Project Execution in Changing Times
Many approaches are being taken to reduce the cost of capital developments; some are being put on an accelerated path to drive short term fixes such as price concessions, headcount reduction, insourcing of expertise, drawn out phasing of work, scope reduction and deferral. Systemic issues, that require investment of time and resources require equal attention and can pay dividends now and become a way toward longer term, sustained business improvement.
One of the oil and gas industry’s systemic issues that requires attention is effective delivery of capital projects. As various well regarded research has shown, the current performance of megaprojects (>$1billion) has plenty of room for improvement and has not significantly changed over the last decade.