PMSA KZN Regional Conference, Durban, September 2013

Similar documents
EARNED VALUE MANAGEMENT. Is it worth the effort?

Long-Term Planning Framework. Project Lifecycle Process. Front End Loading. Front End Research. Transnet Freight Rail

newest iron ore LABRADOR IRON MINES Canada s producer Q3 Conference Call (for the quarter ended December 31, 2012)

INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 SEPTEMBER October 2014 Presented by Mr Brian Molefe, Group Chief Executive Investor and Media

Quarterly Financial Review

Quarterly Financial Review

Macroeconomic and Financial Development: Mongolia

Quarterly Financial Review

Quarterly Financial Review

Quarterly Financial Review

Quarterly Financial Review Fourth Quarter 2009

Quarterly Financial Review First Quarter 2003

Quarterly Financial Review

Third Quarter Third Quarter Quarterly Financial Review. Quarterly Financial Review

Quarterly Financial Review

Quarterly Financial Review

Emang Manganese Project

Spheria Australian Smaller Companies Fund

HUD NSP-1 Reporting Apr 2010 Grantee Report - New Mexico State Program

Big Walnut Local School District

Key IRS Interest Rates After PPA

Financial & Business Highlights For the Year Ended June 30, 2017

Performance Management Accountability Meeting Data as of October, 2012

Cover slide (same as IR cover)

QUARTERLY FINANCIAL REPORT June 30, 2017

WESTWOOD LUTHERAN CHURCH Summary Financial Statement YEAR TO DATE - February 28, Over(Under) Budget WECC Fund Actual Budget

Conference call Presentation of Q results 1 March 2012

XML Publisher Balance Sheet Vision Operations (USA) Feb-02

Annual F inancial Financial Results 2008

ONTARIO-MICHIGAN BORDER TRANSPORTATION PARTNERSHIP Planning/Need and Feasibility Study. 1. Work Accomplished This Period (4 Weeks)

Key opportunities and challenges facing the South African Mining Industry

Budget Manager Meeting. February 20, 2018

Helmerich & Payne, Inc.

5th Annual Shipping, Logistics & Offshore Services Conference

Review of Registered Charites Compliance Rates with Annual Reporting Requirements 2016

AGM August 17 th 2018

Key IRS Interest Rates After PPA

QUARTERLY FINANCIAL REPORT December 31, 2017

Earned Value and PRINCE2 Alex Davis. Programme Manager Close Combat Programme Support Office Ministry of Defence

GIMA Pulse Date of Report: 04/07/2017 a monthly snapshot of the UK Economy from

FOR - ARRA Financial and Operational Review Report Investigations

Investor Day 2014: Strategic progress Mining exploiting our potential

QUARTERLY FINANCIAL REPORT March 31, 2018

From Suspicion to Invaluable Transition of Two Project Managers

OVERVIEW OF TRANSNET CAPITAL INVESTMENTS IN KZN & EMPOWERMENT OPPORTUNITIES EDTEA s Budget Speech Engagement Session in Richards Bay 16 May 2018

2018 Financial Management Classes

Development of Economy and Financial Markets of Kazakhstan

Big Walnut Local School District

EMPLOYER S MUNICIPAL INCOME TAX WITHHOLDING FORMS INSTRUCTIONS FOR FILING FORM LW-1

Fiscal Year 2018 Project 1 Annual Budget

Management Reports. June for PREPARED BY POWERED BY

PASSENGER REJECTION REDUCTION INITIATIVE KIRK PEREIRA. 24 th April 2018

CONSTRUCTION CLAIMS MANAGEMENT & EOT DELAYS ANALYSIS. Presented by : Hany Ismail, MSc, PMP

Financial Report for the Month of SEPTEMBER

Western Australia Iron Ore Overview. Michael Bailey General Manager, Port Operations

FERTILIZERS PRICE TRENDS AND FFBL 3 Q 2011 REVIEW. Presented by: Syed Aamir Ahsan CFO & GMF Nov 03, 2011

Performance Report October 2018

Asset Manager Performance Comparison

Dated as of March 28,

Initiative of National Department of Health to accelerate Health Infrastructure Service Delivery

Beginning Date: January 2016 End Date: June Managers in Zephyr: Benchmark: Morningstar Short-Term Bond

Asset Manager Performance Comparison

Analyst Meet Presentation Q2 FY11. Analyst Meet Presentation Q2 FY11

THE B E A CH TO WN S O F P ALM B EA CH

Biannual Economic and Capacity Survey. July December2017

Beginning Date: January 2016 End Date: September Managers in Zephyr: Benchmark: Morningstar Short-Term Bond

31 Dec Dec Dec Dec Dec Dec Dec Dec Dec Dec Dec Dec 2017

Finance and Budgeting for NonFinance Professionals. Contents are subject to change. For the latest updates visit

Approve Assure Note. Board of Directors Meeting Report 31 July Agenda item 254/13. Title. Sponsoring Director. Authors.

A Case for Project Revenue Management. Peter Varani PMP

Cash & Liquidity The chart below highlights CTA s cash position at August 2018 compared to August 2017.

EMPLOYER S MUNICIPAL INCOME TAX WITHHOLDING FORMS

BUILDING ON FIRM FOUNDATIONS DELIVERING A SUSTAINABLE FUTURE ENHANCING OUTCOMES

Intermediate Reporting nvision Reports and Variance Analysis

2015 Global Metals, Mining & Steel Conference Barcelona, 12 May 2015

For financial adviser use only. Not to be used with retail clients. Guide to Backtesting

Durham Orange Joint Staff Working Group Meeting Agenda October 10, :30 pm 4:00 pm Durham City Hall, Transportation 4B

Budget Process Tools: Introduction to CalPlanning FY

Security Analysis: Performance

NORDEN RESULTS. Annual Report Copenhagen, Denmark 14 March Annual report 2017 CUSTODIANS OF SMARTER GLOBAL TRADE

Introduction by Philip Croessmann, V.P., Director of Risk Management Sources of Construction Claims Common Types of Construction Claims Risk

FINANCIAL MANAGEMENT STRATEGY REPORT ON OUTCOMES FOR THE YEAR ENDED MARCH 31, 2016

Strategic Plan Objective 1: World-Class Infrastructure that Promotes Growth

Factor Leave Accruals. Accruing Vacation and Sick Leave

THE KWAZULU NATAL ECONOMY A RISK AND CONDITIONS MONITOR 1 Update 16

PRESENTATION OF NORDEN

SmallBizU WORKSHEET 1: REQUIRED START-UP FUNDS. Online elearning Classroom. Item Required Amount ($) Fixed Assets. 1 -Buildings $ 2 -Land $

Tariff Application Financial Year 13/14

Capital Improvement Program Update

When determining but for sales in a commercial damages case,

Azerbaijan Challenges and Opportunities 11 May 2016 OFFICIAL USE

Pretoria Portland Cement Company Limited Beyond 2010 Unaudited interim results

PRESS RELEASE. Securities issued by Hungarian residents and breakdown by holding sectors. January 2019

GROUP INTERIM RESULTS (Reviewed) for the six-month period ended 30 June 2008

Calcom Vision Limited. FY18-19 Q2 (July-Sept 18) Investors Release 29 th October, 2018

Cash & Liquidity The chart below highlights CTA s cash position at March 2017 compared to March 2016.

Using projections to manage your programs

Mitchell Electric Charitable Fund PO Box 409 Camilla, GA (229) or FAX:

Cash & Liquidity The chart below highlights CTA s cash position at December 2017 compared to December 2016.

Generating significant business value

Transcription:

PMSA KZN Regional Conference, Durban, 16-17 September 2013 Critical challenges and dimensions to successful implementation of a large programme of inter-related capital projects Neville Searle, Associate, Hatch Goba Hatch Ltd 2013 05/2013

Agenda Background Large programme of inter-related projects Critical challenges Dimensions Successful implementation

Background personal experience... 1. Initiate: Combined/separate salt & pepper teams, commercial/finance, PMP 2. Plan: Corridor concept studies, Project Lifecycle Process (PLP) 3. Monitor & Control: Project management practice 4. Execute: Integrated rail, port, terminal programme with a common objective 5. Close: Share the knowledge for other programmes PMBok & Hatch: Portfolio (Programme) > Programme (Corridor) > Project (Project, Study)

Large programme of inter-related projects Large capital expansion programme, including four operating customers, 40+ projects & studies, 1100+ contracts, 44 million construction manhours, LTIFR 0.22, 0.0041% IR lost time, from 2005-201 and continuing... Railway lines Sishen-Saldanha iron ore, Hotazel-PE/Ngqura manganese, Ermelo- Richards Bay coal lines Port marine works Ngqura quay, Cape Town quay, Durban entrance widening and quays, Saldanha Bay dredging, others Terminals Ngqura, Cape Town, Durban container terminals; Durban Point car terminal; PE manganese terminal; Richards Bay dry bulk terminal; Saldanha Bay iron ore terminal Inter-related project Sishen-Saldanha iron ore rail, port, terminal (and mines)

Large programme of inter-related projects and studies * Project awards Saldana Bay Iron ore Cape Town Container terminal Iron ore Sishen/Beeshoek Port Elizabeth Manganese terminal C Ngqura East London Container terminal C C * Dry bulk terminal Richards Bay Durban Container terminal Entrance widening Car terminal Hatch Ltd 2013 * And many more concept, prefeasibility and feasibility studies

IMPLEMENTATION CHALLENGES FOR LARGE PROGRAMMES OF PROJECTS Oreline South Africa s 60mtpa iron ore export corridor Mine & process 60Mtpa load and move 600,000 of these in 3.5Km, 342 X 100t wagon trains.. Upgrade the system from 24mtpa to 60mtpa without disrupting ongoing operations..over 860Km of this single track..via 2 of these..into 400 of these 150,000 ton vessels.. and take all the empties back for re-use Hatch Ltd 2013

Critical Challenges Consistency and Control - ensure all studies and projects deliver to the overall programme scope, schedule, budget and... governance and standards Regulation & governance PFMA, procurement, internal & external audit, gate reviews Capital cash flow projections operations & projects Owner s controls SHERQ and procurement Multiple practices project management, engineering, procurement, construction... Terminology prefeasibility, feasibility study Programme management with various project management approaches Scale Mega, major projects, planning studies, execution projects Reporting tome vs. dashboard...

Critical Challenges Reporting MONTHLY PROJECT MANAGER'S DASHBOARD REPORT February-11 Project Status (R / A / G): G Corridor: Oreline Current Budget (R billion): R 0.000 Project No: 500119 Project Title: Oreline Rail Expansion - Phase 1C Project Start: 01-Sep-08 FEL Phase: 4 Project Manager: Dominic Singery Forecast Project Completion: 20-Mar-12 EXECUTIVE SUMMARY Postmasburg: PM Practice Assessment Port Link & Salkor Yard: Power Upgrade: PM Overall Previous Latest Yard Automation: 0% 84% Date of last assessment Nov-10 SAFETY HRS/Month 70 000 60 000 50 000 40 000 30 000 20 000 10 000 0 Feb-10 Mar-10 Movement this month R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 30 R 150 This month (to date) R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 Monthly baseline 10.1 R 0.0 FFC of HMG managed scope in R'm (i.e. excludes deferred scope) (Note: negative indicates shortfall on budget) R 20 R 100 Monthly Actual Annual cost flow forecast (R'm) Month on Month Reforecast R 10 R 50 Cumulative baseline 10.1 Prior Years 2009/10 2010/11 2011/12 2012/13 2013 + Total Cumulative forecast Current Baseline (latest CAPIC) R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0 R 0 Cumulative actual Current Target (Rev 10.1) R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 Cost R 0.0 Current forecast R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 Variance R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 FYTD Costflow Performance against Rev 10.1 baseline: Actuals R 0.0 Forecast R 0.0 Variance R 0.0 Variance% 0% 0% 0% 0% 0% 0% 0% (Note: negative indicates increase over baseline) Cost Flow PCN's Has the FFC changed this month (y/n) y this month (R'm) No. Value Forecast R 0.0 Raised to date 0 Practice Assessment (R'm) Actual R 0.0 Rejected 0 Previous Latest Variance R 0.0 Approved 0 R 0.0 93% 87% Variance % 0% Under consideration 0 R 0.0 Date of last maturity assessment Nov-09 SCHEDULE Key Project Milestones Original Current Forecast Forecast Change in Current 18% (Milestones, Gate Review s, Key Approved Approved Actual forecast baseline vs 17% Current monthly baseline Peer Reviews etc.) Baseline Baseline C alenda r last month this month forecast D ays 16% Monthly actual Project Start 01-Sep-08 0 0 Monthly reforecast 15% Current cumulative baseline 1 Port Link - H/O to Operations 30-Jun-10 21-Oct-10 03-Dec-10 04-Feb-11 63 106 14% Cumulative forecast 13% Cumulative actual 2 Port Link - Elec. Services - H/O 30-Jun-10 25-Nov-10 11-Feb-11 25-Feb-11 14 92 12% Original cumulative baseline 3 Salkor/Port - Yard Autom. - H/O 30-Jun-10 07-Mar-11 18-Mar-11 18-Apr-11 31 42 11% 4 Salkor Yard - Earthworks - H/O 09-Apr-10 21-Oct-10 09-Feb-11 18-Feb-11 Schedule 9 120 10% 9% 5 Salkor Yard - Perway - H/O 22-Jun-10 04-Oct-10 10-Dec-10 10-Feb-11 62 129 8% 6 Salkor Yard-H/O to Operations 30-Jun-10 28-Oct-10 16-Feb-11 25-Feb-11 9 120 7% 6% 7 Wagon Workshop - H/O 30-Jun-10 19-Jul-11 21-Nov-11 21-Nov-11 0 125 5% 8 Salkor Yard Access Rds - H/O 31-Aug-11 26-Sep-11 12-Sep-11-14 12 4% 9 Wagon Jacking Station - H/O 30-Jun-10 16-Mar-11 19-May-11 19-May-11 0 64 3% 2% Project Delivery Complete 30-Jun-10 31-Aug-11 21-Nov-11 21-Nov-11 0 82 1% Project Close-out complete 28-Sep-10 10-Dec-11 20-Mar-12 20-Mar-12 0 101 0% (Note: negative equals a reduction in days) Postmasburg: Port Link & Salkor Yard: Performance (Last Month) Performance (This Month) Has the critical path changed this month (y/n) n Engineering, For month To date For month To date construction, risk, quality... overleaf Planned Progress 1.1% 90.0% 2.0% 92.0% Practice Assessment Power Upgrade: Actual Progress Variance Apr-10 LTIFR Injuries for the month Postmasburg: LTIFR Chart (12 month rolling) Project to date (200K hrs) 0.37 LTI MTC FAC 0.60 Port Link & Salkor Yard: Date of last LTI 12-Aug-10 0 0 1 0.50 0.40 Hrs since last LTI 133 804 0.30 % of planned observations achieved 93% (current month) Power Upgrade: 0.20 Health & Safety Total Hrs to date 527 697 0.10 Yard Automation: Hrs current month 27 672 Compliance Audit Practice Assessment 0.00 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 0.3% 84.7% 2.8% 87.5% Dec-10 Jan-11 LTIFR Prev. Latest Previous Latest Dates of audits Dec-10 Jan-11 92% 83% Month Monthly Hrs Monthly LTIFR LTIFR Base Line Outstanding critical findings 0 0 Date of last assessment Jun-10 ENVIRONMENTAL ROD and EMP Milestone dates Incidents Postmasburg: NCR's Baseline Forecast Forecast Major Minor Obs. Milestone Actual (yyyy/ mm / dd) Port Link & Salkor Yard: last month this month No. Findings 0 12 3 0 Record of Decision 24-Apr-06 No. Closed 0 12 3 0 EMP 31-Oct-06 No. Open 0 0 0 0 Power Upgrade: Environment Practice Assessment Yard Automation: Previous Latest Last environmental audit result 94% 92% 94% Date of last environmental audit Aug-08 Date of last assessment Nov-10 COST R 60 R 300 Project Cost Report (R'm) - to date 2010/2011 Cost Flow Performance against Rev 10.1 baseline Original Approved Current Committed Expended Budget / FFC R 50 R 250 FFC Budget Changes Budget to date to date Variance R 40 R 200 Last month (to date) R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 R 0.0 Previous Latest 0% Hatch 89% Limited, 2011-0.8% -5.3% 0.8% -4.5% Yard Automation: (Note: negative equals under performance) Date of last maturity assessment Jul-09 R' million (monthly) Sep-08 Apr-10 Oct-08 Nov-08 May-10 Dec-08 Jan-09 Jun-10 Feb-09 Mar-09 Jul-10 Apr-09 May-09 Jun-09 Aug-10 Jul-09 Aug-09 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 110% Project Progress Curve 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Sep-09 Oct-09 Nov-09 Dec-09 Jan-10 Feb-10 Mar-10 Apr-10 May-10 Jun-10 Jul-10 Aug-10 Sep-10 Oct-10 Nov-10 Dec-10 Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 R' million (cumulative) Show me how I am measured.. Traffic Lights And I will show you how I will perform

Dimensions Four dimensions Horizontal Separate operations from projects; programme > corridor > project > area. Vertical Practices (Knowledge Areas) PM, controls, engineering, etc. Depth PLP phases concept, prefeasibility, feasibility, execution, Close PMBoK Process Groups Initiate, plan, execute, monitor & control, close each study and project (Commercial, Setup, Execute, Controls, Close-out)

Programme, Project and Practice Matrix What to do and When to do it? (Scope, Schedule, Cost) Healthy Conflict Who to do it and How to do it? (Tools, Processes, People)

PLP Front End Loading phases

PMBoK stages, practices and PLP phases PMBoK Large Capital Project Discipline (Knowledge Area) PM, Controls, Schedule, Cost, Quality, Resource, Risk, Communications, Procurement Engineering, Construction Document Management, Health & Safety Environmental & Sustainable Development Business Case, Operational Readiness Industrial Relations, Legal Accountability FEL-1 Concept Setup Execute Close Project PLP Phases (& Process Groups) FEL-2 Pre-feasibility Execute Setup Close FEL-3 Feasibility Execute Setup Close FEL-4 Execution Execute Setup * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * * Close

Successful implementation Looking back from a programme perspective... 1. Initiate: Owner/contractor integrated programme management organisation 2. Plan: Programme and practice functional execution plans, processes, templates, procedures, systems/tools, PLP 3. Execute: Recruit and train the team, embed the systems (tools, processes), execute the projects 4. Monitor & control: Internal & external audit, acquisition council, monthly dashboard & programme reporting 5. Close: Handover to owner s programme management organisation

Successful implementation Level of Effort Project Start Planning & Setup phase Successful project Time Unsuccessful project Construction & Commissioning phase Sweat and Tears Curve Project Finish Dave Bush, TCP Director Oreline Corridor, 2010: HMG JV is responsible for a paradigm shift within TCP when it comes to safety performance and HMG will leave a legacy behind within TCP as well as Transnet Moira Moses, Group Executive, Transnet Capital Projects, 2012:... the joint venture provided almost two thousand resources... Hatch is to be commended on the management of all aspects of human capital Industrial relations was always top of mind... with the result that minimal time was lost across the programme, even during the strikes... What was incredibly helpful for me was the quality, accuracy and consistency of the Hatch reporting system Hatch has certainly delivered on its mandate and provided value for money I would like to thank you and all of the Hatch team who have contributed to the Transnet build programme. It has been a privilege working with such a great group of people Fazeel Christian, Acting Project Director, Oreline, 2011: In the 2 years I ve been involved in this project, I ve been privileged to work with an excellent project team... Well done to the team and thanks once again on behalf of Transnet. Hyperlink to video