LogiKal Projects We will make your Project Controls work LogiKal Projects – Perth 8th Floor, 41-43 St Georges Tce, Perth 6000 +61 8 6140 2577 Email: info@logikal.co.uk Web: www.logikalprojects.co.uk Twitter: @LogikalLtd LogiKal Projects – Brisbane 320 Adelaide St, Brisbane 4000, QLD +61 7 3182 1179 Email: info@logikal.co.uk Web: www.logikalprojects.co.uk Twitter: @LogikalLtd LogiKal Projects – Hong Kong 9th Floor, CRE 303 Hennessy Rd, Wan Chai +852 8197 8088 Email: info@logikal.co.uk Web: www.logikalprojects.co.uk Twitter: @LogikalLtd LogiKal Projects - London 27-29 Cursitor Street, London, EC4A 1LT +44 207 404 4826 Email: info@logikal.co.uk Web: www.logikalprojects.co.uk Twitter: @LogikalLtd

Recent Trends in Project Controls Survey Results PROJECT CHALLENGE 11TH October 2016

Performance Measurement Project controls are the data gathering, management and analytical processes used to predict, understand and constructively influence the time and cost outcomes of a project or program; through the communication of information in formats that assist effective management and decision making. Scope Control Schedule Management Cost Management Risk Control Performance Measurement Performance Management Change Management Quality Management

Welcome – and purpose of this session Explain why we did the survey Review the results and our interpretation Discussion on implications Are we drawing reliable conclusions? What should we be doing to influence the agenda? http://www.logikalprojects.com/dev/wp-content/uploads/2016/02/Logikal-Survey-Final-Report1.pdf

Limited published quantitative evidence to support this assertion Why we did the survey? We know from experience that strength in project controls affects project outcomes Limited published quantitative evidence to support this assertion Clients struggling with investment case: ROI Confidence We wanted to get a rounded view on: Current status of project controls in organisations Perceived relationship between strength in project controls and outcomes Working in a business which helps organisations with their project control solutions we already know the value which is brought by a great management solution However, we are often working with clients who are challenged to support the business case for investing in the capability The KEY thing though is to understand whether there is at least a perceived relationships between standards or control systems for projects and the OUTCOMES which are experienced.

Survey of opinion rather than fact 347 respondents to date About the survey Link sent to our contact groups – therefore biased towards UK / APAC and Infrastructure / Transport / Energy / Construction Survey of opinion rather than fact 347 respondents to date Questions relating to: Overall status of project controls Recent experience of project outcomes Specific status / trends in People / Process / Systems Information imported into analytics tool for segmented analysis NOT going to claim that this is STATISTICALLY a perfect sample - it isn’t It is though a fair cross section of people involve in our contact groups The results should therefore be regarded as indicative rather than conclusive – but I do believe they add a lot of colour to our understanding of the current situation

Respondents Sample is heavily weighted to our home markets in UK and APAC regions And heavily weighted towards infrastructure clients

Importance of project controls How does your organisation currently rate the importance of Project Controls in the management of projects and portfolios? Strong consensus view that it is regarded as important: 89% respondents saying their organisations regard it as at least important 60% of organisations saying it is very important or critical

Effectiveness of project controls How effective are Project Controls in delivering strong and predictable outcomes in your organisation’s projects? 85% regard project controls as at least ‘generally effective However, 56% identify that there are gaps or that controls are weak or ineffective.

Effectiveness by region

Effectiveness by sector

We asked respondents to rate outcomes from recent projects………….

And so…….what is the relationship between the two……..

PEOPLE

Skill levels…..

What about data usage Respondents reporting successful projects much more likely to be reporting good use of data However, this is still less than half of the relevant category – so data usage appears to be weak

PROCESS

Overall process status

Process effectiveness……. Significant difference in ratings overall between categories Respondents reporting unsuccessful outcomes also reporting lower scores for risk management / performance measurement / management Respondents reporting successful outcomes reporting stronger scores for Schedule / Performance measurement and Gateway approval

Process scores of 8 and above

Process integration generally low

But strong integration seems to be linked with better outcomes

SYSTEMS

Schedule control – P6 dominates

Cost and Risks Management appear to be mainly based on Excel

Integration…..overall integration remains quite rare

But links well to successful outcomes…..

BIM is emerging but links to project controls currently low….

CONCLUSIONS

So what do we conclude……… Project controls is regarded as an important discipline – capability is improving steadily Based on the views of respondents, organisations with stronger project controls tend to achieve better outcomes A significant gap between required and actual skills remains Strengths in Schedule, Performance Management, and Gateway management are strongly associated with project success Weakness in Risk and Performance Management are associated strongly with project failure With the exception of P6 which dominates for schedule management, controls remain very dependent on the use of Excel Systems and Process Integration is reported as weak in most cases BIM capability is emerging but is not generally associated with project controls

Look at their current capability status in controls Organisations with high dependence on project outcomes may wish to……….. Look at their current capability status in controls Pay particular attention to effectiveness in Risk / Performance Management and Gateway Management Consider integration opportunities for both systems and processes Consider building a business case for increased capability based on outcome improvement

How? Project Control Maturity Assessment

Questions? http://www.logikalprojects.com/dev/wp-content/uploads/2016/02/Logikal-Survey-Final-Report1.pdf