Introduction to GRIP Governance for Railway Investment Projects
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1 Introduction to GRIP Governance for Railway Investment Projects Document Ref Status Document Owner Date Published GRIP/Intro DRAFT Mike Wright
2 Introduction Network Rail operates in a complex environment where investments can be funded, procured, and delivered in a number of ways. These range from schemes funded, managed, and delivered wholly by Network Rail to those schemes where such activities are partly or wholly undertaken by third parties. Network Rail has an important role to play regardless of approach. As infrastructure manager of the national rail network, Network Rail plays a vital role in verifying that all schemes are compatible and integrated with existing railway operations. This guidance document has been written to provide you with an introduction to Governance of Railway Investment Projects (herein GRIP) Network Rails project lifecycle and governance framework. Purpose of GRIP GRIP describes how Network Rail manages and controls projects that enhance or renew the national rail network. We have developed this approach to managing projects in order to minimise and mitigate the risks associated with delivering projects. Providence GRIP v1 was written and released in 2003 as a guidance document to support effective project management; in 2010 GRIP was further updated and published as a Standard. GRIP was not invented from the ground up but based on industry best practise with significant guidance and input from Association of Project Management (APM), Chartered Institute of Building (CIOB) and importantly Office for Government Commerce PRINCE2 project delivery framework. Developed by UK Government PRINCE2 is recognised as the global standard for project management. Adopted and tailored by organisations globally for the delivery of projects PRINCE2 was the obvious choice for developing GRIP. GRIP was developed to provide a tailored PRINCE2 framework suitable for the rail industry.
3 Core Principle of GRIP The GRIP Lifecycle All projects that require investment authority will follow a standard lifecycle A project can only be in one stage of the lifecycle at a given point in time Lifecycle stages are aligned to key decision points through the development, delivery, and handback of the project There is a clearly defined process for progressing through the stages The GRIP Product Deliverables Processes GRIP focuses on what needs to be delivered during and at the end of each stage of the lifecycle GRIP deliverables are referred to as Products Each Product has a clearly defined RACI for the development, sign off, and consultation The GRIP Product Index defines which products are needed during the GRIP Lifecycle and at which stages they are applicable Are only specified where they are : o statuatory o there is clear agreement across the business that there is a single best practise process that should be followed Flexibility GRIP is intended to be used flexibly within the context of these principles and in a way determined appropriate for the effective and efficient delivery of the individual project.
4 Tips for the Effective Application of GRIP Successful delivery of projects and realisation of their intended benefits is often a complicated and demanding task that needs to be managed with expert guidance. Successful projects are not delivered by simply producing documents, asking for comments on them, and signing them off. GRIP was designed not only to provide assurance but with a primary objective to also assist project teams in managing projects, products should be considered in most instances live documents that should be regularly reviewed and updated according to the progress and performance of the project. The application of GRIP will provide limited or no value to the Project Manager who simply views it as a tick box exercise where products are produced, stored, and archived. Please Do See GRIP as a useful tool for the delivery of your project and not as a beauracratic barrier Think about what outcomes the GRIP Products are intended to deliver and not just when they need to be produced Simply view GRIP as a tick box exercise Apply it too rigorously for the project you are delivering Focus solely on achieving a succesful Stage Gate Review. Focus on the outputs and outcomes of the GRIP Stage the project is in using the GRIP Products to assist, successful Stage Gate Reviews will follow. Please Don't
5 The GRIP Lifecycle Output Definition Pre Feasibility Option Selection Single Option Development Detailed Design Project Close Out Scheme Handback Construction Testing & Commission GRIP comprises 8 stages from definition of required outputs through to handover for operational use and close out of the project. Each stage is designed to deliver a pre determined set of outputs that demonstrate the readiness of the project to progress, or otherwise, to the next stage. GRIP Stage Aim Main Output To define the output for the project. For example, increase line capacity or reduce train delays. Define the scope of investment and identify constraints. Confirm that the outputs can be economically delivered, and are aligned with organisational strategy. Develops options for addressing constraints. Assesses and selects the most appropriate option that delivers the stakeholders requirements, together with confirmation that the outputs can be economically delivered. Defining the needs and requirements the problem or opportunity through stakeholder consultation. Identifying solutions in response to the requirements. Single option determined and stakeholder approval to option approved through Approval in Principle (AIP). 4 Initiation of the development of the chosen single option. Reference/Outline Design. 5 Produces a complete, robust engineering design that underpins definitive cost/time/resource and risk estimates. Full design to which the project will be built.
6 GRIP Stage Aim Main Output 6 Delivery to the specification and testing to confirm operation in accordance with design. Project built, tested and commissioned into use. 7 Transfer asset responsibility from the project team to the operator and maintainer. Project handed over to maintainer or operator. 8 Closeout in an orderly manner. Contractual accounts are settled, and any contingencies and warranties are put into place. Assessment of benefits carried out. Project formally closed out and project support systems formally closed. Once initiated any Network Rail project that requires Investment Authority (IR01, Investment Regulations, is available on Connect) enters the GRIP lifecycle. Projects can only be in one stage at any point in time and in most instances the project will move through all 8 stages. It is however recognised that not all projects are the same and in certain instances it may be appropriate to combine stages. Where stages are combined : the decision to combine stages must be agreed by both the Project Sponsor and Project Manager the Project Manager must agree with the Project Sponsor what to do with the product deliverables required of the combined GRIP stages. Normally the delivery of these products should be moved to the end of the combined stage.
7 GRIP Products and the Product Index GRIP is a product based lifecycle and focuses what needs to be produced or updated at each stage. The deliverables required at each stage of the lifecycle are referred to as GRIP Products. For example the Project Management Plan, Feasibility Report, and Site Waste Management Plan are all GRIP Products. They are the things which a project must produce in order to effectively plan, manage, and progress a project. Standard definitions are being developed for all GRIP Products which will be fully available in Summer These standard definitions are called GRIP Product Descriptions and include : Link(s) to a template Purpose of the product Applicability, is the product mandated for all projects, a legal requirement, or dependant on scope? Quality Criteria Roles and Responsibilities Where appropriate some products also contain links to mandatory process. Product Flexibility The decision as to whether or not a Product is produced for a project is part of the management of the stage. The project manager and their team should review each product and determine for their project whether it is : required fit for purpose, and whether the level of detail required by any given template is appropriate to the size and/or complexity of the project. The decision to omit Products is in a by exception basis and must be : agreed with the Project Sponsor recorded on the Stage Gate Checklist with justification.
8 Managing GRIP Stages Stages are managed on a PLAN DO REVIEW basis : Identify which GRIP products need to be produced and record on a Stage Gate Checklist PLAN Before The Stage Identify and record any GRIP products which are not applicable and agree with the Sponsor Produce a plan for creation of the products Agree with the Sponsor Manage the stage according to the plan DO During The Stage Produce, review, and update products Consult on products Ensure products are signed off by the relevant party(ies) Review products delivered against the Stage Gate Checklist REVIEW At The End of The Stage Review time and cost to plan Perform a Stage Gate Review and complete a Stage Gate Certificate (where required) Obtain Investment Authority
9 Project Assurance Governance of projects is achieved through : Project Assurance Investment Authorisation Roles and Responsibilities Project Assurance is the basic framework of controls that provide assurance to Network Rail and our stakeholders that the project is being delivered in a controlled way in accordance with the direction of the Sponsor. Assurance controls within project delivery include : Regular Reporting see Project Automated Reporting (PAR) on Connect Sign Off of products by the appropriate person as they are produced Stage Gate Reviews (herein SGRs) Peer Reviews Regular Reporting The Infrastructure Projects Finance Directorate defines and supports a schedule of regular reporting through PAR that must be completed. The Project Manager is accountable for ensuring that reports are completed on time and those sources of information and data for generating reports is reflective of the projects current position.
10 Project Assurance Stage Gate Reviews SGRs provide assurance that : the stage has been completed within agreed tolerances GRIP and the wider project controls framework has been followed the project is ready to proceed to the next stage The minimum number of stage gate reviews for a project is determined by the projects Level of Control assessment. Level of control is a risk based complexity assessment (see Level of Control on Connect). The Network Rail Level of Control (LoC) assessment is used to assess the risk complexity of the project by reviewing Project Delivery risk factors Impact on the operational rail should the project fail to deliver the desired outcomes (ie Safety, Performance) Impact on Network Rail reputation and the image of the company should the project fail to deliver LoC 1 Formal SGRs at the end of stages 1, 3, 4, and 7 LoC 2 Formal SGRs at the end of stages 1, 3, 4, and 7 LoC 3 Formal SGRs at the end of stages 3 and 7 LoC 4 Formal SGR at the end of stage 7 SGRs are further mandated where a project is required to go for Investment (re )Authority before commencing the next stage. It is recommended that Project Managers also complete a local Stage Gate Review at interim points in the project lifecycle where a formal Sponsor approved gate is not mandated.
11 SGRs are evidence base reviews that are intended to draw upon the product deliverables that the project has produced during the stage. Who Attends the Stage Gate Review? The minimum attendance at a SGR is the Project Sponsor and Project Manager. These roles may only be delegated under exceptional circumstances. For more complex projects or where significant risk has been identified during the preceding stage it is recommended that the SGR is attended by discipline specialists, such as Safety and Risk, to provide additional assurance to the Sponsor should they require. What is Assessed at a Stage Gate Review? For the stage being completed the SGR should confirm : The project risk register is up to date and mitigating actions have been assigned to owners The products produced in the stage are completed and signed off by the appropriate accountable person Variances from planned products are understood and agreed by the Project Sponsor For the next stage the SGR confirms : That the Project Manager has identified, and Project Sponsor approved, the products that will be delivered There is a plan in place for delivering the products The resources required to deliver the plan have been identified. The SGR does not : Seek to review every single product produced for the stage. This is done as part of the quality assurance when products are signed off during the stage Make any assessment of the continued need for the project; this is done by the investment authorisation process.
12 Outcomes of the Stage Gate Review shall be recorded on the Stage Gate Checklist, once approved by the Project Sponsor this is signed and becomes the Stage Gate Certificate demonstrating the projects readiness to proceed. Products delivered are awarded a category according to the following criteria which will determine if the project may continue into the next delivery stage : Category Status Impact on Project A Product delivered The project can continue to the next stage B C N Product delivered but requires Modification Product undelivered, or not delivered to a satisfactory standard Product no longer required The Project can continue to the next stage, but an action plan shall be put into place by the Project Manager to demonstrate that the Product will be delivered within the stage. The action plan and completion of the Product shall be monitored by the Client The Project shall not continue to the next stage until the Product is delivered to a satisfactory standard and a Stage Gate Review is re conducted and passed The Project shall continue to the next stage, but the GRIP Stage Gate Checklist shall be updated to state why the Product is no longer necessary Peer Reviews GRIP recommends that projects are peer reviewed at appropriate stages throughout the delivery of the project. Peer reviews form part of the Delivery Directors Level 1 self assurance regime and should be scheduled in accordance with local policy according to your business area. Peer Reviews are independent reviews in which project managers from outside the project use their knowledge and experience to review the likelihood of successful delivery of the project. Peer reviews provide assurance and support to the Project Sponsor and Delivery Director that : Suitable skills and experience are deployed on the project All stakeholders understand the project status and issues There is assurance that the project can progress to the next phase Time and cost targets have a realistic basis Lessons are learned The project team are gaining input from appropriate stakeholders
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