Natural Gas Utility 1

Natural Gas Utility 1

Posted on 05/01/2015 in Utility & Pipeline - 186

CHALLENGE: How to Manage

A leading natural gas utility with over one million customers was experiencing increased regulatory scrutiny of its system assets and had increased its capital construction budget by almost 300% over a four year period to perform integrity upgrades and meet new customer demand. Amidst this backdrop, there was shrinking service provider capacity to perform the work and increasing construction costs. Missed schedule milestones and cost overruns led executive management to search for a new approach to their capital construction methodology.

SOLUTION: Evaluation & Benchmarking ► Framework Development ► Training

To address these challenges Continuum designed and executed a three-phased approach. The first stage consisted of a thorough evaluation of the current state of their capital construction program, as well as performance benchmarking against peer companies. Recommendations were then made to facilitate the second phase which consisted of the development of a comprehensive project management framework supported by documentation, policies and procedures. The final step in the process yielded a set of client-specific training materials to teach and reinforce the new construction methodology.

RESULTS: Improved Schedule and Budget Performance

A medium-scope program management office was created to provide consistency and implementation oversight for the new construction processes. A performance dashboard was developed to improve visibility, accountability and monitoring of program performance. Strategic alliances were formed with key material and construction service providers. The client benefitted immediately from increased project controls, highly consistent project delivery practices and reduced risks which led to improved schedule and budget performance.