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Preparation of Project Execution Plan

Guideline

PMP-0017
7-Dec-07




Section 6 Project Administration &
Communication








Level 12, 333 Collins St, Melbourne VIC 3000, Australia
Tel: +61 3 8676-3500
Fax: +61 3 8676-3505
Web: http://www.worleyparsons.com

Copyright 2008 WorleyParsons Services Pty Ltd


PREPARATION OF PROJECT EXECUTION PLAN GUIDELINE


PROJECT PMP-0017 - PREPARATION OF PROJECT EXECUTION PLAN GUIDELINE
REV DESCRIPTION ORIG REVIEW WORLEY
PARSONS
APPROVAL
DATE CUSTOMER
APPROVAL
DATE
2 Reissued for use in EMS
V3

M Reilly

PM Review
Group

M Reilly
20-Jun-07 N/A

N/A
3 Reissued for PMC Review
L Ogden

B Tew/M
Reilly

M Reilly
23-Aug-07 N/A

N/A
4 Reissued for use in EMS
V3

M. Reilly

All BPOs

M. Reilly
7-Dec-07 N/A

N/A










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SYNOPSIS
This document provides general Guidelines for the preparation of Project Execution Plans for
WorleyParsons projects, thereby improving our consistency in the successful execution of projects.








Disclaimer
This Guideline has been prepared on behalf of and for the exclusive use of WorleyParsons
Services Pty Ltd, and is subject to and issued in accordance with the agreement of
WorleyParsons Services Pty Ltd. WorleyParsons Services Pty Ltd accepts no liability or
responsibility whatsoever for it in respect of any use of or reliance upon this Guideline by any third
party.
Copying this Guideline without the permission of or WorleyParsons Services Pty Ltd is not
permitted.



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CONTENTS
6. Project Administration and Communication..............................................38
6.1 Administration and Communication Plan ...................................................................38
6.1.1 Administration.......................................................................................................38
6.1.2 Communication Protocols.....................................................................................40
6.1.3 Document Controls and Transmittals....................................................................44
6.2 Project Authority Levels.............................................................................................45
6.3 Interface Management Plan.......................................................................................46
6.4 Regulatory, Permits and Consents Plan ....................................................................47
6.5 Stakeholder Management Plan..................................................................................48
6.6 Workshare Plan.........................................................................................................48
6.7 Project Closeout Plan ................................................................................................49




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6. PROJECT ADMINISTRATI ON AND COMMUNICATI ON
The Project Administration and Communication Plan details the processes that WorleyParsons uses
to manage itself and the processes that it uses to communicate internally and externally, with the
Customer and others. These processes are described in this section of this guideline.
For a Project Management Contracting (PMC) Project, the Administration and Communication Plan
must also detail those processes that WorleyParsons uses to manage the Contractors on behalf of
the Customer. In recognition of this added complexity, a separate, stand alone Project Administration
and Communication Plan is recommended for a PMC Project. Reference the Preparation of
Administration & Communications Plan (PMC) Guideline MPP-0002 for guidance and an associated
template.
6.1 Admi ni st r at i on and Communi cat i on Pl an
Every project requires a series of administrative procedures that will facilitate the orderly start-up of
day to day operations and closeout of the Project. As each project is unique, there may be additional
activities requiring administrative procedures. The Project Manager, working with other members of
the Project Team, will be responsible for identifying and developing the slate of procedures necessary
for the project.
Many of these administrative details are covered in depth in other sections or plans, and in that case,
this section should highlight that content and refer to the plan for details (e.g., see Section 19,
Recruitment and Employee Relations Plan, for induction details).
Include reference to any company standard or project specific form that is to be used to document
any activity.
The content of a typical Administration and Communication Plan may include:
6. 1. 1 Admi ni st r at i on
6. 1. 1. 1 Proj ect Ti t l e/ Number
Define the Project Title (or name) to be used on all correspondence and documents. Also define the
additional sub-headings to be used on correspondence. Define the WorleyParsons project number
for the project.
6. 1. 1. 2 Proj ect Locat i on
Describe the project main office location (city, building, floor, etc.), and satellite locations or
Workshare locations. Include the construction site location and the location of any fabrication sites
where team personnel are likely to be assigned. If fabrication site locations are not yet know, it is
okay to generalize (e.g., Asian location shipyard). To facilitate travel to the various project sites
where significant project activities will take place maps and travel instructions should be developed
and included in the PEP or on the project website.


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6. 1. 1. 3 I nduct i on Trai ni ng
Describe the process of Induction Training, this may include:
Training on WorleyParsons standard processes and systems for new recruits.
Project specific training for each new person joining the project team, both existing
WorleyParsons personnel and new recruit, including a documented induction program, this PEP,
and the project web site.
On the job training in the job specific procedures and processes which relate to the specific
duties of the joining person.
6. 1. 1. 4 Proj ect Cont act Li st
The Project Contact List must contain necessary information for all personnel assigned to the Project
such as name, title, location and phone numbers. In addition the list should include additional useful
information as conference room phone numbers, fax numbers, and other frequently called phone
numbers. Normally the Project Contact List will be stored on the Project Website and this Section of
the PEP should simply refer the reader to the location.
6. 1. 1. 5 Proj ect Work Hours and Ti mesheet s
In this section include:
the standard work week for each project location (e.g., 40 hours)
the office hours for each project location (e.g., 8:00 am to 5:00 pm M-F).
the timesheet system to be used on the project (e.g., TimeTrax)
that each employee is required to complete a timesheet and is responsible for the accuracy of
the submittal
the deadline for timesheet submission (e.g., Friday at noon)
Any special coding instructions for timesheets.
6. 1. 1. 6 Overt i me Approval s
In this section include:
A statement of the project overtime policy (e.g., WorleyParsons standard).
Any requirements for prior approval and by whom.
Responsibilities for identification of requirements of overtime & approval of overtime. (use
project approved authorisation form).
The process for obtaining prior approval by the Customer, if required.
The form necessary to document approved overtime.


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6. 1. 1. 7 Travel and Busi ness Expense Procedures and Pol i cy
In this section include:
A statement of the business travel policy to be used (e.g., WorleyParsons standard).
Policy for travel time on the project.
The process and form for documenting authorized travel.
Who is authorized to approve travel requests (e.g., the Project Manager)
The requirement for obtaining Customer approval, if required.
The process and form for claiming reimbursement of authorized travel and business expenses.
Authorities for approval of travel & business expenses.
6. 1. 1. 8 Proj ect Vehi cl es
If required, this section includes a description of the process for the approval, assignment, operation,
maintenance and administration of any motor vehicles that may be required by the Project, both in the
home office and at the job site (excluding construction equipment). Generally this will be the Location
specific vehicle policy.
6. 1. 1. 9 Of f i ce Ser vi ces
Describe the process for the request and approval of office services such as office moves,
maintenance, furniture, office supplies, mail and courier service. These processes will be in
accordance with Location policies and will satisfy specific contractual requirements for provision of
services to in-house Customers and to ensure reimbursibility.
6. 1. 1. 10 Comput er and Tel ephone Assi gnment
Describe the process for assignment of standard administrative and engineering PCs and software,
security process, and all telephone equipment and services. Special engineering hardware and
software such as simulation programs and CAD applications are covered in Section 12 (Engineering)
of the PEP. For projects that are to be located in WorleyParsons home office locations, these
procedures will be in accordance with WorleyParsons standard practices.
6. 1. 2 Communi c at i on Pr ot ocol s
6. 1. 2. 1 I nt roduct i on
Information needs to be administered efficiently and communicated to team members, Customers
and other project stakeholders in a timely manner. Project communications management provides
the framework and critical links among people, ideas, and information that are necessary for project
success. The requirements for project communications must be clearly established at the start of any
project. It needs to address information content, format and timing. The compilation and
communication of all information, including engineering documents, must be effectively managed


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throughout the implementation of any project to ensure a seamless and problem free transition to
subsequent phases with minimum effort and delay.
6. 1. 2. 2 Li nes of Communi cat i on
Describe the formal and informal lines of communication of the project. This is often done in tabular
form indicating the subject, the corresponding parties, and those copied. Subjects may include:
Formal Contractual Issues (Project Sponsor to Project Sponsor)
Normal Contractual Correspondence (Project Manager to Project Manager)
Key Technical Issues and Decisions (Engineering Manager to Engineering Manager)
Procurement Issues (Procurement Manager to Procurement Manager)
Communication to/from Vendors/Contractors (Procurement Manager only)
Construction Site Issues (Construction Manager to Construction Manager)
6. 1. 2. 3 Key Reci pi ent s/ Addresses
For all formal correspondence on the project, document the list of key personnel and their associated
addresses. This would include:
The Customer Representative
The WorleyParsons Representative (normally the Project Manager)
The Customer recipient for invoices
The Customer recipient for Contract Notices.
Etc.
6. 1. 2. 4 Types of Correspondence
Describe the types of written correspondence, the purpose of that correspondence, format
requirements, project numbering and logging requirements, and any protocols for their use, including
who can authorise the correspondence. Include examples of format, if appropriate. This could
include:
Formal letters to Customer (e.g., correspondence regarding Contract, submission of invoices,
submission of contract variations).
Formal letters from Customer
Formal letters to others
Action Advice Notes to/from Customer (e.g., formalise request for information, issue of
information/respond to Customer queries, confirmation of discussions).
Transmittals (formal issue of documents to project participants)
Minutes of Meetings
Email
Etc.
In general all letters, Action Advice Notes and Meeting Reports should be uniquely numbered and the
register maintained by the Project Secretary who will also retain the hard copy files.


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6. 1. 2. 5 Communi cat i on on behal f of Cust omer
Identify any correspondence that may be issued by the project team on behalf of the Customer and
identify the project team member authorized to make such communication (e.g., Purchasing
Supervisor may correspond with third party vendors that we manage on behalf of the Customer, etc.)
Unless specifically mentioned, any other correspondence issued on behalf of the Customer,
considering that it may have an unforseen cost or schedule impact on the Project, will only be issued
by the Project Manager.
6. 1. 2. 6 Meet i ngs
Describe that all meetings will be documented using the WorleyParsons minutes of meeting template,
perhaps edited to be project specific. Protocols should establish as a minimum:
Notification (e.g., at least seven days notice should be given to invitees)
Agenda (e.g., an agenda should be issued prior to any meeting)
Chairperson (e.g., nominated for each meeting)
Minutes (e.g., should be issued within two working days)
Approval of Minutes (e.g., see project authority levels in Section 6.2)
Action Items (e.g., recorded, transferred to open action item list, and managed to closure)
Numbering system for minutes.
Etc.
List the routine meeting that have been established and the schedule for these meetings. Each
meeting should have a preset agenda and the first topic on every meeting must be Safety. List also
the attendees and who would normally chair the meeting. An example would be:-
Weekly Management Meeting between Customer and WorleyParsons. WorleyParsons
attendees would be the Project Manager, Engineering Manager, Project Controls Manager.
Meeting is chaired +by the Project Manager.
6. 1. 2. 7 Emai l Communi cat i on
Email will also be used as a communication method for the project. However, it shall not be used to
perform the functions defined for Action Advice Notes (see Section 6.1.2.4).
All emails shall have a clear title and be copied to the project Public Folder. To this end an email
address has been established for the public folder and this should be added to the CC line of all
project emails. Note that for this public folder to be effective as a complete record of all email
correspondence, then all emails should be copied to this folder. The only exception to this rule should
be that emails that are not for full public disclosure should not be sent to this folder. As the name
suggests, this is a public folder and so is accessible to all WorleyParsons users.
The email address for the public folder should be included.
Key email distribution (e.g., copied to the Project Manager, Project Engineers, etc.).
Key project emails include those emails with the following content:
o Safety issues


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o Decision making
o Critical path activities
o Opportunities for improvement
o Key deliverables issues
o Contract, cost, schedule
o Technical queries and their responses
o Scope development and changes
All project team members are required to maintain their own project emails for future reference.
Each user will create a separate project folder within their email system with the pst file for this
project.
Identify any email groups that have been created.
Identify the person responsible for maintaining the project email groups.
6. 1. 2. 8 Document at i on and Dat a Management
Briefly describe the document management system (e.g., SmartPlant Foundation) to be used on the
project for all documents produced and tracked for the project, including project correspondence.
Refer to Section 17 (Documentation and Data Management) for further details.
6. 1. 2. 9 Proj ect Web Si t e
If applicable, describe the dedicated Project Web Site has been established to broadcast Project
information and share documents. Include how to access it and the person responsible for
maintaining it. An example write-up would be as follows:-
A dedicated project web site has been established to broadcast project information and share
documents. The web site is part of the WorleyParsons intranet (WOW) and is accessible by
user ID secure link over the internet by the Customer and third parties.
The Engineering Manager is responsible for the Project Web Site and providing access to the
site to the WorleyParsons project team, Customer and Third Party personnel. The site
contains a WOW usage instruction document to assist personnel with the use of the site.
The address for the site is: htts://projects.worleyparsons.com.au/ . . . .
The purpose of the website includes:
1. The website will hold all safety notices and HSEC requirements
2. The website will be the primary repository for all reference information. This will
include the following:
a. Approved revisions of project deliverables. A PDF copy of the signed original
of all project deliverables that have reached Rev C or higher will be loaded into
the appropriate location of the website.


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b. Transmittalsa separate section of the website will be where any transmittals
to and from each project location can be loaded.
c. Minutes of meetings will be stored on the website in the relevant areas.
6. 1. 2. 10 Proj ect Fi l i ng Syst em
Describe the structure of the project filing system to be utilized, primarily for correspondence.
Generally electronic copies of all correspondence will be maintained in the document management
system. Hard copies will be kept where and by whom. Logs will be maintained where and by whom.
Refer to Section 17 (Document and Data Management Plan) for further details.
A copy of the project file structure should be attached as an appendix to the PEP.
6. 1. 2. 11 Open Act i on I t em Li st
A register of all open action items shall be maintained by the WorleyParsons team. Define the
responsibility for ensuring this list is maintained and define when the review of the open action item
list will be done (e.g., at the weekly Customer/WorleyParsons management meeting). The Open
Action Item List should also be included as an attachment to the monthly report.
6. 1. 3 Doc ument Cont r ol s and Tr ans mi t t al s
6. 1. 3. 1 Document I ssue
List the types of documents that must be submitted to document control for registration and
internal/external distribution via transmittal. Examples would be:
All technical documents (deliverables) including the likes of drawings, specifications, datasheets,
reports, etc. Original wet signed copies must be submitted to document control for processing.
Administrative documents such as plans, procedures, schedules, organsationcharts, monthly
reports, etc. Original wet signed copies must be submitted to document control for processing.
Document control will allocate all sequential numbers; registers; issue via transmittal and file (as
the custodian) all original and check print versions.
6. 1. 3. 2 Document Numberi ng/ Revi si on Cont rol
The document numbering and coding system should be defined or alternatively included in the data
management plan in Section 17 of the PEP. This should include the revision numbering process.
This section should also define the requirements for tracking changes between revisions of the
document.
6. 1. 3. 3 Document Di st r i but i on
This should reference the document distribution matrix developed for the project and the purpose for
this document. This would typically be to define:-
Review and approval requirements of all documents by both the Customer and WorleyParsons.


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Distribution of hard and soft copy documents to both the Customer and WorleyParsons
personnel.
Each team member should be responsible for maintenance of the document distribution matrix and
for distribution of documents in accordance with the matrix.
The Project Document Controller is responsible for maintenance of the document distribution matrix
and for distribution of documents in accordance with the matrix.
6.2 Pr oj ect Aut hor i t y Level s
A matrix is a good way to show project authority levels covering all items that must be signed or
approved on the project (e.g. correspondence, timesheets, expense accounts, travel requisitions, bid
summaries, purchase orders, etc.). Generally, the Project Manager has delegated authority for most
actions, and this matrix will serve to record the delegation of authority to the organization.
In some instances, the project managers approval authority may be limited (e.g., the ability to commit
expenditures above a certain level). And there are instances where WorleyParsons processes
reserve the final authority for specific functional groups (e.g., purchase orders can only be signed by
procurement personnel).
A simple authority level matrix would be as follows:
Document Authorized Approver Limitation
Contractual Letters Project Manager Only
Change Instruction Customer Project
Manager
Only
Variance (Trend)
Notification
Project Manager Only
Change Request Project Manager Only
Change Order Customer Project
Manager
Only
Meeting Minutes Senior WorleyParsons
participant (also if
Customer approval is
required)
Does not signify acceptance
of scope change
Project Manager <AU$ 100,000, else
Manager of Projects
Bid Summary
accepting
recommendation to
purchase
Project Engineer <AU$ 10,000, else see
Project Manager
Purchase Order Purchasing Manager Only with approved
Recommendation for Award
Travel Requisition Project Manager None
Timesheet Supervisor None
Travel Expense
Account
Project Manager After endorsement of
Supervisor


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Overtime Supervisor After prior approval by
Customer Project Manager
Etc.

6.3 Int er f ace Management Pl an
The purpose of this section is to describe the projects Interface Management Plan. If required on this
project, it may be included here or referenced as a stand alone plan. It is best if this section is written
by the Project Interface Coordinator. See Project Interface Management Plan Task Sheet (PMP-
9011) and its associated Template for guidance on preparing this plan.
In reviewing the Project Interface Management Plan, the Project Manager should ensure that it is
project specific in nature, and that all pertinent issues are covered, including:-
That the scope of the Plan considers all appropriate internal and external interfaces, including
internal interfaces between area teams, external interfaces with contractors and vendors,
external interface with the Customer project team and various departments within the Customer
organization, external interfaces with third parties providing certification or verification, external
interfaces with organizations obligated to provide regulatory approvals, and external interfaces
with other organisations contracted by the Customer to contribute to the project.
That the Plan provides a consistent project wide method for identifying, developing, mutually
agreeing, and subsequently resolving interface issues.
That the project team, contractors, vendors and other interested parties are clearly responsible
for managing the interfaces required to effectively accomplish their work, and that a focal point is
(or will be) identified by each party across an interface with the responsibility to facilitate the
interface for his organization and to resolve interface issues.
That there is a clear owner of each interface.
That provision is made to obligate vendors and contractors to their interface management
responsibility by the inclusion of clear and unambiguous language in the general conditions of
purchase orders and contracts.
That a Project Interface Coordinator is specifically identified with responsibility to oversee and
monitor project-wide interface management activity, to maintain the interface data register, and
to report on the activity of interface activity.
That the organization and staffing plans have provided for the implementation of the plan, and
that the responsibilities of the project team members are clear and communicable to the team.
That project specific objectives are identified, action plans defined, and KPIs established.


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6.4 Regul at or y, Per mi t s and Consent s Pl an
A broad overview of the regulatory requirements related to permits and consents should be provided
in the section. Major outstanding issues and status of the permitting process are described in general
terms. Within this section stand alone plans may be referenced within the umbrella of an overall
permits and consent plan (e.g., construction permits may be more appropriately detailed in Section
14.1, and if so, then they need only to be referenced here).
The potential listing of permits and licenses that may be required for a project is unlimited. As
guidance, they may include:

Domestic
o Sales and use tax
o Business license
o Building permit (including temporary)
o Occupancy permits
o Contractor/sub-contractor licenses
o Business licenses
o Fuel tax exemptions
o Registrations (local unemployment
insurance, workers compensation, etc.)
o Engineering licenses
o Land use permits
o Insurances (approvals and acceptance)
o Native Title
o Site access permit/identification
o Highway use permits (oversize loads)
o Code/boiler stamp licenses
o Crane inspector license
o Safety permits and license
o Excavations
o First aid personnel
o Hazardous materials use, movement,
storage
o Fuel dispensing permit
o Health permits (e.g., cafeteria)
o Pressure testing permits
o Radiation sources
o Major Hazard Facility
o Vehicle registration
o Registration for local code inspection
o Speciality devices (e.g., elevators, lifts)

Environmental
o Environmental Impact Approval
o Sewage
o Air discharge
o Liquid discharge
o Water use permits
o Wastewater
o Hazardous waste
(generation/storage/disposal)
o Stormwater runoff disposal
o Navigational permits

o Docks and piers
o Aircraft warning lights/marking of tall
structures
o Construction waste disposal
o Permit to operate/acceptance test
certificate
o Communications permits
o Security system
o Process waste disposal
o Sanitary Waste Disposal

Foreign

o Export/import licenses
o Currency/foreign exchange/bank
o Driving licenses
o Local tax registrations


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registrations
o Business licenses/office registrations
o Engineering registration
o Design licenses
o Local expertising approvals/permits
o Employment licenses/registrations/work
permits
o Corporate registration
o Construction camp
o Labor transportation
o File/record keeping requirements
o Customs registration
o Health registrations (camps, etc.)
o Local environmental control registration
o Register as shipper for importations
o Approval of items to be imported
o Permits to allow foreign engineering and
drawings into county
o Certificate of foreign (imported) goods
o Import authorizations

6.5 St akehol der Management Pl an
The purpose of this section is to describe the projects Stakeholder Management Plan. If required on
this project, it may be included here or referenced as a stand alone plan. See Stakeholder
Management Plan Task Sheet (PMP-9012) and its associated Guideline for assistance in preparing
this plan.
In reviewing the Project Stakeholder Management Plan, the Project Manager should ensure that it is
project specific in nature, and that all pertinent issues are covered, including:-
Identification of all possible stakeholders and classification of them into manageable groups.
Identification of those key stakeholders, either individuals or groups whose interests must be
recognized if the project is to be successful (in particular those who will be positively or
negatively affected by the project).
Strategies for achieving and sustaining stakeholder commitment (e.g., alignment of objectives,
proper communication and persuasion)
Effective communication and management plan, targeted to groups of stakeholders or individual
key stakeholders, concentrating on those actions most likely to contribute to the projects
success or where lack of communication will lead to failure.
Include a summary of key events/activities along with a milestone schedule for when they are
likely to occur.
Assignment of responsibility for rollout and maintenance of each part of the plan.
Assignment of specific personnel who are to become the primary contact for the implementing
the plan (this will likely be more than one individual, and it is likely to include people off-the-
project, e.g., the project sponsor) implementation of each action
6.6 Wor kshar e Pl an
The purpose of this section is to describe the projects Workshare Plan. If Workshare is to be utilized
on this project, the Workshare Plan will be developed by the assigned Engineering Manager. It may


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be included here or referenced as a stand alone plan. If it is to be included in a stand alone plan, a
brief overview should be included here. See Workshare Plan Task Sheet (PMP-9013) and its
associated Template for guidance on preparing this plan.
In reviewing the Project Workshare Plan, the Project Manager should ensure that it is project specific
in nature, and that all pertinent issues are covered, including:-
That there is clarity in the concept that High Value Engineering (HVE) is a subset of Workshare,
and that Workshare does not necessarily involve a HVE component.
The split of scope is clearly defined among the Workshare locations and deliverables are
specified.
The schedule for transfer of data to the support office and commencement of activities is clearly
agreed.
That applicable project/Customer specifications, criteria and standards are identified and made
available to the supporting office.
Cost and staff-hour budgets, schedule, progress measurement and reporting requirements are
well identified.
That the projects change management procedure is extended to the supporting office, with any
modifications specific to the workshare clearly identified.
Engineering and collaborative systems are documented and that ICT requirements are identified
and thoroughly covered in the ICT Infrastructure/Systems Plan (Section 16).
The project portal is created well before the commencement of workshare.
Key interface personnel are identified at the home office (Interface Engineer) and at the
supporting office (Project Coordinator).
The basis for organization and staffing plans at both the home office and the supporting office
are clearly thought out.
Virtual teaming is addressed, including team alignment and team building, face-to-face project
kick-off meeting, support office personnel working in the home office during project start-up,
home office personnel transferring to the support office during execution, etc.
6.7 Pr oj ect Cl oseout Pl an
In this section describe the requirements for closing out the project and archiving the project
documentation. As a minimum, the plan need only contain that WorleyParsons Close-out Procedure
(PMP-0039) will be followed and that archiving will be according to WorleyParsons standard
requirements plus any specific additional contractual requirements.
PMP-0039 requires agreement with the Customer as to when Practical Completion is achieved.
Many contracts will include a Completion Certificate that must be approved by the Customer. In the
absence of such a certificate, it may be necessary to agree with the Customer some other means to


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document practical completion. This may be a completion checklist agreed and included in the PEP.
On smaller or repetitive projects, an email acknowledgement will be sufficient.
Describe also in this section that the staffing plan includes the personnel required to fully implement
the closeout plan.

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