|
|
Dear Fellow Cost and Project Professionals:
This is my last message as chairman of ICEC. My first idea was to reflect on the two years I served as your chairman; how many interesting people I met during this period.
I could write about my travels around the world and so on.
On second thought I decided to put this information in the chairman's report that I will present at the Council meeting in Cape Town in April.
Now I want to share with you my thoughts about the future of our profession. How will a cost engineer, quantity surveyor or project manager, in general cost professionals, operate in say 10 years from now?
When I started as a cost professional in the seventies the use of computers was something special. Working on my first overseas job in Aruba, we used a computer firm to process the timesheets for the labor force generating both pay slips and cost and man-hours analysis.
We used input forms and punch cards. At that time we were the first employer to use such an advanced system. In that same period a new computerized planning tool, network planning, came en vogue and of course we tried to use it.
In my assignments in Nigeria the computer got a more prominent place in the cost working environment. Still on mainframes we could control a workforce of 25,000 on a weekly basis!!
My first contact with Personal Computers was in 1984. One could hardly comprehend the advantages of such systems as Lotus. The “if then” analysis became possible in just minutes and also the first databases were developed.
I clearly remember the period my company had to bid on an electrification project on 20 islands in the Indonesian archipelago. I started with one estimate and copied it 20 times and then adjusted each estimate for specific circumstances. My boss was very impressed with the speed of the estimating process. Modifications were easily implemented.
The next breakthrough came with the Internet possibilities. This development is I think still in its infancy. A excellent example was presented in 1998 by Ginette Basak with her paper about the project cockpit (http://www.icoste.org/korev198.htm). Automated updates of project control documents is common practice for many of us.
Communications will improve. I once volunteered to distribute ICEC documents. The cost was about three thousand dollars. Now with the website in full swing it costs only a fraction of that amount.
How our profession will develop in the coming years is hard to imagine.
One thing is certain. We will in the future receive project control documents with the remark:
“This estimate was made by a human.”
Today systems exist that can read design documents and generate material quantities take off’s and put unit rates against it, thus generating an estimate faster and more accurately than any person.
So the future of our profession will be in the human factor and the interpersonal process of cost management.
You can stare at your screen for hours, but you will never get the same feedback as in life facing a project manager and telling him he completed the project in time and on budget.
Finally some words about the last two years. The period between Melbourne and Cape Town was very exciting. I met hundreds of people in many places.
To my hosts in all the places I visited I want to express my appreciation for making me feel so welcome.
To Ken I want to say how grateful I am with his patience and understanding with me.
See you all in Cape Town
Steven Boeschoten
Chairman, International Cost Engineering Council
The new ICEC Secretariat has been established at the National Surveyors House in Canberra Australia effective 15 February 2004. The Secretariat is housed in the offices of the Australian Institute of Quantity Surveyors. The address and contact information for the Secretariat is:
The new Secretariat Administrator is Ms Robyne Nash. Robyne is currently completing the requirements for a Bachelor of Arts / Bachelor of Psychology. We welcome Robyne as ICEC's first employee and look forward to working with her over the coming years.
All correspondence to ICEC on matters other than finance should be directed to the new Secretariat.
The treasury function of ICEC will remain with Dr. Kenneth Humphreys and queries, payments, etc. should continue to be addressed to him at:
Dr. Humphreys' new e-mail address is kenh@icoste.org. Subscription payments, applications for ICEC membership, and other financial matters and queries should be directed to Dr. Humphreys. Executive functions, including administration of the ICEC treasury remain with the elected Secretary-Treasurer of ICEC.
All ICEC members and interested parties are asked to update their records to reflect these changes. When in doubt if a matter should be handled by the Secretariat or by Dr. Humphreys, please send your query to the new Secretariat at icec@icoste.org. The Secretariat will refer to Dr. Humphreys those matters requiring his attention.
ICEC was shocked to learn of the passing of Franklin (Frank) Postula, ICEC Region Director for North and South America on February 19. Mr. Postula succumbed to a sudden severe bacterial infection. His passing is a major loss to ICEC and to the cost management profession worldwide.
Frank Postula had been a member of AACE International since 1979, and was a key member of the AACE Education Board. He has served as ICEC's Director for Region 1 since 2002 and had been named to continue in the position until 2006. He has served as the ICEC Director and Chair of the International Standards Working Group for the past five years. AACE International Executive Director Barry McMillan said "Frank was still working right up until his sudden and tragic death. He was a man whom all could respect. He never ceased working for AACE and was devoted to his family. We will miss his knowledge, professionalism, wit, and dedication to the profession he loved. It is indeed a loss for all who knew him."
The Postula family has requested that any memorial donations in memory of Frank Postula be sent to Gideons International, PO Box 140800, Nashville TN 37214-0800, USA.
Should you wish to express your condolences to the family, contact Veronica Postula, 1284 W. Hopbush Way, Tucson AZ 85704, USA.
Kenneth K. Humphreys
Secretary-Treasurer, ICEC
Brunei officially recognises AIQS qualifications
Over the last four years the Australian Institute of Quantity Surveyors (AIQS) has been negotiating with the Brunei Accreditation Council to formally recognise and accept AIQS professional qualifications as being the equivalent of the Royal Institution of Chartered Surveyors (RICS) qualification.
On 17 February the AIQS National Office received advice from the AIQS Representative in Brunei that the Accreditation Council has now officially recognised AIQS qualifications as being equal to the RICS. This decision has great significance for the AIQS members in Brunei and is the result of some very hard and constant work by both the current and previous AIQS Representatives in Brunei and other AIQS Officers and Executives.
It not only recognises the high standards and competence of AIQS members but also the very active Continuing Professional Development program for AIQS members in Brunei and the valuable educational and professional support offered by the Institute to its overseas members.
Terry L Sanders LFASAE
General Manager, AIQS
Simon Cash stands down from RICS
Simon Cash has resigned from the position of Chairman of the Construction Faculty of the Royal Institution of Chartered Surveyors (RICS) in February 2004.
In his resignation Mr Cash said that "Throughout my involvement in the RICS, not just the Construction Faculty, I have always found people very supportive and enthusiastic" and wished the organisation well in the future.
Until a replacement is selected the RICS Construction Faculty can be contacted via the Director, Martin Russell-Croucher at Martin.RC@rics.org.uk.
International Standards Working Group (ISWG) Report
Our initial listing of cost management practices and reference documents has been updated with additional entries. You can find a direct link to the list on the ICEC website under: “Worldwide Inventory of Best Practices and Standards in Cost Engineering, Quantity Surveying, and Project Management”. This is a list of over 300 standards, best practices, and reference documents that are in use in ICEC Regions I, II, and III. Key words can be used to search the list for topics of interest.
We believe that recognition of international standards is becoming more imperative as the World moves toward a global economy. ISWG is striving to establish “generally accepted cost management practices.” Standardization of our processes will benefit us all through avoidance of misunderstandings in joint agreements, improved communication between organizations, and more efficient cost/project control.
ISWG invites the new ICEC members to support the International Standards effort by providing a summary list of their practices/standards (please refer to the current list for content). We are especially interested in information from Regions II and IV. Please forward any practices/standards information you may have to Peter M. Cox at pcox@padghams.com.au
Frank D. Postula PE CCE
ICEC Director of Standards
Editor's Note: Mr. Postula passed away on 19 February. Peter Cox will be assuming his role on an acting basis.
Return to Table of Contents
Join AACE International in Washington, DC and expand your professional skills at the 48th Annual Meeting - 13-16 June 2004. AACE 2004 will challenge you to better manage, plan, schedule, and implement technology on your projects for more effective and efficient business operations.
Washington, DC is one of the best known cities in the United States, if not the entire world. Plan now to bring your family to explore all this city has to offer.
Miles Shepherd
Chairman
International Committee
Péter Tárnoki
Program Director
IPMA 2004
by
William Trnka
Member of the Executive Committee
Project Management Association of Slovakia
by
Kai Koskinen
Project Management Association of Finland
Art of project management is a mixture of skills, methodologies and culture. NORDNET 2004 highlights these issues in the international setting and continues NORDNET tradition as well as the series of national and international conferences held in Finland. Speakers and participants are welcomed both from the academia and industry. Seminar presents experiences and newest findings from different countries and project management fields.
Seminar program is organized into following main streams:
Further information:
Adesh Jain
President
PMAI
by
James G Zack
Executive Director
Corporate Claims Management
Fluor Corporation
.
This paper is a keynote presentation at the ICEC Congress 4th World Congress, Cape Town, South Africa, April 2004
ABSTRACT: There is a growing crisis in the field of project management. More companies today define themselves as “projectized” – that is, their business model is one of executing a series of never ending projects. There are more people today who have the title Project Manager than at any time in history. Project management is now considered, by some, as a profession unto itself. Many professionals no longer refer to themselves in terms of educational background or training – as civil or mechanical engineers, software developers, computer engineers, etc. Rather, many now define themselves as Project Managers. As more project management certifications become available and are popularized by individuals and rewarded by employers, this trend is bound to continue for the foreseeable future. But, do these certifications make an individual a successful Project Manager? This paper will offer observations on what it takes to become an effective project manager. It is the author’s belief that a solid foundation in the area of project controls (cost engineering, estimating, scheduling, budgeting, cost tracking and trending, etc.) is a prerequisite to becoming a successful Project Manager. While many consider project controls a career in and of itself, it is the author’s contention that Project Managers are far less likely to succeed without a thorough grounding in project controls.
“[This certification] is your ticket to success as a project manager. … We use proven accelerated learning techniques to condense 180 hours of exam prep time into a five day program…”
“Instead of telling you what to learn, we help you learn and memorize the essential material in class. When you finish the … three day … course, you’ll be ready to pass the … exam. [This class] prepares you to pass the … exam after only three days.”
"Improve project productivity and quality”
“Ensure optimal resource management, cost control and schedule management”
“Analyze project status, automate processes and ensure compliance in real time”
“Use simple, out-of-the-box integration … to identify project health problems”
James G Zack
jim.zack@fluor.com
Reprinted from ProjectNet, January / February 2004 issue. ProjectNet is the publication of Project Management South Africa
. It is extremely rewarding when a successful project is acknowledged through an industry award, but it is even more so when that project positively touches the lives of thousands of people, and brings out the best in the members of the project team.
Every month, the South African Government distributes three forms of social grants: old age grants, disability grants and child support grants. During the early 1990s, the Government decided to outsource the payment of these grants to private companies province by province. The last province to be outsourced was the Eastern Cape, and after a lengthy tender process, the tender was split in two, with Cash Paymaster Services (CPS) being awarded the contract for the eastern part of the Eastern Cape, and AllPay the western part. Part of the rationale for this was to see which supplier would perform best in terms of implementing and serving the three-year contract, as the next contract would be awarded to just one company.
AllPay proceeded to outshine the competition - coming in 3.6 percent below budget - and with more beneficiaries paid and more sites visited in the first month of payment than that of any other province. This is how they did it…
The Team
During the tender process, AllPay approached ProjectWay Consulting and Contracting, a small project management firm, to assist with the project development and implementation. The final implementation team comprised individuals from different cultural and educational backgrounds, who had never previously worked together. Giel Bekker from ProjectWay was appointed project manager, with a comprehensive team dealing with specific functions.
The short space of time between team formation and project implementation meant that there wasn’t really an opportunity to get to know each other’s strengths and weaknesses, but from the start, there was a mutual and absolute commitment to success.
The System
At the heart of the AllPay system for electronic payment, is the technological innovation that enables social grant beneficiaries to withdraw cash at predetermined cash pay-points using a “smart” (micro-processor) card. These payments used to be made at the Post Office using a voucher system, direct payment into the beneficiary’s account or by cheque. “The AllPay system includes biometric information in the form of finger-print records for the purposes of security and convenience,” says Giel. The process that the AllPay system enables includes enrolment of qualifying individuals and data capture (information, photograph and fingerprint), card production (recording of information on microprocessor chip, lamination), card issue at the enrolment site, and card payout according to the payment schedule and procedures stipulated by the Department of Social Development, using AllPay technology and transport.
The project was for the total implementation of the system, so included a number of additional elements, such as infrastructure, staffing and training of operational personnel, communication campaigns to reach the intended audience, vehicles and transport for the physical pay-out machines, logistical requirements, safety and security measures.
The Methodology
“We began by developing a relevant methodology, which we called the AllPay Project System Model (APSM) that had a proper lifecycle definition as its backbone that could be used for reference and to measure progress,” explains Giel. The phases of the lifecycle were defined as tender, awareness, mobilisation, execution and close-out. “Once these had been defined, the knowledge areas, as per the PMBoK, were addressed according to the project requirements,” he adds. These knowledge areas served as the framework for the Project Plan of Execution (PPoE) which controlled the project.
Scope
The scope of the project included all the items, activities and services required to meet the Service Level Agreement drafted after the tender was awarded. The objective was thus to implement the AllPay System as a functional operation to pay social grants, on behalf of the Department of Social Development in the Eastern Cape, for a contract period of three years.
The region of service was divided into three main areas, East London, Queenstown and Port Elizabeth, which comprised 240 payment sites. The project officially started with the tender award in May 2002, and ended when the last site was card paid, in January 2003.
According to Giel, they realised early that the seven months of implementation would not be an easy ride. For a start, the backbone of the project, the file containing beneficiary information, was totally unreliable. Beneficiary information with regard to pay point registration and actual pay-point allocation was flawed, so the team had no idea how many or who would arrive where and when for card issue or payment. To add to the confusion, there was a misleading allocation of pay-points at the border of the areas assigned to CPS. The Departmental Districts were not informed about the project and personnel opposed collaboration in the early stages.
Time
Development of a project schedule needed to take a number of factors into account, such as how long it would take for enrolment, card production, card issue and payment in each of the three areas, the time needed to communicate with beneficiaries, delivery of equipment and appointment and training of staff. Other issues included availability of armoured vehicles for transporting cash and readiness of area offices. The team realised that it would not be possible for all people to enroll and receive cards, and be paid during the first month. They set a target of 70 percent enrolment and payment for a successful first round, and managed to achieve an 85 percent enrolment figure, while all beneficiaries were paid via ID book or an AllPay card. Overall, the project met the “very optimistic and aggressive schedule” and surpassed all previous project roll-outs in the other provinces.
Cost
Not only did the team manage to bring the project in R1 350 000 under budget, but their actual income exceeded their projected figure by 15 percent from March 2003.
Quality
Quality management was specifically focused on securing buy-in from the Department and beneficiaries, respectful and appropriate day-to-day interactions with the beneficiaries – which was centered around a customer relationship programme presented to all operational and security personnel – adherence to the norms and standards criteria for Social Distribution, and detailed testing procedures for the technology being used.
Human Resources
HR activities were divided into the empowerment of people and the functioning of the implementation team. One of the objectives of the project was to assist black companies and individuals to develop and empower themselves in the commercial world. This was achieved by: appointing a black-owned labour broker to handle the contract personnel appointments; a joint venture with a black-owned security company; appointing 95 percent of contractors from previously disadvantaged groups; and sourcing office equipment from black companies.
The implementation team, having never worked together before, faced the challenge of implementing a high-tech system in one of the most politically troubled provinces of South Africa without accurate information within a time period that was unheard of.
The team had to think on their feet, and deal with people who were disillusioned with the old system and unsure of the new. On some occasions, staff were threatened with harm and sworn at, but they managed to keep their spirits high.
Communication
Effective, timeous communication was vital and was divided into informal, formal and beneficiary communication. Informal communication referred to day-to-day discussions between team members, while formal communication related to contractual decisions and agreements. Beneficiary communication was a comprehensive, though time-consuming exercise. It had to take into consideration the fact that one pensioner’s grant may support whole families – and that this system would be seen as affecting their survival. Direct communication was done largely in person through three teams of community liaison officers (CLOs) who had giant pictorial talk boards and other printed and electronic communication channels with which to impart the messages. Newspapers, pamphlets and radio in different languages further helped to communicate news of the impending change, enrolment and payment dates.
Risk
Formal risk studies were done to quantify and rank the risks. Action plans were developed for the higher risks and monitored via feedback at the progress meetings.
Procurement
This part of the project was fairly simple. The hardware and software suppliers have a long-standing relationship with AllPay and items were procured and tested in time.
Integration
The project integration was really driven by the commitment of the team, even though the PPoE was drafted upfront. It was clear from the start that a detailed schedule would not be feasible, and the team had to work towards key milestones.
Besides the challenge brought about by the timing, dealing with a vast number of people and the obvious security risks associated with transporting cash-dispensing machines, the team also had the elements and environment to contend with. In August 2002, the area had the worst snowstorms and rain in 50 years, which resulted in vehicles transporting heavy equipment becoming stuck in mud. A team member was taken hostage and tied to a tree. The media was also a harsh critic as the project was very much in the public eye. “Despite these challenges,” says Giel, “the team was able to maintain high spirits and laugh at the misfortunes later.”
Wins along the way included the good relationship with the Department of Social Development in the Eastern Cape. “Although they were the client, their feedback also served as a yardstick for how we were doing. They encouraged us through all the bad press and were very motivating on the people side,” says Giel.
And when the beneficiaries saw the result of the system, and realised they no longer had to queue from the early hours for the morning, they were full of compliments for the project team – dispensing hugs, kisses and applause.
This project team is certainly a worthy recipient of the award, which Giel says is a special tribute to an excellent team.
We all live in a momentous time slot as for the first time in civilization the human networks are being built. This process has far-reaching implications and will cross all frontiers of imagination. It is just a beginning. We have not yet seen the tip of the iceberg. The new game, which is emerging, has yet to establish its rules. Who will be the winners and losers is difficult to predict except those perhaps who have won the race against time in the time domain. Those who have tamed time. The tail of the time has shifted to the forehead and only those can hold time that are ahead. Internet has changed this world. There is no shortage of ideas but the will to implement.
This new formation of world based on instantaneous connectivity in the mental plane and 7 by 24 working hours availability to the corporations has made the change management as the key factor in moving from the old to new world. The delivery of Water (310BC), Gas (1817), Telephone (1877), Electricity (1882) and Road infrastructure (1910) conquered the thirst, cold, isolation, darkness and movement. They created the most spectacular changes in the history of mankind in the past. To one generation they were technological miracles. To the next generation, they were practical necessities.
In the present century, the new darkness now has been set in and can only be removed by the light of knowledge. We truly live in the knowledge age. It is the basic ingredient for today to progress. Knowledge of one person must get transformed into a strategic resource of a company through lessons learned and share. This is the critical success factor for companies and individuals to come to a common ground.
Time is becoming the most crucial strategic weapon and the pressure is on to compressing time as much as humanly possible. The quantum of changes is phenomenal. The changes, which have occurred through the acquisition of information and analysis in less than last 10 years, have surpassed that, happened in the whole 20th century. It is forecasted that the changes, which would happen in the next 4 to 5 years, will surpass that of last 10 years. These unimaginable processes resulted in unprecedented rate of change giving rise to non-linear and complex transition process. This is one of the main Causes for the unbelievable expansion in the following of modern project management principles in the last 7 to 8 years. The growth of modern PM profession is 6 to 7 times as project management principles do address the issues of change and transition effectively throughout the life cycle of a project.
Coming back to Time compression domain, in my opinion, there have been 4 major sets of scenarios on which the world has seen the impact. Before 20th century, the time compression was significantly lower as men had to interact with Mother Nature. You could not fiddle around with the nature and were governed by the natural time constants as when the monsoon will arrive and go. The agriculture society was based on such a situation. The beginning 20th century, we witnessed the low time compression as a result of Industrialization. We have better control on time as we dealt with the interaction between men and machine. Mid 20th century, the medium level of time compression came into existence when management initiatives played an important role in improving responsiveness. The key to propelling the progress was to make human beings more responsive by compressing time. In the 21st century, time compression was enormous due to E-Technology. It is this high compression, which is making us to increasingly be more concerned in both the compression aspects and its reaction. You may compress but if you have no control on its reaction, it is simply disastrous.
Project management is emerging in its own right a distinct discipline. Research, Body of Knowledge, Common Understanding of practices, education, Standards and Certification are the 6 major components for a discipline to exist.
The new frontiers in project management are addressing the issues such as measuring project management maturity level of companies and institutions; building effective teams; managing risks; capitalizing failures into assets; communicating the vision without ambiguity and ultimately putting passion into work profile to convert vision into reality and abstract into concrete. The profitability alone is not the only scorecard, which needs to be improved. Societies and companies have to evolve their own companion scorecards for determining the success of projects and the methodologies. Only when Business Strategies, Infrastructure and Project Mindset are integrated that we see the companies and societies thrive. Project management plays the most crucial role in integrating these three main ingredients essential to progress. The project mindset is emerging based on new outlook. Some of the primary characteristics of project mindset are in compressing time, instantaneous response, knowledge sharing, leveraging negative encounters and putting passion before work.
Turmoil, uncertainties and unprecedented rate of change are all leading to one-way traffic confirming the postulate that conventional wisdom of managing projects is no longer adequate to paint the future. We need to look beyond our nose and open the mind attached to the past. Innovative way seems to be the only way in managing change and transition. Innovation is becoming the right of every individual in a project.
Innovation management has no fixed mould. Innovation management is not content with in command and control regime. Innovation management is based on entrepreneurial outlook in owning problems or forecasting and finding solutions. It is becoming different than owning capital. There is no ceiling and confinement of any sort. Project managers and team members are free to be on their own connected on a common platform of achieving excellence and results, which were never achieved before. This is tantamount to breaking of ceilings that have been rigidly fixed creating suffocation at the work place because being kept at very low height.
How should we liberate project teams from the torture of meeting time schedules and be the fire fighters as it sucks away the very basic meaning of life to enjoy while you work. Only in serene frame of mind that one tends to produce the very best. If the serene frame of mind is the prerequisite of art in music and paintings, how come it will not be when we work on projects? No, no, don’t tell anyone that because project management is scientific and measurable. It may be true but does not make it opposite to art in all its naked form. Project management is an art and science of converting vision into reality and abstract into concrete. It is the over emphasis of scientific side of project management responsible for creating such havoc.
The following nine steps are suggestive measures to provide new dimensions to the management of projects.
Step 1: Believing in discontinuity and not continuity with incremental improvements
Continuity or the status quo is a function of quantum of changes. Incremental improvements are valid only when the rate of change is not excessive. Both the continuity and incremental improvements are linked with the rate of change and quantum. Beyond a threshold of rate of change, one cannot go with the continuity and incremental improvements. The modern day Internet and technological based world has witnessed the unprecedented rate of change and explosion in the quantum of changes. It is this process which has resulted in making continuity theory as baseless. Continuity in principle is to preserve the past where as discontinuity breaks the linkage with the past to the extent it can have fewer constraints to move into the future.
There is no choice except to believe in discontinuity as only then mind and body are prepared to accept the unknowns and be ready to face it and control thereafter.
Step 2:
Owning the problems and sharing the solutions
The more one owns a problem, more he becomes experienced. It is not the number of years of service one has performed for a company but how much number of problems was faced and owned is now becoming the benchmark to define an experienced person from inexperienced. The true spirit of entrepreneurial outlook is to own the problems and solve the same and in this process make Money. The fixed mould mentality is to empower the problems to be faced outside than oneself and get the credit for solutions.
Step 3:
Breaking the status quo mentality
No change means perpetuation of the Present into the Future. This is in contradiction to the nature as Future is not the extension of Present. Breaking the status quo mentality implies in taming the future as it is the future which becomes Present at some point of time. Focusing into Future and affecting the Present is anti-establishment and require concerted efforts to move out from the comfortable zones. Project managers can hardly afford to have status quo mentality as day in and day out they are involved in acting in present to affect Future. At times, when we do not get away from the status quo mentality, contradictions fall apart everywhere in the project between the two types of group- the champions of future and those who believe in extending Present.
Step 4:
Stepping out of comfortable zone
As apart of the step 3 and in a way extension of it, the comfortable zone is to hard to break and cross. Fear of uncertainties makes the comfortable zone more comfortable than if the fear did not exist. The project managers of tomorrow are those who have so called comfortable zone carve out from that area which conventionally is uncomfortable and that is the zone of uncertainties. If we seek comforts in conquering the uncertainties with planning and indomitable spirit of winning, then we are able to provide project leadership and inspire the team members to plunge into risk taking.
Step 5:
Human capital by-passing financial capital
While the agriculture society witnessed the Nature as the foremost, the 20th century saw the men-machine interaction as the key factor for the capital formation. 21st century in this Internet age is beginning to see the human capital surpassing the financial capital. Venture capitalists were all over the place to fund any idea, which they thought would create a brave new world. Its consequent failure in the last couple of years could not be attributed to the over faith in Human capital but absence of effective filtering mechanism from good to bad idea. While Return On Investment (ROI) could be seen as financial driven phenomena, Return On Time Invested (ROTI) is basically based human efforts and its deployment. ROTI will be more meaningful to ROI in the context of new processes on their way to unfold in the beginning of 21st century.
Step 6:
Transform work culture from 5 to 7 dimensions
Conventionally we all live in the conventional 5 dimensions of space i.e. X, Y and Z, Time and Mind. We need to supplement on these 5 dimensions the additional 2 dimensions of Passion and Joy If we do what we want do then the gap between Wish and Reality is so little that one is in position to provide its very best. It is his/her added 2 dimensions, which make the total difference. The new miracles in project management will take place when we bring the work of joy like in the art domain of music and paintings in our project work.
Step 7:
Real number of encounters replacing number of years of experience
The experience profile should be redefined by the number of encounters and problems faced instead of number of years. The wisdom evolved based on encounters is far richer than accumulated simply by repeating the same encounters n number of times in one’s employee ship. The secret is to increase the encounters meaningful to one's own dream or passion profile.
Step 8:
Seeking meaning out of change
Change is first degree. It is a must. Change can be threat or an opportunity. It depends how one looks at it. If change is resisted, it becomes all the more difficult to see the real outcome of the change as it is partly distorted. Project implies change and that too a temporary one. It is essential to make people to have a real communication about the change. One of the major strategies to bring about a change is to communicate, communicate and communicate.
Step 9:
Detachment from the fruits of the results
To act is within one’s control. To get the reward as a reaction to the action is not within one’s purview. Too much emphasis on that part, which is not within our control, is a wasteful exercise instead concentrates on actions to the best of one’s ability. The results so arrived at must be analyzed from the cause and effect relationship and constant learning must be made out of all such actions or group of actions. Attachment with the results of the actions often dilute one’s own energy and may shift one’s focus from the main road to its detour. Detachment from the results does not imply one should not demand or expect materialistic benefits, no, it only means that in case you do not get what you deserve, leave it and move forward rather than brooding over that part which is not within one’s control. The journey comes to a standstill if we get attached to the surroundings and to the results of the present beyond a small time frame. Project managers and team members are never stationary. They must move on.
In summary, the new discovery or dimensions in project management heavily depends on the human factor of breaking ceilings, getting motivated all the time, working with passion, detachment with the results rather than with the actions, human capital surpassing that of financial capital, breaking the status quo mentality, owning the problems and solutions and creating discontinuity. The journey has just begun and it must continue as in the human race, there is no finishing line.
Adesh Jain is a Member of the Board,
International Project Management Association, Switzerland,
Vice Chair, International Development SIG, PMI, USA and
Founding Member of Global PM Forum. He is Director-in-charge, Centre for Excellence in Project Management & Founding President of PMA, India.
Reprinted from ProjectNet, November/December 2003 issue. ProjectNet is the publication of Project Management South Africa
When the Rihanyo Health Information System project came to an end after three and a half years, project manager Dirk Bertels was in a position to reflect on some of the unexpected lessons learned along the way, and the tools that contributed to project success.
Rihanyo Health Informatics (Pty) Ltd was a consortium formed out of IBM South Africa, Intersolve Health Informatics and three empowerment companies, namely Kwetliso Technologies, Continental Pharmaceuticals and Ukhukulu Investments to provide a Health Information System for South Africa’s Gauteng province. Project goals were to improve the quality of patient care while conforming to the National HIS and Provincial IT strategy, to assist in building toward an electronic government and in doing so advance black economic and gender empowerment.
The main tool implemented by the project team was the World-Wide Project Management Methodology (WWPMM) which is the IBM methodology born out of a collaboration between the Project Management Institute (PMI) and IBM Corporation. WWPMM meets the requirements of PMI’s Project Management Body of Knowledge (PMBoK), and suggests not only activities but is also a set of tools providing an overriding methodology. The WWPMM involves templates for any possible scenario, which can be customised and scaled as required.
“A fool with a tool is still a fool,” says Dirk, “So it was important to customise and apply the tools to our target audience in a way that made sense to them.” In the case of Rihanyo, the audience comprised mainly government officials who were first-time users of project tools. The tools used had to accommodate different levels of reporting according to the levels of user sophistication that prevailed. Specific tools were necessary for scheduling, and to consolidate 18 plans into a master project plan. “We found that MS Project was more than adequate for this,” says Dirk. A more complex requirement was for a database for financial reporting of the numerous and complicated activities around 20 suppliers, and 12 sites, over the three year period. In response, the team developed a turnkey Access database that literally saved the project – enabling reports to be pulled for any requirement.
Two key criteria governed the project, namely cost control and the development of people. The financial database meant that spending could be well-controlled, but it was more difficult to find a way to measure how people were being developed through each interaction in the project. “Skills transfer became a major topic for debate,” says Dirk. “We were looking for a way to measure learning over the three years and then be able to say which portion of the learning was as a result of the project. The tool that was eventually implemented measured how many people had interaction with the project team, and the amount of time spent with each person, as an indication of skills transfer. We used a format that involved signing a register at each interaction and keeping a database to track this. Other reporting was done around formal training, and this also contributed to the ‘people development’ database.
This project required that a lot of attention be paid to the soft issues, such as team development across multiple organisations, empowerment and collaboration issues, and dealing with technical challenges.
“We measured satisfaction after training, in terms of the content, environment and infrastructure by having attendees complete evaluation forms. All in all we received 11 183 completed forms, which helped us to measure ourselves, before submitting a report to the sponsors.” Empowerment was measured by the number of People Development Interaction (PDI) posts created. Just under 80% of the posts created were filled by PDIs. “Some of these appointments were made literally off the street,” says Dirk. “Several of these became change agents or trainers. One such person in particular emerged as a star performer, becoming an application consultant for all the financial modules of the application.”
Human Resources processes were adapted and adopted from the different performance management systems employed by the different companies represented in the team. The results of these would then be fed back into the respective companies so individuals would receive due recognition for good performance as part of the team, and be recognised by their company.
One of the earliest team-building actions to be put in place was the creation of a team vision. At any given time the team comprised between 80 and 100 people, who had to be aligned to a common goal. “We drew a simple picture,” explains Dirk. “We said that if the Department of Health wanted to continue the project, they’d do it with us.” This was a strong motivator for those who were previously unemployed, as it meant another ten years of guaranteed employment. It was a vision for the future that brought everyone together there and then. They lived the vision, which was verbalised continually, and we were impressed by the dedication we saw as a result.”
“We defined work rules, ethics and codes of conduct as a team, published them and had everyone sign them. This was to show mutual respect by defining, and displaying, desirable behaviour. We also had access cards made with Rihanyo branding, so that team members had a sense of significance and felt part of the ‘company’. Only card-carriers had access to the sites.”
Monthly events were held for updates, and quarterly team-building sessions took place. These sessions became a central focus because they were really enjoyable. Some people had never been exposed to things like abseiling, obstacle courses etc, and these sessions really reinforced the ‘doing it as a team and for the team’ approach. The effect this had on their work was that people would assist other to meet their deadlines if they were ahead of schedule, constantly keeping the success of the team, and not the individual, in mind.
An annual event was held and awards presented to those who stood out. ‘Noddy’ awards were also made on the spur of the moment for arbitrary things that recognised individual qualities and experiences throughout the three years. These were usually nominated by fellow team members.
Tools applied on the customer level were numerous. They included a mentoring programme to impart knowledge on specific issues, a shadowing programme in which end-users would follow team members around to see how certain things were done, and a twinning project, in which people with matching output requirements would work together to transfer skills and learn about better practices.
This case study raises the importance of a comprehensive view of the tools available, and that sometimes need to be invented, to effectively respond to issues. It also highlights the importance of proactively dealing with the soft issues.
In 2002, Dirk was recognised for his exceptional work on the Rihanyo project when he was presented with the IT Projects Master Award, which forms part of the Computer Society of South Africa (CSSA) President's Annual Awards programme, in association with ITWeb and Meta Group.
AACE International - the Association for the Advancement of Cost Engineering (AACEI - United States of America)
AACE International and the Royal Institution of Chartered Surveyors have agreed to complete a memorandum of understanding between the two organizations. The memorandum's purpose is to improve consultations and to identify steps which the two organizations can take to cooperate on matters of mutual interest.
The document has been coordinated between AACE and the RICS Construction Faculty. AACE International and the RICS have areas of expertise which can benefit both organizations and membership through cooperation. Potential areas of common interest have been identified as professional development, education, member services, and professional services. One early product of this cooperation is a joint meeting between the local sections of AACE and the RICS in New York City in March 2004. The memorandum of understanding is scheduled to be signed at the AACE annual meeting in Washington D.C. in June 2004. More information about AACE, AACE annual meeting and the RICS can be obtained at http://www.aacei.org or http://www.rics.org.
Allen C. Hamilton PMP CCE
Chair Intersociety Liaison
AACE International
AACE International's newest certification program is designed to recognize the Planning and Scheduling Professional. This certification program offers specialty credentials for the professional who wants to validate his/her skills.
While many professionals do planning and scheduling, until now there was no way to effectively measure their capabilities -- except through real-life performance. AACE's new PSP certification provides an exam and experience validation that lets industry and users identify those who are competent professionals.
AACE is pleased to announce that the first PSP exam will be held on Saturday, June 12, 2004 at the 48th AACE Annual Meeting at the Omni Shoreham Hotel in Washington, DC, USA.
What is the PSP?
Developed by a distinguished task force of industry experts assembled by AACE International, the PSP designation recognizes specialists who meet a demanding set of planning and scheduling criteria -- a rigorous examination, experience, education and ethical requirements. The task force established the PSP requirements to reflect the sophistication of individuals in today's planning and scheduling industry and to fairly measure their knowledge, experience and best management practices.
PSP certification will distinguish you as a Planning and Scheduling Professional who has the knowledge and skills that impact the bottom line. With AACE Certification, you can be sure that you have met a high quality standard.
AACE has considerable experience in offering specialty certification programs. AACE has been testing for Certified Cost Consultants (CCC) and Certified Cost Engineers (CCE) since 1976, and has other programs accredited by the Council of Engineering Specialty Boards (CESB) and the International Cost Engineering Council.
Find more information about the PSP certification or register online at http://www.aacei.org/certification
Jennie M. Cunningham Amos
Manager, Marketing & Meetings
AACE International
Asociación Española de Ingeniería de Proyectos (AEIPRO - Spain)
AEIPRO, the Spanish Association of Project Engineering, is planning an Expert Seminar to be held in Bilbao, 6 - 8 October 2004. The seminar theme is "Working by Projects." For information, contact AEIPRO at Maria de Luna 3, E-50018 Zaragosa, Spain. Phone: +34-976-761910; Fax:+34-976-772235; E-mail: aeipro@posta.unizar.es or see the AEIPRO website, http://www.aeipro.org.
Association of Cost Engineers (ACostE - United Kingdom)
At the December meeting of the ACostE Project Control NVQ user group (ProVoc) we were informed that the National Regulatory Authorities have approved the redevelopment programme for the Standards.
The Engineering Construction Industry Training Board (ECITB) will head this project and ProVoc has been requested to assist where possible in the interface with industry.
Funding will be made available in April 2004 and the development consultant has been selected and approved.
As a preliminary to the work of the development team we are canvassing ACostE members and supporters for information on what currently comprises a project controls practitioner’s occupation. We are concerned that we gain as accurate and up to date view of our occupations as possible. To this end, please could you send to me (Richard.plumb@btinternet.com) an electronic copy of your current job description with a short note detailing your job title and business industry? If you work in an office with individuals of a different project controls discipline, could you also get them to contribute their own information? We require input from Project Service Managers, Estimators, Cost Engineers or Analysts, Planners, Contract Administrators etc. and it would be appreciated if you could respond as soon as possible. All information received will be treated with high confidentiality.
As part of the re-accreditation process the Regulatory Authorities will also require an Assessment Strategy to be prepared and approved. This will ensure that all the processes of candidate assessment and verification for resulting reformatted qualifications, continue to be strictly quality controlled by the approved delivery organisations and by the awarding bodies.
The current project controls vocational qualifications at level 3 and 4 are still valid and new candidates continue to be accepted. It is anticipated that the Awarding Body will apply for an extension of operation to last until the new qualifications are ready. It is scheduled that approval of the redeveloped standards will be requested by the third quarter of this year.
We in the ACostE are delighted that the Standards have been approved by the regulatory authorities as worthy of being up-rated in line with current industry practice. Since their implementation in 1997 they have provided many hundreds of candidates with training opportunities and a means of demonstrating their worth to employers, peers and professional bodies.
Richard Plumb
NVQ Chairman
ACostE
Associazione Italiana d'Ingegneria Economica (AICE - Italy)
The main activities of the AICE during 2003 have been:
Gianluca di Castri, FwAICE EIE ICECA
AICE Delegate to ICEC
Australian Institute of Quantity Surveyors (AIQS)
Terry L. Sanders
AIQS General Manager
A delegation of “Research Institute for Standards & Norms (RISN), the Ministry of Construction of People of Republic of China” came to Japan and made a visit to Building Surveyors Institute of Japan (BSIJ) in December 2003.
In China, reform of their economic system is in progress and cost management systems for projects are now under review. The delegation made a visit to BSIJ for the purpose of studying systems implemented in Japan.
The delegation and BSIJ had an opportunity for an exchange of views in February 2000. Further, as members of “China Engineering Cost Association (CECA)” participated in 7th PAQS congress in Tokyo last November, 2003, the meeting commenced in an atmosphere of friendliness.
Enquiries from the delegation were detailed and focused on management systems for projects and costs in public and private sectors. BSIJ responses Were:
In public sector building projects, the quantities for construction works are being prepared based on the “Standard Method for Measurement of Building Construction works”, and the unit rates are being set by a statistical arithmetic process with published cost databases. For these types of contracts, most contracts are lump-sum contracts, in which the quantities do not form any part of contract conditions, treated just as references in Japanese practice.
In private sector projects, besides the competitive bidding system, many projects have been adopting a “direct single selection and negotiation system." For the procurement of the design and the construction works, some cases are separate procurement packages and some are combined as “Design & Build”, depending on circumstances.
As to the selection of contractors and the setting of the contract amount, two types of bidding systems are being implemented in public construction projects, ”open bidding for public” and “selective bidding” system. The Ministry of Land, Infrastructure and Transport (MLIT) has put an e-bidding system into practice since April ’04, in order to improve their accountability as well as efficiency.
Project cost reduction is the major issue at present in Japan and various types of bidding systems are being introduced such as bidding for “Design & Build package”, “a bid with alternative proposal”, ”comprehensive evaluations to contractor’s proposal” and so on. As the cost management at the upstream of individual project, Value Engineering (VE) in the planning/ design phase is commonly practiced. In some cases, private sectors projects are adopting a management system, i.e. project management, construction management.
On the other hand, BSIJ made questions to the delegation about the Chinese construction practice concerning settlement of the contract amount, effects of inflation and so on. Outlines of responses from the Chinese delegation were:
Takayoshi Sato
Director
Building Surveyors Institute of Japan
Canadian Institute of Quantity Surveyors (CIQS)
Canadian Institute of Quantity Surveyors President, Clark Campbell and RICS Canada President, Chris Corps, have signed an agreement for the two organizations to work in closer co-operation. The Memorandum of Understanding (MOU) is aimed at increasing liaison and co-operation between the two organizations and leveraging the strengths of both memberships, to the benefit of the profession and the public.
The agreement recognizes the importance both organizations assign to the future of Quantity Surveying as a technical specialism fundamental to the real estate sector. To the Canadian property industry, the agreement signals a further step towards the availability of high quality property advice and raising standards. The two groups will work together to promote the development, acceptance, education and enforcement of quantity surveying standards, drawing on best practice from Canada and beyond.
The agreement also recognizes the common interests of members in the two organizations. RICS membership gives an internationally recognized property qualification, while CIQS is the recognized Canadian standard.
Announcing the signing of the agreement, Chris Corps, President of RICS Canada, said “Global commerce creates a requirement for internationally recognized standards of practice in all aspects of property ownership, development and occupation. RICS members recognize the merit of strong professional advice on real estate costs and development implications, prepared by a professional quantity surveyor. CIQS has been instrumental in establishing this in Canada and by working co-operatively together with CIQS, RICS hopes to both support Canadian members’ education and bring RICS’ international recognition, knowledge and business contacts to the partnership with CIQS”.
Clark Campbell, President of CIQS, said “This MOU serves our members and potential members well. As the established Canadian professional quantity surveying organization, we look forward to accessing RICS resources and membership through this agreement, while broadening membership development and standards through wider understanding of international practices. We hope this will give our members access to an internationally recognized qualification and help generate business leads from international firms operating in Canada.
Clark Campbell
President, CIQS
Czech Association of Project Management (Spolecnost pro projektové rízení - SPR)
The certification body of SPR passed another audit performed by the Czech Institute for Accreditation (CIA). Part of the process has been modification of documentation and procedures. Due to this submission of documentation for accreditation of our certification process by ICEC has been delayed. We expect to submit this documentation to ICEC no later than the end of April.
SPR is encouraging the creation of SIGs (special interest groups). The first proposal the board of SPR received is from a group of corporate and individual members interested in traditional construction projects. If the proposal is accepted at our next board meeting in March we will be looking to co-operate with similarly oriented SIGs and/or associations.
Petr Chlupaty
Past President, SPR
Ghana Institution of Surveyors, Quantity Surveying Division (GIS)
The following are the Council Members of the Ghana Institution of Surveyors for the 2003 – 2004 session:
Officers Elected:
Institute of Quantity Surveyors of Kenya (IQSK)
The Institute of Quantity Surveyors of Kenya (IQSK) is a non-political and non-profit making Organization which was founded in 1994 with the object of: