Investment-Centric Project Management
What it is
ICPM is a comprehensive methodology for executing industrial projects. Its overarching aim is to yield a revenue-generating asset that will deliver to shareholders sustained ROI over the long run. ICPM mandates that all activities, concerns, decisions and financial priorities be resolved in favour of the ROI objective. ICPM unifies an organization's project resources into a single framework that stops projects from failing, from blowing through budgets, from wasting money during execution, and from busting schedules. Check out the program presentation here.
What it means
ICPM treats all aspects of a project from the perspective of the owner.
A project is defined as the realization of a profitably performing asset.
Performance implies guaranteed nameplate throughput over the economic life of the asset.
Profitable implies optimized operating costs, high plant reliability and availability, predictability of revenues, and valunomic maintainability over the economic life of the asset.
Project management is defined as the development of the profitably performing asset. It regards the project budget as the investment mechanism to achieve that end.
How it is done
A project is developed through a series of phases, sequenced and executed in order to marshal and mitigate the variegated risks inherent to the process. Risk, under all forms, governs the management of the development work. The outputs and deliverables of any given phase are completed fully before the next phase is allowed to start.
Development is divided into two stages: conceptualization and realization.
Conceptualization creates the features of the asset and yields the construction basis.
Realization transforms the construction basis into the physical asst, up to the operational verification of its nameplate performance.
The development process goes beyond the usual sequence of identify (concept) - evaluate (DBM) - define (FEED) - execute (Design) - build - close. The benefits? A material reduction in project duration; an order of magnitude in reduction of risks; and a certainty of future investment returns from the operating asset.