Best Oil Company To Work For
Planning the fabrication of modules for offshore platforms (for accommodation, control functions, etc.) in a conventional, critical path network manner focusing on the project whichway naturally assumes modules are completed before taking them out to install on the platform. In practice it is much more expensive to complete fabrication offshore, but it may be cheaper to do so than missing a weather window. Hence, the planning process ought to reflect the trade-off between the cost of onshore offshore fabrication and the expected cost of missing a weather window.
Uncertainty associated with strategic plans and associated contingency plans will have been shaped by the shaping phases, but the additional detail provided by the last step may require lower-level RMPs to refine and develop both proactive and reactive responses. For example, an offshore North Sea project treated in terms of 40 activities in the shaping phases might involve 400 activities at this point. An activity like 'fabricate the modules' (packages of equipment and accommodation installed on top of the offshore platform) that did not distinguish different types of modules earlier can now be decomposed into 10 or so activities to consider each module individually, recognizing different lead times and sources of uncertainty. A lower-level RMP necessarily involves much more detail in terms of the activity structure and the other five Ws, and usually it will involve much less pay-off for effective uncertainty management, so simpler models should be anticipated on average. However,...
The continuous improvement topics in this section embody the ISO 9000-2000 Principles 6 and 7 (continuous improvement and a factual approach to decision making). In the manufacturing world of repetitive and continuous processes, these principles are exemplified by the small and large projects initiated to improve production on assembly lines, oil rigs, or fast-food counters.
From airline crashes to oil-rig sinkings, the stories in this book point out the direct relationship between complex engineering and their fragile, simple, nonlinear weaknesses that can lead to disaster. Although it reads more like a series of long essays on specific disasters than a book with a central or connected theme, I found all of the stories of technological disaster interesting and thought provoking.
Oil majors with North Sea projects in the 1970s typically took a very hands-on approach to risk management (e.g., they paid their contractors on a piece or day rate basis for pipe laying). Some risks, like bad weather, they left to their contractors to manage, but they took on the cost consequences of unexpected bad weather and all other external risks of this kind (like buckles). The rationale was based on the size and unpredictability of risks like buckles, the ability of the oil companies to bear such risks relative to the ability of the contractors to bear them, and the charges contractors would have insisted on if they had to bear them.
At 12 30 p.m. on Tuesday, March 8, 1994, a fire broke out in the carbonate regeneration column in the Benfield Unit of the Gas Circuit at Sasol Three, one of the factories of Sasol, a leading South African coal, chemical, and crude-oil company. The column, which was open for repairs and maintenance during the annual factory shutdown, is used to process hydrogen. It is one crucial component in a long chain of equipment that converts coal to oil and chemicals. Without it, a large section of the factory could not function, resulting in a considerable loss of income.
SELLER'S WARNING This all sounds fairly cut-and-dried and it usually is. However, there is a caveat of which you should be aware Know something about the motives and intentions of the buyer before you sink thousands of dollars, resources, and time into an elaborate RFP response. A former employee of a major U.S. oil company confided to me that the company would frequently issue an RFP but not to actually have the work done by an outside vendor. It was used to either (1) validate the buyer's software architectural approach by comparing it to solutions from third parties or (2) validate that the buyer had covered all the potential options for development by validating their approach against third-party solutions. It was a ploy designed to obtain some free consulting. The issuers of the RFP would then go back to management and say, See we had it figured right all along. Look at the RFP responses. We have validation that we are offering a cutting-edge solution and that we are on the right...
Figure 11.5 suggests a probability of achieving the base plan completion date of about 0.15. This was an unsatisfactory outcome. Once it was confirmed that the picture portrayed by Figure 11.5 was valid, improving the prognosis was in order by changing the base plan or contingency plans with particular reference to key issues. In the process of industrial dispute data acquisition and analysis, the hypothesis that a carefully drafted contract with the yard would be an effective response was explored. Analysis suggested such contracts actually had little effect on these industrial disputes. Such industrial disputes mainly occurred during the last 10 of a contract if no more work was anticipated in that yard on completion. Recognition of this cause led to effective action smoothing the flow of work to yards to the extent possible by all the oil companies involved. It was recognized that this resolved the particular problem diagnosed by Figure 11.5 and the more general 'industrial...
There is an operation outsourcing contract called partnering, which is more advanced than outsourcing. This is seen in the oil industry and petrochemical industry in the United States and Europe. For instance, a plant owner company and a contractor sign a comprehensive outsourcing contract on a specific operation with a term of 3 to 5 years. The owner guarantees workload, and the contractor sets up a specific department for the client and allocates fixed members there to perform work. This is an alliance with the aim to improve the quality of work performance based on the relationship of trus t between the owner and contractor.
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