When owners are looking to optimize cost and schedule efficiency, one must look at the overall project planning and delivery process. The phase of project delivery that is costliest and typically takes the most amount of time, is the Execution Phase. The phase in which we purchase all materials and equipment and build the facility. This constitutes roughly 80% – 90% of the overall owner capital expenditure.
To optimize this costly and time-consuming phase, owners need to initiate optimization efforts in the Front-End Planning phases of work. Techniques such as “construction driven designs” and “procurement driven designs” are essential. Designing around readily available equipment can save on delivery time and capital cost, designing for efficient construction (such as modularization and pre-assembly techniques) can also save in time and cost.
While these considerations can create challenges for engineers, pushing our engineering teams to develop designs that are cost-effective, schedule-efficient, safe to construct and operate, and fully aligned with functional and business requirements is critical. Achieving this balance ultimately ensures that projects deliver maximum value to the owner.
