Overview of Execution Certainty on Megaprojects

1. Execution
Certainty
By Hanover, Sadoff, and Wallace
For Megaprojects
™

2. “Over Budget, Over Time,
Over and Over Again.
– Bent Flyvbjerg,
Oxford Handbook of Megaproject Management
The Iron Law of Megaprojects:

3. Layers of Complexity
Inadequate
Management
Underperforming Contractors
OptimismBias
Craft Workers
Unavailable
Logistical Challenges
Materials/Equipment Delays
Regulatory/Environmental Delays
Limited Capable Contractors
Jurisdictional
Complexities
Ineffective Stakeholder Communication
Inadequate Integrated Schedule
Baseline Schedule Acceleration
Misalignment in
Partner Organization
Lack of Execution
Plan Alignment
– Paraphrased from ‘Successful Delivery of Mega-Projects’, Construction Industry Institute, 2015

4. Nonetheless…
On the last 10 megaprojects we have
worked, our clients achieved:
 54 Days Early on Average
 80-105% of Budget
 6 Major Safety Awards
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

5. Our clients are setting a
different course…
Operating with new levels of:
• Confidence
• Discernment
• Transparency
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

6. ConfidenceIn achieving success every step of the
way on fully constrained projects.
(schedule, cost, scope, quality, & safety)
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

7. DiscernmentFor the handful of strategic issues that will undermine
success versus the countless challenges that must be
mitigated through traditional means.
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

8. Transparency
On exactly what is required to
effectively address challenges.
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

9. Execution Certainty
A complementary approach…
™
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

10. …that enhances existing
project management and
governance through:
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
PROCESS
Impact Behaviors
& PEOPLE
Bridges Disconnects

11. It starts with:
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
PROCESS
Bridges Disconnects Impact Behaviors
& PEOPLE

12. Project Team & Scope
Executive Intent
Existing Management &
Level 1-2 Milestones
Strategic Imperative
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
There is Almost Always a Disconnect Between
Planning & Strategy
Functions
Vendors
Operations
Misc. Contributors

13. Project Team & Scope
Executive Intent
Existing Management &
Level 1-2 Milestones
Strategic Imperative
Planning & Strategy
Functions
Vendors
Operations
Misc. Contributors
Establish Waypoints
Crystalize Success
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
Execution Certainty™ Bridges the Disconnect

14. Establish Waypoints to Build an Integrated Roadmap
Crystalize the
Definition of Success
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
Process – Sample Output

15. Process alone is not
enough...
Success
Waypoints
Crystalize
Establish
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
PROCESS
Integrated Roadmap Impact Behaviors
& PEOPLE

16. With experience on 50+
megaprojects, we have discovered
the greatest impact is made through
two key project differentiators:
Ownership
of What is
Required
Coherence
Everyone is
in Sync
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
The People Side

17. When Ownership & Coherence are NOT there…

18. Overview
Ownership
Coherence
Elevate
Ensure
Execution Certainty™
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
Success
Waypoints
Crystalize
Establish
PROCESS
Integrated Roadmap Impact Behaviors
& PEOPLE

19. Mitigate & OptimizeScope:
Roadmap
Governance
Waypoint
Ownership
Ensure
Coherence
Crystalize the
Definition of Success
Establish Waypoints
Identify Disconnects and
Establish Ownership
Embed Structure and
Best Practices
Engage Larger Team
and Align Contributing
Schedules
Resolve Initial
Disconnect and Embed
Practices
Elevate Governance
Support meeting all
Waypoints
Intervene Where
Required
Phase IV: 6-12 MonthsPhase II: 3 MonthsPhase I: 3 Months Phase III: 12-36 Months
Establish Expand Foundation Reliability
Project Success :
e.g. First Oil
Reliability
Success:
e.g.
Nameplate
Capacity
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
Phases of Execution Certainty™

20. Roadmap Governance Waypoint Ownership
Engage Larger Team Ensure Coherence
Sample
Output
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

21. Roadmap Governance
Meeting Modifications & Agenda:
Templates and Process:
Waypoint
Ensuring Quality & Consistency:
Detailed Strategies:
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.

22. Strategic Focus to Ensure Confidence:
Attendance Matrix:
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
Engage Larger Team Coherence
Process and Decks:

23. © 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
Levels Duration
3 Weeks
~3 Months
1-4 Years
3 Years
Readiness Review
Establish Roadmap
Overall Project Performance
Embed in Company
Engagement Levels

24. Ownership
Coherence
Elevate
Ensure
© 2017 Lumeri LLC. Proprietary and Confidential. Do not copy or distribute.
Success
Waypoints
Crystalize
Establish
PROCESS
Integrated Roadmap
PEOPLE
Impact Behaviors
A complementary approach
that enhances existing
project management and
governance on fully
constrained projects.
Execution Certainty™
&

25. “Over Budget, Over Time,
Over and Over Again.
Your projects don’t have to end…
– Bent Flyvbjerg,
Oxford Handbook of Megaproject Management

26. Doug Hanover
Principal
Doug@lumeri.com
Adam Wallace
Sr. Consultant
Adam@lumeri.com
Carla Sadoff
Partner
Carla@lumeri.com
www.lumeri.com
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