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Every business needs to develop the capability to deliver projects well to respond to changes in market conditions and advances in technology.
Unfortunately, studies show that only 1/3 of organisations achieve their planned level of return on investment.
Most managers and engineers have had experience of when things go wrong including troublesome new assets that take months of effort before they can be used productively.
Research into the causes of project failures has highlighted a number of common project weaknesses.
It has also highlighted opportunities to enhance project value and achieve higher levels of return on investment by actions to deal with the consequences of weaknesses in:
- Design Management,
- Early stage decision making about industry specialist issues when data are limited.
- Specification Development
- User factory readiness planning, skill development and change management of the shop floor reality.
- Project risk management.
- Balance complex trade offs to minimise future life cycle costs when making choices,
- Relationships with vendors.
The outcome is the use of Early Equipment Management principles to extend the traditional project scope from delivering a technical asset to that of delivering operational excellence through actions to:
- Capture tacit front line knowledge to inform investment, equipment specification and procurement decisions.
- Design specifications that highlight latent design weaknesses and guide progress towards lowest asset life cycle cost.
- Engage users in coordinating the project glide path to flawless operation from day one.
The gains are significant. A major oil and gas provider estimated that adopting Early Equipment Management principles on their project contributed additional Operating efficiency from production day one which delivered an annual return on investment of over 25%.
To find out more about Early Equipment Management check out our EEM Resource Article
Contact us to find out how we can work alongside your project team to develop in house capability to apply Early Equipment Management principles and techniques to live projects.
