Building Sustainable Megaprojects: Lessons from the Big Dig and Other Complex Megaprojects

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1 Building Sustainable Megaprojects: Lessons from the Big Dig and Other Complex Megaprojects 2014 PMI SILICON VALLEY CHAPTER ANNUAL SYMPOSIUM AUDACIOUS UNDERTAKINGS: MEGA- PROJECTS AND PROGRAMS Virginia A. Greiman Professor of Megaprojects and Planning Boston University Copyright 2013 Virginia A. Greiman

2 What is a Megaproject? Any project of $1 billion or more in size, or projects of a significant cost that attract a high level of public attention or political interest because of substantial direct and indirect impacts on the community, environment, and state budgets. (Federal Highway Administration) Initiatives that are physical, very expensive, and public" (Altshuler 2003). Copyright 2013 Virginia A. Greiman

3 Unique Characteristics of Megaprojects Long Life Substantial Interface Management and Systems Complexity Extensive Public Scrutiny Ambiguity and Uncertainty Large Scale Policy Making and Quality of Life Issues Complex Organizational and Governance Structures Greiman, V. (2013) Megaproject Management, Copyright John Wiley & Sons, Inc., New York, London, Hoboken

4 ARE MEGAPROJECTS REALLY AS BAD AS EVERYONE SAYS? Measuring the success of a megaproject is not linear. There are twists and turns not only in terms of engineering and the emergence of new technology, but in the moving target of pubic expectations. Anthony Flint, Atlantic Cities.com, September 18, 2013

5 What is Project Success? Being on Time and Budget? Meeting Goals? Achieving Sustainability? Copyright 2013 Virginia A. Greiman

6 Megaproject Success Realizing the holistic benefits of a project and the anticipated return on this investment that demonstrates the value added in the long term. Greiman, V. (2013) Megaproject Management, Copyright John Wiley & Sons, Inc., New York, London, Hoboken

7 Megaprojects are Agents of Social Transformation The Planning of a Megaproject must be different if a highway agency expects to achieve success. Project leaders and the management team must do more than just manage a project; they must manage a public journey. Richard Capka, former federal highway administrator and CEO/executive director of the Massachusetts Turnpike Authority (Capka 2004) Virginia A. Greiman Copyright 2013

8 Project Management Success Restrictive Federal Rules Impacted by: Design Development Delay Lack of Knowledge Political Infighting and Inherent Conflicts Weak Governance Greiman, V. (2013) Megaproject Management, Copyright John Wiley & Sons, Inc., New York, London, Hoboken

9 5½ of 26 miles of tunnels now built. Canary Wharf Terminal One of the five 10m tunneling machines Copyright (2013) Virginia A. Greiman

10 Crossrail chief says worker who died in tunnel construction 'shouldn t have been where he was' The Independent, 21 September 2014

11 Independent Safety Report On 26 April, The Observer newspaper reported details of a leaked internal report, compiled for the Crossrail contractors by an independent safety consultancy. The report was claimed to indicate poor industrial relations over safety issues and that workers were "too scared to report injuries for fear of being sacked". Boffer, Daniel (26 April 2014). "Crossrail managers accused of 'culture of spying and fear, The Observer, London Copyright 2013 Virginia A. Greiman

12 Seattle Highway 99 - $125 Million in Damages Big Bertha Meltdown: A look 80 feet below ground and 9 feet below sea level Puget Sound Business Journal, September 18, 2014, Seattle

13 Cloud Computing: Megaprojects in Cyberspace Copyright 2013 Virginia A. Greiman

14 The San Francisco- Oakland Bay Bridge While I am glad that the toll payers are finally able to cross the new eastern span of the Bay Bridge, it is important that we examine the problems that caused the construction of the new span to be 10 years late and $5 billion over budget, Creating legislation that creates greater accountability at Caltrans, and improves the management of future projects, will be a top priority of mine during the 2014 legislative session. Senator DeSaulnier, California Housing and Transportation Committee Chair, October 30, 2013

15 California $68 Billion High Speed Rail California high-speed rail will connect the mega-regions of the state, contribute to economic development and a cleaner environment, create jobs and preserve agricultural and protected lands. By 2029, the system will run from San Francisco to the Los Angeles basin in under three hours at speeds capable of over 200 miles per hour.

16 Legal Uncertainty Citizens for California High Speed Rail Accountability (CCHSRA) cautioned that a newly certified environmental document covering Fresno to Bakersfield will have serious ramifications if implemented (CCHSRA May 8, 2014). There are more cows than people [in Kings County],and people take care of these cows, - Testimony of Diane Friend on behalf of CA Farm Bureau, Senate Hearing on AB 1501 in support of Rail Accountability Act, April 28, 2014 Copyright 2013 Virginia A. Greiman

17 Key Questions for Consideration at CHSR 1. How do you define success? 2. How do you manage shifting goals? 3. What governance and evaluation structures are needed during project development? 4. What is the role of the legislature and government agencies in megaprojects? 5. How do you identify performance based criteria? 6. What is the role of delivery method in project success? California Senate Transportation and Housing Information Hearing, November 13, 2013, Sacramento

18 Peer Review Group The California legislature established a Peer Review Group (PRG) whose duty is to evaluate the California High-Speed Rail Authority's funding plans and prepare its independent judgment as to the feasibility and the reasonableness of the Authority's plans, assumptions, analyses and estimates, and any observations or evaluations the PRG deems necessary. AB 3034 (Galgiani, Chapter 267, Statutes of 2008)

19 Boston s Big Dig 54 Designs 132 Construction Packages 161 Lane Miles 5 Major Interchanges Landmark Cable-stay Bridge Jacked Tunnels Immersed Tubes Soil Freezing Deep Soil Mixing 8 miles of Slurry Wall Jet Grouting Excavation and Parks Copyright 2013 Virginia A. Greiman

20 Boston s Central Artery 190,000 Vehicles Copyright 2013 Virginia A. Greiman

21 Fort Point Channel Boston s Big Dig Virginia A. Greiman Copyright 2013

22 Cost of Boston s Big Dig EIS - Environmental Impact Statement ICE - Interstate Cost Estimate CSU Cost and Schedule Update Greiman, V. (2013) Megaproject Management, John Wiley & Sons, Inc., New York, London, Hoboken

23 The Rose Kennedy Greenway Copyright 2013 Virginia A. Greiman

24 The Zakim Bunker Hill Bridge, Boston - 26 Designs Preceded the Final Design Copyright 2013 Virginia A. Greiman

25 Big Dig s Worst Disaster 2006 Ted Williams Tunnel Roof Collapse Source: NTSB Report Virginia A. Greiman Copyright 2013

26 I-35 Highway Bridge Collapse August 1, 2007 Minneapolis, MN (killing 13 people and injuring 145) Source: National Transportation Safety Board I-35 Highway Bridge Accident Report, p. 19 Virginia A. Greiman Copyright 2013

27 TRADITIONAL: IRON TRIANGLE Scope Cost Time Design, Risk, Safety and Quality Decisions!! Copyright 2013 Virginia A. Greiman

28 MERGING: SUSTAINABILITY OF ECONOMIC, SOCIAL, ENVIRONMENTAL AND INSTITUTIONAL BENEFITS OPEN SPACE, PARKS AND ISLANDS RE-KNITTING NEIGHBORHOODS AND ENTRY POINTS EXPANSION OF THE SHELLFISH POPULATION VENTILATION / AIR QUALITY SMART HIGHWAY SYSTEM ECONOMIC OPPORTUNITY/TRAINED WORKFORCE/MINORITY/WOMEN BUSINESS DEVELOPMENT UTILITY CORRIDOR INCREASED PROPERTY VALUES INTERMODAL Copyright 2013 Virginia A. Greiman

29 Partnering/ Dispute Resolution Technology Advancement Stakeholder Participation Risk Management Quality Assurance The Top Ten Programs! Central Artery/Tunnel Project Integrated Programs Claims & Changes Audit and Oversight (OCC) Safety and Health Utility Protection Knowledge Transfer and Innovation Greiman, V. (2013) Megaproject Management, Copyright John Wiley & Sons, Inc., New York, London, Hoboken

30 The Big Dig s Risk Management Mission Zero Accident Philosophy To protect the Commonwealth of Massachusetts, Big Dig contractors, consultants, workers and the general public against catastrophic loss by: Operating an integrated world-class Risk Management Program for: Engineering and Construction Loss Control Safety and Health Copyright 2013 Virginia A. Greiman

31 What Have We Learned? Megaproject investments are for future generations as real worth takes decades. Megaprojects require Transparent Systems due to their complex, interrelationships with the communities and the citizens it serves. Projects should focus on Sustainability and not just the iron triangle! Sustainability is multidimensional and extends to economic, social, financial, technological, institutional and environmental benefits! Megaprojects can be Transforming Seize the Moment!!!! Copyright 2013 Virginia A. Greiman

32 Thank You! Questions??? Virginia A. Greiman Professor Megaprojects and Planning Boston University Virginia A. Greiman Copyright 2014

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