| In recent years, EPC (Engineering, Procurement and Construction) as a generalcontracting mode is accepted by international contractors gradually to manage andimplement more and more projects, especially the large construction projects. This kind ofgeneral contracting model overcomes the drawbacks due to separate the three parts,Engineering, Procurement and Construction, and avoids the buckpassing situation amongeach subcontractors when problems happened during carrying out the project. While, it canincrease the profits and effectiveness substantially through an entire coordination under onegeneral contractor management based on EPC.Therefore, it is an imperative trend to adopt the international EPC mode in theinternational construction market with the increasingly obvious advantages, especially in theelectric power industry which the author works on.EPC (engineering, procurement and construction) as a general contracting mode, hasincreasingly become tender Owner’s favor in both domestic and international engineeringconstruction field. And it is widely believed that this contract mode is particularly suitablefor the highly specialized projects which possess complicated structure and process withadvanced technical support, such as the projects in electrical power industry. Regarding theinternational EPC power engineering, where P i.e. Procurement is both the actual output of Ei.e. Engineering, and directly influence the Construction quality. At the same time, the resultof procurement work can immediately reflects the profitability level of the general contractor.During the implementation of international EPC projects, procurement is understood as thegeneralized concepts by people, including procurement plans purchasing equipments,expediting, inspection, transportation and other aspects from the beginning to transporting toproject site. So the procurement process control is the core part during the projectimplementation, to upward it is the realization of design intent, to downward it is animportant guarantee for smooth construction. For the electrical power industry which theauthor works on, the procurement ratio of equipment or materials is usually occupied around50-70%in the contract amount. Therefore, under the preconditions of ensuring constructionperiod, quality and other aspects, it is an important way to achieve the project profits bystrengthening procurement management, reducing procurement costs, realizing the procurement cost control target, and increasing the profit ratio.Combining the EPC management theory and practice experience of procurement workabout the international electrical power projects, take the220KV Transmission Line EPCProject in Pakistan, this thesis introduced the EPC Management mode, project procurementmanagement theory and discussed procurement contents, principles and processes, etc.through the relevant theory books and a large number of first-hand information. Further, itelaborated how to draw up the procurement cost plan, how to control procurement costs andultimately achieve the cost goals in the equipment or materials procurement process.Meanwhile, it analyzed the practical problems encountered about procurement work, and putforward suggestions and solutions. Finally, this thesis proposed some personal opinions onprocurement cost control and effective measures to handle the current difficulties andproblems through the overall analysis and research as well.The innovation of this thesis is, mainly based on EPC management, to analyze andstudy procurement cost control according to the specific example of practical work, afterconsulting and summarizing the related documents. The main purpose of this thesis is toarouse the project managers’more attention to procurement cost control so as to achieve thetargets of controlling and reducing the total cost of projects. |
PDF Full Text Request