Research Team UMM-01 (RT-UMM-01) defined standardization as the development and use of consistent designs to align project stakeholders, objectives, and scope to capture and optimize schedule, cost, and value. Previous CII research recognized the shipbuilding industry for accomplishing high levels of both facility standardization and modularization very successfully, and reaping considerable benefits (CII 2007, CII 2011). RT-283 concluded that to maximize modularization benefits on capital projects, levels of facility standardization must also be substantially increased (CII 2012). However, the levels of facility standardization in the Upstream, Midstream, and Mining Commodity Market (UMM) fall short of the desired criteria.
RT-UMM-01 addressed the question of how the UMM sector could achieve higher levels of facility standardization. To reap maximum benefits from standardization on capital projects, the industry must better understand the economic values dependent on facility standardization and approaches. Also, the industry needs to learn when and how to analyze and justify standardization, and how to exploit its benefits to achieve higher levels of facility standardization in the UMM sector.
To successfully implement standardization in the UMM sector, the industry must pay heed to the critical success factors that depend on standardization, along with their enablers. Moreover, the industry must have a fundamental understanding of the benefits and tradeoffs associated with facility standardization, as well as the optimal timing for achieving these benefits and tradeoffs. To aid in this process, RT-UMM-01 presented six solution pieces for facility standardization (see figure below) for the industry use to increase standardization, thereby increasing industry predictability, agility, and cost-effectiveness:
- Economics of Standardization
- Decision-making Model
- Business Case Analysis
- Work Process
- Critical Success Factors
- Innovative Technologies and Approaches
2019 Presentation
2020 Presentation
Related Academic Publications (not published by CII)
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Choi, J., Shrestha, B. K., Kwak, Y. H., Shane, J. S. (2021). “Exploring the Benefits and Tradeoffs of Design Standardization in Capital Projects.” Engineering, Construction, and Architecture Management.
Shrestha, B. K., Choi, J., Kwak, Y. H., Shane, J. S. (2021). “Recipes for Standardized Capital Projects’ Performance Success.” ASCE Journal of Management in Engineering (37)4.
Shrestha, B. K., Choi, J., Kwak, Y. H., Shane, J. (2020). “Timings of Accomplishments for Facility Design Standardization Critical Success Factors in Capital Projects.” Reston, VA: ASCE Construction Research Congress 2020.
Choi, J., Shrestha, B. K., Shane, J. S., Kwak, Y. H. (2020). “Facility Design Standardization Decision-Making Model for Industrial Facilities.” Journal of Management in Engineering (36)6.
Choi, J., Shrestha, B. K., Shane, J. S., Kwak, Y. H. (2020). “Critical Success Factors and Enablers for Facility Design Standardization of Capital Projects.” Journal of Management in Engineering (36)5.
Choi, J., Shrestha, B. K., Shane, J. S., Kwak, Y. H. (2020). “Innovative Technologies and Management Approaches for Facility Design Standardization and Modularization of Capital Projects.” Journal of Management in Engineering (36)5.
Shrestha, B. K., Choi, J., Shane, J. S., Kwak, Y. H. (2020). “How Design Standardization CSFs Can Impact Project Performance of Capital Projects.” Journal of Management in Engineering (36)4.
Choi, J., Kwak, Y. H., Shane, J. S., Shrestha, B. K. (2019). “Identifying Potential Innovative Technologies and Management Approaches for Design Standardization.” In Computing in Civil Engineering 2019 (p. 8). Reston, VA: 2019 ASCE International Conference on Computing in Civil Engineering (i3CE).
Choi, J., Shane, J. S., Kwak, Y. H., Shrestha, B. K. (2018). “Achieving Higher Levels of Facility Design Standardization in the Upstream, Midstream, and Mining Commodity Sector: Barriers and Challenges.” (pp. 10). Reston, VA: ASCE Construction Research Congress 2018.