A non-operating partner in a major LNG project sought an independent view of the Operators’ plans, performance and expected cost and schedule outcomes during the projects’ execution phase.
The operator had made a number of changes to plans, and our client was concerned that the reporting of project progress and expected outcomes against these plans was not representative.
RISC’s approach incorporated global knowledge not generally available to individual projects.
- Analyse the original and revised project plans provided by operator.
- Review the project progress reports to build up a picture of how the project is actually performing.
- Analyse forward looking plans and forecasts.
- Form a view on the validity of the forward looking plans, using knowledge of the project to date, our internal knowledge bases and experience with other projects.
- Produce an independent view on the likely range of project outcomes.
- We delivered a report outlining the realistic range of outcomes for the project, identifying the anticipated range of cost and schedule outcomes.
- We identified key contributing factors and outlined the potential for, and credibility of, mitigation measures and intervention levers.
- RISC’s predictions of cost and schedule outcomes enabled our client to adopt realistic budgets and schedules in their business plans avoiding unnecessary surprises.
- RISC’s predictions continue to be confirmed by actual project performance over two years later.
- Our client has a much more informed view of the project and, as a result, has been able to make decisions with confidence.