“If we have a very competitive cost, you have a very good position inside the
commodity market—and this is our case.”
To make sure the suppliers delivered to the project’s unique requirements,
the team created standardized contracts based on A Guide to the Project Man-
agement Body of Knowledge (PMBOK® Guide).
“Beside the formal contracts, we had 24 contract appendices that was like a
mirror of the PMBOK® [Guide],” says Mr. Zanotti Schneider. “So exactly the
things that we wanted to have on the project, they were supposed to do. And
that was fantastic.”
Smart supplier management also helped CMPC develop a more mature local
supply chain. The company wanted to work with local businesses, but many
were unable to deliver to the new mill’s specifications. So the team created an
institute that helped develop local businesses so they could supply services and
materials for the project. In some cases, CMPC changed its requirements in
order to engage local companies. In the end, the project spent US$1 billion with
businesses based in the state.
By taking a big-picture view of what it means to succeed, the Guaíba mill
expansion project has had a lasting impact on the state and the local community. The new mill is responsible for 1. 5 percent of the state’s GDP and has
created 28,000 local jobs.
“We left a legacy,” says Mr. Zanotti Schneider. “I’m sure that this region is not
going to be the same as it was before.”
Mr. Millan believes this project also will leave a legacy within the indus-
try, showing other companies that they can protect the environment while
turning a profit.
“I think if another company is doing another pulp mill, they’re going to use
the best technologies that we already used,” Mr. Millan says. “If we do good, the
next will be better, and so on. I think that’s an improvement cycle.” PM
Call for Awards
excellence in 2017.
Check out behind-the-scenes videos
of this year’s PMI
Project of the Year
finalists on PMI’s
You Tube Channel.