The paper "Principles in Logistics and Supply Chain Management in Construction Industry" is a great example of management coursework. Oil and gas projects face a wide range of issues which include; increasing project intricacies, intensified international involvement, and the complex size of projects. Meeting the project objectives can be a challenge in terms of timely completion due to issues in logistics and supply chain management (Vrijhoef & Koskela 1999). Schramm et al. (2010) suggest that under such circumstances, the selection of the contracting strategy is the key determinant of the entire project realisation.
Engineering, Procurement, and Construction (EPC) is a single-point contract awarded to a contracting firm that does the entire engineering, procurement, and construction activities (EPC Engineer n. d.). In Australia, ABB offers a range of EPC plants, such as process engineering, in addition to procurement and construction (ABB Australia 2011). Hence, this report is based on the premise that the construction supply chain and logistics still face myopic control. In particular, the underlying issues and problems are extensively existent and persistent due to interdependency that is in most part related to the features of the stages of the supply chain.
On analysis of an offshore project by ABB, an engineering company in which operations in Australia, issues, or principles in logistics and supply chain management are explored. ABB Group’ s 2011 contract with QGC Pty Limited’ s Queensland Curtis LNG Project involved supplying safety, automation, and telecommunications systems and other related equipment for an upstream coal seam gas project in Queensland, Australia (ABB Australia 2011). Brief Background of Logistics and Supply Chain Management Logistics describes the “ inbound and outbound flow and storage” of commodities between or within organizations (Lambert & Cooper 2000).
Ali et al. (2008) describe logistics as a component of supply chain management that maps out, implements, and manages the effective and efficient flow of storage commodities between a point of origin and that of consumption so as to meet customer needs. According to Vrijhoef & Koskela (1999) supply chain consists of a network of organisations that participate in various activities, whether through downstream or upstream linkages, that generate value in the form of commodities in the hands of the ultimate consumer. Ali et al.
(2008) suggested that supply chain management covers the planning and management of the entire activities concerned with sourcing and procurement, conversion, and entire logistics management activities.
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Ahmed, S & Lakhani, L 2013, Bangladesh building collapse: An end to recovery efforts, a promise of a new start, viewed 26 April 2014, http://edition.cnn.com/2013/05/14/world/asia/bangladesh-building-collapse-aftermath/
Ali, R, Jaafar, H & Mohamad, S 2008, Logistics and Supply Chain in Malaysia: Issues and Challenges, EASTS International Symposium on Sustainable Transportation incorporating Malaysian Universities Transport Research Forum Conference 2008 (MUTRFC08). Universiti Teknologi Malaysia. 12-13 August 2008
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Awad, H & Nassar, M 2010, "A Broader view of the Supply Chain Integration Challenges," International Journal of Innovation, Management and Technology, Vol. 1, No. 1, pp52-60
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Lambert, D & Cooper, M 2000, "Issues in Supply Chain Management," Industrial Marketing Management, vol. 29, pp.65–83
Oracle n.d., The Shape of Tomorrow’s Supply Chains: The Science of Sustainability, viewed 26 April 2014, http://www.oracle.com/us/products/applications/green/051300.pdf
Petrovic-Lazarevic, S, Matanda, M & Worthy, R 2006, Supply Chain Management in Building and Construction Industry: Case of Australian Residential Sector, viewed 26 April 2014, http://www.buseco.monash.edu.au/mgt/research/working-papers/2006/wp21-06.pdf
Schramm, C, Meibner, A & Weidinger, G 2010, “Contracting Strategies in the oil and gas industry,” 3R International, vol. 1, 33-40
Seuring, S & Muller, M 2008, "Core Issues in Sustainable Supply Chain Management – a Delphi Study," Business Strategy and the EnvironmentBus. Strat. Env. vol. 17, 455–466
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Vrijhoef, R & Koskela, L 1999, Roles of Supply Chain Management in Construction, University of California, Berkeley, CA
Wieland, A. & Handfield, R. 2013, “The Socially Responsible Supply Chain: An Imperative for Global Corporations,” Supply Chain Management Review, Vol. 17, No. 5., viewed 26 April 2014, http://www.scmr.com/article/the_socially_responsible_supply_chain_an_imperative_for_global_corporations