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(Identifying Factors Influencing Industrial Programs Delay Case Study (South Pars Phase 17 & 18 Development

Turkan, Masoud | 2013

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  1. Type of Document: M.Sc. Thesis
  2. Language: English
  3. Document No: 45310 (54)
  4. University: Sharif University of Technology, International Campus, Kish Island
  5. Department: Science and Engineering
  6. Advisor(s): Haji Yakhchali, Siamak
  7. Abstract:
  8. Industrial programs are known as engine of development plans in Iran. These types of programs also known as mega projects that have multi dimension nature of the project. In fulfillment of doing mega project, consideration on many dimensions as several engineering process, complex project management issues, social responsibilities, cultural issues, and many other affecting dimensions should be done.As a point of view in successful project, the management (HAROLD KERZNER, 2006) requires finishing projects at cost, time, and quality and so on, but success of the industrial programs and mega projects also have effects on countries economy and improvements.For a country development, it is needed to focus on the country’s advantages. Iran has many advantages like geopolitical location, mineral resources, and agronomical potentials and so on. Because of these advantages Iran has experienced many industrial programs and mega projects.
    According to Iran’s vast sources of energy, many industrial programs were defined and executed during last 100 years and Iran’s economy is experiencing these types of programs till now.Iran has the second largest gas reserve in the world named, South Pars gas field. The field is common between Iran and Qatar that Qatari side is named North Dome. Gas, in place, is transferred to each side that has more production because of the nature of reservoir. Qatar has been producing gas from the field since 1997 whereas Iran started producing since 2003. Therefore, Qatar has produced natural gas from the field two times more than Iran.The role of the development of the South pars gas field was delegated to National Iranian Oil Company and 24 phases were defined for developing the field.The contractor of developing phases 17&18 is a consortium of IDRO & OIEC & IOEC. IDRO has the leadership role in consortium and has delegated the work to one of its sub companies, Industrial Program Management of Iran co. (IPMI).The program of developing phases 17&18 started in Jan, 2006 and the end time of project was Sep, 2010, but the program has experienced 3 schedule adjustments and has not completed yet. (Sep, 2012) The delay on this program has the impact on delayed natural gas and condensate production in addition to overrun cost and other project success criteria. Investigation on Iran’s industrial programs and mega projects delay should help top managers to find out the bottlenecks of similar programs and development organization could benefit experiences for future programs.The author of this research wants to find out important factors influencing on industrial programs and mega projects, so this research was designed to study the case of development phases 17&18 of South Pars gas field.After discussing about the nature of the research question, a literature review was done in response to recognition of other industrial programs causes of delays. The researcher of current research studied project (17&18) documents and after investigation on this, some experts of the project and oil and gas industry gave advice to the researcher and finally a list with 154 delay causes was extracted and a questionnaire was designed for gathering comments of project stakeholders and other involved experts in the project.After the data entry and analyzing responses of the questionnaires, Spearman correlation test and ANOVA test were used for validating the results.This research found 10 major project (17&18) delay causes. The first important cause of delay is recognized as “Limitations due to international pressure and its impact on project delays”. The second delay cause is “Limited access to international suppliers” and the third one is "Lack of sufficient banking services because of international issues ". As these results clearly demonstrate, the major category of factors that influence on the project delay is the international environment.8 categories of delay causes were ranked with their importance factors as below:
    Rank Category
    1 International Environment
    2 Project Owner
    3 Domestic Environment
    4 Procurement
    5 Engineering
    6 Contractor
    7 Contract
    8 Human Resource
    This research found that the international restriction against Iran is the most important cause of the project delay. Impacts of this factor are numerous: the lake of cooperation between foreign companies and Iranian companies, Lack of banking services, etc.Every mega projects need many business disciplines, however, all disciplines required for a mega project should not be combined in one place, and so international relationships are effective on mega projects success.In response to international restrictions against Iran, future studies are proposed as:Investigation on domestic engineering and design for decreasing limitations.Investigation on methods of supplying procurement in response to mega project needs.Other major category of delay causes is “project Owner” related factors. It seems that the management system of the client is not impressive in technical points, because of the lack of separation of governmental jobs into political jobs and skilled jobs. Future researches related to this issue are proposed as below:Investigation on optimizing government employment system with focusing on dividing governmental jobs into political jobs and technical jobs
  9. Keywords:
  10. Project Management ; Management Contractor ; Industrial Development and Renovation Organization of Iran ; South Pars Field (Bushehr) ; Industrial Projects ; Delay Analysis ; Mega Projects

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