Understand the Language of

Effective Project Controls with

brief examples

Key
Project Controls
Terminologies:
Onomastics - 009

Terminologies best used and applied in all the

domains of Project Controls for beginners
and a refresher for seasoned professionals. Logical Intellect

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 Project Controls Applied Terminologies Onomastics - 009

1. Integration Management Explanation of Example:

Term: Project Scope Integration project scope integration in an lng project

Project Scope Integration is the process of ensuring

In an LNG Plant construction project, scope
that all aspects of the project scope are coordinated
integration involves:
and aligned with project objectives, goals, and
deliverables. It involves consolidating the defined
process
scope with other project processes such as
scheduling, budgeting, and quality control, ensuring
a. Defining Scope: Clearly outlining what needs to be
that all elements work in harmony throughout the delivered, such as storage tanks and piping systems.
project lifecycle. b. Aligning Work Packages: Breaking down work into packages
and ensuring they align with project objectives.
c. Coordinating Changes: Managing any scope changes (e.g.,
Example: LNG Construction Project design modifications) to ensure they don't derail the
Activity Description Example Content Impact on Project Tips project.
Defining Outlining deliverables Scope includes storage Clarifies project Ensure all stakeholders d. Ensuring Compliance: Integrating compliance with
Scope and objectives tanks, piping systems goals agree on scope. environmental and safety regulations into the project
Aligning Work Breaking down tasks Work packages for Improves task Align packages with scope.
Packages into packages construction phases management overall goals.
e. Continuous Monitoring: Regularly reviewing scope against
Coordinating Managing scope Design modifications are Prevents scope Use a formal change
Changes changes effectively tracked and approved creep control process. progress to ensure project objectives are met.
Compliance with
Ensuring Integrating regulations Avoids legal and Collaborate with
Compliance into the scope
environmental and safety
regulatory issues regulatory bodies early.
This ensures that every aspect of the LNG Plant construction
standards
is coordinated, ensuring efficient use of resources and
Continuous Regularly reviewing Monitoring project progress Maintains focus on Schedule regular scope
successful delivery of the project within the defined scope.
Monitoring scope and progress against the defined scope objectives reviews.

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2. Scope Management Explanation of Example:

Term: Requirements Documentation requirements documentation in a power plant

Requirements Documentation is the process of

In a power plant construction project requirements
capturing, documenting, and defining the needs and
documentation involves:
expectations of stakeholders for a project. It
outlines functional and non-functional requirements,
process
providing a clear understanding of what the project
must deliver to satisfy its stakeholders, and serves a. Functional Requirements: Outline specific project
as a baseline for scope and project objectives. deliverables, like the power output capacity.
b. Non-Functional Requirements: Include aspects like
Example: Power Plant Construction Project safety standards and environmental impact.
Requirement Type Description Example Content Impact on Project Tips c. Stakeholder Requirements: Identify key requirements
Directly impacts from stakeholders such as government regulations or
Functional Defines what the system Power plant to deliver Ensure detailed
project
Requirements must do 500 MW specifications. investor expectations.
deliverables
Align with d. Documentation and Approval: Create formal documents
Non-Functional Specifies quality or Must comply with ISO Ensures compliance
Requirements operational criteria safety standards and safety
regulatory and get them approved by all relevant parties.
standards early.
e. Baseline for Scope: Use the documented requirements to
Stakeholder Stakeholder Government mandates Shapes project Prioritize critical
Requirements expectations and needs for emissions control design and planning stakeholder needs.
set the scope and manage changes during execution.
Capturing and Regularly review
Documentation Requirements document Provides baseline
and Approval
formalizing the
signed by stakeholders for project scope
and update Requirements Documentation ensures that all project needs
requirements documentation.
are formally captured and agreed upon, providing a clear
Used to set project Document serves as Track all changes
Baseline for Reduces scope reference for what the power plant project must achieve.
scope and manage reference for scope against the
Scope creep
changes management baseline.

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3. Schedule Management Explanation of Example:

Term: Critical Path Method (CPM) Critical path In an oil refinery construction project:

The Critical Path Method (CPM) is a project in a refinery construction project, critical path includes:
management technique used to determine the
longest sequence of dependent activities in a PROCESS
project, known as the critical path. This method
a. Identify key activities such as foundation work,
identifies key tasks that must be completed on
equipment installation, piping, and testing.
time to ensure the overall project finishes by b. Use CPM to find that equipment installation is the
its deadline. CPM helps in scheduling, resource critical path activity that drives the project timeline.
allocation, and project monitoring. c. Delays in equipment installation will push the entire
project timeline back.
d. Allocate additional resources to critical path activities
Example: Power Plant Project to prevent schedule slippage.

Activity Duration (Days) Predecessor Critical Path Impact on Project Tips

By applying CPM, the refinery project team identifies the
Foundation May delay equipment setup if Ensure early start
30 None No sequence of tasks that directly affect the completion date.
Work extended if possible.
Equipment Foundation Delays will impact the entire Allocate more Extra attention is given to the equipment installation task
45 Yes
Installation Work schedule resources if needed. since any delay in this critical path will result in a project
Piping 25
Equipment
No
Can be parallel, but delays Coordinate with delay.
Installation could slow testing equipment team.
Ensure timely piping
Testing 15 Piping No Last task before handover
completion.
Final Prioritize testing
10 Testing No Impacts project closure
Inspection completion.

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4. Cost Management Explanation of Example:

Term: Cost Budgeting Cost Budgeting for a Petrochemical Plant Construction:

Cost Budgeting is the process of aggregating estimated

In a petrochemical plant project, the project manager
costs of individual activities or work packages to develops a cost budget to ensure that construction,
establish an authorized cost baseline. This process procurement, and installation of equipment remain within
involves planning and allocating financial resources the authorised budget.
for the project, tracking expenditures, and ensuring
that the project remains within the approved budget. Process:
It’s an integral part of project cost management that
ensures all costs are properly accounted for and a. Estimating Costs: The costs of individual work packages
such as civil works, piping installation, and equipment
controlled throughout the project lifecycle.
procurement are estimated.
b. Establishing Contingency Reserves: The project team

Example: Petrochemical Plant Construction allocates a percentage of the budget for unforeseen
risks.
Element Description Example Content Tips
c. Setting a Cost Baseline: The total estimated costs are
Estimation of costs for Civil work costs, equipment Use historical data for better
Estimating Costs
activities and work packages procurement accuracy.
aggregated to create a baseline against which actual

Establishing Setting aside funds for 10% contingency for unexpected Ensure sufficient reserves for
costs will be tracked.
Contingency Reserves unexpected expenses construction delays high-risk activities. d. Monitoring Budget Performance: Costs are continuously
Setting a Cost Aggregating estimated costs $20 million for petrochemical Define clear tracking points for tracked to ensure the project remains within budget.
Baseline into a total project budget plant construction budget review.
Monitoring Budget Tracking actual costs versus Monthly review of costs for Implement real-time tracking for By establishing a cost baseline, the project manager can track
Performance the budget construction and procurement cost control.
performance, manage costs, and control deviations throughout
Handling deviations from the Adjusting project scope or Use variance reports to take
Managing Variances
budget schedule if costs exceed limits corrective actions early. the project’s execution phase.

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5. Resource Management Explanation of Example:

Term: Resource Scheduling Technique Resource Scheduling in a Power Plant Construction:

Resource scheduling techniques are methods used to During the construction of a power plant, the project manager
allocate and optimise the use of resources, such as uses resource leveLling to distribute labor and equipment
labor, equipment, and materials, across project across multiple project tasks to avoid over-allocation.
activities. These techniques ensure that resources
are assigned efficiently, avoiding over-allocation or Process:

under-utilisation. The goal is to balance resource

a. Identifying Resource Needs: The manager assesses labor,
availability with project timelines, helping to meet equipment, and material requirements for key tasks, such as
project deadlines without overburdening teams or foundation work and turbine installation.
delaying tasks. b. Applying Resource LevelLing: Resources are reallocated to
ensure no overburdening on critical activities, delaying

Example: Copper Smelting Project less important tasks if necessary.

c. Using Resource Smoothing: Adjustments are made to project
Technique Description Example Content Tips timelines to better fit available resources while ensuring
Resource Adjusting task start and end Delaying non-critical tasks if labor is Focus on high-priority tasks and
the project remains within deadlines.
Leveling dates to avoid over-allocation over-allocated balance workload. d. Monitoring Utilisation: The project team tracks the use of
Resource Adjusting resource usage within Shifting work hours for staff to Ensure project deadlines are cranes, workers, and other resources to optimise their use
Smoothing project constraints optimize resource use met with minimal changes. throughout the project.
Critical Path Scheduling resources based on Assigning key resources to activities Prioritize resources for critical
Method (CPM) tasks on the critical path critical for project completion activities.
By using resource levelling and smoothing, the project manager
Overlapping tasks to speed up Assigning extra crews to multiple Use when deadlines are tight avoids bottlenecks and ensures a smooth progression of activities
Fast Tracking
project completion areas simultaneously but manage risks carefully.
without overloading resources, preventing delays and ensuring
Monte Carlo Risk-based resource scheduling Simulating different scenarios for Use for complex projects with
Simulation method resource availability and use high resource uncertainty.
efficient use of equipment and labor.

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6. Risk Management Explanation of Example:

Term: Quantitative Risk Analysis Quantitative Risk Analysis in an Oil & Gas Pipeline
Project:
Quantitative Risk Analysis (QRA) is a method used to
numerically assess the potential impact of During the construction of an oil pipeline, QRA is used to
identified risks on project objectives such as cost, assess potential delays caused by extreme weather.
schedule, and scope. By using statistical techniques
and mathematical models, QRA evaluates the Process:
likelihood of risk occurrence and quantifies its
impact, providing a more precise understanding of a. Risk Identification: Key risks such as harsh weather,
overall project risk exposure. This helps in making regulatory changes, and equipment failure are
identified.
informed decisions to mitigate significant risks.
b. Data Collection: Historical data on weather-related

Example: Oil and Gas Pipeline Project delays is collected.

c. Modeling: A Monte Carlo simulation is run to assess how
Expected Monetary Value various weather scenarios could affect the project
Risk Description Impact (in $) Probability (%) Tips for Mitigation
(EMV) Formula
schedule.
EMV = Impact × Probability = Allocate contingency funds and
Weather Delays $2,000,000 30% d. Results: The analysis shows a 30% chance of a 2-month
$600,000 schedule buffers.
Regulatory EMV = $500,000 × 20% = Maintain compliance and
delay, allowing the project team to allocate contingency
$500,000 20%
Changes $100,000 monitor legal updates. time.
Equipment EMV = $1,500,000 × 10% = Perform regular maintenance
$1,500,000 10%
Failure $150,000 and inspections. By using Monte Carlo simulations, the project team
Supply Chain EMV = $800,000 × 15% = Identify backup suppliers and quantifies the impact of weather risks and prepares a
$800,000 15%
Disruptions $120,000 materials.
contingency plan, reducing uncertainty in the project
EMV = $1,000,000 × 5% = Negotiate with unions and
Labor Strikes $1,000,000 5%
$50,000 ensure worker satisfaction. schedule.

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7. Quality Management Explanation of Example:

Term: Quality Assurance Plan Quality Assurance Plan in a Petrochemical Plant
Construction:
A Quality Assurance (QA) Plan outlines the
processes, standards, and activities necessary to During the construction of a petrochemical plant, a QA
ensure that a project’s deliverables meet the Plan is implemented to ensure structural integrity and
desired quality standards. It emphasizes safety compliance.
preventing defects during the production or
construction process through proactive measures Process:

such as audits, reviews, and process control,

a. Standards Definition: Set quality standards based on
ensuring that the end product adheres to
international safety regulations (e.g., ASME
regulatory requirements and client expectations. standards).

Example: Petrochemical plant construction b. Process Audits: Conduct regular site inspections to
ensure adherence to construction guidelines.
Quality Check Frequency Standard (Reference) Measurement Criteria Tips for Implementation
c. Testing & Validation: Perform material and safety tests
Material Tensile strength, Partner with certified labs for
Weekly ASME Sec. IX to verify the quality of the equipment used.
Testing elasticity consistent testing.
Structural Assign dedicated QA officers for on- d. Documentation: Document every quality check, material
Monthly ISO 9001 Design compliance
Audits site supervision. test, and audit performed on-site.
Safety Ensure PPE compliance and regular
Bi-weekly OSHA Standards Site safety protocols
Inspections worker training.
The QA plan ensures that the materials, processes, and
Equipment Precision of Maintain a log of equipment
Calibration
Quarterly ISO 17025
measurements calibration records. structures conform to the strict safety and operational
Documentation Completeness, Use digital tools for tracking and standards, preventing critical failures in the petrochemical
Ongoing Internal QA Guidelines
Reviews accuracy reporting quality. plant’s construction and ensuring long-term reliability.
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8. Communication Management Explanation of Example:

Term: Communication Tools Communication Tools in a Power Plant Project:

Communication methods refer to the various ways and

In a power plant project, various communication tools
techniques used to exchange information among project
ensure efficient information flow and coordination among
stakeholders. Effective communication methods ensure that
team members.
all parties are informed, engaged, and aligned with project
objectives. These methods include verbal, non-verbal,
Process:
written, and digital communication, each tailored to
different types of information and stakeholder preferences.
a. Email Clients (e.g., Outlook): For formal
Example: Power Plant Project communication, sharing documents, and scheduling
meetings.
Tool Purpose Features Target Audience Tips for Effective Use
b. Instant Messaging (e.g., Slack, Microsoft Teams): For
Formal
Email Clients (e.g., Email composition, All Project Use clear subject lines real-time conversations and file sharing.
communication and
Outlook) attachments, scheduling Stakeholders and organized folders.
document sharing c. Video Conferencing (e.g., Zoom, Webex): For virtual
Real-time Create channels for meetings and remote collaboration.
Instant Messaging Channels, direct
communication and Team Members different project d. Document Management Systems (e.g., SharePoint, Google
(e.g., Slack) messages, file uploads
file sharing topics.
Drive): For centralised document storage and version
Virtual meetings Video calls, screen Remote Test technology before
Video Conferencing
and remote sharing, meeting Stakeholders, meetings and share
control.
(e.g., Zoom)
collaboration recording Teams agendas. e. Project Management Software (e.g., Primavera P6, MS
Document Management Centralized File sharing, version Project): For task tracking and project scheduling.
All Project Regularly update and
Systems (e.g., document storage control, access
Members organize files.
SharePoint) and access permissions
Using these tools, the project team can efficiently manage
Project Management Gantt charts, task Regularly update
Task tracking and Project communication, track progress, and ensure all stakeholders
Software (e.g., assignments, progress project status and
project scheduling Managers, Teams are aligned with project goals.
Primavera P6) tracking task completions.

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9. Procurement Management Explanation of Example:

Term: Procurement Workflow Procurement Workflow in a Copper Smelting Project:

Procurement Workflow refers to the systematic process of

In a copper smelting project, the procurement workflow includes
acquiring goods and services required for a project. It
several key steps to ensure that equipment and materials are
encompasses all stages from identifying needs, soliciting sourced effectively.
bids, selecting vendors, to managing contracts and ensuring
timely delivery. This workflow is designed to ensure that Process:
procurement activities are conducted efficiently,
transparently, and in compliance with contractual and a. Need Identification: Determine the equipment and materials
regulatory requirements. required for the smelting process, such as furnaces and

Example: Copper Smelting Project catalysts.

b. Supplier Selection: Issue requests for quotations (RFQs) and
Stage Description Documents Used Key Activities Effective Management evaluate bids from suppliers based on cost, quality, and
Need Determine required Requirement Define technical and Engage stakeholders early delivery times.
Identification equipment and materials Specifications quantity needs to refine requirements. c. Contract Award: Select the supplier with the best offer and
Use a standardized formalise the agreement through a contract.
Supplier Solicit and evaluate Request for Compare bids and
evaluation matrix for d. Order Management: Place purchase orders and monitor the
Selection supplier proposals Quotation (RFQ) select supplier
consistency.
delivery schedule to ensure timely receipt of materials.
Purchase Ensure all terms and
Contract Formalize agreement Negotiate terms and e. Performance Review: Assess supplier performance and material
Agreement, conditions are clearly
Award with selected supplier finalize contract quality upon delivery and address any issues as they arise.
Contract defined.
Manage the purchase
Order Purchase Order Track orders, manage Establish regular follow-
order and delivery This structured approach ensures that the necessary equipment and
Management (PO) logistics ups with suppliers.
process materials are acquired in a timely and cost-effective manner,
Evaluate supplier Provide feedback to thereby supporting the successful execution of the copper
Performance Review delivery and
performance and Inspection Reports suppliers for future smelting project.
Review quality
material quality improvements.

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10. Change Management Explanation of Example:

Term: Change Control Procedure Change Control Procedure in a Road and Highway Project:

Change Control Procedure is a formal process used In a road and highway construction project, the change
to manage changes to the project's scope, control procedure involves several steps to manage changes
schedule, and cost. This procedure ensures that efficiently.
any modifications are evaluated, approved, and
Process:
documented systematically to prevent unauthorised
changes, manage impacts effectively, and maintain a. Change Request: Identify and document the proposed
project integrity. change, such as a design modification or schedule
adjustment.

Example: Road and Highway Project b. Impact Analysis: Evaluate the impact of the change on
the project’s scope, budget, and schedule.
Stage Description Documents Used Key Activities Tips c. Approval: Submit the change request and impact analysis
Document and Change Request Describe the change Ensure completeness and
Change Request to the Change Control Board (CCB) for review and
propose a change Form and its rationale clarity in the request.
approval.
Impact Assess the effect of Impact Assessment Analyze scope, budget, Involve key stakeholders in
Analysis the change Report and schedule impacts the analysis. d. Implementation: Once approved, update project documents
Review and approve Approval Form, Review by Change Obtain formal approval and implement the change.
Approval
the change request Change Log Control Board (CCB) before proceeding. e. Monitoring and Review: Track the change's implementation
Apply the approved Updated Project Implement the change
Communicate changes and review its effects on project performance.
Implementation clearly to all affected
change Documents and update records
parties.
By following these steps, the project team ensures that
Performance Regularly review to ensure
Monitoring and Evaluate the Track impact and changes are managed systematically, minimising disruptions
Reports, Review alignment with project
Review change’s effect assess effectiveness
Logs goals. and ensuring that the project's objectives are met.

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11. Claims Management Explanation of Example:

Term: Claim Submission Claim Submission in an Oil and Gas Project:

Claim Submission is the formal process of In an oil and gas project, a contractor might submit a
presenting a request for compensation or claim due to delays caused by unforeseen site conditions.
adjustment due to changes or issues that affect
the project's scope, schedule, or cost. This Process:

process involves documenting the claim, providing

a. Prepare Documentation: Collect and compile evidence
evidence, and formally requesting resolution or supporting the claim, such as project schedules,
compensation from the relevant parties, such as correspondence, and records of additional work.
clients or contractors. b. Write the Claim: Draft a detailed claim report
outlining the nature of the issue, the impact on the
Example: Oil and Gas Project project, and the compensation requested.
c. Submit to Client: Send the claim report to the client or
Stage Description Documents Used Key Activities Tips
project manager for review and consideration.
Prepare Collect evidence and Project Records, Gather and organise all Ensure all documentation
d. Follow Up: Engage with the client to address any
Documentation supporting documents Correspondence Contemporary data is accurate and complete.
Write the Draft a detailed claim Outline the issue, impact, Be clear and concise in
questions or provide additional information as needed.
Claim Report e. Negotiate and Resolve: Discuss the claim with the client
Claim report and compensation describing the claim.
Submit to Present the claim to the Claim Submission Send the claim report Follow submission to reach an agreement on compensation or resolution.
Client client Form for review guidelines and receipt.
Maintain open This structured approach helps ensure that all relevant
Address questions and Engage with the client
Follow Up Correspondence communication for timely
provide additional info for further details information is presented clearly, facilitating a fair
responses.
Negotiate and Reach agreement on Negotiation Discuss and finalize the Be prepared to negotiate
assessment and resolution of the claim.
Resolve compensation resolution Records resolution and provide evidence.

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12. Dispute Management Explanation of Example:

Term: Dispute Documentation Dispute Documentation in a Copper Refining Project:

Dispute Documentation is the process of In a copper refining project, a dispute may arise over the
systematically recording and organizing all quality of delivered materials. Proper documentation is crucial
information related to a dispute that arises during a for resolving this issue.

project. This includes collecting evidence,

Process:
correspondence, and records to support the resolution
of the dispute. Proper documentation is essential for a. Collect Evidence: Gather all relevant documents such as
resolving conflicts, whether through negotiation, delivery notes, quality reports, and correspondence with
arbitration, or litigation. suppliers.
b. Document the Dispute: Create a detailed report outlining the
Example: Copper Refining Project nature of the dispute, the parties involved, and the evidence
Stage Description Documents Used Key Activities Tips collected.
c. Record Correspondence: Keep records of all communications
Gather all relevant Ensure all evidence
Delivery Notes, Compile evidence from all related to the dispute, including emails, letters, and
Collect Evidence documents and is accurate and
Quality Reports sources meeting minutes.
materials complete.
Document the Create a detailed Outline the nature of the Include all pertinent d. Log Key Events: Maintain a chronological log of all
Dispute Report
Dispute report on the dispute dispute and evidence details and context. significant events and actions taken regarding the dispute.
Record Maintain records of all Emails, Letters, Document all interactions Keep detailed and e. Prepare for Resolution: Organise the documentation to support
Correspondence related communications Meeting Minutes and responses organized records. dispute resolution processes such as negotiation or
Keep a chronological arbitration.
Track all relevant Regularly update the
Log Key Events log of significant Event Log
events and decisions log for accuracy.
actions This methodical approach ensures that all relevant information is
Prepare documentation Ensure easy access available to support a fair and efficient resolution of the
Prepare for Organize documentation Resolution
for negotiation or to all relevant dispute, helping to resolve issues more effectively.
Resolution for dispute resolution Preparation File
arbitration information.

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