Monday Nov 11, 2013

EPPM Is a Must-Have Capability as Global Energy and Power Industries Eye US$38 Trillion in New Investments

“The process manufacturing industry is facing an unprecedented challenge: from now until 2035, cumulative worldwide investments of US$38 trillion will be required for drilling, power generation, and other energy projects,” Iain Graham, director of energy and process manufacturing for Oracle’s Primavera, said in a recent webcast. He adds that process manufacturing organizations such as oil and gas, utilities, and chemicals must manage this level of investment in an environment of constrained capital markets, erratic supply and demand, aging infrastructure, heightened regulations, and declining global skills. In the following interview, Graham explains how the right enterprise project portfolio management (EPPM) technology can help the industry meet these imperatives. Project Portfolio Management Solutions for Capital Projects

Q: Why is EPPM so important for today’s process manufacturers?
A: If the industry invests US$38 trillion without proper cost controls in place, a huge amount of resources will be put at risk, especially when it comes to cost overruns that may occur in large capital projects. Process manufacturing companies must not only control costs, but also monitor all the various contractors that will be involved in each project. If you’re not managing your own workers and all the interdependencies among the different contractors, then you’ve got problems.

Q: What else should process manufacturers look for?
A: It’s also important that an EPPM solution has the ability to manage more than just capital projects. For example, it’s best to manage maintenance and capital projects in the same system. Say you’re due to install a new transformer in a power station as part of a capital project, but routine maintenance in that area of the facility is scheduled for that morning. The lack of coordination could lead to unforeseen delays. There are also IT considerations that impact capital projects, such as adding servers and network cable for a control system in a power station. What organizations need is a true EPPM system that’s not just for capital projects, maintenance, or IT activities, but instead an enterprisewide solution that provides visibility into all types of projects.

Read the complete Q&A here and discover the practical framework for successfully managing this massive capital spending.

Friday Sep 13, 2013

Top Challenges, Implications, and Strategic Solutions for Energy and Utility Companies

The International Energy Agency (IEA) forecasts roughly a $38T capital outlay over the next 15 years for the energy sector. Global energy and utility demand isTop Challenges, Implications, and Strategic Solutions for Energy and Utility Companiesexpected to increase by over one-third in the period to 2035, while the primary energy supply mix shifts considerably to natural gas and unconventional sources. The ability for global power and process owners, operators, contractors, and E&C companies to meet demand will largely depend on their ability to overcome five pain points: a constrained capital market, erratic supply and demand, aging infrastructure, a heightened regulatory environment, and declining global skills.

Iain Graham, director of Process Manufacturing Strategy, Oracle Primavera, hosts a Webcast available On-Demand that spotlights three strategic drivers—operational excellence, financial discipline, and risk mitigation—which are key in driving success and helping to identify, select, execute, operate, and maintain assets in an increasingly complex world. During the Webcast, Iain discusses how financial discipline can help manage capital expenses and focus capital on areas that drive greater shareholder value. Through examples that Iain provides, you can learn how operational excellence enhances efficiency, optimizes resource pools, and reduces waste and inefficiencies. He also covers how improved awareness of cash flow and capital expenditures can help any power and process company better manage and react to uncertainty.

Read the full edition of Engineering News Record’s 2nd edition of Construction Connection to discover more successes and stories in the current and emerging environment in the engineering and construction industry. 

Visit the microsite to read highlight articles from the digital magazine.

Thursday Aug 29, 2013

Top Strategic Drivers to Success in an Unpredictable, Changing World

Whether they are in the power or process industry, owners, operators, and their E&C partners face extraordinary demands in the next 20 years. The International Energy Agency (IEA) 2012 World Market Report estimates that a cumulative investment of US$37 trillion is needed in the world’s energy supply system by 2035.1 Of that investment, US$19 trillion will need to go to oil and gas facilities and infrastructure and US$17 trillion to meet generation, transmission, and distribution needs with the remaining targeted at other energy solutions.

The $19 trillion in oil and gas investments is expected to span the globe from U.S. shale and Canadian oil sands to Iraq’s new oil fields and Brazil’s deepwater drilling. IEA also points out that the current energy renaissance in the U.S. will have significant implications for energy markets and trade. By 2030, the U.S. should be self-sufficient in net energy needs and a net oil exporter because of its increased production of oil, shale gas, and bioenergy as well as improved fuel transport efficiency. As a consequence of the U.S. shift, international oil owners will place more emphasis on Asian markets and strategic links to the Middle East. Utilities face unprecedented pressures, as well, given IEA’s estimating $17 trillion investment in power infrastructure. Global electricity demand is expected to increase over 70% by 2035, according to IEA, with over half that demand from China and India. As well, electric utilities in the U.S. are expected to invest at least $51.1 billion in transmission projects through 2023.2 The Edison Electric Institute (EEI) estimates that more than three-quarters of the $51.1 billion will be used to support the integration of renewable resources in an effort to meet growing demand, relieve congestion, improve reliability, and support new generation sources to power grids.

Whether owner, developer, utility, or E&C company, success in the current and emerging environment will most certainly depend on an organization’s cost control, operational efficiency, and risk mitigation—read the full article in Engineering News Record’s (ENR) 2nd edition of the Construction Connection digital magazine to discover why.

Visit the microsite to read highlight articles from the digital magazine.

Thursday Jul 11, 2013

UPCOMING WEBCAST - The $38T Challenge: Strategic Implications for Energy Companies

The Energy Information Administration forecasts roughly a $38T capital outlay over the next fifteen years for the energy sector.

Register today for this upcoming live webcast on July 31, 2013 at 9:30 a.m. PT / 12:30 p.m. ET and learn what is the needed practical framework for your company to successfully manage this massive capital spend.

Discover the answers to questions like:

  • Is your energy company identifying, selecting, executing and ultimately operating these assets properly?

  • Are you successfully reducing waste and inefficiency?

Listen to customer success stories from your industry and learn how they achieve operational excellence, financial discipline and mitigate risk int heir companies. Plus you will be given the opportunity to have your questions answered during the live Q&A at the end of the webcast.

Save your seat today, you don’t want to miss this webcast if you are in the energy and utility industry! 

Sunday Apr 01, 2012

Building in Change: Project Construction in Asset Intensive Industries

According to a recent survey by the Economist Intelligence Unit, sponsored by Oracle, only 51% of project owners rated themselves as effective at delivering their projects to scope, budget, and schedule when confronted with change. In addition only 43% rated themselves as effective at anticipating potential change.

Even with the best processes and technology in place, change is often an unavoidable part of the construction process. How organizations respond to change can mean the difference between delays and cost overruns, and projects being completed on schedule and on budget.

Implementing Enterprise Project Portfolio Management and using a solution to help manage and automate those process can help asset intensive organizations:

  • Govern project and program compliance and regulatory requirements for project success
  • Unite project teams and stakeholders through collaboration and strong feedback methods to speed project completion
  • Reduce the risk of cost and schedule overruns and any resulting penalties to deliver on time and on budget
  • Effectively manage change throughout the project life cycle
  • Ensure sufficient capacity, utilization, and availability of people, skills, and other resources to meet commitments.

The results of the recent EIU survey, sponsored by Oracle:"Building in Change: Project Construction in Asset-Intensive Industries", will be revealed in an upcoming webinar with Hart Energy / Oil & Gas Investor, featuring the Economist Intelligence Unit and Oracle on April 11th at 1pm CST.

Click here for further information or visit http://www.oilandgasinvestor.com/

Monday Feb 06, 2012

Investment Intentions in the Oil & Gas Industry show significant improvements over the next 12 months

By Guest Blogger: Geoff Roberts, Oracle Primavera Industry Marketing Manager, Oil & Gas/Utilities

According to a recent survey conducted by the Economist Intelligence Unit (EIU) and commissioned by GL Noble Denton, “Big Spenders: the outlook for the oil and gas industry in 2012”  there has been significant improvement in a number of key areas around investment intentions over the next 12 months:

  • Industry optimism is high and rising up 6% on last year
  • Investment intentions are significantly stronger than last year, 63% of Executives plan to invest more or substantially more over the next 12 months.
  • Rising operating costs are seen as the key barrier to growth for the second year running, both employees and contractors
  • Skills are a growing concern with 34% of respondents identifying it as a top-three issue.

 With this in mind it is important that organizations look to manage their project portfolios throughout the Plan, Build and Operate phases, and to support this a solid PPM solution will help them to:

  • Ensure the correct investments are selected to provide the highest ROI
  • Ensure the most appropriate contractors are selected
  • Optimize the correct mix of contractor and employee staff
  • Forecast the skills requirements based on current/future projects
About

Information and insights on EPPM trends and best practices.

Stay Connected


Twitter

Search

Archives
« April 2014
SunMonTueWedThuFriSat
  
1
2
3
4
5
6
7
8
9
10
11
12
13
15
17
18
19
20
21
22
23
24
25
26
27
28
29
30
   
       
Today