Jan 2023

While manufacturing excellence can sharpen the bottom line, growth in the Chemicals Manufacturing Industry is fueled by capital expansion projects. Yet the industry is riddled with projects that have gone astray with spiraling costs and extensive delays. In fact, poor project execution is so rampant that it is sometimes even accepted as the norm. But, is effective project execution so complex that the industry has to live with these problems? Are there measures that manufacturers can take to mitigate these issues? Thankfully, yes there are.

In this series of articles, we will go over the key measures that the industry could take to savor a smooth and controlled project execution experience. To exercise these measures effectively, it is essential to understand the project lifecycle. So, this first article of the series discusses the project lifecycle phases. Depending on the nature of the project, the duration can take a few months or even a few years. However, the phases that a project traverses remain principally the same. Broadly, the project lifecycle can be broken out as follows:

1. Engineering:

The final purpose of the engineering phase is to develop high-quality documents for the procurement and construction phases efficiently. To arrive at these documents, the engineering phase goes through the following stages and associated gates:

1.1. Conceptual Design: The objective of this stage is to conceptualize the project with activities like technology finalization, master planning, stage 1 (Preliminary) estimates for the project CapEx, and the project plan.

1.2. Basic Engineering / FEED: Basic Engineering / Front-End Engineering Design (FEED) defines the project’s process framework. Activities here comprise developing specifications for equipment, their interconnecting piping and instrumentation, and the equipment’s layouts. Stage 2 (Interim) estimates for project CapEx and project plan are also developed here.

1.3. Detailed Engineering: The objective here is to add discipline-wise details to the process framework for the development of the procurement specifications and construction drawings for the project. Additionally, applicable statutory approvals are initiated in this phase. Stage 3 (Final) estimates for project CapEx and project plan are also developed here.

2. Procurement:

The purpose of the procurement phase is the cost-effective and timely delivery of the project items and materials in line with the engineering specifications. This phase consists of the following stages and associated gates:

2.1. Preparation: Typically conducted in parallel with the FEED, preparatory activities include selecting and listing out the vendors for the project. In the case of special items, some vendor development activities may also be required. Logistic aspects are also covered here. And finally, the activity for identification and planning for the long-lead items is also conducted here.

2.2. Pre-Order / Order: Carried out in parallel with detail engineering, structured and time-bound pre-ordering / ordering of the items & materials goes a long way to ensuring schedule-driven projects. Activities consist of floating inquiries to the identified vendors, and techno-commercial discussions followed by negotiations and order placement.

2.3. Post-Order: Carried out towards the later part of detail engineering and thereafter, the objective here is to manage timely and quality-driven fabrication, inspection & testing, dispatch clearance, and delivery of items and materials.

3. Construction:

The purpose of the construction phase is the cost-effective and timely installation of the project items and materials in line with the engineering specifications. This phase consists of the following stages and associated gates:

3.1. Preparation: Carried out in parallel with detail engineering, the objective here is to efficiently plan the construction work. The erection tenders are accordingly prepared, floated, and awarded. The availability of utilities like electricity, water, etc. for the construction work is also planned.

3.2. Material Inventory: The purpose is to ensure that all materials received at the site are in good condition and safely stored for easy identification and retrieval during erection.

3.3. Erection: The purpose here is structured mobilization and management of the erection teams for quality, costs, and schedule of the erection process. The HSE aspects have strict adherence.

3.4. Finalization: As the erection works are completed, the plant gets readied for mechanical completion, followed by pre-commissioning and commissioning steps, and finally flows seamlessly into plant operations.

In the next article of this series, we shall discuss the first phase of the project, namely the Engineering Phase along with the potential risks for project delays and cost control measures.

With the increase in the number of small to medium-sized chemical manufacturing facilities, facility engineering consultancy is on the rise. When you choose the support of an engineering consultant as an associate partner, your facility can have an experienced opinion on quality, process improvement, maintenance, control, and estimating.

In addition, consultants can help the facility by organizing all the essential vendor channels and infrastructure. To let your firm experience success, it is ideal for one to seek assistance from an efficient engineering consultancy firm. The multi-disciplinary team of experts can help to get your project done with their knowledge, efficiency, and skills.

Let us know about the benefits that one can get by hiring an engineering consultant in Vadodara.

Cost & Time savings

Major Project cost is defined during the Basic & Detailed Engineering Phase, and hence hiring an Engineering consultant will be beneficial for clients to save their Major CapEx & OpEx.

1. Minimize & Control CapEx
2. Reduce Project Duration
3. Smooth & Fast Start-up
4. Minimize Variable Costs
5. Minimize Downtime
6. Safer & Smoother Operations
7. Regulatory compliance

Flexibility

Looking from a budget standpoint, a business would experience maximum profit while hiring a chemical consultant. Since the business arrangement is flexible, consultants can work on an ad hoc basis.

If the business hires a permanent employee, it will not be able to make any flexible agreements. Also, the organization would experience optimum efficiency with last-minute projects.

Reduction of the risk

Any business would incur less risk and upfront expenses to hire any consulting firm other than a full-time employee. A consultancy firm would save the business with its expert knowledge. Apart from that, when you hire a full-time employee, you need to provide them with training. On the other hand, consulting firms have the potential to save your resources and time.

Collaboration

As you collaborate with an individual engineer, they won’t be able to provide you with the same expertise as when you hire a team. Any engineering consultancy firm will have a team of experts who would be efficient enough to study, design, and work with the plant layouts. The skills of the combined team members would help improve the workflow process of the facility. At the same time, the consultants would also utilize the knowledge and expertise of specific team members to match the project need.

Expertise

The engineering consultants draw expertise from various project knowledge and industries. Such experience of working in different sizes of facilities fills them with background knowledge. As they experience a wide range of problems, they can find the best solution to any problem immediately.

Innovation

As you take their assistants by appointing any outside consulting team, you will bring innovation and invaluable creativity to your project.

Other than that, the consultant team would utilize their latest innovative methods and technology to bring up fresh results. In addition to that, the consultancy team would understand the weakness and technical strengths of the business with their expertise, proficiency, and experience. Hence they are presumed to be the best fit for any project.

Bottom line

As more and more businesses are taking advantage of Chemical Consultancy Services for setting up their chemical plants construction projects and product development, you must pay attention to reliable partners while choosing. Having chemical manufacturing hubs nearby there are many engineering consultants in Vadodara, one of them being Quanta Process Solutions which provides an access door for every project size. Quanta Process has an access door for every project size. No matter what your requirements are, you will be in good hands with a dedicated team.