for Database Automation Refinery’s
Offshore Flare Stack Project
FEATURED PAPER
By Rachmat Putra Juniazhar
Balikpapan, Indonesia
ABSTRACT
This paper aims to improve the project management implementation of the Refinery’s Offshore Flare Stack Projects at National Oil and Gas Company by addressing persistent project cost and schedule overruns issues. The key research focuses on establishing the standardized format for Multidimensional WBS and Bidding Template to determine the required information to ensure accurate bids that reflect specific project requirements. The study used a comparative approach and benchmarked the company’s current practices against the U.S. National Park Service’s Construction Class A Cost Estimate Template. The methodology involves developing the Work Breakdown Structure (WBS) and evaluating the bidding process for a more standardized and efficient framework. The research concludes that implementing a standardized bidding template aligned with a detailed WBS can significantly improve project management efficiency, mitigate cost overruns, improve resource allocation, and better understand project requirements between Contractors and Companies. This is expected to become the basis for database automation to improve front-end loading. Continuous improvement for performance monitoring and establishing KPIs shall ensure successful implementation.
Keywords: Standardized, Multidimensional WBS, OmniClass Table, Refinery Expansion, Refinery’s Offshore Flare Stack Project, Derrick Structure, Database Automation, Artificial Intelligent, National Oil and Gas Company
INTRODUCTION
- Offshore Flare Stack for Refinery Expansion and Grassroots Refinery Development in Indonesia
Indonesia has long been a significant global oil and gas industry player. Historically, the country has been an important crude oil and natural gas exporter, contributing substantially to its economic development. However, in recent years, Indonesia’s oil and gas sector has faced Energy Trilemma challenges[1]; the three pillars associated with the country’s macroeconomic situation regarding economic development are energy security, energy equity, and sustainability[2].
Indonesia is carefully managing energy trilemma to maintain economic development; with the current decline of oil production to ± 650 thousand barrels of oil per day (BOPD) and increase of domestic consumption up to ± 1,5 million BOPD[3], this has led to a shift in Indonesia’s status from a net exporter of oil to a net importer of oil. To overcome these challenges and follow the net zero emission program, Indonesia plans to invest in green refinery expansion and grassroots refinery development, as shown in Figure 1.
Figure 1 Roadmap of Indonesia’s Refinery Development Project[4]
A significant concern in constructing the refinery development project is the availability of an expansion area around the existing refinery. Most of Indonesia’s refineries are limited in area and near shore, so expanding a refinery requires the acquisition of land or reclamation, which will be costly and time-consuming at the early stages of the project.
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Editor’s note: This paper was originally prepared during a 6-month long Graduate-Level Competency Development/Capacity Building Program developed by PT Mitrata Citragraha and led by Dr. Paul D. Giammalvo to prepare candidates for AACE CCP or other Certifications. https://build-project-management-competency.com/our-faqs/
How to cite this paper: Juniazhar, R. P. (2024). Building Standardized Multidimensional WBS & Bidding Template for Database Automation Refinery’s Offshore Flare Stack Project; PM World Journal, Vol. XIII, Issue XI, December. Available online at https://pmworldlibrary.net/wp-content/uploads/2024/12/pmwj147-Dec2024-Juniazhar-standardized-wbs-for-offshore-flare-stack-project.pdf
About the Author
Rachmat Putra Juniazhar
Balikpapan, Indonesia
Rachmat Putra Juniazhar is an engineer with more than ten years of professional experience in the oil and gas sector. He holds a master’s degree in civil engineering from the Sepuluh Nopember Institute of Technology (ITS) and Université Joseph Fourier Grenoble. Currently, he works as an engineer at Indonesia’s national oil company. He has been involved in several projects in the oil and gas sector, such as refinery expansion, workshop & warehouses, pipelines, storage tanks, jetties, and other downstream projects. He is attending a distance learning mentoring course, under the tutelage of Dr. Paul D. Giammalvo, CDT, CCE, MScPM, MRICS, GPM-m, Senior Technical Advisor at PT Mitrata Citragraha, to attain Certified Cost Professional (CCP) certification from AACE International.
Putra lives in Balikpapan, Indonesia, and can be contacted at juniazhar.rachmat@gmail.com.
[1] World Energy Council. (2024). World Energy Trilemma 2024: Evolving with resilience and justice. Retrieved from https://www.worldenergy.org/publications/entry/world-energy-trilemma-report-2024
[2] Marti, L. & Puertes, R. (2022). Sustainable energy development analysis: Energy Trilemma. Retrieved from https://www.sciencedirect.com/science/article/pii/S2773032822000074
[3] Ministry of Energy and Mineral Resources Republic of Indonesia. (2024). Green and energy security.
[4] Pertamina. (2022). Roadmap of Pertamina’s refinery development project.
