Promineo Cost EPC Tips & Tricks

Stavanger 21.Nov.2013

Agenda

- Promineo Cost - Tips and Tricks - Q&A

What is Promineo Cost?

• A tool for cost management with high flexibility and structure in combination

• Full interaction with other project management systems

• Form basis for cost control, reporting and decision making

• Tracking of income, cost, cash flow, contribution and forecast

• Seamless integration with most planning software

• Interface against Purchasing, Finance, Timekeeping and other project management systems

• Reporting and Tracking of Project Portfolios

• Time phasing of Cost- and Income Budget

• Preparation of Invoice to Clients • Handling of Inflation and Currencies • Change Control

Different approaches

Maintenance and Modification • Frame agreement • Repetitive tasks

Major EPC/EPCI/EPCS • One contract for each project • Built from scratch

Preliminaries

Engineering

Procurement

Fabrication

Installation

Commissioning

ATS

Operators Cost

Cost Model

Compensation Model

Contribution Model

Cash-flow Model

EPC (Engineering, Procurement and Construction) is large-scale and complex infrastructure projects. The idea for an EPC contract is to be obliged to deliver a complete solution/facility to a company who need only “turn a key to start operating the facility”.

Promineo Cost EPC

VO`s

Original Contract

VOR`s

PVO`S

Qty/PS Adjustments

Income / Contract Forecast

(Forecast cost for Client)

Current Contract Value

(Committed cost for Client)

EPC Compensation Parameters

Tips & Tricks (.. Success factors ..)

• Workprocess • Structures • Reporting • Future & improvements • Navigation • Filtering

Workprocess

• Who does what ?

• When ?

• How ?

Who does what?

• Identify responsibilities

– In organisation

– In systems

• Define work processes

– Project Internal

– Company Internal

– Client External

When?

Cutoff

Accruals

Analyze forecast

Ready for reporting

Monthly Reports

Add new/additional Scope of Work

Schedule updated

Add variations

Sun Mon Tue Wed Thu Fri

Run reports

Actual mhrs/cost received

Ready for analysis/

forecasting

Verify ERP data

Establish timeline for internal and external milestones and deliveries.

Weekly Reports

Client Invoice

How?

• Use check-lists combined with user guides

Structures

• With structures in combination, Promineo Cost gives you a good view of Cost, Revenue and Margin in different levels and parts of project scope.

• Use your structures together with other systems integrated to Promineo.

• Accounting (SAP, Agresso..) • Planning (Safran, Prima Vera..) • Procurement (SAP, MIPS ..) • Management Reporting • Other

• Establish a structure breakdown to meet the requirements for reporting:

• To project organization • Company internal reporting • Client invoicing and reporting

Level 4Level 4 Level 4Level 4

Level 1

Level 2 Level 2 Level 2

Level 3 Level 3

Typical structures in Promineo - WBS (Work Breakdown Structures)

- Project Phases - Sub.Projects - Disicplines - Areas - Modules - Platforms - Operations

- Obs (Organisation Breakdown Structures) - Location - Responsible personnel - Responsible contractors - Company organisation levels

- Cbs (Client Breakdown Structure) - Reflecting the client contract WBS

- C Others (Other structures) - Compensation methods - Cost/Compesation types

WBS – Work Breakdown Structure

Total Contract

Preliminaries Procurement Engineering Others.....

Process

Struct.Steel

Piping

Electro

Others..

Level 1

Level 2

Level 3

Example of WBS breakdown.

Cost centers Compensation centers

Breakdown and model according to Contract Compensation Format

…

Mhrs

…

Proc

…

…

Qty’s

…

Equip

…

…

…

…

Profit

…

LS

…

…

Markup

…

…

Mhrs

…

Model for creating Invoice back-up

Breaking a project into mini-models

All Costcenters and Compcenters are beeing linked to all the neccessary structures to complete all reporting requirements.

Define costtypes for each Cost and compensation centers

Reporting

• Report examples

• Report Launcher 2.0

• Interactive reporting using Proteus

Reporting examples • Mangement report, Cost Status and Rate KPI • Changes to prior revisions/baselines (Cost/Comp/Margin) • MPP Mhrs , Planned vs Actual

NB! Total understanding of what the values in the reports represent and knowledge of the process to get to the result in the report is very important. This is something that is

Mangement report, Cost Status and Rate KPI

Changes to prior revisions/baselines (Cost/Comp/Margin)

MPP Mhrs , Planned vs Actual

Helicopter view • Big figures

• Is the total values OK, thousands / millions / billions ? • How is the average forecast rates/actual rates on:

• Personnel • Operations • Modules • Equipments

• Late changes

• Did you expect approx. 10 MUSD increase ? • Does this feel reasonable ?

• Look at Management reports • Look at Project status forms

• Client Invoice and Reporting

• Check check .. • Important to build up a confidence relationship to client. • Quaility in deliveries makes the day by day easier

Report Launcher 2.0

Report Launcher 2.0 When launching a

report a dialog box will

appear asking for

neccessary input from

user

User is asked to select a discipline

Pop-up button brings up a

search box to easier picke the

right one

This search box provides the user

with advanced search for filter values, and the user can select

several disciplines

Tick-off to include table on the bottom of

report User is asked to

set a time-windows of this graphical report

• New features (these functions are available by designing

reports in the new report designer).

• Be creative and design new good reports

• Select what to include in the reports

Report Launcher 2.0

Report Launcher 2.0 • Select Grouping level for the report

• Save the grouping you have selected as a Private(Public) filter

• Reduce number of reports

Interactive reporting using Proteus

Examples of use of Proteus:

• Cost and Compensation • Cost and Manhours (See slide) • Dashboards (See slide)

• Compare data from different systems • Planning data vs. Promineo MPP (See slide) • Accounting system vs. Promineo Actual Cost • Committments in Procurement systems vs. Promineo Cost date

(Budget/Committments) • KPI (Key Perfomance Indicator) • Gantt Compare dates

• Project and Company to define Repositories and Workspaces

• Repositories contains different Workspaces

Histogram Cost and Compensation from Promineo Cost

Drilldown dashboard example Cost and Compensation from Promineo Cost

Promineo Cost data in Gridgantt

Planning data vs. Promineo MPP

Future & improvements

• Removed “Session timeout”

• Interface configurator

• Running reports directly from the screen application

• MPP 2.0

• Dynamic codes and structure

• Split position

• 1 posistion -> 1 line (multiple input)

• Windows appplication for superusers

• Technology

• Dynamic user interface

• Copy/paste from Excel

Future & improvements

• Running reports directly from the application screen

• Customer can define which report to be available from

the screens

• Based on selected screen, the filter is pre-defined

Future & improvements Interface configurator

Be able to import excel spread sheets.

Examples:

- Existsing MPP projects

- Subcontractors cost/progress/actual

- Actual Cost data from ERP system

- BID Excel spreadsheet import

Navigation - find relevant data

• Menu • Userdefined menus • Define good menus so the people have access to relevant

information through menues/treenodes.

• Navigation in forms • Select fields and filter on values to navigate to the relevant items • Sorting Ascending/Descending on selected field • Sorting Ascending/Descending on columns in multiinput(tables)

Filtering

When mastering filter-functionality you will • Get quicker

access to relevant data

• Be able to combine and/or compare relevant information

• Summarize partial sets of records

Questions and Answers

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