Table of Contents

Hands-on Training Workshop for Enhanced Project Delivery…

Primavera™ P6 Advanced Training for

EPC Project Management & Controls
A user guide, reference book and three-day
training course written for project management &
controls professionals who wish to learn how to
plan, manage and control engineering,
procurement and construction projects in the
energy sector using Primavera™ P6.
3 Day Event Instructed by Edmund (Ted) Lister
Day 1: Project Management
Day 2: DSM (Dynamic Scheduling Methodology)
METHODOLOGY
Day 3: Project Controls
Standards and Best-practices
for EPC Project Management
& Control for Enhanced
Project Delivery…
TECHNOLOGY
Get the most out of your
Planning & Scheduling
Software…
PEOPLE
Establish competent people
with the necessary skills to
perform their roles &
responsibilities with
confidence…
Copyright © 2013 Edmund (Ted) Lister
Please contact us for additional copies.
All rights reserved.
No part of this manual may be reproduced, stored in a retrieval system, or transmitted, in any form or
by any means, electronic, mechanical, photocopying, recording, or otherwise, without written prior
permission of the creator.
V1 - First printing 2013

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 Table of Contents

Course Overview .................................................................................................................................. ii

Course Agenda .................................................................................................................................... iii
Flow of Lessons ................................................................................................................................... vi
Instructor ............................................................................................................................................. vii
EPC Project Terminology and Definitions ............................................................................................. 8

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 Course Overview ii

Course Overview Course Overview

This 3 day advanced training course has been designed by Primavera™ P6
and Project Controls Specialists for the people responsible for the Project
Management & Control functions associated with Engineering, Procurement
and Construction (EPC) projects in the hydrocarbon sector.
To maximize the effectiveness of Primavera™ P6 for driving EPC projects,
we’ve designed a course that not only focuses on the ability to use the software
effectively, it focuses also on EPC Project Methodology & Delivery, providing
best-practices for effective Project Management, Planning & Scheduling, and
Project Controls to ensure your overall project meets your key performance
targets: cost, duration, safety, quality, and worker efficiency.
Students will learn how to properly develop an EPC Project Plan based on
actual case-study data, with emphasis on Resource, Cost, and Schedule
Management, including Earned-value Performance and Reporting.
Objective
The objective of this advanced course is to provide instruction on navigating
and managing data in the Primavera™ P6 environment while teaching industry
best-practices for Project Management, Planning & Scheduling, and Project
Controls for EPC projects.
Upon completion of this course students will be certified to control EPC
projects, through each phase, using best-practice methods for Project
Management, Planning & Scheduling, and Project Controls, while measuring
Earned-value Performance for corrective action to ensure KPI compliance.
Vision
The Project Controls Team will assist with establishing the Key Performance
Targets and control the project to meet or exceed them.

Key Performance
Key Performance Targets Phase
Indicators

Budget Based on Scope of Work Engineering

Duration Based on Critical Path Method Engineering

Safety Zero Incidents Construction

Quality Zero rework Construction

Efficiency 65% Worker Wrench-time Construction

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 Course Agenda iii

Course Agenda
Day 1 – Theme: Project Management
The theme for this session is Project Management where the student will learn the rules of creating
an EPC project in Primavera™ P6 with emphasis on: Project Defaults, WBS (Work Breakdown
Structure), and Phasing with Project Calendars. The student will learn to create standard Layouts and
customized Activity Codes and Filters to manage and control data.
At the end of Day 1 the student will have an EPC Project in Primavera™ P6 with customized Layouts,
WBS, Calendars, Activity Codes and Filters, ready for the next session (Day 2) to begin Planning &
Scheduling.

8:00am - 8:30am - Introductions and Course Overview

8:30am - 9:00am - Presentation – EPC Project Methodology

9:00am - 10:00am - Presentation – EPC Project Management

10:00am - 10:15am - Coffee Break

10:15am - 12:00pm - Exercise – Primavera™ P6 Lesson 1 - Creating an EPC Project

 Logging-in and Navigating
 Establishing the EPS (Enterprise Project Structure)
 Create a Project and Establish Defaults
12:00pm - 1:30pm - Lunch

1:30pm - 2:15pm - Exercise – Primavera™ P6 Lesson 2 – WBS (Work Breakdown

Structure)
 Work Breakdown Structure Best-practices
 Setting Defaults and the WBS Detail View / Layouts
 Creating the WBS Budget and Spending Plan / Earned-value
2:15pm - 3:00pm - Exercise – Primavera™ P6 Lesson 3 – Creating WBS/Phase
Calendars
 Creating a Template Calendar
 Setting Work Times and Phase Calendars by WBS
3:00pm - 3:15pm - Coffee Break

3:15pm - 3:45pm - Exercise – Primavera™ P6 Lesson 4 – Creating Activity Codes

 Creating Activity Codes
 Creating User-defined Fields (UDF)
 Assigning UDF and Activity Codes
3:45pm - 4:30pm - Exercise – Primavera™ P6 Lesson 5 – Managing Data
 Grouping and Sorting
 Creating Filters
 Global Change / Fill Down

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 Course Agenda iv

Day 2 – Theme: Planning & Scheduling

The theme for this session is Planning & Scheduling where the student will learn the difference
between each, and learn to create programming codes, and how to assign them; both manually and
globally. The student will learn the various methods of scheduling; how to apply them, and when to
use them. The highlight of this session will be Resource Management with emphasis on Levelling
(DSM – Dynamic Schedule Management).
At the end of Day 2 the student will have an EPC Project in Primavera™ P6 that represents a
Resource-loaded Plan, with a Baseline, in preparation for the next session of Project Controls.

8:00am - 9:00am - Exercise – Primavera™ P6 Lesson 6 – Creating Layouts

 Customizing Layouts
 Saving Layouts
Importing / Exporting Layouts
9:00am - 10:00am - Exercise – Primavera™ P6 Lesson 7 – Resources, Productivity and
Cost
 Adding Resources
 Setting Resource Limits and Rates / Availability
 Creating Resource Calendars for Productivity Factors (PF)
10:00am - 10:15am - Coffee Break

10:15am - 12:00pm - Exercise – Primavera™ P6 Lesson 8 – Creating Activity Plans

 Adding Activities from Construction Work Packages (CWP’s)
 Estimating Duration, Resources
 Adding Documents, Notes, and Activity Details
12:00pm - 1:00pm - Lunch

1:00pm - 2:00pm - Exercise – Primavera™ P6 Lesson 9 – Adding Steps

 Using Steps (Rules of Credit – ROC)
 Creating the Steps Layout with Notes and Templates
 Using Steps for Updating Physical % Complete)
2:00pm - 2:45pm - Exercise – Primavera™ P6 Lesson 10 – Prioritizing CWPs
(Construction Work Packages)
 Creating CWP Priorities
 Assigning CWP Priorities
 Using CWP Priorities for Resource Levelling
2:45pm - 3:00pm - Coffee Break

3:00pm - 4:30pm - Exercise – Primavera™ P6 Lesson 11 – Scheduling your EPC Project

 Scheduling Best-practices
 Scheduling Methodology
 Scheduling to produce an Optimized Plan
 Using Resource Leveling and DSM (Dynamic Schedule Management)
 Critical Path Method
 Using Milestones and Level of Effort Activities
 Establishing Float
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 Course Agenda v

Day 3 – Theme: Project Controls

The theme for this session is Project Controls where the student will learn about Earned-value
Management, Cost Control and DSM (Dynamic Schedule Management) updating to control Critical
Path Activities, manage Resources and Float.
The student will learn to update using ROC (Rules of Credit), Actuals, and Percent Complete options,
with further instruction on creating Performance Reports, S-curves and Performance Dashboards.
At the end of this session the student will have a complete understanding of Project Management,
Planning & Scheduling, and Project Controls to ensure an effective and efficient EPC project with a
combined effort of Planners, Schedulers, Cost Accountants, Quantity Surveyors, and Field Execution
Coordinators.

8:00am - 9:00am - Exercise – Primavera™ P6 Lesson 12 – Saving a Baseline

 Creating a Baseline
 Assigning a Baseline
 Updating the Baseline and Baseline Bars
9:00am - 10:00am - Exercise – Primavera™ P6 Lesson 13 – Creating Reports
 Creating Gantt Charts (look-aheads)
 Creating Field Execution Reports
 Creating S-Curves with Reports and Excel Graphs
10:00am - 10:15am - Coffee Break

10:15am - 12:00pm - Exercise – Primavera™ P6 Lesson 14 – Risks and Issues

 Creating and Managing Risks
 Assigning Risks to Resources
 Creating Issues and Assigning to Activities and Resources
12:00pm - 1:00pm - Lunch

1:00pm - 2:00pm - Exercise – Primavera™ P6 Lesson 15 – Updating your EPC Project

 Updating % Complete
 Updating Actuals
 Advancing your Project (F9)
 Re-Scheduling your Project to create an Optimized Plan
 Creating KPI Dashboards
2:00pm - 2:45pm - Presentation – Tracking & Trending your EPC Project
 Leading & Lagging Indicators
2:45pm - 3:00pm - Coffee Break

3:00pm - 4:00pm - Exercise – Primavera™ P6 – Lesson 16 – Earned-value

Performance
 CPI (Cost Performance Index)
 SPI (Schedule Performance Index)
 Productivity and Performance) Supplement Lesson
4:00pm - 4:30pm - Review – Questions – Certificates and Photos
 Course Evaluation Forms

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 Flow of Lessons vi

Flow of Lessons Flow of Lessons

The steps (lessons) outlined below have been purposefully sequenced in the
progression in which a real-life EPC project should be planned, scheduled and
controlled:
Presentation: EPC Project Methodology
Presentation: EPC Project Management
Lesson 1: Create your EPC Project
Lesson 2: Work Breakdown Structure
Lesson 3: Creating WBS/Phase Calendars
Lesson 4: Creating Activity Codes
Lesson 5: Managing Data
Lesson 6: Creating Layouts
Lesson 7: Resources, Productivity and Cost
Presentation: Planning your EPC Project (Best-practices)
Lesson 8: Creating Activity Plans
Lesson 9: Adding Steps
Lesson 10: Prioritizing CWPs (Construction Work Packages)
Presentation: Scheduling your EPC Project (Best-practices)
Lesson 11: Scheduling your EPC Project
Lesson 12: Saving a Baseline
Presentation: EPC Project Controls (Best-practices)
Lesson 13: Creating Reports
Lesson 14: Risks and Issues
Lesson 15: Updating your EPC Project
Presentation: Earned-value Performance (Best-practices)
Lesson 16: Earned-value Performance
Presentation: Tracking & Trending your EPC Project
Supplement: Productivity and Performance
Review

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 Instructor vii

Instructor Instructor

Edmund (Ted) Lister is an internationally recognized innovative leader and

sought-after keynote speaker, consultant, and trainer in effective project
delivery. Author of several books and manuals relevant to STO (Shutdowns,
Turnaround, Outages) and EPC Project Management & Project Controls. Gifted,
inspirational and enthusiastic communicator and people-person.
Ted brings 30 years of combined field and boardroom experience to project
teams to significantly enhance project delivery. The creator of DSM (Dynamic
Scheduling Methodology) and EPCworx® for task management and workflow
digitization, Ted is constantly seeking best-practice innovations and tools and
non-conventional opportunities to succeed in fast-tracking project delivery.
Certified Red Seal Electrician & Instrumentation Technologist with a degree in
Chemical Technology from NAIT (Northern Alberta Institute of Technology),
Qualified Planner/Scheduler and Project Controls Specialist with HR and
Change Management accreditations.
In 2005 Ted published Successful Change Management and is currently
completing a High Performance Organization book titled: Lead, Manage or Dig
(www.leadmanagedig.com)

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 Supplement: Productivity and Performance 8

EPC Project Terminology and Definitions

For Construction Managers, Project Managers, and Project Controls Personnel

(Planners/Schedulers, Quantity Surveyors and Cost Analysts) to drive a project, versus simply
monitoring its progress, communication, data and terminology must be consistent and understood.
Let’s take a look at the terms used to establish and measure Productivity and Performance.
PF (Productivity)
Productivity is a factor (PF) applied to an Estimate during Planning, prior to work being scheduled.
Productivity is an input based on a Performance Indicator and its Target, e.g., Workers can install a
certain amount of pipe each shift; or Workers can produce a certain amount of welds each shift; or
Workers can pour a certain amount of concrete per hour/shift (or any measurable timeframe desired).
The PF Estimate translates to Budgeted-units (Planned-value).
Performance
Performance is an output; in the form of a report or screen data showing the compliance to the
estimated PF. Performance Indicators, such as Earned-value, SPI (Schedule Performance Indicator)
and CPI (Cost Performance Indicator) are Key Performance Indicators (Scorecards), along with
Safety and Quality.
ROC (Rules of Credit)
Any Activity longer than one week can be difficult to status (% Complete) without some type of Rules
of Credit, which generally aligns with PF Estimates. For example, if it’s estimated to take 6 weeks to
lay pipe, or 3 weeks to pour foundations, there needs to be a PF Estimate of how much credit to
receive for each time period (weekly, for example). A Quantity Surveyor will verify this with a Physical
% complete visit to site each week, reporting back to the Planners/Schedulers. This will translate to
Earned-value % Complete, not to be confused with Actual-value, which is the cost related to
timesheet data (how much it cost to Earn % Complete).
Typical Lump Sum Contracts are used during Construction, of which a Contractor will be paid based
on the Earned-value Performance using ROC.
Note: Quantity Surveyors do not report on Quality Performance; that is the job of QA/QC.
QA/QC
Quality Assurance is the specification for an installation, e.g., type of gasket, type of weld, slump test,
etc. specified by accountable Engineering Departments, Vendors or Owners (it is not often the
accountability of a Contractor). The Contractor is responsible for Quality Control; the installation, i.e.,
weld rejects are a result of poor Quality Control by the Contractor/Worker.
Effort Hours
Refers to the amount of Physical Direct Work, measured in Man-hours (Duration of an Activity x
Number of Workers, e.g, 10 days x 4 workers @ 10hrs/day = 400 Effort Hours)
Budgeted-units
Effort Hours for Labor Units from PF Estimate, which will determine the Duration of an Activity when
the Units/Time is used, e.g., Crew Size, Number of Workers, etc.

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 Supplement: Productivity and Performance 9

Note: Primavera™ P6 only considers the status of Labor Units, not Material Commodity Units to
determine Duration % Complete.
Earned-value Performance
Earned-value Performance is a progress measurement based on
% Complete. It has nothing to do with Actual-value Performance,
although Primavera™ P6 uses this term.
Note: Primavera™ P6 does not consider Earned –value
Performance other than Activity % Complete
Actual-value Performance
Actual-value Performance is a measure of cost related to performing an Activity, typically from
timesheet data based on Labor Units. It does not apply to Effort hours, per se (if a workers do no
work for the day, in other words, earns no value toward performing an Activity we still have to pay
them. The difference between how many hours we pay for and how many hours earned is Worker
Performance Efficiency. Another example would be rework, which, as you can see is a quality issue,
and in most cases very expensive).
Leading and Lagging Indicators
In the S-Curve Measurement Graph below you can see the opportunity during construction to trend
performance (lagging indicator) and forecast performance, or Estimate to Complete (ETC), which we
call a leading indicator. These are helpful in driving a project versus simply monitoring its progress.
The S-Curve Measurement Graph
The S-Curve Measurement Graph is used at each WBS (Work Breakdown Structure) Element
showing cumulative Budgeted, Earned and Actual values, while trending and forecasting.

120K Mhrs Original

Budgeted-Units

100K Mhrs New Budgeted-

Units (Change
Orders)
Lagging Indicators Leading Indicators
Total Budgeted-
units Earned-value
PF = .83 Gap Performance
(Effort Hours) (Poor performance) (% Complete)

Actual Value $
(Timesheets)

Leading Indicator
(Trending)

Time (Schedule Duration)

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