Project 5.0 – Project Delivery Model
Project 5.0 is a new delivery model which can be used by large capital project industry who wants to achieve 30 to 50% faster and efficient growth. In today’s scenario if we talk about the reason of slowdown in infrastructure investments that is due to uncertainty of demand or access to financing could have an impact on project start dates or stall the progress of construction, with potential longer term economic repercussions. So to complete and deliver capital projects on time, organisation has to take actions by planning for risks related to the delivery. This pandemic has affected tremendously, particularly in the areas of labour shortage and supply chain disruption. Lockdowns has put this construction industry’s projects on delayed or on hold. As a result companies are forced to rethink their capital projects and roadmaps
An Industry being resilient
At the root of the sector’s undesirable record is a project-delivery model that has remained largely unchanged for a quarter of a century or more. It is a model plagued by concerns and inefficiencies: a lack of integrated systems thinking; prioritizing & managing short-term cost over long-term outcomes; poor communication between stakeholders; and bespoke projects and stiff planning systems that struggle to identify or adapt to changing demands.
A real transformation of capital-project delivery will need more than targeted interventions, however. At best, narrowly focused tools and technologies can address only a small part of the overall value at stake. At worst, poor technology and process deployment can end up adding unnecessary complexity and confusion to a project.
Industry Challenge
This blog is aiming to address the traditional and new challenges and will talk about the project 5.0 revolutionary method to overcome the capital industry challenges.
Following are the challenges which are being faced by capital industries.
To overcome the above challenges Project 5.0 model is the best solution where an industry can save 30-50% of its project cost while getting 100% of expected results in the scheduled time.
Industry Solution
Project 5.0 is a clean slate approach for capital project delivery which helps industry in automation, business transformation, smart technologies and agility with flexibility to deliver high project value. Following are the benefits which can be expected while implementing the model.
Project Delivery Model
The Covid crisis has put many industries in vulnerable ecosystem cycle where industry are struggling for their survival. Certainly capital industry are no less for their unsatisfactory operation in this pandemic. Though we are hoping this might get on track soon once the pandemic will over.
Following are the Implementation criteria for the delivery model approach with possible scenario.
The Perfect collaboration
The perfect team collaboration is important because it delivers the result. Collaborative team always deliver efficient work with less time spent and saving more money than usual. Finish their task faster and meet deadlines more efficiently than individual workers do. In any industry collaboration in team gives an equal opportunity to share ideas, talent, helping the organisation in learning and adapting new methods. Moreover, though collaborative team members are able to share values and achieve the common goal together, the main challenge that prevents industry from building collaborative culture is poor planning and lack of technical support.
Planning is everything
For any successful project execution or handover planning is must. It ensure the optimum utilization of human and economic resources in the business processes. Planning for any particular project to be done is called project planning. All industries do project planning to streamline the entire project into a series of steps and ensure the availability of all the resources on time. Project constraints such as time, scope, and costs are discussed in the project planning process, and mitigation plans are developed after the identification of potential risks. By comparing the actual progress with the project plan, team performance management can also be done for the development of the team.
Following agile transformation
Organization which are able to understand, adapt and execute their strategies faster and quick in today’s world while maintaining stability shall be called agile organization. Agile in our philosophy is not how operations are being managed but rather its mind set; flexible and adaptive behaviour of its people towards market which starts from top line leaders and reflects throughout the organization is called agile organization or agile environment. While organization work on agile transformation, organization need to validate progress, and modify approach along the way. Following are the four pillars from which we can know how organization can change certain things to achieve agility.
Agility and being resilient helps to have disciplined process, with agile review and monitoring mechanism where cross teams collaborate and works together to develop and deliver the project on time.
To know more about agile transformation in the organisation click here: https://youtu.be/-Zoq5Ld6xtM
Digital transformation and innovation
Digital transformation is a method of using digital capability to meet changing business and market requirements. With digital technology, organizations can create OR modify existing business processes, culture and customer expectations to meet the requirements holistically whether they are internal OR external. Leading Digital Transformation and Innovation comprises a suite of tools to understand and lead your way through a digital transformation. What we have to do to take benefits of Industrialization and digital transformation? Following are the strategies we can use to measure progress, reducing cost and fast delivery while digital transformation.
Streamlined SCM
Streamlined supply chain management consists of real time movements of products and services from supplier to distributors. It also involves the flow of information and products between and among supply chain stages to maximize profitability. So to implement the project delivery model this step is crucial to follow; if your supply chain is weak then you can only dream of delivering project on time! To streamline the supply chain process there are various strategies and supporting software available which helps in maintaining high productivity of work and on time completion of projects. Following are the strategies which can be used to streamline the supply chain process in capital project industry.
AI / Data driven operating model
Data can improve decisions, but it requires the right processor to get the information from it. Nowadays most of the organisations are investing in Artificial intelligence (AI) driven technologies. The pandemic has brought additional pressure on industries with cuts in budgets, layoffs and hiring freezes – mean operations must do more with less resources. Meanwhile the pace of that digitization has increased where organizations wants to serve customers and employees in Covid-19-safe ways. Covid-19 has accelerated the bigger trend for teams to work in an increasingly disconnected manner. So large scale industries are moving towards the AIOps based technology which help in tracking live progress, gives real time visibility of data and from that data we can fetch insights which can be useful in major decision making areas.
Futuristic insights
Technologies are evolving and demands a combination of long term vision and rapid adaptability. Industry leaders are experimenting with a growing list of new technologies and processes, from digital twins to artificial intelligence– (AI–) enabled planning algorithms. A real transformation of capital-project delivery will require more than targeted interventions. By following all the project delivery model parameters, we can get the planning of potential opportunities, strengths and traits. Which can helps in futuristic decision making or sustainability growth mapping.
Conclusion
Changing a particular method of working will always be a challenging thing. But change is necessary as it upgrades you to your better version. Same goes with changing project delivery model which helps industries to transform for the better future.
Author:
Hiral Shah, A Business Analyst, who has qualified Masters in management, and currently working on conceptual creation as product developer and also handling marketing activities at J.hirani. She loves to visualize the thoughts and putting the same into action with creative touch is what makes her stand out from the crowd. She is punctilious and approachable by her nature.
About J.hirani: J.hirani is a Strategic Transformation team which works as a growth partner for different organisations in various industries by providing services like Agile transformation, Scenario mapping, Strategic alignment, Balance scorecard, Digital transformation, Incubating new ventures, Operation excellence and Aligning human capital.
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