Incentives Performance Risk Mitigation Nov 1, 2010 Wind  to the sails of planned achievement Leverage Your Team with Bill Wolter  425-269-6301  [email_address]
Incentive Projects/Owners Alcoa  American Equipment Company Amgen Aventis Bethlehem Steel BP Texas City Century Chevron Dupont Elkem Solar Fluor Global Services Frito-Lay Genentech General Electric Georgia Power Hexcel IBM Imperial Oil Kennecott Lilly Nov 1, 2010 PNM (Luna Energy) Merck Newmont Mining (TS Power Plant) Nexen OPTI Parsons-Brinkerhoff Pfizer Phelps Dodge Procter & Gamble SCE&G Sipchem St Clair Energy St Luke’s Hospital Stelco Texas Utilities U.S. DOE (Fernald & Hanford) U.S. Embassy Haiti Wyeth Leverage Your Team with Bill Wolter  425-269-6301  [email_address]
Performance Improvement Projects Comparison Over a 15 Year Span $ X 1,000 Nov 1, 2010 Leverage Your Team with Bill Wolter  425-269-6301  [email_address] (Study by Humaneering International, Inc)
Individual Contribution Nov 1, 2010 Leverage Your Team with Bill Wolter  425-269-6301  [email_address] Capture Extra Effort
Results Expect to execute the project with t eam ownership Team will be waiting for the otherwise routine  cost report Team may decide to  reduce staff  instead of adding personnel Team will exhibit  value awareness  with or without formal program  Quality  will be controlled by individual and peer due diligence Project  schedule milestones  will be important to the team Meet or exceed Expectations of Company & Owner Nov 1, 2010 Leverage Your Team with Bill Wolter  425-269-6301  [email_address]
Performance Risk  Mitigation No separate agenda Team ownership of the project Self and peer accountability Controlled empowerment Value awareness Management support of the team Management’s visible interest in the team’s success Management follow-through Continuous reinforcement of plan and project goals Expectation of extraordinary results Coach the team Raises the bar for future performance Nov 1, 2010 Leverage Your Team with Bill Wolter  425-269-6301  [email_address]
Incentive Principles Must be fair to the owner’s organization first Must promote strong owner/contractor/employee relations Must focus on project objectives and line-of-sight metrics Must facilitate team work Must focus and engage individuals to maximize team contribution  Raises the bar for future performance Nov 1, 2010 Leverage Your Team with Bill Wolter  425-269-6301  [email_address]
Bill Wolter’s Contributions Highlights - Individual & Team Gained margins, 10-25% average range, over a 6-year timeframe, for 70 projects with profit at risk with team incentives. Recovered $50M at-risk cost in claim settlement supported by diligent operations analysis. $20M savings for retail store clients through cycle time reduction and increased efficiencies. Converted work culture from cost-plus to fixed price and doubled margin.  Implemented value awareness program that accumulated scope savings of $850,000 to offset change orders to the owner’s delight on a $99 million design-build-startup turnkey project. Coached a client to improve scheduled completion date through parallel sequencing of construction activities. Nov 1, 2010 Leverage Your Team with Bill Wolter  425-269-6301  [email_address]

Incentives Introduction

  • 1.
    Incentives Performance RiskMitigation Nov 1, 2010 Wind to the sails of planned achievement Leverage Your Team with Bill Wolter 425-269-6301 [email_address]
  • 2.
    Incentive Projects/Owners Alcoa American Equipment Company Amgen Aventis Bethlehem Steel BP Texas City Century Chevron Dupont Elkem Solar Fluor Global Services Frito-Lay Genentech General Electric Georgia Power Hexcel IBM Imperial Oil Kennecott Lilly Nov 1, 2010 PNM (Luna Energy) Merck Newmont Mining (TS Power Plant) Nexen OPTI Parsons-Brinkerhoff Pfizer Phelps Dodge Procter & Gamble SCE&G Sipchem St Clair Energy St Luke’s Hospital Stelco Texas Utilities U.S. DOE (Fernald & Hanford) U.S. Embassy Haiti Wyeth Leverage Your Team with Bill Wolter 425-269-6301 [email_address]
  • 3.
    Performance Improvement ProjectsComparison Over a 15 Year Span $ X 1,000 Nov 1, 2010 Leverage Your Team with Bill Wolter 425-269-6301 [email_address] (Study by Humaneering International, Inc)
  • 4.
    Individual Contribution Nov1, 2010 Leverage Your Team with Bill Wolter 425-269-6301 [email_address] Capture Extra Effort
  • 5.
    Results Expect toexecute the project with t eam ownership Team will be waiting for the otherwise routine cost report Team may decide to reduce staff instead of adding personnel Team will exhibit value awareness with or without formal program Quality will be controlled by individual and peer due diligence Project schedule milestones will be important to the team Meet or exceed Expectations of Company & Owner Nov 1, 2010 Leverage Your Team with Bill Wolter 425-269-6301 [email_address]
  • 6.
    Performance Risk Mitigation No separate agenda Team ownership of the project Self and peer accountability Controlled empowerment Value awareness Management support of the team Management’s visible interest in the team’s success Management follow-through Continuous reinforcement of plan and project goals Expectation of extraordinary results Coach the team Raises the bar for future performance Nov 1, 2010 Leverage Your Team with Bill Wolter 425-269-6301 [email_address]
  • 7.
    Incentive Principles Mustbe fair to the owner’s organization first Must promote strong owner/contractor/employee relations Must focus on project objectives and line-of-sight metrics Must facilitate team work Must focus and engage individuals to maximize team contribution Raises the bar for future performance Nov 1, 2010 Leverage Your Team with Bill Wolter 425-269-6301 [email_address]
  • 8.
    Bill Wolter’s ContributionsHighlights - Individual & Team Gained margins, 10-25% average range, over a 6-year timeframe, for 70 projects with profit at risk with team incentives. Recovered $50M at-risk cost in claim settlement supported by diligent operations analysis. $20M savings for retail store clients through cycle time reduction and increased efficiencies. Converted work culture from cost-plus to fixed price and doubled margin. Implemented value awareness program that accumulated scope savings of $850,000 to offset change orders to the owner’s delight on a $99 million design-build-startup turnkey project. Coached a client to improve scheduled completion date through parallel sequencing of construction activities. Nov 1, 2010 Leverage Your Team with Bill Wolter 425-269-6301 [email_address]