Engineering Cost Estimation-Brownfield Process Plants

Deliverable based & Lump sum man-hour costing

What you'll learn
Process Plant Engineering man-hour & cost estimation
Requirements
Basic knowledge on scheduling & cost estimation
Description
In chemical industry, a design and engineering company engaged in EPC of process plants is often called upon to submit their technical & commercial proposal for providing engineering services in order to carry out expansion / revamp of an existing facility or carryout modifications / upgrading to meet the stricter norms for effluent emission. These type of projects are generally called brown field projects as opposed to green field projects wherein the new project is implemented starting from scratch in a new barren plant site .This course is intended for chemical or mechanical engineers who have a couple of years of exposure to process plant engineering and field experience in a process plant so that they are aware of what is meant by a deliverable pertaining to various plant and equipment in a chemical plant. In many instances customer may not have detailed scope of work for the brown field project and will just send a brief email enquiry to EPC company to quote their fees and scope of work for the project. When the company submits its bid for EPC on this basis it is called “SUO MOTO’ bid implying that action is taken by them on their own.For example, customer will inform that they want expansion/automation of an existing Reaction facility or expansion / replacement of am existing drying system or automatic bagging and transfer system with silo storage etc. Also they may ask for feasibility report with budgetary cost estimation for the project in order to get management approval for funding and implementation.When such a request comes from a customer, the engineering company have to prepare the bid for engineering on their own defining the expected scope of work / list of deliverables to be submitted and the estimated man-hour cost and timeline for executing the project. This activity needs lot of input by way of existing drawings / documents or other information to realistically estimate the EPC cost.This course attempts to give a guided  path and method to the cost estimation engineer to define the scope of work , estimate the man-hour cost and submit the bid in a reliable approach.. The course will be useful to chemical or mechanical engineers who wish to work as scheduling and cost estimation engineer executing  EPC of process plants.

Overview

Section 1: Introduction

Lecture 1 Introduction

Section 2: EPC Bid- Activities for costing

Lecture 2 Site Survey,, Document Retrieval & Reports

Lecture 3 Scope of Work, Deliverables & Schedule

Lecture 4 Scope Matrix

Lecture 5 Detailed, Lumpsum Cost Estimation and WBS

Lecture 6 Techno-Commercial Proposal & Software Tools

Chemical & Mechanical Engineers in EPC Companies