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Appendix E: Key Questions for Readiness to Proceed
Pages 96-107

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From page 96...
... PROJECT ORGANIZATION Project Execution Plans The Project Execution Plan (PEP) , including the Project Risk Assessment and Risk Management Plan, should identify the planned actions and solutions to all risk factors to be considered by the project manager.
From page 97...
... , whereas a contingency allowance merely provides funds to cover the additional costs if a supplier does fail. DOE PEPs typically emphasize contingency allowances to pay for risks if they occur rather than contingency plans to prevent the risks from occurring.
From page 98...
... Does the WBS match the organization chart? For successful project management, the organizational breakdown structure and the work breakdown structure should be in alignment.
From page 99...
... If not, why not? Integrated cost estimates and schedules have been industry best practice for 20 years and are essential for the application of an earned value management system (EVMS)
From page 100...
... Who controls the technical performance contingency? Although in industry best practice technical performance and scope are considered to be fixed objectives, it appears that some DOE projects explicitly treat cost as fixed and use project scope and technical performance as contingency.
From page 101...
... Is there a project management control system in place to track all costs and earned value? The successful use of EVMS depends on timely reporting accurate insofar as possible, but in any case timely.
From page 102...
... it is just as important to track performance and scope parameters relative to mission requirements as to track costs. DOE management should be continually aware of the ability of a project to fulfill its mission.
From page 103...
... The start-up plan controls the work breakdown structure in the start-up and turnover phase. In this phase, it is necessary to be able to measure progress not by quantities of materials installed but by completion of items on the punch lists required for system completion and turnover.
From page 104...
... The purpose of identifying minor risks is to be sure they are minor and do not have to be mitigated. Have common causes or root causes (common mode failures)
From page 105...
... How does risk increase with scale-up factor? · Will the prototype resolve all the outstanding technical issues prior to the critical decision points?
From page 106...
... Before making critical decisions senior managers should ask critical questions to ensure that there has been sufficient planning to consider all risks and sufficient analysis to manage them. Some questions that management might wish to pose, especially for first-of-a-kind projects, are these: · Have all the necessary technical specifications been identified?
From page 107...
... DOE managers should consider asking some of the questions outlined above at critical decision points, to avoid unanticipated delays, costs, or other obstacles to completing the project successfully, and to ensure that projects are truly ready to proceed.


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