Overview

Management of a large petrochemical owner operator, looking to grow through capital expansions, identified piping specification management as an enabling foundation to support materials management, procurement, warehousing, operations and maintenance, with the objective of reducing costs and risk through the lifecycle of their multiple projects and plant.

Challenges

The existing paper and spreadsheet corporate library contained a highly utilized group of 140 piping specifications and management identified the following risks and challenges with it:

  • Specifications were not managed in a controlled database which created risk of errors and/or duplication in the creation of engineering codes and SAP material identifiers. Assumption was that thousands of errors existed, and this created the possible risk of failures that could result in safety incidents and/or the loss of assets.
  • System had become highly labor intensive with each paper specification having to be manually created/updated, then reviewed and approved using dated and inefficient workflows.
  • Inflated Projects costs – Pay EPC’s on each project to create specifications and then populate into 3D design tools. Maintenance and Engineering have to do walk downs to validate as-built status of the plant and the equipment.
  • Limited integration with SAP which created duplication of data entry work while introducing risk of creating inaccurate and inconsistent data
  • Limited reporting capabilities which could impact the timeliness and quality of decision making
  • As the size of the corporate library grew the reporting and tracking of line class components was becoming unmanageable.

The concerns with their existing solution also created worries that Supply Chain, Procurement and Warehousing were likely being impacted by having to purchase and store products from multiple vendors while housing thousands of spare parts which in turn could be tying up millions of dollars in unoptimized inventory.

Solutions

The client engaged ReVisionz to analyze the situation, compare options, and recommend a long term solution, to manage and sustain its corporate piping specifications and catalogue solution.

Based on our domain knowledge and implementation experience, ReVisionz developed use cases, implementation and cost models that created comparisons and scoring against 3 possible solutions:

  • Continue with current paper/spreadsheet solution with enhanced processes and workflows.
  • Develop an in-house software solution.
  • Buy “best in class” commercial off the shelf software solutions.

The recommended solution including ROI analysis, implementation and sustainment plans were developed in alignment and around our client’s 5 key business drivers:

  • Total cost of ownership
  • Re-use of information
  • Technical data integrity
  • Maintainability
  • Integration across business systems

In this case, the fit for purpose solution is a commercial software solution that houses all corporate wide line classes and catalogues in a single digital database that supports the plant lifecycle and “create once, use many” concept while enforcing QA/QC processes and technical data integrity. The chosen solution also offers outputs to multiple 3D design systems and integration with SAP.

Outcomes

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Streamlined Library

The corporate library now includes 126 essential line classes, down from 140.

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Enhanced Staff Experience

Staff report a tenfold improvement in accessibility, quality, and information reporting.

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Efficient Project Turnaround

Efficient turnaround and rapid availability of specifications and catalog items across design and procurement platforms.

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Enhanced Operations Efficiency

Streamlined process for referencing, requesting, and ensuring technical integrity in RFQs and POs.

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Improved Shelf Space Management

Enhanced physical item identification and reduced duplication improve warehouse and plant store efficiency.

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Improved Data Management

Enhanced data organization and streamlined access, ensuring efficient utilization across corporate operations.