My supplier of signage lies too much about deliveries and does not give accurate timeline for deliveries of items for a major project. What can I do to maintain as much as possible the project deadline? Saving Changes...
Have a good contract from the very start. This can not be stressed enough that every issues you are experiencing now should have been clearly defined in the contract along with penalties (on both sides) of certain agreements on service are not met. Saving Changes...
I think you are stuck with them, I hate to say that usually this type of suppliers in the Middle East will be involved with Proc people with sort of kickback payments and you have to live with it. I think I have allergy with Procurement people in the Middle East. The only criteria is the price or kickback money .. We have to put on always with the poor quality of the procurement mentality and dirty games. I am not generalizing, but really some of them are like this.. Saving Changes...
Sergio Luis ConteHelping to create solutions for everyone| Worldwide based OrganizationsBuenos Aires, Argentina
Suppose you have a work package and you have detailed activities that belongs to that work package. What I learned from my years of experience is that to control progress at detailed activities is a wasted of time (generally speaking). So, what I do is to control elapsed time vs work performed at work package level. With focus on risk I have green/yellow/red indicators about the progress. BUT it does not mean that the supplier has to achieve the deadline. When a schedule is agreed with the supplier they must achieved that. We tried to develop win-win relations. It does not mean that we do not have means to activate things like penalties.
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1 reply by Omar Haddad
Apr 22, 2018 7:43 AM
Omar Haddad
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Thanks Sergio. Can you please elaborate about controlling the elapsed time and the risk indicators. I liked these 2 statements.
Suppose you have a work package and you have detailed activities that belongs to that work package. What I learned from my years of experience is that to control progress at detailed activities is a wasted of time (generally speaking). So, what I do is to control elapsed time vs work performed at work package level. With focus on risk I have green/yellow/red indicators about the progress. BUT it does not mean that the supplier has to achieve the deadline. When a schedule is agreed with the supplier they must achieved that. We tried to develop win-win relations. It does not mean that we do not have means to activate things like penalties.
Thanks Sergio. Can you please elaborate about controlling the elapsed time and the risk indicators. I liked these 2 statements.
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1 reply by Sergio Luis Conte
Apr 22, 2018 10:40 AM
Sergio Luis Conte
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Briefly speaking is this. As part of its strategy organization must define the risk threshold they are willing to accept. They will give you when things are green/yellow/red regarding to risk. We make a relation between the amount of work done and threshold to decide the color of the status and to fire actions. Additional to that we work making a relation between work done and remainder time. For example, is you have 50% of remainder time but you have 30% of work done (so, you have 50% of time to do 70% of the work) then you have to say me what actions you will do to achieve the objective.
Saving Changes...
Lenka PincotChief of Staff to the CEO| Project Management InstituteParis, France
Hi Omar, lot of good points here already. I would just add that sometimes the contract states obligations on your side as the customer. I always watch these very closely because when the supplier gets in difficulties they may try to blame it on unsatisfactory customer performance, e.g. inputs not provided on time or with poor quality. To deal with that you have to manage your team very well. Sometimes also helps to have regular higher management meetings that supervise the project where PMs from both sides are present and report to management. Issues are highlighted and discussed. The point here is that you can manage a bit information that the external PM is providing to their management about progress and such. Higher management has typically the interest to manage relationship smoothly and to ensure good project performance. But involving them when the significant issue already occurred may be too late and the blame game will not be avoided.
But ultimately the best would be if the supplier is integrated in your team and shares the same goals as you. I can imagine it can be very difficult. But possible if there’s the right company culture present. Whenever the entire team is not managed as a big team but people are taking sides then it leads to finger pointing and it’s not efficient. Saving Changes...
Sergio Luis ConteHelping to create solutions for everyone| Worldwide based OrganizationsBuenos Aires, Argentina
Apr 22, 2018 7:43 AM
Replying to Omar Haddad
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Thanks Sergio. Can you please elaborate about controlling the elapsed time and the risk indicators. I liked these 2 statements.
Briefly speaking is this. As part of its strategy organization must define the risk threshold they are willing to accept. They will give you when things are green/yellow/red regarding to risk. We make a relation between the amount of work done and threshold to decide the color of the status and to fire actions. Additional to that we work making a relation between work done and remainder time. For example, is you have 50% of remainder time but you have 30% of work done (so, you have 50% of time to do 70% of the work) then you have to say me what actions you will do to achieve the objective. Saving Changes...
Require the signage delivery much earlier than required in your schedule to allow for his delays.
Believe I'm already doing this and still have delays Saving Changes...
Tamer Zeyad SadiqAssistant Cost Manager| Turner & TownsendRiyadh, Ar Riyad, Saudi Arabia
As per Riyadh said! it's a big challenge when you control various of subcontractors!!! you should first make issue in issue log and notify with stakeholder how manage and control subcontractors for releasing invoicing? when? whose people control them? Make responsibility assignment matrix for managing these people!! after that, present this resolved issue to other stakeholders by e-mail to keep informed and engaged to review their performance regularly!!!!! If there isn't solved, you can escalate this issue with top management!!! This is cummunication managment is very importanat how to solve problem? which method? how translate your ideas to others? An
And also, you should coordinate with procurement department to attend the meeting for this issue!!! Saving Changes...
