Current state mapping of the supply chain in engineering procurement construction (EPC) project: a case study

Abstract

Engineering Procurement Construction (EPC) is a construction model that integrated the work between engineering, procurement, and construction. The EPC project is usually applied in petroleum work. One of the important aspects of success key in this project is the supply chain management (SCM). The high level of complexity of work as well as the integration of the construction phase needs to be mapped how the supply chain in this project. This paper used Value Stream Mapping (VSM) method to explain the procurement processes for easier understanding and problem identification. It is illustrated in the procurement process behaviour within a specific period from the total production time. This paper describes a case study performed on EPC 1 Banyu Urip Project. VSM presented real-time data to deliver the processes, material, and any other constraint relevant to the procurement process on EPC projects. Based on a case study on pipe material, the procurement process from upstream to downstream took 21 weeks. It was a waste of time to look for solutions. The recommended solutions use the local vendors, involve suppliers early and provide input into engineering designs, and good communication between supply chain participants.