• Proceedings of the SAREK Conference
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• 2008.06a
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• pp.1123-1127
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• 2008

The public-private cooperation in package deal has been studied for the overseas energy resources acquisition. The effectiveness of the package deal has not been successful because the deal has led by the government organizations. It is difficult for the plant EPC companies to join the packaged deal due to the lack of the whole responsibility organization to support the participation of the package deal. The followings are suggested as the ways to strengthen of the public-private cooperation in this study. 1) the relevant public enterprise privatization 2) establishment of the joint model for leading the plant EPC companies to the package deal 3) establishment of the whole responsibility organization for the public-private cooperation.

• Proceedings of the Korean Institute of Building Construction Conference
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• 2010.05b
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• pp.103-108
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• 2010

The purpose of this study is to analyze of the risk factors for oversea plants construction projects. For this study, risk factors data from related literature review, research organization and construction company was researched and classified under each EPC phases. In addition, a questionnaire survey by plant experts was conducted for analysis of risk weight and costs and time impact on each EPC phases. The results of this study are as follows: First, a detail design errors(engineering phase), a equipment procurement plan(procurement phase), and exchange rate fluctuations(construction phase) were analyzed the highest weight factors. Second, a financing plan(engineering phase), quantity take-off bill(procurement phase), and exchange rate fluctuations(construction phase) were analyzed the highest cost impact factors. Third, detail design errors(engineering phase), a equipment procurement plan(procurement phase), and schedule management errors(construction phase) were analyzed the highest time impact factors.

• Plant Journal
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• v.7 no.4
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• pp.77-87
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• 2011

In proportion to continuing growth of overseas plant market and the trend of its mega scale of the project, the importance of management is significantly emphasized for the successful execution of the project. And it is recognized that progress control is the most important management item amongst the others in the management. Progress control is importance of progress measurement for performance measurement and process control of project, but it is hardly obtainable securing the objectivity in the progress measurement since the progress measurement are being applied differently in accordance with the project conditions and the experience level of the person in charge for the progress control. This study has conducted as following to propose a standard method for progress measurement in a petrochemical plant protect. Domestic and overseas plant projects are investigated variously with the applied method of progress measurement, and the deduced problem of progress measurement. And then standard method for progress measurement of engineering, procurement, construction and commissioning has been proposed according to comparison and analysis of practices in domestic & overseas plant project, procedures for progress control in the globally reputed petrochemical client, company rules and recommendation of the expert in progress control.

• Plant Journal
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• v.13 no.2
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• pp.39-45
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• 2017

This paper is a study on FEED validation model that can be used in the bidding stage of small utility equipment in offshore plant industry using system engineering technique. Currently, domestic marine plant equipment industry companies are faced with the financial risk of project execution as they enter marine plant. The major cause was the insufficient ability to verify the FEED output from the contractor (Engineering or Procurement and Construction) of the equipment manufacturer (COMPANY or EPC). Therefore, we propose FEED design verification method that simplifies the system engineering method that sequentially applies requirements analysis, function, performance analysis and physical architecture building process. Also, we verified the suitability of the developed model by comparing the results of applying the developed FEED verification model and the verification method that depends on the existing experience for the small utility equipment (Air Compressor).

• Korean Journal of Construction Engineering and Management
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• v.9 no.3
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• pp.146-152
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• 2008

Since the year of mid 2000, the EPC industry in Korea has the highest amount of orders received due to tremendous need form middle east asia region. However, the quality requirement from the owner is getting critical, which lead to the more competitive engineering capacity equipped. In order to do so, the development of objective and quantitative evaluation model of engineering process is essential. In order to develop the engineering checklist model for case-based evaluation of EPC project, first, the general description of worldwide EPC industry as well as the literature review of prior study have been performed. Then, the survey interview with experts in the engineering area of EPC project was performed In order to Identify the engineering work tasks and the critical check items, which should be checked during engineering process. Based on these checklist, the weights of check items as well as engineering work tasks also have been defined. The developed checklist model evaluated the two EPC project cases of S company in Thailand in order to explore its applicability. From the analysis of evaluation results, it is expected that the continuous implementation of evaluation based on checklist model can help the EPC practitioner check the critical items in engineering process more efficiently and take an appropriate action for better engineering performance, which finally can lead to the Korea EPC industry being more competitive.

• Journal of the Korean Society of Systems Engineering
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• v.9 no.2
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• pp.23-36
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• 2013

Plant industry is one of technology-intensive and most prosperous industries in Korea because of its recent prosperity and promising outlook in export. However, no Korean EPC company has yet been well prepared in lifting their capacity sufficient enough to get the upstream conceptual or basic design and engineering orders for sizable plant projects which are known as the more value-added. If systems engineering, a methodology which developed complex systems such as airplanes and has been justified its effectiveness in Defense and NASA projects, can be integrated with plant engineering which should be developed and applied based on the requirements of so many stakeholders, conditions, lifecycle concepts, and constraints of the projects, huge synergic effect is expected particularly in developing a specific upstream design, which is a conceptual or basic design. The notion of integration with each other between systems engineering and plant engineering can be really the crux of EPC's success in any plant projects. This paper suggests an approach showing a methodology how to dig out, analyze, evaluate, verify and implement the stakeholders' requirements into a plant design in conceptual phase using the theory and skills of systems engineering. ISO/IEC 15288 well known systems engineering standards is used. Carbon capture system is used for a case study, for it is an emerging technology in reducing emissions of carbon dioxide causing global warming from flue gas after combustion. Here systems engineering was proven to play a substantial role in enhancing the capability of designers in developing a conceptual design of whole plant or certain part of crucial plant systems.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2007.11a
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• pp.491-494
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• 2007

Recently Gas & Oil plant construction projects are increasing in the world. The EPC (Engineering, Procurement and Construction) company, which participate in the plant projects, should possess the pertinent engineering license and procurement skill to create high added-value. It is because the procurement is very substantial to cover 70% of the total project cost. Nonetheless, there exist various risks involved in the procurement process due to the characteristics of the construction projects with long duration and complicated process as well as the procured goods or services subjected to various logistics. The objective of this paper is to analyze proper process in the procurement and to identify various information and document. Also to analyze procurement process, the principal data are derived from the interview with experts and specialty contractors of plant project. The result of this study would widely be used as a guide to the procurement personnel in forecasting the risks in advance.

• Plant Journal
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• v.11 no.1
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• pp.39-49
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• 2015

The objective of this study is to improve the classification structure of commodity code for piping material management which is considered as the fundamental of commodity code and piping material management system. It enhances the efficiency of piping material management directly or indirectly affecting the engineering, procurement and construction in a petrochemical plant projects. To establish an improved code classification structure, this study identifies the problems of former code classification structure in details, as well as the characteristics of other domestic and global EPC company's code classification structures and presents the improved direction considering the recently mega-sized and specialized projects. Accordingly, to efficiently enhance piping material management, the improved code classification structures have been derived from defining suitable code classification structure for specific piping component, adding more standard attribute, expanding the number of code digits and classifying code hierarchy. The results of applying the improved classification structure of commodity code to on-going project have led to reduce the rate of rework from 4.98% to 2.48% for developing purchase description and also have saved working time for executing piping design by 3D modeling from 6 months by two persons to 4 months by a person which is decreased 67% consequently. In addition, the structures of pyramid code management have resulted to accumulation and analysis of the various piping data for other disciplines such as procurement and estimation team which require commodity code information through the company's material control system.

• Korean Journal of Construction Engineering and Management
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• v.16 no.5
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• pp.65-76
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• 2015

FEED (Front End Engineering and Design) is the key area that determines the competitiveness of procurement and construction in the EPC contracts especially in terms of the added value. Nevertheless, previous researches in FEED have been limited to the process and deliverable of design work or the particular management business function (e.g. System Engineering, collaboration, information etc.). In this context, the purpose of this study is to propose a comprehensive FEED structure and its functions from the project management perspective throughout the whole project life-cycle for thermal power plants. Proposed FEED business procedures are classified into three levels; First level is the classification of FEED business phases, the second level defines major FEED management functions, and the third level is detailed FEED functions. A survey using proposed FEED functions and assessment variable was conducted in order to analyze the current status and the areas for future improvement. It is expected that the proposed structure, functions, and evaluation methodology for FEED management will contribute to effective practice of FEED as well as to improvement of competitive capability for engineering, procurement, and construction (EPC) companies.

• Journal of Digital Convergence
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• v.16 no.6
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• pp.75-84
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• 2018

Although many logistics companies are interested in project logistics, the existing research has been limited to the growth potential of project logistics market and the high barrier and importance of project logistics. This study analyzes using DEA the operational efficiency of forwarding companies registered in major overseas construction EPC companies and performing logistics services for overseas plant construction projects. For efficiency analysis, Super-SBM analysis and Malmquist analysis are used among DEA analysis techniques. As a result of the Super-SBM analysis, DMU 5 ranked first at 1.807. DMU 5 is more efficient than the other large corporations because it has the stable supply of its parent company H and the smallest input and output variables among the large corporations. As a result of Malmquist analysis, TCI, which is a technological development, showed a fluctuation while TECI showed a relatively stable variation. In addition, there is a difference in scale between major companies and small and medium sized companies. So, it is necessary to identify the efficiency improvement strategy for each group and apply it to the practical work.