TRS Project Management, failure or success?
Please raise your hand if you have ever experienced a disastrous TRS (Tubular Running Services) project start up in a foreign territory?
When your company has won a Tender / Contract, typically the contract outlines all the various obligations you have to fulfil. However in reality these obligations might not be so easy to comply with due to lack of appropriate resources. For instance, equipment lead times could be dreadfully long or you might be struggling to find sufficient & qualified personnel.
Imagine that your contract commences in a few weeks’ time and you as the project manager are catapulted into country only to find out at the last minute that your equipment package is incomplete, tools are not working, personnel cannot obtain visa’s on time.
Your client will run you off before you even started.
So, how can you eliminate these common problems and how do we prevent complete failure on the day we hit the rig?
Anyone who has worked in the Oil & Gas Industry, and specifically in the Tubular Running Services side will understand that running operations for any company on a global scale means juggling the balls.
By saying this, I mean you have to think creative with respect to utilization of your equipment. All companies should employ an Asset Manager overseeing the global inventory, and ensuring the utilization is spread across the assets. This might seem easy, however bear in mind that shipping our tools across continents comes at a price, and the end user will not always pick up the bill.
When it comes to starting up a new project, we have to understand the process from receiving a Tender up and to completion of all operations.
When your company receives a formal Tender, a Tender team should be established. Ensuring
all aspects of the requirements within the document are covered. Typically, you will have the Contracts / Legal Manager, QHSE Manager, Operations Managers & Technical Managers.
During your tender process all investment costs & operational costs need to be carefully documented and calculated in order to be profitable.
Make sure you have done your homework at this stage of the tender as this will be the baseline for your competitive pricing.
When you are entering into new territories you will need to ensure that you can support the contract by having your infrastructure in place, i.e. Workshop Facility, Office, Local Staff, Work permits / visa’s, Agent fees, Supporting companies (inspection / transportation / spare parts etc.)
When the contract is won, ensure you appoint a dedicated project manager who will oversee the whole process from equipment selection, shipping within the deadlines, setting up the facilities in country etc. This will ensure one person is responsible and has control, mitigating the risks of finger pointing when too many staff are involved without clear roles & responsibilities.
Prior to selecting all equipment, make sure you inform your client that you wish to perform a Rig Survey, to ensure all your equipment is compatible, suitable and available for this contract. Imagine yourself rocking up to the rig floor ready to rig up all your equipment, only to discover that your FMS won’t fit in the Rotary Table, or you have wrong electrical / hydraulic connections. A thorough rig survey is definitely instrumental to your success.
Prior to moving any equipment, ensure all Logistic paperwork is 100% in order and all associated documentation is supplied. Furthermore, ensure to have all equipment appropriately packed (fumigated boxes?) to prevent shipping damage.
If we fail to provide the appropriate shipping documentation you will encounter big problems at the customs department of the importing country. You might receive assistance from the client to import under their umbrella, however your paperwork has to correct & complete.
In country the project manager and the local partner / agent (if your company has not set up a new entity) need to ensure they have all infrastructure in place to transport equipment, purchase goods & services, provide work permits and visas for foreigners and so forth.
Once the equipment is in country at the base, establish your workshop team & offshore crews. They now need to physically unpack and inspect / test all equipment that will service the contract. Also they need to verify all certification is in place, in date & to the local client’s requirements. All lifting equipment properly color coded and ensure all equipment is packed in suitable containers ready to be shipped offshore.
Be sure to have daily contact with your client, attend the morning meetings to ensure you are fully informed of all ongoing operations, and any further requirements they might have.
Showing up at these meetings and providing input will create trust with the client, however this is probably one of the most underestimated parts of your project!
Last but not least, make sure that you whilst acting on behalf of your company show integrity and honesty to the client, regardless how big the problem is.
It is always better to come forward and perhaps provide your solution, then digging the hole deeper than it already is.
Would you like to engage further with me on this topic?
Feel free to contact me: robert@trc-limited.com
By Robert Koendering