Improved Integration of the Supply Chain in Materials Planning and Work Packaging, Version 2.0
A response to the industry survey question, “Would better supply chain visibility materially change how you do business.”
Ten key supply chain activities support tactical- and operational-level decision-making in the detailed design, procurement, and construction phases:
Visibility needed items with detailed definitions at the tactical and operational level across the 10 key supply chain activities requiring decisions for detailed design, procurement, and construction phases.
Average ratings of visibility needed items in terms of ease of access, accuracy, and importance, as rated by RT-344:
- Level or degree of inspection – Assigning critically ratings based on the type of equipment that needs to be inspected (i.e. static equipment, rotating equipment, electrical and instrumentation).
- Review of supplier's quality plan and inspection test package – Confirming alignment to the order expectations.
- Establishment of proper witness points – Ensuring the number of witness Points are in aligned to meeting the committed delivery dates.
- Dissemination of quality performance issues to detailed planners – Timely dissemination of non-conformance reports and similar production issues to appropriate stakeholders (including detailed planners, such as workface planners and senior site supervision) to incorporate known issues into site sequence and inspections plans.
- Information specification in contracts – Contractual definition of desired information and its format to facilitate sharing of supplier design information into project information systems (design tools).
- Data exchange specification and process – Process and definitions for standardized supplier data exchange (i.e., materials handling and design data).
- Establishment of a non-conformance report (NCR) process – Ensuring all non-conformance issues are captured and the proper stakeholders are identified. Have a defined supplier inspection process that enables capturing supply issues at the fabricator as opposed to on site when it may be too late to correct.
Average ratings of enablers in terms of ability to impact project and frequency of competent execution rated by RT-344:
To obtain better insight into the state of inventory on industrial projects, the research team obtained data from 14 sample projects. The researchers found inventory metrics and representations around excess inventory or inventory held longer than plan, and an appendix in Part II shows the inventory levels on each project for recorded materials types in multiple graphical formats.
These metrics can be used with firms’ cost data to calculate specific costs as well as make estimate of holding costs. These metrics are paired with sample representations of the data that are shown to be useful and easily interpreted by project professionals.