Progress in Improving Project Management at the Department of Energy 2002 Assessment pdf

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Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf free download. This report is the second in a series of three annual assessments of project management at the U.S. Department of Energy (DOE). The first annual report assessed progress through mid-2001 (NRC, 2001b), and this report continues the assessment through October 2002. The assessments are being made by the National Research Council’s (NRC’s) Committee for Oversight and Assessment of U.S. Department of Energy Project Management. The committee has also produced two interim letter reports (NRC, 2001a, 2002a) and the proceedings of a government/industry forum on the owner’s role in project management and preproject planning (NRC, 2002b). All of these reports follow up on the recommendations made by a predecessor committee in its report Improving Project Management in the Department of Energy (NRC, 1999).

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

Although the detailed discussion, findings, and recommendations in the previous reports are not repeated in this report, the committee continues to endorse them, and they should be read in conjunction with this report. The reader who has persevered through this series of publications will have observed that it becomes more and more difficult to find new things to say about project management at the DOE. Chapter 2 discusses some fundamental issues in DOE’s core competencies that are identified in this and previous reports.

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

The fundamental best practices cited as the benchmarks in the 1999 report have not changed, and the committee’s primary emphasis remains the importance of learning the fundamentals of project management good practice and applying them consistently. Since the current committee was established, there have been a number of senior management and other personnel changes at the DOE, as well as changes in DOE’s approach to project management. For the most part, the committee applauds these new directions in project management.

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

The committee recommends that the project management changes in DOE Order O 413.3, Program and Project Management for the Acquisition of Capital Assets, in the draft Program and Project Management manual (DOE, 2000, 2002) and in other recent directives and memoranda be continued until they have had time to be effective. The committee’s specific findings and recommendations regarding these documents and procedures are given in Chapter 3 of this report. The summary message here is simple: DOE should persevere in its efforts to make project management a core competency and to achieve excellence in project performance. The committee recognizes that the time required for cultural change in the DOE may be longer than that required in industrial companies, where market forces drive improvement.

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

DOE needs to maintain the project management policies and procedures it has defined long enough to convince both DOE and contractor personnel that the changes are permanent. This report describes the progress the committee has observed and the issues that need further efforts to make DOE a leading project management organization. Since the earliest report (NRC, 1999), NRC committees have been concerned not only that DOE is doing projects right but also that it is doing the right projects. Perhaps the most important single point that the committee has stressed, and continues to stress, is the absolute need for DOE management to develop the strategic plans that define the need for capital acquisition projects.

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

Although the committee’s reports, this one included, have dealt with many specific issues affecting project success (e.g., front-end planning, risk management, and contracting strategies), the overriding critical success factor for projects is to assure that projects are essential to and aligned with the DOE’s mission (i.e., that the right portfolio of projects is selected).

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

DOE is perhaps improving, as indicated by the recent establishment of the Office of Management and Budget Evaluation (OMBE), and there has been some progress in the National Nuclear Security Administration (NNSA) with the integrated construction project plan (ICPP) and, more recently, in the Office of Environmental Management (EM), but the department is still lacking a continuous and strong portfolio planning and management process. Portfolio planning is to programs as project planning is to projects, at a higher level. With a functional portfolio management process, all echelons in DOE would know what projects to do and the priorities given to them. At least as important, a portfolio management process would implicitly define what projects not to do and would help to insulate DOE from the political pressures brought by would-be contractors and other economic beneficiaries to engage in unnecessary
and unwarranted projects.

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

Progress in Improving Project Management at the Department of Energy 2002 Assessment by NRC pdf download

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