Flawless project delivery strategies

FLAWLESS PROJECT DELIVERY
Ken Ede Apr 2016
© 2016 Ken Ede LinkedIn https://au.linkedin.com/in/kenede Web: www.ignite1000.com

FLAWLESS OPPORTUNITY
Production
Time
Expectation
Actual
Getting the actual start-up profile to match expectations
0
10
20
30
40
50
60
Publicly Announced Stage Committed / completed stage
A$bn
+154%
+301%
+121%
+250%
+130%
+39%
Flawless
Opportunity
From IPA, typically:
• 1 in 8 offshore projects is a “disaster”
• Cost growth/schedule slip > 40% vs sanction
• First year operability < 50% vs plan

FLAWS MATTER
Loss of Containment 50%
Human Error 50%
Fittings
incorrectly
installed 31%
Procedures
not followed
8%
Equipment/
parts defects
21%
Design
specifications
15%
CasestudyofincidentsincommissioningandHUCphaseover30years
Incidents
Work
direction
11%

“ FLAWLESS IT IS ABOUT YOU
AND YOUR UNDERSTANDING OF RISK
“
Do you know when you
are making risk
decisions?
Do you know the error rate
in not only your decisions
but also the error rate in
data that you use to make
decisions?
Are you qualified to make the
risk decisions you are making?
Who is your risk
decision looking after?
What is motivating your
risk decision making?
Are you engaging those
that might be impacted
in the risk decision?
Energy
RiskAttitude
Walking dead
WinnersSpectators
Troublemakers
Risk attitude in the right quadrant?

We allow flaws to occur and then establish processes to find and fix them
We work in an industry that accepts flaws as part of normal business
We often fix the symptom and not the flaw
Flaws are often good for business

Inthiscasestudymorethan231primarycauses
FLAWDIAGNOSIS
Datafromcasestudyofmorethan3000lessonslearned
Datafromcasestudyofmorethan3000lessonslearned

FLAWS BY PHASE
Data from case study of more than 3000 lessons learned
“Commissioning: when
the frisky tom cats of
innovative design, value
engineering and
supreme optimism meet
the sharpened scalpel
of reality”
Select/Develop
(BOD)
Detail Design /
Procure /
Construct
Commissioning
/Start-Up
Develop
(FEED)
ValueofeachFLAW
Time
45% 10% 40% 5%
FID
It goes wrong from the get go because:
• Overarching strategies to support the projects intent are not set up early enough
• Commitments are made which lock the work into business as usual delivery
• Accountability to get overarching project arrangements right is not clear and inaction leads to business as usual delivery
• Decisions makers make decisions blind to data that was available
• Insufficient ‘winners’ underpin the drive for flawless delivery and are overcome by the business as usual approach
• Confused message on drivers by leadership undermines a flawless approach
Wholly inappropriate
contract strategy

TIME FLAWS
Manufacturing Delivery
Kick Off
Meeting IRC
Transport Pick
Up ROS
Planned
Manufacturing
FAT
Delivery
Kick Off
Meeting IRC ROS
Transport Pick
Up
Training
Vendor
Competency
Testing
Surveillance
Visit
Surveillance
Visit
FAT
Typically what is planned is a plan to fail. Lessons tell
us manufacturing is often delayed and FAT late.
Commitments on transport and ROS sees punch list
items being exported to site
Flawless builds in allowances
for the known risks. Storage at
vendor built in to allow for
vendor delay and to fix punchl
ist
Investing in and more
interactive with the supplier to
set up final inspections to be
fault free and successful
ROS reflects risks of flaws in
the entire life cycle
Flawless Plan
Flawless management of time flaws
requires very early consideration to avoid
locking the work into a business as usual
approach. The trade off on the delay is
that the outcome is more predictable and
overall result better but requires
supportive leadership and courage to
implement. Often needs demonstrating
through scenario planning.

COMPETENCY FLAWS
Its critical you know what you do NOT know
Electrical
Materials
Vessels EEHA
Coatings
Structural
Mechanical
Piping
Communications
Controls
Logic
Instruments
Human
factors
Piping
Operations
Vibration
Safety
IT
Lifting
The required skill set to execute flawless
inspection does not reside in a single
‘universal solider’

Governing Budgeting
MANAGEMENT
Flaw
Accountab
ility
Front End
Effort
QA/QCFlawless
Flawless and Quality coexist and
complement each other. Flawless
is a front end loaded activity.
Back End
Flawless is not about detecting
flaws, but promoting and
ensuring good practices are in
place to stop the occurrence of
flaws.
Integrity

• Tightness
• Cleanliness
• Integrity
• Operability
• HSE
• Prototypes
• Complexity
• Testing
• Experience
• Coinciding Events
• Integration
• Information
RESPOND
Score
against
each flaw
category
Determine the impact
that flaws would have
on you
* These determined by systematic analysis
of lessons learned within your business
Determine
total score
Select flaws
treatment
weight based on
the score
Select the
treatment
based on the
score at each
step
Score 80 – 120:
Heavy Exposure
Score 80 – 120:
Medium Exposure
Score 0 – 39:
Light Exposure
Step 1: Secure management commitment to Flaws
management & identify project level performance
objectives
• Significant consideration by senior management
• Features in the opportunity statement and specific resource assigned to
maximise opportunities at the earliest opportunity
• Selection of treatments available determined and recorded by the
assigned Coordinator
• Appoint, or secure support from, a specialist SME
EXAMPLE
• Extent and style of treatment is determined by the Project Manager
• Strategy is clearly stated in the opportunity statement
• Future resources allocated to address

Flawless project delivery strategies

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