2011 lecture sustainability in projects and project management

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Sustainability in Projects and Project Management

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Page 1: 2011 Lecture Sustainability In Projects And Project Management

Sustainability in Projects

and Project Management

Page 2: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

The challenge

How to live a comfortable life with 9 billion people on

the planet?

Page 3: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainable Development

sustainable development is a process of change

Page 4: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainabilityneeds

Changeis organized in

Projects

Page 5: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainabilityneeds

Changeis organized in

Projects

Page 6: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainabilityneeds

Changeis organized in

Projects

Page 7: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainabilityneeds

Changeis organized in

Projects

Page 8: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainabilityneeds

Changeis organized in

Projects?

Page 9: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Emerging signals

• 2005: • C. Labuschagne: Sustainable project life cycle management

• 2006: • APM Supports Sustainability Outlooks

• 2008: • J. Russell: CSR: What does it mean for the PM?• T. Taylor: A sustainability checklist for managers of projects• M. McKinlay: Keynote on IPMA conference

• 2009: • M. Eid: Sustainable Development & Project Management• Several papers on IPMA and IRNOP conferences

• 2010: • IPMA International Expert Seminar• Happy Projects conference: Sustainability & Projects• PMI research conference: panel discussion• Book: Green Project Management

Page 10: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

M. EidIntegrating Sustainability in Construction PM

Page 11: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Page 12: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Society level

Corporate level

Individual level

Project level

Page 13: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Emerging signals

• 2005: • C. Labuschagne: Sustainable project life cycle management

• 2006: • APM Supports Sustainability Outlooks

• 2008: • J. Russell: CSR: What does it mean for the PM?• T. Taylor: A sustainability checklist for managers of projects• M. McKinlay: Keynote on IPMA conference

• 2009: • M. Eid: Sustainable Development & Project Management• Several papers on IPMA and IRNOP conferences

• 2010: • IPMA International Expert Seminar• Happy Projects conference: Sustainability & Projects• PMI research conference: panel discussion

Page 14: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

The 6 key principles of Sustainability

Sustainability is about…• …balancing or harmonizing social, environmental and economical interests

• …both the short term and the long term

• ...local and global

• …consuming income, not capital

• ...transparency and accountability

• ...personal values and ethics

Page 15: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

The 6 key principles of Sustainability

Sustainability is about…• …balancing or harmonizing social,

environmental and economical interests

• …both the short term and the long term

• ...local and global

• …consuming income, not capital

• ...transparency and accountability

• ...personal values and ethics

What is the implication of these principles for….

The content of projects?

The management of projects?

The competences of the project manager?

Page 16: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainability criteria

You cannot change what you cannot manageyou cannot manage what you cannot measure

Page 17: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

The Global Reporting Initiative

Page 18: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Page 19: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainability criteria??

Economic Sustainability

Return on Investment - Direct financial benefits - Net Present Value

Business Agility - Flexibility / Optionality in the project - Increased business flexibility

Environmental Sustainability

Transport - Local procurement - Digital communication - Traveling - Transport

Energy - Energy used - Emission / CO2 from energy used

Waste - Recycling - Disposal

Materials and resources - Reusability - Incorporated energy - Waste

Social Sustainability

Labor Practices and Decent Work

- Employment - Labor / Management relations - Health and Safety - Training and Education - Organisational learning - Diversity and Equal opportunity

Human Rights - Non-discrimination - Freedom of association - Child labour - Forced and compulsory labor

Society and Customers

- Community support - Public policy / Compliance - Customer health and safety - Products and services labeling - Market communication and Advertising - Customer privacy

Ethical behaviour - Investment and Procurement practices - Bribery and corruption - Anti-competition behaviour

Page 20: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

The 6 key principles of Sustainability

Sustainability is about…• …balancing or harmonizing social,

environmental and economical interests

• …both the short term and the long term

• ...local and global

• …consuming income, not capital

• ...transparency and accountability

• ...personal values and ethics

What is the implication of these principles for….

The content of projects?

The management of projects?

The competences of the project manager?

But what is the scope??

Page 21: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Projects as a ‘system’ of realising organizational change

BenefitsOperation Performance

Operations Management

Stra

tegi

c M

anag

emen

t

GoalSetting

PerformanceEvaluation

Project Portfolio Mgt

ProjectDelivery

Project Management

ProjectResources

ProjectDelivery

Project Management

ProjectResources

ProjectOutputs

ProjectDelivery

Project Management

ProjectResources

Assets

Resources

Temporary organization

Permanent organization

unsatisfactory

Page 22: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

BenefitsOperation Performance

Operations Management

Stra

tegi

c M

anag

emen

t

GoalSetting

PerformanceEvaluation

Project Portfolio Mgt

ProjectDelivery

Project Management

ProjectResources

ProjectDelivery

Project Management

ProjectResources

ProjectOutputs

ProjectDelivery

Project Management

ProjectResources

Assets

Resources

Temporary organization

Permanent organization

unsatisfactory

Projects as a ‘system’ of realising organizational change

Page 23: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

BenefitsOperation Performance

Operations Management

Stra

tegi

c M

anag

emen

t

GoalSetting

PerformanceEvaluation

Project Portfolio Mgt

ProjectDelivery

Project Management

ProjectResources

ProjectDelivery

Project Management

ProjectResources

ProjectOutputs

ProjectDelivery

Project Management

ProjectResources

Assets

Resources

Temporary organization

Permanent organization

unsatisfactory

Projects as a ‘system’ of realising organizational change

Page 24: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

BenefitsOperation Performance

Operations Management

Stra

tegi

c M

anag

emen

t

GoalSetting

PerformanceEvaluation

Project Portfolio Mgt

ProjectDelivery

Project Management

ProjectResources

ProjectDelivery

Project Management

ProjectResources

ProjectOutputs

ProjectDelivery

Project Management

ProjectResources

Assets

Resources

Temporary organization

Permanent organization

unsatisfactory

Projects as a ‘system’ of realising organizational change

Page 25: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

BenefitsOperation Performance

Operations Management

Stra

tegi

c M

anag

emen

t

GoalSetting

PerformanceEvaluation

Project Portfolio Mgt

ProjectDelivery

Project Management

ProjectResources

ProjectDelivery

Project Management

ProjectResources

ProjectOutputs

ProjectDelivery

Project Management

ProjectResources

Temporary organization

Permanent organization

unsatisfactory

Projects as a ‘system’ of realising organizational change

Page 26: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

BenefitsOperation Performance

Operations Management

Stra

tegi

c M

anag

emen

t

GoalSetting

PerformanceEvaluation

Project Portfolio

Mgt

ProjectDelivery

Project Management

ProjectResources

ProjectDelivery

Project Management

ProjectResources

ProjectOutputs

ProjectDelivery

Project Management

ProjectResources

Temporary organization

Permanent organization

unsatisfactory

Projects as a ‘system’ of realising organizational change

Page 27: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

The 6 key principles of Sustainability

Sustainability is about…• …balancing or harmonizing social,

environmental and economical interests

• …both the short term and the long term

• ...local and global

• …consuming income, not capital

• ...transparency and accountability

• ...personal values and ethics

What is the implication of these principles for….

The content of projects?

The management of projects?

The competences of the project manager?

Page 28: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project contextThe context of the project is adressed in relationship to the organization's strategy, but also in relationship to society as a whole.

Page 29: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders

In the identification of potential stakeholders, explicit notion is made of potential stakeholders representing the environmental and/or social aspects of the project. Communication with stakeholders include proactive engagement with potential stakeholders.

Page 30: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders• Project content

The content, intended result and success criteria are based on a holistic view of the project, including sustainability perspectives as 'economical, environmental and social', 'short term and long term' and 'local and global'.

Page 31: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders• Project content• Business case

The business case adresses the 'triple bottom line' of economic, social and environmental benefits. Investment evaluation is done based on a multi-criteria approach of both quantative and qualitive criteria.

Page 32: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders• Project content• Business case• Materials and procurement

In the selection of materials and suppliers for the project, these decision are also based on environmental and social considerations.

Page 33: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders• Project content• Business case• Materials and procurement• Project reporting

Project reporting is pro-active and transparant. Project progress is reported on different aspects of the project, including environmental and social aspects.

Page 34: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders• Project content• Business case• Materials and procurement• Project reporting• Risk management

The risk identification and risk management processes include the identification and management of environmental and/or social risks

Page 35: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders• Project content• Business case• Materials and procurement• Project reporting• Risk management• Project team The management and development of project team

members is aimed at preparing them for their role in the project and keeping them fit for this role. But also considers the effectiveness of team members in their personal and professional life after the project.

Page 36: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Potential areas of impact

• Project context• Stakeholders• Project content• Business case• Materials and procurement• Project reporting• Risk management• Project team• Organizational learning

Lessons learned and previous experiences are explicitly captured during project execution and closing and are made to use in the initiation and start-up of new projects. This is done to improve an organization's competence in doing projects.

Page 37: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Projectsneed

Changeis organized in

Sustainability!

Page 38: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

We need to change the way we view things

In order to change the way we do things

Nelmara Arbex

Page 39: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Scope shift

Managing social, environmentaland economical impact

Page 40: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Having a holistic perspective onmanaging change

Paradigm shift

Scope shift

Managing social, environmentaland economical impact

Page 41: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Mind shiftTaking responsibility

for sustainable development

Having a holistic perspective onmanaging change

Paradigm shift

Scope shift

Managing social, environmentaland economical impact

Page 42: 2011 Lecture Sustainability In Projects And Project Management

Research Centre forInnovations in Health Carewww.kenniscentrumivz.hu.nl

Sustainability in Projectsand Project Management

• Are we taking responsibility?• Should we take responsibility?

Page 43: 2011 Lecture Sustainability In Projects And Project Management

Sustainability in Projects

and Project Management