Engineering projects rarely come bigger or more complex than those in the energy sector. That complexity is at the root of why just five per cent of capital projects meet their authorized cost and time goals.

摘要

For owner-operators and EPCMs, volatile commodity prices have meant the margin for error during project execution is smaller than ever. With this in mind, Dennis Peters, Senior Director, Energy at Siemens PLM Software, says that the sector needs to rethink project delivery. Few projects fail outright, but many are late or over budget. According to the Construction Industry Institute, only two out of five projects are profitable for member companies. Ernst & Young research showed that 64% of oil and gas projects are facing cost overruns, and 73% of the projects are facing schedule delays.