PROJECT MANAGEMENT

PROJECT MANAGER

ENGINEERING MANAGER

PROCUREMENT MANAGER

CONSTRUCTIONMANAGER

PROJECT MANAGEMENT ORGANIZATION

• BASED ON THE NEEDS OF THE PROJECT AT VARIOUS POINTS IN THE DEVELOPMENT

• MAJOR FUNCTIONS – ENGINEERING– PLANNING AND SCHEDULING– PROCUREMENT– CONSTRUCTION

ENGINEERNG FUNCTION

• INITIALLY IS CONDUCTED IN THE OFFICE ENVIRONMENT UNTIL THE PROJECT IS FUNDED

• EXTENDS TO THE JOB SITE AS DESIGN PROCEEDS

• MOVES TO THE JOB SITE WITH CONSTRUCTION

• TYPICALLY HAS PROJECT AND DESIGN DIVISIONS

PLANNING AND SCHEDULING FUNCTION

• RESPONSIBLE TO DEVELOP THE PLAN FOR THE PROJECT TO COORDINATE ALL ACTIVITIES TOWARDS SPECIFIC GOALS

• MONITOR PROGRESS TOWARDS GOALS

• OVERALL PROJECT RESPONSIBILITY– NORMALLY MADE UP OF SUBSETS– INVOLVES ALL PROJECT PARTICIPANTS

PROCUREMENT FUNCTION

• RESPONSIBLE FOR PURCHASING AND DELIVERY OF ALL MATERIALS AND EQUIPMENT USED FOR THE PLANT CONSTRUCTION

• PREPARE SPECIFICATION• LOCATE VENDORS/CONTRACTORS• SOLICIT BIDS• MAKE AWARDS• SUPERVISE SUPPLIERS

CONSTRUCTION FUNCTION

• RESPONSIBLE FOR ALL ACTIVITIES AT THE JOB SITE

• MANAGE ALL CONSTRUCTION OPERATIONS

• TEST THE FACILITIES PRIOR TO OPERATION BY THE CLIENT

OFFICE ACTIVITIES

• PRIMARY ACTIVITIES INCLUDE– DEVELOP THE CONCEPTUAL DESIGN– DEVELOP PLANNING AND SCHEDULING

FOR THE PROJECT– DEVELOP THE DETAILED DESIGN– CREATE SPECIFICATIONS FOR

EQUIPMENT PURCHASE AND SUBCONTRACT

– DEFINE VENDORS AND CONTRACTORS.

OFFICE ACTIVITY DELIVERABLES

• ENGINEERING PROVIDES ALL PROJECT DOCUMENTATION INCLUDING:

• BFDs• PFDs• UFDs• P&IDs• DETAILED DESIGN DRAWINGS FOR CONSTRUCTION• TECHNICAL SPECIFICATIONS

• PLANNING & SCHEDULING PROVIDES ALL PROJECT SCHEDULES– ENGINEERING – PROCUREMENT– OVERALL CONSTRUCTION, WITH DETAILS AS CONTRACTS

ARE AWARDED– EXPENDITURES

EXAMPLE OF PROCUREMENT ACTIVITY

• CAN APPLY TO EQUIPMENT, MATERIALS OR SUB-CONTRACT

• SPECIFICATION PREPARATION

ENGINEERING ACTIVITY •PURCHASING ACTIVITY

•1.0 Develop design, detailed or outline, fabrication or performance specification data.•2.0 Review Vendor Technical qualifications.•3.0 Develop final technical portion of bid specification

•1.0 Define vendor list.•2.0 Develop Commercial specification and assemble for submission.•3.0 Submit RFQ to vendors and receive quotes.

EXAMPLE OF PROCUREMENT ACTIVITY

• AWARD CONTRACT

•ENGINEERING ACTIVITY •PURCHASING ACTIVITY

•1.0 Provide Technical clarification during bidding period•2. Technical Bid Clarification at Award

•1.0 Monitor bid preparation and provide pre-award commercial clarification.•2. Prepare commercial bid tabulation.

COMBINED ACTIVITIES•3.0 Make Recommendation for Purchase

•4.0 CLIENT Select Vendor•5.0 Make Formal Award

EXAMPLE OF PROCUREMENT ACTIVITY

• EQUIPMENT FABRICATION PROCESS

•ENGINEERING ACTIVITY •PURCHASING ACTIVITY

•1.0 Provide Fabrication Technical Clarification•2.0 Review Vendor Drawings•3.0 Provide technical preparation for any changes•4.0 Witness shop tests•5.0 Receiving review

•1.0 Obtain vendor schedules•2.0 Expedite and make progress payments•3.0 Review and confirm quality programs•4.0 Obtain all manuals, spare parts lists and Certified drawings

CONSTRUCTION FIELD ACTIVITIES

• OVERALL ADMINISTRATION OF JOB• CONTROLS (PLANNING, SCHEDULING

MONITORING)• ACCOUNTING (BUDGET, PAYROLLS, INVOICES,

ETC.)• MATERIALS AND EQUIPMENT MANAGEMENT AND

PROCUREMENT• RECEIVING, WAREHOUSING, ORDERING AND ALLOCATION• ERECTION EQUIPMENT UTILIZATION

• SUBCONTRACTS ADMINISTRATION -INTEGRATION OF S/C ACTIVITIES INTO THE OVERALL PROJECT

• PERSONNEL OPERATIONS FOR LOCAL DIRECT HIRE ACTIVITIES

CONSTRUCTION CRAFTS ADMINISTRATION

• CRAFT MANAGERS FOR DISCIPLINES - PIPING, ELECTRICAL, INSTRUMENT, WELDERS, ETC., USED IN EACH AREA

• CRAFT PERSONNEL - PIPEFITTERS, IRONWORKERS, BOILERMAKERS, WELDERS, ETC.

• QUALITY CONTROL - MONITOR ALL WORK TO ASSURE COMPLIANCE WITH FEDERAL, STATE AND PROJECT CODES. CONFIRM DIMENSIONAL INSTALLATION. CONFIRM PRE-COMMISSIONING TESTING.

FIELD ENGINEERING FUNCTIONS

• DEVELOP AND IMPLEMENT PROCEDURES FOR PRE-COMMISSIONING, COMMISSIONING, START-UP AND PERFORMANCE TESTING

• REVISE AND COMPLETE OFFICE DESIGNS• MONITOR SUBCONTRACTORS FOR:

– ADHERENCE TO CONTRACT PROVISIONS– CHANGE ORDER REVIEW

CONSTRUCTION PHASE SCHEDULING - TIME = MONEY

• OPTIMIZATION OF THE COST REQUIRED TO CONSTRUCT IS DEPENDENT ON TYPE OF JOB

• GRASS ROOTS - OPEN AREA FOR CONSTRUCTION

– EVERYTHING MUST BE DELIVERED TO THE SITE, PEOPLE, EQUIPMENT, MATERIALS, ETC.

– NORMALLY FEW MAJOR PHYSICAL LIMITATIONS, BUT LIMITED LOCAL SUPPORT SERVICES

– SITE PREPARATION - OCCURS ON THE ENTIRE FACILITY

GRASS ROOTS CONSTRUCTION• PLANT AREA ALLOCATION -

ADMINISTRATIVE BUILDINGS, LAY-DOWN AREAS, CENTRAL SHOPS, STORAGE AREAS, MAY BE RELOCATED DURING THE PROJECT AND SOME PERMANENT FACILITIES MAY ACTUALLY BE USED FOR CONSTRUCTION.

• CONSTRUCTION SEQUENCE - CAN BE OPTIMIZED TO MEET CPM AND USE VARIOUS LEVELING TECHNIQUES TO EFFECTIVELY UTILIZE TRADES PERSONNEL, WHO MAY BE AVAILABLE IN LIMITED NUMBERS.

CONSTRUCTION IN EXISTING FACILITY

• REMOVAL OF EXISTING FACILITIES REQUIRED TO MAKE ROOM FOR NEW EQUIPMENT AND CONSTRUCTION

• OFF-SITE WAREHOUSING TO ALLOW COORDINATED DELIVERY

• CONSTRUCTION SEQUENCE INCLUDES ACCESS TO LARGEST COMPONENTS FIRST

• CONNECTIONS TO EXISTING OPERATIONS AND UTILITIES FOR CONSTRUCTION, TESTING, PRE- COMMISSIONING, START-UP AND TESTING

• SHUTDOWN AND REMOVAL OF REPLACED FACILITIES

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OTHER CONSTRUCTION SCHEDULING FACTORS

• OFF-SITE EQUIPMENT FABRICATION - GENERALLY PREFERRED FOR ANY ITEM REQUIRING FORMING OR MACHINING OTHER THAN SIMPLE THREADING, CUTTING OR WELDING.

• BETTER QUALITY• EASIER TO HANDLE EXOTIC MATERIALS• LIMITED IN TERMS OF SHIPPING FINISHED

COMPONENTS AND SOME SHIPPING RISK• MODULAR CONSTRUCTION - SKID

MOUNTED, SHOP- COMPLETE PACKAGES

OFF-SITE EQUIPMENT FABRICATION ADVANTAGES

• MAY REQUIRE ADDITIONAL COORDINATION SINCE FIELD FITTING IS LIMITED AND CONNECTION TO EQUIPMENT FROM OTHER VENDORS MUST BE COORDINATED.

• PIPING - REQUIRES COMPLETED DESIGN PLUS COORDINATION TO DELIVER AS NEEDED FOR ERECTION.

• STEEL - REQUIRES COMPLETE DESIGN INCLUDING FIELD FIT SUPPORTS FORMINOR PIPING AND ELECTRICAL COMPONENTS

• ELECTRICAL - IDEAL METHOD WITH SHOP TESTING. TERMINATIONS MUST BE COORDINATED IN THE FIELD

• INSTRUMENTATION - SAME AS FOR ELECTRICAL

RESPONSILBILITIES DURING ERECTION & CONSTRUCTION

• QUALITY CONTROL• MAINTAINENCE OF SCHEDULES

– EQUIPMENT DELIVERY– MATERIALS– PERSONNEL

• SAFETY & ENVIRONMENTAL CONSIDERATIONS

• UPDATES OF ALL DOCUMENTATION TO AN AS-BUILT LEVEL

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PRE-COMMISSIONING OF FACILITIES

• LOCALIZED EQUIPMENT AND FACILITY TESTS

• PIPING - PRESSURE LEAK TESTS AND RADIOGRAPHY OF WELDS

• ELECTRICAL - CONTINUITY, CIRCUIT TEST, TERMINATIONS

• ROTATING EQUIPMENT - ALIGNMENT, DIRECTION, LUBRICATION

• INSTRUMENTATION - SIMULATION OF LOOPS

• NON-ROTATING EQUIPMENT - PRESSURE LEAK TESTS, CODE STAMPS

• CONCRETE - CORE TESTS

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COMMISSIONING OF FACILITIES

• LOCAL INTEGRATED SYSTEMS TESTS• PIPING - FLUSH AND CLEAN LINES• OPERATION - SIMULATE LOCAL SYSTEMS AND

CONFIRM GENERAL CAPACITY AND OTHER PERFORMANCE CRITERIA

• CHECK ALL INSTRUMENTATION LOOPS AND SHUTDOWN INTERLOCKS FOR CORRECT CALIBRATION AND RESPONSE.

• CHECK ALIGNMENT OF ALL ROTATING EQUIPMENT UNDER LOAD

• INSPECT ALL EQUIPMENT FOR ABNORMAL WEAR AFTER INITIAL OPERATION

• REMOVE ALL TEMPORARY STRAINERS AND CONNECTIONS USED FOR COMMISSIONING ONLY

START-UP OF FACILITIES• ACTUAL OPERATION OF INTEGRATED

PLANT SECTIONS• INITIAL OPERATION IN INDIVIDUAL AREAS

TO PRODUCE PRODUCTS FOR DOWNSTREAM TESTING. TOTAL RECYCLE OR VENT TO STACK OPERATION

• TRAIN OPERATORS AND REVIEW QUALITY OF OPERATING MANUAL DRAFT VERSIONS.

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