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Dr. George Jergeas PEng

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Managing Fast Track Projects: A Guide and Checklists Dr. George Jergeas PEng University of Calgary Project Management Specialization Agenda Introduction Different ... – PowerPoint PPT presentation

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Title: Dr. George Jergeas PEng


1
Managing Fast Track Projects A Guide and
Checklists
  • Dr. George Jergeas PEng
  • University of Calgary
  • Project Management Specialization

2
Reference
This presentation is based on the European
Construction Institute (ECI) - UK ECI
Manual The Fast Track Manual A guide to Schedule
Reduction for Client and Contractors on
Engineering and Construction Projects
3
Agenda
  • Introduction
  • Different Project Stages
  • Concept Stage
  • Development Stage
  • Definition Stage
  • Design Stage
  • Procurement Stage
  • Construction Stage
  • Commissioning
  • Operation Stage
  • Key Issues

4
Introduction
  • Takes place more quickly than normal
  • A difficult and often stressful route to follow
  • There is no boundary between a normal project and
    a fast track project
  • Projects ranged from 4 - 36 months
  • Schedule reduction 10 - 29
  • Cost increase 10 - 20

5
Reasons for Fast Track
  • Urgent requirements by client
  • To maximize profit or limit loss
  • Imposed deadline
  • Start of academic year
  • End of current lease
  • New legislation
  • Minimize disruption of services

6
Objectives
  • To assist who are considering a fast track to
    make the right decisions
  • To help implement fast track strategy successfully

7
Key Success factors
  • The calibre of individuals and their working
    relationships
  • The adequacy of the definition of the project
  • Strategy adopted and systems for implementation
  • The passion to succeed on the part of key
    participants

8
Definitions
  • A managerial approach to the achievement of
    early project delivery, involving the application
    of innovations in the management of construction
    procurement and recent advances in the process
    that, bringing into play
  • The integration of construction and design phases
  • The involvement of the contractor in both the
    design and construction phases
  • Overlapping of work packages to enable
    construction of sections of the project to
    proceed while the design for other sections is
    being progressed
  • The employment of the expertise of suppliers in
    design and construction
  • Kwakye, 1991

9
Definitions
  • Design and construction are overlapped and
    different sections of the plant are designed and
    built in parallel with significant additional
    risk due to the links between the design of
    different parts of the plant
  • Turner, 1996
  • The reduction of the the schedule to the minimum
    practicable is the principal driving force for
    one or more stages of the project

10
Project Stages
Normal Project
Fast Track Project
11
General Principles
  • Work Package Overlap
  • Work packages are progressed in parallel
  • Overlap the stages for each work package
  • Early Decisions
  • Experienced judgement and empowerment
  • Commence design before scope has been defined
  • Must accept wrong decisions

12
General Principles
  • Integrated Project Team
  • Main parties are combined into a single
    organization and participate to the limit of
    their capability in achieving the project
    objectives
  • Partnering
  • Benefits
  • Availability of additional expertise
  • Avoiding learning curve errors
  • Reduction in the overall workload
  • Commitment to the project definition and schedule
  • Design and construction developed together

13
General Principles
  • Additional Staff
  • More labour will be needed at peak period as a
    consequence of scheduling activities in parallel
  • More management resource will be needed to deal
    with interface and progress issues arising from
    inter-dependencies between disciplines and
    between design, procurement and construction
  • Schedule Reduction Techniques
  • Project must be managed in an efficient manner
    making full use of project management and
    schedule reduction techniques

14
General Principles
  • Additional Risks
  • Decisions based on limited information, cannot
    always be right first time
  • A structured and thorough risk management process
    needed

15
Advantages vs. Disadvantages
  • Advantages
  • Time to market
  • Commercial benefits
  • Short schedule (at least 10)
  • Reduce time period for risk exposure
  • Disadvantages
  • Additional risk factors, very limited
    alternatives
  • Increased amount of PM, control, etc.
  • Cost increase (at least 10 20)

16
Characteristics that Support Strategy
  • Ownership
  • Client support
  • Project sponsor or champion
  • Stakeholder support and commitment
  • Organization
  • Project team needs to be simple, clear and devoid
    of rigid hierarchy
  • If parent organization has a functional matrix
    structure, the functional line must be
    subordinate to the project management (task) line
    for the duration of the project team

17
Characteristics that Support Strategy
  • Desirable Team Characteristics
  • Honesty - Openness - Trust
  • Anticipation and avoidance of issues rather than
    waiting for them to turn into problems
  • Mutual support - issue resolution, coaching
  • No blame culture
  • Access to all parties, no communication barriers
  • Lean organization, which aids communications and
    speeds decision taking
  • Full time members
  • Authorized and empowered team members
  • Decision making on the spot without referring

18
Characteristics that Support Strategy
  • People and Relationships
  • Technical competence
  • Decisiveness - self starter - can do -
    flexibility
  • Ability to forecast outcome and act accordingly
  • See the big picture
  • Willing to collaborate
  • Enthusiasm
  • Strong leadership
  • Managerial competence
  • Openness

19
Characteristics that Support Strategy
  • Motivation
  • Create a team culture that avoid de-motivation of
    individuals who are keen to succeed, but are
    prevented by the organization, procedures,..
  • Working part of a team, working equally hard and
    supporting each other
  • Appoint key positions to individuals known to be
    good motivators
  • Early identification and removal of
    under-performing individuals
  • Team building and partnering sessions
  • Incentive/penalty clauses

20
Characteristics that Support Strategy
  • Contractual arrangements
  • Achieve win-win situation
  • Pre-selected, preferred contractor
  • Reimbursable basis, with incentives
  • Lump-sum can also be used
  • Partnering
  • Up front agreement for payment for changes and
    extras

21
Characteristics that Support Strategy
  • Communications
  • More informal communication - face-to-face
  • Barriers should be removed - information flows
    directly between the parties regardless of parent
    organization and level of hierarchy
  • Responsibility for communication lies with the
    individual who has made a decision
  • Frequency and progress meetings
  • Frequent and concise reporting

22
Concept Stage
  • Introduction
  • Time to establish the concept is NOT recoverable
  • The opportunity to influence the outcome falls
    off rapidly
  • People
  • Stakeholders (ALL Should be identified)
  • Integrated Team (Sponsor, Project Manager
    Senior Managers from different key players)
  • Qualified personnel and motivated

23
Concept Stage
  • Scope
  • Identify the real Goal and Objectives of the
    client
  • Identify Critical Success Factors (CSFs)
  • Strategy
  • Fast tracking should be avoided unless the client
    business benefits from early completion
    significantly and outweigh risks
  • Contract strategy addressed and outlined

24
Concept Stage
  • Business and PM Systems
  • Business Planning
  • process for weeding out poor projects
  • A smooth transition from business process to PM
    process
  • Stage gates process
  • Communications
  • Rapid transmission of information
  • IT systems
  • Publicity needs to be controlled
  • Risk Management
  • Cost and Risk
  • Determination of cost is difficult
  • Limited industry information on fast track
    projects
  • As accurate as possible estimate to help in the
    decision to adopt a fast track strategy

25
Concept Stage
  • Logistics
  • Consideration to location of new asset in
    relation to
  • Location of customers
  • Source and availability of feedstocks, component
    parts
  • Supply routes
  • Transport security and cost of supply and
    products
  • Existing assets
  • Workforce skills and availability
  • Also should consider
  • Locations of parties involved
  • Client site - design office - contractor -
    contractors and sub-contractor - suppliers
  • Sources of construction equipment - material -
    supply routes and methods - Site access and
    controls

26
Definition Stage
  • Introduction
  • Lack of adequate definition has arguably been
    responsible for more project failures
  • Expenditure of 25 of the total design effort
  • Design will need to be progressed on those
    elements of the definition that are sufficiently
    secure in order to feed information to
    construction at the earliest practicable time
  • Quality of project definition is very often a
    casualty, with the potential for overruns of cost
    time

27
Definition Stage
  • People
  • Clarity of objectives
  • A clear focus on the objectives as agreed with
    stakeholders at the concept stage must be
    maintained in order to aid in the decision making
    process
  • Stakeholders
  • The significant stakeholders early identified
    should continue to be involved, consulted and
    advised
  • Any other identified stakeholders should be
    involved ASAP
  • Integrated Team
  • If the project has not so far been led by the
    project manager who will be responsible for
    seeing it through to beneficial use, that
    individual should be appointed at the beginning
    of the definition stage

28
Definition Stage
  • People
  • Suitably qualified and experienced personnel
  • The team should not be selected only on their
    technical and managerial competencies but also
    on their ability to
  • Overcome the obstacles and succeed in achieving
    the project CSFs
  • Work with high level of uncertainty
  • Work flexibly outside the normal work boundaries
  • Co-operate with others for the benefit of the
    project
  • Project Scope
  • It is essential that the project team have a
    clear understanding of what has been agreed by
    stakeholders to be in the scope and what is
    outside the scope

29
Definition Stage
  • Scope
  • For technical definition consider
  • Fit for purpose (which may not be ideal
    sometimes)
  • Fastest to manufacture/construct rather than
    cheaper
  • Reuse of design from existing assets
  • Modular design
  • Pre-fabrication of components
  • Minimization of project scope lean construction
    approach
  • Reduction in the number of processing steps in a
    manufacturing plant

30
Definition Stage (Cont.)
  • Scope
  • Reduction in the size of the asset
  • Elimination of non-essential elements of the
    design
  • Standardization of layout or repeated units
  • Standard / off-the-shelf components
  • Simplification of design dependencies
  • Simplification of the build/construct/assemble
    process
  • Avoidance of innovation/new/untried elements in
    general
  • Early identification and ordering of long
    delivery items
  • Constructability / Operability
  • This stage should also include
  • Arrangements for handover and commissioning
  • Proving and warranty test to be carried out
  • Definition of beneficial operation / use as the
    end point of the project

31
Definition Stage (Cont.)
  • For the Overall Scope also consider
  • Achievement of the overall project objectives,
    both what is to be done and how it is to be
    achieved
  • Whether phased completion would be acceptable
  • Arrangements for handover and commissioning
  • Proving and warranty test to be carried out
  • Definition of beneficial operation / use as the
    end point of the project
  • Project specific critical success factors

32
Definition Stage
  • Project Strategy
  • It should take into account the same aspects
    which were considered in the concept and
    development stages that include
  • Work Breakdown Structure and the ability to spilt
    the project into relatively independent parts
  • Willingness to take early decisions and accept
    competent solutions
  • Ability to keep options open until the last
    responsible moment
  • Elimination of hold points for the approval of
    design
  • Agreement that the project will accept the best
    decision in light of the information available at
    the time
  • Acceptance of risk taking, and the impact of each
    risk
  • Delegation and empowerment of the team to promote
    decisions
  • Early applications of authorization and approvals
  • Availability of benefits / incentives for all
    project parties
  • Opportunities to allocate risk and share rewards

33
Definition Stage
  • Project Management Procedures
  • Planning
  • It is essential that, as the definition evolves,
    work is scheduled on the basis of achieving the
    earliest beneficial use of the finished asset
  • It is also essential that interactive planning
    process advocated as a team building activity
  • Project Process
  • Based on the project organization, the project
    procedures may be those of the client, the
    contractor or one of the other parties
  • Standard processes need to be modified to
    accommodate the degree of overlap between various
    stages
  • Authority to approve modifications should be
    assigned ASAP
  • A project risk management system must be set up
    as part of the project procedures
  • A good system for project documentation is
    essential

34
Definition Stage
  • Project Management Procedures
  • Project control
  • Care is needed to ensure that previously rejected
    ideas are not reintroduced at the definition
    stage
  • The use of Value Engineering / Constructability
    is essential to enhance the decision making
    process
  • Project Communications
  • A good communications system need to be
    established and maintained
  • This could include intranet, Extranet, Internet,
    Chat rooms, Bulletin Boards, Event Calendars,
    Data Base, etc.
  • The greater the level of integration in the
    sharing and re-use of information the more that
    the communication system will support the project
    and enhance success

35
Definition Stage
  • Project Management Procedures
  • Cost and risk
  • Cost
  • Approval of cost will have to be given on a lower
    level of definition and with a wider tolerance on
    the estimate if the project is to proceed
    unhindered by the supply of funds
  • A cost estimate to within plus or minus 10 will
    not be obtained until the end of the design stage
  • It is recommended that a control estimate should
    be produced once all the necessary details are
    known
  • During this stage it will be necessary to address
    the potential cause of increased cost which may
    rise

36
Workshop 1 Risks
List risks associated with the increased level
of overlap between definition and design stages
of a project.
37
Solution Workshop 1
  • Design and construction rework arising from lack
    of firm definition
  • Additional management effort at peak to control
    the project
  • Use of additional resources arising from repeat
    work and parallel working requiring more than
    optimal number of people
  • Essential additional items to achieve the CSFs
    which creep into the scope through lack of firm
    definition
  • Procurement against best/guaranteed delivery
    rather than lowest price
  • Additions to equipment orders as details evolve
  • Additional expediting

38
Solution Workshop 1
  • Air freighting to speed delivery
  • Incorrect initial material quantities which may
    give rise to surpluses, or shortages which will
    need to be topped up at premium costs
  • Additional contingencies being included in
    quotations to cover unknown elements where there
    is no scope
  • High allowances in tender prices to cover
    penalties for defaults
  • Overtime and shift working resulting in higher
    cost and loss of productivity
  • Over design vs. waiting for detailed information

39
Design Stage
  • Introduction
  • The main purpose of this stage is to finalize the
    design requirements for the project
  • This stage requires a good understanding of the
    options for compressing the schedule
  • It requires the use of the most up-to-date proven
    computer aided design
  • People
  • Clarity of objectives
  • The most elegant design is useless unless it is
    capable of being built safely and to time and
    budget, this has to be fully understood by the
    project team and senior management

40
Design Stage
  • People
  • Stakeholders
  • The interests of all stakeholders should be kept
    under review as the design progress so that
    interested parties can be kept up to date and
    involved at the earliest appropriate stage
  • Alliances
  • Establishment of a long-term relationship between
    the companies and team involved helps to ensure a
    rapid start-up of the team involved on the
    project at each stage
  • Integrated Team
  • This stage requires the use of single design team
    incorporating the expertise of all discipline and
    involving those responsible for subsequent stages
    of the project
  • The design should be able to be right first
    time to minimize the number and duration of
    design reviews

41
Design Stage
  • Integrated Team
  • The team need to be supported with appropriate
    collaboration and communication systems
  • Team members should have clearly identified roles
    and objectives to eliminate duplication and
    inefficiencies
  • The team members need proper empowerment to
    promote rapid and effective decision making
  • Team members should be very competent and
    experienced in order to enhance the efficiency of
    the design
  • Project Scope
  • Clarity of definition
  • The problem with some fast track projects is that
    detailed design has to proceed without total
    clarity of definition
  • It is a a matter of judgment as to which areas
    are sufficiently well defined to proceed without
    incurring too great risk

42
Design Stage
  • Project Scope
  • Extent of design
  • The extent of design details need to be defined
    from the beginning. Some elements of design has
    always been left to contractors on site to
    complete
  • There will be no benefit if the easy 95 of the
    project is fully detailed and the contractor is
    left to struggle with the difficult 5
  • Design can only be based on the best option at
    the time given information available
  • Early involvement of contractors and suppliers is
    essential

43
Design Stage
  • Over-design
  • In the absence of hard information it is
    necessary to make more generous allowances than
    would normally be the case
  • The level of the over-design will depend on the
    extent of the un-known, the significance and
    perhaps the cost of the time
  • The design can be based on the maximum expected
    values e.g., weight of structure, pressure in
    system together with an appropriate safety factor
    rather than waiting until precise values can be
    calculated.
  • Example There maybe little cost difference for
    the project as a whole if piling is 30
    over-designed or 50 over-designed, but may allow
    site work to proceed well ahead before the
    accurate details of the superstructure can be
    determined.

44
Design Stage
  • Design process
  • The design sequence must be planned to ensure
    that the schedule needs of construction drive the
    design process for the production at the right
    time of
  • Design information
  • Drawings
  • Documents
  • Materials
  • Equipment
  • Long lead item data sheets and specifications
    will need to be produced out of sequence with the
    rest of the design.

45
Design Stage
  • Design process
  • Visual appearance and structural design may need
    to be compromised to achieve the fastest
    completion
  • Design option selection may be based on fastest
    to manufacture or build rather than lowest cost
  • Design will overlap with procurement and
    construction
  • Design of work packages will be in parallel
  • By-pass design areas with insufficient
    information and work to assumptions put
    experienced team members to work resolving the
    issues within the black box area
  • Incorporate constructability to ensure the
    optimum construction productivity
  • Design holds must be minimized as possible
  • Design reviews must be carried out very
    thoroughly

46
Design Stage
  • Design process
  • Design freeze
  • The overlap between definition, design and
    construction means that the number of unknowns
    remains higher than in a normal project while
    work is proceeding on the following stage
  • Only freeze part of the design which then have to
    be accepted as constraints on the rest of the
    design

47
Design Stage
  • Strategy
  • Simplicity and repetition
  • Reduction in the number of processing steps in a
    manufacturing plant
  • Reduction in the size of the asset
  • Elimination of non-essential elements of the
    design (de-scoping)
  • Standardization of layout or repeated units
  • Simplification of the build / construct /
    assemble process
  • Standard / Reusable / Off-the-shelf-design
  • Consideration should be given to re-use design of
    an existing asset
  • An existing asset can be used to train both the
    constructors and users of the new asset
  • Base the design of the long delivery items on
    those that already exist so that material
    procurement and fabrication can be started at the
    earliest possible time.

48
Design Stage
  • Strategy
  • Modularization
  • If the overall design can be structured as a
    series of units or modules then there is the
    potential to introduce a number of schedule
    reduction approaches
  • Progress separate modules in parallel using
    separate design teams, suppliers, construction
    contractors
  • Care to identify all the interdependencies
    between the separate modules and to ensure that
    these are taken into account as the design
    progresses.
  • If a number of the modules can be of similar
    design then should be possible to utilize the
    experience gained on early modules to improve the
    efficiency and time
  • In a process plant design as a number of parallel
    streams, rather than a single large stream
    Smaller and off-the-shelf items
  • Consider the concept of sub-modules mounted
    within plant p may be interchangeable

49
Design Stage
  • Strategy
  • Prefabrication / Pre-assembly
  • Manufacture modules off the site and under
    factory controlled conditions
  • Cladding panels complete with windows, external
    fittings, internal finishes
  • Fully finished air handling units
  • Skid mounted plant
  • Fully finished bathrooms
  • Standardized internal partitioning
  • Completed, tested, validated pilot/ process plant
  • Design tools
  • The low technology approach will often be found
    (on many projects) to be the quickest to produce
    results
  • Consideration to the use of the latest, proven,
    design (CAD) and communication systems (IT)

50
Design Stage
  • Project Management Systems and Procedures
  • Planning
  • Planning of the design must be driven by the
    requirements of later stages, mostly the
    construction stage.
  • Interactive planning which involves all members
    of the project team in problem solving and plan
    optimization.
  • Critical Chain project planning methodology has
    been credited with a significant reduction in
    project duration. The methodology results in the
    schedule contingency, which is normally hidden in
    the planned duration of each activity, being
    removed from the critical chain of activities and
    being replaced by a number of buffers of project
    contingencies that are provided to protect blocks
    of activities and are visible to the project team

51
Design Stage
  • Project Management Procedures
  • Project Control
  • Effective project control is one of the keys to a
    successful fast track
  • It must be a dynamic process with a very short
    cycle time so that deviations are recognized and
    corrected
  • Design progress measurements should be at the
    simplest level
  • Frequent up-dates of measurements / information
  • Progress information / reports are simple,
    concise and easily available to relevant people
  • Monitoring of key trends flogging adverse
    trends and forecast out-turns that are not in
    accordance with the schedule including schedule
    float.
  • Exception reporting of items not completed to
    schedule
  • Progress against deliverables, milestones, CSFs
    and forecast out-turns
  • Earned Value measurement

52
Design Stage
  • Project Management Procedures
  • Design Approval
  • To ensure that the client fully understands the
    detail of the assets being created and does not
    come up with additional or alternative
    requirements during procurement, construction or
    commissioning phases, it is necessary to have
    good design approval system which includes
    sign-off by the client.
  • Approval of the design sub-units that are the
    responsibilities of specialist vendors may need
    to take place on their premises to avoid delays
  • Design verification
  • Verification should commence as soon as possible
    to limit the amount of re-work

53
Design Stage
  • Project Management Procedures
  • Change Control
  • Effective change control system is essential, but
    is difficult to enforce due to the increased risk
    of rework arising from the overlap of design and
    construction.
  • Rapid rejection and approval will help to limit
    rework and minimize the impact of change
  • Communications
  • Good verbal communications need to be established
    between the parties so decisions are known
    quickly and design can progress rapidly.
  • Meetings should be kept to a minimum and focused
    on decision taking rather than communication of
    matters purely for interest.
  • Communications within the team should take place
    as needed and not be restricted to a meetings
    timetable
  • Communications with other parties outside the
    design team need to be kept up to speed with
    design details as they evolve
  • Full use of IT systems for storage and
    communication of information

54
Design Stage
  • Project Management Procedures
  • Constructability Reviews
  • The integrated team is best placed to address the
    issues which arise from Constructability
    considerations as the structure and detailed
    design are evolving.

55
Design Stage
  • Cost and Risk Considerations
  • The main risks in this stage are of increased
    cost and delay due to sub-optimum design or
    incorrect design resulting in rework
  • The root cause can be either commencing detailed
    design before a comprehensive and firm definition
    has been agreed or from the early decision
    approach where there are interdependencies
    between the elements on which parallel working is
    taking place.

56
Workshop 2 Risks at the Design Stage
  • List the risks associated with increased overlap
    between design and construction stages
  • List the risks associated with increased overlap
    between design and procurement stages

57
Workshop 2 Solution
  • List the risks associated with increased overlap
    between design and construction stages
  • Product which is to be manufactured on the plant
    fails its trials
  • Failure of innovative designs as a result of
    putting them into practice without sufficient
    development
  • Failures of innovative methodologies as a result
    of hasty and insufficiently considered
    application
  • Increased level of rework as a result of
  • Lack of firm definition
  • Omissions as a consequence of out-of-sequence
    design
  • Changes to design of fabricated items after
    delivery to site
  • Increased whole of life cost due to sub-optimum
    design
  • Conflict

58
Workshop 2 Solution
  • List the risks associated with increased overlap
    between design and construction stages
  • Increased capital cost arising from
  • Modularization e.g., extra structural steel,
    extra joint/connections, greater precision
  • Over-design due to judgments based on limited
    information
  • Sub-optimum design through the use of standard
    designs or reuse of existing design
  • Problem at design and construction discipline
    interfaces

59
Workshop 2 Solution
  • List the risks associated with increased overlap
    between design and procurement stages
  • Lack of understanding of scope
  • Design changes requiring revised contract and
    purchase orders leading to delays or cost
    increases
  • Errors or omissions in purchase of materials or
    equipment
  • Reduced certainty of outcome for all project
    parameters cost, time, quality, safety
  • Interdisciplinary design conflicts arising from
    out of sequence working
  • Problems with systems integration
  • Inappropriate form of contract for those
    contracts which are let on the basis of
    inadequate or incorrect design information
  • Selection of inappropriate contractors
  • Inappropriate allocation of risk

60
Design Stage
  • Logistics
  • Design team location
  • The design team is the center of the project team
    activities
  • If the whole project team cannot be located
    together, consideration should be given to locate
    them all together through the design stage
  • Access
  • Arrangements should be made for design team to
    gain access to project site as early as possible

61
Construction Stage
  • Introduction
  • Manage the additional risks
  • Achieve high productivity from construction work
    force
  • Good understanding of options for compressing the
    schedule
  • Good risk management and communication system
  • Coordination among all contractors and suppliers
  • People
  • Clarity of objectives
  • The CSFs and what is expected of site staff in
    achieving these CSFs should be communicated to
    all construction staff
  • The key performance indicator against which
    construction performance is to be measured should
    be explained
  • The interests of the site workforce should be
    identified (working arrangements, working
    periods, flexibility and critical path activities)

62
Construction Stage
  • People
  • Integrated team
  • Single integrated team with one culture should be
    carried through to the construction site (it may
    be difficult with many suppliers)
  • Contracts between the parties involved need to be
    set up to promote integration and co-operation
    and to enable all parties to be available as and
    when demanded by the schedule.
  • The following elements have been noted as being
    helpful
  • Effective management of the overall team effort
  • Contractual obligations for all parties to work
    co-operatively regardless of direct contractual
    relationship
  • Design staff to be based on the construction site
  • Rapid response from engineering staff not site
    based

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Construction Stage
  • Integrated team
  • Vendors available to assist in the erection, site
    testing and pre-commissioning
  • Dedicated staff to co-ordinate and expedite
    permits, clearness, etc.
  • Commissioning staff used as construction
    inspectors
  • Client and commissioning staff involved in punch
    listing of defects
  • Project facilitators to deal with hold ups,
    interface problems
  • Joint construction and commissioning punch
    listing team
  • Punch list rectification squad which is separate
    from the normal construction squad to hit
    critical items while avoiding disruption to
    construction progress
  • Testing as part of the installation process, not
    subsequent activity

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Construction Stage
  • People
  • Delegation and empowerment
  • Authorize and empower members of the project
    team to promote rapid and effective decision
    taking at the lowest competent level
  • Necessary numbers and skills must be made
    available to meet the demands of the schedule
  • Supervision ratios may need to be increased
  • Skilled and experienced staff are employed
  • Construction team motivation is essential to
    enhance success
  • Remove disincentives and provide incentives
  • Schedule is challenging but realistic
  • Demonstrate management dedication and commitment
  • Remove underperforming staff from team
  • Simplify work methods
  • Avoid non-essential overtime
  • Supply design information, materials, equipment,
    support services

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Construction Stage
  • Scope
  • A clear definition of scope in form of drawings
    and specifications, codes, standards and best
    practices.
  • Need to now what is required and how to deliver
    he scope
  • Strategy
  • Construction plan
  • Satisfy conditions for plant commissioning and
    handover
  • Provision of agreed documentation to following
    stages
  • Pull through of design, materials, equipment,
    resources
  • Inclusion of output from Constructability reviews
  • Utilization of latest proven methods and
    technical improvements
  • Detailed planning / control for critical path and
    special operations
  • Modularization and off-site fabrication
  • Locations of site facilities, workshops, etc.
  • Complete weld preps prior to installation of
    steelwork/pipes
  • Pre-painting of pipes and steel

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Construction Stage
  • Site contracts
  • Number and arrangement of contractors should be
    optimized for speed of construction
  • Management and resources
  • Number and skills supplied to meet demands of
    plan
  • Competence in required project management and
    discipline skills
  • Workforce clocking / accommodation / messing
    facilities close to work faces
  • Materials and equipment
  • Materials and consumables supplied to ensure no
    delay through shortage
  • Materials management system to supply materials
    and equipment safely and efficiently to the work
    face
  • Generous supply of construction equipment,
    personal protective
  • Construction, commissioning and operational
    spares ordered with equipment

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Construction Stage
  • Quality assurance
  • Build quality in. Do the job right the first time
    (inspection does not improve quality)
  • Systems designed to minimize rework
  • Ensure that the latest revision is n use and
    previous issues have been withdrawn
  • Access
  • Good, safe site access
  • Generous lay-down, storage and work areas for
    pre-fabrication, assembly and inspection/testing
  • Safe and unobstructed access to the work face
    e.g. scaffolding
  • Maximum use of mobile access devices such as
    Cherry Pickers and scissor lifts
  • Safety, Health and Environment

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Construction Stage
  • Project Management Procedures
  • Planning
  • Construction requirements in terms of design,
    planning approvals, contracts, materials,
    equipment services and documentation should be
    built into the project plan from the earliest
    practicable time.
  • Only in this way will it be possible for the
    preceding stages (Development, design,
    procurement) to organize their work so as to
    produce constructable design packages and
    constructable procurement packages
  • Construction plan should be based on the
    requirements for pre-commissioning and
    commissioning
  • Keep plan under review throughout the
    construction period.

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Construction Stage
  • Planning
  • Only the minimum number of essential activities
    on the critical path
  • Maximize benefits from prefabricated elements
  • Plan construction of repetitive units as a
    manufacturing process
  • Package work to allow multiple work fronts in
    parallel
  • Plan construction sequence so as to meet
    pre-commissioning and commissioning needs
  • Base the schedule on shorter time intervals i.e.
    days or hours for critical tasks
  • Site access arrangement
  • Establishment of site infrastructure
  • Work permit provision
  • Resource demands of the schedule recruitment,
    induction, training
  • Move from area based to process system
  • Commence construction based on early design
    information
  • Key long lead and critical activities
  • Contingency planning for critical activities
  • Constructable work packages
  • Deferment of non-essential items until late in
    the program

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Construction Stage
  • Project Management Procedures
  • Project Control
  • Control must be a dynamic process with very
    short cycle time and include the following
  • Frequent monitoring of all trends in work
    progress
  • Frequent monitoring of changes
  • The use of simple progress indicator graphs
    (S-curve) on a daily basis
  • Simple progress reports and easily available to
    relevant people
  • Exception reporting of items not completed to
    scheduled
  • Progress against deliverables, milestones, etc.
  • Earned Value measurement
  • Change Control
  • Design changes are to be avoided
  • If design change is essential, implement through
    change control system
  • Resist verbal request at all costs

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Construction Stage
  • Project Management Procedures
  • Communications
  • Communications should be
  • Simple limited to what is necessary
  • Pertinent
  • Timely
  • Using best available mechanism face-to-face
  • Use of IT and 3D design tools to have a clear
    understanding of the product
  • Enable all parties to work together with an
    improved understanding of the design intent to
    avoid delays arising from misunderstandings and
    interdisciplinary conflicts

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Construction Stage
  • Cost and Risk
  • Mechanism for controlling costs through efficient
    use of labour and materials and the avoidance of
    rework including rectification of defective work
  • Strategies to achieve high productivity
  • Multiple shift or night shift will add to cost
  • It may be necessary for the client to provide
    advance payment to enable contractors to commit
    materials and resources ASAP.
  • Balance between risk and reward

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Construction Stage
  • Logistics
  • Design support for construction should be located
    on site
  • If not possible then effective IT system should
    be used to improve communications and enable
    marked up drawings to be rapidly transmitted
  • Maintain the momentum of the construction site
    and avoid the need to move site labour on to less
    urgent work due to hold ups on the critical
    activities
  • Procurement support should be provided and
    include
  • Documentation covering both purchasing
    transaction and documentation
  • Good receipt procedures
  • Inspections requirements
  • Quarantine of incorrect or defective goods
  • Storage and conservation
  • Handling and delivery to the work face
  • Surpluses
  • Returns of incorrect, defective materials and
    equipment

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Key Issues
  • With Fast Track
  • Control is redefined from monitoring results to
    making things happen
  • Performance is maximizing value and minimizing
    waste at the project level
  • Value to the client is defined, created and
    delivered throughout the life of the project
  • Coordinating action through pulling and
    continuous flow as opposed to traditional
    schedule driven push with its over-reliance on
    central authority and project schedule to manage
    resources and coordinate work
  • Decentralizing decision making through
    transparency and empowerment (effective
    communication)

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Key Issues
  • Key organizational features include leadership,
    teamwork and trust
  • The construction requirement is the basis for
    planning the supply of design, documentation,
    materials, equipment and resources
  • Providing the wrong goods or service the right
    way is waste do the right project before you do
    the project right
  • Project control is controlling the project, not
    just retrospective monitoring
  • Good communication are needed to support decision
    making
  • Eliminate ineffective time on site activities
  • Significant attention to project with new
    technology

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Managing Fast Track Projects A Guide and
Checklists
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