Presented by Walter Macharg Head of Change Control and Cost Assurance, Crossrail Presentation Synopsis: Referencing the comprehensive Crossrail learning legacy resources, Walter will shine a light on the Programme Controls and governance effected by the PMO to support informed decision making. A ‘real’ mutli-faceted PMO story including lessons and big wins that all delegates will relate to.

1. Governance and Decision
Making on Crossrail
Walter Macharg
Head of Change Control and Cost Assurance

2. Header here max 30 charactersThe Elizabeth Line
Route map
10%
10% increase in
London’s rail
capacity with up to
72,000 passengers
per hour
100km
The route will run
over 100km,
including through
42km of new
tunnels under
London
40
Crossrail will link 40
stations, including
10 new stations
£42bn
Crossrail will add an
estimated £42bn to
the economy of the
UK.

3. Header here max 30 charactersFinished…..
….almost

4. Header here max 30 charactersProgramme Overview
Governance - Organisation - Funding

5. Header here max 30 charactersProgramme Overview
Scale and complexity

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e-Mail: learninglegacy@crossrail.co.uk
Web: http://learninglegacy.crossrail.co.uk

7. Header here max 30 characters12 Learning Legacy Themes

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What does the Programme Controls
function do and what’s it for?
REPORTINGCost &
Controls
Performance
Assurance
Change
Control
Risk
Management
Planning
Performance
Analysis
Standards - Information - Analysis & decision support - Assurance

9. Header here max 30 charactersDefining Governance
‘Corporate governance involves a set of relationships
between a company’s management, its board, its
shareholders and other stakeholders. Corporate
governance also provides the structure through which
the objectives of the company are set, and the means
of attaining those objectives and monitoring
performance are determined’
Organisation for Economic Co-operation and Development
OECD Principles of Corporate Governance 2004
www.oecd.org
As quoted in:
Directing Change A guide to governance of
project management

10. Header here max 30 charactersDefining Governance
“…The ability to make
effective decisions quickly…”
1. Framework
Repeatable
Reproducible
2. People
Provide the evidence
Provide the culture & environment
…to make AND implement the decision!

11. Header here max 30 charactersWork and Organisation breakdown structure

12. Header here max 30 charactersWork Breakdown Structure
The Scope Book

13. Header here max 30 charactersCost baseline budget
FUNDINGAFCDC
TIME
COST£m
CONTROL
BUDGET
Contingency
Delivery and
Financing
Budget
Sponsor
Funding
Contingency
Investment Income
• Authorised by CRL Board
• Analysed in WBS
• Amendments subject to
CHANGE CONTROL
• Comprehensive risk register
• Range of confidence levels
IP2
IP1
IP0
• Forecast cash flows and risk
• PDA defines Intervention Points

14. Header here max 30 charactersDelegation of contingency budget
CONTINGENCYTYPE
Delivery and Financing
Budget
BOARD
SECTOR
PROJECT
CONTRACTOR
(Included in Target Cost)
PROGRAMME
• Catastrophic events
• Strategic / political relation ships
• Sponsor change
• Major design or scope change
• Major schedule delay
• interface risks between projects
• All risk to delivery of the project scope under the Project
Manager’s control
• Risks for which no contract price change is due, such as delivery
cost overrun
Contingency to fund risks:

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An integrated suite of standard systems. Data warehouse to consolidate the
‘single source of truth’ and enable dynamic data interrogation
Crossrail systems setup

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Key pillars of successful earned value
management
Define the Baseline: scope and budget
Work breakdown structure
Objective performance measurement
Variance analysis and corrective action reporting
Disciplined and timely change control
Systems – capture cost and change, and control
delegation and approval
APM: Earned Value Management Handbook, EVM Compass

17. Header here max 30 charactersEarned value KPIs: cost and schedule
CPI=
4,000
4,100
4,200
4,300
4,400
4,500
4,600
4,700
4,800
4,900
5,000
P01 P02 P03 P04 P05 P06 P07 P08 P09 P10
£m
CEs adjust the
PMB
Variance
from PMB
Schedule
Variance
(SV)
Cost
Variance
(CV)
ACWP = Actual Cost of Work Performed
BCWP = Budgeted Cost of Work Performed
BCWS = Budgeted Cost of Work Scheduled
PMB = Performance Measurement Baseline
Illustrative view of Earned Value (EV) measurement
17

18. Header here max 30 charactersImplementing EV
18
1. Set clear expectations via the Works
Information
2. Publish clear processes and templates, and
reinforced this with guidance and training
3. Embed tools and systems
4. Undertake progressive assurance

19. Header here max 30 charactersPhysical progress measurement
19
The Quantity and Unit Rates Report

20. Header here max 30 charactersThe intranet Planning Page

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23. Header here max 30 charactersUsing EV to compare performance
Earned Value displayed comparatively (CCB, SPI, CPI, EAC)

24. Header here max 30 charactersEarned value issues
Have to have confidence in the systems and data
Labour intensive
Entrenched commercial positions have meant that
teams have had to caveat all their EV data with a
‘what if’ analysis
Is it: understood - believed - acted upon?

25. Header here max 30 charactersEarned value extrapolation
250
300
350
400
450
500
P01
P02
P03
P04
P05
P06
P07
P08
P09
P10
P11
P12
P13
P01
P02
P03
P04
P05
P06
P07
P08
P09
P10
P11
P12
P13
P01
P02
P03
P04
P05
P06
P07
P08
P09
P10
P11
P12
P13
P01
P02
P03
P04
P05
FY 15/16 FY 16/17 FY 17/18 FY 18/19
EAC Range EAC Low
EAC High AFC

26. Header here max 30 charactersRisk Hierarchy: follows the OBS
Risk Governance Risk Reporting
Crossrail
Limited Board
Executive
Committee
Risk Sub-
Committee
Programme
Risk Panel
Delivery
Reviews
Audit
Committee
1) Report
2) Escalate
3) Aggregate
Contractor Risks
Project Risks
Strategic Risks
Programme Risks
Sector Risks

27. Header here max 30 charactersRisk Registers and ARM
Standard Risk Register formats used across the programme
Consistency of language, process, information, assessment
Improve recognition and engagement with risk information to
support management and decision making
Produced directly from ARM
Standard Risk Register
iPad Format Risk Register

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Quantitative Risk Assessment (QRA) provides a measure of risk
exposure allowing us to monitor performance and inform decisions
Quantitative Risk Assessment (QRA)
Exposure to cost and schedule risks

29. Header here max 30 charactersReporting Hierarchy
Schedule
(P6)
Risk and Issues
(ARM)
Cost
(Prism)
H&S
(RIVO)
Change and
Contract Admin
(eB)
Risk managers
Input
Crystal Data
Warehhouse
Cost Managers
Input
Project Dashboards
Civils Sector
Report
Stations (RfL)
Sector Report
Stations (LUL)
Sector Report
Systems Sector
Report
Technical
Directors
Report
Utilities and
Logistics Sector
Report
Are We on
Time?
Contributors
Are We Wold
Class?
Contributors
Are We Safe?
Contributors
Are We Within
Funding?
Contributors
Programme
Board Report
Semi Annual
Construction
Report (SACR)Sponsors
Crossrail Exec/
Board
Programme
Board
Contributors
Sectors
Project
Directors/
Managers
Sector
Reporting and
Control Team
input
Base Data from
Tier 1
Contractors
Periodic Contractor
Dashboards
Functional
Leads
Operations
Report
On Network
Works Report

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PM Team:
Write
commentary
Programme
Controls:
Paste data
graphics
Project Dashboard creation process

31. Header here max 30 charactersProject Dashboard

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HSPI
● 2.34
AFR(LTC)
● 0.14
CPI
● 0.95
SPI
● 0.93
Sch.Var.(t)
● -3.3 periods
ES(SPI)
● 0.95
QPI ● 1.3
TCPI ● TBC
ESMPI ● 1.7
Input
● 2.34
Output
● 2.13
Small data points =other contr acts in same sector
PERIOD
MOVEMENT TO DATE
(PAF)Supplier
Assurance
Target 0% 1.0 0/0% 0/0%* 0% 100% 1.3
Actual 25% 0.77 33(51%) 45(70%) 2(18%) 50% 2.00
      
Period D 7% -0.11 -19% -4% 8% -21%
Forecast
Accuracy
Schedule
Quality
AgedNCEs LowValue
NCEs
AgedURTs Cont.Red
risks reviewed
Agreements
Perf.
3 monthforecast 0-1score # (%) >84 days # (%) <£50k %>6 Periods %inPeriod Score0 to 2
KPIs

33. Header here max 30 charactersThe Board Report – four questions

34. Header here max 30 charactersPerformance Assurance
Round 1 Average
Round 2 Average
Round 3 Average
Round 4 Average
Round 5 Average
19
2
24
14
13
6
15
25
23
22
21
Best Collective score
26
Round 6 Average
27
3028
29
World Class ZoneValue Added ZoneIndicative average compliance line
High Performance
Performance Level
OUTPUTSPerformance Risk
PerformanceLevel
INPUTS
HighPerformancePerformanceRisk
3
2
1
0
1 32
57
Examples of
world class
performance
Cross functional contractor
average
Individual contractor or JV cross
functional performance

35. Header here max 30 charactersDecisions about CHANGE

36. Header here max 30 charactersCrossrail below the surface

37. Header here max 30 charactersCase Study - Deletion of 8 shafts
• Benefits
• Foreseen consequences
• Unforeseen consequences

38. Header here max 30 charactersVentilation Shafts
• x13 ventilation and emergency intervention shafts
• Control air flow and the ‘piston effect’ during normal operation
• ESSENTIAL to control smoke in the event of a fire to provide safe
egress

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40. Header here max 30 charactersVentilation Shafts
1. Provides a significant reduction in surface impacts
2. £118m cost saving
3. Provides the ability to ventilate both tunnels in a fire.
4. Requires the introduction of full height PEDs & platform ventilation
x8 shafts REMOVED… Westbourne Bridge, Hyde Park, Park Lane, Hanbury Street, Lowell
Street, Hertsmere Road, Blackwall Way & Warren Lane

41. Header here max 30 charactersVentilation Shafts
5. Limmo Peninsula1. Fisher Street 2. Stepney Green
3. Mile End
4. Eleanor Street

42. Header here max 30 charactersPlatform Edge Screens
Full height screens 
Ventilation segregation 
£118m cost saving 
 Jubilee Line Extension, London
 Platform Edge Doors
 No ventilation segregation.

43. Header here max 30 charactersThe change decision making process

44. Header here max 30 charactersKey pillars of successful change control
Baseline: scope and budget
Work breakdown structure
Delegation
Systems – capture cost and change, and
control delegation
Approval

45. Header here max 30 charactersSystems to capture change
Trend
raised in
Prism cost
system
Critical issues
meetings
Contractual early
warning notice
Project Technical
Request process:
Request for Info,
Field Change, Non
Conformance
Risk capture via
ARM
Weekly change
alert to
Executive
Contractual risk
reduction
meetings
Site progress
meetings
Etc…
Regular trend
review meetings
PRISM G2
Change
AFC and risk
reports: Project
dashboard and
Board report
A full audit trail in the cost system for
changes to forecast and budget

46. Header here max 30 charactersThe change approval process
2 week cycle
Delivery or
Programme
Change?
Project Team Complete
Change Paper
Formal Review Process
Commercial and Change
Sub Committee (CCSC)
Reject
Approve
Programme
Project Funded
Change
Delivery
Requirement for
Change identified
Over
£XXm
Refer to Board
Decision
Delegated Authority
Standard template with
details of change request
Captures:
• key issues
• Business case
• Safety implications
• Financial impact
Reviews by all relevant
stakeholders and subject
matter experts.
Change papers are sent
for revision if information
is unclear or incomplete.

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In excess of 20,000
implemented
compensation events
Volume of change
£0.15m
20,187
Total
£3,000m
Total
700 Programme
Changes in six
years

48. Header here max 30 charactersLessons learned: things to do better
Procurement strategy for design
If design ownership retained by employer, complete the
design before procurement
Level at which to control design change
Try to capture design change at time of issue
Interfaces between contractors, in design and schedule
Projects with multiple stakeholder interfaces are risky; ring
fence the projects as much as possible
Train and signalling systems design and testing will over-
run.

49. Header here max 30 charactersLessons learned: what went well
Establish the controls baseline - single source of truth
Work Breakdown Structure and Cost Breakdown Structure, related to the
organisation breakdown structure
Establish programme controls early - spend time, effort and money on
the controls systems BEFORE main contract works are procured
Establish a culture of performance improvement (e.g. through
performance assurance)
Allocate risk to appropriate levels of the organisation, and delegation of
contingency
Continually review risk via QRA and comparison to contingency and total
budget authority
Capture change to scope, forecast and budgets early via integrated
systems
Formal project performance reviews
Reinforce the culture and build confidence

50. Header here max 30 charactersDid we succeed in controlling change?
Little major change to design
But high volume of design change at the detailed level
Contracts let before civils design fully complete
Few major Sponsor changes
Self imposed schedule change, particular at contract interfaces
Contingency budgets were utilised
Late stage problems with systems integration
Passenger service through the main tunnel in 2019

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12 Themes
• Project and Programme Management
• Procurement
• Authorisations and Consents
• Land and Property
• Health and Safety
• Environment
• Engineering
• Operations
• Talent and Resources
• External Affairs
• Innovation
• IT
Crossrail Learning Legacy
http://learninglegacy.crossrail.co.uk/

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Turner & Townsend in Infrastructure

53. Header here max 30 charactersChange driven by conditions

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Success factors for the
Connaught Tunnel change
Collaborative approach
Transparency
Good process
Plan for early completion
Expertise