Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives

Rework arises in offshore projects due to errors and omissions, and this can significantly contribute to project cost and cause schedule overruns. Indeed, these additional and unnecessary costs can uncontrollably spiral to account for 25% of capital expenditure for offshore platform projects. Yet re...

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Main Authors: Love, Peter, Edwards, David
Format: Journal Article
Published: Taylor & Francis 2013
Subjects:
Online Access:http://hdl.handle.net/20.500.11937/11842
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author Love, Peter
Edwards, David
author_facet Love, Peter
Edwards, David
author_sort Love, Peter
building Curtin Institutional Repository
collection Online Access
description Rework arises in offshore projects due to errors and omissions, and this can significantly contribute to project cost and cause schedule overruns. Indeed, these additional and unnecessary costs can uncontrollably spiral to account for 25% of capital expenditure for offshore platform projects. Yet rework costs are frequently dismissed as isolated and rare instances of unfortunate circumstances and alien to normal practice. Original evidence stemming from this research indicates that cost and schedule overruns are a recurrent feature of offshore projects. Moreover, the risk of overruns are further exacerbated by increasingly complex commercial and contracting arrangements, technical challenges, changing local economic and regulatory conditions, and a shift towards projects being undertaken in peak oil frontier regions. To acquire new knowledge on the dynamics of offshore rework, the experiences of 23 oil and gas industry practitioners were captured using in-depth interviews. A risk classification matrix was subsequently developed in order to provide a frame of reference to mitigate future rework. Failing to give consideration to rework risks increases the potential for latent conditions to become embedded within organisational and project systems and processes. Consequently, the likelihood of failures, accidents or even catastrophes increases.
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spelling curtin-20.500.11937-118422017-09-13T14:53:52Z Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives Love, Peter Edwards, David risk rework error offshore projects learning Rework arises in offshore projects due to errors and omissions, and this can significantly contribute to project cost and cause schedule overruns. Indeed, these additional and unnecessary costs can uncontrollably spiral to account for 25% of capital expenditure for offshore platform projects. Yet rework costs are frequently dismissed as isolated and rare instances of unfortunate circumstances and alien to normal practice. Original evidence stemming from this research indicates that cost and schedule overruns are a recurrent feature of offshore projects. Moreover, the risk of overruns are further exacerbated by increasingly complex commercial and contracting arrangements, technical challenges, changing local economic and regulatory conditions, and a shift towards projects being undertaken in peak oil frontier regions. To acquire new knowledge on the dynamics of offshore rework, the experiences of 23 oil and gas industry practitioners were captured using in-depth interviews. A risk classification matrix was subsequently developed in order to provide a frame of reference to mitigate future rework. Failing to give consideration to rework risks increases the potential for latent conditions to become embedded within organisational and project systems and processes. Consequently, the likelihood of failures, accidents or even catastrophes increases. 2013 Journal Article http://hdl.handle.net/20.500.11937/11842 10.1080/15732479.2012.667419 Taylor & Francis restricted
spellingShingle risk
rework
error
offshore projects
learning
Love, Peter
Edwards, David
Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives
title Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives
title_full Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives
title_fullStr Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives
title_full_unstemmed Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives
title_short Curbing rework in offshore projects: systemic classification of risks with dialogue and narratives
title_sort curbing rework in offshore projects: systemic classification of risks with dialogue and narratives
topic risk
rework
error
offshore projects
learning
url http://hdl.handle.net/20.500.11937/11842