http://www.endeavormgmt.com
July 27, 2015 Ishrat Khan

Capital Project Effectiveness

Capital Project Effectiveness

Capital Project Effectiveness

Endeavor Management’s View of the Market Issue

Effectiveness of developing and delivering capital investment is diminishing as measured by the realization of project goals and return on capital employed. Why? Endeavor Management views the inability to meet production promises in recently completed projects can be attributed to the lack of experience of teams and leadership capability, project processes that are too complicated and prescriptive, and late recognition of erosion in preserving and delivering the project economics that initially justified the project. Key remedies for this are realistic business promises, rigorous vetting and approval of changes and alignment between stakeholders throughout the life of the project.

This may be time for a 3rd party view and assistance to drive improvement and provide a realistic approach.

Endeavor Management has an experienced Project Effectiveness team with a dual focus on the “hard” and “soft” aspects – structure (process/technical) and people (leadership and teamwork) elements. This can be implemented side-by-side with organizations and teams such as the asset owner, stakeholders, and supporting service and contractor groups.
The approach is grounded in the premise of effectively delivering results through a focus on simplification and essentialism.

The approach considers 10 essential areas of focus categorized in 3 groups: Capability, People and Delivering to Goals.

 

EM-Approach-inforgraph

Endeavor Management uses a multistep service delivery model sequenced as Frame, Discover, Analyze, Design and Implement. The Project Effectiveness Team combines the Frame, Discover and Analyze steps into a concentrated Step 1 called an Assurance Review followed by Step 2 – Design, Step 3 – Implement and Step 4 – Sustain.

Step 1 – Assurance Review: Endeavor Management will collaborate with the client to define the objectives and scope of an Assurance Review in three focus groups: Project Capability, People and Delivering to Goals. The review may target a function or organization supporting project development and delivery, a singular project that may be in any phase of delivery, a specific functional element (reservoir, drilling, wells, facilities, operations) of a project(s), or a unique issue.

Step 2 – Design: Depending on areas of strength and weakness discovered in the review, Endeavor Management will analyze findings, offer recommendations, design solution options, and define an implementation approach.

Step 3 – Implement: This may include direct support to the project team or operations group through filling knowledge gaps, facilitation and coaching.

Step 4 – Sustain: Test sustainability of the solution through a follow-up assessment at next phase of project to test effectiveness of solution implementation.


Endeavor Management colleagues have:

  • Practical and relevant Project Management and Organizational Change experience derived from direct industry project involvement for each of the areas of focus.
  • Project delivery experience in oil and gas and plant process facilities in most global locations including frontier regions.
  • Understanding, though prior roles with direct delivery accountability, of capital project issues related to complexity, scale and geographic locale.
  • Direct delivery accountability for capital projects that included implementation of emerging and newer technology.
  • Practical-based organizational alignment and executive coaching experience as a result of prior roles the in oil and gas industry.

You get only the experience of those that have been there and done that. The Endeavor Management Project Effectiveness Team members are practitioners each with over 30 years of direct experience in a project driven organization and environment in the Oil and Gas and Petrochemical industries. We can relate and empathize with your project and organization environments.

Endeavor Management Philosophy and Methodology:

Proven and valued methodologies are the backbone of quality delivery.

Benefit Derived:

  • Immediate and longer term impacts based on practical experience.
  • Improved certainty in achieving the project goals by providing unique visibility and unbiased alternatives based upon real experience delivered with confidence.

Practical proven solutions that can be implemented and directly address the essential issues.

Economic and Organizational Value Achieved:

  • Improvement in facility lifecycle ROI.
  • Organizational transformation that is sustainable.

Continually focused on stakeholder return, leave behind lasting improvement – meaningful value, and sustainability.


Alignment: Construction Driven Planning and Work Packaging

Capital project owners and supporting EPC contractors and software / service providers are coalescing on construction-­‐driven engineering as a means to dramatically reduce the cost of capital projects. Supported by IPA, CII’s Advanced Work Packaging research and Fiatech’s Productivity Improvement efforts, Owners are engaging with EPCs, plant design and construction software providers, and materials management solution providers to revolutionize capital effectiveness by moving from a document-­‐centered, deliverable-­‐based process to a data-­‐centric, end user process. Learn more about our Alignment offering here.

Integration: EPC Contractors and Software / Technology Providers

Capital project owners, engineering, procurement, and construction contractors and supporting service organizations are searching for means to dramatically reduce the cost of capital projects. Owners/ Operators are driving change through contracting strategy, contract language, contract deliverables and performance metrics. In response, EPC companies are striving to attain productivity improvements by utilizing plant design, material management, and construction software and technology platforms. Learn more about our Integration offering here.

Assurance Review 
Endeavor Management collaborates with the client to define the objectives and scope of an Assurance Review in three focus groups: Project Capability, People and Delivering to Goals. The review may target a function or organization supporting project development and delivery, a singular project that may be in any phase of delivery, a specific functional element (reservoir, drilling, wells, facilities, operations) of a project(s), or a unique issue.  Learn more about our Assurance Review Offering here.

Strategic Imperative for Digital Transformation
Radical changes to megaproject delivery will bring first adopters a distinct competitive edge, while writing the epitaph of those who stay stuck in legacy ineffective practices. Whether you are an operating asset owner or an EPC, you are confronted with reinventing the core of your capital projects delivery through digital solutions. Such strategic transformation requires holistic change that focuses not only on installation of a new software application, but also on people and work processes to achieve a sustained, culturally intrinsic result from new technology. Learn more about how Endeavor Management consultants bring a unique combination of vast capital project execution and strategic change experience here:
http://www.endeavormgmt.com/digital-transformation/

Martina Asbury

Martina Asbury Senior Advisor Martina Asbury works with business, operations and project teams to support the planning, execution and control ...
Read More

William Barrows

William Barrows Senior Advisor Bill Barrows is an EPCI Business Development Executive and Sr. Project Manager for international and U.S ...
Read More

Dave Edwards

Dave Edwards Senior Advisor Dave Edwards is a technical advisor and project manager with diverse global experience delivering major upstream ...
Read More

Daniel G. Godfrey

Daniel G. Godfrey Senior Advisor Daniel Godfrey’s experience includes a 36 year career with Shell Companies and 10 years of ...
Read More

C. Tracy Harris

C. Tracy Harris Senior Consultant Tracy has over 34 years of experience in the oil and gas projects arena. He ...
Read More

Jeff Hocke

Jeff Hocke Senior Consultant Jeff Hocke’s 30+ years of business, operations and project experience have given him the proven successful ...
Read More

Roger E. Lewis

Roger E. Lewis, PE Advisor Roger Lewis has over 40 years of experience in the execution and management of numerous ...
Read More

George Rodenbusch, PhD

George Rodenbusch, PhD Senior Advisor George Rodenbusch is a multifunctional professional with more than 35 years of experience in offshore ...
Read More

Tim Swenk

Tim Swenk Advisor-Project Management Tim Swenk has 36 years of comprehensive experience in the engineering and construction industry with many ...
Read More

Strategic Imperative Digital Transformation in Capital Projects

The O&G industry is at an inflection point in capital project effectiveness. Whether you are an operating asset owner or an EPC, your company is confronted with reinventing the core of its capital projects delivery through digital solutions. Such strategic transformation requires a holistic change management process that focuses on people and work processes to achieve sustained, culturally intrinsic result from new technology and software applications.

View or Download this White Paper

twitterpinterestlinkedinmail

Mind the Gap in Project Execution

In London’s efficient and complex underground metro, a simple warning is called out over the PA thousands of times a day cautioning commuters to pay attention to the distance between the train and the sidewalk. It cautions busy, distracted people who certainly know better than to trip on an uneven surface in order to mitigate that very risk.

Volumes have been written on how organizations and capital project teams can achieve high performance; yet oil, chemical and energy companies across the globe still wrestle with projects that fail to meet business objectives. This paper will focus on the common denominator that is the single most influential factor in project success: competent people united in a common purpose who understand their interdependencies and are motivated to collaborate and deliver.

View or Download this White Paper

twitterpinterestlinkedinmail

Endeavor Management Capital Project Effectiveness Brochure

Many times a lack of progress in meeting project goals can be attributed to the experience of teams, leadership capability, loss of focus on business goals, project process that are too complicated and prescriptive, and late recognition of erosion in preserving the initial project economics.

View or Download this Fact Sheet

twitterpinterestlinkedinmail

Red Zone Gameplan for Changing Culture

In this Red Zone Game Plan chapter we will discuss one of the most difficult and least understood of the Red Zone maneuvers. While there is a great deal of talk about changing an organization’s culture, there seems to be very little agreement on how to do it. Suffice it to say that many managers talk about the desirability of changing culture but few are willing to bite the bullet and go after a full‐fledged culture change. One manager even said that changing a culture is like moving a graveyard; you can’t count on much help from the residents. This whitepaper will begin with a high‐level primer on the subject of culture change and will end with a discussion of the Red Zone principles as they apply to this fuzzy situation. Click on the link below to download this white paper.

View or Download this White Paper

twitterpinterestlinkedinmail

How and Why to Build High Performing Teams

In any business, people make the difference. And people make the difference when they operate as a team, but only if they operate as a high-performing team. One of the most elusive outcomes is that of creating a high-performing team. Why is this so? As it has been said many times, if it was easy … every leader would do it. The high-performing team starts with high-performing individuals, who have a certain awareness of themselves and the value that others can bring. High-performing teams have many interesting characteristics and are clear on what they are trying to accomplish, how they are going to achieve their goals, and why they want to achieve their goals. Click on the link below to download this white paper.

View or Download this White Paper

twitterpinterestlinkedinmail

Achieving Project Management Competence

Project management (PM) as a formalized discipline and a methodology has been around for decades. It is most obviously utilized in design and construction scenarios, but it is also finding utility in other, less “mechanical” circumstances. It also tends to have a better life in large, reasonably bureaucratic organizations than in small to mid-size companies and companies with a more “organic” culture. This means that, even after all this time, there are a lot of organizations that still have not taken advantage of the benefits of competent project management. Too often “project management” is assigned to an individual who does not see it as a career path and, therefore, treats it as a temporary distraction. The cynical view of this would be that the company is simply assigning someone to be the scapegoat if things go wrong. A more generous view would be that the company simply does not understand what project management is and what benefits it can deliver. This whitepaper discusses the means for achieving the appropriate level of Project Management competency in an organization.

Click on the link below to download this white paper.

View or Download this White Paper

twitterpinterestlinkedinmail

Project Management Organization Maturity

A simplified “one pager” on the attributes for various levels of maturity of a Project Management organization.

Click on the link below to download this white paper.

View or Download this White Paper

twitterpinterestlinkedinmail

Project Execution in Changing Times

Many approaches are being taken to reduce the cost of capital developments; some are being put on an accelerated path to drive short term fixes such as price concessions, headcount reduction, insourcing of expertise, drawn out phasing of work, scope reduction and deferral. Systemic issues, that require investment of time and resources require equal attention and can pay dividends now and become a way toward longer term, sustained business improvement.
One of the oil and gas industry’s systemic issues that requires attention is effective delivery of capital projects.  As various well regarded research has shown, the current performance of megaprojects (>$1billion) has plenty of room for improvement and has not significantly changed over the last decade.


View or Download this White Paper

twitterpinterestlinkedinmail

Tagged:
Contact Us