KAP’s Turnaround Readiness Audit Improves OXEA’s Turnaround Planning and Execution Quality

KAP’s Turnaround Readiness Audit Improves OXEA’s Turnaround Planning and Execution Quality

OXEA’s turnaround organization has implemented an organizational safety culture with supporting activities providing the capability to manage the event safely and efficiently with a high confidence in a quality outcome.

Turnaround readiness matters because a well-executed plan prevents accidents and delays. When a project falls behind schedule for any reason, costs mount. Having a clear safety plan can keep a project on schedule and on budget, it can create a competitive advantage.

A recent study by the Construction Industry in relation to major construction and modifications performed during turnarounds found that by just having and executing an effective front-end plan can improve capital costs by 10 percent, reduce schedule by 7 percent and reduce change orders by 5 percent.

These statistics are especially relevant to Oxea as a key scope items include major construction and plant modifications to core electrical and mechanical equipment.

Overview

Oxea Bay City contracted with KAP Project Services’ Solutions Consulting team to perform a multi-phase evaluation in combination with both a deep-dive schedule assessment and facilitated risk workshop with the objective of improving the execution of their 2019 turnaround.

The turnaround, scheduled to start April 2019, is a major site-wide event with a budget of approximately $35MM. Work includes a tower replacement, performing multiple high-voltage upgrades requiring site-wide electrical turnarounds, change-out of 3 catalyst beds, and a state inspection of one reactor. Other major scope items include the repair and or replacement of approximately 130 valves as well as approximately 90 heat exchanger preventative maintenance work orders and major work performed on two waste heat boilers.

The Problem

There are many factors that can drive poor performance during a turnaround and Oxea has experienced in some form most of the common problems. Post-turnaround critiques have shown that strategic turnaround portfolio planning, scope and budget development, planning, scheduling, and execution controls improvements could contribute to improvements in event success.

The Solution

Assessing the readiness of a shutdown, turnaround, or outage event is crucial to its success, nothing should be overlooked. Since there are many facets to check and evaluate it is important to adopt a solution which evaluates readiness from portfolio planning to turnaround start.

KAP’s Turnaround Assessment Audit performed at 3 strategic points during scope development and budgeting, planning, and scheduling, carried a review of 13 core categories critical to turnaround success. Each audit is focused on identifying issues which can affect success early and presenting solutions to Oxea. A differentiator is the ownership to each issue we bring to be a part of the solution rather than just the raising of issues.

Additionally, Oxea realized without effective management of risk the ability of the project to deliver a successful turnaround is left to chance. KAP designed a Risk Workshop aligning to Oxea’s culture to carry out an independent assessment to identify, score, and plan mitigations of risks so that the project has the best ability to succeed. Oxea identified over 100 risks where additional mitigation planning is being performed.

The Results

KAP’s solution of Readiness Assessments, Schedule Critiques, and Risk Workshops has increased Oxea’s confidence in performing a successful turnaround. Improvements to turnaround scope development, planning, and scheduling and the identification and mitigation of risks has increased both the plan for the turnaround but the execution schedule will be performed with increased confidence and fidelity.

Worklist has been reviewed for potential safety issues and monthly meeting in place to review new approved scope additions.

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