1. Benchmarking as a Best Practice
CII Annual Conference
Vancouver, British Columbia

2. My Objectives Define Benchmarking as a Best Practice
Discuss Value of Benchmarking
Establish Ease of Use
Gain Your Participation

3. CII Best Practice Validation
A defined process and method
Steps and activities
Comprehensive and overwhelming research study / finding
Validation through one of the following
Benchmarking & metrics
Member acceptance, use, and validation
Rigorous post-research validation

4. Benchmarking Is… Measuring yourself against the best relative to:
Performance Metrics
Cost
Schedule
Safety
Rework
Changes
Best Practice Use
Productivity
Planning and executing your improvement journey to “best in class.”

5. Part of a Continuous Improvement Journey
Implement
Best Practices
Conduct
Training
Measure
Results
Select
Implementation
Tools
Compare to
Competition
Identify Opportunities
to Improve

6. The Value of Benchmarking
Project Cost Growth
-10 %
-8 %
-6 %
-4 %
-2 %
1993
1994
1995
1996
1997
1998
1999
2000
2001
Project Cost Performance – Owners
~10 % improvement
SO WHAT ??? FOR ONE METRIC
WHAT ABOUT 7-10% LESS COST GROWTH ON AVERAGE IMPROVING INDIV. PROJECT RETURN ON INVESTM’T
WHAT ABOUT 7-10% MORE CASH TO INVEST AT YOUR HURDLE RETURN ON INVESTM’T
WHAT ABOUT GAINING THE CONFIDENCE & SUPPORT OF YOUR BOARD BASED ON PERFORMANCE

7. * OSHA Construction Division, SIC 15-17 Reflects OSHA Reporting Change
The Value of Benchmarking
Comprehensive research has proven its value.
Industry*
CII
7.10
14.30
14.20
13.00
12.20
11.80
9.90
9.50
8.80
8.60
8.30
7.90
13.10
10.60
7.19
6.12
5.32
4.31
3.44
3.00
2.66
2.30
1.60
1.59
1.67
1.03
1.02
1.23
1.19
0.00
2.00
4.00
6.00
8.00
10.00
12.00
14.00
16.00
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
325
413
477
497
527
613
644
770
518
765
995
936
1,117
1,073
1,140
Year and Work Hours (MM)
Total Recordable Incidence Rate
* OSHA Construction Division, SIC Reflects OSHA Reporting Change
What gets measured… gets improved!

8. The Value of Benchmarking
Improves project & company performance when used as an ongoing measure
Establishes improvement goals based on external/competitive benchmarks
Enables your company to understand & achieve “best in class” performance

9. CII Benchmarking Effort-Hours
Benchmarking Associate Training
8 hours/year
Project Benchmarking Kick-off
2 hours/project (new PM to CII Benchmarking)
Data Entry & Validation
Batch: ~4 hours/project
Continuous:
unnoticed effort for data entry
<1 hour/project for validation

10. Thought Break ? Please ask yourself the following ……..
Have we planned an effective continuous improvement journey?
Are we benchmarking?
With CII? ?

11. CII Benchmarking Participation
CII Benchmarking & Metrics participation
1,200+ projects input in 8 years
Worth approximately $60 billion
Over 70 owners and contractors have participated
New / re-energized companies benchmarking: 3M
Anvil Corp.
BE&K
CDI Engineering Group
Eli Lilly & Co.
Foster Wheeler USA Corp.
General Motors Corp.
General Services Admin.
GlaxoSmithKline
Johnson Controls
Aker Kvaerner
Rohm & Haas
WE HAVE GOOD PARTICIPATION BUT NOT TO MY STANDARD. LIKE THE ‘ZERO INCIDENT’ SAFETY PROGRAM, WE SHOULD HAVE ZERO MEMBERS WHO CHOOSE NOT TO BENCHMARK WITH CII.
WE ARE VERY PROUD OF OUR LIST OF NEW/RE-ENERGIZED COMPANIES

12. Benchmarking Is Easy at CII
Online
Large Project questionnaire
New Small Project questionnaire
Implementation Toolkit

13. Implementation Toolkit
Online
Assists in the implementation of Benchmarking
Training slides
Project selection criteria
Printable questionnaires
Executive and project level presentations demonstrating the value of benchmarking

14. Presentations Show the Value of Benchmarking

15. Summary Benchmarking …… best practice value to your bottom line
guide to “best in class” performance
easy at CII
requires your participation
What gets Measured Gets Improved !!!!

16. Benchmarking as a Best Practice
Benchmarking Implementation Sessions
Benchmarking as a Best Practice
Learn how to incorporate benchmarking into your project processes
See how member companies are gaining value through benchmarking
Review CII’s Benchmarking Toolkit – the implementation resource for CII benchmarking
Hear testimonials from companies using CII benchmarking
Get an update on the status of CII benchmarking
Location: Georgia B
Date/Time: Wednesday 4:30 - 5:30 p.m.
Session repeated: Thursday 9: :15 a.m.

17. Benchmarking Productivity
Benchmarking Implementation Sessions
Benchmarking Productivity
Report out on CII Productivity Metrics Retreat
Status on construction productivity data collection
Review CII engineering metric definitions
Discuss issues of benchmarking productivity
Learn how to get started
Location: Georgia A
Date/Time: Thursday 3:15 – 4:15
Session repeated: :30 – 5:30

18. Learn More Visit the Conference Display Area
Join our implementation sessions
Get involved!