cfac review

1 BROOKHAVEN SCIENCE ASSOCIATES

CFAC Review

Martin FallierDirector, Conventional Facilities

Conventional Facilities Value and Risk ManagementMay 8, 2008


Outline

• CF Value Management– VE to date– Plans for T-II VE– Recommended Approach

• CF Risk Management– Risk Registry for CD-2– Comments from CD-2– Revised Risk Registry– Risk Assessment


Value Engineering

• Extensive VE performed during Preliminary Design• Identified and implemented 13 items prior to formal VE review• Resulted in cost reduction of $ 9.0 M

• Performed formal VE review facilitated by VE expert• Identified 48 possible items for consideration• Evaluated 22 items worthy of further study• Incorporated 9 items in current baseline worth $ 11.4M• Identified 13 items worth up to $ 19.5 M for additional study and possible

future implementation

• Additional formal VE review planned during detailed design


Output From Formal VE Process

VE # DE S C R IP T IO N S AVING S VE # DE S C R IP T IO N S AVING S A1 E liminate E levators $ 593,605 A6 C hange exterior walls to concrete

panels $ 7,024,688

A12 Us e conventional roof deck in lieu of acous tic decking

$ 592,640 A7 R eplace S S R with T P O roofing on the R ing B uildings and L O B s

$ 4,401,945

A15 L O B offices lands cape in lieu of private walled offices

$ 1,412,395 A10 E liminate 15 additional s hield doors $ 828,000

A20 D es ign exterior walls with a cos t of $45/S F

$ 6,416,548 A17 E liminate L O B mez z anines and add ME R on firs t floor

$ 493,230

S 1 R ais e footings depth by one foot $ 16,000 A21 R educe L O B ME R mez z anine s quare footage

$ 485,790

S 5 R educe the s iz e of the vehicular acces s tunnel

$ 635,395 S 2 R educe rebar us ed in tunnels $ 635,395

M10 E liminate 1 AHU for P endants 2 and 3

$ 1,230,262 M2 Us e heat pumps & E R V for LO B s and O P S C enter

$ 2,604,858

E 3 R educe the number of beam line panels

$ 274,373 M4 R educe number of conditioned z ones in E xperimental Hall

$ 620,729

G4 R educe pavement areas by providing compact s paces

$ 260,130 M7 E liminate heat exchangers & proces s water heaters (us e coils )

$ 904,540

E 1 Us e fixed c ircuit breakers ins tead of draw-out type

$ 80,000

E 2 Allow MC cables for non-critical areas

$ 263,928

E 4 R educe the number of trans formers in the R ing B uilding

$ 324,398

G7 S horten cons truction s chedule $ 800,000

TO TAL $11,431,348 TO TAL $19,467,501

VE IT E MS T AK E N (S AVING S R E AL IZE D ) VE IT E MS UND E R C ONS ID E R AT ION


Plans for T-II Formal VE Review

• VE study led by certified VE Expert provided by Design Phase CM to produce VE report based on 60% T-II design

• Review team will consist of:– NSLS II CF staff and interface managers for ASD & XFD– Design A/E architects and engineers– DOE observers– CM estimators, construction experts– PE engineers

• Will produce brainstorm list of VE opportunities• Evaluate selected opportunities, provide data &

recommendations• NSLS II review and selection of recommended opportunities


Issues with T-II Formal VE Review

• Next submittal is now 50% package instead of 60%• Since design time is limited, focus of VE needs to be on

specs, material and equipment selection rather than major building or system changes that could delay design

• Propose to use similar VE approach as before• Does committee have any experience or recommendations

on what works best in this situation?• Should we wait to 80% for formal VE?


Risk Management

• During T-I developed detailed risk registry for CF – See Handout

• CF Risks reviewed at CD-2 was found credible however EIR had issues with elements of overall Risk Mgt program

– Risk model basis for allocating risk not substantiated– Method of application of Monte Carlo Analysis not optimal– Number and level of detail of risks too large to be effectively

managed• Risk Management Program being implemented

– Assessment by consultant underway for continuing improvement– Goal is to have more streamlined usable system in place to

effectively assess, update and present risk status, and manage risk


Risk Assessment System

• Risk assessment is built into the cost estimating process• Cost Estimate Database contains fields for inputting risk

assessment for each WBS activity• Assessment includes and considers:

• Risk types - Technical, Cost or Schedule, unknown unknowns, management adjustment

• Likelihood of occurrence – unlikely, likely, very likely• Likely causes and expected consequence – marginal, significant, critical• Mitigating actions that can/should be taken• Whether activity in question is critical path or not• The technical and estimate basis level of confidence


Risk Assessment System Output

• Output is calculated by the model based on the previous factors• Contingency value % and $• Risk categorization based on RMP criteria – Hi, Med, Low• Mitigation plan where applicable

• Risk registry indicates all system input and output• Available on web and as a handout

• Following tables summarize results


WBS Dictionary: All phases of design, construction, and commissioning of the conventional facilities including the buildings, sitework, building services and utilities required to support installation and operation of the accelerator and experimental facilities.

Conventional FacilitiesTotal Estimated Cost ($ x 1000)

WBS Description

Direct $Total

Burdened &

Escalated

Bottoms up Contingency

Total with Contingency

FTEs LaborNon-Labor

(Mtrl, Trvl, Act)% $ Value

1.05 Conventional Facilities 47.5 4,763 197,952 240,784 28 68,260 309,044

1.05.01 Conventional Facilities Management 40.3 3,580 305 7,546 10 750 8,296

1.05.02 Conventional Facilities Engineering and Design 7.19 1,183 16,325 19,005 23 4,343 23,348

1.05.03 Conventional Facilities Construction 0 0 179,140 211,568 30 63,069 274,637

1.05.04 Integrated Controls & Communications 0 0 460 561 6 34 595

1.05.05 Standard Equipment 0 0 822 1,026 2 21 1,046

1.05.06 Conventional Facilities Commissioning 0 0 900 1,078 4 43 1,121


WBS Dictionary: Execution of engineering and design of NSLS-II buildings, utilities, and improvements to land by developing design requirements, preparing design drawings and specifications for construction contracts, and providing engineering support during the construction phase, to assure proper execution of the design and complete as-built documentation.

Conventional Facilities Engineering & DesignTotal Estimated Cost ($ x 1000)

WBS Description

Direct $Total

Burdened &

Escalated



FTEs LaborNon-Labor


1.05.02 Conventional Facilities Engineering & Design 7.2 1,184 16,325 19,004 23 4,344 23,348

1.05.02.01 CF Title I Design .25 49 2,075 2,193 4 89 2,281

1.05.02.02 CF Title II Design .94 181 11,130 11,957 30 3,601 15,559

1.05.02.03 CF Construction Phase Engineering 6.0 954 3,120 4,854 13 654 5,508


WBS Dictionary: Construction of all NSLS-II buildings, utilities, and improvements to land, performed by multiple contractors and managed with the assistance of a Construction Management firm.

Conventional Facilities ConstructionTotal Estimated Cost ($ x 1000)

WBS Description

Direct $ Total Burdened

& Escalated



FTEs LaborNon-Labor


1.05.03 Conventional Facilities Construction 0 0 179,140 211,568 30 63,069 274,637

1.05.03.01 CF Construction Management 0 0 5,674 6,641 28 1,859 8,500

1.05.03.02 Improvements to Land 0 0 7,900 9,243 31 2,866 12,109

1.05.03.03 Operations Center 0 0 5,300 6,396 25 1,599 7,994

1.05.03.04 Injection Building 0 0 7,500 8,878 27 2,397 11,274

1.05.03.05 RF Building 0 0 2,800 3,331 27 899 4,230

1.05.03.06 Ring Building 0 0 96,700 114,012 31 35,344 149,356

1.05.03.07 Lab – Office Modules 0 0 21,300 25,984 26 6,756 32,740

1.05.03.08 Mechanical Utilities 0 0 9,200 10,546 27 2,847 13,394

1.05.03.09 Electrical Utilities 0 0 13,600 15,710 30 4,713 20,423

1.05.03.10 LN2 & GN2 Distribution System 0 0 1,366 1,692 35 592 2,284

1.05.03.11 Chilled Water 0 0 7,800 9,135 35 3,197 12,332


Risk Mitigation Plans

• Technical Risk Mitigation Plans• Identified designated interface managers for CFD,

ASD, XFD to assure technical integration of requirements between divisions

• Facility design includes flexible and adaptable approach that is tolerant of change where possible

• Design or construction of an item is deferred where possible to be tolerant of potential technical change

– LOB interior design has flexible layout for labs and offices– LOB construction is deferred to start in FY12 when specific

beamline User requirements are better understood


Risk Mitigation Plans cont’d

• Cost Risk Mitigation Plans• Perform active interface management with technical groups to

reduce liklihood of changes– Interface managers assigned

• Seek independent estimate and market analysis for estimate confirmation and/or adjustment

– CM Design Phase services in progress• Use reasonable schedule duration for construction to reduce

cost sensitivity of delays– CF schedule has substantial float even though it’s critical path

• Perform contractor outreach to encourage large pool of competitive contractors

– In advanced procurement plan for FY08• Reduce exposure to differing conditions by thorough and early

evaluation/confirmation of site conditions– Design process and Site Prep contract planned


Risk Mitigation Plans cont’d

• Schedule Risk Mitigation Plans• Use reasonable schedule durations to reduce cost sensitivity of

delays in design, procurement, construction– CF schedule has substantial float even though it’s critical path

• Perform active interface management with technical groups to reduce liklihood of delays due to changes

– Interface managers assigned• Reduce delays due to differing conditions by thorough and early

evaluation/confirmation of site and utility conditions– Design process and Site Prep contract planned

• Reduce potential delays due to safety incidents by implementing a “best in class” construction safety program

– Construction safety plan in development• Early procurement of critical items identified in schedule


Current Risk Assessment

• 1.5.2.2 – Title II CF Engineering & Design – • Risks -Changes in requirements delay design and result in A/E

change orders• Allocation 20%, Current projected cost impact ~13%

• 1.5.3 – CF Construction – overall allocation 30%• Risks - Changes in design requirements affect cost

– Allocation 8%, current cost impact ~ 5%• Risks – Changes in material market availability/price

– Allocation 4% , current cost impact ~4%


Risk Management Summary

• Performed risk assessment for CD-2 • Identified, planned and actively implementing risk

mitigation strategies• CF is active participant in risk management meetings• Improved method of presenting, assessing and tracking

risk status under development project-wide• Design phase risks are tracking below predicted values• Construction phase risks are tracking at or slightly below

predicted values but higher than we’d like.

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