Redesigning And Redeploying Oil Tanks For Continuous Revenue And Supply Stream | Multinational Oil Company Case Study

The Challenge: Addressing Issues with the Oil Company Supply System

This case study is a large multinational oil company which operates from Australia and serves their services all over the world. In order to supply domestic oil to the domestic market along with the automotive fuels, the existing supply system of the company is facing serious issues due to the current condition of the oil company.  The other issues are it is 50 years old and its extremely complex and backdates design infrastructure. However, recently the company is investing $20,000 in every month for resolve the issues of the detected leakage. The goal of the project manager is to design the outline and the infrastructure in such a way so that it can operate successfully with high rated commercial revenue.  The logistic challenges that the multinational Company is facing are to be mitigated rather resolved over the time for gain continuous revenue stream and continuous supply to the fuel outlets.

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 The main goal of the project is to redesign and redeploy the oil tank in such a way so that it can distribute the requirements to the consumers over valid time frame.  In addition to this, other goal of the project is to redesign the tank considering all architectural specifications such as size of the tank with a flammable vaporous venting capability, internal restrictions and pipelines qualities.

The scope of the project is to redesign and redeploy the tanks with the consideration of leading manufacturers, premium grade materials, and nominal thickness of the plates, minimum tensile strength and hydrostatics stress testing.  The tank is built beside the road and the system has the ability to access only 3 different tanks. All the three different tanks are different in sizes and for the large one the tank wall is 10 Meter high.

The project manager is responsible for design the structure of the project in such a way so that it can meet the project success criteria. The project resources assigned for this project are project manager, civil constructors, labors, architect, finance manager, technical expert team, operation manager HR manager and project monitoring and control manager. It is the role of the project manager and the project team members to accomplish the project within estimated budget and time as well.

The main products and services for the project include three different sized tanks with supply capabilities.  The tank 1 is the smaller one and it can hold 1 Million liters of unleaded petrol and four of the steel patches are averaging by 2 square meters in size. In order to operate successfully at height 4 steel anchors are required on the top of the tank. The second tank is medium in size and has the capacity of 3 Million Liters unleaded petrol with a 7 steel patches those are averaging in a size of 3 square meters.  The third tank is the largest one in size and it has a capacity of 7 Million liters of unleaded petrol.  

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The Goal: Designing a Successful Infrastructure

In addition t this for this tank, 6 steel patches are there with an average size of 1.5 square meters. In order to meet the other supply level requirements, catholically protected steels are needed to be manufactured and installed to the tank. The corrosion experts of the company are responsible to design the field installed CP system. Apart from this, spill preventions equipments are also required to prevent the regulated substance release.  However, only electrical test for the system is not enough in addition to this, internal sensor operator installation is also required to be considered by the designers. Not only this but also, continuous inspections are needed for the sumps, tanks systems, manholes and other dispensers. During the execution and development of the reconstruction if the project the architect and the constructors are require to  search for other specifications If any certain construction level problems are identified then, that should be immediately reconstructed by the civil constructor and architect. In order to accomplish the project within estimated time and budget it is mandatory for the project manager to assign proper job roles to the project team members.

For constructing the tanks quality raw materials are needed to be specified by the project manager. Not only this but also all the raw materials are to be tested accordingly and must be go through different testing phase for final validation. If any kind of quality issues are being raised than those are to be resolved accordingly for the final and successful accomplishment of the construction. It has been found that the successes of any project are not just partly but completely dependent upon its quality and service details. The project success criteria are similar to the project acceptance criteria. The other components that are to be considered for the project include behavior of the project associates, business strategies, business rules, flow of the complete process, usability, performance and the control and operational activities of the project.

In order to design any project it is mandatory for the project manager to consider a project development methodology and the phases to be followed or the project include project initiation, planning, design and execution, monitoring and closure phase. The out of the project initiation phase is the input for the project planning phase.

In this case study agile project management and development methodologies are to be followed by the project manager for the successful accomplishment of the project. In the project initiation phase the project charter and the cost of the complete project will be estimated. At the project planning the contingency planning and quality testing planning will be considered. In the project execution phase the designed project prototype will be executed after following different project testing phase. In the monitoring phase the project requirement and the progress of the project will be analyzed once again. Based on these specifications continuous improvement plan and change management plan will also be adopted by the project manager. With the approval of the project outcomes the project will be finally executed.  The commercial revenue and the success of the reconstruction project ends with the stakeholder’s signoff and final presentation of the project documentation.

Project Scope: Redesigning and Redeploying Oil Tanks with High-Quality Materials

Collectively it can be said that, the concepts that are associated to the civil construction project include stakeholders, requirements also. Based on the quality policies, continuous improvement policies are also needed to be considered for meeting the business needs.  Based on the current and popular trends the design and architectures are to be prepared by the project manger and project heads. The piping systems are also required to be properly installed. However, keeping all the manufacturing specifications the system budget should be considered.  Besides this, mechanical line leak detector system will also be installed to the system.

 A vapor monitoring system will help to regulate all the substance and their functionalities accurately over time. Physical specifications will help the project manager to operate the system accurately over time. Inventory control balance is another important activity to be considered for the successful implementation of the project. The visual alarm will be used for other leak detection purpose such as gallon per hour, per square inch line pressure leakage in pounds.  Line tightness test performance and a suction system should be installed in this tank manufacturing project.

References

Binder, J. 2016. Global project management: communication, collaboration and management across borders. Routledge.

Boud, D., Cohen, R., andSampson, J. (Eds.). 2014. Peer learning in higher education: Learning from and with each other. Routledge.

Fleming, Q. W., and Koppelman, J. M. (2016, December). Earned value project management. Project Management Institute.

Gold, B., and Vassell, C. (2015, November). Using risk management to balance agile methods: A study of the Scrum process. In Knowledge-Based Engineering and Innovation (KBEI), 2015 2nd International Conference on (pp. 49-54). IEEE.

Harrison, F., andLock, D. 2017. Advanced project management: a structured approach. Routledge.

Heagney, J. 2016. Fundamentals of project management. AMACOM Div American Mgmt Assn.

Hornstein, H. A. 2015. The integration of project management and organizational change management is now a necessity. International Journal of Project Management, 33(2), 291-298.

Joslin, R., andMüller, R. 2015. Relationships between a project management methodology and project success in different project governance contexts. International Journal of Project Management, 33(6), 1377-1392.

Kerzner, H., andKerzner, H. R. 2017. Project management: a systems approach to planning, scheduling, and controlling. John Wiley andSons.

Machado, T. C. S., Pinheiro, P. R., andTamanini, I. 2015. Project management aided by verbal decision analysis approaches: a case study for the selection of the best SCRUM practices. International Transactions in Operational Research, 22(2), 287-312.

Permana, P. A. G. 2015. Scrum method implementation in a software development project management. International Journal of Advanced Computer Science and Applications, 6(9), 198-204.

Schwalbe, K. 2015. Information technology project management. Cengage Learning.

Spundak, M. 2014. Mixed agile/traditional project management methodology–reality or illusion?. Procedia-Social and Behavioral Sciences, 119, 939-948.

Tomanek, M., andJuricek, J. 2015. Project risk management model based on PRINCE2 and SCRUM frameworks. arXiv preprint arXiv:1502.03595.

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