The consistent use of the Opportunity Realisation Process (ORP) will deliver world-class projects. However, the process is underpinned by ten guiding principles that must be adopted by opportunity/project teams if they are to obtain all the value that the process has to offer.
- Value Focused
Teams must maintain focus on the opportunity key value drivers. ORP Phases 1-3
(Identify & Assess/Select/Define) focus on identifying & maximising value, referred to as
Front-End Loading (FEL). Phases 4 and 5 (Execute/Operate) focus on maintaining and
realising value. From past experience at Shell, it is critical for teams to consider the true
commerciality of the opportunity in all its aspects. Linking the opportunity and its
commercial decisions with the “traditional” project decisions (e.g. schedule, execution
strategy) much earlier than was often the case is then crucial if the optimum value is to
be realised.
2. Project Managed
Project Management is defined as the application of knowledge, skills, tools and
techniques to project activities in order to meet or exceed stakeholder needs and
expectations for a project. Project Management, which applies structured cost, schedule
and quality processes to all work activities, must be seen by all involved as applicable to
all the ORP Phases, not just Phase 3 – Define, and Phase 4 – Execute.
3. Team Based
The use of correctly constituted, multi-functional opportunity/project teams (the Work
Team) is essential for arriving at the quality of deliverable that will, firstly, allow decisions
to be made to move forward with the project and will, secondly, maximise the value of
the opportunity. Involving the right competences and the right stakeholders at the
right time enhances project outcomes. A more detailed definition of what is meant by
“Team Based” is given in Figure 2.6.2 below.
Figure 2.6.3 is an example of how the Work Team Resources might vary by phase and
function for the Exploration/Development ORP customisation.
The above matrix is not exhaustive. It is provided to indicate the type of cross functional
involvement that you should aim for when progressing an opportunity. It is essential that
key stakeholders are involved early.
4. Decision Driven…..Not Activity Driven
In general, do only the work necessary to support the next milestone decision. The use of
ORP enhances communication between Work Teams and Decision Makers that results
in improved quality of input to the Decision Maker (decision quality). The process is
driven by decision check points.
5. Consistency
Consistent use of the ORP and the ORP Toolbox improves efficiency, fosters improved
communication and defines the “Shell Way”. Improved efficiency and communications
will be realised with an established process, language and a consistently applied process.
6. Full Life Cycle
When making either technical or commercial decisions, always consider the full life cycle
of an opportunity from identification through value realisation in the operating phase.
7. Buy-in/use of the process at all levels
With management commitment, more rapid deployment of the process within
companies will enable quicker and widespread improvement in project performance.
This will allow improved efficiencies through use of common language and process
across the whole of Shell EP.
8. Benchmarking performance and share lessons learned
Process performance, as well as cost and schedule performance, needs to be enchmarked
and the rate of improvement measured. Sharing lessons learned across the organisation
will create synergies and improve overall process performance.
9. Customisation
ORP is a process tailored by each team to meet its specific needs. The process should be
used in conjunction with and build on existing Company systems
10. Lessons Learned
The VAR Process requires that teams show that they have learned the appropriate lessons
from previous similar situations. Research shows that those teams that are open to
learning from external sources do much better than those that “Know it all”.