Integrated Project Delivery
Landon Lonsberry, P.Eng • Experienced Project Engineer and Project Manager on high profile pipeline replacement and abandonment/decommissioning projects. • Subject matter expert on pipeline decommissioning and abandonment. • Authored decommissioning standards, developed and executed pipeline cleaning runs, developed and navigated regulatory applications and hearings, and estimated future decommissioning and abandonment projects. • Presenter at pipeline conferences and member of industry committees looking to establish guidelines for the abandonment of aging pipeline infrastructure.
Chris Bayley, P.Eng, PMP • Project Manager and professional Engineer with 20 years’ experience in the oil, gas and energy industries. • Managed scope, schedule, budget, quality, and safety of front-end engineering and detailed design phases of major pipeline projects. • Experienced in providing support during the construction phase and coordinating project turnover to operations. • Champion of collaborative project management, aligning the interests of all stakeholders, and creating a successful team environment to achieve a common goal.
ABOUT PLEX PROJECTS We are a team of engineers and project managers with a strong set of experience in complex pipeline projects. We understand favorable projects will result from accommodating effective stakeholder engagement, safety, risk management, regulatory and environmental compliance, and cost and schedule certainty. Our team understands the entirety of pipeline projects from the pipeline owner’s perspective and as such have adopted a unique delivery model focused on driving quality, safety, cost, and schedule certainty. By engaging the key team members throughout the project lifecycle, Plex ensures that Precise planning results in effective execution .
OUR WHY The vision of Plex was borne out of our frustrations while managing major pipeline projects for Canada’s largest pipeline company. Using the traditional approach to deliver pipeline projects created a disconnect between engineering design and construction that consistently led to costly change orders and schedule delays, poor quality, and broken relationships. We utilize the fundamental alignment of interests and collaboration to consistently and reliably execute projects on schedule and on- budget without the creation of adversarial interactions typically created by conventional project delivery methods.
Traditional Project Delivery
Traditional Project Delivery As the Project kicks off and changes against the original agreement occur, EPCs and contractors are driven to protect their profit margins and win the next project. Owners want to see the facility or pipeline operating at the planned start time. From an owner’s perspective the sooner they can realize operating revenues the better.
Example: Cromer Cleaning Project • Installation of temporary traps • Loading of a Cleaning Train • Multiple batches of chemistry and water • Propel Cleaning Train using N2 • Receipt and disposal of the cleaning train • Collection of Samples from water
Example Project Results • Contractor - $500 K → $2.5 MM • Engineering Consultant - $50 K → $125 K • Schedule - 1.5 months → 3.5 months
Project Owner Single Contract Shared Risk Shared Compensation EPCM Consultant Pipeline Contractor
Integrated Project Delivery 1. Early involvement of key participants • EPCM and Pipeline Contractor selected together 2. Shared risk and reward based on project outcome 3. Jointly developed and validated targets • Workshops in early phases of projects to openly share corporate targets. The parties need to be able to openly discuss their goals and concerns and to trust the information being provided by their prospective teammates. 4. Reduced liability exposure • Alternate contract document 5. Joint project control • Open communication throughout project lifecycle
Integrated Project Delivery Mosaic Centre, Edmonton, AB “IPD achieves statistically significant improvements in 14 metrics across six performance areas: quality, schedule, project changes, communication among stakeholders, environmental, and financial performance. The major contribution of this paper is demonstrating that IPD provides higher quality facilities faster and at no significant cost premium.” Quantifying Performance for the Integrated Project Delivery System as Compared to Established Delivery Systems Mounir El Asmar, Ph.D., M.ASCE 1 ; Awad S. Hanna, Ph.D., F.ASCE 2 ; and Wei-Yin Loh, Ph.D. https://www.ipda.ca/research-performance/industry-research
Integrated Project Delivery EVALUATION OF INTEGRATED PROJECT DELIVERY ON THE PERFORMANCE OF CONSTRUCTION PROJECTS by Andrew W. Olsen https://minds.wisconsin.edu/bitstream/handle/1793/66682/MS_Thesis_Olsen_Andrew.pdf?sequence=1
Example: Right-of-Way Planning Utilizing IPD
Example: Construction Execution Planning Utilizing IPD
Benefits • Efficient execution, resulting in: • higher productivity to achieve schedule milestones • repeatable cost certainty • open communication resulting in improved quality metrics • fewer changes required during field work • Improved relationships with external stakeholders • Improved team culture, leading to increased morale and retention • Faster integration into operations
Benefits • Creates Alignment within the IPD team • Creates Visibility - removes excuses and creates accountability • Creates Empowerment by • getting the right information • to the right person • in the right format • at the right time • Creates Benchmarking for continuous improvement
The Plex Value Proposition • Resources are provided at cost • Development of high value engineering and execution plans • Development of a highly accurate project estimate based on the team’s input • Generation of a fixed price contract for the construction of the project • EPCM Consultant’s and Pipeline Contractor’s profits contingent upon successfully meeting the project objectives
Next Steps • Determine an appropriate project for IPD implementation • Create a Team • Project Owner • EPCM Consultant (Plex) • Pipeline Contractor • Steering Committee • Plan and Execute!
Additional Reading • Integrated Project Delivery Alliance (www.ipda.ca) • Industry Research • Tools • “The IPD Framework” • Chandos Construction https://www.chandos.com/expertise/integrated-project-delivery/ • Mosaic Centre https://www.primedmosaiccentre.com/how-we-did-it/volume-3-ipd- process/ • “Basis for an Integrated Project Delivery Team”
CONTACT US We look forward to collaborating with you. Landon Lonsberry P.Eng 780.999.9145 llonsberry@plexprojects.ca President and CEO Chris Bayley P.Eng, PMP 780.982.7327 cbayley@plexprojects.ca Vice President and COO
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