Table of Contents
Preface xix
Acknowledgements xxi
Introduction 1
Part I Projects and Their Management 5
Section A Project Characteristics and Phases 6
1 Characteristics 7
2 Phases 8
3 Project Patterns 11
4 Reasons for Projects 12
5 Project Needs 12
Section B Project Management Characteristics 14
1 Models 16
2 Characteristics 18
3 Key Management Decisions and Phases 20
4 Project Management Patterns 24
Section C Execution Planning Influences 26
1 Project Characteristics, Size, and Complexity 26
2 Strategic Decisions 27
3 The Historic Nature of an Industry 30
4 The Characteristics of the Industry/Business Sector 31
5 Phases and Schedule 41
6 Execution Planning 41
7 Generic Influences on Project Execution 42
Section D The Project Management Role 43
1 Strategic and Contractual 43
2 Organizational and Functions 43
3 Responsibilities and Orientation 46
4 Competencies and Leadership 47
5 Abilities and Skills 48
6 The Project Manager 50
Section E The Manager of Projects 52
1 Financial Situation 52
2 Scope of Work and Change Orders 54
3 Project Progress and Status 54
4 Health, Safety, and Environment 56
5 Quality Audits and Status 56
6 Risk Management 56
7 Client Relations 56
8 Formal Reviews 56
9 The Project Management Group 57
10 Evaluating a Project Manager 57
11 The Manager of Projects and the Client(s) 58
Section F The Owner and Client 59
1 Some Fundamentals 59
2 Cost and Planning 61
3 Things to Watch 61
4 Most Important of All – Safety 62
Section G Achieving Success 63
1 The Project Management 66
2 Alignment of Objectives and Client-Contractor Relations 67
3 Involvement of Users 68
4 Get and Build the Right Team with Clear Roles and Responsibilities 70
5 Clear and Complete Scope Definition 70
6 Thorough Planning of the Work 71
7 Planning Communications 72
8 The Efficiency of the Project Launch Phase 73
9 Change Control 74
10 Effective Decision Making 74
11 Tackle Things Today – Tomorrow They Will Be Bigger 75
12 Conclusions for Success 75
Part II Programme Management 77
Section A Programme Management – What’s in A Name? 78
1 Programme Management Conclusions 79
2 Summarizing Programme Management 80
3 Key Roles for a Programme Manager 81
Section B Business Change Programmes 82
1 Blueprint 82
2 Programme Organization 82
3 Change Stakeholders 83
4 Benefits Realization 83
5 Gate Reviews 84
6 Project Controls 84
7 Terminating the Programme 85
Section C Management of Portfolios 86
Part III Feasibility and Contracting 89
Section A Feasibility Studies 90
1 Feasibility Study Plan 91
2 Defining the Project 92
3 The Feasibility Report 92
4 Proposed Execution Plan 94
5 The Next Step 95
Section B Contracting Strategy Considerations 96
1 Business Strategy and Stakeholder Alignment 96
2 Regional and Local Factors 96
3 Market Intelligence 97
4 Prequalification Processes 97
5 General Contracting Issues 98
Section C Issuing an Enquiry 103
1 Enquiry Preparation Phase 103
2 Tendering Phase 106
3 Evaluation Phase 106
Section D To Tender or Not to Tender 109
1 The Tendering Decision 109
2 The Tender Decision Analysis 110
3 The Final Tendering Decision 113
Section E Tendering and Proposal Phase 115
1 Tendering Preliminaries 115
2 Developing the Tender or Proposal – In-house Work 117
3 Coordinating with Third Parties 121
4 Coordinating with the Client 121
5 Commercial 122
6 Reviewing the Tender or Proposal 124
7 Before Submitting the Tender or Proposal 125
8 After Completion of the Tender or Proposal 125
9 Proposal Team Presentation 126
10 Possible Client Questions for the Proposal Team 129
Section F Contracts 131
1 Starting Work 133
2 Awarding Contracts 134
3 Contract Document 134
4 Contract Awarded 136
5 Contractual Issues 137
6 Some Contractual Reminders 138
7 Discharge of a Contract 138
Part IV Project Execution 139
Section A Project Launch 140
1 Project Checks 142
2 Project Objectives 143
3 Scope Launch 144
4 Team Launch 144
5 Execution Launch 145
6 Launch Controls 145
7 Hold Kick-Off Meeting 146
8 Kick-Off Meeting Agenda 146
9 Kick-Off Schedule 148
Section B Establishing An Office 150
Section C Getting Organized 152
1 Setting up the Project Infrastructure 152
2 Controlling the Documents 154
3 Responsibilities 155
4 Procedures 156
5 Project Execution Plan 156
6 Formalities 157
7 Project Insurance 157
8 Some Advice 158
Section D Mobilization 159
Section E Client Relations 161
Section F Scope 163
1 Scope Documents 164
2 Changes to the Scope 164
3 Work Packaging 164
Section G Estimates and Budget 166
1 Establishing the Estimate(s) 167
2 Trend Programme 167
3 Allowances 168
4 The Budget 168
Section H Accounting 170
1 Looking after the Finances 170
2 Bonds 172
Section J Planning and Scheduling 173
1 Getting Organized 173
2 Planning 173
3 Scheduling 174
Section K Project Controls 176
1 Setting Up 177
2 Progress and Reporting 178
3 Cost Progress and Control 179
4 The Critical Path 179
Section L Variations/Changes/Claims 181
1 Trend Base Estimate 182
2 Trend Meetings 183
3 Potential Trends 184
4 Claims for Changes 184
5 Managing Claims 186
6 Resist Change 187
Section M Reporting 188
1 Reporting Cycle 188
2 Visibility 189
3 Progress Reporting 190
4 Progress Report 191
5 Cost Reporting 192
Section N Project Meetings 193
Section O Design 195
1 Getting Organized 195
2 Reviewing the Design 196
3 Some Specific Design Ideas 198
4 Construction Issues 198
Section P Procurement 200
1 Getting Organized 200
2 Evaluating Suppliers 201
3 Expediting and Inspection 202
4 Some Specific Procurement Ideas 202
5 Payment Terms 204
Section Q Installation and Construction 205
1 The Key Staff 205
2 Construction Planning 207
3 Work Packaging 210
4 Construction Site Work 210
5 Some Specific Construction Ideas 213
6 Establishing Authority 214
Section R Subcontracting 215
1 Questions to Ask Before Subcontracting 215
2 Contracting Checks 216
3 Management Issues 217
4 List of Some Subcontracts 217
Section S Commissioning and Setting To Work 219
Section T Contract Completion - Close Out 222
1 Handover of Documentation 222
2 Handover of Equipment 223
3 Clean Up 223
4 Disposal of Surplus Material 223
5 Closing Contracts 224
6 Financial Matters 225
7 Close Out 225
Section U Post Project Activities 227
1 Completing the Records 227
2 Post-project Appraisal – Internal Performance Review 227
3 Project/Client Review Meeting/Lessons Learned 228
4 Historical Report 230
5 Client Follow-up and Marketing 230
6 Internal Projects Benefits 231
Part V Specialist Topics 233
Section A Completed and Inspected Work 234
1 Completed Work 234
2 Inspecting Work 236
Section B Coordination Procedure 238
1 Basic Organizing Information 238
2 Coordination with the Company 239
Section C Cultural Issues 243
1 Some Definitions of Culture 243
2 A Seminal Grouping of Cultures 244
3 Some Cultural Issues to be Aware of 244
4 Management Style 246
Section D Documentation 247
1 Contractor’s Own Documents and Drawings 247
2 Vendor Drawings and Documents 249
Section E Estimating and Contingency 250
1 Types of Estimate 250
2 Estimate Planning Sequence 252
3 The Estimating Process 253
4 Estimate Information and Content 255
5 Contingency Estimation 259
Section F Filing and Archiving 261
1 The Filing System 261
2 Archiving 263
3 Master File Index: Recommended Minor Categories and Suggested Subjects 264
Section G Financial Appraisal 270
1 Cash versus Profit 270
2 Simple Project Appraisal Methods 272
3 Payback 273
4 Discounted Cash Flow Techniques 273
5 Internal Rate of Return – IRR 276
6 Sensitivity and Risk Analysis 277
7 Financial Appraisal Conclusion 277
Section H Incoterms® 280
1 Rules for Any Mode or Modes of Transport 280
2 Rules for Sea and Inland Waterway Transport 281
3 Transfer of Risks and Obligations 281
4 Sellers’ and Buyers’ Detailed Obligations 282
5 Additional Information 282
Section J Joint Associations 283
1 Reasons for Joint Association 283
2 Documentation and Legal Requirements 284
3 Selecting a Partner 284
4 Joint Association Risks 285
5 Steps to Evaluate Joint Associations 285
6 Key Issues for a Joint Association 287
7 Steps in Tendering 288
8 Control of the Work 289
9 Financial Control 289
10 Essentials for Success 290
11 Why Joint Associations Fail 290
Section K Performance Appraisals 292
1 Purpose and Preparation 292
2 The Interview 292
3 Post-interview Actions 293
Section L Performance Measurement and Earned Value 295
1 Design/Engineering Performance 295
2 Procurement Performance 297
3 Construction Performance 297
4 Practical Performance Details 298
5 Linking Deliverables to Programme 299
6 Recording and Comparing Data 300
7 Earned Value Terminology 302
8 Useful Health Ratios or Indices 302
Section M Risk and Risk List 303
1 Process Model 304
2 Prioritising Risk 306
3 Risk List 309
4 People and Risk 312
5 Country Risk Assessment 313
Section N ‘S‘ Curves 315
1 Interpreting the Curves 315
2 Change Orders 319
Section O Site Checks 323
1 Country Data 323
2 Site Data 323
3 Local Authorities 323
4 Suppliers and Local Contractors 323
5 Labour Availability 324
6 Non-manual Employees 324
7 Housing and Camp 324
8 Shipping and Handling 325
Section P Surety Bonds 326
1 Types of Bonds 326
2 Characteristics of Bonds 328
Section Q Selecting and Building the Team 329
1 Selecting the Team 329
2 Building the Team 332
3 New to the Team 336
Section R Team Roles 337
1 Specification of the Eight Team Roles 337
2 A Suggestion for a Project Manager 341
3 Matching the Roles to the Project Process 342
Section S Value Management/Engineering 343
1 VM/VE Process 343
2 Group Process 346
Part VI Skills Check Lists 349
Section A Communications 350
1 Correspondence 351
2 Documents 353
3 ElectronicMedia 354
4 Oral 357
5 Social 358
6 Visual 359
7 Other Communication Tools 359
8 Translators 359
9 A Difficulty 360
10 Some Reminders 361
Section B Leadership and Motivation 362
1 Consensus to Dictatorial Continuum by Tannenbaum and Schmidt 363
2 The Three S’s of Group Communications 364
3 Situational Leadership by Kenneth Blanchard and Dr. Paul Hersey 365
4 Task, Team, Individual – Action Centred Leadership by John Adair 367
5 Leadership and Management Roles 368
6 Management by Walking/Wandering Around MBWA 369
7 Responsibility 369
8 Leadership – More Than a Management Model 370
9 Thoughts for the Day 371
Section C Managing and Conducting Meetings 373
1 Planning the Meeting 373
2 The Agenda 374
3 Manage the Process and the People 375
4 Control the Discussion 377
5 Construct Decisions and Summarize 378
6 Record and Notify 379
Section D Negotiation 381
1 Preparation for Negotiation 381
2 Discuss Interests 382
3 Signal 382
4 Propose for Movement 383
5 Package 383
6 Bargain 383
7 Close the Deal 383
8 Agree the Deal 383
9 Techniques and Tricks 384
Section E Personal Skills 386
1 Planning an Interaction with Others 386
2 The Exchange 387
3 Asking Questions 388
4 Changing Style 388
5 Team Role Style 390
6 Finalizing the Interaction 391
7 Giving and Receiving Feedback 391
8 Dealing with Difficult People 392
9 Being Angry 394
10 Priorities 395
11 Time Management 395
12 Learning 396
13 Motivating Skills 397
14 Some Personal Advice 397
15 Questionnaires 398
Section F Politics in Projects 399
1 Typical Destructive Behaviour 400
2 Dubious Behaviour? 401
3 How Politics Can Affect a Project 402
4 Some Advice 403
5 Something to Think About 405
Section G Presentation Skills 406
1 Fundamentals for All Presentations 406
2 Format for a Presentation to Inform/Explain 408
3 Presentation to Influence/Convince 409
4 Presentation Expressing a Viewpoint/Opinion 410
5 Team Presentations 410
6 Your Audience 411
7 Presentation Skills Analysis 412
8 Organizing the Location 413
9 Visual and Other Aids 415
10 Dealing with Questions 416
11 Summarizing a Presentation 417
Section H Prioritising Techniques 418
1 Group Work Using Flip Charts 418
2 Graphical Plots 418
3 Binary Decision-making 420
Section J Problem-solving Process 422
1 Define the Problem 423
2 Define the Objectives and Success Criteria 423
3 Analyse the Problem 423
4 Create and Propose Solutions 424
5 Evaluate, Forecast Consequences, and Select 424
6 Recommend, Plan Action, and Implement the Solution 425
7 Evaluate the Outcome and Follow Up 426
Section K Problem-solving Techniques 427
1 Brainstorming 427
2 Check Sheets 428
3 Pareto and Other Diagrams 429
4 Cause and Effect – Ishikawa or Fish Bone Diagram 430
5 Force Field Analysis 430
Section L Report Writing 433
1 The Report Objective 433
2 The Reader 433
3 The Material for the Report 434
4 The Report Structure 435
5 The Executive Summary 435
6 Introduction to the Report 435
7 The Body of the Report 436
8 Writing the Report 436
9 Conclusions and Recommendations 438
10 Appendices 439
11 Finalizing the Report 439
Abbreviations 441
Index 447
