Dr' Robert M' Patty, MBA, PE

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Lean Operations for FEL and EPC
  
Shorten Cycle Time, Eliminate Error, Improve
Quality, Reduce Cost
Dr. Robert M. Patty, MBA, PE Performance
Improvement Facilitator / Consultant
832-717-7027 rmpatty_at_sbcglobal.net Former
KBR Sr. Project Manager Lean-Constructability
Program Manager Consultant
Lean EPC Facilitator
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Overview

• Define lean facility delivery service
• including lean construction
• Benefits and examples 
• Business case
• Implementation
• Getting started
• Key take away
• Differential success
• i.e. benefits using lean
• Requires differential sponsorship
• by executives

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The 20,000 ft View of Lean

• Extract align vision top priorities
• Of Client / EPC / Supplier executives
• Engage employees
• Of Clients / EPC / Supply chain
• Extend ultrahigh safety quality focus
• With principles and emergent change tools
• To achieve downward spiraling cost time
• Different the way the team works together
• To improve performance for Clients
• With mutual stakeholder benefit

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Traditional vs. Lean Project Delivery

• Assessment of initial impact on pilot projects
• Major oil company, senior project managers
• value improving practices team

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Why What Happens

• TIC - logistics operations savings
• 4.5 to 15
• used in balance with other VIPs
• Raising task completions as planned
• from 20 to 80
• Example on Mega PreFEED project
• Increased national content 28
• Avoided scope growth 2.5
• Schedule-assurance avoided revenue loss 41
• Saved CAPEX 0.5
• Reduced OPEX 0.5 /year

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Core Performance Enhancing Strategies

• Enhance
• Voice-of-the-customer in decisions
• Workface level productivity
• Engage an emergent change tool set
• Extract manage by standards
• Task-level
• Manager-performer aligned
• Sequence standards
• For flow optimization reliability

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• All work
• should be planned
• in work packages
• developed from standards

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Leadership Strategies

• Transparent-status
• Execution control boards
• Balanced scorecards
• Better fitness for outcomes
• Aligned commitment
• Task level operational excellence
• More robust response to
• Near misses
• Performance breeches
• Creative voices

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Management by Lean Work-task-level Standards

• If any standard does not cause
• the right things to happen
• consistently and reliably
• it is not considered lean

• It must be improved until it does
• the standard itself and/or
• the standards deployment policy
• workface progress visibility control

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Engineering Workface Sampling
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Urgency Justifies Executive Sponsorship

• Alignment of work-process excellence
• clients, EPC departments supply chain
• Remove comfort zone
• If it doesnt get worse
• We will be ok
• If it gets worse
• We are victims of circumstance, still ok
• Executive demand-to-improve
• Render traditional cost schedule
• Not-good enough
• Figure out how to apply lean here

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Results of Workface Sampling Chemical Plant
Construction, Jan 14-24, 2008

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Results of Workface Sampling Chemical Plant
Construction, Jan 14-24, 2008

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Results of Workface Sampling Chemical Plant
Construction, Jan 14-24, 2008
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Results of Workface Sampling Chemical Plant
Construction, Jan 14-24, 2008
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Situation-at-a-Glance

• LeJeune Bolt
• Metallurgy of twist-off end
• Limits bolt size
• 1.125 Diameter max
• Frictiondependent tension indication
• Dirt or rust
• Causes premature twist-off
• Cannot be removed once installed
• Ergonomic
• Non-impact
• Single side/operator installation

• Operator must stop
• to check washer compression
• Inspector
• must use feeler gage
• Not ergonomic
• 2 operators
• Impact tool required

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Implementation

• Visual Red Squirt Material
• occurs upon advent of Proper Tension
• Is just what installer needs to know
• Altered metallurgy
• So serrated end does not twist off

• Results
• Installer tightens
• without stopping
• Inspection is Visual
• or with feeler gage
• Non-impacting wrench
• used from one side
• No size limits
• reduces number of bolts
• Friction independent
• rust dirt irrelevant
• Easily removed
• and reinstalled if needed

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Executive Sponsorship of Chief Improvement
Officer

• Differentiation now future dominance
• individuals professionally
• project teams companies
• is achievable by real executive commitment
• of time, resources
• and intellect to learn and implement
• Call or send email for primer of new handbook
• Patty, Robert M Denton, Michael A Lean
  Operations for Front-end-loading, Engineering,
  Procurement, and Construction Shorten Cycle
  Time, Eliminate Error, Improve Quality, Reduce
  Cost, Universal-Publishers, 500 pgs, being
  typeset for 2009.