/oz)
USD$/oz
784
0
0
0
0
Commissioning/ First
Gold
5. SCHEDULE- EXPECTED STAGE GATE START DATES AT TIME OF STUDY KICKOFF
Option
No.
Indicative
Year 1
Production
Capacity
k.oz/pa
260
0
0
0
0
Expected Total
Installed Cost (TIC)
Expected Total
Installed CostAGA Share
USD$m
USD$m
USD$m
10.7
0.0
0.0
0.0
0.0
130.1
0.0
0.0
0.0
0.0
130.1
0.0
0.0
0.0
0.0
7. SCHEDULE- ACTUALS TO DATE- STAGE GATE START DATES FORECAST AS AT THIS PERIOD
Option
No.
1
2
3
4
5
Concept
PreFeasibility
Feasibility
Execution
First Gold
Full Ramp Up/ Full Production
yyyy/mm/dd
Δ Days
yyyy/mm/dd
Δ Days
yyyy/mm/dd
Δ Days
yyyy/mm/dd
Δ Days
yyyy/mm/dd
Δ Days
yyyy/mm/dd
Δ Days
01/07/2011
00/01/1900
00/01/1900
00/01/1900
00/01/1900
0
0
0
0
0
08/08/2012
00/01/1900
00/01/1900
00/01/1900
00/01/1900
0
0
0
0
0
08/07/2013
00/01/1900
00/01/1900
00/01/1900
00/01/1900
0
0
0
0
0
30/03/2014
00/01/1900
00/01/1900
00/01/1900
00/01/1900
0
0
0
0
0
30/07/2015
00/01/1900
00/01/1900
00/01/1900
00/01/1900
0
0
0
0
0
30/09/2015
00/01/1900
00/01/1900
00/01/1900
00/01/1900
0
0
0
0
0
8. COST- ACTUALS TO DATE- COSTS PER STAGE GATE FORECAST AS AT THIS PERIOD
Option
No.
Forecast Total Installed Cost (TIC)
Total Forecast Installed Cost- AGA
Share
USD$m
Δ USD$m
USD$m
Δ USD$m
USD$m
Δ USD$m
USD$m
Δ USD$m
USD$m
Δ USD$m
USD$m
USD$m
0.38
0.00
0.00
0.00
0.00
-0.12
0.00
0.00
0.00
0.00
5.5
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
6.4
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
107
0
0
0
0
0
0
0
0
0
10.7
0.0
0.0
0.0
0.0
0
0
0
0
0
130
0
0
0
0
130
0
0
0
0
Concept
1
2
3
4
5
PreFeasibility
Feasibility
Execution
Commissioning/ First Gold
9. DETAILED PROGRESS TO DATE- THIS STAGE ONLY FOR ALL OPTIONS
This Stage- Increment This Month
(Do not change RED Text. All other milestones may be adapted if needed.)
Study Elements in Preparation
Recruitment/ Mobilisation- Owners Team and Study Contractor (%) :
Project Scope and Charter (%) :
HSE Management System and HSE Strategy (%) :
Sustainability (%) :
Processing (%) :
Geology (%) :
Mining (%) :
Legal & Commercial (%) :
Business & Financial (%) :
Operation Readiness (%) :
HRMP (%) :
Constructability Review (%) :
Operational Readiness Strategy (%) :
Study Report (%) :
External Review (%) :
Report Acceptance (%) :
FS Charter (%) :
Project Sanction (%) :
Major Project Elements- This Stage
Shared Services (%) :
Mining (%) :
Mineral Processing Plant (%) :
Balance of Plant & Infrastructure (%) :
Final Report Documentation (%) :
Project Stage Completion Including Sanctioned Approval (% ):
Project Financials- This Stage
Total Capital Commitments- This Stage ($USDm) :
Total PreCommittment Capital Committed- This Stage ($USDm) :
Total Owners Team Cost- This Stage ($USDm) :
Total Expenditure- This Stage ($USDm) :
This Stage- Cumulative Since Stage Start
Expected/
Actual
Variance
Budgeted
This Stage- Forecast To Complete
Planned/ Budgeted End Date/
Forecast End
Final Cost
Date/ Final Cost
Expected/
Budgeted
Actual
% Complete
% Complete
Δ%
% Complete
% Complete
Δ%
yyyy/mm/dd
yyyy/mm/dd
Δ Days
Δ%
50.0%
100.0%
15.0%
1.8%
100.0%
0.0%
1.6%
1.8%
0.0%
0.0%
3.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
50.0%
100.0%
15.0%
1.0%
100.0%
0.0%
1.0%
4.3%
0.0%
0.0%
3.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
-0.8%
0.0%
0.0%
-0.6%
2.5%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
100.0%
100.0%
90.0%
35.0%
100.0%
0.0%
8.0%
57.0%
0.0%
0.0%
50.0%
70.0%
100.0%
0.0%
0.0%
0.0%
0.0%
0.0%
100.0%
100.0%
95.0%
20.0%
100.0%
0.0%
6.0%
30.0%
0.0%
0.0%
38.8%
14.5%
95.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
5.0%
-15.0%
0.0%
0.0%
-2.0%
-27.0%
0.0%
0.0%
-11.2%
-55.4%
-5.0%
0.0%
0.0%
0.0%
0.0%
0.0%
30/09/2012
08/08/2012
30/09/2012
21/11/2012
13/12/2012
14/03/2013
13/03/2013
18/03/2013
06/03/2013
06/03/2013
30/01/2013
30/11/2012
21/12/2012
01/04/2013
16/05/2013
08/07/2013
15/05/2013
30/06/2013
30/09/2012
08/08/2012
15/09/2012
26/04/2013
13/12/2012
14/03/2013
01/03/2013
03/05/2013
14/03/2013
14/03/2013
07/02/2013
16/01/2013
29/01/2013
17/05/2013
01/07/2013
21/08/2013
15/05/2013
30/06/2013
0
0
-15
156
0
0
-12
46
8
8
8
47
39
46
46
44
0
0
0.0
0.0
0.0
0.4
0.0
0.0
0.0
0.1
0.0
0.0
0.0
0.1
0.1
0.1
0.1
0.1
0.0
0.0
% Complete
% Complete
Δ%
% Complete
% Complete
Δ%
yyyy/mm/dd
yyyy/mm/dd
Days
Δ%
1.0%
2.1%
0.3%
2.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
1.1%
2.0%
1.5%
3.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.1%
-0.1%
1.2%
1.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
41.5%
38.0%
74.0%
52.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
27.0%
25.8%
48.0%
48.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
-14.5%
-12.2%
-26.0%
-4.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
0.0%
22/03/2013
06/03/2013
21/12/2012
30/11/2012
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
30/06/2013
26/04/2013
03/05/2013
29/01/2013
08/01/2013
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
00/01/1900
24/06/2013
35
58
39
39
0
0
0
0
0
0
-6
0.1
0.1
0.1
0.1
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
0.0
USD$m
USD$m
Δ USD$m
Δ%
USD$m
USD$m
Δ USD$m
Δ%
USD$m
USD$m
Δ USD$m
Δ%
1.02
0.00
0.25
1.27
0.36
0.00
0.08
0.45
-0.7
-64.4
2.19
0.00
1.20
3.39
0.87
-1.3
-60.5
0.0
#DIV/0!
0.37
1.24
-0.8
-68.8
-2.2
-63.5
3.54
0.00
2.90
6.44
2.66
0.00
2.80
5.47
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
Variance
0.0
#DIV/0!
-0.2
-66.5
-0.8
-64.8
Variance
10. PROJECT HIGHLIGHTS- LAST MONTH
1. Health, Safety and Environment
No safety incident to report
4. Procurement
Nothing to report
7. Project Services:
a) Scheduling
8. Engineering/Construction
a) Package 1- Mining
Indicative figures have been used in this report owing to the Christmas break but do take into account
the issues with Bateman progress. AGA have reviewed the schedule submitted by Bateman and
have provided feedback
2. Geology, Exploration and Mine Planning
Nothing to report
3. Operational Readiness
Nothing to Report
5. Contracts
Significant issues with contractual deliverables from Batemanhave been raised
and a formal letter detailing the reasons for rejection of specific deliverables
has been issued. A meeting has been scheduled for 10 Jan to address the
issues and develop a plan.
Note: The meeting has now been held with bateman and the deliverables are
being reworked with support from the owners team. The deliverables will be
submitted on Friday 18 Jan.
6. Human Resources
Nothing to report
b) Cost Estimating
b) Package 2- Mineral Processing
Bateman estimates for the exectution phase of the project have been reviewed and feedback
provided.
c) Cost Control, Doc Control, Other
c) Package 3- Balance of Plant/ Infrastructure
Current month spend below estimate due to planned drilling for December not taking place. Accruals
made for costs not received by cut off date.
11. PROJECT KEY TASKS- NEXT MONTH
1. Health, Safety and Environment:
0
4. Procurement:
Commence procurement of long lead items following approval.
7. Project Services:
a) Scheduling
8. Engineering/Construction
a) Package 1- Mining
Review of Schedule for Detox execution phase from Bateman.
2. Geology, Exploration and Mine Planning:
#VALUE!
3. Operational Readiness
No work planned
5. Contracts:
Continue to work with Bateman to aid successful delivery of outstanding
deliverables
6. Human Resources
b) Cost Estimating
b) Package 2- Mineral Processing
AGA will work with Bateman to revise the exectution phase estimate to ensure a robust delivery on
Friday 18th Jan.
c) Cost Control, Doc Control, Other
c) Package 3- Balance of Plant/ Infrastructure
No work planned
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Sophisticated Dashboard
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12
There is no universal dashboard
 Has to be designed to support the client priority
 Safety
 Cashflow
 Deliverables
 Risk exposure
 Rate of change
 Commentary –the critical bit
Copyright 2013 by CH2M HILL • Company Confidential
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Key Learning
If no one is questioning the content of your report no
one is reading it!
Copyright 2013 by CH2M HILL • Company Confidential
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Thankyou for your time
I am always happy to talk
Simon Springate
[email protected]
Copyright 2013 by CH2M HILL • Company Confidential
15