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Excellence in Project and Total Cost Management

Excellence in Project and Total Cost Management

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This practical presentation is based on how a company created an organization that delivered pacesetter project performance and achieved its goal of being Number 1 in return on capital employed (ROCE) and total shareholder return (TSR). The 5 steps to success are:

(1) Understand project management’s impact on the bottom line of the company by improving ROCE and TSR.
(2) Implement a structured 5 phase project development & execution process that provides effective communication between decision makers, multifunctional project team and stakeholders including deliverables for each phase, organization plan and project roadmap.
(3) Demand use of project management best practices that optimize safety, cost, schedule, and operability of a project such as decision & risk analysis, project execution planning, peer review, constructability, value engineering, pre and post project assessments.
(4) Insist on use of total cost management tools such as decision/economic analysis, cost estimating, planning/scheduling, benchmarking, contracting/procurement, performance measurement, cost control/forecasting and progress reporting.
(5) Require training and certification for executives, managers and project professionals such as PMP and AACE.

Nick Lavingia 

Independent Project Management Consultant for Chevron-Retired Project Manager

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