Diapositiva 1

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International Federation of Consulting Engineers
B I M S Case Studies
MDB Workshops Wash. D.C., June 9/10, 2008
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BIMS Case Studies
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BIMS FOA Consulting S.C., México BIMS Acres
International / HATCH Energy, Canada
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Case Study 1.- FOA Consulting S.C. México
Case Study 2. Acres International/Hatch Energy,
Canada

• 1.- Firm Description
• FOA Consulting, S.C, Mexico City, MEXICO,
  www.foaconsulting.com
• Years in operation 34
• Employees including subsidiaries 100
• Main consulting services Strategic planning of
  infrastructure projects, project management,
  feasibility studies.
• Main clients MDIs government agencies in Latin
  America national and international industries.
• 2.- Integrity Management Background
• From inception total commitment to integrity was
  established as a key feature of company culture.
• Code of Conduct formally adopted, 2000
• First consulting firm to implement a BIMS, July
  2001
• (The companys chairman also chaired FIDICs
  Integrity Management Task Force)
• First ISO 90012000 third party quality
  certification with the scope of integrity
  management in consulting projects, August 2001.
• Certification Board I QNet Member IMNC, A. C.
• Recertification, January 2005
• FOAs BIMS intellectual property rights, 2002

• 1.- Firm Description
• Acres International, CANADA - www.hatchenergy.com
• Years in operation 80 (to 2004)
• Acquired by Hatch Associates of Canada 2004. Also
  known as Hatch Energy now
• Employees including subsidiaries 1000
• Main consulting services hydropower, wind power,
  thermal power, nuclear power, oil gas.
• Main clients Public sector owners of power
  generation, private power generation owners and
  developers, major oil gas companies .
• 2.- Integrity Management Background
• Commitment to integrity has always been prominent
  corporate policy.
• Code of Conduct formally adopted in 1978. Top
  management signoff annually
• Revised Code of Conduct in 2002, expanded annual
  signoff to all project managers, all staff once
• In 2003, introduced BIMS based on FIDIC model,
  with added procedure re Representatives and Sub
  consultants
• Developed model representative agreement, which
  formed the basis for FIDIC Model Representative
  Agreement (2005)
• Acres BIMS Compliance Officer has been active on
  FIDIC IMC since 2005, presented FIDIC seminar on
  BIMS in Malaysia in 2006. Also active in
  Conference Board of Canadas Corporate Ethics
  Management Council

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3.- FOA BIMS Procedures
3.- ACRES/HATCH ENERGY BIMS Procedures
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FOA Consulting
ACRES / HATCH Energy

• 4.- Critical Projects
• All company projects for first 5 years
• (30-40 new projects/year)
• 5.- Documents
• FOAs Code of Conduct
• FOAs Integrity Policy
• Integrity Manual
• Procedures Manual
• Project Integrity Record Files
• Management Review Reports

• 4.- Critical Projects
• Focus on projects outside Canada/US
• Countries with TI CPI under 7.0 special focus
• Government/aid agency projects gt 2000 mh Critical
• New private sector clients, gt 2000 mh Critical
• Typically 15 Critical projects active at one time
• 5.- Documents
• Acres (now Hatch) Code of Conduct
• Hatch Energy Integrity Policy
• Hatch Energy Integrity Manual
• Project Integrity Record Files
• BIMS Audit results
• Training updates/reinforcement

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FOA BIMS Potential Wrongdoing Cases/Work
matrix 6. Corrupt Conducts to Prevent
ACRES/HATCH ENERGY BIMS Potential Wrongdoing
Work 6. Work Process Matrix Corrupt conduct to
prevent
Work Process
Work Process
Corrupt Conducts
Corrupt Conducts
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FOA Consulting
ACRES / HATCH Energy
Consequences of Implementing a BIMS
Consequences of Implementing a BIMS

• 7.- BIMS Impact on the Firm
• The firms integrity reputation was well
  established prior to implementation of a
  documented BIMS
• Receiving the first worldwide consulting firm ISO
  90012000 certification on integrity has not in
  anyway affected the company.
• In fact it has proven an excellent public
  relations element for strategic work in
  government procurement and World Bank and
  Interamerican Development Bank sponsored
  projects.
• The state oil company has awarded extra points in
  open bid off-shore platforms project management
  work for its BIMS certificate.
• The National Federation of Industrial Chambers,
  CONCAMIN bestowed on the firm its yearly Ethics
  and Values in Industry award in 2002 and again
  in 2004.
• Coincidentally double digit growth has been
  achieved since certification.
• The conflict of interest procedure has been more
  strictly redesigned in 2006, serving as an
  excellent due diligence tool in potential
  conflict of interest cases.
• The company has now moved on towards social
  responsibility by sponsoring specific
  philanthropic projects.
• 8.- Future Improvements
• Engaging strategic alliances and subcontractors.

• 7.- BIMS Impact on the Firm
• The firm was known for its integrity prior to
  implementation of a documented BIMS
• The Lesotho corruption case demonstrated the
  value of operating an effective BIMS, and the
  need to have strong defenses against bribery
  allegations
• Many clients have complimented the firm for its
  BIMS some have requested details.
• Open discussion of ethical issues has helped
  avoid problems and deliver better services to our
  clients
• Avoidance of corporate conflict of interest
  situations has been a major benefit
• 8.- Lessons Learned
• Important to avoid a strict compliance focus. The
  positive side of integrity management needs
  emphasis
• Regular training updates are needed, informing
  staff of recent developments
• Procedures should be updated regularly,
  streamlining while maintaining focus on critical
  risk areas
• A paper trail is important, to show that all
  potential Critical Projects are screened and all
  Critical Projects are so designated and audited
• There will always be skeptics it is important
  to keep demonstrating the value of BIMS.

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Next Steps
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Consider recommending banks borrowers to
specifically recognize integrity values in the
technical proposal for bidders having a
compliance system like BIMS in place. For MDBs
to establish a directory of consulting firms
expressing to have an integrity compliance system
in place for bank borrowers to consult.
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