Advanced Project Management Economics
- Understand the process of project capital budgeting, its context and importance for project-based organizations
- Distinguish and know how to apply in practice the key concepts of financial mathematics as the basis to evaluate capital project investment scenarios
- Implement in practice the main project evaluation and selection methods, including economic indices, scoring models and portfolio optimization
- Develop models to analyze and evaluate project scenarios for asset replacement versus asset improvement investments, using all the concepts and methods of capital budgeting, including the annuity
- Learn how to use in practice the estimating recommended practices from the AACE International of cost and schedule classification (18R-97 and 27R-03) based on the level of maturity of project definition
- Apply the Project Definition Rating Index (PDRI) from the Construction Industry institute (CII) (RR113-11) to measure the level of project definition
- Implement a comprehensive and integrated cost and schedule estimating process, including the risk contingency reserves, to ensure the required accuracy and predictability of capital budgeting and return on investment expectations
- Put in practice the main cost and schedule estimating techniques including range analysis, Monte Carlo simulation and parametric modelling
- Learn how to incorporate in the project budget the contingency reserve based on the risk register and risk quantification
- Master how to integrate the project scope definition, cost, schedule and risk contingencies into a consolidated project performance baseline (PMB) from where the project investment cash-flow and funding requirements can be derived with accuracy
- Understand the importance of updating the project capital budgeting analysis based on the project performance measures and project changes during project execution
- Recognize the different types of project changes and how to incorporate these into the project baseline, update the investment and benefits realization cash-flows, review the capital budgeting model of project evaluation, and monitor the variation of the expected Return on Investment (ROI)
Project management professionals and project oriented organizations are faced with the imperative need to manage, invest and implement projects at an increasing rate and with growing complexity and innovation. With this reality, several major challenges come along:
- How to ensure that the organization is optimizing its overall investment in the most valuable projects?
- And how to make those decisions auditable?
- How to take into account the various aspects of a project’s economic attractiveness as well as the non-economic impacts?
- How to make sure that the estimated investment based on which projects are selected for investment is accurate and predictable?
- And how to prevent unpredictable and adverse changes to the cash-flow and funding requirements?
- How to duly account for the ever-present uncertainty and risk in the project estimates and expected return on investment?
- How to properly account or the time-value of money, taxes and depreciation, in evaluating projects and the alternatives to manage the life-cycle of the strategic assets?
- Once a project enters execution, how to ensure that changes and project performance variations are proactively monitored and managed in order to update expectations of the return on investment and to maximize it where possible?
Project Economics and capital budgeting is the process by which organizations make strategic and long-term investment decisions on projects. Selecting and investing in the “right projects” amongst various mutually exclusive or synergistic alternatives is therefore a key priority for project-based organizations.
Making these business-critical decisions should follow a process that ensures efficiency, predictability and auditability of the investment, and therefore based on best practices and supported by appropriate tools and techniques.
This includes, at the very onset of the project, the use of economic indices of project performance, accurate and properly structured estimates of cost, time, benefits realization, risk analysis and contingency, and the resulting project cash-flow based on which the investment attractiveness is evaluated.
While this upfront process is aimed at setting a stable project investment scenario, once the decision is made and the project enters execution, changes and performance variations will inevitably occur, ranging from adversities that need to be mitigated to emerging opportunities that ought to be captured; the real-life story of the project will seldom unfold as initially envisaged.
Salvo Global’s 3-day master class will be providing the latest best practices, supporting tools and techniques on project economics. Delegates will be updated with the latest developments constitutes a key requirement for all project management professionals involved in managing, operating or influencing management and business decisions involving capital projects.
This course is intended particularly for all the professionals who are or will be responsible for controlling or supporting programs and large or complex projects, services and systems, including the following:
- Project Controls Manager
- Project Controllers
- Project Financial Controllers
- Earned Value Specialists
- Investment Risk Analysis
- Programme Directors/Managers
- Project Planners & Schedulers
- Risk Management Offices Staff
- Project Management Office Staff
- Project Team Members
- Cost Managers
- Cost Controllers & Engineers
- Project Sponsors
- Project Consultants
- Project Specialists
- Project Engineers
- Top Management
The Trainer is a distinguished project management expert with over 25 years of experience in delivering advanced project management training and consulting for clients across Europe and other parts of the world. Throughout his career, he has been delivering services for a wide range of international organizations, like Volkswagen, Motorola, Microsoft, BHP Billiton, NATO, Vale, PMI, British Aerospace, Repsol, Siemens, Bosch Group and many more.
He led and participated in major international projects where he also developed applied scientific research, particularly at British Aerospace (UK) having received , as a result of his work, the Mike Simpson Award (1996) granted by the prestigious British Association Operational Research Society (ORS). He also worked as a consultant and trainer for NATO in an initiative aimed at improving the project management process of NC3A, the NATO Consultation, Command and Control Agency.
He has been leading the implementation of Earned Value Management Systems for project and program control in multi-billion US dollars, especially in the energy, construction and mining sector. He is also a Senior Consultant with the Cutter Consortium (US), belonging to the Agile Project Management Practice.
He is a member of the Project Management Institute and a certified Project Management Professional. He was also a Chartered Member of the Portuguese Association of Engineering. He was the founding president of the PMI Portugal chapter and was a PMI Component member for the EMEA region during 2005 to 2007. He was an active member of the PMI teams that developed the 3rd edition of the PMBOK Guide and the 1st edition of the OPM3 model for organizational project management maturity assessment. He served for two consecutive years in the Congress project Action Team (CopPAT) for the EMEA PMI Global Congress that took place in Prague (2004) an Edinburgh (2005).
In 2009, he was named Project Management Ambassador by the PMForum, having joined the international PM Ambassadors speakers’ bureau. He was invited in late 2009 by the PMI to join the core team that developed the second edition of the PMI Practice Standard for Earned Value Management to Projects, Programs and Portfolios. In 2012, he was invited to become EVM Ambassador in Europe by the Earned Value Management Europe Association.
The Trainer has helped many notable organisations achieve improved performance through training and consulting advice. These include:
- NATO – Brussels and Holland
- Rio Tinto Mining
- European Patent Office (EPO)
- ADVA Optical Networking
- British Aerospace
- Natural Gas Fenosa
- British Petrol (BP)
- North Caspian Operating Company
- GASCO Abu Dhabi National Oil Company
- Portugal Telecom
- Bosch Group
- Dundee Precious Metals
- Pacific Rubiales
- Price Waterhouse Coopers
- Aeroportos de Portugal
- Aeroportos de Mocambique
- Hidrocarbonetos de Mocambique
- Arcelor Mittal
- Project Management Institute
- Casas Bahia
I would recommend any project management courses or briefing given by the trainer. He truly turned a course that could have potentially been an extremely dry topic into a positive experience."
The course integrated theory and practice with relevant examples. The interest of the instructor in adding knowledge aligned with our background. Full of practical and pedagogical examples. His experience and his way of teaching were a major benefit."
The training is very good & the trainer is very knowledgeable on topic. He entertains & answers the questions fully & satisfactorily."OIC, Division Head, EPMD
Very useful since we engage in the construction industry. Practical in nature."Operation Manager
Excellent instructor with complete mastery of the contents, and always available to clarify all questions raised by the participants."
You may always find good alternative trainers. But if you pick this you will always have a plus!"
Trainer absolutely top! With many years of practice. It is a long time since I did not attend such a quality seminar!"
The instructor presented the contents with clarity, demonstrated technical expertise and professionalism, and motivated the participants."
The instructor exposed the key concepts, explained and demonstrated in detail the most important concepts and techniques, formulated problems and stimulated the participants to solve these. My professional experience was considered in the way the course was conducted."
All information regarding the event will be listed on our event brochures. It contains all the necessary information such as the Investment Fee, Full Course Agenda, Top Learning Objectives, Trainer’s Profile, and more. You may request for an event brochure by:
a. Signing up on the Request for Brochure form located at the Event Page
b. Leaving a message to Sally via Salvo’s Support Message Box.
c. Sending an e-mail to email@example.com
You will be required to provide details such as your Name, Organisation, Corporate E-mail Address, Contact Number, and Country of Origin.
The exact hotel location will be made known to all delegates privately approximately 1 month prior to the commencement date. We do have preferential corporate rates at the event hotels. Interested parties may inquire at firstname.lastname@example.org or request for the event brochure. Delegates who have confirmed their participation with us will be contacted by our team as soon as a venue is finalised. Usually, we hold all our events in 5 star hotels based in the city centre.
Salvo typically provides a 10% discount from the original investment fee per delegate should a company send 3 or more delegates to attend the course. Specific discounts may differ for respective programs so please email email@example.com for further confirmation on the exact discount.
Aside from the group discount mentioned above, Salvo offers a special Early Bird Discount once a new event is released. However, delegates must register as soon as possible since the special rate will only be available for a limited time.
The Investment Fee will cover all the course documents and materials that will be used during the training, as well as luncheons and coffee breaks during the training program. The Investment Fee does not cover the travel and accommodation expenses of the delegates, however, we can assist you by providing details on the estimated cost for both. The Investment Fee is also exclusive of tax. Taxes are to be borne by the delegate’s organisation.
Once you receive a copy of the event brochure, complete the registration form which is located on the last page and send it back to us. Upon receipt of the completed registration form with authorization, we will proceed to block the seat(s) on our system for your organization. Thereafter, the invoice will be sent out by our Finance team for processing of payment.
Your payment can be made via Telegraphic Transfer or via Credit Cards through American Express, MasterCard, Visa or Diners. Bank charges and local withholding tax are to be borne by the registrant.
Full payment should be made within TEN (10) WORKING DAYS upon receipt of invoice.
Aside from the knowledge that our expert trainers are imparting, a Certificate of Completion will be issued to all delegates completing a minimum of 90% of the total hours of the course. Some of our events offer takeaways and free consultation after the course. It varies from programs to programs.
You will receive a pre-course questionnaire upon successful registration. Kindly state your specific concerns and issues on this questionnaire and send it back to us, as this will be consolidated and forwarded to the trainer during the formulation of the course agenda. Alternatively, you can also email us at firstname.lastname@example.org regarding your concern so we can be in touch to ensure that your concerns is addressed asap.
The registration form carries at least a 50% cancellation liability 6 weeks prior to the commencement date of the event after a signed sales resignation contract has been received by Salvo. If we are notified less than 2 weeks prior to the commencement date of the event, full cancellation fees is applicable.
With that said, we do understand that last minute changes do occur in organizations due to last minute change in schedule, job requirements etc. As such, please contact us soonest at email@example.com so we can assist in the best way forward for any changes.