NCSX Strykowsky 1Independent Project Review (IPR) June 8-9, 2004 NCSX Project Review June 8-9, 2004 Cost, Schedule, and Project Controls Ron Strykowsky

NCSX Strykowsky 2Independent Project Review (IPR) June 8-9, 2004 Project Performance –Challenging plans being met with critical path tasks on track –Milestones being met Budget Status –Budget baseline is sound –Change control process successful –Contingency balance is reasonable Manpower –People being brought on to support project –ORNL/PPPL partnership successful in manpower/scope assignments Project Controls –Successfully implemented –Provides early warning for management action Overview

NCSX Strykowsky 3Independent Project Review (IPR) June 8-9, 2004 Project Performance Good success in securing resources to support baseline schedule

NCSX Strykowsky 4Independent Project Review (IPR) June 8-9, 2004 Project Performance Project performance to date has been good Critical Path Tasks on track. Some slippages in non-critical path tasks. Responded to Evolving Technical challenges with minimal cost growth.

NCSX Strykowsky 5Independent Project Review (IPR) June 8-9, 2004 Project Performance Variance tracked well during a technically challenging period WBS 141 Modular Coil Winding Form Final Design incl prototypes drove project cost & schedule variances

NCSX Strykowsky 6Independent Project Review (IPR) June 8-9, 2004 Project Performance Critical path through; modular coil fabrication and assembly winding r&d, design and component fabrication TF Coils and Vacuum Vessel secondary critical paths Critical Path 5.5 months contingency

NCSX Strykowsky 7Independent Project Review (IPR) June 8-9, 2004 Project Performance Milestones achieved on or ahead of schedule Project Milestone Status

NCSX Strykowsky 8Independent Project Review (IPR) June 8-9, 2004 Project Performance Currently, almost half way through total project design! Planned to be 2/3 rd complete by CD-3

NCSX Strykowsky 9Independent Project Review (IPR) June 8-9, 2004 Budget Status Changes to Date Change control process being followed – Provides a disciplined approach for documenting and approving changes Engineering Change Proposals (ECP’s) document baseline changes – DOE approved

NCSX Strykowsky 10Independent Project Review (IPR) June 8-9, 2004 Budget Status Future Changes Cost growth to be documented in future ECP

NCSX Strykowsky 11Independent Project Review (IPR) June 8-9, 2004 Budget Status Cost Risks & Opportunities (to be quantified in September Re-estimate) Current EAC highlighted potential cost & schedule risks WBS and Project Engineering developing mitigation plans Some cost growth likely early feed back from vendors cost variances to-date

NCSX Strykowsky 12Independent Project Review (IPR) June 8-9, 2004 Manpower Manpower Needs Being Met Institutionally managed & satisfied Manpower is estimated and budgeted by skill for the total project (shown on the resource loaded master schedule) Manpower planned by individual name for the current fiscal year (shown on the resource loaded master schedule) Manpower plan used as input to the overall PPPL budget system Skill mismatches flagged for the current fiscal year and 2 year look- ahead Engineering department reconciles manpower allocations by project and secures temporary manpower to supplement short term needs. Flexibility in assigning scope between PPPL & ORNL to maximize utilization of existing skills Transitioning from Engineer to Technician Intensive Scope

NCSX Strykowsky 13Independent Project Review (IPR) June 8-9, 2004 Project Controls Project Control System in place and being used successfully in flagging current and future cost/schedule issues NCSX Implementation review & approved Feb 2003 Key Features Planning Integrated & linked resource loaded schedule (1,280 tasks in Primavera) Monitoring Monthly progress status meetings conducted Estimate At Completion’s (EAC), manpower and cost addressed Prototype vendors submit cost, EAC and earned value status reports Reporting - Full compliment of reports produced Earned value reports, milestone status, analysis, management reserve analysis, major contract cost status Project metrics – contingency drawdown, performance indices (CPI/SPI), percent complete Change Control Engineering Change Proposal (ECP) process successfully used to validate and document changes Management Overview Weekly System Integration Team (SIT) meetings Integrated Project Team (IPT) meetings Weekly Senior Laboratory Management meetings

NCSX Strykowsky 14Independent Project Review (IPR) June 8-9, 2004 Conclusion Project schedule is reasonable and “do-able” Early design milestones being met Resources available No change to fundamental critical path Technical challenges remain Budget baseline is adequate Cost growth recognized BUT within plans - no surprises Contingency being selectively used to fund scope increase, mitigate future uncertainties Three major cost uncertainties remain, however, adequate contingency remains Manpower is being provided with support from PPPL and ORNL Management Project control system (process) is operating successfully Change control providing the discipline to validate and document changes Valuable metrics on project performance Flags potential cost and schedule impacts