ABSTRACT
The Engineering, Procurement and Construction (EPC) effort focuses on the final commissioning and delivery where the validation occurs for the earlier project effort. In the initial period of the project life cycle, the project profitability can be effectively influenced so that subsequent project authorization can be released to commit the majority of the project capital investment and contract. The cost and schedule required for an optimum completion of the preliminary project phases are under constant pressure and have to be justified. The EPC effort generally begins with a preliminary engineering phase, which has a typical duration of less than a year. Preliminary drawings and technical specifications of varying levels of detail are prepared along with corresponding cost estimates in support of project proposals. Quantitative performance is measured by the ratio of the accomplished workload to the total workload. The financial performance is calculated as the ratio of the received cash to the contract value.
