CPI Conference 2001 100 Percent Improvement in Capital Productivity Bill Bolton DuPont and Day & Zimmermann Case Study DuPont and Day & Zimmermann Case.

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CPI Conference Percent Improvement in Capital Productivity Bill Bolton DuPont and Day & Zimmermann Case Study DuPont and Day & Zimmermann Case Study

CPI Conference Percent Improvement in Capital Productivity Bill Bolton DuPont Bill Bolton DuPont

100% Improvement in Capital Productivity

Business Goal 1997-Present Cut capital investment/lb. in half. Maintain competitive advantage. Cut capital investment/lb. in half. Maintain competitive advantage.

Strategy How Do We Get There? Decided we needed to: Become functionally excellent in project execution. Be one with the business. -Integrated engineering into the business: Achieved better front-end loading definition. Reduced redundancy. Engineering stays current with business conditions and drivers. Decided we needed to: Become functionally excellent in project execution. Be one with the business. -Integrated engineering into the business: Achieved better front-end loading definition. Reduced redundancy. Engineering stays current with business conditions and drivers.

Align with Contractor Integrated contractor into engineering -Developed core competencies. -Eliminated redundancies. -Leveraged resources. -Shared systems. -Built stronger relationships inclusive decision making. Integrated contractor into engineering -Developed core competencies. -Eliminated redundancies. -Leveraged resources. -Shared systems. -Built stronger relationships inclusive decision making.

Global Standardization Enabled us to standardize: -Engineering and design -Developing standard packages -Global package champions -Equipment specs -Design packages (bid documents) -Construction strategy -Operating procedures -Maintenance procedures -Environmental issues -People management issues Enabled us to standardize: -Engineering and design -Developing standard packages -Global package champions -Equipment specs -Design packages (bid documents) -Construction strategy -Operating procedures -Maintenance procedures -Environmental issues -People management issues

Centralize Technology Maintain quality in technology. Have consistency in technology. Have consistent end product. Project technologist centrally located. Manage change. Maintain quality in technology. Have consistency in technology. Have consistent end product. Project technologist centrally located. Manage change.

Maintaining Global Competitiveness Replication (PDMS) More competitive equipment bidding Global procurement (qualifying suppliers) Developing better construction bid package Negotiate better lump sum competitive bids Benchmark against global competitors Continual step change improvements Replication (PDMS) More competitive equipment bidding Global procurement (qualifying suppliers) Developing better construction bid package Negotiate better lump sum competitive bids Benchmark against global competitors Continual step change improvements

X1 X2 and X3 X4 X5 X % Investment Cost/Lb. % Investment Cost/Lb Good Capital Productivity Improvement

Implementation Session Panelists Bill BoltonDuPont Nick MaliszewskiDay & Zimmermann International Bill BoltonDuPont Nick MaliszewskiDay & Zimmermann International

Implementation Session Hill Country D 10:45 am-12 Noon 1:00-2:15 pm 3:00-4:15 pm Hill Country D 10:45 am-12 Noon 1:00-2:15 pm 3:00-4:15 pm

Construction Project Improvement Conference Construction Industry Institute Austin, Texas 2001: A Construction Odyssey Trends and Perspectives