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Insight - Planning

As soon as we get a sniff of a project that we think has a business case we just can’t seem to wait to get stuck into it. We want to start spending money on items and services that we are sure we are going to need. We don’t bother with planning. We don’t want plans we want action. Planning is time consuming. Planning is academic. We can’t plan for everything and if we spent all our time planning we would never get anything done. Plans are a waste of time. Nobody reads them anyway. Sounds familiar?

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Insight - Optimise

Value is uncovered early in the project cycle or mostly not at all. Value is generated through optimisation across all project areas, systems, assets and operations. Again it is far easier to simply jump on the first option that works and just get on with it. What optimisation that does occur is often left to EPC or EPCM contractors and/or Suppliers who mostly shows little motivation in that direction since they make more money and uphold their reputation if they deliver to a defined scope on time and on budget rather than thru many variations despite what a lot of non-project people believe.

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Insight - Risk

Owners believe that risk should be borne by suppliers and contractors since they are being paid to deliver the design, the systems, the equipment and the constructed works. It is simply easier to hold this belief rather than to accept the fact that the project is the Owners baby which will have to be cared for the rest of its life by the Owner and not by the contributors who quickly disappear after delivery unless they get paid to stay around.

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Project Secrets Highly Profitable

 

This Month’s Project Tips

Customise to maximise your project value

Review the scope and basis of your costings

Try Proactive Scheduling

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Zvonko Pregelj - Director Projects - BE (chem), FIEAust, MAICD, CPEng, NPER, RPEQ

Like in so many sports it’s all about the start. Start badly and you mostly end badly. Start with inadequate definition and you will end up with an inadequate project. Skip steps at the start in order to save costs and you will pay handsomely for a long time afterwards.