Cost Engineering and Risk Management
This unique 3-day Cost Engineering and Risk Management training course will cover the latest techniques and practical methodologies of project cost engineering…
- Level
- Intermediate
- Type
- Course
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About Training
This unique 3-day Cost Engineering and Risk Management training course will cover the latest techniques and practical methodologies of project cost engineering and risk management to successfully manage project cost and risk, in order to maximize business ROI in the long run. You will gain the combination of unmatched risk analysis skills, cost engineering and thorough knowledge of your project parameters and uncertainties. Delegates will be guided through step by step exercises on real oil and gas project case studies to manage project cost effectively
Training Objectives
- Develop a sound understanding of the principles, methodologies and industry best practices in Cost Engineering.
- Understand the business context, the project life cycle and the purpose of Cost Engineering in Oil & Gas projects.
- Learn to prepare cost estimates, from high level factor estimating to very detailed equipment and bulk material cost.
- Understand the impact of project location, market environment and project execution strategy on project cost.
- Learn how to control, forecast and report the cost and progress during project execution.
- Develop the skills and knowledge to review and reconcile cost estimates.
- Understand the principles and methodologies of risk analysis and execute risk mitigation.
- Work on real Oil & Gas project case studies to practice all aspects of this master class.
Audiences
- Cost Engineers, Estimators & Controllers
- Project Managers, Engineers & Planners
- Finance Managers & Executives
Instructor
Richard Slingerland
Richard Slingerland is owner of Pareto Cost Consultancy BV, which specializes in cost estimating, estimate & schedule assurance reviews, benchmarking and value engineering. He has over 18 years of industrial experience in consulting oil & gas, exploration & production projects, energy, offshore, terminals and project organizations. For almost 10 years, Richard had worked in various Shell locations, which includes The Hague, The Netherlands, Malaysia, Middle East and Central America.
Daily Aims
Day One
Estimating Definitions
- Project Life Cycle
- Purpose of Estimates
- Accuracy and Probability
- Allowances
- Contingency and Escalation
- Money of the Day / Real Term
- Estimating Plan
- Basis of Estimate
Factor Estimating
- Definitions, advantages and disadvantages
- Exponent method
- Cost per capacity method
- Lang, Hand and Chilton method
- Peter-Timmerhaus method
- Specific factor method
Case study: Factor estimating
Parametric and Range Estimating
- Nomenclature
- Pareto’s Law
- Critical elements and key questions
- Range estimating input and simulation
Detailed Estimating
- Discipline estimating
- Unit rates & sources of pricing
- Estimating of equipment
- Piping estimate
- Insulation estimate
- Civil estimate
Case study: Detailed estimating
Day Two
Location Factors and Market Factors
- How to set up a location factor
- Location cost surveys
- Steel and commodity prices
- Benchmarks
- Indices
- Cost modeling
Case study: Analyzing differences between locations and markets
Budgeting
- Setting up a project budget
- Project baseline
- Contingency allocation
- Work breakdown structure
- Cost breakdown structure
- Code of accounts
- Interaction with Contracting & Procurement
Case study: From estimate to budget
Project Control
- Why Cost Control
- Potential influences on costs
- Pre-requisites for effective cost control
- Cost control plan and procedures
- Schedule control
- Progress measurement
- Earned value analysis / management
- Project controls best practices
- Integrated cost & schedule control
- Project control tools
Case study: Earned value analysis
Advanced Project Control
- Management of change
- Re-baseline
- Monthly reports
- Forecasting
- Cashflow analysis
- Controlling cost of quality and safety
- Project close-out & lessons learned
- How to manage project control
- Total Cost Management
Case study: Advanced project control
Day Three
Project Assurance
- Estimate verification and assurance
- Estimate assurance reviews
- Client vs contractor estimate reconcilliation
Case Study: Project assurance
Risk Analysis Introduction and Definitions
- Definitions and terminology
- Risk register
- Cost risk analysis
- Schedule risk analysis
- Deterministic methodology
- Probabilistic methodology
- Risk analysis tools
- Risk management
Case study: Setting up a risk analysis model
Risk Management
- Risk mitigation
- Project risk management
Case study: Risk management
Schedule Risk Analysis
- Uncertainties in duration
- PERT
- Critical path
- Critical chain
Case study: Schedule risk analysis
Integrated Cost and Schedule Risk Analysis
- Correlation between cost and schedule risks
- Essentials of cost and schedule risk analysis
- Methodology
Case study: Integrated cost / schedule risk analysis
Training Schedule
No upcoming session is scheduled yet. Send a quick inquiry and we will let you know the next date.
Why Choose This Training
Credibility
Align with API/ASME standards. Trusted by major operators.
Expert Instructors
Led by industry veterans with real field experience.
Real Case Studies
Practical application of concepts through real world scenarios.
Practical Skills
Hands on calculations and decision making for FFS outcomes.
Trusted by Operators
Delivered to Aramco, ADNOC, SABIC, and other major operators.
Global Training Standard
Recognized across major industries by PetroSync's proven approach.
Professional Training Aligned with Industry Standards
Practical, industry ready training designed for real work environments
Free Consultation Limited seats available
