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The effort and resources dedicated to front-end planning often determine a project’s success. During this stage of the project, many critical activities occur, from validation of a mission need and selection of a preferred alternative, to the identification of risks, development of a conceptual design and determination of the detailed project scope. Based on the information developed during front-end planning, the Project Management Executive will decide whether or not to commit additional departmental resources – terminate, modify or approve the project – and if approved for execution, establish the Performance Baseline (scope, schedule and cost). Research by the Construction Industry Institute (CII) has shown that projects with adequate front-end planning do not always succeed, but those with inadequate front-end planning most often fail (CII, 1995). In this month’s newsletter, we focus on the Project Definition Rating Index (PDRI), one of many front-end planning tools available to project teams and an industry best practice for evaluating how well the project’s scope has been defined. Used effectively, PDRI can improve the probability of the project team meeting or exceeding business, operational, and project objectives.

As always, suggested topics/focus areas for future newsletters should be forwarded to the PM Newsletter Editor, Linda Ott.

Keep charging!

Sincerely,

Paul Bosco

Paul Bosco,Director of the

Office of Project Management Oversight and

Assessments (PM)

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Front-End Planning, the Number One Topic for Project Success!Matthew (Zac) West, Office of Project Management Oversight (PM-20)

The Department of Energy (DOE) has long recognized the critical nature of front-end planning as key to a successful project. The 2008 Root Cause Analysis (RCA) for Contract and Project Management highlighted this point.

DOE measures the project management success rate for Capital Asset Construction Projects, which has improved from 2008. Figure 1 presents a snapshot of DOE capital asset construction project success looking at the 4th quarter for each year from 2008 to 2016. Recently, for the first time, DOE reached the target goal of 90%. The introduction of the Project Definition Rating Index (PDRI) is also plotted alongside the success rate.


Continued on next page…

DOE currently has 76 capital asset projects in front-end planning, with an estimated cost over $74 billion.

The Department continues to require a strong front-end planning effort for all capital asset projects. This includes the use of a phased gate system (Critical Decisions 0 to 4), external independent reviews, and the use of the Construction Industry Institute’s (CII) PDRI decision support tools. The DOE is a member of CII and takes advantage of these industry best practices. The PDRI tools at CII have benefited from ongoing research and updates and recently DOE initiated a major update to the DOE Guide 413.3-12, Project Definition Rating Index Guide for Traditional Nuclear And Non-Nuclear Construction Projects, to capture these advancements.

Click here to view Figure 1

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The Department of Energy (DOE) has long recognized the critical nature of front-end planning as key to a successful project. The 2008 Root Cause Analysis (RCA) for Contract and Project Management highlighted this point. For RCA history, click here.

DOE measures the project success rate for Capital Asset Construction Projects, which has improved from 2008. Figure 1 presents a snapshot of DOE capital asset construction project success looking at the 4th

quarter for each year from 2008 to 2016. Recently DOE reached the target goal of 90%. These results are plotted along with use of front-end planning and the Project Definition Readiness Index (PDRI) tool.



DOE currently has 76 capital asset projects in front-end planning, with an estimated cost over $74 billion.

The Department continues to require a strong front-end planning effort for capital asset projects. This includes the use of a phased gate system (Critical Decisions 0 to 4), external independent reviews, and the use of the Construction Industry Institute’s (CII) PDRI decision support tools. The DOE is a member of CII and takes advantage of these industry best practices. The PDRI tools at CII have benefited from ongoing research and updates and recently DOE initiated a major update to the DOE Guide 413.3-12, U.S. Department of Energy Project Definition Rating Index Guide For Traditional Nuclear And Non-Nuclear Construction Projects, to capture these advancements.


Figure 1 - Project Management Success for Construction

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The Department recommends the use of PDRI throughout front-end planning, and, DOE Order 413.3B requires validation of PDRI outcomes for projects that are $100 million and greater prior to Critical Decision (CD)-2, Approve Performance Baseline. At CD-2, the Department establishes a commitment to stakeholders in terms of scope, cost and schedule to address the mission need. The PDRI helps to identify gaps in front-end planning, and to meet three overarching goals:

1. Ensure we build the right project

2. Scope the right things

3. Set the stage for successful execution

These sound straightforward but require a commitment of resources and leadership to achieve. The use of PDRI follows nine guidelines. They are:

1. Define the front-end planning process

2. Use scope definition tools

3. Understand existing conditions definition

4. Establish correct contracting strategy

5. Establish alignment between the project team and organization

6. Understand familiarity between project type, technology, and location

7. Establish an experienced and capable project team

8. Practice team building

9. Leadership support to front-end Planning – Executive, Owner (DOE), and Contractor



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To that end, CII has established a suite of nine automated tools to address these guidelines. DOE Guide 413.3-12 currently focuses on one of these tools, Industrial PDRI. The Department’s Office of Project Management Oversight and Assessments has started to align this guide with recent developments in front-end planning by CII to include adding the family of automated decision support tools into the guide and stressing its use from pre-conceptual through CD-2. The current DOE application of PDRI has become misaligned with CII, making it harder to relate to commercial best practices, leading to another good reason to revise the guide.


Figure 2 depicts the alignment of front-end planning within the DOE Order 413.3B process map. Front-end planning encompasses all activities from pre-conceptual, conceptual, and preliminary to final design for a project. The effort to update DOE’s tool chest for the FPD will target both tools and training with the first draft of the guide expected in August and a pilot course on front-end planning will follow in the fall. Look for the new tools soon and continue to strive for solid front-end planning for all projects at DOE.


For more information, check out the presentation given at the DOE Project Management Workshop in March 2017 by Edd Gibson, the developer of CII’s PDRI tools. Click here to view the presentation on YouTube.

https://youtu.be/HGSSra_rldA

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To that end, CII has established a suite of nine automated tools to address these guidelines. DOE Guide 413.3-12 currently focuses on one of these tools, Industrial PDRI. The Department’s Office of Project Management Oversight and Assessment has started to align this guide with recent developments in front-end planning by CII to include adding the family of automated decision support tools into the guide and working to stress use from pre-conceptual through CD-2. The current DOE application of PDRI has also become misaligned with CII, making it harder to relate to commercial best practices, another aspect the major revision to the guide will address.


Figure 2 depicts the alignment of front-end planning within the DOE Order 413.3B process map. Front end planning encompasses all activities from pre-conceptual, conceptual, and preliminary leading to final design for a project. The effort to update DOE’s tool chest for the FPD will target both tools and training with the first draft of the guide update in August and a pilot course on front-end planning this fall. Look for the new tools soon and continue to strive for solid front-end planning for all projects at DOE.


For further background, check out the presentation by Edd Gibson, the initial developer of PDRI, which he provided at the DOE Project Management Workshop in March 2017. Click here to view the presentation.link

Figure 2 - Front-End Planning and the DOE 413.3B Process Map

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Handbook Announcement Ivan Graff, Office of PM Policy & Systems (PM-30)

PM announces the recent posting on PM MAX of two project management handbooks (https://go.usa.gov/x5keT) intended to assist project teams in following the requirements of DOE O 413.3B.

The Analysis of Alternatives Handbook, useful for guiding planning and decision making supporting the selection of an alternative at Critical Decision-1, Approve Alternative Selection and Cost Range, follows the most recently published Government Accountability Office (GAO) best practices on the subject.

The Cost Estimating Handbook, based on DOE Guide 413.3-21, Chg1, Cost Estimating Guide, 10-22-2015, emphasizes the importance of following the GAO Cost Estimating and Assessment Guide (GAO-09-3SP) and introduces new content related to sensitivity analyses. Like the Cost Estimating Guide, this handbook provides a ready resource for the preparation of a capital asset project cost estimate at any point in the project lifecycle. While Programs and Federal Project Directors may follow either DOE Guide 413.3-21, Chg1 or the Cost Estimating Handbook, the latter more closely aligns with the requirements of DOE O 413.3B, Chg3.

PM gratefully acknowledges the contributions of Program and Support Office representatives whose comments on drafts of both of the handbooks improved the final products significantly.

Project management handbooks provide optional approaches and best practices for executing the Department’s Policies, Orders, Guides, Notices, and regulatory standards. The Office of Project Management Oversight and Assessments plans to continue to publish project management best practices as handbooks which may later get incorporated in the directives system as guides. These non-mandatory handbooks provide information on the latest best practices. PM welcomes your suggestions for improving the handbooks at any time.


https://go.usa.gov/x5keT

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Project Management Career Development Program (PMCDP) ReviewSig Ceaser, Office of Professional Development (PM-40)

The Office of Project Management Oversight and Assessments (PM) is conducting a program review to assess strengths and opportunities for improvements to the Project Management Career Development Program (PMCDP). The objectives include:

• Determine strengths and opportunities for improvement

• Determine if the DOE Order 413-series guidance is adequately integrated into the training curriculum

• Determine if the training curriculum adequately addresses Federal Project Director (FPD) roles & responsibilities

• Develop strategic way ahead

To accomplish the objectives, the review is divided into five subtasks.


Subtask #1Background

Subtask #2FPD Roles &

Responsibilities

Subtask #3FPD

Competencies

Subtask #4Guides & Courses

Subtask #5Strategic Plan


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PMCDP Background: Provides a historical narrative describing how the PMDCP was formed, bringing together the many historical, background, and performance documents since its inception.

Roles and Responsibilities: A sample of Federal Project Directors (FPDs) FPDs and PMCDP stakeholders was identified by their respective Programs to be interviewed during the 2017 Project Management Workshop. Additionally, a Critical Success Factors (CSFs) survey is currently deployed to all certified FPDs. The complementary interviews and survey results validate the FPD critical success factors to provide a comprehensive listing of roles and responsibilities for the FPD.

FPD Competencies: Focus groups that targeted each of the four certification levels were conducted to evaluate and analyze the validated CSFs against the existing competencies in the Certification and Equivalency Guidelines (CEG). The updated competencies required of a FPD are based on the roles and responsibilities demanded of them.

Guides and Courses: Compare the Critical Success Factors (CSFs) and associated competencies to existing curriculum and DOE Order 413-series guides. The gap analysis is based on the roles and responsibilities demanded of the FPD.

Strategic Plan: Provide a proposed plan and timeline that implements the findings and recommendations from the program review.

You will find PMCDP Review reports and other deliverables on PM-MAX. More are being added as they become available.



https://community.max.gov/download/attachments/1129612735/PMCDP%20History%20Narrative%20v2.3.pdf?version=1&modificationDate=1490030476356&api=v2

https://community.max.gov/display/DOEExternal/PM+PMCDP+Home

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FPD feedback is critical to the review and to ultimately improve the services provided by the PMCDP. FPDs were encouraged to complete the PMCDP Review: Services and Critical Success Factors survey and earn 5 CLPs. Participation in the survey exceeded PMCPD’s expectation:

Additional information about the PMCDP survey will be shared on PM-MAX as it becomes available.


Level 1 Level 2 Level 3 Level 4 Total

Survey Responses 92 35 26 9 162

Total FPDs 165 64 43 19 291

% Response 56% 55% 60% 47% 56%

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Earned Value Management System (EVMS) Roadside Assist Visit (RSAV) and Initial Visit


May 9-10

SPR

The Office of Project Management Oversight and Assessments (PM) will conduct an EVMS RSAV and initial visit for the Strategic Petroleum Reserve (SPR) Program May 9-10, 2017. The Strategic Petroleum Reserve is a U.S. Government complex of four sites with deep underground storage caverns created in salt domes along the Texas and Louisiana Gulf Coasts that store emergency supplies of crude oil. PM will lead discussions with the SPR Project Office and Fluor Federal Petroleum Operations.

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PMCDP ReviewOn-Demand Online Training**

Environmental Laws and Regulations

24 CLPs

On-DemandOLC

Earned Value Management Systems

(24/7)

24 CLPs

On-DemandOLC

Project Management Essentials

50 CLPs

On-DemandOLC

**On-Demand courses are available at any time through DOE’s Online Learning Center (OLC).

Click Here for the Full FY 2017 Training

Strategy*

* To print the FY 2017 Training Strategy, print only

pages 28-29 of this document

Click here to view training in May/June

Upcoming Training


Click on any button to view details

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Classroom Training

Planning for Safety in Project Management

28 CLPs

June 15-July 16Adobe Connect

Desktop Training

Scope Management Baseline Development

3 Days / 24 CLPs

May 9-11Oak Ridge, TN

Federal Budgeting Process in DOE

4 Days / 32 CLPs

May 15-18Richland (HAMMER)

Leadership through Effective

Communication

3 Days / 24 CLPs


Strategic Planning

3 Days / 24 CLPs

June 6-8Idaho Falls, ID

Systems Engineering

3 Days / 24 CLPs

June 13-15Cincinnati, OH (EMCBC)


4 Days / 32 CLPs

June 26-29Oak Ridge, TN

Executive Communications

3 Days / 24 CLPs

June 13-15New Orleans, LA

Upcoming Training: May – June 2017


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PMCDP is offering an instructor-led delivery of the 3-day course, Scope Management Baseline Development, May 9-11 in Oak Ridge, TN.

This course is designed to enhance a Program or Project Manager’s ability to clearly define requirements and scope, develop a defensible baseline, and manage conformance to the baseline throughout the project life-cycle. The course emphasizes the development of the Work Breakdown Structure (WBS).

Topic areas include:

• Baseline development techniques • Identifying risk and constraints for requirements• Prioritizing requirements• Trade-off analysis• Iterative requirements management• Scope change/configuration management

You will earn 24 continuous learning points for this course. This is a Core course for the Level 2 FPD certification for Federal Project Directors and is available to all DOE employees.

Register in CHRIS using CHRIS Code: 001036/0027

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4 Days / 32 CLPs



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PMCDP is offering an instructor-led delivery of the 4-day course, Federal Budgeting Process in DOE, May 15-18, 2017 in Richland, WA (HAMMER Training Facility).

This course is designed to provide DOE and NNSA program and project managers a working knowledge of Federal financial and managerial systems to accomplish their Department’s budgeting and accounting processes, including budget submissions, managing authorized funding and establishing success criteria. Participants apply the foundational skills required to successfully manage a project through its financial life cycle. These skills include:

• Integrating projects, programs, and missions• Resourcing and funding programs• Validating and funding projects• Effectively participating in the budget process• Managing the flow of funds to programs and projects• Effectively using financial accounting and reporting systems to attain program and

project success

You will earn 32 continuous learning points for this course. This is an Elective course for the Level 2 FPD certification for Federal Project Directors and is available to all DOE employees.


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4 Days / 32 CLPs



3 Days / 24 CLPs




Leadership Through Effective Communication

PMCDP is offering an instructor-led delivery of the 3-day course, Leadership Through Effective Communication, May 16-18, 2017 in Oak Ridge, TN. This course is a highly interactive session focused on developing powerful communication skills to lead people and manage projects. The course emphasizes personal communications preferences and the impacts of these preferences on others, and provides tips and techniques for maximizing effectiveness in leading project teams. Skills-based lessons include:

• The use of different communications styles• Techniques for managing conflict• Giving and receiving feedback• Decision-making

The course provides a practical and effective toolkit for communicating in a project-focused environment, and a resource list for continuous learning.



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Strategic Planning

PMCDP is offering an instructor-led delivery of the 3-day course, Strategic Planning, June 6-8, 2017 in Idaho Falls, ID. This course is designed to provide leaders and managers with first-hand knowledge of the strategic planning process, including strategic formulation, plan development and implementation. Through instructor presentations and interactive exercises, participants will gain the skills needed to develop, for their projects/programs and/or organizations, applicable mission and vision statements, values, strategic goals and objectives, and performance expectations and measures. The instructor will review development and implementation of actual strategic management plans, including attributes of effective planning and implementation. Day One: The Strategic Planning Process; Day Two: Strategic Formulation; Day Three: Strategic Implementation.

Upon completion of this course, participants will be able to:

• Identify the major steps of the strategic planning process• Develop mission and vision statements, and values• Formulate effective strategies and approaches• Develop strategic goals, objectives, expectations and measures• Describe effective strategic plan implementation



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4 Days / 32 CLPs



3 Days / 24 CLPs




Systems Engineering

PMCDP is offering an instructor led delivery of the 3-day course, Systems Engineering, June 13-15 in Cincinnati, OH (EMCBC).

This course focuses on how implementation of the Systems Engineering (SE) process, from project initiation through the entire life-cycle, can decrease the likelihood of cost overruns, schedule delays and compromises in program and project technical performance.

This course demonstrates how the SE process is an interdependent (and iterative) approach to technical management, acquisition and supply, system design, product realization, and technical evaluation. The course describes how the SE process cascades through each level of the system, beginning at the top (the system level) and propagating through a series of steps which eventually leads to a preferred system solution. This course describes in detail the purpose and value of each of the specific SE process steps. Step-by-step directions, along with exercises, help course participants determine when each step is complete.

You will earn 24 continuous learning points for this course. This is an elective course for the Level 3 FPD certification for Federal Project Directors and is available to all DOE employees.


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PMCDP is offering an instructor led delivery of the 3-day course, Executive Communications, June 13-15, 2017 in New Orleans, LA.

This course helps you take a nimble approach to leading project managers, managing direct reports and managing the expectations of senior audiences. This course focuses on the senior-level leadership competency, as defined by the latest FAC-P/PM policy, and will take a deep dive into managing relationships, communication, conflict management, and diversity with an eye to building and maintaining a high-performance team. By the end of the course, participants will know how to strategically position the organization to take advantage of new opportunities by developing and improving products and services. Participants will also have the skills needed to facilitate effective business partnerships with the CO, CAO, senior-level agency advisors, and other business advisors and program stakeholders. Finally, participants will be able to identify, assess and resolve programmatic problems, and use sound judgment to identify corrective courses of action.

You will earn 24 continuous learning points for this course; this is a core course for the Level 3 FPD certification for Federal Project Directors and is available to all DOE employees.

Register in CHRIS using CHRIS Codes: 001031/0038

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Planning for Safety

PMCDP is offering a desktop delivery of the course, Planning for Safety in Project Management, June 15 – July 16, 2017 via Adobe Connect. Webinars will be held Thursdays from 1:00 – 3:00 pm Eastern.

This course is designed to provide DOE Federal Project Directors with the knowledge needed to clearly define and carry out integrated safety management and quality management. Additionally, it provides participants with the necessary information to ensure that all DOE projects comply with DOE standards of safety. The main objective of this course is to prepare the participant to effectively apply safety management requirements throughout the project acquisition life cycle. Particular emphasis is given to the planning and design phases where application of a Failure Mode and Effects Analysis should identify potential hazards and mitigation strategies. Using a case study, this process examines nuclear, environmental, and worker safety issues in a representative project.


Register in CHRIS using CHRIS Codes: 001035/0060

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3 Days / 24 CLPs


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3 Days / 24 CLPs



4 Days / 32 CLPs



3 Days / 24 CLPs





PMCDP is offering an instructor-led delivery of the 4-day course, Federal Budgeting Process in DOE, June 26-29, 2017 in Oak Ridge, TN.

This course is designed to provide DOE and NNSA program and project managers a working knowledge of Federal financial and managerial systems to accomplish their Department’s budgeting and accounting processes, including budget submissions, managing authorized funding and establishing success criteria. Participants apply the foundational skills required to successfully manage a project through its financial life cycle. These skills include:

• Integrating projects, programs, and missions• Resourcing and funding programs• Validating and funding projects• Effectively participating in the budget process• Managing the flow of funds to programs and projects• Effectively using financial accounting and reporting systems to attain program and

project success



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24 CLPs

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50 CLPs

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Environmental Laws and RegulationsPMCDP hosts on the Online Learning Center (OLC) a Level 2 Elective Course titled “Environmental Laws and Regulations.” This online course is intended to give Department of Energy employees an overview and basic working knowledge of pertinent environmental laws and regulations, and how those laws and regulations impact managing projects at DOE. The course identifies the resources to assist DOE staff and managers in the event they are asked to support or manage a project with potential environmental impacts. This course supports DOE employees and the Department in achieving environmental sustainability goals, including reducing energy use, enhancing pollution prevention, and water conservation.Upon completion of the training, all participants will be able to identify the intent of the major Federal environmental laws, regulations, DOE Orders, Directives and guidance. Participants will also be able to list the detailed processes involved in the implementation of major environmental requirements by the Department of Energy.This course is comprised of seven modules.

• DOE’s Framework for Environmental Compliance• All About Water• All About Air• All About Waste• All About Clean Up• Sustainability• Cultural Considerations

Successful completion of any six modules is required to receive credit for the course. However, a seventh module can be completed for continuous learning points.

Registration is through the OLCYou will earn 24 continuous learning points for this course. This is an elective course for the Level 2 Federal Project Director certification and is available to all DOE employees.

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Earned Value Management Systems (24/7)

PMCDP hosts on the Online Learning Center (OLC) the Level 1 Core Course titled “Earned Value Management Systems (24/7).” This online training is designed for newcomers to gain a solid foundation in earned value management systems (EVMS) or for earned value management (EVM) practitioners interested in enhancing their ability to effectively use performance data and keep up with the latest industry guidelines, government requirements, and EVMS issues. This course covers the five major categories in the EIA-748 Standard for Earned Value Management Systems including:

• Organization• Planning, Scheduling, and Budgeting• Accounting Considerations• Analysis and Management Reports• Revisions and Data Maintenance

Registration is through the OLCYou will earn 24 continuous learning points for this course. This is a core course for the Level 1 FPD certification for Federal Project Directors and is available to all DOE employees.

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PMCDP hosts on the Online Learning Center (OLC) the Level 1 Core Course titled “Project Management Essentials.” This online training is comprised of 15 individual lessons and introduces employees to a comprehensive set of project management principles. The primary source materials for this course are the Project Management Institute’s Project Management Body of Knowledge® (sometimes referred to as the PMBOK®), DOE Order 413.3B, Program and Project Management for the Acquisition of Capital Assets, and the associated guides supporting the Order. Other guides and manuals are referenced throughout the course.

Topics include: • Project framework• Project initiation including the risk planning process• Project planning• Project cost and schedule• Project execution and procurement • Project monitoring and controls• Project closeout

Registration is through the OLCYou will earn 50 continuous learning points for this course, if you complete all 15 lessons. You can also take each lesson individually and earn continuous learning points for each lesson. This is a core course for the Level I FPD certification for Federal Project Directors and is available to all DOE employees.

Click here to view the CLPs for each lesson

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Lesson CLPs

Lesson 1: PM Framework 3

Lesson 2: Strategic Planning 2

Lesson 3: Project Initiation 2

Lesson 4: Acquisition Strategy 3

Lesson 5: Risk Planning (Part 1- Process Overview) 4

Lesson 5: Risk Planning (Part 2- Initial Risk Planning) 4

Lesson 5: Risk Planning (Part 3- Finalizing the Plan) 4

Lesson 6: Scope 3

Lesson 7: Quality 3

Lesson 8: Schedule 4

Lesson 9: Cost 3

Lesson 10: Project Execution 2

Lesson 11: Procurement 3

Lesson 12: Project Control 4

Lesson 13: Monitoring and Controlling Risk and Quality 2

Lesson 14: Communication and Leadership 2

Lesson 15: Transition/Closeout 2

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Recently CertifiedThe following certifications were recently issued.


Federal Project Directors

EM• Jason Darby- Level I

Congratulations to our newly certified member!

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The Office of Project Management Oversight and Assessments (PM) hopes the PM Newsletter provides timely and informative articles. Complete this questionnaire by answering questions about information found in the newsletter. Submit with your name and you will earn 1 CLP for reading the newsletter.


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DOE in Defense AT&L Magazine May/June issue

Don’t miss “The Power of Data,” written by Mel Frank, David Kester and Karen Urschel now published in the Defense AT&L Magazine May/June 2017 issue. Click here to directly link to article.

The link to the full May/June issue is at: https://www.dau.mil/library/defense-atl/p/Current-Issue

http://app.surveymethods.com/EndUser.aspx?AC88E4FCA8EDFAFCAE

https://www.dau.mil/library/defense-atl/blog/The-Power-of-Data

https://www.dau.mil/library/defense-atl/p/Current-Issue

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For specific information, please contact a Professional Development Division team member:

Professional Development Team in the Office of Project Management Oversight and Assessments (PM)

Linda Ott — Division Chief for Professional Development, PMCDP Program Manager, PM Newsletter Editor, [email protected], 202-287-5310

Sigmond Ceaser — Alternate Delivery Platforms, Course Audit Program, Project Controls Fellows Program (PCFP) Lead, FPD Certifications Manager, [email protected]

Ruby Giles — PMCDP Budget Manager, PMCDP Training Coordinator and Training Delivery Manager, [email protected]

If you would like to contribute an article to the Newsletter or have feedback or ideas you’d like to share, contact the Editor, Linda Ott.


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