1. Raed Project Project Management Team King Fahd University of Petroleum & Minerals Dhahran 31261, Saudi Arabia June 13, 2005 2 nd Meeting of The Executive Steering Committee

2.  Progress and Cost To Date  Project Management Plan  Methodology  Scope management  Schedule management  Cost management  Organization & team development  Procurement plan  Quality management  Risk management  Communication plan  Earned value management  Professional responsibility  Critical Issues Outline

3. Progress To-Date

4. Cost To-Date AmountItemDate 1,380Lunch for kick-Off meeting (46 persons)March 30, 2005 90Coffee break during seminar by Dr. Andijani (90 persons)April 24, 2005 900Lunch followed by seminar by Dr. Andijani (90 persons)April 24, 2005 785.55Telephone charges for SunGard SCT Conference callsApril 27, 2005 1,200Exit & Re-entry visa (6 persons @ SR 200)May 25, 2005 5,160PeopleSoft Demo Meeting (43 persons @ SR 120)May 25, 2005 9,516 Total

5. Methodology Select ERP System Select Implementer Review Processes Configure/ Customize Systems Migrate Data Train End Users Improve Business Processes Goals & Objectives As-Is Workshop To-Be Workshop System Orientation Finalize Processes

6. Modeling & Analysis of AS-Is Processes Objectives Provide a framework for understanding processes Model as-is business process Model business objects/entities Effectively measure and analyze processes Identify areas for process improvement Map interfaces Model and analyze as-is processes Team building Give the project a jumpstart Emil Ansarov Schedule: July 2 - 6, 2006

7.  Drive intense competition among vendors  Acquire licenses in stages  Maximize use of current server hardware  Engage technical resources from within the University  Model, analyze and renew processes prior to implementation Cost Strategy ERP system softwareSR 2,700,000 HardwareSR 200,000 ERP consulting servicesSR 5,500,000 Change managementSR 1,300,000 TotalSR 9,700,000

8. Organization Executive Steering Committee Project Management Team Implementation Group 1 Implementation Group 2 Implementation Group n

9. Team Development Project Name: Raed Focusing on Teams not Individual Training Programs Social Activities Reward & Recognition Performance Appraisal Incentive Plan

10. Procurement Plan Procurement Requirements Request for Proposals Vendor Selection Criteria Administration of Contracts Contract Closure

11. Procurement Plan Est. CostSchedule Item # 1,000,000July 2005ERP system software license (Initial)1 200,000July 2005Annual maintenance (Initial)2 250,000July 2005Business process consulting services3 150,000Oct. 2005Hardware for project office4 5,500,000Nov. 2005ERP system implementation services5 200,000July 2006Annual maintenance (Initial)6 1,000,000Sep. 2006ERP system software license (additional)7 200,000Sep. 2006Annual maintenance8 20,000As neededProject souvenirs and give-aways9

12. Quality Plan Quality of the Product- the ERP System Quality of the Project Deliverables Quality Material Quality Event External Quality AuditsExternal Quality Audits

13. Quality of Deliverables Quality MaterialQuality EventPurposeTypeDeliverable# Presentation to Executive Steering Committee Review by Executive Steering Committee Formal initiation of the project with approval on scope, cost and duration, etc. ProjectProject charter 1 WorkshopReview by Project Management Team To document all initiation, planning, controlling and closing processes of the project. ProjectProject management plan 2 Template for monthly progress report Review by Chair, Project Management team, and the project sponsor To update the project sponsor on progress made in respect of tasks and milestones, issues and concerns, cots, schedule, and upcoming activities. ProjectMonthly progress reports 3 International standard for preparing RFP for ERP systems Review by Project management Team, Business process Owners and Director Purchasing To seek proposals from ERP vendors and compare their offerings. ProjectRFP for ERP system 4 KFUPM regulations for procurement of software systems Reviews by Bids & Tenders Committee and Project Management Team To agree on scope of software modules and commercial terms and safeguard KFUPM against risks. ProjectContract for ERP system license 5 Template for preparation of goals & objectives Reviews by heads of departments and Project Management Team To create clarity on how the ERP system will enable business processes of various departments in the University. ProductBusiness goals and objectives 6

14. Risk Management Mitigation StrategyImpactProb.Description of Risk# Set expectations right and communicate to all. High0.6 Users expectations are not met1 Conduct training workshops and initiate a coaching program High0.8 Capability of users to understand concepts of business processes and the ERP system 2 Execute change management plan High0.7 Users departments resist to change and adoption of new system 3 Plan back-ups and contingency High0.5 Turnover of critical members of project team4 Negotiate effective contracts High0.8 Turnover of vendor team5 Add more resources Medium0.6 Data migration takes longer time than planned6 Apply quality assurance standards Medium0.6 Quality of data is not as desired7 Add more resourcesMedium0.6Scope creeps significantly8 Create awareness and seek help from the sponsor as needed High0.7 Lack of support from heads of departments9 Maintain hybrid teamsHigh0.7Transfer of knowledge and skills10 Execute change management plan High0.8 End user resistance11 Seek approval for more funds Low0.6 Cost escalates more than 30% than planned12

15. Communication Plan FrequencyMethods of CommunicationInformation Requirements Stakeholder # Monthly - Performance report - Performance Sponsor 1 As needed - Meeting of Ex. Steering Committee - Progress Member, Executive Steering Committee 2 Monthly As scheduled - Performance Appraisal - Minutes of BPO meetings - Staff utilization & performance Project end - Report - Achievement of goals As scheduled - Minutes of BPO meetings - Performance of BPOs Project Management Team 3 Milestones - Vendor performance evaluation - Performance of Vendors Continuous - Feedback from all stakeholders - Perceptions and image of project Quarterly - Meetings - Awareness on ERP system - Progress of work - Impact of the system Head of Department 4 Project span - Project documents - ERP Project Web site - Reward & recognition plan - Role and responsibilities - Purpose and level of involvement - Schedule of activities - What-is-in-it-for-me Business Process Owner 5 Implementation span - Project documents - ERP Project Website - Reward and recognition plan - Role and responsibilities - Schedule of work - What-is-in-it-for-me Key User / Applications Developer 6 As scheduled - Project documents - Reward and recognition plan - Role and responsibilities - Training schedule - What-is-in-it-for-me End User 7 As scheduled- Project documents- Functional & technical scope Consultants 8 Major milestone - Project web site - Newsletters and the University press Usefulness and status of the project The University Community 9 Start & end of the project - ERP project web site - Press How it will improve the quality and efficiency of the General Public 10

16. Earned Value Management Time SAR

17. Earned Value Management Building EVM Matrix Charting Planned Value

18. Earned Value Management Plotting PV vs EV Super Imposing Actual Cost

19. Earned Value Management Integrating Scope, Schedule and Cost Planned Value Earned Value Actual Cost

20. Earned Value Management Project Analysis and Forecasting Project Performance Indicators

21. Professional Responsibility Ensuring that there is no conflict to interests while evaluating a product/service or a vendor. Avoid taking any undue favor from vendors involved. Maintain complete documentation and transparency for all the business transactions and decisions. Help the fellow team members in enhancing their ability to perform better Adhere to the great values of the Kingdom and the University

22. Professional Responsibility Be truthful all the time and in all situations Maintain professional integrity and respect confidentiality of sensitive information Understand that perceptions and behaviors are different between cultures Respond to ethical challenges by choosing to ‘do the right thing.’

23. Critical Issues Availability of Business Process Owners and Key Users Availability of Space for the Project Office Role and Readiness of the ITC

24. Thank You