Challenges and best practices in EPCI projects: case research on offshore and marine industry in Singapore
Khare Shubham Hari
Date of Issue2014
School of Mechanical and Aerospace Engineering
A systems view of the energy world is a must in this age of intense competition and limited availability of conventional energy sources. The massiveness and complexities of Engineering, Procurement, Construction and Installation (EPCI) Projects make it more relevant to integrate the principles of both Systems Engineering and Project Management in EPCI Project activities. The EPCI contractors have to deal with many challenges - technical, managerial, political, environmental, and others- during the long life cycle of EPCI Projects. In today's competitive global market with dynamic IT tools, it is imperative for any organization to remain ahead in the race by adopting best practices based on Systems Approach in Project Management in all facets of its operations. The prime objective of this dissertation is to study the challenges and complexities faced in EPCI projects by global prime contractors and by Singapore's offshore and marine industry contractors and propose best practices and recommendations. A systems approach should be followed by organizations to manage, allocate and time resources to achieve the enterprise-wide goals in an efficient and expeditious manner with the consideration of all global ramifications. The dissertation will address the challenges during all phases of EPCI projects and suggest ways to Singapore's Offshore and Marine Industry to stay competitive. The scope if this dissertation is to analyze two largest groups of Singapore's offshore and marine industry, namely Keppel Offshore and Marine (KOM) and Sembcorp Marine Ltd. (SCM). The major challenge to the industry is the rising competition mainly from China and Korea. Also a substantial number projects in the industry continue to be challenged. A coordinated application of Systems Engineering and Project Management can be one of the best practices that can help KOM and SCM to execute projects in more efficient, cost effective and environmental friendly manner. The recommendations in the dissertation will be provided by applying Project Management, Systems Engineering and strategy models to the offshore and marine industry.