The initial Concept Stage and/or Front End Engineering Design of a project is the route by which we determine the viability of the project, review alternatives, define the scope and to develop the initial project cost estimates within agreed certainty limits (dependent on time and resource used).
It has been proven that up front design or front end loading greatly enhances the prospect of project success. It is a false economy to save money at the design stage as these costs are considerably less than the cost of making changes, paying for the wrong plant and machinery, increased construction costs or ending up having to go back for more money to deliver the benefits expected.
Using a structured process, the involvement of proven engineers, past experience and industry norms, an initial view of the project size, merits and risks can be determined – at a cost which is low in relation to the overall value of the project but which has the greatest impact on the project’s success and overall budget.
The results of the Concept Stage will be sufficient to enable the project benefits, risks and costs to be identified and lead to the project being stopped or continued to the Detailed Design phase to provide greater detail and more cost certainty. PM Group usually encourage the involvement of elements of the Client’s team to be included in the FEED phase to ensure external and independent technical expertise is supported and complemented by in-house knowledge, to form an integrated team that provides the strongest approach. Elements of the work carried out during this phase includes:-
- The critical success criteria for the project
- A detailed responsibility matrices to show who is responsible for what
- Specifications of the major elements of the system, including safety etc
- The initial budget covering all phases of the project
- Management systems and specific project plans to be employed during project execution as well as the documented processes and communication procedures.