Supplier Alliances for Engineered Equipment in Capital Projects

Energy sector capital projects typically cost hundreds of millions and even billions of dollars to design, engineer, procure and construct. Major components of these projects are engineered capital equipment that the facility is built around. Managing the engineered equipment is important during all phases of the project not only because of their high dollar value but also because the long manufacturing lead times often drive the overall project schedules. Procurement of engineered equipment has traditionally been done using lowest technically qualified bid. Supplier selection decisions are made in which there is lost opportunity due to failures by the buying organizations to capitalize on and integrate the suppliers' detailed knowledge about the engineered equipment they produce. One method that has potential to eliminate this barrier is supplier alliances.Air Force Inst of Tech Wright-Patterson AFB OH is the author of 'Supplier Alliances for Engineered Equipment in Capital Projects', published 2003 under ISBN 9781423503712 and ISBN 1423503716.