Phase 1
Business Need
Business Need
What is the primary purpose of conducting a Voice of the Customer (VOC) session?
To capture explicit plant needs, operator pain points, and scope boundaries.
During Phase 2 (AFCE Development), at what point must the project scope be 'frozen'?
Prior to AFCE submission to support a high-confidence cost estimate.
In Phase 3 (Project Execution), what is the mandatory frequency for cost tracking and forecasting reports for all projects?
Monthly
In Phase 4 (Start-up & Commissioning), what is the difference between 'Check Out' and 'Commissioning'?
Check Out consists of 'static checks' (physical integrity), while Commissioning consists of 'dynamic checks' (functional operation).
Which task is essential for 'Financial Close-out' to ensure the company can begin depreciating the new assets?
'Cap and Close'
Moving costs to the Fixed Asset ledger for Asset Capitalization.
When developing a Phase 1 Budgetary Cost Estimate using the 'Factored Equipment Cost' method, what is the standard multiplier used?
Multiply major equipment costs by 3.
According to GAF capitalization rules, what is the cost threshold for an individual spare part to be considered a 'Capital' item rather than an 'Expense'?
$10,000
During an outage, a contractor requires an urgent scope change adding $15,000 to solve a piping clash. What is the expedited change control protocol?
Get verbal approval from the Regional Engineering Director, then submit formal AODocs routing within 1 week / post-outage
Which gate is the absolute last line of defense and single most important safety milestone before introducing raw materials and starting production?
Pre-Start-up Safety Review 'PSSR'
What must be provided to the plant for upload into the Vault during the final Documentation Turnover?
Drawings and 'As-Built' documents.
In the Phase 1 Intake process for projects over $1M, what does a 'Yellow' disposition on the Intake Sheet signify?
"Revisit" The project requires more information or analysis before a decision can be made.
Who has final approval authority over the top-down Management Reserve budget line item?
VP of Engineering / Regional Engineering Director.
Under the Capital Project Change Management SOP, which of the following triggers the need for a 'Supplemental AFCE' rather than just a simple 'Change Order'?
A budget overrun exceeding $500,000 or 10% of the total project value.
What is the primary focus of a Site Acceptance Test (SAT) and Performance Guarantee Test?
Validating that the integrated system hits required business and production targets (throughput, yield, scrap).
When should the 'Post-Mortem' or formal Lessons Learned review typically be conducted?
At two specific points: Immediately after start-up and a formal review at 6 months.
What is the expected accuracy range for a Phase 1 Budgetary Cost Estimate?
30% - 50%
It’s 2 days before your Large Capital Presentation (> $1M), but a key equipment bid is still missing, leaving a gap in your budget. What is the required protocol
Notify the Director of Capital Planning immediately to postpone the presentation.
Daily Double
In a RACI matrix used during Phase 3, what does the 'R','A', 'C', and 'I' stand for?
During Check-out, a minor guardrail paint scratch is identified alongside an unverified emergency shutdown (E-Stop) interlock. How are these punch list items classified?
Paint scratch is Category B; E-Stop interlock is Category A (Hard Stop before energization).
When does the Project Manager's day-to-day responsibility for equipment performance officially end?
Upon formal execution of the Project Handoff Package Sign-off Sheet by the Plant Manager.
You are building a Rough Order of Magnitude (ROM) cost estimate in Phase 1 using the "Rule of 3" multiplier on major equipment quotes. How should contingency be added?
Do not add explicit contingency; it is already built into the "x3" multiplier.
What is the primary difference between 'Management Reserve' and 'Risk-Based Contingency' in a project budget?
Risk-based contingency is calculated line-by-line for identified risks, whereas Management Reserve is a top-down percentage for unforeseen events.
A vendor has submitted a proposal, but their ISNetworld safety rating is currently YELLOW. Can you award them the contract?
No, GREEN status is required; you must work with EHS/Procurement to evaluate reconciliation or get a formal waiver.
During the Phase 4 Start-up, why is it critical to have a 'Ramp-Up Curve' and 'Pre-Build Inventory'?
It ensures demand is met by covering potential supply shortages during outages and initial start-up risks
Daily Double
Name 3 items/action required for Operational Acceptance