AIM for Design-Build:What’s Needed? What’s Reality?

AIM for Design-Build:What’s Needed? What’s Reality?

Russ NovakDirector of Consulting

ARC Advisory Groupy prnovak@arcweb.com

AgendaAgenda

O/O Perspective of Design-Build and AIM

What is Design BuildWhat is Design-Build

• O/O Design-Build Activities

• O/O Design Build Scenarios• O/O Design-Build Scenarios

• Asset Information

• Stage Gates• Stage Gates

Operational Readiness

Design Build Reality: Constraints & ObstaclesDesign-Build Reality: Constraints & Obstacles

Design-Build What’s Needed: Optimum Scenario

3D Modeling Utilization by O/O

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3D Modeling Utilization by O/O

Design-Build ProcessesDesign-Build Processes

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Design-Build O/O ActivitiesDesign-Build O/O Activities

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Design-Build: O/O Base ScenariosDesign-Build: O/O Base Scenarios

Brownfield and Greenfield

Internal & External Resources

Project Classificationj

Size & Complexity

Contractual Structure

Lots of different base cases for project delivery,But all require asset information exchange

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What Is Asset Information?What Does It Consist of?What Is Asset Information?What Does It Consist of?

Functional• Process

S

Design• Process

D i

Procedures• Project Mgmt

Commercial• Financial Analysis

Status• Project & Site

History• Source &

B ild Hi tSpecs • Process

Models• Process Calcs • Flow Diags• Equip Calcs

Design • P&ID• Equip Layout,

Design, BOMs

• System

• Install/Test • Descriptions

of Operation• Operating • Insp & Maint

C tifi ti

• CAPEX• Depreciation• OPEX• Purchasing

RecordsW t &

• Procurement• Operational

Status• MRO

Inventory• Training

Build History• Operating

History• Maint History• Inspection

Records• Equip Calcs • Equip Specs• Func Designs

• System Detail Design

• MRO BOMs

• Certification Reqs

• Lockout & Safety Reqs

• Warranty & Repair Records

• O&M Service Agreements

• Training Records• Incident

Reports• People

Certifications

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Reference Data Activity Records

Design-Build: Concept -> Operational ReadinessDesign-Build: Concept -> Operational Readiness

Asset Information to Constructto Construct

ALM Procedures WorkflowsProcedures,Workflows

Operational ReadinessC t

Asset Information

Operational ReadinessConcept

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Asset Information for Operate/Maintain

Design-Build: O/O ActivitiesInterdependencies and AIM Design-Build: O/O ActivitiesInterdependencies and AIM

Concept

Process Design Construct

Project Mgmt

Evaluate

Permits

Training Design

Handover

Budgeting

Construct

Scheduling Procure

g

HandoverCommission

Finance

StartUp

Mgmt Reporting

FEED

EstimatingUpp g

InspectionEngineering

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OperationalReadiness

Design-Build: Stage Gate Processes and AIM Design-Build: Stage Gate Processes and AIM gg

Decision points-ascertaining whether a project is proceeding as planned and a resultant proceed, hold, or cancel decision

Gates typically used during iterative, linked project development processesproject development processes

Decision support information must be managed and standardized g

• To enable management of change,

• Provides updated design basis, and p g ,

• Ensures reliable useful exchange between various project teams

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Design-Build: Reality, Constraints & Obstacles Design-Build: Reality, Constraints & Obstacles

Different Worlds: O/Os don’t fully understand the AIM aspects of E&D, EPCs, or Project Mgmt. … and vice-versa

AIM D-B Processes: Asset-centric Approach vs. “Silos”

Interdependency issue is underestimated

“Workarounds” distort reliability of information

Increase in Size/Complexity/Costs: =>Unacceptable Risks with legacy AIM

Failure to follow AIM Best Practices

Lean/Aging workforce (information transfer & retention)

Engineering Tools originally designed for E&D, not O/O

Changed form of information: Drawings --> Databases

Initial development of IT systems not focused on D-B

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Initial development of IT systems not focused on D-B

Design-Build: What’s Needed-Optimal CaseDesign-Build: What’s Needed-Optimal Case

O/Os fully understand the asset information needs of E&D, EPCs, and Project Management, …and vice versa

Lean/Aging workforce issues resolved/compensated by emergence of knowledge worker and AIM training

Engineering Tools evolve for AIM to both E&D and O/Og g /

Technology enables automation of AIM for D-B

IT and enterprise systems are totally in sync with the entire D-B space and AIM processspace and AIM process

All phases of D-B related work is understood, accepted, and incorporated into normal business workflows

Seamless transfer of D-B asset information to Operate and Maintain phases

Central governance and process assurance programs in place

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g p p g p(but not needed)

Design-Build:Operational Readiness Design-Build:Operational Readiness

Definition: The completed asset is ready to be used successfully at will by the ownersuccessfully at will by the owner

Priority: O.R. should be a Primary Objective – inclusive of and affected by the culmination of all D-B activities

Justification: Revenue generation begins here–the purpose for which the project was created

Information Requirements: concurrent transfer of

• Asset information used for Design-Build

• Asset information for Operate/Optimize/Maintain

O.R. is the responsibility solely of the O/O

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Design-Build: 3D ModelingDesign-Build: 3D Modeling

Brownfield vs. Greenfield Case

Design vs. O&M UsageDesign vs. O&M Usage

Mixed O/O Response/Adoption

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Thank You.Thank You.For more information, contact the author at

rnovak@arcweb.com or visit our web pages atwww arcweb com

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