1. CII RT204 THEOWNERSROLETHEOWNERSROLE RT 204 The Owner’s Role in Project Success 2005 Jim Vicknair – WorleyParsons

2. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Panel Jim Vicknair – WorleyParsons Bud Griffis – Polytechnic University Andrew Bates – Polytechnic University Debra Nauta-Rodriguez – Smithsonian Institution Dan Christian – Victaulic Scott Hill – Air Products and Chemicals

3. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role Purpose How the owner best contributes to project success Objectives Define success Address shifts in roles and responsibilities Develop a methodology to mitigate problems

4. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role In Project Success Stay Involved Focus on Safety Communicate

5. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role 1.Literature Review 2.Define “owner” & “success” 3.Interview project participants 4.Develop questionnaire 5.Collect & analyze data 6.Identify successful attributes 7.Develop recommendations

6. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role 1.Literature Review 2.Define “owner” & “success” 3.Interview project participants 4.Develop questionnaire 5.Collect & analyze data 6.Identify successful attributes 7.Develop recommendations

7. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role OWNER The ultimate decision making authority –Establishes project goals & objectives –Upon completion – may own & operate facility The “owner” will change throughout the life of the project Actions to be successful will also change

8. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role Project Success = Achieving the stated goals & objectives *Respondents provided the success criteria used on their project Success Criteria Safety Duration (Schedule) Budget Quality Business Expectations Future work Profit / Return on Investment Other:

9. CII RT204 THEOWNERSROLETHEOWNERSROLE Defining Success “Success is in the Eye of the Beholder” 73 Projects Cumulative Rankings Priorities

10. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role 1.Literature Review 2.Define “owner” & “success” 3.Interview project participants 4.Develop questionnaire 5.Collect & analyze data 6.Identify successful attributes 7.Develop recommendations

11. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role 1.Literature Review 2.Define “owner” & “success” 3.Interview project participants 4.Develop questionnaire 5.Collect & analyze data 6.Identify successful attributes 7.Develop recommendations

12. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role 1.Literature Review 2.Define “owner” & “success” 3.Interview project participants 4.Develop questionnaire 5.Collect & analyze data 6.Identify successful attributes 7.Develop recommendations

13. CII RT204 THEOWNERSROLETHEOWNERSROLE Collecting Data Title Multiple Choice Scaled Response Write In Stratification 622 Business Expectations 151 Core Competencies 081 Owner’s Involvement 1112 Success Criteria 172 Leadership Performance 0351 Project Management 0291 Cost Performance 251 Duration Performance 251 Safety Performance 301 Quality Performance 181 Total Questions =1461711514

14. CII RT204 THEOWNERSROLETHEOWNERSROLE Data Collection Email survey Request sent to CII member organizations ≈ 100 initial emails July – November 2004 73 projects from 45 companies

15. CII RT204 THEOWNERSROLETHEOWNERSROLE Data Population Industry Category Number of Projects

16. CII RT204 THEOWNERSROLETHEOWNERSROLE Data Population Type of Owner Number of Projects

17. CII RT204 THEOWNERSROLETHEOWNERSROLE Data Population Type of Contract Lump SumUnit PriceTime & MaterialsCost Plus (Fee) Guaranteed Maximum Price Number of Projects

18. CII RT204 THEOWNERSROLETHEOWNERSROLE Project Cost Number of Projects

19. CII RT204 THEOWNERSROLETHEOWNERSROLE Drivers of System Performance Pre-Project Planning Inputs - PPI Owner Involvement Inputs - OII Leadership Performance Inputs - LPI Project Management Inputs - PMI All Input Variables are on a 1 to 5 scale

20. CII RT204 THEOWNERSROLETHEOWNERSROLE Duration Performance Results - DPR Cost or Budget Performance Results - CPR Business Performance Results - BPR Quality Performance Results - QPR Overall Project Success - PSR Safety Performance Results - SPR Outcomes of System Performance All Results Variables are on a 1 to 5 scale

21. CII RT204 THEOWNERSROLETHEOWNERSROLE Quantitative Analysis Model Owner’s Involvement Pre Project Planning Project Management Leadership Outcomes of System Performance SafetyDurationCostQualityBusiness Drivers of System Performance Inputs

22. CII RT204 THEOWNERSROLETHEOWNERSROLE Data Analysis Outcomes Results Duration Cost Business Quality Safety* Project Success Drivers Actions or Inputs Pre-Project Planning Owner Involvement Leadership Performance Project Management *See CII RS 190-1 The Owner’s Role in Construction Safety

23. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role 1.Literature Review 2.Define “owner” & “success” 3.Interview project participants 4.Develop questionnaire 5.Collect & analyze data 6.Identify successful attributes 7.Develop recommendations

24. CII RT204 THEOWNERSROLETHEOWNERSROLE Cost Performance Results Number of Projects 1 < x ≤ 2 2 < x ≤ 3 3 < x ≤ 4 4 < x ≤ 5

25. CII RT204 THEOWNERSROLETHEOWNERSROLE Cost Performance Results 1.Manage the scope & limit scope creep (PPI) 2.Conduct a thorough site survey to minimize the impact caused by unforeseen site conditions (PMI) 3.Respect the professional integrity of the position of the project manager in dealing with team members & contractors (OII) 4.Exercise an appropriate level of involvement (OII) 5.Foster communications among team members (LPI)

26. CII RT204 THEOWNERSROLETHEOWNERSROLE Cost Performance Results 6.Communication—face-to-face meetings (PMI) 7.Where owner decisions are required, make those decisions in a timely manner (OII) 8.Recognize the achievements of the team members (LPI) 9.Develop a comprehensive business strategy (PPI) 10.Limit the number of design omissions and errors that increase project cost (PMI)

27. CII RT204 THEOWNERSROLETHEOWNERSROLE Cost Performance Results CPR ➙ PPIOIILPIPMI PM22 X DP04 X OI08 X OI09 X LP14 X PM18 X OI11 X LP07 X BX02 X CP03 X Question Category Actions Identified By survey Question

28. CII RT204 THEOWNERSROLETHEOWNERSROLE Overall Project Success PSR ➸ PPIOIILPIPMI LP14 X CP05 X SC6a X LP10 X QP08 X LP27 X DP03 X LP32 X PM12 X CC01 X OI09 X LP15 X Actions Identified By survey Question Question Category

29. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role 1.Literature Review 2.Define “owner” & “success” 3.Interview project participants 4.Develop questionnaire 5.Collect & analyze data 6.Identify successful attributes 7.Develop recommendations

30. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role In Project Success Stay Involved Focus on Safety Communicate

31. CII RT204 THEOWNERSROLETHEOWNERSROLE The Owner’s Role In Project Success Leadership Focus on Safety Know what Success is Use CII Best Practices

32. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Tool

33. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Tool Objective –To promote critical thinking on a project. –Beginning, During, At Completion How it works –Establish project priorities –Self rating on key performance drivers –Provides current priority status Who would use it –Owners Project Team –Contractors Value –Provides feedback on stated vs. current priorities

34. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Tool Demonstration –Entering Project Priorities

35. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Tool

36. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Tool

37. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Tool Interpreting results page for a completed project –Compare original project priorities to current project priorities –Compare how changes in the input on the questions impact the current project priorities

38. CII RT204 THEOWNERSROLETHEOWNERSROLE Implementation Tool Path forward –Working beta-version –CII member input –CII product review board –Available via CII…

39. CII RT204 THEOWNERSROLETHEOWNERSROLE Questions Thank you