With a capital program management solution, owners are considerably more engaged in the day-to-day management of their capital program portfolios. Engaged owners use the technology to track the progress of projects and programs within their portfolio from a single centralized resource, allowing for real-time insight and information for accurate and timely decisions.
With tightened budgets and the greater risk associated with the construction portfolio to the overall health of the business, an effective program management solution can provide the following benefits:
Increase Program and Project Success
Capital programs most often fail because of cost overruns, schedule delays, poorly defined requirements, a lack of standards and procedures and/or limited transparency on the individual projects within the broader program. A capital program management solution empowers organizations to plan and manage capital portfolios, programs, and projects from the earliest stages with greater efficiency, reducing risk, costs and schedule issues.
A critical component of the capital program management system is program level analytics based on predetermined KPIs (Key Performance Indicators). With KPIs, owners are able to view all projects, with an eye on overall capital program success. If red flags are identified at the program level, the owner can drill down to the project level to determine the cause and quickly implement corrective actions. For any owner builder, it is the individual projects that make up the overall portfolio and ultimately the success of the organization’s construction program.
Capital programs are typically high dollar investments. Managing the significant outlay of capital funds in a short period of time is a challenge that requires considerable and continual supervision.
“Proliance will save us close to $4M a year in construction management costs. That’s a pretty compelling ROI factor.”
Petter Melau, Business Technology Consultant, Baptist Health South Florida
A proven capital program management system provides proactive insight into ongoing operational costs across the program portfolio. It is the backbone to financial success of the overall program, allowing an owner to manage contracts, change orders and invoices, view costs and forecasts in relation to the budget, manage multiple budgets and release budgets when needed. The capital program management system is essential to managing the cash flow and change orders on every project. With insight into budgets, contingencies and the ability to run budget and cost analytics, an owner can identify red flags related to cost overruns and make quicker decisions to correct the issue.
Business Processes and Collaboration
A proven capital management program that offers industry standard workflows out-of-the-box or the ability to create workflows custom to an owner can reinforce best practices across the portfolio. Standard workflows designate the next task that needs to be done and the next person in line to take action. Managing information electronically with a predetermined workflow is particularly valuable for large programs or for multi-year programs, where many people and groups may come and go. With predetermined workflows and a consistent methodology, team members become productive as soon as they start working on a project.
In addition to improving project control, streamlining business processes provides more accurate reporting and communication among the team members, which helps identify potential risks early so decisions can be made with timely and accurate information – reducing unwelcome surprises.
Ensure Projects are in Strategic Alignment with Business and Program Objectives
Whether a healthcare institution looking to build new clinics or expand patient rooms or a utility district managing multiple water improvement projects and the construction of a new dam, all owner builders have one goal in common – to build assets that will help the overall organization improve, grow and meet stakeholder expectations. A program management system used in conjunction with cost-modeling ensures that new project budgets are set and tracked accurately and realistically.
Create an Archive for all Project Information
“The nice thing about Proliance Workflow is that a document can’t get lost. We require so many approval signatures on documents that it was easy to misroute things. Over the years, this has been a big problem for us.”
John Chorlog, Associate Director, Miami-Dade Water and Sewer Department
Creating an archive for past projects goes hand-in-hand with aligning business and program objectives outlined above. A comprehensive capital program management solution provides insight to historical information, archived in a single system and based on a common set of definitions. Access to historical data allows team members to mine data for planning, performance, audits and risk management analysis. Further, leveraging historical data enables predictable capital and project planning and accurate feasibility studies for future projects. Also in the case of staff turnover, all documentation is stored and easily accessible by new staff members.
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