Progress In Improving Project Management At The Department Of Energy

The Department of Energy (DOE) is engaged in numerous multimillion- and even multibillion-dollar projects that are one of a kind or first of a kind and require cutting-edge technology. The projects represent the diverse nature of DOE's missions, which encompass energy systems, nuclear weapons stewardship, environmental restoration, and basic research. Few other government or private organizations are challenged by projects of a similar magnitude, diversity, and complexity. To complete these complex projects on schedule, on budget, and in scope, the DOE needs highly developed project management capabilities. This report is an assessment of the status of project management in the Department of Energy as of mid-2001 and the progress DOE has made in this area since the National Research Council (NRC) report Improving Project Management in the Department of Energy (Phase II report) was published in June 1999.

The Department of Energy (DOE) is engaged in numerous multimillion- and even multibillion-dollar projects that are one of a kind or first of a kind and require cutting-edge technology. The projects represent the diverse nature of DOE's missions, which encompass energy systems, nuclear weapons stewardship, environmental restoration, and basic research. Few other government or private organizations are challenged by projects of a similar magnitude, diversity, and complexity. To complete these complex projects on schedule, on budget, and in scope, the DOE needs highly developed project management capabilities. This report is an assessment of the status of project management in the Department of Energy as of mid-2001 and the progress DOE has made in this area since the National Research Council (NRC) report Improving Project Management in the Department of Energy (Phase II report) was published in June 1999.

In 1997, Congress, in the conference report, H.R. 105-271, to the FY1998 Energy and Water Development Appropriation Bill, directed the NRC to carry out a series of assessments of project management at the Department of Energy (DOE). This report, the 2002 Assessment, is the second in that series. It presents an examination of DOE's progress in improving program management over the past two years and offers recommendations regarding project management methodology and project oversight.

In 1997, Congress, in the conference report, H.R. 105-271, to the FY1998 Energy and Water Development Appropriation Bill, directed the NRC to carry out a series of assessments of project management at the Department of Energy (DOE). This report, the 2003 Assessment, is the final one in that series. It presents an examination of DOE's progress in improving program management over the past three years including the Department's response to the recommendations of the previous assessments in this series. In addition to assessing DOE's progress, the report also describes opportunities for further improvement and gives a prognosis for future developments.

The U.S. Department of Energy has been at the center of many of the greatest achievements in science and engineering in this century. DOE spends billions of dollars funding projects-and plans to keep on spending at this rate. But, documentation shows that DOE's construction and environmental remediation projects take much longer and cost 50% more than comparable projects undertaken by other federal agencies, calling into question DOE's procedures and project management. What are the root causes for these problems?

In 1997, Congress, in the conference report, H.R. 105-271, to the FY1998 Energy and Water Development Appropriation Bill, directed the National Research Council (NRC) to carry out a series of assessments of project management at the Department of Energy (DOE). The final report in that series noted that DOE lacked an objective set of measures for assessing project management quality. The department set up a committee to develop performance measures and benchmarking procedures and asked the NRC for assistance in this effort. This report presents information and guidance for use as a first step toward development of a viable methodology to suit DOE's needs. It provides a number of possible performance measures, an analysis of the benchmarking process, and a description ways to implement the measures and benchmarking process.