INNOVATION EMPOWERS. CONSTRUCTABILITY AND CONSTRUCTION PLANNING BY ADOPTING STATE OF THE ART ENGINEERING AND CAD TECHNOLOGY

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1 INNOVATION EMPOWERS. CONSTRUCTABILITY AND CONSTRUCTION PLANNING BY ADOPTING STATE OF THE ART ENGINEERING AND CAD TECHNOLOGY MAURIZIO M. GRANATA BUSINESS DEVELOPMENT EXECUTIVE PROCESS POWER MARINE DIVISION

2 Innovation discussion: Innovation is a change in the thought process for doing something, or "new stuff that is made useful". [1]!"# Max McKeown, (2008). The Truth About Innovation. London, Prentice Hall

3 Agenda Drivers leading past technology improvements Competitive Environment and current Challenges Innovation available today

4 1 - Bring simple but powerful computing capabilities to Site Construction can be at times considered as stand alone world No information / data exchange from Home Office Basic construction needs: Warehouse management: MRR, MIR, Inventory Sub-contractors accountability Planning and Schedule $ %& '()*+,-.

5 2 - Improve data availability at Site Construction brings information from up stream work processes Bill of Materials from engineering and design PO data Planning Construction works New concepts in Construction Managements SMH, work efficiency, regional / local K factors construction DB $ %/ '()*+,-.

6 3 - Engineering visibility at Site: re-use design data The paperless dream Review 3D model at Site Revise Isometric drawings electronically Electronic As built 2D ½ - 3D Iso / Spool Management Tools for SITE Materials Issuing Report against Iso BoM Printed Collecting Notes / Collecting Vouchers $+%0 '()*+,-.

7 4 - Improve Procurement visibility at Site Full Tracking It empowers erection / fabrication feasibility Construction Forecast considers Supply Chain Events Maximize efficiency of fabricators to save time and cost EPCs fully control sub-contractors Tracking also QA/QC documents Materials Quality Certifications Heat Numbers OSD reports $ %" '()*+,-.

8 Agenda Drivers leading past technology improvements Competitive environment and current challenges Innovation available today

9 Competitive environment Mega Projects with global recession in between From Lack of resources to Volatile availability Risks increase Restlessly searching round for: Efficiency, more productive work, doing More with Less Do not overrun CAPEX budgets!

10 There is no single cause for overruns: Underpinning causes: The numbers are from Construction Owners Association of Alberta COAA. poor information integration, and CII - Construction Industry Institute - has run a similar study and found that direct work in the projects they studies varied from 20% to 33%, with an average of 27% direct work. availability and lack of coordinated and timely communications between all involved departments The 33% figure is a generous number.

11 Current challenges: EPCs Increase Direct work Reduce Waiting & Idle by 1. Sharing Engineering vision to Construction since front end planning 2. Providing Construction Management with clear, concise, and reliable data 3. Making Construction planning, sequencing and visualisation easier 4. Delivering the ability to understand impact of changes Concrete Carpenter General Heavy Equip Op Painters Inspectors Riggers Pipe Fitters Welders Week

12 Current challenges: EPCs and technology providers Make or Buy Internal development was a must. those days are gone Competitive paradigm shift Contractors work together Providing technology providers with common / basic / key requirements the standards software will address Need using standard software better than competitors Effective answers to EPC needs Real breakthrough, not easy improvement!

13 Agenda Drivers leading past technology improvements Competitive environment and current challenges Innovation available today

14 Construction: project execution internal client Point-to-Point Link between project systems: 3D CAD, Scheduling system, Materials management weak, yet possible option

15 Construction: project execution internal client 1(23 Work processes oriented integration is The answer "776 Bridge the gap in between who uses - who defines infos Provide Construction with appropriate data Single re-use of information: no re-create, re-define Easily sharing of information among stake-holders: Foreman, Project Controller, Expediter, Engineer, Designer Real teamwork between all Dept. and Disciplines 4-. No garbage In : No garbage Out! 56

16 Innovation empowers Constructability Review Meetings Effective Constructability starts from Smart Layout Engineering & Construction seats together to define smartest layout 3D technology is available to: Simulating layout and construction operations Test and trial Evaluating options, feasibility, potential delivery constraints, and relevant costs See more at :

17 Innovation empowers Proactive Construction Management Work with Owner teams to balance Systems Turnover perspective and Commissioning / Start-Up with EPC goals Prevent Engineering efficiency to drive priorities and sequence of work Construction organizations to think in terms of the most optimal bulk build or area Construction approaches Prevent Procurement strategies to be whip sawed by these competing perspectives

18 Innovation empowers Workface Planning Traditional approach New approach Projects are typically planned to result in designs Construction implies breaking the design down into planned tasks Field supervisors assign tasks to crew and ensure availability of required information and resources prior to work starting Organize and deliver all elements before work is done Break project into manageable Work Packages enable craft persons to perform quality work in a safe, effective and efficient manner Owner driven initiative Integrates design, construction and operations See more at :

19 Innovation empowers Workface Planning One Goal, One Team: it aids in communication and coordination between Operations & Maintenance (Commissioning Team), Construction and Engineering Teams (Contractor Teams) It facilitates alignment, balance and optimization across the full EPC and Start-Up continuum It prevents sub-optimization of any single stage from compromising overall objectives

20 Innovation empowers CWPs + DPs Balancing together: Construction Execution Plan Construction Work Packages Engineering Delivery Strategy Delivery Packages Construction Sequence to drive consistent planning for: Issued For Construction of Engineering deliverables Relevant Materials availability In-line with overall Project Schedule Early identification of issues with sequencing

21 Innovation empowers Easy handling of Priority changes What if next Delivery Package is missing? or not IFC yet? What if materials for next Work Package is suddenly delayed? System shall support remedial / recovery actions, by looking into all available 3D, 2D design, procurement, and planning data And quick re-definition of Work Packages

22 Developed by Construction Professionals for Construction Users Several Premier Partners provided Intergraph with input (1) CTCI Taiwan Fluor Global Keiwit USA Ledcor Canada Nexen Canada Technip Global URS Washington Div. USA (1) Alphabetic order

23 What our partners say about Intergraph s approach to Construction management Technip : SmartPlant Construction opens the door to new possibilities in project execution on any scale URS Washington Group : SmartPlant Enterprise s cutting-edge attributes will make us more efficient and add value to our customer s projects CTCI Corporation : This application has the potential to introduce a step change in the way we do business and lead to improvements in our projects See more at :

24 Business Benefits for all Players Risk reduction and capital cost containment, by Construction efficiency and productivity Cash flow optimization by Long Lead Procurement priorities Rework minimization / unplanned shifts in priorities by efficient planning and use of Engineering resources Revenue generating opportunities, by more efficient Turnover Taking 600 M project, and assuming Construction is 25% of Total Cost, 5% of saving in Construction costs means approximately 7.5 M

25 Grazie Maurizio M. Granata Skype: mmgranata