Engaging a contractor in the turnaround readiness review (TRR) process will align the stakeholders (owner, contractors and other suppliers) and increase the likelihood of a successful turnaround event. Integrating a contractor during this planning process will improve the execution team’s alignment and overall level of readiness going into the turnaround.
A TRR is a systematic process of reviewing the readiness and alignment of stakeholders in achieving the turnaround objectives. The TRR is performed during the turnaround planning phase as a scheduled milestone. Included in this process is a thorough review of all turnaround schedule milestones, documents, processes, organization and site preparation. In this article, I will discuss the value of a turnaround contractor in the TRR process. I will review how a contractor can influence, support and improve the planning process, the turnaround execution team alignment and, therefore, the level of turnaround readiness.
A turnaround contractor is a valuable partner for an owner company that recognizes the importance of turnaround readiness. Owners understand that the data provided by the contractors can be utilized for scope benchmarking, detailed planning and work process improvement. The challenge of balancing the needs of all stakeholders remains. The contractor must ensure functional support requirements are aligned with the owner and considered part of the readiness review.
Before I review the three categories by which a turnaround contractor supports the TRR process, please review the 10 success factors (shown in graphic) from which they were derived.
Scope and estimate benchmark
A turnaround contractor is an excellent source of benchmarking data. Experienced contractors with a diverse portfolio of clients and projects can provide useful information for benchmarking. Benchmarks can be established for scope, schedule, cost and readiness level.
This variety of experience, accompanied by an established “lessons learned” program, equips the contractor to improve the readiness level of a turnaround event.
Constructability and productivity reviews
Involving an experienced contractor early in the planning process will improve overall readiness by providing feedback through constructability reviews. These reviews will provide important information on expected labor productivity that can be incorporated into the estimate and schedule to develop a stronger execution baseline.
The contractor’s early involvement in the planning process will also promote team structure, alignment and collaboration in support of the turnaround plan.
Work process assessment and evaluation
Turnaround contractors are consistently involved with executing various turnaround work processes. This continuous engagement and exposure in a variety of facilities provide owners with the opportunity to incorporate improved work processes in the planning stages of turnaround preparation.
Many contractors capture lessons learned through formal evaluation programs that take place after each event. These turnaround evaluations can be a significant source of information for improving the work processes during the planning phase. An experienced and resourceful turnaround contractor with experience in numerous turnarounds for a variety of owners at different locations can bring best practices into the TRR process.
Conclusion
The objective of the TRR process is to improve overall turnaround readiness. Many factors must be considered during the planning phases leading up to these events. Owners can access a much broader range of experience and information they can use to improve the readiness levels by engaging a knowledgeable contractor. Benchmarking, constructability reviews and work process improvements are three categories where a contractor will add value to the TRR and improve turnaround readiness. Arash Dowlatshahi is director of project services at Aegion Energy Services. He has more than 20 years of experience in turnaround, shutdown, and outage planning and execution improvement; construction; and maintenance work process optimization.
For more information, visit www.aegion.com or call (714) 466-7100.
The 10 Success Factors
1. Health, Environment, Safety and Security (HESS)
Policies and procedures for the turnaround: Turnaround contractors are partnered with a turnaround safety services provider to deliver this factor.
2. Resources
Personnel requirements, organizational structure, roles and responsibilities, and nominated contractors: A contractor who has experience in staffing turnarounds and access to qualified staff and craft will support this success factor.
3. Scope
Base scope, including any modifications and optimizations: A contractor with benchmarking capabilities can provide valuable insights to avoid late scope changes.
4. Estimate
A detailed estimate of the work based on the final frozen scope, including productivity factors: Contractors have access to historical data from other turnarounds and locations that can improve the accuracy of the estimate.
5. Schedule
Planning, detailed schedules and integrated master schedule: Contractors will provide input to the schedule during an interactive session to improve the execution plan.
6. Cost
The combined estimate and resource-loaded schedule, including contingencies: Contractors can minimize cost through value-creation programs.
7. Procurement
Goods and services contracting strategy, special tools, equipment and warehousing: A contractor with established national supplier agreements and specialty equipment can improve this readiness factor.
8. Logistics
Parking, facilities, transportation (air, road, water and rail), access gates and fabrication facilities: An experienced contractor knows how to efficiently move people, equipment and materials to develop a successful logistics plan.
9. Execution
Procedures, processes and work practices for the turnaround, including any pre-work: Timely constructability reviews with a contractor will improve this readiness factor by minimizing congestion and interruptions.
10. Closing
Evaluation process, lessons learned and sharing best practices: A contractor with a well-defined and established lessons-learned program will effectively support this factor.
