1. Risk Management – “A picture of understanding and prioritization”
Risikostyring er et sentralt virkemiddel for prosjektene for å avdekke kompleksiteten i utfordringene man står overfor og hva man skal prioritere i forhold til fremdrift. Foredraget beskriver status og prosessen i Statoil ASA, og hvordan prosess og verktøy henger sammen. Videre blir det belyst hvordan man kan få frem forståelse i prosjektet og effekten av risikostyring i prosjektene.
How are you doing?
(Fine)
Is that’s because you are comfortable with the situation waiting for my presentation.
I need 3 persons beside me – how many define that’s a threat?
By change the view – risk identified in this situation have changed.
If I asked you to run my presentation. Even more higher stress… - improvisation.
within define frames – we can handle, but not beyond competence areas or given frames.
Mads Hembre
Leading Advisor Risk Management in Projects
Classification: Internal

2. Classification: Internal 2010-11-26

3. Classification: Internal 2010-11-26

4. Summary Slide Step by step… Continuous improvement Homepage Network
Presentations, tools, request, examples…
Risk module users
The Risk Management process
Users from different BU’s
From web to R3
Risk module
Classification: Internal

5. Summary Slide (cont.) Risk actions and quality control activities
Risk based monitoring
Functional Description - QRM
Stakeholder and risk management
Cost assessment
Cost impact
Ambition to Action - risks
Aggregation of Risk Management
Network and seminars with participation outside PRC
Participating in external boards, networks, seminars
Classification: Internal

6. Step by step… 2007 2008 2009 2010 2011 2012 2015 “Customers”
PRO
UPN, TNE, INT, NG, GBS
Global
Governing documents
WR2365
WR2404
GLxx
“Shall” WR2365
Aggregation
One document
RM in FR05
Revision of WR2404
Risk strategy
GL DGSP
GL Stakeholder Mgt
Classification: Internal

7. Step by step… 2007 2008 2009 2010 2011 2012 Development New Web
New Scale
Risk Lite
Risk based Monitoring
”Reports across”
”aggregation” R3
Action calculation
Risk profile
Contingency vs Register
”Logical aggregation”
Target Cost
Available checklists
“Total risk picture”
Classification: Internal

8. Continuous improvement
2007
2008
2009
2010
2011
2012
2015
Aligned – terms/process
Project Managers agenda
Risk based experience
Risk based Monitoring
Awareness
“Standard”
”More quantitative”
Context
Description
Action strategy
Aligned scales
Aligned cause categories
“Risk Mgt for Mgt”
Risk based processes
Classification: Internal

9. Homepage Network
Classification: Internal

10. Presentations, tools, request, examples…
Classification: Internal

11. Risk module users
Classification: Internal

12. The Risk Management process
This is just an overview over the workflow
Establish/ update context
External project environment
Internal project environment
WHY? (enter)
2. Identify and analyze risk
3. Evaluate risk
4. Decide action
5. Implement action and follow up risk
Described in WR2404
Classification: Internal

13. Users from different BU’s
* Some few CFO users added to GBS
Classification: Internal

14. Risk module Reports Risks list Risk Matrixes Action list Action
Classification: Internal

15. Risk actions and quality control activities
Contracts
Disciplines
Project
Subprojects
Risk Identification
Risk Assessment
Risk Action
Risk Control
Quality System
Audit
Contract/discipline
Examination
Assignment
Notify
Prepare
Execute
Report
Observations
Follow up
Close-out
Classification: Internal

16. Risk Breakdown Structure / WBS
Risk based Monitoring
Input
1. Target
2. Outcome
3. Objectives/
strategy A
Risk Breakdown Structure / WBS
Categories /
Disciplines
Hopefully we will be able to communicate risk according to earlier in the process and better act in a total business perspective.
Present at DG – risk – threats and opportunities
Risk Module
Monitoring Module
Quality
HSE
Classification: Internal

17. Risk based monitoring
Monitoring Activities are one of the tools we have to mitigate threats
Risk actions can be classefied as follow up or monitoring activity.
Classification: Internal

18. Functional Description - QRM
Responsibilities:
Quality and Risk Leadership
The Quality and Risk Manager shall be a function reporting to the Project Manager or AOR in projects and shall be a member of the Project Management Team.
Responsible for Quality and Risk Management in the project.
Ensure agreements regulating project with Project Manager or AOR are in place (PAS, PEOPS)
Ensure Quality Assurance of the business case decision process within the project, related documents and products
Drive the project governance and quality and risk management system
Assist the Project Manager in determination of, and in communicating the strategy and objectives of the Project.
Focus on execution performance, customer relations and stakeholders
Focus on quality and risk management as governing principles
Promote management system reviews based on decision gate recommendations from the Corporate Project Review and results of monitoring activities
Facilitate the continuous improvement process by experience gathering and transfer to/from other projects and basis organisation
Promote quality and risk management awareness and culture within StatoilHydro, project and contractors organisation
Risk Management
Establish risk management programme in accordance with best practice and governing documents
Establish and update risk register with qualitative risk description as basis for contingency analysis and the Audit and Examination program
Provide input into risk identification for contractors selection and contracts award process
Provide input into contract for defining required risk management system
Facilitate risk assessment process and promote timely close-out of risk actions
Identify trends and top-10 risks to field/portfolio risk assessments, where required
Participate in Quality and Risk networks and process development within basis organisation
Experience required:
Qualification:
Required Training:
Statement:
Deliveries per phase:
Classification: Internal

19. Stakeholder and risk management
Classification: Internal

20. Cost assessment 50% ? % Cost Progress Both Deviation CCE Contingency
Reserve
Cost
Progress
Both
Deviation
CCE
Classification: Internal

21. Cost impact
Classification: Internal

22. Aggregation Top 10 pr. MPPx Top 10 pr. field1 Top 10 domene ODV MPPx
Business Cluster
Top 10 pr. field1
MPPx
Field Projects
Oseberg
Troll
Gullfaks
Other
V&M X
B&B Y
PRO MOD
Project A
V&M X
V&M C
B&B A
PRO MOD
Project A
V&M A
B&B A
PRO MOD
Project A
V&M Z
Projects
B&B Y
Top 10 domene
PRO MOD
Every project have their top ten risk picture.
After Cut off date – risk picture imported to PRO Domain. Portfolio responsible plus controller select top ten for portfolio and PRO responsible and controller report top ten risk for PRO.
Project top ten risk are replaced after cut off with new. Existing risk and actions defined in PRO Domain continue.
PRO MOD have a level between PRO and project because of the large number of projects. Top ten from projects are imported into PRO MOD Bergen, Stavanger and Stjørdal. Each field can then have focus on their top ten and PRO MOD Bergen on their top ten. Number of risks reported up to PRO are then on a manageable level.
NB! There are no automatic aggregation – all assessments of relative top ten risks are done on actual (reported) level
Project A
Classification: Internal

23. Ambition to Action - risks
MiS
Link to Risk Map
Classification: Internal

24. Last month use of PimsWeb
Classification: Internal

25. Network and seminars with participation outside PRC
Risk network meeting 2008
Quality and risk network meetings with external participations
2009 (8/10 score from participants)
2010 (8/10 score from participants)
Risk day with UPN, training of risk mgt resources UPN
Training of Contractors in UPN (V&M)
Risk Management presentations (SINTEF, Forsvaret, Proactima, UiS, other internal departments, TNE, GBS, INT)
Understanding Statoil Way (internal participations)
Classification: Internal

26. Agenda day 1 before lunch
Continuous Improvement
Mutually beneficial supplier relationships
Stream facilitator:
Terje Hatlem
Jørn-Ivar Hellesnes
Introduction - news from the networks,
Mads Hembre and Sidsel W. Storaas
Risk and Human factors - Neil Hanley - Corporate HR
Snack Break
Fast track – Vigdis NV,
Helge E W Albertsen, Project Leader
Efficient monitoring at site
Terje Fjerdingen, QRM Stjørdal
CAR/PER experience,
Stein Håland, Chief Engineer
Monitoring plan - how to build up, risk based.
Jan Hegland, QRM SMIL Projects
Lunch
Classification: Internal

27. Continuous Improvement Mutually beneficial supplier relationships
Agenda day 1 after lunch
Continuous Improvement
Mutually beneficial supplier relationships
Stream facilitator:
Terje Hatlem
Jørn-Ivar Hellesnes
Statoil Management System - new solution for the future. Christian Solevågseide, CSO CMS
Residual risks, how to handle?
John Zhao, QRM Early phase
News from PIMS
ExTra, Risk and Monitoring
Tor-Arne Kongsgård, Experience coordinator, QRM, Arild Røksund, Omega, Xueyuan Chen, QRM
Stakeholder management,
Kari Hege Mørk, TNE Wind Sheringham Shoal
The role as Leading Auditor - professionalism, strategy and purpose, 1st party/2nd party - Rune E. Andersen, COA.
Break
Den Magiske formelen for Arbeidsglede Tore Holtskog fra Holtskog & Co
1900
Aperitif and dinner
Classification: Internal

28. Agenda day 2 before lunch
Continuous Improvement
Mutually beneficial supplier relationships
Stream facilitator:
Tor Brynildsen
Agathe Holmefjord
Introduction and welcome,
Magne Otterå
Importance of management system - practical group work/icebreaker
Facilitator: Raymond Rød, QRM Kvitebjørn Project
Increased focus on QRM Processes - How Statoil works with QRM,
Mads Hembre and Sidsel W. Storaas
Tools and techniques for team risk management,
Tore Solgård, QRM Troll B GI
Project Risk Management – an integrated approach for ensuring project success from feasibility and throughout project execution.
Paul Torgersen, Manager, Metier AS
Lunch
Classification: Internal

29. Agenda day 2 after lunch Continuous Improvement
Mutually beneficial supplier relationships
Stream facilitator:
Tor Brynildsen
Agathe Holmefjord
Creating a culture for Quality
Toyota Norge, Kjetil Jenssen, HR
Snack break
"Quality system audits" and "Examinations" - what are they and why are they important?
Oddbjørn Tolo, QRM Troll field
Use of Frame agreements
Thomas Aspelund, Category responsible, Piping and Valves Technical Equipment & Services
PRO PSR OPM Strategic Procurement Frame Agreements
Sum up, day 2, experience, improvement and next meeting
Classification: Internal

30. Participating in external boards, networks, seminars
Prosjekt 2009
Leading adv risk management : Speech
Energy Project Management 2009
Leading adv. risk management : Speech
Lifecycle Risk Management For Offshore Renewable
Risk Management: Speech
Kvalitetsdagene 2010: Leading advisor risk management : Speech
Local seminars NFKR: Speeches (Stavanger)
Presentation of Risk Mgt for different students (Stavanger, Trondheim)
Classification: Internal

31. Supporting universities/academia/corporate trainees, courses
MASTER STUDENTS
Several master students have had leading advisors as during the master thesis work
Camilla Knatten, Hanne Eng Sørlid, Valiander Shaila
These activities secure recruitment of young professionals into project control, provides good relations with academia and provide the leading advisor with new ideas.
PROJECT ACADEMY
Basic, Essential, Field Dev.
One day risk course (4 times a year)
Business Development – Risk Course
½ day risk based monitoring
½ day risk management GBS
PUS – Praktisk usikkerhetsstyring (Statoil, Telenor, Forsvaret, Vegvesnet, Jernbaneverket, Statsbygg) – research program
Several master students, 1 doctor Hans Petter Krane
Several workshops, forum days with involved partners (Statoil arrange 1)
Classification: Internal

32. Study of project risk management
7 different projects (onshore, offshore, ex Statoil, ex Hydro, StatoilHydro)
Risk reports
Interview with key persons in projects
Classification: Internal

33. List of activities Facilitate workshops, INT, TNE, PRO, GBS, UPN
Trained users in same areas
Uncertainty analysis, Valemon, SFLL, SN2040, (pilot use of IpresField)
Improved Homepage for Leading Advisors
INT BD risk coordinator
Support UPN – training, development of risk mgt in MPPx
Improved Stakeholder mgt
Aligned with WR2404, new revision of WR2404 coming soon
Early Phase risk management
Target Cost
Classification: Internal

34. Short history Risk PimsWeb Quality SuperVision WD Hydro Risk…
Changes after merger – Jan 2008
Some modifications
Revised gov. documents
Process oriented (Identification, assessment and action)
All new project with same platform – April 2008
Automatic aggregation
Standard reports
New general mgt. Process – Oct 2008
ISO standard & new definitions
Business process modelling
Network meeting
All on same platform – Nov 2008
Report Portal – Dec 2008
Risk Lite – introduction – Jan 2009
SuperVision WD
Hydro Risk…
Classification: Internal

35. Cont. short history Increased no of users PRO
Network meeting in April 2009
Implementation MPPx and other BA’s
August 2009 – R3
2010
Risk Extended
Total picture (business case and investment project)
Target Cost reflected in risk module
R3 Monitoring Module
Quality
HSE
Several revisions of risk mgt in projects
Classification: Internal

36. History and future
Classification: Internal

37. User activity
Classification: Internal

38. From web to R3 Risk module EXperience TRAnsfer module
Risk Management Module
Monitoring Module
Experience Transfer Module
Link supplier information
Risk module
EXperience
TRAnsfer
module
Supplier info.
Monitoring module
Classification: Internal

39. Adjustments… P1-25 P1-5 P5-25 P50-100 P50-75 P75-100
Classification: Internal

40. Aggregation of Risk Management
PRO Top 10 Risk Register2
PRO LED
PRO
PRO ONO
Bergen
Oseberg
Troll
Gullfaks
Other
Project A
Project B
Project C
Top 10 pr. cluster2
Business Cluster
Top 10 pr. unit2
Business Unit
Top 10 pr. field1
Field Projects
Every project have their top ten risk picture.
After Cut off date – risk picture imported to PRO Domain. Portfolio responsible plus controller select top ten for portfolio and PRO responsible and controller report top ten risk for PRO.
Project top ten risk are replaced after cut off with new. Existing risk and actions defined in PRO Domain continue.
PRO MOD have a level between PRO and project because of the large number of projects. Top ten from projects are imported into PRO MOD Bergen, Stavanger and Stjørdal. Each field can then have focus on their top ten and PRO MOD Bergen on their top ten. Number of risks reported up to PRO are then on a manageable level.
NB! There are no automatic aggregation – all assessments of relative top ten risks are done on actual (reported) level
Projects
Top 10 pr. project1
Classification: Internal

41. 41 41 Classification: Internal 2010-11-26
MPPx
MPPS
MPPB
MPPN
Statfjord
Snorre
Sleipner
Volve
Visund
Veslefrikk
Troll
Tordis
Oseberg
Kvitebjørn
Heidrun
Kristin
Njord
Norne
Snøhvit
Åsgard
Brage
Gimle
Glitne
Grane
Gullfaks
Heimdal
Huldra
Aker/ Reinertsen
RS2010
Keppel
Maersk
AOP
Seawell
Deutag/KCA
AOP tampen
SNOREV
Reinertsen
Aibel
Odfjell
Ved aggregering fra ”underliggende” domener vil all relevant identifikasjons informasjon bli aggregert opp til overliggende domener
Classification: Internal 41

42. Distribute risks Sub Project level SDT Project A Project B Project C
Project D
Classification: Internal

43. Risikostyringsforum
Risikostyring i Statoil U&P N Marianne Bjelland, HMS-direktør UPN
Status implementering av risikostyring Øystein Kolstad, HMS-leder MPPN
Erfaringer med risikostyring og PIMS web Kenneth Berge Larsen, Aibel
Erfaringer med risikostyring og PIMS web Robert Almås, AkerReinertsen
Pause
Erfaringer med risikostyring og PIMS web Bjørn Aksnes, Aker Solutions
1045 – 1100 Erfaringer med risikostyring og PIMS web Terje Hartveit, Oppdragsleder MPPS
Ny funksjonalitet i PIMS R3 Roger Reksten Stølsnes, PRO
Lunsj
Risikoidentifikasjonsmøte
– live performance Roger Reksten Stølsnes, PRO
Registrerte risiki
og aggregering på ulike nivå Berit Cock, HMS-leder MPPS
Pause
Se mulighetene i prosjektet Agnar Johansen, SINTEF
Oppsummering/ premiering/ veien videre Øystein Kolstad, HMS-leder MPPN
Classification: Internal

44. Aggregation MPPS- domenet Top – 10 Sleipner- domenet Snorre- domenet
Statfjord-
domenet
Statfjord A
Tilhører Statfjorddomenet
Statfjord B
Tilhører Statfjorddomenet
Statfjord C
Tilhører Statfjorddomenet
Sub Top – 10
AOP-
domenet
Seawell-
domenet
AOP-
domenet
Seawell-
domenet
Seawell-
domenet
AOP-
domenet
SFLL-
Domenet (PRO)
Prosjekt
i AOP-domenet
Risikoelement 1
Risikoelement 2
Classification: Internal
Classification: Internal Status: Draft

45. Ny domene struktur Forskjellige farger indikerer forskjellige domener
Viktig alle leverandører kan skille på installasjon i den enkelte domene
Classification: Internal

46. Arbeidsprosess for oppdatering av risikobilde i MPPX
Leverandør
Kontinuerlig jobbing med risikobildet
Definere Sub Top Ten pr.
1. Prosjekt
2. Installasjon
3. Domene
Ta ut Top Ten-lister som del av måneds- rapportering
MPPS
LED
Publisere MPPX risikobilde
Oppdatere MPPx Top Ten-risiki
Ta vekk markeringer i MPPX-domenet fra forrige periode for de aggregerte risiki
HMS-leder
Aggregere risiki til MPPX- domenet og Re-markere Top Ten fra forrige periode
Modifikasjons-
Sektorleder/
leder
Møte for å definere Top Ten for feltet (Statfjord etc.) og nominere Top Ten for MPPX-domenet
Markere nye Top Ten-nomineringer.
Oppdrags-
leder
Kontinuerlig jobbing med risikobildet
Gjennomgang av egne og aggregerte risiki, og markere Sub Top Ten for den aktuelle installasjon.
Aggregere risiki fra leverandør- domener til domenet for aktuelt felt (Statfjord etc.)
Super-
bruker
Classification: Internal Status: Draft
Classification: Internal

47. Thank you “the essence of project management is risk management”47
“the essence of project management is risk management”
Thank you
Risk Management – A picture of understanding and prioritization
Mads Hembre
Leading Advisor Risk Management in Projects
tel:
Classification: Internal