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‫الزمني‬ ‫البرنامج‬ ‫على‬ ‫النسب‬ ‫وتوزيع‬ ‫بالمشاريع‬ ‫األداء‬ ‫قياس‬
Performance Measurement and Weightage Systems
Mohamed Maged Hegazy
Project Management Consultant
LLM, MBA, PMP, CCP, P3O, MRICS
• Master in Construction Law – Salford University, Manchester, UK
• Master of Business Administration – UoPeople, US
• B.Sc. Civil Engineering – Ain Shams University, Egypt
• Consultant – Saudi Council of Engineers, Saudi Arabia
• PMP, Project Management Professional – PMI, US
• CCP, Certified Cost Professional – AACE International, US
• P3O, Portfolio, Programme and Projects Offices – AXELOS, UK
• MRICS Candidate - Royal Institute of Chartered Surveyors - RICS, UK
• FIDIC Contracts Consultant – Fellow of AIA, Brussels
• Author of 50 Planning fundamentals & Fundamentals of Construction Contracts
• Experience more than 21 years in mega-projects (Buildings, Infrastructure & Roads)
@magedkom /in/magedkom ArabPlanners @profplanner
1. Master and High Level Programmes
2. WBS Decomposition and Consistency
3. Consuming Time vs Cost vs Effort
4. Programme Weightage and Rules of Credit
5. Primavera Resource Loading
6. Appropriateness for control and forecasting
7. Narrative Report - Programme/Schedule Basis
8. Programme Updating and EVM
Lecture Content
@magedkom /in/magedkom ArabPlanners @profplanner
1- Master and High Level Programmes
Levels of detail, Scope priorities, Milestones, Rolling wave planning & Critical path/Calendars
@magedkom /in/magedkom ArabPlanners @profplanner
WBS vs Levels of
Detail
Rolling Wave
Planning
Critical/Longest
Path
@magedkom /in/magedkom ArabPlanners @profplanner
Master vs Level 2 Programmes vs Rolling Wave Planning
Master Programme:
- In case of having multiple
projects/ packages/
contractors (subs).
- Level 2 or 3 Programme
depending on the purpose.
- Level 2 can be appropriate
for progress monitoring
while level 3 can address
interfaces/dependencies.
Level 2 Programme:
- To agree between the
parties on the scope
priorities.
- To check the sequence,
constructability and key
resources required.
- To set initial dates for the
high level milestones using
parametric estimation.
Rolling Wave Planning:
- The scope elaboration
may require having more
details for the near future
work than the work coming
after 3-6 month depending
on the available data and
information (agility can be
adopted in such cases if
applicable).
@magedkom /in/magedkom ArabPlanners @profplanner
WBS Levels vs Programme Level of Detail
This depends on project size and level of control required (ref: AACEI 37R-06):
Level 0: This is the total project as a single bar spanning from project start to finish.
Level 1: This represents the schedule for the project by its major components. A
combination of Level 0 schedules for each component project.
Level 2: Each schedule component is further subdivided for Level 2. For example,
utility systems are further subdivided into water, electrical, gas, storm drainage and
sanitary systems, etc. Milestones are normally included (Scope priorities).
Level 3: The first level that a meaningful critical path network can be displayed and
the CPM schedule can be used to monitor and manage (control) the overall project
work.
Levels 4-X: The level of schedule subdivision continues to whatever is appropriate
detail for the user. When operating at more detailed levels, the planners generally
work with segments of the total schedule.
Often the project “rolling schedule” includes a “look-ahead” period of time (30–180
days) and a “look-back” at recent completed work periods.
Performance Measurement and Weightage Systems
@magedkom /in/magedkom ArabPlanners @profplanner
Project Duration - Critical Path Challenges - LODs
Review cycles,
resubmission and
taking over
process durations
Different working
days calendars of
project parties
such as reviewers
Contracts MSs are
normally based on
calendar days
without holidays
Longest paths are
much shorter than
expected during
tender
Holidays
Mobilization Taking over
Resubmissions
S F
Other parties
Critical path is
dynamic & change
in the updates
(contingencies)
2- WBS Decomposition and Consistency
Phases of construction/work, Zoning, Vertical levels, Trades and Logical dependencies
@magedkom /in/magedkom ArabPlanners @profplanner
Work Phase
Const. Phase
Building
Trade
Floor/ Level
Area/ Zone
• The best approach to decompose the WBS is to keep the dependent activities/paths as close as
possible for better monitoring and control.
• One you establish a decomposition approach, be consistent in all phases as much as possible.
Performance Measurement and Weightage Systems
3- PMS Basis (Consuming Time vs Cost vs Effort)
Mobilization, Engineering, Procurement, Construction and Close-out duration/cost/manhours
@magedkom /in/magedkom ArabPlanners @profplanner
Duration Weights:
- Timewise, activity takes
more time deserves more
proportional weight.
But:
- An activity can take long
duration without much cost
or resources required as a
shorter activity may need.
Cost Weights:
- Resources are loaded as
per payments because cash
flow is key in progress.
But:
- An expensive activity may
reflect a sudden high
progress while the project
is not ahead of schedule.
Manhours Weights:
Manhours address the
required effort to execute
any activity and it’s more
indicative for progress
While this neglects the other
resources & the difference
between payments and
progress makes confusion.
4- Applying Weightages on the Programme with Rules of Credit
Org. Maturity in PM and Quantity based activities vs Engineering and procurement progress
@magedkom /in/magedkom ArabPlanners @profplanner
Phase Weight
Mobilization 2%
Engineering
Submission/Approval 60/40%
10%
Procurement 3%
Prequalification 10%
Material Submission/Approval 20%
PO 20%
Delivery 50%
Construction 80%
Close-Out 5%
Example for a Construction Project JIT:
Break down between physical Mobilization and Early submissions
Break down by no. between all types of submissions and approvals (resubmission issue)
Does this include the manufacturing and how will it be measured or to split for long-lead items
Break down based on the productivity sheet and manhours assigned to each activity (Qty credit)
Break down between physical demobilization, snag/de-snagging and documents submissions
0/100 activities based on the issuance of the purchase orders
Break down between submissions and approval 60/40% (resubmission issue= e.g. 20%)
@magedkom /in/magedkom ArabPlanners @profplanner
Weights of All Activities
Activity ID Activity Name Weight
Project Name 100.0%
WBS1 10.0%
00-0-0-A10-CN-01000 Activity name 001 0.6%
00-0-0-A10-CN-01001 Activity name 002 0.6%
00-0-0-A10-CN-01002 Activity name 003 0.9%
00-0-0-A10-CN-01003 Activity name 004 0.6%
00-0-0-A10-CN-01004 Activity name 005 2.1%
00-0-0-A10-CN-01005 Activity name 006 0.9%
00-0-0-A10-CN-01006 Activity name 007 2.2%
Breakdown and
Calculations
Programme
Resource Loading
5- Primavera Resource Loading
Types of resources, Details by trade, Resource logic/Leveling and Appropriateness for reporting
@magedkom /in/magedkom ArabPlanners @profplanner
Manpower loading options (Manpower histogram/s):
- One resource and the details to be in a productivity sheet
- Crews only while total numbers are calculated outside (Not recomended)
- Mandays/hours of multiple resources as per trade (mason-carpenter …)
Equipment loading (Equipment histogram/s):
- The same options apply (Operators can be added to the manpower)
- The weightage can be loaded as non-labor resource or material resource!!
Material loading (Main KPIs, normally without a curve for total units):
- Main materials to be loaded such as concrete – steel – piping … etc.
- The weightage value can be Contract value or $100 / 1M … etc.
Rules of Credit – Incremental Milestones
@magedkom /in/magedkom ArabPlanners @profplanner
Standard methods of measure for construction vary widely depending on the nature of the work and the
number of steps.
The following describes five common physical
progress methods for measuring the extent of
completion of the scope of a work package:
1. Units Completed
2. Incremental Milestone
3. Weighted or Equivalent Units Completed
4. Resource Expenditure (Level of Effort)
5. Judgment
Progress Measurement for Procurement
@magedkom /in/magedkom ArabPlanners @profplanner
Be practical and remember that: “Standard methods
of measure for construction vary widely depending
on the nature of the work and the number of steps.”
Except for the manufacture/delivery stage gate, earned
progress for all gates will be calculated based on the
0/100% rule – that is, each stage gate cannot earn progress
unless all activities related to that stage gate are complete.
The manufacture/delivery stage gate should be the only
one that can be progressed as partial completion at the
discretion of the owner.
6- Appropriateness for Control and Forecasting
Progress %s/layouts, Remaining works, LOB and Practicality of look-ahead schedules
@magedkom /in/magedkom ArabPlanners @profplanner
P6 calculates the planned (schedule)% and actual (performance
EV)% only if the programme is cost loaded (Budget cost).
Therefore, we may load the weightage in units with cost (rate $1)
either equal to the project total cost or 1M … as aforementioned.
Otherwise, the resource units can be used for reporting.
This may contradict with the cash flow or other resource reporting.
Visualizing the progress is important via progress layout/4D.
Forecasting of the remaining work is also crucial for project control.
LOB and Remaining Work - Delay Quantification
@magedkom /in/magedkom ArabPlanners @profplanner
Forecasting Challenges - Practicality of look-ahead schedules
@magedkom /in/magedkom ArabPlanners @profplanner
Primavera filters are not always
useful. It may be not achievable
or less than required or not
practical on site.
Therefore, manual preparation
of the look-ahead schedules can
be helpful with reference to the
planned %s, dates, critical paths
as required.
7- Narrative Report - Programme/Schedule Basis
Info, Assumptions, Calculations, Details such as engineering & procurement logs/PMS and Outputs
@magedkom /in/magedkom ArabPlanners @profplanner
8- Programme Updating and EVM
Performance vs Schedule% (Baseline early/late, changed logic & revised %s), Reporting details and KPIs
- Are you reporting against the early planned or late planned or something
in between? And why?
- If you allows for fixing the out of sequence using a change log, do you
keep reporting the delays against the original baseline either? And why?
- After having a revised/recovery programme, do you keep the planned%
of the original baseline in your reports as well? And why?
AACE MARCH/APRIL 2020
Performance Measurement and Weightage Systems
Reporting details and KPIs
@magedkom /in/magedkom ArabPlanners @profplanner
Earned Value/Units according to Budget Cost/Units
@magedkom /in/magedkom ArabPlanners @profplanner
Planned Value vs Earned Value = Schedule% vs Performance %
(for PMS regardless Actual Cost and Cost Control)
Planned Manhours vs Earned Manhours (for PMS regardless Efficiency)
Planned Units vs Earned Units (for PMS regardless Changes in Quantities)
Points for Further Discussion
Planning and Project Control Arguments (PPCA Group for SMEs)
@magedkom /in/magedkom ArabPlanners @profplanner
1. Engineering and Procurement – Planning and Update
2. Repetitive Activities – Planning and Control
3. Effectiveness of the Typical/Common Look-Ahead Filters
4. Resource Loading - Detailed Manpower Planning, Reporting and Control
5. Change in Productivity from the Planned Rates, and Learning Curve
6. Change Log Application Limits - in case of out of sequence and other cases
My Publications
You can find more at: https://www.slideshare.net/MohamedMaged8
@magedkom /in/magedkom ArabPlanners @profplanner
Thank You
Don’t Hesitate to contact….
M.Maged Hegazy
mm.hegazy@ppmconference.net
Mobile : 00966 (0) 58 0264 968

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Performance Measurement and Weightage Systems

  • 1. ‫الزمني‬ ‫البرنامج‬ ‫على‬ ‫النسب‬ ‫وتوزيع‬ ‫بالمشاريع‬ ‫األداء‬ ‫قياس‬ Performance Measurement and Weightage Systems
  • 2. Mohamed Maged Hegazy Project Management Consultant LLM, MBA, PMP, CCP, P3O, MRICS • Master in Construction Law – Salford University, Manchester, UK • Master of Business Administration – UoPeople, US • B.Sc. Civil Engineering – Ain Shams University, Egypt • Consultant – Saudi Council of Engineers, Saudi Arabia • PMP, Project Management Professional – PMI, US • CCP, Certified Cost Professional – AACE International, US • P3O, Portfolio, Programme and Projects Offices – AXELOS, UK • MRICS Candidate - Royal Institute of Chartered Surveyors - RICS, UK • FIDIC Contracts Consultant – Fellow of AIA, Brussels • Author of 50 Planning fundamentals & Fundamentals of Construction Contracts • Experience more than 21 years in mega-projects (Buildings, Infrastructure & Roads) @magedkom /in/magedkom ArabPlanners @profplanner
  • 3. 1. Master and High Level Programmes 2. WBS Decomposition and Consistency 3. Consuming Time vs Cost vs Effort 4. Programme Weightage and Rules of Credit 5. Primavera Resource Loading 6. Appropriateness for control and forecasting 7. Narrative Report - Programme/Schedule Basis 8. Programme Updating and EVM Lecture Content @magedkom /in/magedkom ArabPlanners @profplanner
  • 4. 1- Master and High Level Programmes Levels of detail, Scope priorities, Milestones, Rolling wave planning & Critical path/Calendars @magedkom /in/magedkom ArabPlanners @profplanner WBS vs Levels of Detail Rolling Wave Planning Critical/Longest Path
  • 5. @magedkom /in/magedkom ArabPlanners @profplanner Master vs Level 2 Programmes vs Rolling Wave Planning Master Programme: - In case of having multiple projects/ packages/ contractors (subs). - Level 2 or 3 Programme depending on the purpose. - Level 2 can be appropriate for progress monitoring while level 3 can address interfaces/dependencies. Level 2 Programme: - To agree between the parties on the scope priorities. - To check the sequence, constructability and key resources required. - To set initial dates for the high level milestones using parametric estimation. Rolling Wave Planning: - The scope elaboration may require having more details for the near future work than the work coming after 3-6 month depending on the available data and information (agility can be adopted in such cases if applicable).
  • 6. @magedkom /in/magedkom ArabPlanners @profplanner WBS Levels vs Programme Level of Detail This depends on project size and level of control required (ref: AACEI 37R-06): Level 0: This is the total project as a single bar spanning from project start to finish. Level 1: This represents the schedule for the project by its major components. A combination of Level 0 schedules for each component project. Level 2: Each schedule component is further subdivided for Level 2. For example, utility systems are further subdivided into water, electrical, gas, storm drainage and sanitary systems, etc. Milestones are normally included (Scope priorities). Level 3: The first level that a meaningful critical path network can be displayed and the CPM schedule can be used to monitor and manage (control) the overall project work. Levels 4-X: The level of schedule subdivision continues to whatever is appropriate detail for the user. When operating at more detailed levels, the planners generally work with segments of the total schedule. Often the project “rolling schedule” includes a “look-ahead” period of time (30–180 days) and a “look-back” at recent completed work periods.
  • 8. @magedkom /in/magedkom ArabPlanners @profplanner Project Duration - Critical Path Challenges - LODs Review cycles, resubmission and taking over process durations Different working days calendars of project parties such as reviewers Contracts MSs are normally based on calendar days without holidays Longest paths are much shorter than expected during tender Holidays Mobilization Taking over Resubmissions S F Other parties Critical path is dynamic & change in the updates (contingencies)
  • 9. 2- WBS Decomposition and Consistency Phases of construction/work, Zoning, Vertical levels, Trades and Logical dependencies @magedkom /in/magedkom ArabPlanners @profplanner Work Phase Const. Phase Building Trade Floor/ Level Area/ Zone • The best approach to decompose the WBS is to keep the dependent activities/paths as close as possible for better monitoring and control. • One you establish a decomposition approach, be consistent in all phases as much as possible.
  • 11. 3- PMS Basis (Consuming Time vs Cost vs Effort) Mobilization, Engineering, Procurement, Construction and Close-out duration/cost/manhours @magedkom /in/magedkom ArabPlanners @profplanner Duration Weights: - Timewise, activity takes more time deserves more proportional weight. But: - An activity can take long duration without much cost or resources required as a shorter activity may need. Cost Weights: - Resources are loaded as per payments because cash flow is key in progress. But: - An expensive activity may reflect a sudden high progress while the project is not ahead of schedule. Manhours Weights: Manhours address the required effort to execute any activity and it’s more indicative for progress While this neglects the other resources & the difference between payments and progress makes confusion.
  • 12. 4- Applying Weightages on the Programme with Rules of Credit Org. Maturity in PM and Quantity based activities vs Engineering and procurement progress @magedkom /in/magedkom ArabPlanners @profplanner Phase Weight Mobilization 2% Engineering Submission/Approval 60/40% 10% Procurement 3% Prequalification 10% Material Submission/Approval 20% PO 20% Delivery 50% Construction 80% Close-Out 5% Example for a Construction Project JIT: Break down between physical Mobilization and Early submissions Break down by no. between all types of submissions and approvals (resubmission issue) Does this include the manufacturing and how will it be measured or to split for long-lead items Break down based on the productivity sheet and manhours assigned to each activity (Qty credit) Break down between physical demobilization, snag/de-snagging and documents submissions 0/100 activities based on the issuance of the purchase orders Break down between submissions and approval 60/40% (resubmission issue= e.g. 20%)
  • 13. @magedkom /in/magedkom ArabPlanners @profplanner Weights of All Activities Activity ID Activity Name Weight Project Name 100.0% WBS1 10.0% 00-0-0-A10-CN-01000 Activity name 001 0.6% 00-0-0-A10-CN-01001 Activity name 002 0.6% 00-0-0-A10-CN-01002 Activity name 003 0.9% 00-0-0-A10-CN-01003 Activity name 004 0.6% 00-0-0-A10-CN-01004 Activity name 005 2.1% 00-0-0-A10-CN-01005 Activity name 006 0.9% 00-0-0-A10-CN-01006 Activity name 007 2.2% Breakdown and Calculations Programme Resource Loading
  • 14. 5- Primavera Resource Loading Types of resources, Details by trade, Resource logic/Leveling and Appropriateness for reporting @magedkom /in/magedkom ArabPlanners @profplanner Manpower loading options (Manpower histogram/s): - One resource and the details to be in a productivity sheet - Crews only while total numbers are calculated outside (Not recomended) - Mandays/hours of multiple resources as per trade (mason-carpenter …) Equipment loading (Equipment histogram/s): - The same options apply (Operators can be added to the manpower) - The weightage can be loaded as non-labor resource or material resource!! Material loading (Main KPIs, normally without a curve for total units): - Main materials to be loaded such as concrete – steel – piping … etc. - The weightage value can be Contract value or $100 / 1M … etc.
  • 15. Rules of Credit – Incremental Milestones @magedkom /in/magedkom ArabPlanners @profplanner Standard methods of measure for construction vary widely depending on the nature of the work and the number of steps. The following describes five common physical progress methods for measuring the extent of completion of the scope of a work package: 1. Units Completed 2. Incremental Milestone 3. Weighted or Equivalent Units Completed 4. Resource Expenditure (Level of Effort) 5. Judgment
  • 16. Progress Measurement for Procurement @magedkom /in/magedkom ArabPlanners @profplanner Be practical and remember that: “Standard methods of measure for construction vary widely depending on the nature of the work and the number of steps.” Except for the manufacture/delivery stage gate, earned progress for all gates will be calculated based on the 0/100% rule – that is, each stage gate cannot earn progress unless all activities related to that stage gate are complete. The manufacture/delivery stage gate should be the only one that can be progressed as partial completion at the discretion of the owner.
  • 17. 6- Appropriateness for Control and Forecasting Progress %s/layouts, Remaining works, LOB and Practicality of look-ahead schedules @magedkom /in/magedkom ArabPlanners @profplanner P6 calculates the planned (schedule)% and actual (performance EV)% only if the programme is cost loaded (Budget cost). Therefore, we may load the weightage in units with cost (rate $1) either equal to the project total cost or 1M … as aforementioned. Otherwise, the resource units can be used for reporting. This may contradict with the cash flow or other resource reporting. Visualizing the progress is important via progress layout/4D. Forecasting of the remaining work is also crucial for project control.
  • 18. LOB and Remaining Work - Delay Quantification @magedkom /in/magedkom ArabPlanners @profplanner
  • 19. Forecasting Challenges - Practicality of look-ahead schedules @magedkom /in/magedkom ArabPlanners @profplanner Primavera filters are not always useful. It may be not achievable or less than required or not practical on site. Therefore, manual preparation of the look-ahead schedules can be helpful with reference to the planned %s, dates, critical paths as required.
  • 20. 7- Narrative Report - Programme/Schedule Basis Info, Assumptions, Calculations, Details such as engineering & procurement logs/PMS and Outputs @magedkom /in/magedkom ArabPlanners @profplanner
  • 21. 8- Programme Updating and EVM Performance vs Schedule% (Baseline early/late, changed logic & revised %s), Reporting details and KPIs - Are you reporting against the early planned or late planned or something in between? And why? - If you allows for fixing the out of sequence using a change log, do you keep reporting the delays against the original baseline either? And why? - After having a revised/recovery programme, do you keep the planned% of the original baseline in your reports as well? And why? AACE MARCH/APRIL 2020
  • 23. Reporting details and KPIs @magedkom /in/magedkom ArabPlanners @profplanner
  • 24. Earned Value/Units according to Budget Cost/Units @magedkom /in/magedkom ArabPlanners @profplanner Planned Value vs Earned Value = Schedule% vs Performance % (for PMS regardless Actual Cost and Cost Control) Planned Manhours vs Earned Manhours (for PMS regardless Efficiency) Planned Units vs Earned Units (for PMS regardless Changes in Quantities)
  • 25. Points for Further Discussion Planning and Project Control Arguments (PPCA Group for SMEs) @magedkom /in/magedkom ArabPlanners @profplanner 1. Engineering and Procurement – Planning and Update 2. Repetitive Activities – Planning and Control 3. Effectiveness of the Typical/Common Look-Ahead Filters 4. Resource Loading - Detailed Manpower Planning, Reporting and Control 5. Change in Productivity from the Planned Rates, and Learning Curve 6. Change Log Application Limits - in case of out of sequence and other cases
  • 26. My Publications You can find more at: https://www.slideshare.net/MohamedMaged8 @magedkom /in/magedkom ArabPlanners @profplanner
  • 27. Thank You Don’t Hesitate to contact…. M.Maged Hegazy mm.hegazy@ppmconference.net Mobile : 00966 (0) 58 0264 968