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Project Management Practices for Sustainable EPC Projects Submission

A special issue of Sustainability (ISSN 2071-1050).

Deadline for manuscript submissions: closed (31 December 2018) | Viewed by 16649

Special Issue Editor


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Guest Editor
Graduate Institute of Ferrous and Eco Material Technology and Department of Industrial Management and Engineering, Pohang University of Science and Technology (POSTECH), Pohang, Republic of Korea
Interests: construction and engineering it; digital twin and digital transformation; building information modeling (3D-4D-5D BIM); advanced work packaging (AWP); artificial intelligence (AI) and smart engineering; engineering project management; natural language processing (NLP); contract and risk management; engineering economics and project finance; infrastructure; construction management
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Special Issue Information

Dear Colleagues,

Since its inception in the mid-1980s, EPC (Engineering Procurement and Construction) has become the most common project delivery systems for industrial plant projects, with an estimated size of approximately 1.2 trillion USD in the global market. Professional management for EPC megaprojects needs some unique practices, as it is different from the ones for conventional infrastructure projects, which are, in most cases, delivered by DBB (Design–Bid–Build). The performance of EPC megaprojects is challenged by the complexity of the stakeholders’ interests and the liabilities involved, and, often, results in substantial schedule delays, cost overruns, and under-production performance in commissioning. EPC project management pursues various objectives and goals, such as lower costs, higher profits, better quality, and zero incidence during the execution of projects in the fields of oil and gas, petrochemical, refinery, rower-generation, energy transportation, steel plants, and more.

There are many stakeholders’ interfaces that play important roles in projects, such as government agencies, financial institutions, the construction industry, local authorities, and the community. To this end, project managers need to make the most appropriate decisions in order to meet the needs of each project internally, as well as those of stakeholders, in accordance with the prosperity of social sustainability principles. In particular, each factor has to incorporate sustainability principles at all stages of the EPC project life-cycle.

There are several classic methodologies and tools that can be used to build project management programs. Future artificial intelligence technologies will facilitate the evaluation process by improving classical project evaluation methods and supporting new technology-based development methods.

In this Special Issue, we will focus on new methodologies and techniques for EPC project management practices for the success of projects with a balance of cost, time, and quality and safety satisfaction. This Special Issue aims to provide a basis for modern theories and applications when evaluating various alternatives for EPC project development, entrepreneurship models, and investor decisions. We welcome the theorization and submission of applications from cross-disciplinary management applications of engineering, procurement, construction, and IT in many areas including but not limited to projects in the fields aforementioned. This issue will be a reference to how we could develop EPC project management for all parties engaged to a project to sustain their satisfaction from now to the future.

This Special Edition will be on “Project Management Practices for Sustainable EPC Projects” for oil and gas, petrochemical, refinery, power-generation, energy transportation, steel plants, etc. Some example topics include:

  • Feasibility Studies and Engineering Economics
  • Front End Loading/PDRI Applications
  • Multi-disciplinary Engineering Interfaces
  • Knowledge-based Design Practices
  • FEED (Front-end-engineering-design) Verifications
  • Procurement Management and Supply Chain-management
  • Cost estimation and Cost Control (including EVM (earned value management))
  • Schedule Analysis and Delay Forensic Studies
  • Contract Management, Claims and Disputes Resolutions
  • Quality Management Practices
  • Project Organization and Communication Management: Stakeholders Coordination
  • Interfaces Management with Subcontractors and Vendors
  • Local Contents Requirements and Local Communities Interactions
  • Project Financing and Bankability Issues
  • 3D BIM (Building Information Model) and 4D and 5D Applications
  • AWP (Advanced Work Package) Integration Applications
  • Commissioning Optimization for MRO (Maintenance–Repair–Operations/Overhaul)
  • Environmental Impacts Assessment
  • HSSE (Health-safety-security-environment) and HAZOP and HAZID
  • Lessons-learned Best Practices with Case Studies
  • Project Management Digitalization
Prof. Dr. Eul-Bum Lee
Guest Editor

Manuscript Submission Information

Manuscripts should be submitted online at www.mdpi.com by registering and logging in to this website. Once you are registered, click here to go to the submission form. Manuscripts can be submitted until the deadline. All submissions that pass pre-check are peer-reviewed. Accepted papers will be published continuously in the journal (as soon as accepted) and will be listed together on the special issue website. Research articles, review articles as well as short communications are invited. For planned papers, a title and short abstract (about 100 words) can be sent to the Editorial Office for announcement on this website.

Submitted manuscripts should not have been published previously, nor be under consideration for publication elsewhere (except conference proceedings papers). All manuscripts are thoroughly refereed through a single-blind peer-review process. A guide for authors and other relevant information for submission of manuscripts is available on the Instructions for Authors page. Sustainability is an international peer-reviewed open access semimonthly journal published by MDPI.

Please visit the Instructions for Authors page before submitting a manuscript. The Article Processing Charge (APC) for publication in this open access journal is 2400 CHF (Swiss Francs). Submitted papers should be well formatted and use good English. Authors may use MDPI's English editing service prior to publication or during author revisions.

Keywords

  • Project Management
  • EPC Projects
  • Knowledge-based Design
  • FEED
  • Contract Management
  • Schedule Analysis
  • Cost Control
  • Interfaces Coordination
  • Procurement and Purchasing
  • Quality Control
  • Financing and Economics
  • Digitalization
  • BIM and AWP

Published Papers (3 papers)

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Research

19 pages, 8058 KiB  
Article
Onshore Oil and Gas Design Schedule Management Process Through Time-Impact Simulations Analyses
by Daekyoung Yi, Eul-Bum Lee and Junyong Ahn
Sustainability 2019, 11(6), 1613; https://doi.org/10.3390/su11061613 - 17 Mar 2019
Cited by 6 | Viewed by 6510
Abstract
Korean oil and gas contractors have recently incurred significant losses due to improper engineering performance on EPC (engineering procurement and construction) projects in overseas markets. Several previous studies have verified the significant impact engineering has on EPC construction cost and project lifecycle. However, [...] Read more.
Korean oil and gas contractors have recently incurred significant losses due to improper engineering performance on EPC (engineering procurement and construction) projects in overseas markets. Several previous studies have verified the significant impact engineering has on EPC construction cost and project lifecycle. However, no literature has studied the time impact engineering has on EPC projects, representing a gap in the existing body of knowledge. To fill this gap, a Monte Carlo simulation was performed with the Pertmaster, Primavera risk analysis software for three sample onshore oil and gas projects. From said simulation of all major EPC critical activities, the authors found that the engineering phase is up to 10 times as impactful as the procurement and construction phases on the overall schedule duration. In assessing the engineering activities, the authors found the piping design activities to have the greatest impact on the overall schedule performance. Using these findings, the authors present a design schedule management process which minimizes the delays of project completion in EPC projects. Said process includes the following six steps: (1) Milestone management, (2) drawing status management, (3) productivity management of engineering, (4) interface management, (5) management of major vendor documents, and (6) work front management. The findings of this paper add to the body of knowledge by confirming the design phase to be the most impactful on the overall project schedule success. Furthermore, the presented design schedule management will aid industry with successfully executing the design phase in a timely manner, including examples from case study projects for a greater understanding. Full article
(This article belongs to the Special Issue Project Management Practices for Sustainable EPC Projects Submission)
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19 pages, 880 KiB  
Article
An Empirical Study on the Acceptance of 4D BIM in EPC Projects in China
by Pan Gong, Ningshuang Zeng, Kunhui Ye and Markus König
Sustainability 2019, 11(5), 1316; https://doi.org/10.3390/su11051316 - 02 Mar 2019
Cited by 24 | Viewed by 5472
Abstract
The engineering-procurement-construction (EPC) method has the potential to help construction projects achieve sustainable performance, e.g., the contractor’s early involvement, cost savings, and a reduced schedule. However, high uncertainties and complexities are contained in EPC projects. 4D BIM (Building Information Modeling) with abilities to [...] Read more.
The engineering-procurement-construction (EPC) method has the potential to help construction projects achieve sustainable performance, e.g., the contractor’s early involvement, cost savings, and a reduced schedule. However, high uncertainties and complexities are contained in EPC projects. 4D BIM (Building Information Modeling) with abilities to simplify the time and space relationships of construction activities and support multi-party information sharing is beneficial to EPC project management. The behavior pattern of the project personnel toward accepting 4D BIM information systems or tools needs to be explored. Therefore, a research model of the acceptance of 4D BIM in EPC projects with eight latent constructs is proposed through a literature review of technology acceptance theories. Data is collected from a questionnaire survey and interviews. Research hypotheses are examined using PLS-SEM (partial least squares-structural equation modeling). Empirical evidence is collected from China, and implications to the developing countries facing the challenge of developing a technology-intensive construction industry are provided: (1) Adopting 4D BIM in the EPC project is beneficial; (2) the task-technology fit plays a leading role in technology acceptance; (3) the management incentive is inefficient at the operational stage. Suggestions for future research on 4D BIM acceptance in complex construction projects with abundant data and alternative models are provided. Full article
(This article belongs to the Special Issue Project Management Practices for Sustainable EPC Projects Submission)
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19 pages, 2193 KiB  
Article
Study on Added-Value Sharing Ratio of Large EPC Hydropower Project Based on Target Cost Contract: A Perspective from China
by Jiyong Ding, Chen Chen, Xiaowei An, Na Wang, Wujuan Zhai and Chenhao Jin
Sustainability 2018, 10(10), 3362; https://doi.org/10.3390/su10103362 - 20 Sep 2018
Cited by 6 | Viewed by 3112
Abstract
Engineering, procurement, and construction (EPC) has been applied in China’s hydropower projects for its value-added advantages compared with traditional project delivery systems in theory. However, the actual performance of large EPC hydropower projects has been challenged by the complexity of the stakeholders’ interest [...] Read more.
Engineering, procurement, and construction (EPC) has been applied in China’s hydropower projects for its value-added advantages compared with traditional project delivery systems in theory. However, the actual performance of large EPC hydropower projects has been challenged by the complexity of the stakeholders’ interest demands and conflicts. The increasing use of target cost contracts (TCC) in the construction industry has provided a pain/gain share mechanism for the owners to incentivize contractors to complete projects within cost budgets. The added-value sharing ratio is the core element of TCC, and it predetermines how much proportion of savings the contractor can get paid if the actual cost is below the target cost, and how much proportion of overspend the contractor has to pay if the actual cost is higher than the target cost. In this paper, we consider the added-value sharing ratio under the framework of TCC based on the principal-agent theory, and look at how the added-value sharing ratio is influenced by various factors and how it affects the owner and the contractor in large EPC hydropower projects. Determination of the added-value sharing ratio in both discrete and continuous conditions are discussed, respectively. It is found that the added-value sharing ratio is relatively explicit in the discrete case, while the optimal added-value sharing model in the continuous case is more complex, which can be used to analyze the relationship between the added-value sharing ratio and the key influencing factors. Our research conclusions can provide both theoretical guidance and practical suggestions to contract design in the implementation of EPC hydropower projects, to some extent. Full article
(This article belongs to the Special Issue Project Management Practices for Sustainable EPC Projects Submission)
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