ABSTRACT
Construction is an integral part of the oil and gas industry. From basic office structure construction to oil rig platform construction, there are unique aspects of the oil and gas business that must be addressed. Oil and gas construction projects are different from that of conventional manufacturing or service enterprises. The oil and gas industry itself does embody its own unique manufacturing and service operations, which also require special management of the associated construction projects. In oil and gas construction project, the focus is on the fulfillment of the owner’s requirements with respect to the defined scope of work within the available budget and the specified schedule. The attendant risks that exist in the oil and gas business make the management of construction projects particularly dicey. Management must address the challenging categories of quality, schedule, and cost. Specialized tools are needed, such as plan, do, check, act (PDCA); define, measure, analyze, improve, control (DMAIC); suppliers, inputs, process, outputs, customers (SIPOC); design, evaluate, justify, integrate (DEJI); quality function deployment (QFD); affinity diagrams; flowcharts; Pareto charts; and histograms; many of which are addressed earlier in Chapters 5 through 7.
