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Divisional Managers Commitment to the Diagnostic and Unit Rate Study

Divisional Managers Commitment to the Diagnostic and Unit Rate Study. Consultancy Services for Monitoring of Contractors/Consultants Performance And Establishment of Project Costs and Unit Rates Estimation and Monitoring System Credit No 43150-ET. 24 March 2010. Project Basis.

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Divisional Managers Commitment to the Diagnostic and Unit Rate Study

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  1. Divisional ManagersCommitment to the Diagnostic and Unit Rate Study Consultancy Services for Monitoring of Contractors/Consultants Performance And Establishment of Project Costs and Unit Rates Estimation and Monitoring System Credit No 43150-ET 24 March 2010

  2. Project Basis The Project is a response to: • Poor performance of consultants & contractors (both local and international) • Significant construction cost increases

  3. Consultancy Services for Monitoring of Contractors/Consultants Performance • And • Establishment of Project Costs and Unit Rates Estimation and Monitoring System

  4. Responsibility towards Ownership and Implementation • Requires commitment from Senior Management • Requires a Team effort from WSP, Divisions and Branches • Requires participation and commitment of all Divisions and Branches

  5. The Launch We are now at a significant stage in the project. Much depends on the quality of information received from Consultants and Contractors It is up to us all to ensure we give this Launch our best endeavour

  6. Performance Monitoring

  7. The General Perspective of Consultants and Contractors • Late Delivery • Escalating Costs • Poor Quality Design, Supervision and Construction • Lack of adherence to the Contract and Contract Specification

  8. Purpose of Performance Monitoring • Develop a better product for the people of Ethiopia • To grade performance to better select • Making poorer performers aware of their shortcomings • Identify improvements in Documentation and Planning

  9. Monitoring Performance must be fair • Need to understand why standards do not meet expectations • Transparent • Although ultimately ERA must have the last word on implementation it is hoped that the industry will actively take part and accept the overall benefits

  10. Process • Understand the issues on a large selection of projects • Assess Causes and responsibility • Develop Indicators • Establish marking process • Incorporate into procurement process Diagnostic Study Performance Monitoring System

  11. Diagnostic Study

  12. Diagnostic StudyStrategy • Design • Supervision • Contractor Indicators RESPONSIBILITIES Examples – Management Support Resourcing Planning Cash Flow Quality Management Examples – Site specific Change in Rules Scope Changes Delays FACTORS EXTERNAL ( R I S K ) CONTRACT CAPACITY • Design • Supervision • Contract CAUSES Issues IMPACTS = TIME + COST + QUALITY + Other

  13. Diagnostic study    Launch Seminar and issue Questionnaires to consultants and contractors

  14. Proposed Programme to Launch Seminar Launch 22 April? First discussed with ERA 4 March

  15. Proposed Attendees • Those who will be responsible for quality of the questionnaires to be submitted • Design Team Leaders – or if impracticable a senior member of the design team as spokesman • Chief Resident Engineer/ Resident Engineer • Contractors Project Manager - (with interpreter if necessary) Not Directors or partners of companies unless they held/hold the posts mentioned above These senior people will be invited later to the workshop of PERFORMANACE

  16. Performance

  17. Unit Rates Required Information from the Field ETBirr 人民币

  18. Simplified Model Estimate verification Compare and adjust

  19. Develop site data collection Forms & Instructions The Process • Obtain and review Contract Documentation • Compile list of ‘key’ BOQ item activities • Develop site data collection Forms & Instructions • Unit Rates Project Launch Seminar • Review data received • Site visits to each Contract • Processing & Use of Site Data

  20. We will include consultation with all industry stakeholders in the development and implementation of fair and transparent systems

  21. ERA Responsibility towards Ownership and Implementation

  22. ERA Responsibility towards Ownership and Implementation • Requires commitment from Senior Management • Team effort • Requires full participation and commitment of all Divisions and Branches • The success is in your hands Thank You

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