Background:
PMM supported a $120M Turnaround project at Phillips 66 in Carson, CA, managing over $30M in materials. The refinery faced challenges with material loss, inefficiencies, and lack of visibility during Turnarounds, leading to cost overruns and delays.
Challenges:
- Material Loss/Waste: Lack of accountability resulted in a 23% loss from theft, waste, and mismanagement.
- Productivity Issues: Workers had to leave job sites to retrieve materials, causing delays and reduced productivity.
- Labor Costs: High labor costs with minimal output due to inefficient workflows.
Solutions Implemented:
- EZTRAK Integration: Deployed real-time inventory tracking with centralized reporting for material visibility.
- Material Kitting and Tagging: Prepped and delivered kits directly to workers at job sites, eliminating downtime.
- Optimized Labor Deployment: Reduced required labor by 33%, reallocating resources to high-value tasks.
Results:
- Cost Savings: Reduced material loss and waste by 23%, equating to $6.9M in hard cost savings.
- Labor Efficiency: Saved $200K in labor costs by executing tasks with two-thirds of the workforce.
- Productivity Gains: Boosted worker efficiency by 35%, cutting delays and increasing project throughput.
- Operational Excellence: Delivered seamless material management, setting a benchmark for future Turnarounds.