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Benchmarking in the Information Technology Age

Benchmarking in the Information Technology Age. Dave Hile Cherne Contracting Corporation CII Benchmarking & Metrics Committee. 2000 CII Annual Conference Nashville, Tennessee. BM&M Committee.

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Benchmarking in the Information Technology Age

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  1. Benchmarking in the Information Technology Age Dave Hile Cherne Contracting Corporation CII Benchmarking & Metrics Committee 2000 CII Annual Conference Nashville, Tennessee

  2. BM&M Committee

  3. “Benchmarking is the practice of being humble enough to admit that someone else is better at something and wise enough to try and learn how to match and even surpass them at it.” APQC, 1998

  4. CII BM&M Program 1999— We listened, we focused, and we created the Vision. 2000— We are developing, we are improving, we are delivering against the Vision. 2001—We will have the most efficient, cost-effective, credible, and open benchmarking system available.

  5. CII BM&M Database • More than 900 projects • Worth approximately $50B International 226 Domestic 675

  6. BM&M Program Improvements • Development & fielding of Web questionnaire

  7. Web Questionnaire Enter project data: • online • during project execution • with less effort • with greater accuracy

  8. Web Questionnaire New practices Materials Management Planning for Startup Content Improvements: • Online scoring of PDRI • Disputes Resolution • Design Effectiveness

  9. Better Custom Key Reports • New custom Key Reports with project results plotted on database charts

  10. Web Key Reports • Web-based Key Reports for real-time scoring of performance and practice use metrics

  11. Electronic Data Report • User-friendly interactive electronic data report that produces charts and data tables on demand

  12. Electronic Data Report Better • Built-in graphics engine produces charts and tables from data file.

  13. Trend Reporting Trend analysis charts for performance and practice use

  14. Value of Best Practices Improved value of best practice analysis • Pre-Project Planning • Constructability • Change Mgmt. • Design/Info Tech • Team Building • Safety (Zero Accidents) • Project Complexity Project Cost Growth = 0.2334 - 0.0083 * Pre-Project Planning - 0.0040 * Constructability - 0.0020 * Change Mgmt. - 0.0081 * Design/Info Tech - 0.0070 * Team Building Practice - 0.0131 * Safety Practice + 0.0115 * Project Complexity

  15. Relative and bottom-line benefits quantified for each industry group Value of Best Practice Reports Pre-Project Planning $331K Safety $531K Constructability $336K Team Building $306K Project Change Management Design/Information $441K Technology $366K Respondent: Contractors; Industry: Heavy Industrial, $50MM Project

  16. Other Program Improvements Built the CII Benchmarking Web site: http://www.cii-benchmarking.org/ Established a path forward for new performance/productivity metrics. Conducted the first CII Benchmarking User’s Forum. Established an annual CII Benchmarking User Award.

  17. Benchmarking User Award Criteria for award: • Best application of benchmarking for project improvement • Contributions to the BM&M program through active participation

  18. Benchmarking User Award Champion International Jacobs Engineering

  19. BM&M Implementation Session • Panel • Dave Hile Cherne Contracting Moderator • Chad Zollar International Paper (formerly Champion International) • Bob Herrington Jacobs Engineering • Steve Thomas CII NCC 204

  20. Why Get Involved? “If you are not keeping score, you’re only practicing.” Arthur M. Schneiderman Journal of Strategic Performance Measurement January 1999

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