Sustainability in Project Management PDF

Euro MPM Introduction to Sustainability and Project management Introduction to Sustainability and Project management Chapters: Sustainability Sustainability and project management MODULE:Sustainability LECTURER:Maider Iturrondobeitia Euro MPM  Euro MPM Introduction to Su...

Euro MPM Introduction to Sustainability and Project management Introduction to Sustainability and Project management Chapters: Sustainability Sustainability and project management MODULE:Sustainability LECTURER:Maider Iturrondobeitia Euro MPM  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability "Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs.“ Brundtland Commission of the United Nations (March 20, 1987)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Some broad concepts and terms  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Triple Bottom Line (Elkington, 1999): an organisation’s results should be measured in terms of inter-related Environmental, Economic and Social dimensions  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Life Cycle Management (Labuschagne et al, 2005): Management of various processes forming a product life cycle flow. Three different life cycles (Project’s, Asset’s, Product’s)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Corporate Social Responsibility (several): safe, respectful, liberal, equitable and equal human development, contributing to humanity and the environment  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Global Report Initiative: Global Reporting Initiative (GRI) was born to standardize reporting on Environmental, Social and Governance (ESG) matters, under the main objective of transparency and the Triple Bottom Line (TCR) as a philosophy.  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability principles  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability principles… Values and Ethical consideration Holistic approach Long term view Large spatial and institutional scale Risk reducing Participation and capacity building Accountability Transparency Stakeholders interests  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Values & ethics An organization should behave ethically, should be based on the values of honesty, equity and integrity, and should actively promote ethical behaviour. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Holistic approach In order to contribute to sustainable development, a company should satisfy all 'three pillars' of sustainability - social, environment and economic-. The dimensions are interrelated, that is, they influence each other in various ways. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Long term view A sustainable company should consider both short-term and long-term gains. This principle focuses the attention to the full lifespan of the matter at hand. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Large scale Ecological, economic and social processes affecting our well-being take place simultaneously at various spatial and temporal scales. In order to efficiently address these nested and interlinked processes, sustainable development has to be a coordinated effort playing out across several levels, ranging from the global to the regional and the local. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Risk reduction The understanding that in environment-society system interactions, characterized by complexity, indeterminacy, irreversibility and nonlinearity, it is more efficient to prevent rather than ameliorate damage, has led to the formulation of the so-called precautionary principle. However, it is increasingly evident that decision-making about complex systems in the conditions of uncertainty, ambiguity or ignorance (rather than in the conditions of probabilistic risks) is a significant challenge for how we produce, distribute and use knowledge. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Participation actors in projects which can potentially affect their lives builds on one of the key principles of sustainable development: sustainable development requires a process of dialogue and ultimately consensus- building of all stakeholders as partners who together define the problems, design possible solutions, collaborate to implement them, and monitor and evaluate the outcome. It encourages social and individual learning which enriches both society and individual citizens, reduces the uncertainty caused by imperfect scientific knowledge and the inter-determinacy of complex processes and supports implementation and defuses conflict. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Accountability Accountability is logically connected to a proactive stakeholder engagement. This principle implies that an organization is responsible for its policies, decisions and actions and the effect of them on environment and society. The principle also implies that an organization accepts this responsibility and is willing to be held accountable for these policies, decisions and actions. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Transparency An organization is open about its policies, decisions and actions, including the environment and social effects of those actions and policies. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Stakeholders An organzation should respect international norms of behaviour while adhering to the principle of respect for the rule of law. An organization should respect human rights and recognize both their importance and their universality. Nine Sustainability Principles and their definition (Goedknegt, 2012)  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability principles… Values and Ethical consideration Holistic approach Long term view Large spatial and institutional scale Risk reducing Participation and capacity building Accountability Transparency Stakeholders interests …demand a shift in PM paradigm  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability in Project Management  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability in PM is a HOT topic  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability principles in PM (GMP, Green Project Management® or Sustainable Project Management  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability It is a HOT topic! Sustainability and Project Management (PM) have grown apart from each other (Brones et al, 2014) until recently. In the past ten years, the PM community has become more and more motivated to integrate environmental, social, and people issues into their practice. This has derived in scientific articles (Silvius, Gareis, Huemann, Silvius, Turner, …), article reviews (Marcelino, 2015; Otegi, 2015), conferences (IRNOP, IPMA,..), guidelines (by PMI, APM, IPMA,…);..  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Business world: PPP concept  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Can PM contribute to a Sustainable World? PROJECT MANAGEMENT ? SUSTAINABILITY Is Sustainability considered in PM guides?  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability What can we – Project Managers - do for Sustainability?  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability principles in PM  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainability principles in PM  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability 1.Balancing and harmonizing social, 1.Balancing and harmonizing social, environmental and economic interests, environmental and economic interests, PPP PPP interests interests 2.Short and Long Term orientation 2.Short and Long Term orientation 3. Local and global orientation 3. Local and global orientation 4. Consuming income, not capital Initiating Planning Controlling Executing 2.Short and Long Term orientation 5. Values and Ethics 3. Local and global orientation 6.Transparency Closing 4. Consuming income, not capital 5. Values andEthics 5. Values and Ethics 6.Transparency Sustainbaility principles for PM  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Sustainable Development Indicators (SDI) frameworks Recognised international standards. For measuring and evaluating actions. For communicating the information. The GPM P5™ Standard for Sustainability in PM UN Sustainable Development Goals ISO 26000 guideline on social responsibility GRI Sustainability Reporting Guidelines Dow Jones Sustainability Indexes Schipper, R., & Silvius, G. (2017). The sustainable project management canvas. The journal of modern project management, 4(3). 30  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability  Euro MPM Introduction to Sustainability and Project management P5 standard of sustainability in project management with focus on the standard project management processes Project management processes of 5P standard Effectiveness and Efficiency of Project Processes These elements cover the policies, procedures, and practices needed to ensure that the processes used to manage the project can be expected to deliver the desired results. The project team should: Seek to optimize the effectiveness and efficiency of the processes used in the project. Assess the effectiveness and efficiency of the project’s processes against industry benchmarks and best practice frameworks. Increased effectiveness and efficiency of the project processes helps to achieve the following sustainable project outcomes: Minimal losses from rework and other forms of wasted resources. Improved project governance. Increased project execution capacity leading to increased profitability. Fairness of Project Processes This element covers the policies, procedures, and practices needed to ensure that all individuals who come into contact with the project are treated fairly and with respect. Note that fairness does not always mean that they will be treated exactly the same. The project team should: Ensure transparency and openness while delivering the project. Be fair to customers, suppliers, and other stakeholders at all times. P5 Ontology Increased fairness in the project processes helps to achieve the following sustainable project outcomes: Loyal team members, customers, suppliers, and other stakeholders. Improved reputation of the sponsoring organization.  Euro MPM Introduction to Sustainability and Project management  Euro MPM Introduction to Sustainability and Project management Project management processes of 5P standard Effectiveness and Efficiency of Project Processes These elements cover the policies, procedures, and practices needed to ensure that the processes used to manage the project can be expected to deliver the desired results. The project team should: Seek to optimize the effectiveness and efficiency of the processes used in the project. Assess the effectiveness and efficiency of the project’s processes against industry benchmarks and best practice frameworks. Increased effectiveness and efficiency of the project processes helps to achieve the following sustainable project outcomes: Minimal losses from rework and other forms of wasted resources. Improved project governance. Increased project execution capacity leading to increased profitability.  Euro MPM Introduction to Sustainability and Project management Project management processes of 5P standard Fairness of Project Processes This element covers the policies, procedures, and practices needed to ensure that all individuals who come into contact with the project are treated fairly and with respect. Note that fairness does not always mean that they will be treated exactly the same. The project team should: Ensure transparency and openness while delivering the project. Be fair to customers, suppliers, and other stakeholders at all times. Increased fairness in the project processes helps to achieve the following sustainable project outcomes: Loyal team members, customers, suppliers, and other stakeholders. Improved reputation of the sponsoring organization.  Euro MPM Introduction to Sustainability and Project management 10 Principles of Responsible Project Management We are uncovering better ways of 1. Understand the purpose underpinning a project from different perspectives managing projects by encouraging decision-making that nurtures social, environmental and economic 2. Raise awareness of possible project impacts and consequences resources. We are helping Project Managers develop initiatives in a 3. Engage a wide range of stakeholders and promote common interests manner that values: Conscious awareness over 4. Be curious and uncover ethical complexity, conflict, and unintended outcomes ignorance of project impacts Regeneration of resources over consumption and waste 5. Recognise uncertainty and encourage sharing of new knowledge Collaboration and engagement over competition and control 6. Anticipate change, evaluate options and promote informed decision making That is, while we recognise that 7. Understand a need for creativity and innovation: make space for imagination projects need to achieve cost, time and quality objectives, unless we look after the natural world and human 8. Foster transparency with opportunities for sharing vision, thoughts, and feelings communities, projects will contribute to the destruction of humanity. 9. Encourage stewardship of human, environmental and financial resources 10. Seek balance between the needs of people, planet and profit, short v long term  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Journal of Cleaner Production Volume 99, 15 July 2015, Pages 1-16  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Cost Performance Time People Planet Profit  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Redefining Project ‘Success’ (Michel Young – GPM, 2016) CURRENT: Output PROGRESSIVE: Benefits PROFESSIONAL: Sustainability o Many PMs are locked onto o Successful PM o Exceptional project focusing on the traditional practitioners focus managers also take into Time / Cost / Scope account the other triple on time, cost, paradigm iron triangle (if constraints lucky they take into quality,scope, account quality) benefits and risk RISKS VALUE Time (Taylorism) Quality Cost Scope (Fordism) (Deming) BENE FITS 35  Euro MPM Introduction to Sustainability and Project management Chapters: Sustainability Redefining Project ‘Success’ (Michel Young – GPM, 2016)