Engineering bottlenecks with mega projects… - UCSB MRSEC

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17 Terawatts to 30 Terawatts abuilding perspectiveFebruary 2 2015 2010 Fluor All Rights Reserved Construction engineering limitations .
In the past ten years projects have faced constructionand engineering constraints Schedule delays during detailed engineering due to resourcelimitations Significant equipment and materials price increases due.
Significant construction cost and schedule impacts due toavailability of skilled craft workers Industry reaction Need to change how a project is executed Changes in project execution .
Project execution is faced with changes in resourceavailability Project scale creates special challenges Leverage reduced operating company staff by hiring aseparate engineering firms as an owner s engineer .
Detailed design engineering firm needs to execute in multipleoffices or in joint ventures collaborations with otherengineering firms Use of more expensive complex modularization to leverageconstruction labor at fabrication sites around the world.
More time and costs for coordination among greaternumber of sites companies etc Exacerbated by rushing the planning The gated design and project development process isvery effective when done properly .
The study phase in too many projects has not beencompletely scoped Long lead equipment not factored into planning Construction strategy not part of early planning process Incomplete assessment of upcoming EPC market demands.
FEED phase design not tailored to modularization Leads to inefficiencies schedule delays and costsgrowth during EPC phase It s all about logistics Planning scoping and executing a project is all about.
logistics Consider a modern steam cracker complex for theproduction olefin based chemicals production World scale production of commodity products to achieveeconomies of scale.
Project will require a significant degree of autonomy including dedicated systems of utilities and offsites Investment likely 10 billions of dollars Design complexity needs to address a phased start up ofprocessing blocks once the utility infrastructure is in place.
It s all about logistics Consider a modern steam cracker complex for theproduction olefin based chemicals production Construction labor force required for a stick built plant is 6000 workers if everything goes well .
Construction force could peak to 10 000 to hold schedule Problems due to weather mobilization difficulties labor shortages labor actions etc the required labor force could increase further For a project of this size the construction duration may be 2years to 3 years.
In many regions of North America there are not sufficientnumbers of trained craft workers within hundreds of miles ofthe project site And most are already employed by other companies And there are mobilization realities .
Consider a workforce of 6000 craft workers The logistics to just transport these workers from the parkinglot through Security and to the job site every day isconsiderable Short term housing is required whether the job site is in Lake.
Charles or Houston or Riyadh Food and other amenities are needed First aid and medical facilities are a necessity Schools for children of the craft force may be needed as well All this needs to be in the project budget.
Many workers will come from other States Many may need specific training for the project for example welding of special alloy piping And there are mobilization realities Consider a workforce of 6000 craft workers .
All of these workers are busy in one site which may only be400 acres in size Construction interferences equipment other crafts otherworkers will impact productivity Areas need to be cleared of personnel for safety reasons.
during large lifts by crane or welding above grade To relieve this congestion and shortage of local craftworkers modularization or pre assembly will be used Disperse the workforce Modularization pre assembly is now a common feature.
of most mega projects Build modules away from the project location to relievecongestion Build modules where there are more skilled craft workers Build indoors or in milder climates where weather delays are not.
Create module fabrication facilities that can be base loadedversus the temporary work site Implement more automation into fabrication than may be possible at theproject site Minimize the size of the local workforce at the project site to.
minimize the disruption to the community Engineering bottlenecks with mega projects The same applies to detailed engineering andprocurement Rarely is a mega project executed in one office location of.
by a single EPC firm No one office has the scale to handle a mega project And startup and completion of a mega project is verydisruptive to staffing The financial risk is onerous for a single company.
Looking ahead The gated approach multiple studies followed by asingle FEED effort and then detailed engineering andprocurement is the best method to develop any Take the time to plan early before hiring large teams.
Develop the procurement and construction executionstrategy early in the study phases Include courses in gated execution in project managementand construction curricula Looking ahead .
Grow the craft work force Centralized fabrication sites can provide employment Specific training for the project at hand Greatest challenge to attract and hold craft workers is pay Over the past 40 years craft wage rates have been flat or.
declining in real dollars Looking ahead New technology will have the greatest impact Consider friction stir welding for repetitive welding Better quality than fusion welding.
100 repeatability Better weld properties Possible to assess weld quality as it is done No worker exposure to metals fumes Weld inspection techniques .
More thorough examination Faster assessments Technology needs to offset the challenges of adeclining workforce.
In the past ten years, projects have faced construction and engineering constraints: Schedule delays during detailed engineering due to resource limitations. Significant equipment and materials price increases due demand. Significant construction cost and schedule impacts due to availability of skilled craft workers. Industry reaction:

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