CHALLENGES IN RESOURCE ALLOCATION (5M) TOWARDS COST CONTROLLING IN ENGINEERING PROCUREMENT CONSTRUCTION (EPC) FABRICATION OIL AND GAS MEGAPROJECTS

Abstract

The resources contain a money cycle involving machinery, manpower, and materials aligned with a suitable method (5M) in a fabrication project. However, given the current economic climate, it is critical to keep costs under control and realign its mission. As a result, this study objectives and aims to use ATLAS-ti to analyze preliminary survey data on resource allocation management challenges in oil and gas EPC fabrication projects. The survey data was gathered through qualitative research involving interview techniques with ten (10) experts in Engineering, Procurement, and Construction (EPC). The results reveal that the factors affecting resource allocation (5M) are a lack of support from top management, poor resource utilization, and management in the EPC project.The atlas-ti network analysis revealed that money had a more significant impact on the allocated resources. The budget issue, in which the budget allocation does not meet the project requirements, is a significant source of procurement challenges. The challenges of resource allocation management, which control cost overrun in 5M of Oil and Gas Fabrication, are expected to be revealed in this study.