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Using PPM in
complex project
organisation
Power PPM Summit 2021
Kristian Høeg Madsen
December 2021
Thanks for having me!
KRISTIAN HØEG MADSEN
Head of Business Development
Corporate Strategy, Project Management,
Organizational Development
EUROPEAN ENERGY
KEY FACTS
- Founded in 2004
- Activities in +20 countries
- +300 employees across 15 offices
- 2GW installed capacity since founding
- +30 GW pipeline with +500 projects
At European Energy we develop, finance, construct and
operate solar farms, onshore and offshore wind farms as
well as large-scale PtX plants.
We are currently developing and constructing parks
across Europe, Brazil, USA and Australia.
Highlights
3
This is
European Energy
From Idea to Construction
4
Location:
We secure the land
rights in
collaboration with
the landowner and
conduct
environmental
studies to minimize
the local
environment’s
impact.
Planning:
Once a location has been
identified, a thorough analysis
of the environmental impact,
local grid capacities, both the
political and the project
economic framework
conditions is needed. This
includes but is not limited to
all from navigating through
national and local laws and
permits to analyzing energy
production estimates.
Involvement:
It is essential to involve
local citizens and
stakeholders as early as
possible and strive to
understand and address
any concerns. At this
stage we also invite
investors to participate
in the development of
the project.
Construction:
When all the essential rights
and permits have been
acquired, the construction
phase can be started. We
manage the entire process
from design of the energy
plant, global sourcing of
components, construction
activities to grid connection
as well as all many
unforeseeable factors
during this phase.
Managing the
assets:
We consider managing
the constructed assets
as a part of our core
business. This includes
in-house competences in
both technical,
commercial and financial
aspects of managing
renewable energy plants.
Divestment:
We assess each project
individually and take the risk-
and-reward profile into
consideration. In some cases,
we divest the energy farm to
long-term investors at the
optimal price. Often, we keep
managing the plant for the
investor to optimize
production output and
minimize operating costs.
Independent
power sale:
Other times we keep
ownership of the
energy farm and
provide electricity as
an independent
power producer.
Power Purchase
Agreements (PPA):
Many companies choose a
PPA solution these days
during the pre-construction
and construction activities.
These PPA’s are long term
supply contracts with a fixed
price guaranteeing the
delivery of renewable power
from an energy farm to a
business.
From Construction to Production
After the construction has finished and the farm has
been successfully connected to the energy grid, our
engagement can go in different directions.
Our reality one year ago
1. Fast growing
2. Project organization
3. Complex operating environment
4. Presence across many technologies and
countries
5. Numerous ‘ways of working’
6. Manual document filling based on mails
and filenames
5
This created a number of challenges in
the organization
1. Lack of transparency across projects, teams,
countries etc.
2. Limited steering and no tools to support effective
decision making
3. Time consuming handling of documents
4. No scalability in setup
5. Limited reporting and no standardized approach
+700
Active companies
+500
Projects
370
Lines in work-
breakdown-structure
Some
numbers…
So, how can we design,
develop and implement a
standardized way of
execution projects in a
complex organization?
8
?
The solution was both a
new project model and
a supporting technical
infrastructure
9
Initiate project by
securing
permissions and
planning layout
and offtake
Secure financing
and select
suppliers for all
major contracts
Deliver of project
safely on time
and budget at
expected quality
Manage asset
both technically
and commercially
Developing
Screening Structuring Constructing Operating
Screening of
opportunities and
securing land
rights
1. PROJECT MANAGEMENT MODEL
2. SUPPORTING TECHINCAL INFRASTRUCTURE
WHAT WE NEEDED
• Full system support with standard project plans
• Easy management of project and workstreams
• Simple delegation of tasks and deadlines
• Modern SharePoint document filling with use of metadata
• Real-time interactive reports
10
PROJECTS
DOCUMENTS
LEGAL ENTITIES
FINANCE
REPORTS
Our technical
solution supports
all relevant areas
of the project
Projects
We group our projects into Building Programs (annual) with
detailed project activities are broken into workstreams
BUILDING PROGRAM
PROJECT PROJECT PROJECT
WORKSTREAMS WORKSTREAMS WORKSTREAMS
BUILDING PROGRAM
A portfolio of projects relevant for a
specific year
PROJECT
A construction project with multiple
workstreams
WORKSTREAM
Standardized workstream setup for all
projects
Projects
The Project main page
13
• Overview of all relevant
project data
• Managed by Project
Manager
• Numerous sub-tabs for
relevant work areas
• Direct link to project
workstreams
Projects
Setting up project!
When setting up a new project, the
project manager fills in relevant data
as well as assigns people to the
project organization. The system will
then automatically:
• Set up a SharePoint and MS Teams
site
• Ensure that all relevant people are
added to the MS Teams site
Projects
Workstreams
• 16 workstreams automatically
created
• Each workstream is a ‘mini’ project
with custom tabs
• Standard templates for schedule
can be loaded
Projects
Checklists
• Project governed by phase-gate
model
• Checklist with mandatory and
optional fields for each gate
• Custom checklists per gate
-requirements expand as project
progresses
Projects
Legal entity management of
projects is integrated into the PLC
• Each project is connected to a legal entity
• Legal entities are handled in a separate
workspace
• The information automatically links to the project
overview – enabling a complete overview of
relevant project data and easy access
Legal entities
The legal entity function
keeps track of all companies
Legal entities
• All foundation and financial details
• Employees can create new, which are sent to
review and approval for our Company
Administration Dep.
• Link between legal entities captures through
owners and subsidiaries relations
19
Within the Project overview we
have a folder structure
matching the project WBS incl.
a direct link to SharePoint
Documents
20
In SharePoint we can now easily get an overview of all
project documents including relevant meta-data
Documents
• Mandatory metadata clearly marked
• Some metadata (e.g. legal entity) is automatically linked
• All options for metadata managed in PPM term store
• Same document can be linked to multiple projects
(only one document but appears on multiple project sites)
21
We also have the opportunity to adjust the view for
faster identification relevant documents
Documents
22
Finance
Monthly actual costs from
Navision on 3 levels of detail
Reports
Our pipeline report is today used as a critical tool in overview
and decision making for senior management
Reports
We also have several other
reports in PLC today
• Building program (portfolio view)
• Project cock-pit
• Workstream reports
• Legal entities
• Historical overview
Reports
PROJECTS
DOCUMENTS
LEGAL ENTITIES
FINANCE
REPORTS
What we have
covered today
So, what did we get out of it?
27
1. Increased transparency across projects
and teams
2. Improved steering and effective
decision making
3. More effective handling of documents
4. A scalable solutions
5. Easier and standardized way of
reporting
Any questions?
28
Using PPM in complex project organisation

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Using PPM in complex project organisation

  • 1. Using PPM in complex project organisation Power PPM Summit 2021 Kristian Høeg Madsen December 2021
  • 2. Thanks for having me! KRISTIAN HØEG MADSEN Head of Business Development Corporate Strategy, Project Management, Organizational Development EUROPEAN ENERGY KEY FACTS - Founded in 2004 - Activities in +20 countries - +300 employees across 15 offices - 2GW installed capacity since founding - +30 GW pipeline with +500 projects At European Energy we develop, finance, construct and operate solar farms, onshore and offshore wind farms as well as large-scale PtX plants. We are currently developing and constructing parks across Europe, Brazil, USA and Australia.
  • 4. This is European Energy From Idea to Construction 4 Location: We secure the land rights in collaboration with the landowner and conduct environmental studies to minimize the local environment’s impact. Planning: Once a location has been identified, a thorough analysis of the environmental impact, local grid capacities, both the political and the project economic framework conditions is needed. This includes but is not limited to all from navigating through national and local laws and permits to analyzing energy production estimates. Involvement: It is essential to involve local citizens and stakeholders as early as possible and strive to understand and address any concerns. At this stage we also invite investors to participate in the development of the project. Construction: When all the essential rights and permits have been acquired, the construction phase can be started. We manage the entire process from design of the energy plant, global sourcing of components, construction activities to grid connection as well as all many unforeseeable factors during this phase. Managing the assets: We consider managing the constructed assets as a part of our core business. This includes in-house competences in both technical, commercial and financial aspects of managing renewable energy plants. Divestment: We assess each project individually and take the risk- and-reward profile into consideration. In some cases, we divest the energy farm to long-term investors at the optimal price. Often, we keep managing the plant for the investor to optimize production output and minimize operating costs. Independent power sale: Other times we keep ownership of the energy farm and provide electricity as an independent power producer. Power Purchase Agreements (PPA): Many companies choose a PPA solution these days during the pre-construction and construction activities. These PPA’s are long term supply contracts with a fixed price guaranteeing the delivery of renewable power from an energy farm to a business. From Construction to Production After the construction has finished and the farm has been successfully connected to the energy grid, our engagement can go in different directions.
  • 5. Our reality one year ago 1. Fast growing 2. Project organization 3. Complex operating environment 4. Presence across many technologies and countries 5. Numerous ‘ways of working’ 6. Manual document filling based on mails and filenames 5
  • 6. This created a number of challenges in the organization 1. Lack of transparency across projects, teams, countries etc. 2. Limited steering and no tools to support effective decision making 3. Time consuming handling of documents 4. No scalability in setup 5. Limited reporting and no standardized approach
  • 7. +700 Active companies +500 Projects 370 Lines in work- breakdown-structure Some numbers…
  • 8. So, how can we design, develop and implement a standardized way of execution projects in a complex organization? 8 ?
  • 9. The solution was both a new project model and a supporting technical infrastructure 9 Initiate project by securing permissions and planning layout and offtake Secure financing and select suppliers for all major contracts Deliver of project safely on time and budget at expected quality Manage asset both technically and commercially Developing Screening Structuring Constructing Operating Screening of opportunities and securing land rights 1. PROJECT MANAGEMENT MODEL 2. SUPPORTING TECHINCAL INFRASTRUCTURE WHAT WE NEEDED • Full system support with standard project plans • Easy management of project and workstreams • Simple delegation of tasks and deadlines • Modern SharePoint document filling with use of metadata • Real-time interactive reports
  • 12. We group our projects into Building Programs (annual) with detailed project activities are broken into workstreams BUILDING PROGRAM PROJECT PROJECT PROJECT WORKSTREAMS WORKSTREAMS WORKSTREAMS BUILDING PROGRAM A portfolio of projects relevant for a specific year PROJECT A construction project with multiple workstreams WORKSTREAM Standardized workstream setup for all projects Projects
  • 13. The Project main page 13 • Overview of all relevant project data • Managed by Project Manager • Numerous sub-tabs for relevant work areas • Direct link to project workstreams Projects
  • 14. Setting up project! When setting up a new project, the project manager fills in relevant data as well as assigns people to the project organization. The system will then automatically: • Set up a SharePoint and MS Teams site • Ensure that all relevant people are added to the MS Teams site Projects
  • 15. Workstreams • 16 workstreams automatically created • Each workstream is a ‘mini’ project with custom tabs • Standard templates for schedule can be loaded Projects
  • 16. Checklists • Project governed by phase-gate model • Checklist with mandatory and optional fields for each gate • Custom checklists per gate -requirements expand as project progresses Projects
  • 17. Legal entity management of projects is integrated into the PLC • Each project is connected to a legal entity • Legal entities are handled in a separate workspace • The information automatically links to the project overview – enabling a complete overview of relevant project data and easy access Legal entities
  • 18. The legal entity function keeps track of all companies Legal entities • All foundation and financial details • Employees can create new, which are sent to review and approval for our Company Administration Dep. • Link between legal entities captures through owners and subsidiaries relations
  • 19. 19 Within the Project overview we have a folder structure matching the project WBS incl. a direct link to SharePoint Documents
  • 20. 20 In SharePoint we can now easily get an overview of all project documents including relevant meta-data Documents • Mandatory metadata clearly marked • Some metadata (e.g. legal entity) is automatically linked • All options for metadata managed in PPM term store • Same document can be linked to multiple projects (only one document but appears on multiple project sites)
  • 21. 21 We also have the opportunity to adjust the view for faster identification relevant documents Documents
  • 22. 22 Finance Monthly actual costs from Navision on 3 levels of detail
  • 24. Our pipeline report is today used as a critical tool in overview and decision making for senior management Reports
  • 25. We also have several other reports in PLC today • Building program (portfolio view) • Project cock-pit • Workstream reports • Legal entities • Historical overview Reports
  • 27. So, what did we get out of it? 27 1. Increased transparency across projects and teams 2. Improved steering and effective decision making 3. More effective handling of documents 4. A scalable solutions 5. Easier and standardized way of reporting