Project Management

Coordination in the Supply Chain Management of Complicated Engineering, Procurement, Construction and Commissioning Projects

Niansheng Chu is a senior engineer and has served as a project management expert and leader in charge of design management since 2009. He now works as a director of procurement and the supply department in Shanghai Waigaoqiao Shipbuilding Company, a subsidiary of China state shipbuilding corporation (CSSC). He is beginning to study the technology of the supply chain. He has published several technical articles in top journals focused on shipbuilding in China.

Coordination plays an important role in both project and supply chain management, especially in regard to the supply chain management of complicated engineering, procurement, construction, and commissioning (EPCC) projects. Based on the analysis of supply chain management for a floating production storage and offloading unit (FPSO) building, this article identifies the supply chain management differences between traditional-industry and complicated EPCC projects. It also demonstrates the nature of coordination work in the supply chain management processes of projects, where each package supply in the supply chain is treated as a separate project to be managed.

A precise definition for supply chain and supply chain management (SCM) can be difficult to produce. However, supply chain management plays an important role in industry production—and economy operations in particular—in manufacturing’s globalization development.

The Chartered Institute of Purchasing and Supply (CIPS) defines supply chain conceptually, stating that it covers the entire physical process from ordering and obtaining raw materials through all process steps until the finished product reaches the end consumer. Most supply chains consist of many separate companies, each linked by virtue of their part in satisfying the specific needs of end consumers (CIPS, 2017).

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