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PDRI 101Project Definition Rating Index

MILCON Building Projects

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Agenda

PDRI Overview

Section Contents

PDRI Categories

Score

Definition LevelsTime

The Tool

PDRI Savings

Benefits to DOD

ImplementationTier Designations

Online Training

PDRI publications

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PDRI Overview

What is the Product Definition Rating Index?Developed by private sector in late 1990s

Response to end-product construction deficiencies

Evaluation tool applied at successive project gates Early high-risk ratings may trigger later actions

A simple and easy-to-use tool for measuring the degree of scope definition forcompleteness

Identifies and precisely describes each critical element in a scope definitionpackage

Allows team to quickly predict factors impacting project risk

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PDRI Overview (Cont)

Many companies have found broad value in PDRI

Allows team to quickly predict factors impacting project risk

Amgen, 3M, Hensel Phelps, GM, Beck Group, (many others)

GSA, DHS, NASA, Smithsonian Institution

List includes Designers, Builders, and Owner/Sponsors

Use to assist decisions to allocate resources at project level to buy down

risk

Use to identify risk and enhance project definitionBLUF Benefit to DoD thru RISK MANAGEMENT at project level

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Section ContentsPDRI Building Projects

Section I: Basis of Project Decision

3 categories

18 elements

Right project

Section II: Basis of Design

4 categories

32 elements

Right product

Section III: Execution Approach

4 categories

14 elements

Right way

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PDRI for Buildings

I. Basis of Project Decision

II. Basis of Design

III. Execution Approach

A. Business Strategy

B. Owner Philosophy

C. Project Requirements

D. Site InformationE. Building Programming

F. Building/Project Design Parameters

G. Equipment

H. Procurement StrategyJ. Deliverables

K. Project Control

L. Project Execution Plan

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Top 10 Pacing Elements

1. Building Use (4.4%)

2. Facility Requirements (3.1%)

3. Site Selection Considerations (2.8%)

4. Business Justification (2.7%)

5. Project Cost Estimate (2.7%)6. Business Plan (2.6%)

7. Project Design Criteria (2.4%)

8. Evaluation of Existing Facilities (2.4%)

9. Future Expansion/Alteration Considerations (2.2%)

10.Architectural Design (2.2%)

Top 10 = 27.5% of total PDRI score

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LOWER SCORE IS BETTER!!

Understanding PDRI Scores

0 Points

1000 Points

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Definition Levels in PDRI

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Time Needed for Assessing a Project

90 to 120 minutes

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PDRI The Tool

Tool has been customized for MILCON process

Customized descriptions of project elements to our needs

Each element is weighted, algorithm generates a composite score for theproject

Normalized from 0 to 1000

Recommend a broad team composition

500 is good at planning stage (subjective!!)

300 is good at design stage (subjective!!) 200 is good by RTA (Ready To Award)

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Performance < 200 > 200

Cost 3% over budget 9% over budget

Schedule 5% behind schedule 21% behind schedule

Change Orders 8% of budget 11% of budget

(N=25) (N=83)

PDRI Score

Comparison of Projects with PDRIAbove & Below 200 Building Projects

Reduce cost growth by 6%

Reduce schedule slip by 16%

Reduce change orders by 3% of budget

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Benefits to DoD

Early identification / management of project risk elements

Standard approach to Lifecycle Costing

Institutionalize procedures for

Risk Management

Risk Communication

Target project-level resources to high-risk elements Identify, track Action Office responsible for risk by element

Use of PDRI Action List

Risk Management improves customer end product

Reduce scope creep

Fewer mods reduce cost, time growth

Early customer input and buy-in

PDRI enables targeted, holistic, and quantitative approach to Risk Management

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Implementation

Implementation at Code 0 (Planning Charrette)

Code 6/7/T (DBB-Design Charrette, DB-RFP Development, AB)

PM Review (over the shoulder)

Code 3 (Parametric Design)

ENG 3086 Tier 3 designation may trigger a 3rd PDRI assessment

Retarget project resources on risk buydown Previous PDRI rating used as additional data input prior to Tier designation

Implementation Procedures

PDRI rating at 75% in Charrette Generation of PDRI Action List

Attach PDRI assessment to 1391 Tab C

Follow-up on PDRI Action List from PM & Design team

Guidance Year Design Year Budget Year Program Year

PDRI

assessment at

Code 0

GY -1

Action List Action List Action List

PDRI

assessment at

Code 6/7/T

PDRI assessment for

Tier 3 projects

MILCON timeline

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Tier Designations

Tier 1 Pres-bud and prior year un-awarded projects that have no perceived problems and will be

"forecasted" and "scheduled" for an award within the goals established by for the FY

Tier 2 Project with known or perceived problems but are still expected to be awarded/executed this fiscal

year will be "forecasted" and "scheduled" for award within FY

Tier3 Projects with problems and cannot be awarded within fiscal year include:

Projects with any incomplete NEPA documentation. These will not be "forecasted" for award inthe FY but should be scheduled for award as appropriate based on the assumption the NEPAdoc will be completed prior to he scheduled Ready to advertize date. The P2 "issues comment"

will be used to provide the NEPA completion dates

Projects on hold (code 4 - on hold; code 5- deferred and code 8- cancelled) status percustomer request.

Projects that have scope, pa issues and/or other delaying factors that are recognized by thecustomer as being irresolvable within sufficient time to award within the FY.

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Online Training

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PDRI Publications

PDRI Building Projects

CII Implementation Resource 155-2, 3rd Ed.

http://construction-institute.org/pdri/

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