Major Projects. Delivering major infrastructure projects worldwide
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1 Major Projects Delivering major infrastructure projects worldwide
2 2 Major Projects One AECOM 45,000 employees ~130 countries 7 continents
3 3 AECOM: Delivering major infrastructure projects worldwide Cover: Lawrence Hargrave Drive, New South Wales, Australia Left (from top): Port of Los Angeles, Pier 400, Los Angeles, California, U.S.A.; Copenhagen Metro, Copenhagen, Denmark Above: Dallas Area Rapid Transit (DART), Dallas, Texas, U.S.A.
4 4 Major Projects Global assurance in our strategic expertise AECOM continues to lead the way with mega projects in our key markets of energy, environment, government, transportation, urban regeneration, mega cities, mining and major events. Our reputation for excellence is matched by our enthusiasm for innovation and pioneering solutions. Our strategic expertise is demonstrated by our solid level of repeat business with major clients, who entrust their assets into AECOM s stewardship, knowing we will deliver the return on investment they require as well as meet their sponsors demands. The trend for major infrastructure continues to grow. More than $500 billion is being spent annually worldwide, and 40 percent of that is going into projects with a capital value of $10 billion or more exactly the type of mega project we at AECOM are so passionate about. We know the enormous sums of money riding on the success of projects of this size. Company balance sheets and even government balance-of-payment accounts can be affected by their outcome for many years to come, and the added possibility of cost overruns and lower-than-expected revenues can position mega projects as high-risk. AECOM has developed an enviable set of strategies to combat this, however, built on the knowledge we have gained from planning major infrastructure, from urban cities to intermodal transport systems and energy-efficient power plants. AECOM provides the global assurance investors and sponsors need when they are faced with selecting a partner they can count on to deliver on promises. Top: Tokyo Midtown Project, Japan Bottom left: Alameda Corridor, Southern California, U.S.A. Bottom right: Goro Nickel Project, New Caledonia
5 5 Markets we serve Energy People will always need energy, and it is our job to make sure that this energy comes from the cleanest and most efficient sources. AECOM is a leader in providing integrated planning and energy solutions for a sustainable future. We help our clients reduce energy consumption, develop renewable sources, improve grid reliability and cut emissions from fuels already in use. We are committed to addressing the complete spectrum of energy challenges that major infrastructure is faced with. As such, we can offer expertise in nuclear, renewable energy, conventional power and oil and gas to increase energy efficiency, and build in sustainable carbon management into energy asset creation. Environment As public and private sector clients become more aware of the vital need to conserve and manage natural resources, AECOM is increasingly called into service. AECOM scientists and engineers around the world are restoring contaminated land and water, enhancing air and water quality, addressing climate change, protecting public health and, ultimately, safeguarding the environment so future generations can enjoy a better quality of life. We provide a seamless delivery of comprehensive environmental management as part of every major project we carry out, with a primary focus on air and water quality and natural resource management. Above (from left): Cedar Creek Wind Farm, Colorado, U.S.A.; Praslin Island, Seychelles; Yolo Bypass Wildlife Area Land Management Plan, Yolo County, California, U.S.A.
6 6 Major Projects Markets we serve Government Public-Private Partnership (PPP) on major projects has attracted increasing attention worldwide and is seen as a promise for the future. It is often considered a third option for preparing and managing public infrastructure projects, in addition to traditional public project development and privatisation. AECOM works with federal governments around the world to prepare major project structures, contract out the construction and take care of the maintenance and operation. Transportation AECOM s services are in high demand when it comes to large-scale transportation initiatives. We have had a strong hand across the board in such markets as aviation, transit, bridges, freight and rail, ports and marine, planning and highways with clients repeatedly calling on us to take charge when they are faced with a seemingly overwhelming task. Our commitment is to find and implement more acceptable and sustainable ways to move people across towns, cities, countries and continents. To that end, we not only plan, design and project manage entirely new transportation systems, we also restore and replace ageing infrastructure, thus enabling nations to maintain their economic competitiveness in the global market. Above (clockwise, from top): Combat Services, Support of U.S. Forces, Kuwait; Hong Kong International Airport, Hong Kong, China; Nottingham Express Transit Tram System, Nottingham, U.K.; Tappan Zee Bridge and Corridor Program, New York, U.S.A.
7 7 Design by Santiago Calatrava Urban Regeneration Over the last 30 years, the nature of urban regeneration projects has reflected the wider government policies around the world. Consultation with local communities regarding future plans has been recognized as being vital to the success of major urban regeneration projects. They now need to work not only on a physical level, but also need to create viable, vibrant and sustainable communities that change the way we live today. Mega Cities The challenges associated with living in heavily populated mega cities are numerous, from overcrowding, inadequate housing, water supply and sewage treatment to air pollution. These issues have come about due to the massive increase in urbanisation, which has soared by more than 100 percent since 1950 in developing countries alone. This rapid growth has often been without industrialisation, which has led to the local infrastructure and economy being unable to support the large area population. Above (from left): PATH Permanent World Trade Center Terminal, New York, NY, U.S.A.; Heart of Doha, Qatar
8 8 Major Projects Markets we serve Mining Natural minerals and metals such as uranium, copper, titanium and gold offer a wealth of opportunities for both mining companies and governments in terms of revenue. However, largescale mining brings environmental destruction, whose repair calls for sustainable exploration, extraction and distribution. The triple bottom line of economic prosperity, social acceptance and environmental impact must be achieved if the project is to be deemed a success. In a competitive world, mining companies are always looking for operational improvements to their processes, from mines to concentrators to smelters. This is where AECOM comes in. Major Events Major sporting events such as the Olympic Games, Commonwealth and Asian Games demand delivery to fixed timeframes, but they also require excellence in terms of creating a lasting legacy to the local community and social infrastructure. These major events attract global attention, uniting whole countries in a fever pitch of expectation that just cannot fail. Governments compete on a global scale for the right to stage such world events, but with selection comes huge realisation. Scale and complexity increase risk, which, in turn, demands strategic coordination and assurance of delivery. Above (clockwise, from top): Fortescue Metals Port Facility, Perth, Australia; Northparkes Mine, New South Wales, Australia Copyright 2009 Rio Tinto Copyright 2009 Rio Tinto Right: Plans for 2012 Olympics, London, U.K.
9 9 Balance of certainty and trust Federal governments, major owners and sponsors of major projects often face high stakes with irreversible commitments, skewed reward structures when successful, and a high probability for failure. This dynamic should change over time, however, as major projects move from initial conception to ramp-up and generate revenue over long periods. While the front end of a major project typically involves less than one-third of the total elapsed time and cost, it has a disproportionate impact on its outcome, as most shaping actions occur during the planning phase. During the ramp-up period, the reality of market estimates and the true worth of the investment are revealed. Sponsors may find that actual conditions are very different from expectations, but only a few adaptations are possible. Once built, most major assets have little flexibility in use beyond the original intended purpose. Managing the balance of certainty between risk and value is thus a real issue. At AECOM, we recognize that major projects are not selected, they are shaped. We work with the sponsor to shape ideas into viable propositions. This then develops into drivers that influence risk, which range from project-related issues to broader governance. The seeds of success or failure of individual major projects are planted very early and nurtured over time as choices and risks emanate from the dynamics of the project itself those associated with the markets and those related to the political, social and economic setting. Developer Sponsor Deliverer Investment Cycle Management Cycle Planning Development Implementation Strategic Management Sponsorship Stakeholder involvement Cost/time estimation Benefits optioneering Streamlined processes Program evaluation Feasibility studies Risk identification Systems integration Investment prioritization Program Management Multiple projects Systems compliance Operational interface Project controls Definition development Supply chain procurement Project delivery Risk mitigation Performance measurement Cost planning Schedule Preparation Organization/Cost/Work Breakdown Project Management Scope Time Cost Quality Safety Change Design Procurement Construction Commissioning DELIVERY Cycle Pre-Feasibility and Planning Front End Engineering Design (FEED) Engineering, Procurement, and Construction Management (EPCM)
10 10 Major Projects Management of major projects AECOM recognizes that the growing demand for major projects around the world means the bar has been raised when it comes to strategic management. In response, we have perfected a dynamic and innovative management style, one which balances risk and reward through trust and certainty, making us certain of our ability to maximize delivery. Major projects are substantial in value and complex in composition. They are high-profile and high-risk undertakings that have a huge impact on society. With all these challenges to address, AECOM recognizes that the success of a major project is determined by factors beyond the control of the project s stakeholders, vendors and contractors/ consultants. Success demands an exceptional management approach one that is both strategic and autonomous the AECOM approach. Our aim is to provide our clients with excellence in the planning, development and implementation of major projects by offering a full array of management and engineering services, from inception to completion and far beyond. It is this clear vision, coupled with our innovation, demonstrable trust and assurance of delivery, that has solidified AECOM s reputation as the global consultant of choice. Opposite page: Saadiyat Island Cultural District, Abu Dhabi, U.A.E. PORTAL/ Electronic Document Management System Cost Management Stakeholders Contractors Change Control Estimating Total Installed Cost Earned Value Measurement Client Configuration Management Procurement Materials Management Pro-Services Cost Commitment COWD VOWD Trends Risk Management Project Accounting Forecast Vendors Schedule Consultants
11 One AECOM Key challenges facing today s world shape our work, approach and strategic thinking about all our markets. 11
12 About AECOM AECOM is a global provider of professional technical and management support services to a broad range of markets, including transportation, facilities, environmental, energy, water and government. With approximately 45,000 employees around the world, AECOM is a leader in all of the key markets that it serves. AECOM provides a blend of global reach, local knowledge, innovation and technical excellence in delivering solutions that create, enhance and sustain the world s built, natural and social environments. A Fortune 500 company, AECOM serves clients in more than 130 countries and has annual revenue in excess of $8.0 billion. More information on AECOM and its services can be found at Printed on recycled paper V AECOM. All Rights Reserved.
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