Tools to Improve Project
Performance Workshop
February 26, 2015
This Morning’s Agenda
7:00-7:30
Registration / Networking /Breakfast
7:30-7:45
Introduction to today’s presentation
Steve Bannes
7:45-8:45
Project Definition Rating Index (PDRI),
small industrial projects
Edd Gibson
8:45-9:05
FEP implementation from AB/InBev’s
perspective
Thea Cummings
9:05-9:20
Q&A
Gibson/Cummings
9:20-9:35
Break
9:35-10:20
CII Risk Management Tools
Edd Gibson
10:20-10:45
How Monsanto mitigates risks on
projects
Clint Rodenberg
10:45-10:55
Q&A
Gibson/Rodenberg
10:55-11:00
Wrapup
Project Definition Rating Index:
Small Industrial Projects
G. Edward Gibson, Jr.
Professor and Sunstate Chair
What is CII?
 Construction Industry Institute
 Research institute for engineering and construction
 Comprised of >130 member organizations
 Members fund studies at leading
universities to identify ways to improve
planning and execution of construction
projects
Definition of Front End Planning
“Process for developing sufficient strategic
information with which owners can address risk
and decide to commit resources to maximize
the chance for a successful project.”
The Front End Planning
Process
0
Feasibility
1
Concept
2
Detailed
Scope
Front End Planning Process
PDRI most applicable here
3
Design and
Construction
Simply, Front-End Planning Is:
 Performing the right project.
 Scoping the right “things” for a
good design basis.
 Setting the stage for successful
execution.
What Is the PDRI?
PDRI – The Definition
 An Acronym
 Project Definition Rating Index
 An Index
 Score along a continuum representing
the level of scope definition
 A Risk Management Tool
PDRI as a
Risk Management Tool
PDRI helps:
• Identify – score sheet and descriptions
• Measure – scoring mechanism
• Mitigate – action items
Three Existing PDRIs
 PDRI for Industrial Projects, CII IR
113-3, 4th Edition
 PDRI for Building Projects, CII IR 1552, 4th Edition
 PDRI for Infrastructure Projects, CII IR
268-2, 4th Edition
Current Status of Existing
PDRIs
 Each extensively used; most popular
CII products
 Fourth Editions of each published last
year, with new software
 Major edits since 1995:
 to include security and sustainability
 to include specifics for renovation projects
 Excel spreadsheets
FEP and the PDRI
Potential PDRI Application Points
0
Feasibility
2i
2
1
1
Concept
2
Detailed
Scope
3
3
Design and
Construction
What Can the PDRI Do for
You?
 Helps with alignment of project participants
 Promotes consistency in planning
 Identifies project risks
 Can be used in developing the facilities
program
Why a small projects version?
 50 to 70% or more of all projects (by
number) are considered small
 Different considerations when planning
these types of projects
 PDRI Industrial Projects takes 3-4 hours
 Demand from CII members
General Conclusions
 No widely accepted definition of “small industrial project”
Dependent on the company’s context and criteria
 Small projects are different:
 Sensitive to change
 Funding approval
 Fewer stakeholders
 Project member expertise
 Part-time manpower
 Interfaces important
 Shorter in duration and less costly
Tool Format
PDRI Small Industrial Projects
available later this spring
The crucial elements that need to be included
in a scope definition for small industrial projects.
 Composition:
 3 Sections
 8 Categories
 41 Elements
NEW
 20 pages of detailed element descriptions;
 Rate each of the 41 elements to obtain a project
score of up to 1000 points—the lower the better.
Tool Decision Matrix – which one
to use?
Project Complexity
Indicator
PDRI- Small Industrial
Projects
PDRI-Industrial Projects
Total Installed Cost
Less than $10 Million
(US Dollars)
More than $10 Million
(US Dollars)
Construction Duration
3 to 6 months
9 to 15 months
Level of Funding
Between regional
and corporate
Between corporate and
Board of Directors
Project Visibility
Moderate
Significant
Number of Core Team
Members
7 to 9 individuals
10 and 15 individuals
Availability of Core Team
Members
Part-time availability
Combination of part-time
and full-time to
completely full time
Extent of Permitting
None to minimal permitting
Minimal to significant
permitting
Types of Permits
None to local/state permits
Locals/state to national
permits
Number of Trade Contractors
3-4 separate
trade contractors
7-8 separate
trade contractors
SECTION II - BASIS OF DESIGN
C. DESIGN GUIDANCE
C.1 Lead/Discipline Scope of Work
C.2 Project Design Criteria
C.3 Project Site Assessment
C.4 Specifications
C.5 Construction Input
Unweighted
Score Sheet
(Example)
D.PROCESS/PRODUCT DESIGN BASIS
D.1 Process Safety Management (PSM)
Process Flow Diagrams along with Heat and
D.2
Material Balance
D.3 Piping and Instrumentation Diagrams (P&ID's)
D.4 Piping System Stress Analysis
D.5 Equipment Location Drawings
D.6 Critical Process/Product Items Lists
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS
E.1 Control Philosophy
E.2 Functional Descriptions and Control Narratives
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
E.3 Electric Single Line Diagrams
E.4 Critical Electrical Items Lists
F. GENERAL FACILITY REQUIREMENTS
F.1
Site Plan
F.2
Loading/Unloading/Storage Requirements
F.3
Transportation Requirements
F.4
Additional Project Requirements
Definition Levels
0 = Not Applicable
1 = Complete Definition 2 = Minor Deficiencies 3 = Some Deficiencies
4 = Major Deficiencies 5 = Incomplete or Poor Definition
PDRI Element Descriptions (Example)
B.4
Technology
The technology(ies) being used in this project to gain the desired results should
be documented. Technologies may include chemical, biological, or mechanical
processes, and information technology (i.e., software development/upgrade).
Evaluation criteria should include:
 Existing/proven or duplicate
 New or experimental
 Scale up from bench or pilot application to commercial scale
 Organization’s (or industry’s) experience with the technology
 Licensing or development implications of chosen technology(ies)
 Other user defined
** Additional items to consider for Renovation & Revamp projects**
 Integration of new technology with existing systems, including
interface/safety issues
PDRI for Small Industrial Projects
Structure
I. Basis of Project
Decision
II. Basis of Design
III. Execution
Approach
A. Project Alignment
B. Project Performance Requirements
C.Design Guidance
D.Process/Product Design Basis
E.Electrical and Instrumentation Systems
F. General Facility Requirements
G.Execution Requirements
H.Engineering/Construction Plan and
Approach
Refinement of Tool and
Development of Weights
 Used same method as previous PDRIs
 Five workshops
 Verbal and written interaction in a charrette
environment
 Provide input on content and provide
weights for each element
 Each comment addressed
 Weight information statistically evaluated
Workshops
Location
Date
Baton Rouge, LA, USA
Houston, TX, USA
Greenville, SC, USA
Indianapolis, IN, USA
Houston, TX, USA
April 10, 2014
May 9, 2014
June 4, 2014
July 21, 2014
July 30, 2014
Total Participants
Number of
Participants
19
12
12
12
10
65
Workshops Summary
 65 total participants
 39 contractor and 26 owner participants
 29 organizations
 Averaged 20 years of experience
 Provided weighting information for each
element, and dozens of suggestions
Organizations Participating in
Workshops
Owners















Albemarle
Anheuser-Busch InBev
Chevron
Chevron Phillips Chemicals
Cytec
Eli Lilly and Company
Flint Hills Resources
International Paper
Meadwestvaco
Motiva
Phillips 66
Rubicon
SABIC Innovative Plastics
TransCanada
Valero
Contractors














Audubon Engineering
BMWC Constructors
Burns & McDonnell
CH2M Hill
EDA Inc.
FA Wilhelm Constructors
Ford, Bacon and Davis
Hargrove
Jacobs
Performance Contracting
S&B Constructors
Walbridge
Willbros Engineering
Wood Group Mustang
SECTION II - BASIS OF DESIGN
C. DESIGN GUIDANCE (Maximum Score = 133)
Weighted
Score Sheet
(Example)
C.1
Lead/Discipline Scope of Work
0
2
8
14
20
27
C.2
Project Design Criteria
0
2
8
14
20
26
C.3
Project Site Assessment
0
2
9
15
22
29
C.4
Specifications
0
2
8
14
20
26
C.5
Construction Input
0
2
8
14
19
25
D.PROCESS/PRODUCT DESIGN BASIS (Maximum Score = 145)
D.1
Process Safety Management (PSM)
0
1
6
10
14
19
D.2
Process Flow Diagrams along with Heat and
Material Balance
0
2
8
15
22
28
D.3
Piping and Instrumentation Diagrams (P&ID's)
0
2
11
19
28
36
D.4
Piping System Stress Analysis
0
1
5
9
13
17
D.5
Equipment Location Drawings
0
1
7
12
17
22
D.6
Critical Process/Product Items Lists
0
2
7
12
17
23
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS (Maximum Score = 71)
E.1
Control Philosophy
0
2
7
12
17
22
E.2
Functional Descriptions and Control Narratives
0
1
4
7
11
14
E.3
Electric Single Line Diagrams
0
1
5
9
13
17
E.4
Critical Electrical Items Lists
0
1
5
10
14
18
F. GENERAL FACILITY REQUIREMENTS (Maximum Score = 76)
F.1
Site Plan
0
1
6
10
15
20
F.2
Loading/Unloading/Storage Requirements
0
2
5
9
13
17
F.3
Transportation Requirements
0
1
5
8
12
15
F.4
Additional Project Requirements
0
2
8
13
19
24
Definition Levels
0 = Not Applicable
1 = Complete Definition 2 = Minor Deficiencies 3 = Some Deficiencies
4 = Major Deficiencies 5 = Incomplete or Poor Definition
Section & Category
Weights –
Small Industrial Version
Section Weights
Section
I. Basis of Project Decision
II. Basis of Design
III. Execution Approach
Weight
288
425
287
1000
Category Weights
Category
H. Engineering /
Construction Plan
and Approach
A. Project Alignment
D. Process / Product
Design Basis
B. Project Performance
Requirements
C. Design Guidance
H. Execution
Requirements
F. General Facility
Requirements
E. Electrical and
Instrumentation
Systems
Weight
158
153
145
135
133
129
76
71
1000
Top Eight Planning Issues
1.
2.
3.
4.
5.
6.
7.
8.
Project Objectives Statement (A.1) – 47 points
Project Strategy and Scope of Work (A.2) – 45 points
Project Cost Estimate (H.2) – 39 points
Piping and Instrumentation Diagrams (D.3) – 36 points
Location (A.4) – 36 points
Shutdown/Turnaround Requirements (G.5) – 32 points
Capacities (B.2) – 31 points
Project Site Assessment (C.3) – 29 points
Total, Top 8
= 295
Fewer Elements and
Revised Focus
Elements
Points
PDRI for
Small Industrial Projects
PDRI Industrial Projects
•
9
288
Elements
Points
Basis of
Project
Decision
Elements
Points
22
439
Basis of Design
Elements
Points
13
287
Execution
Approach
Basis of Design
Basis of Project
Decision
Elements
Points
19
425
33
357
Execution
Approach
Elements
Points
15
78
PDRI Structure Comparison
IR 113-2: PDRI-Industrial Projects
IR 314-2: PDRI-Small Industrial
Projects
SECTION I
SECTION I
A.
B.
C.
D.
E.
Manufacturing Objectives Criteria
Business Objectives
Basic Data Research & Development
Project Scope
Value Engineering
SECTION II
F. Site Information
G. Process/Mechanical
C.
D.
H. Equipment Scope
E.
I. Civil, Structural & Architectural
J. Infrastructure
K. Instrument & Electrical
SECTION III
L. Procurement Strategy
F.
M. Deliverables
N. Project Control
P. Project Execution Plan
A. Project Alignment
B. Project Performance Requirements
SECTION II
Design Guidance
Process/Product Design Basis
Electrical and Instrumentation
Systems
General Facility Requirements
SECTION III
G. Execution Requirements
Engineering/Construction Plan and
H.
Approach
Comparison of Projects with PDRI
Above and Below 300 — Small
Industrial Projects
PDRI Score
Performance
< 300
> 300
Cost
5% under budget
16% over budget
Schedule
7% behind schedule
27% behind schedule
Change Orders
14% of budget
18% of budget
(N=20)
(N=14)
What Does a Score Mean?
 A continuum
 Relative to timing
 Only as valid as
effort/seriousness
 Accuracy (the real score) can be
improved with facilitation
 Perhaps not the most important
output of the assessment
How to Use the PDRI
Particulars
 Who?
 How Long?
 Facilitated?
 When?
Overlapping project activities
during FEP of small projects
PDRI-Early
Feasibility
Concept
PDRI-Final
Detailed Scope
Design, Procurement and
Construction
Front End Planning
Process for Using PDRI
1. Read description of each element
2. Discuss issues and review documents if
needed
Capture “Gaps”
3. Select definition level for each element
4. Determine score of each element
5. Add element scores to obtain PDRI
score
6. Take action
Which definition level?
CATEGORY
Element
WELL
Defined
0
1
2
Not Applicable
COMPLETE Definition
No further work required
MINOR Deficiencies
No further work required prior to Phase Gate 3
SOME Deficiencies
Needs more work prior to Phase Gate 3
MAJOR Deficiencies
Needs a lot more work prior to Phase Gate 3
INCOMPLETE or POOR Definition
Little or nothing known
POORLY
Defined
3
4
5
Score
An Example
Definition Level
CATEGORY
Element
Score
0
1
2
3
4
5
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS
E.1 Control Philosophy
E.2 Functional Descriptions and
Control Narratives
E.3 Electric Single Line Diagrams
E.4 Critical Electrical Items List
CATEGORY E TOTAL
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
Example, E.1 Element Description
E.
ELECTRICAL AND INSTRUMENTATION SYSTEMS
The elements in this category are focused on electrical design and control. It should be noted
that on some small projects none of the elements in this category may be applicable, in other
situations these may be the key items driving the project.
E.1 Control Philosophy
The control philosophy describing the general nature of the process and identifying overall control
systems hardware, software, simulation, and testing requirements should be documented in a
functional specification. Items to consider should include:
 Continuous or batch
 Cyber security
 Redundancy requirements
 Block diagrams
 Input/output (I/O) list
 Manual or automatic controls
 Safety Instrumented Systems (SIS) requirements
 Classification of interlocks (i.e., process safety)
 Alarm conditions and emergency shut down
 Startup controls
 Other user defined
** Additional items to consider for Renovation & Revamp projects**
 Existing specifications, owner preferences and agreements, and compatibility
** If this is an instance of a Repetitive Program**
 Compatibility of this project with program’s control philosophy
Example, E.1 Score Sheet
Definition Level
CATEGORY
Element
Score
0
1
2
3
4
5
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS
E.1 Control Philosophy

E.2 Functional Descriptions and
Control Narratives
E.3 Electric Single Line Diagrams
E.4 Critical Electrical Items List
CATEGORY E TOTAL
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
Example, E.2 Element Description
E.
ELECTRICAL AND INSTRUMENTATION SYSTEMS
E.2 Functional Descriptions and Control Narratives
Functional descriptions and control narratives should be documented, providing a
method of depicting interlock and sequencing systems for the startup, operation,
alarm, and shutdown of new equipment and processes.
** Additional items to consider for Renovation & Revamp projects**
 Field verify functional descriptions and control narratives to ensure they are
correct and have been maintained to reflect the actual or current operating
scenarios.
Example, E.2 Score Sheet
Definition Level
CATEGORY
Element
Score
0
1
2
3
4
5
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS
E.1 Control Philosophy
E.2 Functional Descriptions and
Control Narratives
✓

E.3 Electric Single Line Diagrams
E.4 Critical Electrical Items List
CATEGORY E TOTAL
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
Example, E.3 Element Description
E.
ELECTRICAL AND INSTRUMENTATION SYSTEMS
E.3 Electric Single Line Diagrams
Electric single line diagrams document the components, devices, or parts of an
electrical power distribution system. These diagrams portray the system layout
from the public utility’s incoming supply to the internal electrical power distribution
system. Depending on the size of the electrical system, the single line diagrams
may include several levels of distribution. Items to consider should include:
 Incoming utility with owner substation/distribution to high and medium voltage
motors and substations
 Electrical load list
 Unit substations and switch gear
 Motor control centers with distribution to motors, lighting panels
 Other user defined
** Additional items to consider for Renovation & Revamp projects**
 Field verify existing single line diagrams to ensure they are correct and have
been maintained to reflect the actual site conditions.
 Verify locations and availability of power for new or relocated equipment.
Example, E.3 Score Sheet
Definition Level
CATEGORY
Element
Score
0
1
2
3
4
5
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS
✓
E.1 Control Philosophy
E.2 Functional Descriptions and
Control Narratives
E.3 Electric Single Line Diagrams
E.4 Critical Electrical Items List
✓

CATEGORY E TOTAL
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
Example, E.4 Element Description
E.
ELECTRICAL AND INSTRUMENTATION SYSTEMS
E.4 Critical Electrical Items Lists
Critical items lists need to be developed and documented. Many of these critical items
can be extracted from the single line diagrams and will form the basis for
procurement and discipline design. All lists should be in accordance with
owner/engineer organization standards. Critical items lists should include:
 Unit substations and switch gear
 Transformers
 Motor control centers (MCC)
 Uninterruptable power supplies (UPS)
 Power conditioning equipment
 Power factor correction equipment
 High voltage cable
 Other user defined
** Additional items to consider for Renovation & Revamp projects**
 Identify existing components to relocate, modify, refurbish or dismantle
Example, E.4 Score Sheet
Definition Level
CATEGORY
Element
Score
0
1
2
3
4
5
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS
✓
E.1 Control Philosophy
E.2 Functional Descriptions and
Control Narratives
E.3 Electric Single Line Diagrams
E.4 Critical Electrical Items List
✓
✓

CATEGORY E TOTAL
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
Example, E.4 Score Sheet
Definition Level
CATEGORY
Element
Score
0
1
2
3
4
5
E. ELECTRICAL AND INSTRUMENTATION SYSTEMS (MAXIMUM SCORE = 71)
E.1 Control Philosophy
0
2
7
12 17 22
E.2 Functional Descriptions and Control
Narratives
0
1
4
7
11 14
4
E.3 Electric Single Line Diagrams
0
1
5
9
13 17
9
E.4 Critical Electrical Items List
0
1
5
10 14 18
14
CATEGORY E TOTAL
12
39
Definition Levels
0 = Not Applicable
1 = Complete Definition
2 = Minor Deficiencies
3 = Some Deficiencies
4 = Major Deficiencies
5 = Incomplete or Poor Definition
Next Steps After Evaluation?
 Focus on:
 individual elements
 category scores
 vital few
 Understand risk—elements are
rated relative to one another
 Project management and
communications among
participants
 Work on Action Items!
Example Gap List
Project title/date: Production Line Upgrade, February 4, 20XX
(Sorted in order of PDRI element
Item
#
PDRI
Element(s)
Level of
Definition
PDRI
Element
Score
Item Description
1
E.1
3
12
Finalize control philosophy; cyber security
and interlocks
Feb 24, 20xx
Smith
2
E.2
2
4
Final review of control narratives during
design
Mar 15, 20xx
Smith, team
3
E.3
3
9
Verify incoming utility lines for compatibility
for single line diagrams
Feb 28, 20xx
Smith
4
E.4
4
14
Put together a critical electrical items list
and review
Feb 28, 20xx
Smith
And so on
Date
Completed
Responsible
Summary
 It works!
 It is more useful as a project management
tool, rather than just a scoring mechanism
 Its use is not as easy as it first appears
 Use it on every project prior to moving
forward with detailed design