Value and Risk Management Workshop

Integrating Value and Risk Management in the strategic project development stage of new City Government Council! head"uarters #ransport Management Centre$ %ead"uarters&'u(ai!)

V*+,- *.' RI/0 M*.*G-M-.# 1 '23VR

.4V-M5-R 6736

'23VR V*+,- *.' RI/0 M*.*G-M-.# *//IG.M-.# 1 6736 8*R# 3

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

3:7 =oreword
#he City of 'u(ai is the one amongst many cities in the world that has (een put on the list of rapidly developing cities since the 3>>7<s$ 'u(ai is one of the largest of the seven -mirates$ it has two great potential industries to capitali?e$ namely trade and hospitality: #he key factors driving this industry are construction and infrastructure: Considering the pulse of the city and the (risk development$ #he Roads and #ransport *uthority R#*! is making significant investments to upgrade 'u(ai<s roads network: #he proposed project would (e a key component in the system and would provide the re"uired e@cellence: 3:3 *ssumptions9 a: #he city authority considered here in 'u(ai for this assignment is the 'epartment of #ransport *uthority and the project proposed is the #ransport Management Centre #MC! head"uarters to (e located in the city centre: (: #he 8roject has a (udget of *-' 3AB millions with an estimated area of 36$C77 /"m to (egin with: c: #he time period for this project from inception to handover is considered to (e 27 months commencing from .ovem(er 6736: d: #he Client has adopted 4GC 2 8roject procurement lifecycles as the preferred procurement framework:

e: #he 8roject is currently at an early stage of development and the clients *dvisor has commissioned our team /: ;ose Corporation as an independent VRM consultant to advice on the value and risk studies to (e carried out at this stage: f: 8lan 'u(ai 67C7 9 #he ,r(an /tructure =ramework has (een prepared for the 'u(ai city 6 years (ack (y the -@ecutive Council to continue the vision of the Ruler and 8resident of ,*- as part of a continuing evolution of 'u(ai as a (ooming modern city: R#* has various properties spread along the city$ some having e@cess of space while some have the potential to (e e@tended: 5ased on an initial data gathering process$ the stakeholders for this project at this stage have (een identified and categori?ed into 2 (asic groups (ased on their involvement in the operations of the overall #ransport system in 'u(ai city: #hey are9 3: #ransport departments that would (e involved in the 4perations$ Monitoring

g: h:

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

and Maintenance of the facility: -g like Roads$ Road /ervice 8atrol$ Metro$ 5us and #a@i:

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

6:

#ransport departments that would (e involved in the 4perations$ Monitoring and 'ata sharing within the facility: -g like 'u(ai 8olice$ ,r(an Roads and 8lanning and Maritime: 2: #ransport departments that would (e involved in the 4perations$ Monitoring and 'ata sharing within the facility: -g like *viation$ Maritime and +ight Rail #ram: 3:6 8urpose of this 'ocument9 #he purpose of this document is to ensure that all decisions the -@ecutive Committee is committed to take are an utmost necessity and the (est solution to achieving the Committee<s re"uirement and o(jective: *ll value management studies shall (e undertaken (y the VRM Consultant supported (y the 8roject Manager and Client team:

6:7 I'-.#I=DI.G 5,/I.-// .--'/ 9 8re&Workshop /tudies

* set of presentation will (e prepared which will (e presented to the Client advisor in advance for prior approval: #he presentations will outline the reasons and circumstances leading to the investment in the proposed 8roject as indicated (elow: /tep 739 Research and information shall (e gathered (y the following means of study9 a: Interviews of Client and 8roject Manager #eam and any other: (: /takeholder *nalysis c: 'ocument analysis 1 Client correspondence$ 8roject -@ecution 8lans$ d: 8reliminary "uestionnaires: /tep 769 5ased on the study a(ove$ the contents of the presentation shall outline the following9 a: Reference to the vision of 'u(ai and #he 8lan 'u(ai 67C7 9 #he ,r(an /tructure =ramework: #his is a comprehensive ,r(an 'evelopment plan that will guide and approve all future planning for 'u(ai city till 67C7 (: #he role of Roads and #ransport *uthority in achieving this goal (y developing a transport policy that integrates all the Multi&modal transport system that is fully coordinated: c: -mphasis on R#*<s policy9 to regulate$ plan and develop an efficient and well& integrated transportation system that serves the pu(lic interest (y enhancing mo(ility and delivering safe$ secure and environmentally responsi(le *viation$ Maritime$ 8u(lic #ransport and %ighways sectors:

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

d:

#hese departments are currently located in a num(er of properties of different types and ages across the city and the client view is that this arrangement is no longer suita(le for the 'u(ai 67C7 vision:

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

e: #o achieve this goal R#* proposes to invest in 'esign and Construct of the 'u(ai #ransportation Management Centre which integrates all the modes of transport under one roof creating a single Multimodal #ransport .etwork Centre: #he a(ove presentation will justify and descri(e the reasons for investmentE it will also justify the strategically timing of investment in the lines of 8lan 'u(ai 67C7: /tep 729 #he Clients value system with the Client policies for total "uality management$ including %ealth and /afety$ /ustaina(ility and the aims and o(jectives of the project shall (e presented to the /takeholders: Researched through 8oint a! /tep 7A9 *ttempt shall (e made to justify that the investment strategically fits with the corporate aims of the client and value system of the client: /tep 7C9 * presentation of case studies of online International (ench marking of projects similar to the one proposed (y the Client would (e prepared and presented to the Client for prior approval: /tep 7B9 Circulation of the 4rientation (rief amongst the Identified /takeholders and workshop agenda /tep 7F9 * /takeholder *nalysis has (een conducted (ased on a power and influence matri@ and the *CI') analysisE however this is su(ject to client<s approval: #he /takeholders recommended (y the VRM consultant are9 a: Roads$ Road /ervice 8atrol$ Metro$ 5us and #a@i: 0ey 8layers! (: 'u(ai 8olice$ ,r(an Roads and 8lanning and Maritime: 8rimary 8layers! c: *viation$ Maritime and +ight Rail #ram: /econdary 8layers! /tep 72 to /tep 7F shall (e researched through 8oint a!$ (!$ c! G d! of /tep 73:

2:7 I'-.#I=DI.G 5,/I.-// .--'/ 1 Workshop *genda

'ay 73 H977 1 >977 am #opic Introduction (y 8roject Manager$ with overview of goalsIo(jectives for the workshop and #eam 5uilding: Introduction to VRM Consultant /ign&in I welcoming (y VRM consultant with process of workshop and 8roject (ackground: Meet and greet over (reakfast: *ttendees Core #eam$ /takeholders and Invited Guests: Core #eam$ /takeholders and Invited Guests:

>977 1 >93C am

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

>93C 13393C am

8roject 5riefing 8resentation on reasons and circumstances leading to the investment in the proposed 8roject: Concept of integrated 4peration and functioning under single centrali?ed facility: Case studies of online International 5enchmarking e@amples of similar facilities and functioning: 8resentation of Clients value system along with policies for total "uality management$ including %ealth$ /afety and /ustaina(ility Morning (reak: 5rainstorming and 4pen 'iscussion /takeholder Consultation Vision and o(jectives for the project: Identifying 8rojects =unctions and Roles 4perational concepts and recommendation

Core #eam$ /takeholders and Invited Guests:

3393C&36 noon 36977 1 3:27 pm

Core #eam G /takeholders:

3927&6977 pm

+unch with informal dialogue: /takeholder review presentation and re"uirements "uestionnaire: Identify /takeholder (usiness needs$ long term and short term through study of the /takeholders role and interface within the #ransport system: 8roject =unction analysis and prioriti?ation (ased on the =*/# analysis method: #he current operational practices relevant to this project (y each /takeholder: #he /takeholder<s spatial "uality re"uirement *fternoon (reak: 5reakout session

Core #eam G

/takeholders: Core #eam G /takeholders:

6977 1 A977 pm

A977 1 A93C pm

Core #eam G /takeholders:

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

A93C 1 C93C pm

5rainstorming and 4pen 'iscussion Review of /takeholder re"uirements:

Core #eam G /takeholders:

#eam 9 /: ;ose Corporation *uthor 9 #: /ujit ;ose VRM&'23VR&.ov< 6736:

C93C 1 B:77 pm

Concluding session Workshop target identification and prioriti?ation (y discipline: /ummary and commitment to document outcomes 8repare *ction 8lan

Core #eam G /takeholders:

A:7 I'-.#I=DI.G 5,/I.-// .--'/9 Workshop outcomes #he outline of the recommendations of the follow up report will contain on how to implement the following9 3: #he Mission statement or report for the project in terms of a (usiness perspective: An efficient, iconic and functional building which incorporates safe, healthy and sustainable values and environment for the users. 6: 5enefits of #he =orm and =unction of the #MC would improve road safety$ lower crash rates$ increase pu(lic transport usage$ reduce congestion and travel time$ improve journey time relia(ility and all these together would promote sustaina(ility$ a green environment$ community safety$ a (etter and healthy lifestyle for all: 2: 4rgani?ational structure of the project and overall purpose of the project: 4. Centralized facility that achieves integration through co-location of a multitude of agencies and operations in one geographic centre. C: Clarity in interpretation of Client Value system in terms of the e@plicit (usiness and implicit cultural values: 8erformance indicators that should (e considered to gauge success of the project: B: +evels of /ecurity needs as a secured institutional facility with limited public access. F: 5ased on the understanding of other (enchmarked studies$ the facility also acts as a Crisis management centre hence its operation will (e operational 6A hours a day$ F days a week$ 2BC days a year:

C:7 48#I4./ #4 M--# 5,/I.-// .--'/ 1 V*+,- *.' RI/0 /#,'D Workshop *genda #his part of the workshop is split into two parts$ while the first part take care of some Value analysis$ the second part of the workshop does risk analysis on the various options shortlisted: 'ay 76 H977 1 >977 am #opic Introduction (y =acilitator$ with overview of follow up report of the previous workshop Introduction (y =acilitator$ with overview of goalsIo(jectives for the progress of ongoing workshop: /ign&in I welcoming (y VRM consultant with process of workshop and indication of solutions and options for reali?ation of the project Meet and greet over (reakfast: 8resentation of 8roject option&different /trategic options 4ption 73& /trategy of refur(ishment of e@isting (uilding and facility: 4ption 76& /trategy of physical e@tension of e@isting (uilding or facility: 4ption 72& /trategy of (uilding a completely new facility Morning (reak: 5rainstorming and 4pen 'iscussion Risk Identification for all 2 4ptions Categori?ation of risks into high$ medium and low intensity -limination of low ha?ard risks 5rainstorming and 8airing comparison can (e used +unch with informal dialogue: 5rainstorming and 4pen 'iscussion Risk response strategies: Core #eam G /takeholders: *ttendees Core #eam G /takeholders:

>977 1 >93C am

Core #eam G /takeholders:

>93C 1379AC am

Core #eam G /takeholders:

379AC&33 am 33977 1 36:27 pm

36927&3977 pm

Core #eam G

/takeholders: Categori?a

6977 1 A977 pm

tion of response techni"ues:

Core #eam G /takeholders:

 #o avoid$ to reduce$ to transfer or to accept and manage: A977 1 A93C pm *fternoon (reak: 5reakout session A93C 1 C93C pm 5rainstorming and 4pen 'iscussion /ummari?e the risk management workshop Creating of risk register (ased on its identification$ impact$ solution agreed (y team: Core #eam G /takeholders: Core #eam G /takeholders:

C93C 1 B:77 pm

Concluding session Identification of strategic option that has (est value for money: =inali?ation of the option: Implementation$ plan of action and timescale to (e committed:

Core #eam G /takeholders:

B:7 48#I4./ #4 M--# 5,/I.-// .--'/ 1 V*+,- *.' RI/0 /#,'DW4R0/%48 *G-.'* 9 Workshop outcomes #he outline of the recommendations of the follow up report will contain on how to implement the following9 3: =inali?ation of the selected option$ implementation$ plan of action and timescales commitment: 6: 8roject /ite finali?ation$ its access and approach: 2: 'evelopment of the Concept and options for different themes: A: 'evelopment of the Concept of 4perations Report: C: 'evelopment of the Inception Report$ #his should encompass the %ealth$ /afety and -nvironmental policies: B: =inali?ation for 8resentation of Concept and #hemes workshop:

F:7 C4.C+,CI4./ *.' *'V*.#*G-/ #he advantages of doing a Value and Risk management are direct financial (enefits for the client$ #he client would get (ack high returns for a minimum investment on the VRM e@ercise for the project: 3: #he VRM if conducted well and with a systematic approach could reduce the cost of the overall project (y 3CJ: 6: #he /takeholder workshops would create great communication amongst the team mem(ers$ * good communication process would ensure all issues and pro(lems are out in the open$ the issues can (e discussed and attend too reducing e@ecution costs on the project: 2: Good coordination and communication amongst the stakeholders would also create a well define 'esign (rief which in turn gives a well designed project that can (e e@ecuted and delivered in time: #he client and the various departments can save costs (y functioning from this central (uilding and giving up all the other fragmented office spaces: A: 'uring the workshop$ if some of the other stakeholders are led to (elieve that the project is sound in terms of monetary returns and a good value for money project$ they might (e willing to invest in the project and take partnership: C: In most cases$ the risks can (e identified and taken care off to reduce its impact over the project: In some cases the risk can (e converted into (enefits and increase the value of the project even more: