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3 Prognosis for Progress
Pages 41-50

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From page 41...
... This concern is based on three critical factors: (1) the absence in DOE of a recognized champion for project managers and process improvement -- an individual who is at a level of authority to ensure adherence to policies and procedures and the availability of the necessary funding and personnel resources,1 (2)
From page 42...
... EM supports the development and coordination of a professional training and career development program through a departmental structure. National Nuclear Security Administration The administrator noted that NNSA has done much more to improve project management than the committee gave credit for in its 2002 assessment report.
From page 43...
... The committee recognizes, and has stated in a number of places, that the highly technical, first-of-a-kind projects undertaken by SC and NNSA require an approach to project management that is different from the approach taken for more routine infrastructure projects; however, the committee believes that DOE's current policies and procedures define a minimum level of detail needed by DOE for effective project management, and that they should be applied to all projects. The committee also believes that the current provisions for tailoring requirements are sufficient to assure that management procedures are cost-effective.
From page 44...
... The committee applauds this direction and notes that it applies to all projects covered by O 413.3 and should, if fully implemented, improve the management of SC projects. PROJECT PERFORMANCE The 2002 and 2003 DOE Project Management Awards demonstrate the contribution of excellent front-end planning practices to successful projects and provide evidence that DOE can do projects well.
From page 45...
... weak risk assessment and/or risk management plans, (4) haphazardly setting contingency allowances that are not necessarily based on risk, and (5)
From page 46...
... However, project management reforms initiated over the past 3 years have been successful in diminishing some of the differences across departmental program offices. MOMENTUM FOR IMPROVEMENT The committee believes that since DOE launched its project management reform initiative in 1999, the department has made progress in improving management procedures and project performance.
From page 47...
... The NRC 1999 report summarized the status quo for DOE project management as follows: The fundamental deficiency is DOE's organization and culture, which do not provide a focus for project management. As a result, the processes used by field offices, operations offices, and their contractors for planning and executing projects are inconsistent; lessons learned about cost estimating techniques, project review processes, change control mechanisms, and performance metrics are not transferred from one project to another; and there is no systematic program for recruiting and training professional project managers and no career path for project management.
From page 48...
... , the committee has urged DOE to institute a career development program to improve personnel retention, to expand the inadequate staff of professional project managers (project directors) , and to institutionalize best practices by implementing policies and procedures.
From page 49...
... Continued improvement will require strong-willed leadership, a focus on results, stability of processes and procedures, accountability with consequences, and a serious expenditure of resources to make the needed changes. The committee is convinced that permanent improvement in project management at DOE requires both continual leadership from senior management and a recognized project management champion with adequate authority who can and does work full-time on improving project management.
From page 50...
... Since its January 2001 letter report (NRC, 2001a) , the committee has urged DOE to institute a career development program to improve personnel retention, to expand the inadequate staff of professional project managers (project directors)


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