Managing Capital Projects Life Cycle Stages: The Project Defects Liability Period Stage

The defects liability period is a set period of time after the construction project has been completed during which a contractor has the right to return to the site to remedy defects. A typical defects liability period lasts for 12 months. During this period, it is actually the contractor’s responsibility to identify and rectify defects, not the project owner, so if the project owner does bring defects to the contractor’s notice, they should make clear that this is not a comprehensive list of all defects. The contractor needs to rectify all reported defect and make them good within a reasonable time.

Construction Closeout Checklist

It is a must to obtain stakeholder, or end users, acceptance of the project result. This means that the stakeholder agrees that the quality specifications of the project parameters have been met. In order to make this go smoothly, the stakeholder and project manager must have a well-documented criteria of performance in place from the beginning of the project. This can be achieved by having pre-defined project close-out document templates for each deliverable type. PMWeb custom form builder will be used to create Handover of Closeout Items document template. There will be different templates for each deliverable type. For example, there will be document template for Operations and Maintenance Manuals, Testing and Commissioning, Training Manuals, Master Keys, Spaces, Equipment, Spare Parts, Warranties, Completed Final Snag List, As-Built Drawings among others.

Capturing Project Assets

Project owners who will be responsible for maintaining and operating the completed project’s assets need to maintain a detailed register of all those assets where they can capture all defects requests either identified by the contractor or raised by the users of those assets. PMWeb assets breakdown structure helps the organization to capture the details of all those assets. The assets catalogues, operation and maintenance manuals among other related documents can be uploaded into PMWeb document management repository and attached to the asset.

Spare Parts Inventory

Most construction contracts require the contractor deliver spare parts for the equipment and other assets that were delivered as part of the contract. Project owners might take delivery of those spare parts and store in their warehouses or keep them as the vendor or supplier own warehouses. Regardless which warehouse those spare parts will stored at, the project owner needs to maintain a register of those spare parts. PMWeb inventory module allows the project owner to capture the details of all those spare parts and their locations.

Defects Requests

To ensure that all reported defects are captured and actioned by the contractor without delay, the project owner must impose a process for submitting those requests and ensuring that the contractor is made aware of those requests so he can rectify at the earlier. PMWeb defects request module will be used by the project owner team and other authorized users to report those defects requests. It is recommended to attach pictures of the reported defect to provide the contractor with better understanding of what needs to be rectified.

Work Orders

Work Orders will provide the details of the work done by the contractor to rectify the reported defect. The work order will be generated from the defect requests submitted by the project owner. When the rectification is completed by the contractor, the workflow associated with the work order will ensure that the work order is received by the project owner to review and approve.

Asset Performance Reporting

The data captured in the asset definition, spare parts at the inventory location, defects work requests and defects work orders among others will become available to the organization to report on it in any desired format. The report displayed below is an example of an asset report that can provide executives at the organization with details on the asset performance.

Capturing Lessons Learned

Capturing lessons learned and knowledge gained should never be limited to a specific project life cycle stage. Organizations who are keen on becoming a learning organization where continuous development is a must and not a choice, they need to formally implement the capturing of lessons learned process. A lesson learned form will be created using PMWeb custom form builder where each project team can share his or her knowledge using this template. The form will have attributes for those lessons learned to improve categorizing and reporting this shared knowledge. The workflow assigned to the lesson learned from will ensure formal reviews of this contributed knowledge before making it available for the organization’s team members.

Reporting on Lessons Learned

The data captured in the lessons learned will become available for the organization to report on it in a format that will make it easy for the users to locate the needed knowledge. In addition, other reports can be created to assess the contribution provided by the different project team members to appraise those who are more active than others in sharing knowledge. Of course, this will take into consideration the quality of shared lessons learned.

Sustainability Report

Today there is growing trend among public sector organizations as well as large private sector organization on reporting on their projects contribution the United Nations Development Program (UNDP) Sustainability Development Goals (SDG). Those organizations need to report on how their projects have contributed to the three perspectives of those goals: Environment, Society and Economy. To achieve this, the organization needs to identify the planned contribution that the project will have for the SDG 17 goals when completed. This will be monitored and assessed during the project execution until final delivery. Using PMWeb custom form builder, the Sustainable Project Management report will be created to capture this information every quarter.

The sustainability assessment data from all projects that are being delivered by the organization will them become available to be reported on. The dashboard displayed below is an example of how an organization is using the sustainability performance data to report the contribution of their projects portfolio toward achieving the UNDP Sustainability development goals (SDG). The dashboad shows the contribution against Environment, Society and Economy perspectives and an overall SDG performance.