Capital Program Delivery Review at the TTC

Dear Colleagues,

In 2015, we will move an estimated 545 million riders by bus, train, and streetcar. To achieve this safely and reliably we must maintain our assets in a state of good repair, ensure legislative compliance and take on the monumental task of modernizing our legacy systems. We must also expand our $14.5-billion network worth of vehicles, track, tunnels, bridges, facilities, signals, computers and communications systems to keep up with ever increasing ridership demand. There is a great deal of professional, social and fiscal responsibility associated with this work and that is why it is so important that we deliver our capital projects on time and on budget.

To assess TTC’s performance in this area, City Council requested an independent review of our capital projects, past and present. The City Manager and I are jointly sponsoring the review, which will be conducted by KPMG and will identify TTC best practices and provide recommendations to improve our ability to successfully deliver projects.

As part of their scope of work, KPMG’s Major Projects Advisory practice will be studying a cross section of past and current capital projects. As many of you know, we have already begun collecting documents for their review. The next step is for KPMG to expand their search by requesting additional material and by conducting information interviews with TTC staff starting later this month.

As mentioned, only a sampling of projects will be reviewed. If you happen to be among those invited for an interview, I ask that you fully co-operate. This is an opportunity to impress our Board, City Council, our customers and the broader public with our openness and commitment to continuous improvement. Sharing your experience on what works, and what does not, presents an opportunity to address barriers to project success.

Our Five-Year Corporate Plan describes our commitment to transparency and to improving the efficiency and effectiveness of our business. Through this review and through our efforts to modernize project, program, and portfolio management tools and processes, we are taking steps to do just that.

The TTC’s vision is to be a transit system that makes Toronto proud. This review, which will be reported to the TTC Board and City Council in March of 2016, is just one piece of the jigsaw puzzle that will help us realize that vision.

As the review goes forward you will receive updates on its progress. In the meantime, I have attached FAQs (see below) with some additional information on the review.  If you have any other questions or concerns, please discuss with your Chief, or contact Bem Case at bem.case@ttc.ca or 416-397-8375.

Andy Byford
Chief Executive Officer
October 19, 2015

TTC CAPITAL PROGRAM DELIVERY REVIEW

Frequently Asked Questions

Over the next several months, an independent consultant, KPMG, will be reviewing our capital projects, past and present. The review, which is jointly sponsored by the City Manager and the TTC CEO, will identify best practices and provide recommendations to improve our ability to successfully deliver projects.

What are the goals of the review?

The goals of the review are to:

• Improve project and program management performance by learning from past experience;
• Support continuous improvement efforts underway at the TTC;
• Assess project governance structure protocols for reporting of project status, to ensure appropriate level of transparency and accountability to project sponsors and stakeholders; and
• Provide guidance on project delivery options and project management requirements for projects of varying size, scope and complexity.

What are the benefits of this review?

• Provide an objective assessment of TTC project management performance and practice;
• Enhance understanding on the variation and complexity of projects within the TTC Capital Program;
• Enhance the organization’s ability to deliver projects predictably, consistently and successfully; and
• Support continuous improvement in project and program management capacity throughout the TTC.

What approach will this review take?

The project will be undertaken by KPMG, with support from City and TTC staff. There are three distinct phases of work to be completed.

Phase 1: Current State Assessment
Objective: To understand the complexity of the TTC Capital Program, the TTC’s experience in managing its Capital Program, and the TTC’s project and program management capacity (i.e., processes, tools, resources, etc.) in accordance with international best practices in project, program and portfolio management.

Phase 2: Gap Analysis
Objective: Identify gaps in the TTC project and program management practices and provide recommendations for improvement that support current efforts within the organization. Provide guidance on alternative project delivery options for projects with a high risk/complexity profile.

Phase 3: Implementation Plan
Objective: Develop a roadmap to implement recommendations of the consultant that are viable and appropriate to the organization. This includes identifying required resources, technology investments and opportunities for utilizing alternative project delivery options for major capital projects.

What is the estimated duration of this review?

The review will be conducted between October 2015 and the final report is scheduled to be reported in March of 2016.

What projects will be participating to this review?

A sampling of projects completed in the past 5 years and a sampling of current in-flight projects will be analyzed. The projects have not yet been identified KPMG, however, as more information becomes available, updates will be communicated to all affected parties.

What should I do?

If you happen to be among those requested for an interview, consider it an opportunity to impress our Board, City Council, our customers and broader public with our openness and willingness to actively participate. Sharing your experience on what has worked and what does not presents an opportunity to flush out and address barriers to project success.

Where do I go for more information?

For more information, contact Bem Case at bem.case@ttc.ca or at 416-397-8375.

Portfolio Management Office
October 2, 2015