Using Design and Performance Management to Lock in Project Value.

Capital projects too often fall short of their forecast returns due to weaknesses in design and dilution of performance goals during the project delivery process. Design and Performance Management tools significantly improve project outcomes.

This uses formal Design Goals and Standards to facilitate structured dialogue across Technology, Commercial and Operations teams at the early stages of a project when design requirements are not fully defined or are in a state of flux. Once defined, these can then be used to record insights, clarify trade offs and define the basis for progressing to the next step of the programme.

Why It Matters

Design and Performance Management tools provide a structured approach to capturing and applying critical design knowledge (both explicit and tacit) in a form that can systematically shape the specification of new assets. This also drives risk management, testing and the glide path to flawless operation from day 1.

This involves six design benchmark categories:

1. Safety and Environmental

2. Reliability

3. Operability

4. Maintainability

5. Customer Value

6. Life Cycle Cost

At each step of the projects details are added to these Design Goals to collaboratively define standards applicable to:

• Process Technology to establish safety and reliability expectations.

• Operations teams to set benchmarks for operability and maintainability.

• Customer Facing stakeholders to define customer value and life cycle cost drivers.

By using these standards to evaluate options, project teams can proactively highlight and deal with risk areas and opportunities to enhance project added value.

Strategic Use of Benchmarks

Operations Review

To support the initial design process, these standards are used during a Day In the Life Of (DILO) review where the current and initial project concept are reviewed by around 12 key project stakeholders including representatives from the above functions and front line, area leadership and planning personnel. This uses a simple desk top simulation model to identify where there are gaps against the design benchmarks.

Carrying this out for existing assets provides a useful trouble map of what is needed to upgrade the current asset to achieve the desired business goal. In some cases, this can result in capital avoidance. At the very least, this will translate the gains made from improvements to current assets into the specification for the investment project.

This session is also used to identify which part of the investment project needs the most work. That also highlights where current investment projects overlap and where supporting infrastructure such as services are in need of review.

Quality Plan Development

Finally the outputs from the DILO are used to support the development of the project quality plan milestones.

Quality plans provide a top level project road map of linked milestones plus exit/success criteria to clarify the scope of the project, firm up on project risks and accountabilities for each milestone step. They also provide a vehicle to avoid common project pitfalls.

Module Review

Module reviews are used to dig deeper into existing operational processes to identify where the weaknesses lie. This is also used to add detail to how operational issues will change during start up, steady state and close down will change. That includes aspects such as material flow, maintenance and set up activities.

As each module of the end to end process is considered separately, this can capture the insights of a wider range of front line personnel and experience.

Delivering Specified Performance

These benchmarks do more than guide initial design—they provide:

• A consistent reference for inspections during manufacturing, installation, and commissioning.

• A knowledge base for internal capability development and vendor onboarding.

• A foundation for future research, continuous improvement, and innovation.

Each project refines the benchmark standards to capture and transfer lessons learned to future projects.

Improving Project Delivery

A critical misunderstanding in many projects is the assumption that meeting technical specifications is solely the vendor’s responsibility. In practice, vendors can only influence about half the risk factors that affect project delivery.

What vendors often lack is:

• Deep understanding of how their equipment will perform in your specific operational context.

• The ability to align new systems with your team’s routines and skillsets.

This is where the design standards support active collaboration with vendors and contractors to:

• Align on how the design will meet and exceed benchmark standards.

• Understand how to enhance current operational routines and skill development to support stable, reliable operation.

• Reduce life cycle costs through smarter design choices.

What You Gain

Projects that fully leverage the Design and Performance Management toolset enjoy several clear advantages:

• Lower Equipment Life Cycle Costs

• Faster Commissioning

• Faster Skill Development

• Higher Reliability and Capacity

• Improved Return on Investment

And crucially, beneficial operation is reached sooner, accelerating time-to-value.

In summary: Design and Performance Management transforms the way capital projects are specified and delivered. For Sponsors and Project Managers, it offers a clear path to reduce risk, enhance value, and build operational capability for sustained success.

Contact us for a chat about how we can help you to develop internal capabilities to move from acceptable to optimal…by design. Call us now to find out how we can support your live project with:

• An assessment of where to enhance current project management processes.

• Provide coaching, training and hands on advice at critical project steps.

• Guide the development of internal capabilities to deliver better projects faster