Most Common Challenges for EPC Companies
To identify the most common challenges faced by Engineering, Procurement, and Construction (EPC) companies in the industrial space in their internal processes with a focus on common issues with communications between groups/functions/departments and common issues with the tools that are used by these companies
To identify the most common challenges faced by Engineering, Procurement, and Construction (EPC) companies in the industrial space in their collaboration with client/suppliers
Our initial research on the most common internal process challenges for EPC companies in the industrial space revealed insights. Here are key pieces of information we found:
Most Common Challenges for EPC Companies:
Internal Process Challenges
- A common internal process challenge for EPC companies is the lack of communications for information sharing and cross-office collaboration between groups, functions, and departments. This challenge is rooted in the fact that many EPC companies have historically operated as confederated states comprising previously acquired firms, strong regional offices, and/or areas of domain or project expertise.
- Another common internal process challenge for EPC companies is the need to streamline workflows. Both small and large EPC companies are seeking to standardize their workflows and technology platforms.
- Issues with technology misalignment from too many software packages and tools is also another common internal process challenge for EPC companies. A typical bid situation will involve process engineers, mechanical engineers, safety experts, estimators and others who all have required inputs, and the opportunities for early collaboration and sharing are lost in this misalignment. Every change introduced can then result in a reset of the process, and the bid is essentially done when the team runs out of time, not when the best alternative and estimate are developed.
- Many EPC companies are also experiencing the common internal process challenge of having issues with front-end engineering and design (FEED) due to constant changes during the execution process. Data is isolated in spreadsheets or disconnected tools, and is not available to inform the work of others, and when data is added from another specialty, it is often entered manually, which may introduce errors or omit valuable information.
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As our initial research focused on common internal process challenges for EPC companies, we recommend additional research to provide 5-7 insights on common challenges faced by EPC companies in the industrial space in their collaboration with client/suppliers.
We also recommend additional research to provide 2-3 case studies of specific EPC companies in the industrial space who have been successful in overcoming common internal process challenges that have been identified of: Lack of communications for information sharing and cross-office collaboration, the need to streamline workflows, technology misalignment from too many software tools, and/or issues with front-end engineering and design (FEED). For each case study, we will provide the name of the EPC company, what internal process challenge(s) this company has successfully overcome, and how they successfully overcame the challenge, with any success metrics as available.