Management of Change in Oil and Gas Sector.

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STEPS TO CONDUCT MANAGEMENT OF CHANGE TO

ENSURE SMOOTH PROCESS IMPROVEMENT IN OIL &


GAS

DISSERTATION SUBMITTED TO
COVENTRY UNIVERSITY

MSc. ENGINEERING PROJECT MANAGEMENT


BY
JITHIN PRASAD
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ABSTRACT/ SYNOPSIS

In recent years, project schedule delays and cost overruns have become
commonplace, to the point where it appears almost inevitable that they will be the
inevitable outcome. Such a result might be avoided if the causes of the delay were
identified and attempts were made to mitigate the difficulties early in the project's
life cycle. Delays result in financial losses in the oil and gas industry. There are
numerous reasons for the delay, with many pointing to individuals, poor
management culture, a lack of planning, a shortage of materials, a poor FEED
concept, and the list goes on forever. The implementation of a strong management
methodology, which could be an effective one, has the potential to reduce the
amount of time spent waiting and lag time to a certain extent. There is a significant
challenge in this research because valid studies in the oil and gas industries are
extremely rare. This research article has gone through all of the relevant journals,
research, and books to come to the conclusion that proper management
methodology will eliminate delays in the industry.
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TABLE OF CONTENT

Abstract/Synopsis………………………………………………………………………...2
Table of Content………………………………………………………………………….3
List of Figures……………………………………………………………………………..5
List of Tables……………………………………………………………………………...6
Acknowledgments………………………………………………………………………...6

CHAPTER 1. FRAMEWORK ............................................................................ 7


1.1 Introduction .............................................................................................. 7
1.2 Aim .......................................................................................................... 7
1.3 Objectives ................................................................................................ 7
1.4 Structure Of The Project .......................................................................... 8

CHAPTER 2. RESEARCH APPROACH ........................................................ 10


2.1 Introduction ............................................................................................ 10
2.2 Research Overview ............................................................................... 10
2.3 Research Process……………………………………………………………12
2.3.1 Philosophical Stances .................................................................... 122
2.3.2 Approaches .................................................................................... 154
2.4 Research Philosophy ............................................................................. 15
2.5 Research Methodology……………………………………………………...16
2.6 Data Collection………………………………………………………………..18
2.6.1 Secondary Data Collection………………………………………………19
2.7 Conclusion ............................................................................................. 20

CHAPTER 3. LITERATURE REVIEW ............................................................ 21


3.1 Introduction ............................................................................................ 21
3.2 Literature Review of Sources................................................................. 21
3.3 Project Management ............................................................................. 24
3.3.1 Management Methodologies…………………………………………...24
3.3.2 Risk Management……………………………………………….………25
3.3.2.1 Assessing the Risks…………………………………………….25
3.3.2.2 Mitigating the Risks……………………………………………...26
3.3.2.3 Risk Monitoring and Control……………………………………26
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3.3.3 Tools and Methodologies Suitable for this Research and


Exploration……………………………………………………………………………….27
3.3.3.1 Agile DSM Approach……………………………………………27
3.3.3.2 KANBAN………………………………………………………….33
3.4 Change Management .................................................................................. 35
3.4.1 Organisational Change Readiness……………………………………35
3.4.2 Effective Communication…………………………………………….…36
3.4.3 Adaptation to Change…………………………………………………..36
3.5 Leadership……………………………………………………………………..37
3.6 Technology and Innovation Management………………………………….38
3.7 Quality Management…………………………………………………………39
3.8 Contract Management……………………………………………………….40
3.9 Conclusion……………………………………………………………………. 41
CHAPTER 4. CRITICAL ANALYSIS AND RECOMMENDATION…………42
4.1 Critical Analysis and Review of CaseStudy-1 ........................................ 42
4.1.1 Issues at Initiation Phase……………………………………………….42
4.1.2 Issues at Planning Phase……………………………………………….43
4.1.3 Issues at Execution Phase……………………………………………..44
4.1.4 Insufficient Resources, Lack of Planning & Management in
Construction Sector……………………………………………………………………..44
4.1.5 Issues at Project Monitoring and Control…………………..…………45
4.2 Critical Analysis and Review of Case Study-2……………………………45
4.2.1 Critical Analysis………………………………………………….………45
4.2.2 Review……………………………………………………………………46
4.3 Recommendation for Case Studies ....................................................... 47
4.4 Conclusion ............................................................................................. 49

CHAPTER 5. CONCLUSION AND GENERALS……………………………..…50


5.1 Introduction…………………………………………………………………...50
5.2 Risk Analysis in Research………………………………………………..50
5.2.1 SWOT Analysis…………………………………………………………..51
5.2.1.1 Strength………………………………………………………..…51
5.2.1.2 Weakness………………………………………………………..51
5.2.1.3 Opportunities………………………………………………….…51
5.2.1.4 Threats……………………………………………………………51
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5.2.2 Risk Mitigation…………………………………………………………..52


5.3 Lessons Learned…………………………………………………………..52
5.4 Conclusion………………………………………………………………….53

CHAPTER 6. APPENDICES………………………………………………………54
6.1 Appendix 1…………………………………………………………………54
6.2 Appendix 2…………………………………………………………………..55

CHAPTER 7. GLOSSARY .............................................................................. 56


REFERENCE…………………………………………………………………………… 57

LIST OF FIGURES

Figure 2.1: Research Overview………………………………………………………...11

Figure 2.2: The Research Onion……………………………………….Error!


Bookmark not defined......................12

Figure 2.3: Epistomology, Ontology, Objectivity and SubjectivityError! Bookmark


not defined...........................13

Figure 2.4: Inductive Deductive.………………………………………………………14

Figure 3.1: Evolutionary Development………………………………………..………29

Figure 3.2: Project Variable- Traditional and DSM…………………………………..29

Figure 3.3: DSDM Team Model………………………………………………….……31

Figure 3.3: DSDM Products…..………………………………………………………..32

Figure 3.5: Design the KANBAN……………………………………………………….34

Figure 3.6: Satir Model of Change……………………………………………………..36


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LIST OF TABLES

Table 1: Data Collection Methods ........................................................................ 18

Table 2: Lessons Learned .................................................................................... 52

ACKNOWLEDGEMENTS

My first and most sincere gratitude goes out to my supervisor, Prof. Paul Rouse, for
his invaluable advice, unwavering support, and patience throughout the course of
my Master's Dissertation. His vast knowledge and wealth of experience have served
as a constant source of inspiration for me in both my academic research and daily
life. I'd like to express my gratitude to Dr. Menoka Bal and Dr. David Fushi for their
unwavering support throughout the academic. Last but not least, I'd like to express
my gratitude to my friends for their encouragement and support throughout the
completion of my Master's dissertation.
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CHAPTER 1. FRAMEWORK

1.1 Introduction
Oil and gas industries face a high demand for delay as a result of a variety of factors
in their business environment and due to poor management practises. Change is an
inescapable fact of life for all organisations in this world. When the individuals
become part of something larger; they are members of organisational culture
(Trevino Linda 2012). To tolerate different characterised people in the organisation
and to lead them for the success, an organisation requires a culture to thrive, which
means it requires a unique ideology, methodology, and business concepts to ensure
the smooth operation of the business. The oil and gas industries are examined in
this article to determine the reasons for delays in the sector. The construction
projects support the oil and gas industry strongly from the early stages of
development right through operations with modification on site to the final stage in
refining and transportation (Umeesh Kumar Suppramaniam, Ismail, and
Suppramaniam 2018). The purpose of this work is to conduct a review of articles
pertaining to the oil and gas industries and to identify the primary reasons. Additional
suggestions and tools will be recommended to ensure the organisations' process run
smoothly.
1.2 AIM
The core purpose of this article is to understand an industrial constructional phase
process in terms of management methodologies and tools. To examine the step-
by-step procedures for determining the source of uneven obstacles that cause the
organisation to cling to uncertainty, the study will also focus on other fields like
stakeholder connections with work and their mis-concepts that cause the delay of
the project. Finally, by understanding the entire delays and their nature, suggest a
proper management concepts and tools to the oil and gas industrial companies.
1.3 OBJECTIVE
The main unprejudiced concept for this research will be: -

To ascertain the factors that contribute to project delays as perceived by


project stakeholders, clients, contractors, and consultants.
The most common reasons for construction project delays.
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To suggest opt management methodology for the organisation for its


smooth flow.
Cross check the statical tools methods used in case study is appropriate
and if not recommend a better option.
Cross check the statical tools methods used in case study is appropriate
and if not recommend a better option.

1.4 STRUCTURE OF THE PROJECT


The project's overall structure is comprised of five chapters. The fundamental one
begins with an introduction, which provides context for the research's purpose. It
informs the reader about the challenges confronting organisations in the oil and gas
industry.
Whereas the second phase discusses the research approaches and detailed
explanations of the pattern of research elements chosen from the research
methodology, the in this phase includes a research overview based on a modified
flow chart. On the basis of numerous international journals and texts, a review of
research philosophy is conducted. In research methodology, the onion peel
structure of sounders is used to outline a step-by-step process for developing a
sound research concept. So that the research methodology and approach to the
research do not veer off course. Also it reflects the source of data acquired in each
chapter and also it explains the type of data utilised to accomplish this research.
The third unit is devoted to a review of the literature. It is the most important
component of the entire investigation. This section contains references to more than
two hundred journals and thirty to seventy books, as well as a detailed literature
review on the selected journals and reviews that are included. This section also
contains effective management methodologies and tools that are appropriate for
this research conclusion, in addition to suggestions for the smooth operation of the
organisations, all of which are clearly mentioned.

A study of two case studies from the oil and gas industries is carried out in phase
four. These case studies are based on different concepts and aspects of project
delays that have occurred in the past. Following that, the reviews of those two case
studies are presented in accordance with their critical analysis. As a result, certain
recommendations are made in order to improve the overall efficiency of the
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organization's operations. In addition, case studies are criticised for relying on


antiquated survey methods based on statical tools.
Phase five is set off conclusion and generals, which represent the efforts put forth
in this research as well as the problems that were encountered during that time
period.
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CHAPTER 2. RESEARCH APPROACH

2.1 Introduction

To effectively accomplish the project study, the proper approach concepts,


techniques, and criteria must be carefully determined. As a consequence, the
entirety of an appropriate research methodology should be highlighted, and the
appropriate Saunders Research Onion – A Step-By-Step Guide to Structuring
Research Methodology would suffice. To ensure the smooth operation of Oil and
Gas companies while they undergo changes due to the use of high-technology,
made-to-order products; because they are key schedule in remote desert areas,
they face distinctive logistical and communication challenges; they are technically
complex projects that typically consist of multiple sub-projects that require the
integration of various technical fields; they have a significant impact on the
environment. To conduct the research, a successful mix of parts from Saunders
Research Onion must be carefully chosen to ensure the master dissertation's
success. Selection of an MMR approach results from several considerations. These
considerations begin with the researchers’ philosophy and theoretical development
approaches. Entering a research project with a philosophical bent of pragmatism is
often associated with MMR, as the pragmatic researcher does not focus on a single
method. (Jiang, J., Klein, G. and Müller, R. (2022) 2022)

2.2 Research Overview

The six peeling phases of the research general over view, divided into six stages,
as well as the six stages of the research general over view. They are the research
philosophy, the research approach, the research strategy, the choices, the time
horizon, the techniques and processes, and the research methodology. There are
a variety of variables within those six levels that must be held accountable
in required manner for the research to be productive. The following aspects have
been selected for inclusion in the present plans, as shown in the chart below: -
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Draft
Writing Research Proposal

Planning design of
study & NO
Approval

Research

Research Process
Research

Epistemology

Positivism Realism Pragmatism

Deductive

Tentative
NO
hypothesi
s theory

YES

Theory hypothesis observation confirmation

Inductive Longitudinal

Data collection
Ground theory
Case Study Action Research

Mono Method

Figure 2.1: Research Overview


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2.3 Research Process

2.3.1 PHYLOSOPHICAL STANCES

Figure 2.2: The research ‘onion’ (Saunders, Lewis, and Thornhill 2019)

The debate serves as the starting point for the primary portion of the investigation,
and it eventually leads to the brain storming segment, in which significant problems,
worries, plans, dangers, and solutions are all discussed and discussed some more.
Later, research planning and techniques will be implemented into the scenario in
order to carry out the research initiations in the most efficient manner possible.
Following that, the concepts will be written down for future reference before being
translated into a project proposal that can be submitted to the appropriate authorities
for approval. I believe that, in order to properly represent this subject in the research
paper, a proper selection of data collecting methodologies and analysis procedures
from Saunders’s Research Onion layers.
Ontological and epistemological positions can be taken by researchers. As
previously stated, the two poles represent subjectivity and objectivity. Those who
take an objective stance think that the best way to conduct research is as if social
reality exists and that study can accurately portray that reality. Subjective extremists
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deny the existence of social reality, making it impossible for them to paint a complete
picture of it. The two extremes are essentially stereotypes, and the majority of
business and management researchers fall somewhere in between. Our goal in this
chapter 1 is not to label anyone or to strengthen any particular stereotype, but to
enable the description of a range of positions, each with its own set of values and
constraints for your research. (Anon.2017a)

Figure 2.3: Epistemology, ontology, objectivity and subjectivity. (Anon.2017)

Somebody was saying to Picasso that he ought to make pictures of things the way
they are - objective pictures. Picasso mumbled he wasn't quite sure what that would
be. The person challenging him produced a photograph of his wife from his wallet
and said, 'There, you see, that is a picture of how she really is.' Picasso looked at it
and said, 'She is rather small, isn't she? And flat.'
(Ralston 2010: 35) (Anon.2017)
An epistemological approach is taken in order to approach the research process,
rather than an ontological pattern of approach. Following that, I'll look at three
aspects from the perspectives of positivism, realism, and pragmatism, among other
(Anon.2017)philosophical perspectives. The Oil and Gas industry is vibrant and
colossal in terms of patterns, and processes are involved in the process from
beginning to finish. There will be specific tentative hypotheses that must be dealt
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with in order to generate hypothesis derived confirmation. Because the body of


study developed by this philosophical perspective is replicable by other researchers
using identical pre-researched material and extremely similar measurable
conclusions obtained through statistical analysis.

Additionally, if the oil and gas sectors continue to use traditional management
methodologies, they will be unable to cope with continuous incremental adaptations,
which leads to jeopardy of project timelines. As a result, a realism approach is
required to implement change throughout management and technical policies, as
realism casts doubt on the scientific knowledge's reliability and maintains that all
theories can be revised and made more reliable! Where old management practises
can be replaced with current management approaches such as Agile or DSDM.

The oil and gas industry always prioritises documents and practical applications. As
a result, objectivism and constructivism are both practical and valid approaches to
conducting research, and they can both be used to find solutions to problems. This
is why epistemological evaluation is required for this research.
2.3.2 APPROACHES
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Figure 2.4: Inductive Deductive

This research requires the use of both deductive and inductive approaches.
Because organisations in the oil and gas industry use traditional approaches,
research approaches tend to flow from broad to narrow. In addition, compared to
other fields, previous research studies are very few. Thus, unlike the deductive
approach, a researcher must move in the opposite direction from research question
to observation and description to analysis before finally arriving at theory.

On the research front, case studies and action research have been chosen as
research methods. Because the research intends to renovate the methodologies, a
proper foundation will be created as DSDM's basic requirements, making the
organization's project rigid and effective. The case study is another factor that must
be corrected, reviewed, analysed, and reflected on in order for the research to
produce effective results.

The results of this study can be obtained through the use of a single method. Since
the publication of the publications, data based on the decisions made in the earlier
stages of the research project have been collected.

Considering there are numerous documents to be kept track of for this research, a
longitudinal time horizon is appropriate for this investigation.

Finally, in the data collection layer, the contents of the previous layers must be
consistent with the research conditions in order for the proper outcomes to occur.s
2.4 Research Philosophy
Philosophy can be found everywhere.
…everyone is a philosopher, though in [their] own way and unconsciously, since
even in the slightest manifestation of any intellectual activity whatever, in
“language”, there is contained a specific conception of the world. (Gramsci 1971)
In research philosophy, where researchers research into certain fundamental
questions regarding the nature of reality, the nature of knowledge and how it is
obtained, the nature of reason, language, and morals, as well as ethics and values.
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Postmodernism can be used to effectively criticise philosophy. (Gramsci 1971) In


post-modernism, a form and idea in the architecture, arts and criticism that deviates
from modernism and is marked by a self-conscious use of historical styles and
traditions, a mingling of various artistic styles and media, and a generalized
suspicion of theories. Due to the fact that the Oil and Gas industries have numerous
management challenges and the data is abundant, a modernism or neo-modernism
approach will be ineffective. The post-modernist style and concepts in the arts,
architecture, and criticism represent a break from modernism and are defined by a
self-conscious use of earlier styles and conventions, a blending of various artistic
styles and media, and a general suspicion of theories. Due to the fact that the oil
and gas industries face a variety of management challenges and the data is
abundant, a modernism or neo-modernism approach will be ineffective. A
manifestation of postmodernism's irrational thought process, its' rejected logical
thinking as necessary in light of the fact that different oil and gas projects are
processed in distinct business environments and adhere to distinct business
standards. As a result, certain traditional conceptual styles are necessary to obtain
the desired results in research. (McAuley)
2.5Research Methodology
The research method is based on Saunders' onion method of research. Saunders
et al. developed Saunders Research onion to illustrate the involves the design and
implementation of a research work (2007). In other phrases, the onion layers
describe stages of research methodology in greater detail. It establishes an efficient
path for developing a research methodology. Its utility stems from its adaptability to
virtually any type of research methodology and its application in a variety of contexts
(Bryman, 2012). (Thesis mind ) According to Saunders et al. (2012), when using a
research onion, one must progress from the outer to the primary layer. (B Tengli et
al. 2019) Each layer of the onion, when perceived from the outside, represents a
more aspect of the research methodology (Saunders et al., 2007). Saunders et al.
compare the research process to unwrapping an onion layer after layer; in order to
see the inner layer, the outermost part must first be unwrapped. To accomplish a
goal, the appropriate steps must be taken; this is also true in research; complete
one step before moving on to the next.
Onion framework been used in a layer-by-layer fashion, beginning with the
outermost layer and ending with the innermost layer.
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The outer part is the research philosophy, which establishes the framework for the
research method and specifies the method to be used in the second step as the
research approach. The third step is to develop a research strategy, and fourth
peel is to establish a time horizon.
The fifth step is the phase at which the methodology for data collection is
determined. The research onion's benefits are that it establishes a series of stages
through which the various data collection methods can be comprehended, and it
illustrates the steps necessary to describe a methodological study.
There are three approaches to research methods: epistemology, ontology, and
axiology. The first and most superficial layer of the research onion concerns a set
of beliefs about the nature of the reality under investigation, and is frequently studied
in conjunction with ontology and epistemology. However, due to the nature of the
research, we must take an epistemological approach. Even though the research
platform is different, physical objects, minds, events, properties, values, and
abstract entities such as numbers and sets can all be said to represent the ontology.

Interpretivists prefer humanistic qualitative methods, whereas objectivism views


poetry as a collection of objects, rather than as a subject through which they are
mediated. Constructivist leadership theories emphasise novel and integrative
approaches to leadership development, effectiveness, and evaluation, which were
excluded from the research due to the oil and gas sector's resistance to
revolutionary periods of radical discontinuous change. (Anon.) As a result, those
three variables were unable to be included in the research phases.

Other elements of the primary phases include positivism, realism, and


epistemology, which were all discussed in greater depth on the research overview
page of this document.

This investigation necessitates the use of both deductive and inductive elements.
There will be instances in which deductive reasoning would begin with a theory and
progress to a research question or hypothesis, given that the deductive method is
employed. An inductive element will have a specific scope of areas where minimal
data will be collected and where further research and development will be derived
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from reasonable questions as well as findings, similar to how a deductive element


would work.

There are three types of data collection methods, which are the mono method, the
mixed method, and the multi-method. Out of this, the mono method is appropriate
for the research because the data collected by the researcher can be either
qualitative or quantitative data, depending on the choices established in the
earlier stages of the research onion process. The result will be a worthy approach
rather than a mixed approach when compared to other approaches.

Since genuine articles and journals began to be published in the past 20 years
regarding the oil and gas sector fields, the cross-sectional time horizon has been
found to be superior to the longitudinal time horizon in terms of accuracy. Perhaps
there could be some straightforward books on this subject, but those would be
primarily philosophical in nature rather than conceptual in nature.

Finally, the entire process results in effective data collection, which leads to
productive data revisions and the introduction of new ideas that assist the projects
in completing their projects in a timely, cost-effective, and high-quality manner.

2.6 Data Collection

Table 1: Data Collection Methods, illustrates what data collection methods were
used for within chapter.

Table 1: Data Collection Methods

Component Research Approach


Framework Desk-based – based on historical records
Chapter 1 and current public documents (secondary
sources)
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Research Approach Existing Data- The approach is based on


Chapter 2 the articles, journals, books and e-books.
Literature Review Qualitative research, Derived & Existing
Chapter 3 Data – The research is based on the facts
and theories base on the journals, texts,
conference and e-books.

Critical Analysis & Recommendation


Derived - By analysis of two case study.
Chapter 4
Conclusion and Generals Derived - It’s a self reflect content on
Chapter 5 research.

2.6.1 Secondary Data Collection

Certain survey research questions allow for the use of data collected previously by
other scholars or for non-research purposes, such as official figures, official records,
or other routinely maintained accounts by organisations. By virtue of being archived
and made available, any type of primary data can serve as secondary data. (Joop J.
Hox, Hennie R. Boeije)
The data is derived from a variety of sources, but the most critical data is that which
enables the research to address the concerns and thus generates high-quality
assumptions, analysis, and results. Secondary data collection is derived from
previous research, it should be kept in mind so each research work is undertaken to
address a particular set of questionnaires. Decisions are being made regarding
which data will be collected, how sampling will occur, and how the data will be
collected specifically. In quantitative research, these typically involve deciding on a
broad strategy for data collection—conducting a survey—and then on specific
survey instruments or scales to use, as well as a particular setting of surveying
respondents, such as face-to-face. Similar decisions are made in qualitative
research about the overall strategy—conducting a qualitative interview study—and
then about the data analysis, tools, sample and report structure. In both cases,
(modest) differences in concepts, classifications, and decisions between studies
may affect the data's reusability. (Joop J. Hox, Hennie R. Boeije). Kolb's learning
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cycle for qualitative data analysis is appropriate for this research because massive
amounts of data must be gathered and then thoroughly familiarised in order to
comprehend the issues, thereby considering the issues raised by the
comprehensions. Following that, the entire set of outcomes will be summarised and
reset in preparation for conceptualisation extraction. Then, actively experiment with
concepts for resolving the problems. (Devi Akella)

2.7 Conclusion
Research requires a systematic approach to its collection. To begin a research
project, a researcher must have a clear understanding of his or her research
methodology. Generally, a large number of research subjects exhibit a variety of
characteristics, patterns, and environments. As a result, appropriate research
elements must be selected from the onion peels of research and must be accurate.
As a result, a pre-determined research methodology must be established prior to
the start of the research.
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CHAPTER 3. LITERATURE REVIEW

3.1 Introduction
In Industry Practice worldwide, of several execution models of projects executed so
far, the EPC execution delivery model on lump sum basis has been found to be
efficient and popular. (Anthreas 2021)The oil and gas industries are a sophisticated
sector with numerous engineering disciplines, with significant delays and losses
from the start of business requirements till the commissioning of the work site.
However, the product development, refinement, and sailing are all susceptible to
the business environment and its inextricably linked with marketing sector as well
as business environments in case of war and inflation and on and on. Only way to
adapt to the business requirements is through continuous incremental adaptation to
the business environment.
While numerous studies and insights gained from previous projects are insufficient
to justify project delays, I am reasonably sure that the proper implementation of
management methodologies to replace existing ones will be beneficial. From the
start of the business case to the end of commissioning, new management
implications may alter the current scenario of project delays and management
failures.

3.2LITERATURE REVIEW OF SOURCES


The five most common types of project delay addressed in the literature include
critical and non-critical; concurrent, compensable and excusable delays (Enshassi,
Kumaraswamy, and Al-Najjar 2010). All of these types of delays can be eliminated
through the use of appropriate management methodologies and new methods of
monitoring, as well as evaluations based on those methodologies. the result of such
a decision depends on external factors such as exchange rate. This leads to an
approach in which the problem of scheduling non-critical activities is solved using
an expanded Cox–Ross–Rubinstein (CRR) binomial tree method. In the paper a bi-
criteria problem of determining the start time of a non-critical activity is considered.
We assume that the early start and the late start of the activity have been identified
using Critical Path Method, but the project manager is free to select the time when
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the activity will actually be started (Targiel, Nowak, and Trzaskalik 2018). The
success of the entire project is not contingent on a single power, but on a collection
of decisions and actions. Typically, the oil and gas projects use the Engineering,
Procurement, Engineering Procurement Construction (EPC) contract, which means
that since the front-end engineering design (FEED) to the construction stage is
carried out by the same contractor. As opposed to the traditional form of contracts
of Design-Bid-Build (DBB), this type of contract allows design and construction
activities to be done simultaneously. This allows the completion time of EPC
projects to be faster than other types of contracts (Pham L H, and Hadikusumo H
2014 Int J Energy Sect Manag). (Hatmoko and Khasani 2019). The Bartlett School
of Construction and Project Management conducted a survey paper regarding a
mega project’s failure, which states that, “no isolated factor was responsible for
failure in megaprojects, with a number of interrelated factors contributing equally to
poor performance. The paper identifies six themes, which reveal 18 causes of poor
performance and 54 solutions” (The Bartlett School of Construction and Project
Management 2020). Being faster does not guarantee the project's success. It may
jeopardise the subject's success. The contractor and client may have a greater
stake in the outcome than the consultants. This leaves contractor and consultant
effects to be discussed in terms of recurrence. where the contractor accused the
client and the client blamed the contractor. In this instance, it appears as though the
consultant is blaming the contractor, also the contractor is blaming the consultant,
and both the consultant and the contractor are blaming the client! Again, the client's
passivity may be down to the lack of thorough knowledge of the site's operation. (
(Al‐Kharashi and Skitmore 2009).In light of the preceding literature comment, it is a
matter of contractors and consultants' liability, as they entered into the project
without a proper basis of agreement. The scenario can even be criticised as a poor
contractual agreement, because if the contract's scope were followed, there would
be no disagreements between the parties. Another issue leads to the contractor
dismissing some of his employees in order to reduce his costs (Majid Parchami Jalal
and Shoar 2017), where those types of issues arise as a result of administrative
department personnel's ignorance or lack of knowledge. It is a clear example of
management failing to select the appropriate body for recruitment. Conflicts
between the project stakeholders are associated with the information flow
throughout the project life cycle and proper coordination; therefore, these three
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issues, which are the source of the internal delays, have been considered to have
an additive influence on project schedule performance (Serdar Durdyev and M.
Reza Hosseini). Considering the risk factors according to journal articles’ (Wang
and Yuan 2017), Opacity between project stakeholders is associated with
information flow throughout the project's life cycle and proper coordination, and as
a result, it can jeopardise the project's smooth operation as well as result in scope
changes. These two reviews are extremely detrimental to the project, as they disrupt
the project's smooth flow and result in project delays. Results showed that the key
external constraints to on-site labour productivity comprise, in order of decreasing
impact, statutory compliance, unforeseen events and wider external dynamics.
The internal constraints were found to have much higher impact on onsite
productivity than the external factors (Durdyev and Mbachu 2011). Its’ the fact that
regulations imposed by governmental authorities must be considered prior to the
project's commitment.
Repetitive elements may be present in some project deliverables and activities. This
repetition does not change the fundamental and unique characteristics of the project
work. For example, office buildings can be constructed with the same or similar
materials and by the same or different teams. However, each building project
remains unique in key characteristics (Project Management Institute 2017), which
means proper management ideas and its’ methodologies with proper
implementation will results in a unique achievement.
The impacts of certain delays have a detrimental effect on the critical controlling
features of success of the projects are safety, cost, time, and quality—for a project.
Time extension has a variety of consequences in construction projects, the most
significant of which are cost overrun, time extension, disputes, litigation
and arbitrations. Prior research has largely focused on the main effect or causes of
construction delay. The primary objective of this study is to ascertain the factors that
adversely affect project timely completion. This investigation identified the critical
components influencing project completion in Yemen using a selected set of 33
factors. A study has been conducted to determine the purpose of this survey and it
has been distributed for study. The outcome addresses five critical factors that have
a significant impact on the project's success, including cash flow during
construction, conflict between owners and other parties, delays in running bill
payments to the contractor, ineffective project management, and slow decisions
Thesis Outline Template

from the owner. The impact of (IF) is detrimental to the time extension cost overrun,
detrimental to stakeholder fulfilment, detrimental to the specialised specification,
and detrimental to customers’ satisfaction, all while trying to meet all project
objectives and safety standards. These revelations are required to be fundamental
obligations to the Yemeni construction industry in terms of restraining the time and
cost overpower that is being created. (AL-MESBAHI 2018)
3.3PROJECT MANAGEMENT
Project management is not new. It has been in use for hundreds of years.
(Anon.2017b). According to Anon, the project manager collaborates with the project
team and other stakeholders to identify and implement generally recognised good
practises that are appropriate for each project. The process of "tailoring" the
opportunity to apply the knowledge described in this guide involves determining the
ideal configuration of inputs, processes, tools, techniques, outputs, and life cycle
phases for managing a project. Also,
3.3.1Management Methodologies
It is likewise important for business processes to be aligned with needs and interests
in the project management environment. The introduction of an effective project
management methodology within the organization will help to achieve that
prescribed alignment (Hill 2009). Various management methodologies are used in
organisations, depending on their business requirements. Organizations employ a
variety of management methodologies, depending on their business requirements.
One of these factors is the project management methodology (PMM), which is
meant to enhance project effectiveness and increase chances of success (Vaskimo
2011). The percentages of respondents who said they had encountered limitations
or drawbacks with the methods, methodologies, tools or techniques they had used
were 66,52 and 18 percent for the Australian, Canadian and UK samples,
respectively. The overall figure was 45 percent which is an increase on the 42
percent reporting limitations or drawbacks in the original survey (Fortune et al. 2011)
, where demonstrated that more than 50percent of survey participants in their study
encountered limitations when using PMMs. When you consider the varying
objectives, key performance indicators, and production techniques with not only
different types of teams, but also distinct types of industries, it's understandable that
there won’t be a fit approach to project management. The following are a few well-
known and effective methodologies that the majority of organisations use.
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Waterfall methodology.
Scrum methodology
DSDM Agile Methodology
Agile Methodology
PRINCE2 - A Structured Project Management Methodology
Scrumban methodology
Kanban Methodology
eXtreme Programming (XP) Methodology. ...
Adaptive project framework (APF) methodology
Lean methodology.
3.3.2 Risk Management
Project risk management has been an area of academic interest since the end of
World War II and is a recognized methodology that enhances the probability of a
successful project outcome. Current project risk assessment methods are oriented
toward systems that are linear and vary from basic qualitative assessment to
complex statistical analysis primarily focused on tangible project factors (e.g., cost,
schedule, scope, quality, etc.) (Cox 2021). Since the business environment changes
from time to time, the potential for risks escalates. To deal with it, we need various
lean approaches by compromising on certain agendas in the methodology. (Khairul
Azizan Suda, Nazatul Shima Abdul Rani, Hamzah Abdul Rahman, Wang Chen)
states that lack of experienced owner and contractor will jeopardy the project.
3.3.2.1 ASSESSING THE RISKS
Projects exist in an organizational context, and they may form part of a program or
portfolio. Risk exists at each of these levels, and risks should be owned and
managed at the appropriate level. Some risks identified at higher levels will be
delegated to the project team for management, and some project risks may be
escalated to higher levels if they are best managed outside the project. A
coordinated approach to enterprise-wide risk management ensures alignment and
coherence in the way risk is managed across all levels. Integrated risk management
is a suitable way of interrogating with possible risks, where according to the PMO,
Projects exist in an organizational context, and they may form part of a program or
portfolio. Risk exists at each of these levels, and risks should be owned and
managed at the appropriate level. Some risks identified at higher levels will be
delegated to the project team for management, and some project risks may be
Thesis Outline Template

escalated to higher levels if they are best managed outside the project. A
coordinated approach to enterprise-wide risk management ensures alignment and
coherence in the way risk is managed across all levels. This builds risk efficiency
into the structure of programs and portfolios, providing the greatest overall value for
a given level of risk exposure. (Project Management Institute 2017).
3.3.2.2 MITIGATING THE RISKS
In the reference of identifying potential ergonomic risks and their mitigations
thematic analysis approach will be adopted for interpreting the findings of this
proposed study. Main themes will be developed on the bases on the characteristics
of hazard and their appropriate controls. Similarly, sub-themes for each activity and
their controls will be sorted out on the bases of identified ergonomic risks and their
recommended and suggested mitigating measures by experts from Malaysian
onshore and offshore oil and gas industries (Asad et al. 2019), where these sort of
mitigative approaches needs to be initiated from the business case and especially
in the FEED section as well. list of ranked risks including 59 risks sorted in
ascending order according to their overall impact on projects in Vietnam. The major
focus of this paper is as mentioned in the research objective are the top-ten risks.
They will be thoroughly analysed to find out their causes and characteristics,
whereby appropriate measures to mitigate them can be proposed (Van Thuyet,
Ogunlana, and Dey 2007),
3.3.2.3RISK MONITORING AND CONTROL
Surveillance System (SS) is a technique for the systematic execution of safety tests
adopted in high-level risk management systems, characterized by rigorous safety
tests execution frequency and treatment of the results obtained in each test. (Ponte
Jr, Gerardo Portela da 2021), where the technique can be used in any other industry
(including oil and gas) with a high-level risk management system. (Ponte Jr,
Gerardo Portela da 2021). Even though the severity of the COVID-19 has
decreased, the management sectors in every part of the world have their own
monitoring methods and procedures. Risk and safety management experts find
application of their expertise in virtually all human activities. Part of the themes and
problems addressed in the area of risk and safety management is mathematically
model able. At 2019 from China Covid-19 had spread and still it’s a threat to every
organisation. There is no doubt that the current trend is that the leading role in the
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area of energy generation will change over the course of this decade, until 2030.
(Ponte Jr, Gerardo Portela da 2021). Depending on what the person needs and
wants from the organisation, COVID may have an effect on the way the organisation
runs its business.
3.3.3 TOOLS AND METHODOLOGIES SUITABLE FOR THIS RESEARCH
AND EXPLORATION
Many different management tools and methodologies exist for different types of
organisations, therefore no one management tool or methodology will be
appropriate for every organisation. That's because of the variety of business
settings and their natures in which they operate. To meet this need, it is necessary
to develop tools and approaches that can be combined in new ways based on the
organisational pattern and operation as well as the business environment. As a
result, this research concentrates on the delays in oil and gas sector which majority
follows traditional approach, where there are few new management methodologies
and tools appropriate for the smooth flow of process.
3.3.3.1 AGILE DSDM APPROACH
Agile is a set of methods and methodologies that help your team to think more
effectively, work more efficiently, and make better decisions (Stellman and Greene
2014). Also, “Agile has secured its place within the software development
community where it originated and evolved, and now Agile is spreading into many
other areas of the professional workplace, where its embrace of adaptive feedback
can help businesses thrive (Moreira 2013).” DSDM approaches are quite firm in
manner and “The Dynamic Systems Development Method (DSDM) is an iterative
and incremental agile project management and delivery framework. DSDM is based
on Rapid Application Development (RAD) and focuses on continuous user
involvement. Prototyping is a key component of DSDM and is found throughout the
activities within the project life cycle. DSDM is periodically updated with guidance
from the DSDM Consortium (Moreira 2013).” ““Do not introduce senior management
to the mechanical aspects of Agile first. Introduce them to the agile principles,
business benefits, and their role in the agile transformation. This way they realize
that Agile helps their business opportunity and that they have a role to play (Moreira
2013).” But oil and gas sector phases are much sophisticated and iterative therefore
Agile DSDM is much suitable methodology process assure the technical and
business analytical solutions at ‘Evolutionary Development Phase’. Building on the
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firm foundations that have been established for the project, the purpose of the
Evolutionary Development phase is to evolve the solution.
The Evolutionary Development phase requires the Solution Development Team(s)
to apply practices such as Iterative Development, Timeboxing, and MoSCoW
prioritisation, together with Modelling and Facilitated Workshops, to converge over
time on an accurate solution that meets the business need and is also built in the
right way from a technical viewpoint. Working within Timeboxes, the Solution
Development Team create Solution Increments, iteratively exploring the low-level
detail of the requirements and testing continuously as they move forward
(A.Craddock). As a result, the FEED may run smoothly and with less mistakes
thanks to this procedure. That way, EPC will have a clear picture and clients' fears
will be reduced by the DSDM approach's transparency.
Agile DSDM approach has a strong eight fundamental principles and they are Focus
on the business need, deliver on time, Collaborate, Never compromise quality, Build
incrementally from firm foundations, Develop iteratively, Communicate continuously
and clearly Demonstrate control. This ensures that both the client and the contractor
are aware of the particular scope of work.
“Unlike other agile methods that focus on just the project lifecycle, DSDM utilizes
three phases focusing on the pre-project, project, and post-project (Moreira 2013).”
The pre-project phase is dedicated to establishing commitment and establishing a
budget. The project phase is concerned with the activities that occur throughout the
course of a project's life cycle. After the project is complete, the post-project phase
is dedicated to maintenance, bug repairs, and improvements. In DSDM, you may
loop several times through one activity before going on to the next.
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Figure 3.1: Evolutionary Development

The foundations section then begins to cross-check feasibility studies for the next
level. It meant to gain a basic knowledge of the project's business, the project's
solution, and how it will be developed and delivered. Thereafter, for a few weeks,
avoid low-level details. large-scale initiatives and their requirements and how they'll
be met in the time left until the project's evolutionary development phase.
Foundations aims at understanding the scope of work and how it will be executed
based on the business requirements and risks. In this phase, the project lifecycle
will also be determined. This same process will be tailored to this project's needs as
well. For small organisations or short-term or small projects, the foundation and
feasibility phases can be combined. But for bigger and more sophisticated projects,
revisiting foundations after each deployment phase may be required.
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Figure 3.2: PROJECT VARIABLE- TRADITIONAL AND DSDM

Projects have to balance conflicting demands, and the four most common demands
are: time, cost, features and quality. Trying to fix all four at the outset of a project is
unrealistic, as this would only work in a perfect world where the business need never
changes (A.Craddock). When using the traditional approach, the solution's featured
content remains the same while the other lower triangle elements, such as time,
cost, and quality, are sacrificed; however, when using the DSDM, no such sacrifices
are made in time, cost, or quality. We can see from this those traditional methods
always result in confusion and a burden for the EPC, while DSDM is founded on
clear principles. Where change in scope will have no effect on the process
environment.
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Figure 3.3: DSDM TEAM MODEL

Another outstanding aspect of the DSDM approach is its team model, which enables
rapid problem resolution and transparency as a result of an effective communication
management structure and seamless integration with the project level as well as the
solution development teams, resulting in better solutions and fewer errors.
Additionally, support will be provided throughout the process. There will be a
number of advisors, depending on the size and scope of the oil and gas projects.
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One of the other factors is all the stake holders will get to know the exact working
terms of current process and future process, since DSDM is has fixed business
requirements.
DSDM PRODUCTS

Figure 3.4: DSDM products

As explained in the feasibility and foundation section, the sophisticated work's


terms, scopes, and action plans are all planned. Before determining the project's
benefits, the detailed business case will be thoroughly reviewed and the prioritised
list of works will be critically evaluated. If the project's required business scopes are
not met, it will fail to reach the green flag.
Solution architecture Concept is a work-in-progress. It establishes the solution's
high-level design framework. It is intended to cover both business and technical
facets of the solution in sufficient detail to define the solution's scope but not to
strict evolutionary development, where the Development Approach Concept is an
advanced product. It defines at a high level the tools, techniques, customs,
practises, and standards that will be used to evolve the solution. Notably, it
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describes how the solution's quality will be ensured. Thus, a testing and review
strategy is a critical component of the development approach, as defined in the
Development Approach.
Delivery plans and management approach definitions will be crystal clear in the
management section, where the tasks to be completed will be completely time-
framed with the help of the time box system. Every task will have a time limit
specified in the time box plan, and this time limit will be monitored and recorded at
all times. It will eliminate the need for time delays.
In addition to that MoSCoW concept of this methodology is a key factor, where there
are four concepts like Must Have, Should Have, Could Have, Won’t Have this time.
It gives the EPC as well as the clients to have a flexible approach towards the issues
which could arise in the project life cycle.
3.3.3.2 KANBAN
The Japanese word Kanban, which translates as ‘‘signboard,’’ has become
synonymous with demand scheduling. 1 Kanban traces its roots to the early days
of the Toyota production system. In the late 1940s and early 1950s, Taiichi Onho
developed Kanban’s to control production between processes and to implement
Just in Time (JIT) manufacturing at Toyota manufacturing plants in Japan (Gross
and McInnis 2003).
The main key actors of Kanban systems are (Gross and McInnis 2003):-
can calculate the size of the Kanban by yourself.
can calculate the size of the Kanban by yourself.
can design awesome visual management aids by yourself.
cannot make the implementation a success by yourself. (Which requires a
strict team work for the process success)
The other effective method in the Kanban is ‘push and pull system’. Push system It
is a conventional system of production. When a job completes its process in a
workstation, then it is pushed to the next workstation where it requires further
processing or storing. In this system, the job has a job card and the job card is
transferred stage by stage according to its sequence. In this method, due to
unpredictable changes in demand or production hinder-ness, the job happens to
deviate from its schedule and it causes accumulation of work-in-process inventory.
Also, pull system A pull type production system consists of a sequence of
workstations involving value addition in each workstation (WS). In the pull system,
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from the current workstation (j), each job is withdrawn by its succeeding workstation
(j+1). In other words, the job is pulled by the successive workstation instead of being
pushed by its preceding workstation (Sendil Kumar and Panneerselvam 2007).

Changeover Time

Process Information:-
-Description
-Scrap
-Production Rate Process Downtime

Current State of the Process

Calculate the Kanban


Quantities

Design the Kanban

Figure 3.5: Design the Kanban (Gross and McInnis 2003)

This signal will take the place of the conventional production schedule. The signal
can take the form of cards, buggies, or objects on a fixed board. The only criterion
for signal selection is it has to be unambiguous, easily understandable, and
maintainable. The Kanban’s operation will be governed by the rules you develop.
They will provide the direction necessary for operators to maintain control over the
production schedule. The regulations should include instructions on decision points,
sequences and whatever that will assist production operators in making sound
judgments. Indicate who will perform which tasks, when assistance will be sought,
who to contact for assistance, and what these " assistance " will be done when got
in touch. The rules should include illustrations and diagrams to aid in
comprehension. Bear in mind that if you really want something to actually occur, it
Thesis Outline Template

better be specified in the rules. After developing a signal mechanism and associated
rules, you must decide how and where to communicate the data as well as
information. Visual management plan should be used to communicate the
information. and it should also include the following: the installation of signs, the
marking or taping of floors, the posting of rules, and the posting of job aids. Your
objective should be for anyone entering the production or material storage areas to
immediately understand the status of process or production, what’s next, and where
to obtain parts. Additionally, your visual management strategy should communicate
all of the other " common knowledge " information — because not everyone does.

3.4 CHANGE MANAGEMENT


The pace of globalization shows no signs of slackening. Standard indicators on
foreign trade and direct foreign investment show a continuing rapid integration of
national economies. This has resulted in a profound change in the economic
environment facing business (Anon.2008). The prospect that by the end of the
decade the United States could become a significant exporter of natural gas and
the world’s leading oil producer is a phenomenal change of circumstances from just
a few years ago (Anon.2013). The enforcement of a new, single method to replace
the old one cannot work. It will simply lead to workarounds by members of staff who
try to continue to do what they know. Instead, change must be facilitated a change
of technology always has a human counterpart, which can be captured by a human
factors or organizational science specialist. Unfortunately, how change actually
reshapes the working practices of an individual is generally overlooked or
misunderstood (Besnard and Albrechtsen 2013). Major Because business
environments are not stable, new requirements and changes in strategy are
required to ensure the organization's smooth operation.
There are many aspects for the successful change: -
3.4.1 Organizational Change Readiness
An organization's decision to embark in change management is as important as its
decision to ensure the organization is ready for the change itself. Many top
managements fail to understand that the barriers to change are the employs
themselves. There is a limit in imposing instruction on subordinates, therefore it is
crucial to get the employee's willingness to improve, work better and embrace the
changes within the organization (Baharudin et al. 2020). The willingness to innovate
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and change is the foundation for successful change implementation. In reality, major
stakeholders, particularly clients and employees, will always be resistant to change.
To address this, proper mode of change awareness programmes must be
implemented in a consistent time frame.
3.4.2 Effective Communication
To compete certain milestones in change (Jennings 2019) stated that multiple
definitions of competence can only hinder effective competence assessment,
question the validity of any competence assessment process and complicate
communication between different organisation. Without effective communication,
there will always be a greater amount of resistance than normal resistance. While
resistance is inevitable during periods of change, communication is critical for
overcoming it and lowering the intensity of resistance.
3.4.3 Adaptation to Change

Figure 3.6: SATIR MODEL OF CHANGE (Karten 2009)

The Satir change model can help you understand not only how to implement and
manage change, but also how to cope with it when you’re on the receiving end. The
model depicts the impact of change on an individual or group’s performance or
productivity and includes the following components like old status quo, foreign
element, chaos, transforming ideas, practice & integration and new status quo
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(Karten 2009). There will always be innovation in the oil and gas sector, which
redefines the new status quo as the old status quo. To sustain this, brain storming
sections will always emerge within the organisation, resulting in the formation of
new ideas and resistance within the organisation. Then, through the application of
new ideas, the sector will achieve its new status quo.

3.5 LEADERSHIP
Leadership can be an uncomfortable topic for some people, especially technical
project managers who may have extensive experience in being a doer, but precious
little in being a person who is responsible for leading others to get the job done.
sometimes hear people say “He [or she] is a natural born leader.” That is true of
some people—just as we hear of natural born athletes, there are also some people
who just have a gift that encourages people to follow them (Benator and Thumann
2003). Without a suitable leader, an organisation risks devolving into chaos.
A study conducted by Michal Micik, he derived few effective leaderships from the
organisational research and those are transactional, transformational, autocratic,
democratic and consultative (Micik 2016).
We could consider two effective of leadership strategies: -
Transformational leadership strategy
Transactional leadership strategy
empirical work has focused on the extent to which transformational and
transactional types of leadership should be implemented in combination, and
whether it is a problem that they build on different motivational logics (Nielsen et al.
2019). Transactional leadership is predominately about processes and control, and
it necessitates a rigid management structure. On the other hand, transformational
leadership focuses on inspiring others to follow, and it necessitates a high level of
and cooperation, communication and coordination. Since oil and gas sectors needs
these sorts of combined strategies due to the vivid sorts of sources and its
stakeholders.
For the oil companies increasing motivation is becoming the most fundamental
issue and therefore retention of these employees have become major issue. In this
context it has become increasingly important for this industry to develop standard
of leadership in order to facilitate motivation of employees better. Poor appraisal of
performance contributes greatly towards employee de-motivation followed by the
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perceptions of recognition lack, unfair salary, and poor speculation of the role along
with deficiency in empowerment. Great leaders have certain qualities and
characteristics among them which differentiate them from the others. Great leaders
always find opportunities or balance between character and performance, business
foresight. Some of the characteristics like courage integrity, humility, vision along
with strategic planning capability as well as catalysing cooperation definitely are the
attributes of a good leader. There is intricate difference between workers and
bosses, employees and management. Leaders are responsible for understanding
this difference and thereby accept them (John Thomas 2020). A true leader can
thus motivate his or her subordinates, resulting in increased productivity and
organisational success. Empowering project team members to report both good and
bad results in control meetings. Because some managers seem to want to hear only
good news in project meetings, poor intermediate performance results are swept
under the rug or discussed offline (Paul C. Tinnirello 1999).

3.6 TECHNOLOGY AND INNOVATION MANAGEMENT


Firms operating in a knowledge-based economy require a whole range of new skills
and dynamic competencies. These competencies are often renewed in the process
of managing innovation, through organizational changes, the enhancement of
specific skills, and technological changes within and outside a firm. The stark reality
for managers in many organizations is that these technological solutions are often
costly and the results are unpredictable. In addition, the adoption of new
technological solutions also requires careful implementation and evaluation if the
perceived benefits are to be achieved (Liyanage and Poon 2003).
The Solution Architecture Definition provides a high-level design framework for the
solution. It is intended to cover both business and technical aspects of the solution
to a level of detail that makes the scope of the solution clear but does not constrain
evolutionary development (A.Craddock). Due to the fact that DSDM has a
significantly superior solution system that provides cutting-edge technological
solutions and innovative ideas in response to changing business environments and
requirements, the technological and innovative management sector thrives
significantly more.
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Utilizing innovation diffusion and institutional theory to better understand the early
phases and diffusion of project-based management in and across firms could
contribute to project management research. Both innovation and institutional theory
literature encourage examining three topics: rationale for project-based
management, and the changes, and benefits stemming from adopting project-based
management (Martinsuo et al. 2006). This is the degree to which an innovation is
spread over time among a specific population. It could achieve through DSDM time
box frame and in solution flow wing.

3.7 QUALITY MANAGEMENT


Quality management (QM) is paramount to all businesses and projects. It is no
longer acceptable for a project manager to consider meeting only time and budget
as measures for a project's success. QM has a purpose, that is, to ensure that
projects meet specification and customer requirements. QM must be structured to
meet the requirements of any business or project. This requires organisations to
identify their goals — what are they trying to achieve — and identifying where they
are now and where they want to be! When involved in quality planning (QP), it is
important to ensure that the processes involved can be reviewed and that the
documentation forming a quality management system (QMS) is relevant to the
business or project in hand. This chapter provides a brief history of QM, the major
elements and functions of a QMS and total quality management (TQM),
international quality standards, a brief description of the costs associated with the
implementation and operation of a QMS, a typical quality production format and how
to improve and integrate a project quality (N.J. SMITH 2008). Without complete
documentation, payment cannot be retrieved from the client and the client will not
have the satisfaction that the work was completed in a professional manner.
The people who create policy, steer and direct the construction organisation will
have to show that they participate in the development and direction of the system.
That proves the leadership with respect to quality system (Griffith and Watson
2004).
Benchmarking is a procedure where a company seeks out and studies the best
practices in order to produce a superior performance. Benchmarking can take
several forms: internal benchmarking that investigates the practices and
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performance within the company; and external benchmarking, which compares the
company's practices and performance with world-class performers (Levy 2007).
Each construction project in the oil and gas industry is evaluated against
international, national, and client-specific standards. As a result, no compromise on
quality will be made at any cost.
The quality practices play a pivotal role in any kind of business environment for
sustainable growth of firm. In the changing global context, organizations are under
pressure to improve quality and QMP is the strategic quality tool to persistently
improve it. Also. The level of QMP implementation in oil and gas industry was 51%.
From the demographic analysis it was found that educational qualification, nature
of activities and nature of job are significantly associated with QMP (Srinivas,
Swamy, and Nanjundeswaraswamy 2020).

3.8 CONTRACT MANAGEMENT


According to (Marsh 2000) the client has made a decision and does not change it
later on a lump sum turnkey contract is the best method of avoiding additional costs.
It provides the least opportunity for the making of variations or for interference by
the client or the client's consultants with the contractor's work. In oil and gas sector
the number of risks and uncertainties are always unimaginable as a result lump sum
turnkey will always safe.
Always contracts need to be Guaranteed Maximum Price (GMP), since there is no
potential in the contract for latent conditions, nominated sub-contractors, incomplete
documentation, extensions of time, delay costs and variations. Which leads the EPC
in risks (David G. Carmichael 2000).
There could be chance to change the legal status or get in to a receivership from
the side of original parties. Novation will be a new aspect to save EPC as well as
client. As per (Eggleston 2001) novation is tripartite agreement where the contractor
is rescinded in consideration of a new contract being entered into, on the same or
similar terms as the old contract, by one the original parties and a third party.
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3.9 CONCLUSION
A large number of articles, journals, and books are cited and literate in this literature
review, which is organised in a chronological order. In addition, the causes of delays
in the oil and gas industry were carefully considered in order to gain a better
understanding of the factors that contribute to delays in the field. This chapter will
serve as a useful reference for the subsequent one, as the solutions to the delays
can be traced back to the methodologies discussed in this one.
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CHAPTER 4. CRITICAL ANALYSIS & RECOMMENDATION

4.1 CRITICAL ANALYSIS & REVIEW OF CASE STUDY-1


I. Dealing with EPC Project Management Problems and Challenges A Case
Study on Petrochemical, Oil and Gas EPC Projects in Middle-East
(Akhtar 2020).
The methodology used includes a survey, in-depth interviews, and a case study.
approach. This CS addresses delays and cost overruns that occur during the EPC
process as a result of organisational inefficiency in planning, as well as a lack of
knowledge in the specified areas of project initiation, planning, execution, and
commissioning. The researchers used a quantitative approach in this case study,
comparing those with effective management practises.
4.1.1 ISSUES AT INITATION PHASE
Changes in fundamental design inputs, such as production profiles, wellhead design
parameters, and well fluid composition, as well as key engineering studies, such as
pipeline/flow-line corridor studies, existing facility requirement checks, and tropical
and geotechnical surveys, are not completed during FEED, and their impact is
passed on to EPC contractors. This will cost contractors valuable time even after
the projects have been awarded. To meet those requirements, considerable time is
required.
Contractors usually submit technical and commercial bids quickly to meet the
client's schedule. Due to this rush, inaccuracies during commercial and
technical bids usually result in conflicts, schedule slippage, and cost overruns.
When the proposal package is handed over to the project management team after
the award, they review it and find most of the factual errors and estimation errors.
That is, such situations do not bode well for project success.

Commercial and technical bids are important for both client and contractor success.
Preparing Commercial and technical bids is one of the most difficult and important
tasks, and it requires a lot of time.
Another cause of delays is overly ambitious, unrealistic schedules. It is determined
by the clients, and will often be quite implausible in order to accommodate the
client's business requirements. As a result, contractors and EPC bidders' schedules
Thesis Outline Template

must be adjusted to meet the criteria. In any case, the client and contractor will make
every effort to align their schedules with the requirements of the stakeholders. As a
result, when schedules fail, they complain to one another, resulting in arguments
that halt work flow for specific decisions.
Another issue is project complexity, which necessitates the division of complex work
packages and awarding them to multiple EPCs. When a complex package is
delegated to a single EPC, the project becomes highly susceptible to delays
4.1.2 ISSUES AT PLANNING PHASE
During the detailed engineering and design phase, data changes frequently, and
the EPC contractor cannot freeze the design basis to proceed. The project starts
with unavoidable engineering delays that impact subsequent activities. An EPC
project's success requires a solid understanding of data. They should try to minimise
changes in design inputs that are essential and cannot be validated by the
contractor during the bidding stage. This will help the company attract low-cost
contractors and avoid conflicts and delays during project execution.
It's never easy to get contractors, clients, and consultants to submit and approve
deliverables on time. This is difficult because some contractors are waiting for input
from disciplines engineers, or have limited resources, or are working on multiple
projects at the same time. Once submitted, the client/consultant personnel will have
their own priorities and will send the document with or without comments at the last
minute. It takes a long time for EPC contractors to get an IFC set of P&IDs, which
is required to start detailed engineering. Engineers-in-charge (EPC) contractors
also experienced delays in approving specifications and technical
clarifications/questions. This delay may be high when employees of both parties
have poor technical knowledge.
Poor planning can lead to project failure or serious delays. This outcome should be
avoided at all costs. Failure to plan exposes the Contractors project to unanticipated
risks. This wastes time trying to solve the project's issues. Because time is money,
the project budget will be used to resolve issues that arise due to poor planning.
The lack of an official NOC or permit from the officials or stakeholders was found to
be a common cause of project delays. The team's lack of understanding of
NOC/permit requirements delays project start. Contractor must obtain all required
Thesis Outline Template

NOCs, permits, and licences from government, local, and client authorities within
the project timeline.
From the clients' and contractors' perspectives, it is understood that there is a delay
in the formation of project management groups. which will inevitably result in delays.
Another conclusion drawn from the research is that there are insufficient team
competency gaps, where an EPC project has a good idea, adequate funding, and
plenty of resources, a poor project management team can cause it to go over
budget, miss its deadline, and be of poor functional or technical quality.
4.1.3 ISSUES AT EXECUTION PHASE
Contractors have to search all client archives to locate and validate the as-built
drawing/documentation and conduct trial pits to capture the as-built status of both
unground and above ground existing facilities/utilities, which delays the design
freezing. Clients do not respond promptly to engineering queries, causing delays in
construction completion.
Errors in the FEED are another source of delay while the EPC generates the design,
and a lack of provided by the client to the EPC generates a FEED error
which results in design errors.
While it is critical for each contractor to run a profitable and successful project, some
project management leaders fail to recognise the signs of poor governance.
Effective leadership is critical for meeting client needs and sustaining business
growth. Numerous projects have been delayed as a result of inefficient or ineffective
contractor and client leadership.
4.1.4 Other significant issues encountered during the construction phases include
insufficient resources, which is a clear indication of poor planning, and insufficient
project management planning, which affects the project execution phase.
Another major issue is material shortage or material delay, which is caused due to
the late Purchase Orders (POs) to vendors for long lead items (LLIs) that were
placed late due to engineering inputs, TBE approval, or a longer tender & award
duration. This was the most frequently encountered bottleneck in completing
projects on time.
If the cash flow is negative, the EPC contractor will be unable to complete the
project. Poor cash flow occurs when incoming cash is insufficient to meet the
project's outgoing cash requirements, and it is extremely common in construction to
Thesis Outline Template

encounter difficulties collecting unpaid invoices. Clients delay approval of invoices,


and other commercial and contractual issues cause payments to be delayed or
postponed. Contractors are unable to pay vendors, subcontractors, and even their
own expenses, impeding the project's progress.
Serious HSE violations may result in contract cancellation and financial penalties.
Only the health and safety management can establish an appropriate HSE work
culture. HSE concerns should be addressed early in the project's development and
during design safety reviews.
Failure to perform a proper installation will always result in a delay, as it will delay
the time. In the oil and gas industry, squandering time is regarded as a waste of
money.
4.1.5 ISSUES AT PROJECT MONITORING AND CONTROL
It is a difficult task to effectively monitor and control the project's progress. The
majority of the EPC project was severely delayed as a result of inadequate project
monitoring and control.
The project will be jeopardised due to a lack of communication. A project must be
transparent to all parties involved, including stakeholders, clients, contractors, and
subcontractors. The project will be vulnerable to failure if there is no effective
communication management system in place.
4.2 CRITICAL ANALYSIS & REVIEW OF CASE STUDY-2
II. Causes of delay in construction projects in the oil and gas industry in the gulf
cooperation council countries: a case study (Ruqaishi and Bashir 2015)
4.2.1 CRITICAL ANALYSIS
This study investigates the factors that contribute to the delays in the construction
of oil and gas processing facilities in Oman, and it serves as a case study for the
countries of the Gulf Cooperation Council (GCC). The information was gathered
through the use of a questionnaire from 59 project managers who worked for various
organisations in the oil and gas industry in Oman. On the subject of project delays,
the survey results revealed a greater level of accord among the clients, concept of
project stakeholders, EPC, and consultants.
The research was conducted through an interview process, and a questionnaire
design as well as a data collection concept were developed and implemented. A
closed-ended questionnaire was chosen to control data collection and facilitate
Thesis Outline Template

analysis. A pilot study with project managers from ten different organisations was
conducted to ensure the questionnaire was clear and complete, and that the listed
causes were applicable to oil and gas construction projects in Oman.
The interviewee was given a five-point like scale to use in responding to the
questions. Causes related to the client, Contractors, Consultants, Materials, Labour,
and equipment are the most common types of questions. Other types of questions
are related to Contracts and Contract Relationships, and External causes are the
most common types of questions. We used a variety of methods to distribute the
questionnaire to a representative selection of 210 project managers from clients,
contracting organisations, and consultant organisations in both the public and
private sectors. These methods included electronic mail, Web-based survey tools,
regular mail, and hand delivery. With 59 responses (27 from client organisations, 13
from consultant organisations, and 19 from contracting organisations) to the
questionnaire, the response rate was 28 percent, resulting in a 28 percent response
rate.
Three hypotheses are derived from the studies. Clients, contractors, and
consultants don't see project delays in a different light when it comes to the causes,
delay based on the organisational size and project cost overrun based on the
organisational ownership.
They have used three statical tools for this survey. The Kruskal-Wallis test was used
to determine whether the null hypotheses were correct. It is possible to confirm this
by looking at the studies of (Vargha and Delaney 1998). Another tool is the median,
which is used to determine where items should be placed in a ranking. Cronbach's
alpha, a reliability coefficient, was used to assess the questionnaire's
trustworthiness.

4.2.2 REVIEW
Cronbach's alpha (α) is the study's main flaw. According to some research, it isn't
accurate. A recent study states that, It has been previously established both in this
Journal and in other reviews of science education research that the alpha (α)
statistic attributed to Cronbach is not well-understood, even though it is widely
reported in studies (Barbera et al. 2021). Another issue is Cronbach’s alpha, where
its’ mean values are inaccurate (Ursachi, Horodnic, and Zait 2015).
Thesis Outline Template

Reviewing Table 1 (Ruqaishi and Bashir 2015) the perspective of project


stakeholder comparison, the vale falls back to 0.01 acceptive. poor understanding
of the scope of work during tendering, poor management of contractors’ schedules,
shortage of equipment, and mistakes and discrepancies in the contract document.
Considering Table 2 in the case study (Ruqaishi and Bashir 2015) it is clear that the
major cause of delays are Site regulation and control by EPC that is inadequate,
problems with subcontractors, insufficient planning and scheduling of the project by
contractors, ineffective management of contractors' schedules, delay in delivery of
materials, a lack of effective communication among project stakeholders as well as
poor communication with vendors during the engineering and purchasing stages.
Another factor Bashir states that the Construction projects that involve the
engagement of subcontractors are common, particularly in large-scale construction
projects. According to the findings of this study, problems with subcontractors are
one of the most significant causes of project delays.
In this case study, there is no mention of material delays causing cost overruns, but
the absence of materials results in a stand-by of work force, which results in money
being wasted. Every minute counts in medium and large-scale oil and gas projects,
where each minute is worth a million dollars.
4.3 RECOMMENDATIONS FOR CASE STUDIES
As previously stated in the preceding chapters and the current, in order to achieve
success in an organisation, various forms of management methodologies, tools,
and ideas must be structured in such a way that they increase efficiency while
decreasing the likelihood of failure.
Change is unavoidable in every aspect of life, including the business environment,
technology, terms and conditions, and terms and conditions themselves.
Consequently, 'continuous incremental adaptation' is highly recommended, and it is
essential that the management gives it a high priority in order to see that the
organisation adopts along with the process.
Agile DSDM is strongly recommended across the whole process, from the business
case through execution and handover. In addition to DSDM, the Kanban model was
highly recommended for oil and gas operations. However, DSDM presented its own
full range of communication, which was quite efficient. The transparency of DSDM
is excellent, and its visibility is evident to all parties involved. So, the resolutions to
the potential and effective risks could be handled smoothly.
Thesis Outline Template

Clive Thomas Cains' 6 goals for construction factors consist of various elements to
make construction in the UK more successful and efficient (Cain 2003). Out of that,
"Elimination of Inefficiency and Waste" is a key factor. They can clearly see the
inefficiency and waste that occur at all stages of the design and construction
process and can equally clearly see that it is caused by fragmentation and
adversarial attitudes in the design and construction supply chain (Cain 2003).
Therefore, since the DSDM does prevent inefficiency due to its iterative and
incremental approach to development, even though the waste management, i.e.,
waste of time or labour in oil and gas construction, caused by the unpredicted risks
is uncertain in the DSDM, a certainty needs to be initiated in the DSDM practise in
the organisation to ensure the absolute success of the project.
Design (FEED Readiness & Endorsement, inherited bidding inaccuracies and
estimation mistakes, and aggressive-unrealistic scheduling are the key aspects
prior to the project initiation. In both case studies, it was stated that without
understanding the proper scope, EPCs jeopardise themselves. In the solution-level
and project-level structures of the DSDM team, highly qualified professionals are
recommended. This will help the EPC and client be satisfied enough to get a better
and more efficient quote without error.
The statical formula used for the case studies are old fashioned and are not
accurate. New method of approaches like generation of graphs which gives an
accuracy in studying a particular real-world network, it is often convenient to define
a family, or ensemble, of graphs which are similar to the network in some way. Then
a random element of the ensemble provides a null model against which the
significance of a particular property of the real-world model can be tested (Greenhill
2021).
As recommended, if the DSDM methodology and waste are strictly adhered to the
culture of the organisation, then all the problems aroused in the case studies will be
resolved. While considering the MoSCoW at decision making, it has to be properly
documented and clients’ approval needs to be authorised prior to any decisions. If
not, it may generate uncertainty in quality, completion of tasks, violation of scope
and agreement as well as payments.
In certain cases, work delays will have an impact on the project on the basis of
material shortages. Standby of the work force will cause an extra loss to the EPC
and the sub-contractor. To an extent, this could be overcome by recruiting multi-
Thesis Outline Template

tasked labour and contracting the employees initially so that "If the organisation
wants the employee to deviate to a new task which is of the same ranking, then the
employee needs to follow the instruction." As a result, the work force could be
efficiently utilised, but the threat to this proposal is that "if the deflected work is not
done under strict and trained supervision, then it might jeopardise the organisation."
Conclusion
This section conducts a critical review and analysis of two case studies. The major
issues confronting the oil and gas industries are amply reflected in these case
studies, which cover ninety-nine percent of the reasons for delays and include
recommendations for resolving those delays. Significant disadvantages of survey
tools were also highlighted and critiqued in this section.
Thesis Outline Template

CHAPTER 5. CONCLUSION AND GENERALS

5.1 INTRODUCTION
This character synthesis serves as the foundation for this research project. There
will always be risks and opportunities associated with any procedure or aspect as
we gain new knowledge. The following section details the risks associated with this
research, its analysis, and its mitigation. Additionally, this chapter contains all of the
lessons learned, their outcomes, and recommendations.

5.2 RISK ANALYSIS IN RESEARCH


There are risks associated with each project, which are carefully managed
throughout the duration of the project. Potential risks can be divided into five
categories that they impact on physical, psychological risks, social risks, loss of
confidentiality and finally legal risks.
The processes and techniques of the research may cause physical discomfort and
pain, injury, illness, or disease, all of which are considered to be physical risks,
where considering psychological matter effect like anxiety, depression, guilt, shock,
and a loss of self-esteem are all produced, as is a change in behavioural patterns.
When visiting a public library, socio-risks are high, and the researcher will be much
more vulnerable to COVID-19, which will have a negative impact on his or her
research.
The confidentiality of recognisable information about human subjects is presumed
in all research involving human participants, and must be retained unless the
researcher obtains the subject's express permission to do otherwise. Subjects have
the right to be protected against bodily harm or unauthorised invasions of their
privacy, as well as the right to have their sense of dignity preserved at all times.
Since many articles are referenced and cited by specific organisations and
individuals, there are significant legal risks associated with this research. If the
articles are kept confidential, the researcher will always be subjected to legal action
as a result.
Thesis Outline Template

5.2.1 SWOT ANALYSIS


Performing a SWOT analysis is intended to establish a realistic, reality-based and
data-driven examination of the strong points and weaknesses of the organization,
initiatives, or the competitive landscape in which it operates. Since this project is an
initiation for fulfilling a research SWOT can be utilised to represent the risk factors.
5.2.1.1 STRENGTH
Gained a lot of knowledge.
Able to review a lot of text book, journals and research articles of various
decades.
24*7 Access to the university library.
Since this research is based from own profession it will be an asset for the
future career.
New ideas gained while discussed the research contents with colleagues.
RaFworks helped the citation simpler and more accurate.
Access to world-wide virtual libraries via university portal.
5.2.1.2 WEAKNESS
Majority of the journals published about oil and gas are inaccurate.
Stress was very high at the last moment of the research.
Unable to concentrate due to the mental stress.
5.2.1.3 OPPURTUNITIES
Able to deeply understood the efficiency of DSDM approach in an
organisation.
Learned new sort of tools and techniques in the field of management &
research.
Able to interact with different other professional students in library.
After this effort it gave a confidence to commit new own research journals.
5.2.1.4 THREATS
Inaccurate usage of statical tools in the case study by others.
Improper recourse management made the work slow.
Negative affective states such as anxiety, depression, guilt, shock and a loss
of self-esteem can lead to behavioural changes as a result of psychological
risks.
physical, psychological risks, social risks, loss of confidentiality and finally
legal risks.
Thesis Outline Template

5.2.2 RISK MITIGATION


Proper planning needs to be set from the beginning.
University needs to get more access in to the public journal web sites.
University needs to get more access into many other public virtual libraries.
Calm atmosphere needs to be maintained in the study places for better
concentration.
A dissertation help desk needs to be implemented always in the library.

5.3 LESSONS LEARNED


ID LESSON WENT NEED CHANGE RESPONSIBLE
LEARNED WELL PERSON
Time When it came to Initial Time duration Myself
Management the time frame, phases run
everyone was on smoothly.
the same page.
Project The professor Decision Duration Authority,
Management thoroughly making, Myself.
explains all of the meetings
patterns and time
underlying this frame.
research.
Risk The tactics are Risk To raise Myself,
Management well understood if mitigation. awareness of Authority.
the research is the issues, an
jeopardised, as online portal
are the mitigation should be made
methods. available to
dissertation
students.
Scope The pattern of The manner Nothing Supervisor,
Management research scope is in which the Project Module
well understood research Leader, Myself.
was
conducted
was
flawless.
Recourse Numerous Numerous Enough journals Authority
Management articles, journals, text books couldn’t be
and books are were found in the
required for the available Locate.
project to be both
completed virtually and
successfully. physically
at the
Thesis Outline Template

Lanchester
library.
Psychological Mental tranquillity Advanced In the library's Library staffs,
Management and stability are computer silence zone, a few students.
required for facility in few candidates
effective the library. were conversing
research. loudly and
cracking jokes.
This must be
closely
monitored by
library staff.
Communication A clear channel of Discussions The works must Authority.
Management communication aid in the be uploaded to
with colleagues project's a cloud-based
and supervisor is accuracy. sharing platform
required. for easy review
by the project
manager and
supervisors.
Table1:- Lessons Learned

5.4 CONCLUSION
This phase concludes that for a research project to be successful, a proper
approach, planning, risk management, and effective engagement are required. It
also serves as an important reflection on the lessons learned throughout the entire
process.
Thesis Outline Template

CHAPTER 6. APPENDICES

6.1 Appendix 1
Thesis Outline Template

6.2 APPENDIX 2 Other Material


ID Task WBS Task Name Duration Start Finish Predecessors
Qtr 4, 2021 Qtr 1, 2022 Qtr 2, 2022 Qtr 3, 2022 Qtr 4, 2022
Mode Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
1 1 TITLE OF THE 14 days Fri Wed
PROJECT & 08/10/21 27/10/21
SUPERVISOR
2 2 INTERACTION
TOPIC RESEARCH 5 days Thu Wed 1
AND RESEARCH 28/10/21 03/11/21
CONCEPT IDEAS
3 3 READING OF 16 days Thu Thu 1,2
JOURNALS AND 04/11/21 25/11/21
4 4 ARTICLES
FINALISING THE 7 days Fri Mon 1,2,3
CONCEPT OF THE 26/11/21 06/12/21
PROPOSAL
5 5 PEREPRATION TO 54 days Tue Fri 4
SUBMIT FINAL 07/12/21 18/02/22
PROPSAL DATE
6 6 JOURNAL 8 days Mon Wed 5
READINGS FOR 21/02/22 02/03/22
UNDERSTANDING
THE CAUSES OF
DELAY IN OIL AND
7 7 GAS
FEEDSECTOR
FRONT 6 days Thu Thu 6
ENGINEERING 03/03/22 10/03/22
JOURNALS
8 8 MANAGEMENT 4 days Fri Wed 6,7
STUDY OF DSDM 11/03/22 16/03/22
9 9 ANALYSED 3 days Thu Mon 7,8
QUNITATIVE 17/03/22 21/03/22
RESEARCH
10 10 JOURNALS
FINALISINGFOR
THE 5 days Tue Mon 9
CONCEPTS 22/03/22 28/03/22
11 11 METHODOLOGICAL5 days Tue Mon 10
CITATION AND 29/03/22 04/04/22
12 12 WRTING
LITERATURE 2 days Tue Wed 10,11
REVIEW AND 05/04/22 06/04/22
13 13 CITATION
REVIW AND 4 days Thu Tue 11,12
CRITISISE OF CASE 07/04/22 12/04/22
14 14 STUDIES
RECOMMENDATIONS 2 days Wed Thu 13
13/04/22 14/04/22
15 15 CONCLUSION AND 4 days Fri Wed 13,14
GENARAL 15/04/22 20/04/22
16 16 BASED ON 2 days Thu Fri 15
CHAPTER 2,3,4, 21/04/22 22/04/22
and 5 APT
INTRDUCTION IS
17 17 EXECUTED .
PROOF READING 2 days Mon Tue 15,16
AND 25/04/22 26/04/22
CORRECYIONS
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CHAPTER 7. GLOSSARY

DSDM - Dynamic System Development Method


CRR - Cox–Ross–Rubinstein
EPC - Engineering Procurement Construction
FEED - Front-End Engineering Design
DBB - Design-Bid-Build
RSD - Rapid Application Development
QM - Quality Management
QMS - Quality Management System
TQM - Total Quality Management
QMP - Quality Management Plan
GMP - Guaranteed Maximum Price
Thesis Outline Template

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