Ensuring Success of Demonstration Projects for the Office of Clean Energy Demonstrations

1.   Background

Argonne National Laboratory has been selected by OCED to provide an independent review and assessment of its current and planned future management and operational approach to fulfilling its project management oversight mission.  The effectiveness of OCED’s programs depends on close partnerships with its awardees, how well technical, integration, and other cross cutting project risks are managed, the extent to which emerging risks, issues, and challenges are identified and resolved.

In this project, Argonne seeks additional support from the vendor to review OCED’s Project Management (PM) Division, Independent Data Engineering and Analysis (IDEA) Division, and their interactions.

2.   Scope

The vendor will support Argonne to review OCED’s core mission, PM oversight requirements, organizational structures, current and planned operating approaches. The team will provide feedback on the current scope of operations and make recommendations to improve future operations and ensure PM Oversight approaches meet federal oversight responsibilities and facilitate successful commercial demonstration projects. If appropriate, the project team can and should recommend development and/or implementation of analytical capabilities to facilitate effective risk informed oversight.  The tasks as well as the deliverables to Argonne are described below.

3.   Tasks

Task 1: Risk Informed Project Management Oversight

Argonne is assisting in developing a risk informed, tiered oversight model for a wide range of prospective projects that will vary in complexity, investment needs, and impacts. OCED views its PM oversight role as first and foremost a partnership with its projects and intends to gauge the level of substantial involvement in project operations based on a variety of factors including but not limited to project risks, technological maturity, capabilities of the project teams, and impacts to the surrounding communities.

Argonne and the vendor will support integrated PM oversight for seamless integration between PM Division and IDEA Division such that the roles and responsibilities are clearly delineated, PM teams have access to technical and engineering resources as and when needed, and that the IDEA team is able and prepared to provide the needed expertise.

Deliverables:

• 1.1 Identify key execution readiness and risk evaluation criteria for each critical program with specific owners / responsible parties for data gathering
• 1.2 Initial database of risks, each risks evaluation criteria, and the responsible party for managing each risk for each program
• 1.3 Refined initial design of the future state operating model across work stream

Task 2: Investment Decision Structure and Analytical Support

OCED project awards are designed with a project specific phased structure. Phases nominally consist of (1) project planning, (2) detailed design, (3) construction, (4) operations. Projects also have a pre-phase 1 negotiation period and a post phase 4 close out period. Between each phase OCED will assess project progress and likelihood of long-term success (potentially inclusive of external factors such as technology maturation, market development and/or industry lift-off), and decide if continued investment in the project is warranted.

Using guidance from the sponsor related to underlying policies, processes and procedures for these decision points, Argonne and the vendor will provide a variety of decision structure options to ensure investment decisions are informed across all relevant criteria, technically sound, balanced and unbiased, and consistent with commercial and private sector practices.

Deliverables:

• 2.1 Wireframe design of how advanced project analytics models or other analytical methods could be used to support fact-based decision making and guard against human bias
• 2.2 Design of how an independent Value Assurance / Risk Mitigation team could be utilized to perform a challenge review or assessment of the most critical projects

Task 3: Demonstration & Deployment Advisory Board Oversight

OCED is responsible for standing up DOE’s Demonstration and Deployment Advisory Board (DDAB) structure and oversight posture. Once operational, IDEA Division will be the primary facilitator and executive secretariat responsible for facilitating independent project reviews of both OCED and non-OCED projects, as well as DDAB operational logistics, reporting, and issue tracking. DDAB has oversight responsibilities for all large-scale demonstration and deployment projects funded via financial assistance and exceeding $100M in federal cost share.

Argonne will work with the vendor to provide its sponsor with recommendations and options regarding oversight models that leverage its expertise and capabilities developed for this broader oversight role, ensuring effective and efficient use of resources, and institutionalizes practices that lead to improved execution of demonstration and deployment projects across the Department.

Deliverables:

• 3.1 Codified project risk tiers based on project size, complexity, mission objectives, and risk
• 3.2 Specific governance and oversight model for each identified tier (including core stakeholders, cadence, structure, responsibilities, and intervention mechanisms)
• 3.3 Approach to interface with key sponsor groups (e.g., Project Management) and across the broader DOE complex (e.g., Office of Environmental Management, NNSA) to ensure effective deployment of finite DOE resources and collaborative development of best practice models
• 3.4 Refined future state operating model design, incorporating lessons learned and improvement ideas

Task 4: Crosscutting Technical, Engineering, and Analytical expertise and other Analytical Support

Argonne will work with its sponsor to provide inputs on and recommendations for needed technical, engineering, and analytical expertise and capabilities needed to integrate with its broader PM oversight approach and support decision making. The integrated project management approach will depend heavily on the underlying targeted and fit for purpose technical and engineering expertise and analytical tools leveraged and/or developed to support PM Oversight. It is critical that the recommended technical and analytical approach is focused on project success and PM Oversight needs but leverages DOE’s deep technical expertise, as well as specialized 3rd party expertise such as financial advisory and independent engineering firms.

Deliverables:

• 4.1 Detailed performance management system design codifying the decision criteria, framing, analytics, and escalation approaches to determine actions in response to the above metrics, tools, triggers, etc. in a manner that reduces human bias
• 4.2 Intervention approaches tailored to the sponsor specific context and project or program needs
• 4.3 Resourcing and capabilities needed for success
• 4.4 Potential roadmap for building sponsor capabilities

Task 5: Iterate, Pilot and Support

Argonne will assist with establishing site specific performance management systems including specific metrics, enabling tools and supporting performance management dialogues (e.g., plan for the week, the day…) as well as implement site specific reporting definitions and mechanisms, including triggers fore increased DOE support including request for SWAT/Booster team support.

Argonne will work with the vendor to provide programmatic planning support as well as centralized headquarters performance management systems to act as a single source of truth across its portfolio, ensuring consistent monitoring of key metrics and reporting. The vendor will work with Argonne to support 2-3 projects

Deliverables:

• 5.1 Document technical assistance to proactively safeguard key activities, respond to warning signals of project risks
• 5.2 Document project cost and schedule assessment
• 5.3 Potential roadmap to expand the sponsor capabilities

4.  Delivery

The proposed work involves providing support services and products in the area identified in Section 3.  Schedules for delivery will be specified in task assignments by Argonne.  This will be communicated through a kick-off meeting with the Vendor’s team.

5.  Security Requirements

Any work performed at a DOE facility is subject to applicable site and digital access requirements of the facility.

6. Government-Furnished Property

There will not be any Government-furnished equipment provided under this contract. Certain data furnished to the contractor may be considered Government-Furnished Property and will be subject to Exhibit A to this Statement of Work, “Handling of Sensitive Unclassified Information”.

7. Place of Performance

The majority of work is expected to be completed at the contractor’s offices and facilities, or project work locations.  The contractor may be required to provide support at meetings at locations to be determined.

The anticipated travel requirements (which are subject to change and will be determined and approved by the Argonne Technical Representative) are for 2-3 Contractor employees to make two (2) trips each to Washington, DC for project kickoff and wrap-up.