Asset Delivery The Benefits of National Programmes Investment Stephen Seymour Capital Programmes Portfolio Delivery Manager

Investment Challenges Portfolio, Programme and Project Management Summary Investment Challenges Portfolio, Programme and Project Management Application Examples Benefits People often ask me what is programme management I will try to demistify this When I joined IW I was told that I was now a programme manager When I looked into it, programme management is defined as the management of a group of projects linked by a common theme. I thought, I have done that before. I will look at portfolio, programme and project + interdependencies Want you all to leave with understanding + opportunities I will look at how we apply this with a few examples and how it allfits together and benefits for whole industry First I will set the scene by talking briefly about the challenges we face

Strategic Planning Context (25 Year Plan) Water Services Strategic Plan National Water Resources Plan Disinfection Rationalisation Lead THMs Urban Waste Water Compliance Strategy Staged Approach National Sludge Management Plan Capital Investment Plan 17 – 21 Projects and Programmes Asset Policies Asset Standards Asset Data Set the scene WSSP sets out the strategic objectives – translated into a series of strategic plans These converted into targets for which programmes are developed Out of this comes the CIP 2017 - 2021

1,000s of Unrelated Projects Investment Challenges BRICK WALL 1,000s of Unrelated Projects Ireland is a modern economy – unfortunately do not meet current and future Aging treatment plants - Decaying equipment – victorian infrastructure To tackle this we have to deliver an investment plan – first stage is €2.5 bn over 5 years Utility – report recession

Portfolio, Programmes & Projects: Levels of Visibility and Control PORTFOLIO MANAGEMENT PROGRAMME MANAGEMENT PROJECT MANAGEMENT Project M most familiar Safely, on time, inbudget and achieve objectives Must live with the project, get into the fine detail and take ownership The PM is the pilot The PMs are the foundation stone of the pyramid Programme management – bundle of projects – theme – technical, geographical, procurement Programme manager – overview – works with PM If a project is drifting, he will work with PM and look at other projects that might be accelerated. His aim is to achieve the programme objectives NOT – micromanage PM, manage projects, get into the detail of every decision If programme manager cannot resolve issue he turns to the portfolio manager High level view – looks at external environment and to the future – turbulence – risks – data and trends

Programme Management - Application AGILE SAFETY PEOPLE COLLABORATION EFFICIENCY STANDARDISE PROGRAMME MANAGEMENT In practical terms want to highlight a few key aspects Programme management – the red cog – high level – risks, issues, data, trends, taking to all involved Collaboration – between all parties to the works – scoping, procurement, design, construction, commissioning and handover Safety – right to go home unharmed, all preventable, a lot of good work done and ongoing with people n this room, embrace as a core value People – deliver projects, programmes – need to attract people into industry – offer opportunity to gain experience and develop so they have confidence to make decisions necessary to deliver the investment Agile – need to be flexible to meet emerging needs of the business – drought – programmes and contracts underpinning them Efficiency – can be achieved through challenging the status quo + doing things differently or better Standardisation – key to delivering both capital and operational efficiencies in the future

Programme Management – Sustainable Contracting Model Sustainable Delivery Model Forward Planning - Visibility Standardisation Working with of SMEs National & Regional Contracts Reduced Volume of Tenders Offsite Construction Alternative Procurement Models If programme management relies on high levels of collaboration then a sustainable contracting model is an essential component of this Longer contracts – forward planning, visibility – contractor investment, low tendering Alternative procurement – ECI, national and regional contracts Technical innovation – background picture Work with supply chain – don’t need a turnover of €100m to deliver a programme Longer Contracts – Facilitate Contractor Investment Target Cost Contracts Technical Innovation Collaboration with Supply Chain Efficient Use of Resources

Example 1 Capital Programmes - Disinfection Programme Contracts Awarded Programme Objectives Achieve Disinfection Reduce risk Standardise Control Philosophy Donegal* 900 WTPs €60 Million 4-5 Years Monaghan Sligo Leitrim Cavan Mayo Roscommon Louth Longford Meath Galway Westmeath Fingal * & Dublin City Galway City South Dublin & Dun Laoghaire Rathdown Offaly Kildare Laois Wicklow Clare Carlow 900 WTPs needed review and upgrade in short space of time Start scoping mid 2015; now have assessed 550 WTPs Works commenced on 220 sites with 125 sites commissioned Over 70 into rationalisation Only 785 WTPs still in operation Benefits – adequate disinfection and can prove it Standardisation – equipment – process Standard control philosophies Risk reduced to acceptable levels Reporting Standard national reports Can see trends and leading indicators Contractor performance reports EPA reports Tipperary Kilkenny Limerick Wexford Key Glan Agua Veolia Coffey EPS Murphy Waterford Kerry Cork Cork City

Example 2 Capital Programmes - Sewer Rehab Previous Approach Individual contracts Limited coverage Funding allocation limited Blanket coverage - no risk based approach Current approach Risk based logic for decision making Prioritised national programmes Standardised survey, data management Standard Sewer Rehabilitation Specification Reduced Unit cost go to Cavan for half a day or go for three weeks. |

Business Strategy to Project Management Business strategy drives the portfolio development and delivery into programmes and projects Outputs from projects – outcomes from programmes – benefits for business – achievement of strategic initiatives Safe and reliable drinking water supply

Moving to a Programmed Approach 2014 – none, 2018 50%; 2024 80% The challenge for the industry as a whole is to deliver this investment plan, better we can define scope, provide visibility and long term planning, the better we will be able to operate as an industry

Benefits Of Programmed Approach Meet Investment Challenge Visibility & Control Efficiencies & Value Higher Safety Standards Managing Risk Forward Planning Adopting the programmed approach will allow us all to work more closely, plan our work better and deliver larger volumes of investment more efficiently. We all need to adapt our thinking and our ways of working. The programmed approach is an evolution of our traditional approach rather than a massive change to the system. Thank you, I have enjoyed speaking and trust I have give some insights to the way we work | Social Media Dublin 2018

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