Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant
Thesis: S.M. in Engineering and Management, Massachusetts Institute of Technology, System Design and Management Program, September, 2020
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| Format: | Thesis |
| Language: | eng |
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Massachusetts Institute of Technology
2021
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| Online Access: | https://hdl.handle.net/1721.1/132821 |
| _version_ | 1826213207727931392 |
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| author | Fukatsu, Takeshi, S.M. Massachusetts Institute of Technology. |
| author2 | Massachusetts Institute of Technology. Engineering and Management Program. |
| author_facet | Massachusetts Institute of Technology. Engineering and Management Program. Fukatsu, Takeshi, S.M. Massachusetts Institute of Technology. |
| author_sort | Fukatsu, Takeshi, S.M. Massachusetts Institute of Technology. |
| collection | MIT |
| description | Thesis: S.M. in Engineering and Management, Massachusetts Institute of Technology, System Design and Management Program, September, 2020 |
| first_indexed | 2024-09-23T15:45:29Z |
| format | Thesis |
| id | mit-1721.1/132821 |
| institution | Massachusetts Institute of Technology |
| language | eng |
| last_indexed | 2024-09-23T15:45:29Z |
| publishDate | 2021 |
| publisher | Massachusetts Institute of Technology |
| record_format | dspace |
| spelling | mit-1721.1/1328212022-01-13T07:55:19Z Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant Fukatsu, Takeshi, S.M. Massachusetts Institute of Technology. Massachusetts Institute of Technology. Engineering and Management Program. System Design and Management Program. Massachusetts Institute of Technology. Engineering and Management Program Engineering and Management Program. System Design and Management Program. Thesis: S.M. in Engineering and Management, Massachusetts Institute of Technology, System Design and Management Program, September, 2020 Cataloged from the official version of thesis. Includes bibliographical references (pages 134-142). Plant EPC projects, typically for LNG production plants, are the most expensive types of facilities in the world. While many of them have been built in the last several decades, the EPC cost did not decrease, and rather a significant cost increase in the last decade was observed. The most significant reasons are that the requirements became more complex, associated structure and piping facilities became more complex and heavier, more design change occurred during the EPC, supply-chains became more dominant and higher priced, workforce inflation occurred. Cost overrun and schedule delay of plant EPC business is quite common; however, it causes heavy pain for many associated enterprises. While many lessons have accumulated in organizations and many experienced brilliant engineers and project managers are doing their best to eliminate cost overruns and schedule delays, not many projects can successfully manage their completion within budget on schedule. This makes the LNG price higher. On the other hand, societal pressure has become high to decrease LNG price. While the world's LNG demand is expected to increase, many of the off-takers cannot make economic sense above the LNG price of $6/mmBtu because high pressure to reduce carbon emission renders their infrastructures more complex and expensive. LNG is a prospective energy source that can reduce world carbon emission substituting for coal and oil that emit twice as much greenhouse gas as LNG does per unit energy. To reduce global warming, EPC contractors of LNG plants could play a significant role. This thesis explores the current problems faced by their EPC business, and seeks to make EPC more valuable and lower cost by transforming the enterprise architecture of EPC contractors. by Takeshi Fukatsu. S.M. in Engineering and Management S.M.inEngineeringandManagement Massachusetts Institute of Technology, System Design and Management Program 2021-10-08T16:48:36Z 2021-10-08T16:48:36Z 2020 2020 Thesis https://hdl.handle.net/1721.1/132821 1262990756 eng MIT theses may be protected by copyright. Please reuse MIT thesis content according to the MIT Libraries Permissions Policy, which is available through the URL provided. http://dspace.mit.edu/handle/1721.1/7582 154 pages application/pdf Massachusetts Institute of Technology |
| spellingShingle | Engineering and Management Program. System Design and Management Program. Fukatsu, Takeshi, S.M. Massachusetts Institute of Technology. Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant |
| title | Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant |
| title_full | Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant |
| title_fullStr | Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant |
| title_full_unstemmed | Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant |
| title_short | Exploring architectural transformation to improve value of plant EPC business : case study of LNG production plant |
| title_sort | exploring architectural transformation to improve value of plant epc business case study of lng production plant |
| topic | Engineering and Management Program. System Design and Management Program. |
| url | https://hdl.handle.net/1721.1/132821 |
| work_keys_str_mv | AT fukatsutakeshismmassachusettsinstituteoftechnology exploringarchitecturaltransformationtoimprovevalueofplantepcbusinesscasestudyoflngproductionplant |