London 2012 Learning Legacy. Olympic Delivery Authority Organisation and Governance
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1 London 2012 Learning Legacy Olympic Delivery Authority Organisation and Governance Kenna Kintrea Head of Venues and Infrastructure Olympic Delivery Authority
2 The ODA s task Transform 200 Hectares of Brownfield land across 4 London Boroughs Waterways and rail lines 200 buildings, 52 electricity pylons in situ To 14 permanent and temporary sporting venues 20km new roads, 13km tunnels, 26 bridges, new utilities infrastructure 80 hectares of new parklands The Olympic Village via Masterplanning and submission of around 750 planning applications Around 70 individual projects 300 contracts Hackney Tower Hamlets Waltham Forest Newham
3 Challenge Olympic Park, April
4
5 The Olympic Park nearing completion
6 Delivery Strategy the challenges An immoveable deadline 27 th July 2012 Highly visible public profile, potential (global) reputational impact for UK Plc Dual objectives of venues fit for purpose for both Games and legacy Scale & complexity = delivery partner approach Multiple clients, often with conflicting objectives & working to different timescales Large public investment = transparency & scrutiny Decision Making / Empowerment Transparency
7 External Stakeholder Network a complex picture
8 Organisational Context IOC BOA LOCOG GLA LOCOG GOVT Olympic Board Olympic Delivery Authority CLM Delivery Partner Ltd CH2M Hill Laing O Rourke Mace
9 Governance Top Level
10 Organisation and Roles
11 Approach to Programme and Project Approvals Budget for entire programme secured in late 2007 Programme Baseline Report published (November 2007) - cost, programme, risk and scope aligned Individual projects all subject to Business Case and government approval before contracts could be committed c 70 individual projects Contingency held in 3 buckets Project, Programme and Funders, access tightly controlled
12 Programme Management Environment POLICY DECISION Programme Management Environment Programme Start-Up Programme Delivery Programme Close Defining The Programme Managing the Programme Governing the Programme Managing Benefits Closing the Programme G0 G0 G0 G0 G0 G0 A. Project Start Up Project Management Environment Project B. Development C. Run Project D. Close Project PID APPROVAL REQUIREMENTS APPROVAL & BUSINESS JUSTIFICATION INVESTMENT DECISION READINESS FOR SERVICE BENEFITS REALISATION Key Phases ODA Approval Steps OGC Gateways
13 3-Step Process: Define, Plan & Gain Approval (PROJECT)
14 Getting Started: Project Initiation Document (PID) 5 or 6 pages Objectives (What) Rationale (Why) Scope (How) Constraints / Dependencies / Risks Key Milestones / Deliverables Funds the Project Development Concept & Outline Design Creation of a Business Case Agreed set of requirements Possible options to deliver Preferred option No resources can be committed to a project without this authorisation
15 Determining Options: Strategic Outline Case (SOC) Requirements Elaborates on PID Includes Priority Themes Achieved External Sign Off Affordability Strategic Options (Preferred Option) Mandatory that an Affordable Option is presented (even if scope reduction required) Project Review Task Force Ensured that project direction aligns with external stakeholder requirements and eliminated unaffordable options
16 Obtaining Funding Approval: Full Business Case Requirements Strategic Options (Preferred Option) Must demonstrate Value for Money in order to obtain authority to proceed
17 Business Case - what we covered What do I want to achieve What is the project about (and what it is not) What is the project committed to deliver What will improve as a result of doing the project How much funding is available to deliver the project requirements What are the steps and how long they will take Who and what is needed to deliver it What might prevent us being successful Who needs to make the decisions about it Who is affected by us doing it In project-speak Objectives Scope / Exclusions Requirements Benefits Budget Schedule / Programme Resources Risks Approvals / Governance Stakeholders
18 Component Elements of a Business Case
19 Assessing Options: Value for Money Each viable option should be identified and scored objectively for value together with cost VALUE Value for Money = COST
20 Obtaining Funding Approval: Olympic Projects Review Group (OPRG) Communities & Local Government (DCLG) Government Olympic Executive (GOE) Transport (DfT) Culture, Media & Sport (DCMS) Office of Government Commerce (OGC) Treasury (HMT) Olympic Lottery Distributer (OLD) Greater London Authority (GLA)
21 Programme Management Strategy Clearly defined governance, roles & responsibilities c70 individual projects planned, approved and run independently BUT common programme management disciplines and tools applied Extensive integration task time, space, resources, communications Delivery Partner empowerment through delegation ODA acted as sponsor DP insulated from outside interference and allowed to focus on delivery
22 Programme Governance ODA Board Executive Management Board Change Board Strategy and policy approvals Operations Board Issues resolution Procurement Board Commercial Board Project Boards & Implementation Reviews Programme level Boards monitor performance across the whole ODA Programme
23 Rigorous Programme Monitoring and Control Rigorous and disciplined application of PPM process by the Delivery Partner Common systems across each project mandated in contracts, allowed roll up of data across the programme Comprehensive progress review and reporting processes Robust Change Control Heavy weight ODA and external assurance 3 Lines of Defence
24 Key Learnings Organisation and Governance Planning phase is critical set a robust baseline with compatible programme targets Get the right people with delivery capability on board. Pay constant attention to governance and organisation different structures, processes and people needed at different points of the programme Strong Programme management needed programme priorities override projects It s a team game relationships between ODA, CLM, government and stakeholders are very important
25 Thank you The official Emblem of the London Organising Committee of the Olympic Games and Paralympic Games Ltd is protected by copyright. London Organising Committee of the Olympic Games and Paralympic Games Ltd All rights reserved.
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