Effect of Owner’s Factors on Project Delivery System Choices in the Downstream and Chemicals Sector

Abstract

Selection of the perfect project delivery system (PDS) for a multi-million downstream and chemical (DCC) sector project is not an easy task and is sometimes overlooked in the project planning phase. Efficiency within this space is crucial and depends on the Owners priorities and goals for the project. Past research has often overlooked the DCC sectors specific market and focused on projects in the entire construction realm; this research aims to align project efficiency with the selection process of delivery systems in this sector. This study aims to analyze the qualitative and quantitative measures resulting from DCC projects and their response to 20 specific Owner’s selection criteria. The project delivery systems within the DCC focus on five areas of expertise: project management, procurement, engineering, construction management, and construction; and have been aggregated into three industry standards of PDSs of: design-bid-build (DBB), engineering-procurement-construction (EPC), and construction management (CM). The results of this study give individual weights to the 20 selection criteria and help an Owner understand which PDS aligns with their specific project goals. Furthermore, paper also gives end-project performance results based on five performance areas: cost, schedule, project scope and complexity, contractor relationship and capabilities, and Owner’s capabilities and preferences.