Part 3: Argentina in the Spotlight: Monitoring and Controlling Project Performance Les Walker, CEO of PMC Corporation, is visiting selected company locations on his annual walk around tour. The tour allows Les to visit several of the corporations operations and get into the details of the projects in those locations. This tour is promoted as an opportunity for employees to get to know the CEO and express their ideas about how the company can improve. Everyone knows that this is also an inspection, so the operation needs to be in good order. Les will attend the SLA Project Review Meeting, where the project managers present the project data, discuss opportunities and issues, and resolve problems. Argentina has four active projects: two mining, one infrastructure, and one commercial. The Jones Mining Company has two ongoing projects in Argentina. Jones Mining has been a good client for several years, and Les Walker has a personal relationship with Mike Jones, president of Jones Mining. He will be having dinner with Mike Jones after the project review meeting.

Argentina Copper Mine Uno The Argentina Copper Mine Uno project is Jones Minings largest investment in South America and will represent 25% of the revenues in South America over the next decade. Jose Martin, the project manager, is considered one of the best project managers in South America and was requested by the client. The safety record is excellent with no loss time accidents, and the safety training program at the project site was recognized by the corporate safety manager as the best in South America. The monthly client surveys indicate a high level of satisfaction with the project team, communication, responsiveness, and overall approach to the project. The client highlighted the cleanliness of the project site as an example of the project team understanding the clients culture. The safety approach was also highlighted by the client as best in class. The local chamber of commerce recognized Jose Martin for establishing a training program in construction skills for local youth. The original budget for the project was $250 million. The current cost metrics for the project are: Planned Value (PV) is $90 million Actual Cost (AC) is $95 million Earned Value (EV) is $100 million Estimate at Completion (EAC) is $265 million

Argentina Copper Mine Dos The Argentina Copper Mine Dos project is a test project in a new region of Argentina to determine if there are greater opportunities in that area. If the project goes well and the region shows promise, Jones Mining plans to expand in this region. Glen Smith is a new project manager. This is the first time he is managing a project from the beginning of a project. The project had a serious accident when one of the workers fell from a platform, and the accident investigation indicated that the worker was not properly tied off.

The SLA region sent safety experts to conduct a project audit and provide additional training at the site. A second audit conducted 1 month later indicated all but three recommendations were fully implemented. The client survey indicated concerns. The client rated the project communication as extremely low because they had not been informed about the accident until after the safety audit. Also, there are several outstanding change orders, so a project review has been scheduled by Mike Jones. There have been no environmental fines or complaints. The original budget for the project was $15.1 million. The current cost metrics for the project are: Planned Value (PV) is $13 million Actual Cost (AC) is $15 million Earned Value (EV) is $12 million Estimate at Completion (EAC) is $15.5 million

Catamarca Bridge The Catamarca Bridge project is the design and construction of a major highway bridge in the state of Catamarca, Argentina. This is the first infrastructure project for PMC Corporation in Argentina. This is an opportunity for the SLA region to develop a reputation for high-quality construction and also establish a relationship with decision makers. The state of Catamarca has plans for several major road and bridge projects in the next 10 years. Sarah Lopez is an experienced infrastructure project manager in the United States, but this is her first project in South America. The project team developed new partnerships with local companies and suppliers in Catamarca. There have been no safety issues on the project. Ms Lopez is working closely with the mayor of Catamarca to address local complaints about the dust caused by the bridge construction. The client surveys indicate general satisfaction with project performance, but the client feels that Sarah could improve communications management. The original budget for the project was $230 million. The current cost metrics for the project are: Planned Value (PV) is $74 million Actual Cost (AC) is $76 million Earned Value (EV) is $75 million Estimate at Completion (EAC) is $233 million Shell Oil Office Building

The Shell Oil Office Building project resulted from the ongoing relationship between PMC and Shell Oil. PMC does billions of dollars in projects for Shell Oil around the world. Shell contracted with PMC to build corporate headquarters and an office complex. The project is almost complete with no safety concerns and the client seems very satisfied. The client praised the project for designing the building to meet the Green Building Standard as recognized by the Green Building Initiative. The project manager, Jose Pena, has requested to be transferred back to Chile. Jose has recommended that the assistant project manager be promoted and complete the project. The original budget for the project was $17 million. The current cost metrics for the project are: Planned Value (PV) is $16.7 million Actual Cost (AC) is $16.9 million Earned Value (EV) is $16.9 million Estimate at Completion (EAC) is $17.1 million Argentina Project Performance Report Project Name Project Manager Project Status: Red, Yellow, or Green Red: Needs immediate attention of SLA and industry leadership Yellow: Issues have emerged, and SLA operation manager should be involved Green: No significant issue Schedule status: Provide SPI and discuss implications Cost status: Provide CPI and discuss implications Risk assessment: Evaluate current risk status Client relations: Evaluate current status of relations with the client Major issues: Summarize project issues and concerns, including management response Opportunities and alignment with SLA region goals: Opportunities for project improvement Opportunities for the SLA region PMC Corporation CEO Les Walker is coming to Argentina and will attend the monthly project review. The SLA region senior vice president will also attend and does not want any surprises. The project review meeting will focus on the portfolio of four current Argentina projects. For this Assignment, read Part 3 Argentina in the Spotlight: Monitoring and Controlling Project Performance in the PMC Corporation Case Study.

Prepare a status report for the four Argentina projects presented in the case study.

The content requirements for the status report are provided in the case study. Prioritize the projects according to their current contribution to the SLA Region goals based on your analysis of the performance of each project.