Engineering management training

Engineering Management Training

Welcome to this presentation

This is a previewof my

Engineering Management training

2 sessions will be held in 2015, in Paris, as follows:

� May 26th-28th,

� September 2nd-4th,

� To get familiar with both BASIC and DETAILED Engineering

� To know the work of the various Engineering disciplines and getfamiliar with all common engineering deliverables

� To understand the challenges faced by Engineering

� To provide you with practical tips on how to control engineeringexecution by a sub-contractor

Training objectives & scope

In each Engineering discipline:

� Explain the design basis and criteria

� Clarify the technical vocabulary

� Provide basic technical knowledge

� Explain the discipline activities

� Show the disciplines deliverables

� Explain the sequence of the work with easy to read flow diagrams

� Highlight the interfaces with other disciplines

� Perform hand-on exercise, in particular sizing

� Confirm knowledge acquisition by a Quiz in the end

Training contents

Textbook, 200 pages

Your training materials

Exercise book, 60 pages

Training slides (1500 nos)

Great for your tablets!

http://www.editionstechnip.com/en/catalogue-detail/1111/oil-gas-engineering-guide-the.html

A word about my pedagogy…

� All matters are explained by means of example. That’s the best wayto learn!

� I ask first before I present anything

� You will be asked to find out by yourselves

� The purpose is to make the brain wiring for the future

My pedagogy

� Engineering in the Project: Role, Organization, Documents,Generalities

� General documents, Design basis and design criteria

� The engineering disciplines• PROCESS• MECHANICAL• SAFETY & ENVIRONMENT• CIVIL• PLANT LAYOUT & PIPING• INSTRUMENTATION• ELECTRICAL

Training Agenda

� Hands-on – mini EPCProject

� Key aspects of Engineering• The Technical baseline: the Contractual requirements• Engineering organization, split of Work and resources• Interfaces between disciplines• BASIC vs DETAIL design• Document control• Engineering Interface with Procurement, Construction, Third Parties• IT

• Management of changes

Training Agenda

� The main challenge: meeting the Project schedule• FEED• EPC

� How to control a Contractor• The plan• Progress measurement• Factors that could Impact progress• Engineering Controls and KPIs• Engineering Quality• Critical Points to watch

Training Agenda

Project development phases

Front-end Loading

Business Planning Phase

Objective: Define the

business opportunity

Content: Technical

assessment, milestone

schedule, estimated cost

Deliverables: Functional

requirements, economic

evaluation

By: Company

BASIC Engineering/Conceptual

Objective: Confirm feasibility,,

select technology, refine cost

estimate, identify risks

Content: Evaluate alternates,

confirm feasibility, develop

process design

Deliverables: +/-30% cost

estimate, preliminary schedule,

layout, process design

By: Contractor

Objective: refine cost estimate,

prepare EPC phase

Content: Evaluate alternates,

confirm feasibility, develop

process design

Deliverables: +/-10-20% cost

estimate, Design basis for EPC,

MR for LLI

By: Contractor

gate gate

Engineering

Documents for Inquiry:Bill of Materials / specifications

Documents submitted to

client

Client

Approval/Comments

Process Design Package (PDP)

Vendors / Sub-

Contractors

QuotationsInquiries

Basic Engineering/FEED

Cost Estimate Department

Engineering basis for EPC call for tender

Client

Material Requisitions for LLI

Engineering DLVs for Early Works

Process design

H&M balance

Rotating

Pressure vessels

Fired equipment

Heat exchangers

Packages etc.

Piping

Instrumentation

Layout

Electrical

Process

data sheet

Equipment specification

Vendor

drawings

The Engineering Work process synoptic

Training Agenda

List of common Engineering Deliverables

Specifications

Design criteria for civil, structural and buildingengineering

Design specification for roads

Design specification for sewage and drainage

Specification for plant outdoor lighting

Telecommunication and information system philosophy

Instrumentation and control system design basis

Fire Protection Design

Safety concept

Design philosophy for cathodic protection

Specification for pipe supports design

Technical specification – structural steel materials andfabrication

Specification for asphalt paving

Specification for hot dip galvanized anchor bolts

Technical specification Low Voltage Motors

Technical specification for Machine Monitoring system

Technical specification for control valves

Technical specification for fire detection devices inbuildings

Technical specification for wheeled fire extinguishers

Technical specification for isolating joint

Technical specification for cathodic protection materials

Job specification for supply for piping sliding plates

Technical specification for centrifugal pumps

Technical specification for tail gas incinerator

What difference can you see between the 2 sets of specifications?

The (Basic) Engineering Design Data

Draw theTable ofContents

Training Agenda

Engineering disciplines: activities and deliverables

� PROCESS

• Design basis and criteria

• Process Simulations, Process Flow Diagrams, HMB, equipment list

• Process description

• Equipment sizing

• P&IDs

• Piping specification and sizing

• Instrument process specification

• Process and Emergency shutdown

• Flare study

• Operating manual

Process design criteria

• Design margins

• Design Pressure and Temperature criteria

• Equipment sizing criteria

• Line sizing criteria

• Control valve sizing criteria

Engineering disciplines: activities and deliverables

� PROCESS

• Design basis and criteria

• Process Simulations, Process Flow Diagrams, HMB, equipment list

• Process description

• Equipment sizing

• P&IDs

• Piping specification and sizing

• Instrument process specification

• Process and Emergency shutdown

• Flare study

• Operating manual

Process simulations

- Feed composition and

conditions

Simulator settings

- Flow scheme

- Thermodynamic model

- Equipment performance

Output

- Stream flows and

composition

- Equipment duty

Block Flow Diagrams & Process Flow Diagrams

The Process Flow Diagram (PFD)

� Results from process simulations

� Depicts the various Equipment within a Process (or Utility) Unit and their sequence

� Shows the process controls

� The individual drawing item of the PFD is the Equipment Item

Process eqiupment sizing

Case study: Production separator

Sets the gas

cross section

Sets the liquid volume

Vessel size

Process Data Sheet

Contents of the Process Data Sheet:

• Design conditions

• Overdesign

• Fluid properties

• Equipment duty

• Skeleton drawing & dimensions

• Material (generic type) and corrosion allowance

• Specification of internals: demister, distributor, baffle etc.

• Nozzles list

• Allowable pressure drop, fouling factor, Cp, Cv, enthalpy curve (for HX, heaters)

•Available NPSH (for pumps)

Piping & Instrumentation Diagram (P&ID)

What purpose does a

P&ID serve?

At design stage:

• Defines the design basis for Piping & Instrumentation disciplines

• Serves to show and agree the operating and maintenance features betweenEngineer and Owner or between Engineer and Vendor

• Serves to show the interface with equipment/package vendors

• Perform HAZOP review

During operation:

• Reference drawing for operator, work permit, plant modifications etc.

� Important features (1/3)

Normal operation

• Redundancy for critical instruments / safety switches

Shutdown

• Check valves

Start-up

• Pressurization

• warm-up / purge lines

Maintenance

• Equipment isolation & bypass: valves, spectacle/blind

• Nitrogen injection, vent

• Drains

• Control and ON/OFF valves isolation

• Instrument isolation

Piping & Instrumentation Diagrams (P&IDs)

� Various types of P&IDs

• Legend and Symbols

• Identification & Numbering

• Details and Typicals

• Process or Utility P&ID

• Distribution P&ID

• Interconnection P&ID

• Pumps auxiliary P&ID

• Package P&ID

representation

Details

P&ID work sequence

IFR IFD IFC

ReviewHAZOP

Piping MTO

IFCIFDIFRContents

Comments from Piping, I&C disciplines

Comments from all disciplines

Finalized interfaces with eqt/package

Issue Piping ISOs

Collect Client comments

Perform HAZOP

Perform PID review

Client comments incorporated

HAZOP comments incorporated

Diameter of utility lines

Diameter of process lines

Size, number of PSVs and CVs

Exercised Contract Option(s)

Freeze Control system I/O list

Perform Piping MTO for 1st Piping purchase

IFCIFDIFRPurpose

Which revision of P&IDs has the following purpose/contents?

Process Engineering / schedule

Hands-on exercise

Typical PROCESS Licensor / Engineering split

Item Process Licensor Engineer

PFD, H&MB X

Equipment data sheet Equipment process data sheet:

- Operating conditions,

- Duty

- Diameters of vessels

- Size of Nozzles

- Pump head

+ specific info for internals etc.

Equipment Mechanical data sheet

P&IDs Generic customized (piping class, line and valves size, HAZOP comments, vendor info)

Line sizing Line sizing criteria Sizing (takes into account eqt loc, elevation etc.)

Plot Plan recommendations X

Material selection Basic requirement MSD

Training Agenda

From Process to Mechanical

Process design

H&M balance

Rotating

Pressure vessels

Fired equipment

Heat exchangers

Packages etc.

Process

data sheet

Equipment specification

Process Data Sheet vs Mechanical Data Sheet

Look at the PDS and MDS in your exercise book. What additionalinformation is contained in the MDS? What does Mechanicaldesign entail?

Process Data Sheet vs Mechanical Data Sheet

Process Data Sheet:

• design conditions

• skeleton drawings

• material (generic type) and corrosion allowance

• equipment dimensions

• definition of type of internals

• nozzles list

• height from ground

Mechanical Data Sheet:

• design conditions & code

• scaled drawing

• material grades and thickness of all parts

• all dimensions

• drawings of internals

• nozzzles position and elevation

• designed support

• weight

• loads on foundation

• limits of supply

Mechanical Design

The vessel wall thickness is calculated so that with all

loadings, i.e.,

• Internal pressure

• External pressure

• Weight

• Seismic

• Wind

• Other external loads

Equipment / Mechanical

What is a package ?

What is, for Engineering, the purposeto order as a package ?

What is usually ordered as a package ?

Which is the responsible discipline ?

Which document is produced to specifya package ? By whom ?

What are the key things to considerwhen specifying a package?

Instrumentation Specification for packaged units

Local control Centralized control

Equipment Process discipline Equipment/Mechanical discipline

PDS Duty

MDS Particular

Specification

General

Specification

Pressure Vessel

Rotating equipment

Reactor

Heat Exchanger – Shell &

Heat Exchanger – Other type

Fired heater

Package

Identify the documents issued by Engineering to order each type of equipment…

Training Agenda

hands-on exercise

Fill the table

Quantitative Risk Analysis (QRA)

case study: gas leak in Turbo-compressor building

Release Frequency Immediate ignition

ESD & Fire Fighting

Delayed Ignition

Explosion/ Flash-fire

Consequence Event Frequency (ev/y)

0,998 Jet fire ESD & FF 7,779E-030,070

0,002 Jet fire no ESD & FF 1,520E-05

1,11E-01Release/yr

0,949 Dispersion 9,827E-020,930

0,120 Explosion 1,774E-050,028

0,051 0,880 Flash fire 1,301E-04

0,972 Dispersion 5,133E-03

Yes Frequency (event/year)Jet fire ESD & FF 7,779E-03Jet fire no ESD & FF 1,520E-05Explosion 1,774E-05

No Flash Fire 1,301E-04Dispersion 1,034E-01

B04a/b/c/d 5%

Probability of immediate ignition

for 1-50 kg/s release rate is 7%

(from statistical data)

Gas detectors are provided inside the building, that

activate isolation and depressurization. It is assumed

that they operate 95% of the time.

Probability of explosion vs flash fire (12%) depends

on mass of gas and degree of confinement

What is the frequency of an explosion?

Probability of delayed ignition (2.8%) takes into account

equipment explosion protection (Ex)

Step 2: Event tree analysis

Training Agenda

Civil foundation calculation

Loads: dead, operating,

test, live, wind, seismic,

Soil data: bearing

capacity, angle of

friction, unit weight,

boyancy

Safety factors (for

sliding and overturning)

Dimensions to test

Calculation

• Stability check

for sliding and

overturning

• Bearing

pressure check

Overturning

Stabilizing

moment

De-stabilizing

moment

Foundation guide drawing

Pipe-rack design

What is usually the governing load?

What is the governing design criteria?

Training Agenda

Layout/principles

PREVAILING WIND

… … …

… …

Define the respective position of the 6

items as per good plant layout practice

On-shore plant: Equipment spacing recommendations

as per GE GAP Guidelines 2.5.2

Layout principles: typical Unit Layout

Piping installation

Unit Plot Plan Line diagram

Piping design iso vs Shop iso

Piping installation work process

Piping

diagram

Piping

studies

& layout

Piping 3D

modelling

Piping stress analysis

Piping

isometric

drawing

Stress

Piping

isometric

drawing IFC?

For some lines, another

check is done.

By whom?

For which lines?

Piping material management work process

Piping

diagram

Piping

studies &

layout

Piping 3D

modelling

1st Piping MTO:

for Inquiry

Piping

isometric

drawing

Stress

Piping

isometric

drawing

Process

eqt list

2nd Piping MTO,

for Order

P&IDs3rd and next

Piping MTOs

At which project month shall the steps take place?

Put the following tasks in order

� Perform piping Material-Take-Off for first purchase

� HAZOP

� P&ID review between COMPANY and CONTRACTOR

� Issue of IFR P&ID

� P&ID IFC issue

� Issue of IFD P&ID

Training Agenda

Process Control System

Case of Package

controlled by Central

Process Control

System

What documents from

the package Vendor are

needed by the DCS

Vendor in this case?

Training Agenda

Electrical consumer list

Electrical Engineering

Equipment specs

Electrical

Document?

Process

Document?

Vendor

Document?

Electrical

Document?

Piping & Layout

Document?

Electrical

Quiz: Electrical Engineering input data

Guess the title of the documents

Training Agenda

Define the Engineering schedule

Training Agenda

ENDORSEMENT: case study

1. CONTRACTOR identifies, in the course of the design, that the capacity of oneutility unit foreseen in the DESIGN PACKAGE is not enough. A unit withincreased capacity is required.

2. A document part of the exclusions listed in the Endorsement Certificatespecifies that Sea Water used for cooling should be discharged no more with nomore than 10°C temperature increase. COMPANY now asks for 3°C. Thisrequired CTR to put additional cooling facilities.

Discuss CTR’s entitlement to a CHANGE ORDER in each case?

Training Agenda

Engineering Split of work

Discipline Paris (%) India (%)

Process/HSE Design

Equipment

Electrical

Instrumentation

Piping

What is the typical

share of manhours

done in home office

versus low cost

center?

Engineering Split of work/Piping

Horizontal split

Engineering resources

Civil Designer

Job scope & purpose Preparation of design deliverables based on

Engineer’s plans

Key responsibilities • Organization and co-ordination of design

and drafting studies resulting in the

production of

• Detailed drawings

• Bill of quantities

• Etc.

• Development of drawings, models using

CAD systems

Education Diploma in Civil Engineering / Drafting

Work experience 5 years of related worked experience

Management responsibilities Organizes the work of draftsmen

Computer skills Drafting (CAD) softwares

The different category of Engineering personnel:

draftsman / designer / engineer / lead engineer

Training Agenda

The Engineering work sequence

Fill the missing captions

Piping & Instrumentation Diagram (P&ID)

Which disciplines provide input to P&IDs?

Training Agenda

Cost estimate basics/Analytical

Commodity Data required from

Engineering for cost

estimate

Engineering

Discipline

Engineering Deliverable

Pressure vessels

Heat exchangers

Rotating

Piping

Electrical equipment &

cables

Instrumentation &

Control

Earthworks, concrete

Steel structure

Buildings

Painting, insulation

Let’s fill the table…

BASIC vs DETAIL design

Conventional scheme vs CCFT scheme

FEED CFT FID EPCBID APPRAISAL

PROPOSAL

SELECTION OF

CONTRACTOR

ENGINEERING

CONTRACT

Equipment Requisition IFP

FID EPC

CTR commitment on LS

In your opinion, what are the advantages of the CCFT

scheme

• For the contractor

• For the Company

Training Agenda

� Key aspects of Engineering• The Technical baseline: the Contractual requirements• Engineering organization, split of Work and resources• Interfaces between disciplines• BASIC vs DETAIL design• Document control• Engineering Interface with Procurement, Construction, Third Parties• IT• Management of changes

Origin of changes

Identify the likely impact of the Engineering reviews on the design

Newinstruments

SILreview

3Dmodelreview

P&IDreview

Newaccesses

Newvalves

ESDlogic

Blastresistance

Designcriteria

P&IDsPlotPlan

Training Agenda

Critical path of an Oil & Gas Project

Key Engineering Milestones for an EPC

• P&ID 1st issue

• LLI Material Requisition Issued for Purchase

• HAZOP

• Control valves, PSVs PO

• issue of Plot Plan IFC

• issue of IFC P&Ids

• 50% ISOs issued

At which time (Project Month) must the following beissued/done to support the Project execution?

Vendor drawings necessary for design development

Typical level 1 On-Shore EPC Project Engineering schedule

Training Agenda

Safety Engineering

In your opinion, how is Safety performing?

Training Agenda

The ideal project

control dashboard

The “Ideal” Project Control dashboard

Milestone status

Milestone Planned Forecast Actual

LLI PO PLaced

50% Eqt PO

1st steel PO

1st Piping PO

IFC P&IDs

IFC Plot Plan

50% Isometrics

Quantities follow-up

Commodity Initial Forecast

Concrete (m3)

Steel (tons)

Piping (tons)

Elec cables (km)

Concrete workfront curve

cumulative m3 of IFC dwgs

Steel structure workfront curve

cumulative tons of IFC dwgs

Piping workfront curve

Cumulative tons of IFC isos

Engineering progress KPIs

EPC Key Engineering Milestones and benchmarks

Key Engineering Milestones for an EPC

• P&ID 1st issue

• LLI PO

• HAZOP

• 1st model review

• 1st Piping PO

• Control valves, PSVs PO

• Plot Plan IFC

• IFC P&IDs

• 50% ISOs

• Primary steel MTO

• Primary steel drawings IFCAdditional Milestones for Off-Shore jobs

Please assign to each Milestone a schedule benchmark:

Project start + X month, for a typical 36 months Project

Engineering Manhours benchmarks

� FEED: number of Home Office (H.O.) manhours per equipmentitem

• ??? hours

� EPC: number of H.O. manhours per equipment item

• ??? hours

� EPC: number of H.O. manhours per USD of CAPEX?

• ??? hour / mln USD

� EPC: number of Procurement (Buyer, Expediter, Inspector,Transit) manhours for one Purchase Order?

• ???? manhours

Please guess…

Engineering Management Training

Your instructor:

Hervé Baron, Project Manager

Professional experience/positions held

• Process Engineer (2 years), Production Engineer (2 years)

• Engineering Manager (4 years) for EPC On-Shore 300mln USD Project

• Field Engineering Manager (4 years) for EPC Off-shore (FPSO) 1bln USD Project

• Project Manager (2 years) for 50mln USD EPC revamping

• Project Manager (1 year) for FEED and Basic Design

• Project Control Manager (1 year) for 100,000 manhours FEED

• Contract Manager (3 years) for 700mln USD and 1bln USD EPC

Training experience

Developer and instructor of IFP Training’s

• Engineering Management Training (10 sessions held),

• Project control training (6 sessions held),

Professional experience/Companies worked with

• TOTAL, for 4 years

• SAIPEM, for 8 years

• TECHNIP, for 6 years

2015 Training schedule

2 sessions of this Training will be held in 2015 at IFP Training centerinRueil-Malmaison near Paris, France on:

� May 26th-28th

� September 2nd-4th

For more details and to enroll please GOTO:

http://www.ifptraining.com/course/engineering-management-5283.html

You are MOST WELCOME

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