Sustainability in Project Management

Are we taking responsibility?

Who’s talking?

47 years of age, 2 kidsEducation:

Royal Military Academy MSc Economics (Erasmus University) MBA (Catholic University Leuven) PhD (Utrecht University)

Experience: Royal Dutch Army (1981 – 1993) Getronics (1993 – 2004) Utrecht University of Applied Sciences

(2002 – today) Van Aetsveld (2004 - today)

Interests: Business IT Alignment Project Management Entrepreneurship in developing areas

Gilbert Silvius

Professor of Business, ICT and Innovation

Program DirectorMaster of Project Management

Principal consultant Van Aetsveld

gilbert.silvius@hu.nl

www.gilbertsilvius.nl

Why study Project Management?

“It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change.”

The pace of change is increasing

Projects as a ‘system’ of realising organizational change

Projects

Project Management

Outputs Delivery Resources

BenefitsOperationAssets

Goals

Performance

Operations Management

Resources

Strategic Management

Projects

Exploitation

Projects as a ‘system’ of realising organizational change

Projects

Project Management

Outputs Delivery Resources

BenefitsOperationAssets

Goals

Performance

Operations Management

Resources

Strategic Management

Projects

Exploitation

Sustainability?

Sustainability

?

Projects

Shell today

Shell today

Contributing to sustainable development is integral to the way we do business

KLM

Unilever

Sustainable development

World Commission on Environment and Development (the Brundtland Commission): "forms of progress that meet the needs of the present without compromising the ability of future generations to meet their needs."

The Triple Bottom line

People, Planet, Profit

True or False?

True or False?

2010

Some facts

Some facts

Some facts

World Commission on Environment and Development (the Brundtland Commission):

Sustainable development needs change, needs innovation

Innovation needs projects

Innovation

Sustainability

Projects

Sustainability

?

Projects

Society level

Corporate level

Individual level

Project level

http://www.amazon.com/gp/product/images/1933890517/ref=dp_image_z_0?ie=UTF8&n=283155&s=books

Emerging signals

2005: C. Labuschagne: Sustainable project life cycle management

2006: APM Supports Sustainability Outlooks

2008: J. Russell: CSR: What does it mean for the PM? T. Taylor: A sustainability checklist for managers of projects M. McKinlay: Keynote on IPMA conference

2009: M. Eid: Sustainable Development & Project Management Several papers on IPMA and IRNOP conferences

2010: IPMA International Expert Seminar Happy Projects: Sustainability & Projects

Sustainability

!

Projects

Key concepts

Sustainability is about balancing or harmonizing social, environmental and economical interests

People, Planet, Profit

Key concepts

Sustainability is about balancing or harmonizing social, environmental and economical interests

Sustainability takes into account both the short term and the long term

Interacting lifecycles

Key concepts

Sustainability is about balancing or harmonizing social, environmental and economical interests

Sustainability takes into account both the short term and the long term

Sustainability is about consuming income, not capital

Consuming income..

Okay…..

But what does it mean for projects?

What does it mean for project managers?

Criteria? Scope? Responsibilities? Implications?

Sustainability criteria??

Economic Sustainability

Return on Investment - Direct financial benefits - Net Present Value

Business Agility - Flexibility / Optionality in the project - Increased business flexibility

Environmental Sustainability

Transport - Local procurement - Digital communication - Traveling - Transport

Energy - Energy used - Emission / CO2 from energy used

Waste - Recycling - Disposal

Materials and resources - Reusability - Incorporated energy - Waste

Social Sustainability

Labor Practices and Decent Work

- Employment - Labor / Management relations - Health and Safety - Training and Education - Organisational learning - Diversity and Equal opportunity

Human Rights - Non-discrimination - Freedom of association - Child labour - Forced and compulsory labor

Society and Customers

- Community support - Public policy / Compliance - Customer health and safety - Products and services labeling - Market communication and Advertising - Customer privacy

Ethical behaviour - Investment and Procurement practices - Bribery and corruption - Anti-competition behaviour

But what is the scope?

Projects

Project Management

Outputs Delivery Resources

BenefitsOperationAssets

Goals

Performance

Operations Management

Resources

Strategic Management

Projects

Exploitation

Sustainability inthe Project Life Cycle

Projects

Project Management

Outputs Delivery Resources

BenefitsOperationAssets

Goals

Performance

Operations Management

Resources

Strategic Management

Projects

Exploitation

But…..

Is it the project manager’s responsibility?

Or should the project manager take responsibility?

But is it the PM’s responsibility?

Operationsproject sponsor

portfolio manager

program manager

senior user or senior supplier

project manager

designer construc-tion

manager

exploita-tion

manager

Return on Investment

is responsible

for

can influence

can influence

can influence

can influence

can influence

can influence

can influence

Business Agilitycan

influencecan

influencecan

influencecan

influence

is responsible

for

is responsible

for

can influence

Transportresponsible

or can influence

can influence

can influence

can influence

responsible or can

influence

can influence

Energyresponsible

or can influence

can influence

can influence

can influence

responsible or can

influence

responsible or can

influence

can influence

can influence

Wastecan

influencecan

influence

responsible or can

influence

is responsible

for

is responsible

for

can influence

Materials and resources

responsible or can

influence

can influence

responsible or can

influence

is responsible

for

is responsible

for

can influence

Labor Practices and Decent Work

responsible or can

influence

can influence

can influence

can influence

is responsible

for

can influence

is responsible

for

is responsible

for

Human Rightsresponsible

or can influence

can influence

can influence

can influence

is responsible

for

can influence

is responsible

for

is responsible

for

Society and Customers

responsible or can

influence

can influence

can influence

can influence

is responsible

for

can influence

can influence

can influence

Ethical behaviourresponsible

or can influence

can influence

can influence

can influence

is responsible

for

can influence

is responsible

for

is responsible

for

Project context Project team

Economic Sustainability

Environmental Sustainability

Social Sustainability

Implications

The ‘Sustainable’ Project Manager

Project Management

SustainableProject Management

Implications

The ‘Sustainable’ Project Manager

Sustainability in Project Management competencies

Implications

The ‘Sustainable’ Project Manager

Sustainability in Project Management competencies

Sustainability in Project Management processes and methodologies

Implications

The ‘Sustainable’ Project Manager

Sustainability in Project Management competencies

Sustainability in Project Management processes and methodologies

Sustainability in Project Management reporting

Conclusion

Sustainability

!!

Projects

Sustainable Project Management

The management of project-organized change

in policies, assets or organizations,

with consideration of the economical, social and environmental impact

of the project, its result and its effect,

for now and future generations