THE WELCH COMPANY
440 Davis Court #1602
San Francisco, CA 94111-2496
415 781 5700


S U M M A R Y


DIARY: July 23, 1998 02:08 PM Thursday; Rod Welch

Visited Tom on Comm Metrics Web site and meeting with Merry.

1...Summary/Objective
2...District Counsel Reviewing Comm Metrics; Identified Cost Savings
3...Engineering Division Planning and Management Working on Backlog
4...CESPN Reviewing PM Practices and Industry Standards
.....Analysis comparing the PMBOK and ISO criteria for Project
.....A.lecture by Dr. Kerzner on PM is reviewed in the SDS record for
5...CESPN Seeking Sources for Project Management Training
6...Experience and Authority are Key Factors of Success in Projects
.........managers need help overcoming fear of accountability in order
.........A.case study from a Cal Tech seminar offers strong support for

ACTION ITEMS.................. Click here to comment!

1...I will submit an exampls showing USACE can use Communication Metrics
2...to begin immediately applying effective business intelligence.

CONTACTS 
0201 - Corps of Engineers, SFD            415 977 8501 fax 8483
020101 - Mr. Thompson F. Keesling, Architect; Assistant Chief =415 977 8473
020102 - Construction Operations Division =415 977 8480

SUBJECTS
COE Evaluation Communication Metrics
Intranets, Web, CESP Review
Metrics for Business Processes
Contract Communication Metrics
Business Intelligence
District Support
Environmental Fine Against Port of Oakland
Project Management Review

1410 -    ..
1411 - Summary/Objective
1412 -
141201 - Follow up ref SDS 24 0000, ref SDS 23 0000.
141202 -
141203 - District Counsel has identified some direct savings from Communication
141204 - Metrics and is working with Tom to make a broader assessment.  The new
141205 - DE has begun focusing on helping the Engineering Division deal with a
141206 - backlog situation, and is listening to Division Chiefs for ideas on
141207 - improving the organization.  Tom needs a source for PM training; he
141208 - has been reviewing PMI's materials.  He feels experience and authority
141209 - need attention as factors in project management success.
141210 -
141211 -     [On 980803 initiative to demonstrate CESPN staff can use the power
141212 -     of "intelligence" through Communication Metrics. ref SDS 25 0000]
141213 -
141214 - Submitted ref DIT 1 0000 to Tom with a link to this record that has
141215 - sources to support the District's program to strengthen Project
141216 - Management.  Sent a copy to Bill DeHart to alert him that he was
141217 - identified as a source for information on PMI training.
141218 -
141219 -
141220 -
141221 -  ..
1413 -
1414 -
1415 - Progress
1416 -
141601 - District Counsel Reviewing Comm Metrics; Identified Cost Savings
141602 -
141603 - Tom advised that District Counsel Merry Goodenough has offered
141604 - favorable comments on the Communication Metrics report issued on
141605 - 970417. ref SDS 9 1536 and again on 970625. ref SDS 10 6399  It seems
141606 - to have saved the District the cost of a fine for environmental
141607 - regulation violations which the Port claimed was caused by the
141608 - District.  Merry submitted SDS records on that subject and the Port
141609 - withdrew its claim.
141610 -
141611 - The cost of the fine was evidently $80K rather than $40K reported on
141612 - 970321. ref SDS 8 8492  There would likely have been some protracted
141613 - litigation expense by both sides costing perhaps $10K over the life of
141614 - the dispute.  Therefore on this one minor matter, Communication
141615 - Metrics saved approximately $50K.
141616 -
141617 - Tom is working with Merry to show the advantages of SDS capabilities
141618 - that strengthen delivery of intelligence anytime, anywhere via
141619 - Internet.  He related a concern Merry raised about difficulty opening
141620 - linked information in SDS records, and Tom explained that this access
141621 - is now nearly instantaneous on the Internet.  Merry wants to see this.
141622 -
141623 -     [On 980803 initiative for Merry to comment on CESPN's report on
141624 -     cost savings. ref SDS 25 0000 and ref SDS 25 5833]
141625 -
141626 -     [On 981027 Merry reports that Communication Metrics saved
141627 -     government $190K. ref SDS 26 7315]
141628 -
141629 -     [On 990202 showed Merry Internet features and she endorsed use of
141630 -     Communication Metrics in the District. ref SDS 27 4080]
141631 -
141632 -
141633 -  ..
141634 - Engineering Division Planning and Management Working on Backlog
141635 -
141636 - Tom and Max recently met with the new Commander about ideas to
141637 - strengthen the District's organization planning begun by the former
141638 - Commander. Tom feels the meeting was constructive and showed promise
141639 - of expedited progress under the new Commander's leadership.
141640 -
141641 - The DE has streamlined representation at staff meetings to avoid
141642 - congestion and confusion from multiple lines of communication within
141643 - the Engineering Division.  Tom feels this is a good beginning toward
141644 - developing the organization and support needed to meet a challenging
141645 - workload in Engineering.
141646 -
141647 -
141648 -  ..
141649 - CESPN Reviewing PM Practices and Industry Standards
141650 -
141651 - Tom is reviewing the District's project management capabililty.
141652 -
141653 - Tom has on his desk the current version of the PMBOK.  He also has a
141654 - book on project management authored by Harold Kerzner. Research from
141655 - industry standards and experts has guided development of Communication
141656 - Metrics.
141657 -
141658 -     Analysis comparing the PMBOK and ISO criteria for Project
141659 -     Management is in the SDS record for 950721 - see ref SDS 5 0000
141660 -
141661 -     A lecture by Dr. Kerzner on PM is reviewed in the SDS record for
141662 -     950202. ref SDS 2 0000
141663 -
141664 -
141665 -
141666 -  ..
141667 - CESPN Seeking Sources for Project Management Training
141668 -
141669 - Tom indicated consideration is being given to developing project
141670 - management training for District engineers.
141671 -
141672 - One idea would be to draw on the support of PMI NCC.
141673 -
141674 - I related Ahmet Taspinar's credentials for PM training based on his
141675 - experience at PG&E in this role and his long association with PMI in
141676 - high level positions.  I noted having no direct experience with
141677 - Ahmet's training methods.  Ahmet can be contacted through Luster, who
141678 - proposed Ahmet to CESPN for PM training and support last year.
141679 -
141680 - We discussed Bill DeHart as another person to contact about PMP
141681 - training.  I gave Bill's number at PG&E:
141682 -
141683 -                           415 973 1014
141684 -
141685 - Tom recalled meeting Bill on 960925 to discuss his experience with
141686 - Communication Metrics at PG&E to support Project Management, and how
141687 - it might be applied on the Oakland Harbor project at that time. see
141688 - ref SDS 7 0000
141689 -
141690 -
141691 -
141692 -  ..
141693 - Experience and Authority are Key Factors of Success in Projects
141694 -
141695 - We discussed briefly background from review of the PMOBK, ISO
141696 - criteria, the Kerzner lectures, seminars at Cal Tech, and discussions
141697 - with Bill DeHart and others on ideas to strengthen the advantages of
141698 - PM, professional training.
141699 -
141700 -     Tom cited the need for clearly defined authority with properly
141701 -     appointed credentials, in order for PM to be effective. An example
141702 -     of Tom's point was offered by a leading vendor of project control
141703 -     software, whe explained that more is needed that tools and skills
141704 -     in PM methods in order to have a successful project.  Effective
141705 -     leadership is critical.  ref SDS 3 3920
141706 -
141707 -         Max made a similar point in the meeting on 980403 noting that
141708 -         managers need help overcoming fear of accountability in order
141709 -         implement management standards consistently. ref SDS 13 6581
141710 -
141711 -         We discussed work in July 1995 on identifying the role of
141712 -         authority for empowering project managers to succeed, and that
141713 -         absent assigned authority projects are almost certain to fail.
141714 -         see for example discussion on 950705. ref SDS 4 7409
141715 -
141716 -         "Authority" is expressly discussed in the record on 950704.
141717 -         ref SDS 4 8965.
141718 -
141719 -     Tom noted the importance of having experience to recognize the
141720 -     true complexity and challenges of managing, particularly project
141721 -     work.  Getting a credential showing that training has been
141722 -     absorbed, for example passing the PMP exam, is a good beginning.
141723 -     The larger challenge is implementing good practices in the face of
141724 -     pressures to cut corners due to limited time and pressures from
141725 -     colleagues, superiors and contractors.
141726 -
141727 -         A case study from a Cal Tech seminar offers strong support for
141728 -         Tom's point, showing that projects are not an assembly line
141729 -         that can be put together and then throw a switch to grind out
141730 -         a set alotment of widgets each day.  The Cal Tech seminar
141731 -         reviewed the full range of risks that cause project failure,
141732 -         ref SDS 1 4719, and cited the Space Shuttle failure in 1986,
141733 -         as a case study. ref SDS 1 4499
141734 -
141735 -         The paramont risk is failed communication, ref SDS 6 0000,
141736 -         since that is the dominant activity of management. ref SDS 11
141737 -         6666  The main component of risk in communication is mistaking
141738 -         good speaking and writing skill, and technology that delivers
141739 -         information, as solutions to the "communication" problem.
141740 -
141741 -         Recent liturature on using the Internet as a "repository of
141742 -         experience" suggests growing recognition that training is only
141743 -         a beginning to successful project management. ref SDS 21 0633
141744 -
141745 -         CESPN's report on Communication Metrics offers a case study on
141746 -         the advantages of consistent use of sound management practice,
141747 -         which is possible with the right tools and experienced people.
141748 -
141749 - I will submit an exampls showing USACE can use Communication Metrics
141750 - to begin immediately applying effective business intelligence.
141751 -
141752 -
141753 -
141754 -
141755 -
141756 -
141757 -
141758 -
141759 -
141760 -
1418 -
Distribution. . . . See "CONTACTS"