OCTA Highway Programs Continuous Improvement Initiative

1. 1
OCTA Highway Programs
Presented by : Ross Lew, PE - OCTA
Don Archer, PE - PQM, Inc. Jan 15, 2015
Continuous Improvement Initiative

2. 2
Agenda
• Introduction & Approach
• CCO Analysis
–Highway Projects
–Grade Separation Projects
• OCTA Improvements & Implementation

3. 3
CCO Analysis Approach
Mid-Project Review & Analysis of CCOs
• Highway Projects
• Grade Separations
Conduct Root Causes Analysis (RCA)
• Level 1 - Categories
• Level 2 – Primary Discipline
• Level 3 – QC Activity
Corrective/Preventive Action & Recommendations

4. 4
Projects

5. 5
Highway Projects Grade Separation Projects
Bid Prices
Project A $16.4M
Project B $28.6M
Project C $29.0M
Project D $102M
Project E $65.8M
$241.8M
Bid Prices
GS 1 $32.6M
GS 2 $45.1M
GS 3 $23.8M
GS 4 $26.1M
GS 5 $45.1M
$149.8M

6. 6
Owner has
the advantage
Contractor has
the advantage
during construction
Costs Advantages
Premium

7. 7
Root Cause Analysis - Process
1. Change Occurs
2. Evidence of Change (CCOs)
3. Investigation & Understanding (Data)
4. Analysis – Determine Root Cause
5. Corrective/Preventive Action (CAPA)
- Eliminate the Root Cause
6. Implement and Monitor CAPA
- Verify Performance thru Audits/Surveillances

8. 8
Award Price and CCO Costs
Highway Projects Grade Separations
Project
Award
Price
%
Comp
#
CCOs Cost
Project A $16.4M 44 26 $0.9M
Project B $28.6M 71 49 $1.3M
Project C $29M 75 41 $1.8M
Project D $102M 61 129 $7.2M
Project E $65.8M 67 62 $4.1M
TOTAL $241.8M 64% 307 $15.3M
Project
Award
Price
%
Comp
#
CCOs Cost
GS 1 $32.6M 88 23 $1.46M
GS 2 $45.1M 27 10 $0.42M
GS 3 $23.8M 90 35 $2.12M
GS 4 $22.2M 84 45 $1.44M
GS 5 $26.1M 30 15 $0.61M
TOTAL $149.8M 64% 130 $6.1M

9. 9
Highway Projects
Project CCOs
(#)
Design
CCOs (#)
CCO
($)
Design
($)
Design
(% of Award)
TOTAL 307 139 $15.3M $6.4M 42%
Project CCOs
(#)
Design
CCOs (#)
CCO
($)
Design
($)
Design
(% of Award)
TOTAL 130 41 $6.1M $1.4M 23%
Grade Separation Projects
CCOs – Design Related Issues

10. 10
Highway
CCO Category Cost % of
Cost
Design Related Issues $6.4M 42%
Owner Requested $0.2M 1.3%
Safety Improvements $0.4M 2.6%
Survey/Construction Errors $0.06M 0.4%
Construction Permit/SWPPP $0.90M 6.3%
Scope Changes $1.3M 8.5%
Differing Field Conditions $1.9M 12.3%
Supplemental Work $4.1M 26.8%
CCO Category Cost % of
Cost
Owner Requested $ 2.5M 41%
Contractor Requested $ 0.3M 5%
Differing Field Conditions $ 2.2M 36%
Design Related Issues $ 1.4M 23%
Scope of Work Changes <$0.3M> -5%
Grade Separation
CCO by Categories (Level 1)

11. 11
Highway Projects

12. 12
Highway Projects - Evidence & Investigation
• 307 CCOs on 5 Projects were collected in March
2013
• 139 CCOs were identified as Design Related at a
cost of $6.4 M
• RCA performed on 85 Design Related CCO

13. 13
Highway - Analysis & Identification (Level 2)
Primary Discipline by Frequency
Roadway
30%
Drainage
22%
Structures
13%
Utility
10%
Traffic
8%
Geotech/ Mat'l
5%
Specification
5%
Electrical
4%
Staging
2%
Landscape
1%
Mapping
>1%

14. 14
Highway - Analysis & Identification (Level 2)
Primary Discipline by Cost
Roadway
22%
Drainage
25%
Structures
9%
Utility
8%
Traffic
12%
Geotech/ Mat'l
4%
Specification
9%
Electrical
4%
Staging
2%
Landscape
2%
Mapping
2%
Environmental
1%

15. 15
Highway Analysis & Identification (Level 2)
Most Frequent Most Cost
Roadway – 30% Drainage – 25%
Drainage – 22% Roadway – 22%
Structures – 12% Traffic – 12%
Utilities – 10% Structures – 9%
Traffic – 8% Specs – 9%

16. 16
Highway - Analysis & Identification (Level 3)
39
13
11
9 9
4
0
5
10
15
20
25
30
35
40
45
FailureFrequency
QC Activity
Failure Mode Frequency (85 CCOs)

17. 17
Highway - Analysis & Identification (Level 3)
$2.52
$1.64
$0.66 $0.63
$0.43 $0.36
Intra-Discipline Assumptions Constructability Specifications Issue Resolution Inter-Discipline
Millions($)
QC Activity
Failure Mode Cost

18. 18
Grade Separation Projects

19. 19
Grade Separation Projects - Evidence & Investigation
CCOs were collected as of March 2014
• CCOs (5 Projects) – 130 [14 are credits]
• CCOs Design Related - 34
• Cost - $1.4M

20. 20
GS - Analysis & Identification (Level 1 by Frequency)
5
34
32
43
16
0
5
10
15
20
25
30
35
40
45
50
Contractor
Request
Design Related Differing Field
Conditions
Owner Request Construction
Changes
(Credits)

21. 21
GS - Analysis & Identification (Level 1 by Cost)
Contractor Requested
$315,000 (5.2%)
Design Related
$1,398,000 (22.9%)
Differing Field Conditions
$2,168,000 (35.5%)
Owner Requested
$2,514,000 (41.2%)
Credits
($295,000) (4.8%)

22. 22
GS - Analysis & Identification (Level 2 by Frequency)
11
13
10
6
9
12
7
13
35
14
0
5
10
15
20
25
30
35
40
Frequency
Discipline

23. 23
GS - Analysis & Identification (Level 2 by Cost)
Drainage
$571,000 (9%)
Env
$1,358,000 (22%)
Grading
$985,000 (16%)
Landscape
$35,000 (1%)
Partnering
$116,000 (2%)
Roadway
$361,000 (6%)
Structures
$330,000 (5%)
Traffic
$721,000 (12%)
Utilities
$1,908,000 (31%)
Credits
-$285,000 (5%)

24. 24
GS - Analysis & Identification
Most Cost Most Frequency
Utilities – 31% Utilities – 27%
Environmental – 22% Environmental – 10%
Grading – 16% Traffic – 10%
Traffic – 12% Roadway – 9%
Grading – 8%
Drainage – 8%

25. 25
GS - Analysis & Identification (Level 3 by Frequency)
2
29
34
4
1 1
45
0
5
10
15
20
25
30
35
40
45
50

26. 26
GS - Analysis & Identification (Level 3 by Cost)
Accuracy Check
$139,321 (2%)
Discipline Review
$1,215,813 (19%)
External Review
$2,117,501 (33%)
IDR
$289,786 (5%)
Ext. Coord
$81,760 (1%)
Mgmt Review
$173,300 (3%)
Unpreventable
$2,367,936 (37%)

27. 27
OCTA Improvements
& Implementation

28. 28
Improve Design Quality Management Plan
1. Identify QC Reviewers and provide Qualifications in DQMP
2. Strengthen use of checklists to improve Accuracy (QC Procedures)
3. Improve Coordination between disciplines & subconsultants
whenever design changes are made (Implement the Design
Control Log)
4. Ensure current reference files are utilized by all
disciplines/subconsultants to eliminate errors (EDMS)
5. Increase QA over subs (Prime conduct audits on subs)

29. 29
6. Engage construction professionals to perform Constructability
Reviews (Validate Qualifications)
7. Use Comment Response Log that Categorizes the Comments
(by Discipline then Engineering, CADD, Specifications, General)
8. DO NOT rely on As-Built data – Verify As-Built data (Assumptions)
• Request adequate surveys
• Perform thorough field investigations
9. Implement Risk Identification Log
– Document Risks and assumptions on a Risk ID Log
Improve Design Quality Management Plan

30. 30
Improve Construction Feedback
1. Use consistent Categories for CCOs for all Projects
2. CM/RE completes the RCA; then it’s Verified by PM/QM

31. 31
Implementation and Monitoring
Follow up Program
• Milestone QA Project Reviews at Consultants Office
– Surveillances
– Audits
• Project Performance Assessments
• Maintain the Continuous Improvement Program

32. 32
Q & A

33. 33
END