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Introduction to the Government/Industry Forum

Kenneth F. Reinschmidt, Chairman Committee for Oversight and Assessment of U.S. Department of Energy Project Management

The work of the National Research Council’s Committee on Oversight and Assessment of U.S. Department of Energy Project Management can be traced back to 1998, when there was a one-person report by Lloyd Duscha, Assessing the Need for Independent Project Reviews in the Department of Energy. His report led to expansion of the agency’s external review process and changes to it.

In the wake of the report, an NRC committee was formed that had one objective—to write a report on assessing project management in the DOE. That committee finished its work in December of 1998 and produced the 1999 report Improving Project Management in the Department of Energy.

The present committee, often called the Phase III committee, was appointed to continue the work identified by the original committee. It has a determinate life of 3 years. On January 17, 2000, it issued a letter report, Improved Project Management in the Department of Energy, to the Secretary of Energy. In November 2001, it issued its latest report, Progress in Improving Project Management at the Department of Energy: 2001 Assessment.

In addition to the written reports, the committee has been looking for other ways of promoting two-way communications with DOE about a number of specific issues that had engaged its attention. This forum was organized to exchange information in two areas:

  1. DOE’s role as a project owner but not necessarily a direct manager of projects.



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OCR for page 1
Proceedings of Government/Industry Forum: The Owner’s Role in Project Management and Preproject Planning 1 Introduction to the Government/Industry Forum Kenneth F. Reinschmidt, Chairman Committee for Oversight and Assessment of U.S. Department of Energy Project Management The work of the National Research Council’s Committee on Oversight and Assessment of U.S. Department of Energy Project Management can be traced back to 1998, when there was a one-person report by Lloyd Duscha, Assessing the Need for Independent Project Reviews in the Department of Energy. His report led to expansion of the agency’s external review process and changes to it. In the wake of the report, an NRC committee was formed that had one objective—to write a report on assessing project management in the DOE. That committee finished its work in December of 1998 and produced the 1999 report Improving Project Management in the Department of Energy. The present committee, often called the Phase III committee, was appointed to continue the work identified by the original committee. It has a determinate life of 3 years. On January 17, 2000, it issued a letter report, Improved Project Management in the Department of Energy, to the Secretary of Energy. In November 2001, it issued its latest report, Progress in Improving Project Management at the Department of Energy: 2001 Assessment. In addition to the written reports, the committee has been looking for other ways of promoting two-way communications with DOE about a number of specific issues that had engaged its attention. This forum was organized to exchange information in two areas: DOE’s role as a project owner but not necessarily a direct manager of projects.

OCR for page 1
Proceedings of Government/Industry Forum: The Owner’s Role in Project Management and Preproject Planning Preproject planning, also known as preconstruction planning or front-end planning. The committee strongly feels the quality of DOE’s front-end planning is a key factor in determining the outcome of DOE projects. Today’s program consists of three parts: First, we will hear from Undersecretary Card and Chief Financial Officer Carnes, both from DOE. Second, we will hear presentations by industrial corporations that act as owners and clients for projects. Committee member Ted Kennedy organized the industrial session. The presenters here today represent the companies who in the opinion of the committee are exemplars of the best in project planning. Finally, there will be a question-and-answer session, with questions from the floor directed to the presenters who served as panelists.