Introduction
Daleel Petroleum is among the leading oil and gas extraction companies in the state of Oman, which was established in 2002 to enhance petroleum production in the country. Daleel Petroleum is a joint venture between Mazoon Petrogas SOAC and Meezon Petrogas BVI (A subsidiary of China National Petroleum Corporation), and the government of Oman is the main stakeholder in the organization (Daleel Petroleum, 2020). Along with its primary function of extraction of petroleum products, Daleel Petroleum has steadily increased its investments for the betterment of its employees and their working environment. Safety of its employees and the atmosphere is of foremost importance for Daleel Petroleum, as has been mentioned in its mission statement and core values. To further improve this safety structure, the company management has decided to construct and operate a firehouse within the premises of its oil extraction fields in the Dahirah region.
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Daleel Petroleum is among the leading oil and gas extraction companies in the state of Oman, which was established in 2002 to enhance petroleum production in the country. Daleel Petroleum is a joint venture between Mazoon Petrogas SOAC and Meezon Petrogas BVI (A subsidiary of China National Petroleum Corporation), and the government of Oman is the main stakeholder in the organization (Daleel Petroleum, 2020). Along with its primary function of extraction of petroleum products, Daleel Petroleum has steadily increased its investments for the betterment of its employees and their working environment. Safety of its employees and the atmosphere is of foremost importance for Daleel Petroleum, as has been mentioned in its mission statement and core values. To further improve this safety structure, the company management has decided to construct and operate a firehouse within the premises of its oil extraction fields in the Dahirah region.
Ensuring the safety of employees is not only a legal compulsion but also helps organisations by increasing employee satisfaction, concentration and motivation (Neal, Griffin and Hart, 2000). The ministerial decision no. 286/2008 issued by the Ministry of Manpower, Sultanate of Oman, puts the responsibility of ensuring the safety of workplace on the employing organisation (International Labour Organization, 2020). Therefore, the company will establish a firehouse for safeguarding its employees. However, this is not the sole motivation for Daleel Petroleum to construct the firehouse near its work fields. A safe work environment increases worker satisfaction and makes the organisation a more appealing destination for the workforce (Neal, Griffin and Hart, 2000). Finally, a fire station near the work field will also be a financially attractive prospect for the company as it will protect the equipment and structures from excessive damage in case of fire-related emergencies.
Objectives
The fundamental objective of this project is to construct and run a fire station in the Dahirah region, where Daleel Petroleum’s major oil extraction facilities are situated. The presence of a fire station near the facility will ensure that firefighting facilities are present on-site in case of a fire breakout or any fire-related emergency. The construction of the fire station will be in line with Daleel petroleum’s core values regarding the safety of its employees, equipment, and facilities.
SMART Goal
Specific | To construct and run a fire station to fight fire related emergency situations |
Measureable | With a capacity of 10 firemen and 4 water tenders |
Achievable | Using the available budget |
Relevant | To ensure the safety of employees, equipment, and facilities |
Time-Bound | By December, 31, 2020 |
Table 1: SMART Goals of the project
Project Team and Their Roles
The success of any project depends on the components that make up the project team. Proper recruitment and delegation of tasks to team members is one of the primary requirements for the successful completion of any project (Roper and Phillips, 2007).
Following are members of the project team and their tasks:
Chief Executive Officer
The Chief Executive Officer will decide whether the project is to go underway or not after consulting the reports provided by the Chief Operational Officer.
Chief Operational Officer
The Chief Operational Officer will assess the feasibility of the project and decide on the budget and time required to project completion. He will present the feasibility report to the Chief Executive Officer. His other responsibilities include assigning a project manager.
Project Manager
The project manager will be responsible for completing the task within the budget and time constraints. He will also find a strategically suitable site for the fire station which will allow for easy access to all parts of the oil field. His other duties will include continuous supervision of the project through its different stages and spotting out areas requiring change.
Project Board
The project board will consist of a number of management executives who will assist the project manager with successful completion of the project.
Procurement Team
The procurement team will be responsible for the provision of required materials and machinery throughout the construction and operational phases.
Human Resource Department
The HR department will be responsible for hiring the required personnel once the construction work is done. The required personnel will include firemen, technicians, drivers, administrative staff, etc.
Builders
The builders will be needed for the construction of the building of the fire station.
Quality Control Executive
The quality control executive will determine whether the building is up to the required safety and aesthetic standards.
Serial Number | Project | Responsibility |
1 | Procurement of materials and machinery required for construction | Procurement Team |
2 | Construction of the building | Project Manager, Builders |
2.1 | Construction and furnishing of the main station | Project Manager, Builders, Electricians, Painters |
2.2 | Construction and furnishing of firemen’s dormitories | Project Manager, Builders, Electricians, Painters |
2.3 | Construction and furnishing of water tender garages | Project Manager, Builders, Electricians, Painters |
2.4 | Construction and furnishing of the administrative offices | Project Manager, Builders, Electricians, Painters |
3 | Procurement of fire-tending gear and equipment | Project Manager, Procurement Team |
4 | Final Quality Check | Quality Control Executive, Project Manager, Chief Operational Officer |
5 | Recruitment of firemen, drivers, and other staff | Human Resource Department |
Table 2: Project activities and team members responsible
Phases of the Project
For easy and smooth completion of the project, the 4 D’s model of project management will be used to organize it in different stages. The 4 D’s model makes the project easily manageable and predictable and helps keep the team to remain in control of the project (Berkun, 2008). The different stages of the project are listed below:
1. Define
Defining the project objectives is the first step of any project. The main objectives of this project will be to construct a fire station that will ensure the safety of the Daleel oil extraction site against fire outbreaks. Furthermore, the budget and time constraints for this project will be outlined during this stage (Berkun, 2008).
2. Design
The second stage will be of designing and planning the project. A schedule will be made in this stage, outlining the time needed to complete different stages in this project (Schmidt, 2009). Budget and expenses will also be planned in this stage. The designing of this project will be done primarily by the Chief Operational Manager and the Project Manager.
3. Deliver
This stage will see the beginning of actual work for the construction of the fire station. The first task in this stage will be to engage a construction team and hence, the processes of procurement of materials, construction, furnishing, etc. will go underway. Once the construction is complete, firefighters and administrative staff for running the fire station will be hired. All the team members will be active in this stage of the project.
4. Develop
The last phase will be that of reviewing the project. The errors and shortcomings of the project will be assessed and recorded in this phase in order to avoid these mistakes in the upcoming projects (Barker and Cole, 2014).
Activity List
Serial Number | Project | Start Date | End Date | Days Required |
1 | Procurement of materials and machinery required for construction | 01 May 2020 | 21 May 2020 | 20 |
2 | Construction of building | 22 May 2020 | 31 August | 101 |
3 | Furnishing of building | 01 September 2020 | 10 October 2020 | 40 |
4 | Procurement of firefighting gear and equipment | 11 October 2020 | 21 October 2020 | 10 |
5 | Procurement of Water tenders | 22 October | 14 November | 23 |
6 | Final Quality Check | 15 November 2020 | 20 November 2020 | 5 |
7 | Recruitment of firemen and other staff members | 21 November 2020 | 15 December 2020 | 25 |
Table 3: Activity List of the project
As the table shows, construction and furnishing of building and then recruitment of staff are the critical activities for this project.
Work Breakdown Structure
The work breakdown structure is one of the most powerful techniques used in the management of projects of all sizes (Lanford and McCann, 1983). It will be helpful in our project by defining the relationship between different team members and dividing the tasks between them.
Figure 1: Work Breakdown Structure of the project
Network Diagram
Network diagrams or graphs allow for a smooth and clear understanding of different processes and hierarchies and is a helpful tool for anyone involved in the management of a project (Marriott et al., 2012). In this project, the network diagram will help by explaining the direction of the process and establishing how the project will unfold over time.
B
Assigning the Project Manager
2
4
5
8
9
7
6
Start
Procurement of Materials and Machinery
Building Construction
Building Furnishing
2
2
2
2
Procurement of Firefighting Gear and Equipment
Quality Check
Recruitment of firemen
A
C
D
E
F
G
Figure 2: Network Diagram of the project
Construction and furnishing of the building will be the critical phases of this project, as shown above.
Gantt Chart
Gantt charts are useful in explaining the amount of time to be given to different stages of the project. It makes projects less complicated and helps the project team by planning the breakdown of time before the work on the project begins (Geraldi and Lechler, 2012). The Gantt chart for this project is given below:
Figure 3: Gantt Chart projecting project schedule
Budget Cost
The amount of money available and how it is to be used is explained in the following table:
Serial Number | Activity | Budget in OMR |
1 | Hiring of Builders | 5,000 |
2 | Procurement of Construction Material and Machinery | 25,000 |
3 | Furnishing | 7,000 |
5 | Procurement of Firefighting Equipment and Gear | 25,000 |
6 | Recruitment of Firemen and Other Staff | 65,000 |
7 | Procurement of Water Tenders | 1700000 |
Total Budget | 2,000,000 | |
Total Expenditure | 1,827,000 |
Table 4: Budget Cost table for the project
The purchasing of water tenders will incur the most considerable portion of the budget available, thereby making it a critical part of the project. There is a surplus amount of budget left, which can be used to mitigate the effects of any unforeseen event.
Quality Plan
The quality plan is useful in determining whether the outcome of the project is up to the desired standards (Nicholas and Steyn, 2017). The quality plan for this project is composed below:
Activity ID | Testing measure | Testing approach | Performance check | Performance checked by | Performance reviewed by | Review Date | Approval Date | Project Results |
101 | Building Strength | Inspection | Pending | Quality Control Executive | Project Manager | 01 September | 03 September | Pending |
102 | Firefighting gear and equipment working | Performance Test and Inspection | Pending | Quality Control Executive Firemen | Project Manager | 22 October | 24 October | Pending |
102 | Water Tenders Working | Performance test and inspection | Pending | Quality Control Executive, Drivers | Project Manager | 15 November | 17 November | Pending |
Table 5: Quality Plan for the project
Project Risk Log
Forecasting the occurrence of risk can reduce the amount of money and time spent on the project, in addition to making the project safer for the team members (Nicholas and Steyn, 2017). The risks possible in the present project are recorded here:
Risk | Severity of risk | Frequency of occurrence | Level of risk | Responsibility | Action | Review Date | Status |
Delay in supply of raw materials | Medium | Low | Low | Procurement Team | Engage different suppliers | 01 June | Pending |
Building not fulfilling safety standards | High | Low | Medium | Builders, Quality Control Executive | Increase investment, Change raw material supplier | 02 September | Pending |
Faulty Firefighting Equipment and Gear | High | Medium | High | Procurement Team | Change vendor | 24 October | Pending |
Sub-standard Water Tenders | High | Medium | Medium | Procurement Team | Change Supplier | 17 November | Pending |
Unavailability of required staff | Medium | Medium | Medium | Human Resource Department | Publicize employment opportunity | 16 December | Pending |
Table 6: Risk Log for the project
Conclusion
The report has presented the design for the construction and operation of a fire station at Daleel Petroleum for the safety of its worksite. The fire station will need to house at least ten firefighters and four water tenders to cover the whole area of the rig adequately. The personnel, work schedule, budget division, objects to be checked for quality, and the possible risks have been identified in this report. Extra time and money have been maintained as a buffer to deal with any unexpected delays or expenses.
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References
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