As with any great project, planning is paramount for its success. At MMG we provide a wealth of knowledge and expertise in and around planning in relation to logistics and material management for both Greenfields and Brownfield projects.
We work with the client from an early engagement to assist in the following areas
MMG would welcome the opportunity to discuss with a client the following to see where MMG can best assist the Project:
- Material Management
- Site Materials Organisation
- Mobilisation – Site Materials Control & Warehousing
- Site Purchasing & Expediting
- Plans, Procedures & Training.
The Procurement Status Report (PSR) contains critical information about all procurement orders, to keep all team members informed of the supply status.
This allows the project and logistics teams to plan activities based on the best knowledge of when materials & equipment will be ready.
This document provides instructions for packing, marking of goods and shipping instructions, as the minimum standards for project materials & equipment and should be incorporated into purchase orders or contracts.
MMG can assist with preparation of the IPMS, in conjunction with the Project Freight Forwarder or 3PL.
The IPMS includes details for packaging, lifting and handling requirements, protection and preservation, cleaning, provisions for small parts, spare parts and special tools, heavy lifts and over dimensional cargo, marking, hazardous goods, authorization for shipment and shipping documentation and more.
Freight incoterms (International Commercial Terms) are the standard terms used in sales contracts for importing and exporting.
They are used to define responsibility and liability for goods over the course of a shipment (responsibility for the goods transfer from the supplier to the byer).
They also define who pays which costs for the goods and their transport. They ensure timely payment of goods, services, and duties, while protecting suppliers, carriers, and buyers.
Projects often use FCA.
Most incoterms can be used for any mode of transport however there are exceptions for sea freight only, and commonly used incoterms for air freight.
Utilise MMG’s quick reference of Incoterms and the breakdown of who is responsible for what, at various points in the international supply chain.
MMG can have TracBASE provide an “Imported Goods Report”, to ensure imported goods are assessed with the appropriate correct level of duty.
TracBASE tracks and reports on material and related activities, is an online cloud hosted database and incorporates barcoding GPS location, photographic evidence and mobile data capture.
TracBASE can interface with Primavera P6 Scheduling, iConstruct/Navisworks 3D models, and most Financial systems.
For Greenfield Projects, MMG prefer to run early workshops with the necessary Project Team representatives to prepare a TracBASE specification defining all aspect of the application of the system.
This includes workflows, source data, transactional data, reporting/dashboard requirements, implementation schedule, training matrix, hardware requirements and what is not included. Rules should be set to maintain integrity of data in TracBASE.
For Brownfield Project, MMG will agree with the Project Manager on TracBASE requirements.
TracBASE can be set up to track delivery of ALL project free issue materials & equipment including:
- long lead time (early) items
- long lead capital (insurance) spares identified and purchased together with the equipment
- steel fabrication & all preassembly progress off site
- bulks, assemblies, mark pieces and tagged engineered equipment, and
- start up and commissioning spares (identified in the tender process).
This activity is typically in accordance with the Material Responsibility Matrix (MRM), which defines responsibility for specifying, sourcing, acquiring, issuing, expediting, inspection, receiving and installing project materials. Client operating spares are generally excluded.
Time should be allocated to Bulk Item planning.
The purpose of the Materials Management Plan is to establish the materials management controls for the project.
MMG can assist with preparation of the MMP, in conjunction with the Project team.
The MMP includes areas of responsibility, material control systems, materials movement, planning, receiving, offloading, unpacking & storage, material issue, quarantine, dispatch off site, surplus/scrap disposal, close out and demobilization. It also includes responsibilities for transport of materials.
Site Material Control & Warehousing is responsible for material management to support the daily construction effort.
The Site Material functions include material control, receiving, notification of oversupply, short or damage, storage as well as transfer of materials between locations and issuing of materials to the construction contractor and may include handling of hazardous and toxic materials, outbound shipments, tool and supply controls, special controls and disposal or surplus and scrap.
MMG can assist with planning for the Site Material Control & Warehousing function and Laydown(s). This should include Site Preassembly Area and access.
Barcode labels will be used to control materials and can include:
- building code to consolidate items by building in storage, and
- storage code to store goods by suppliers’ recommendation.
Each site location (both on site or offsite) will have connectivity to TracBASE and will obtain real time information via the materials control personnel assigned at the various sites.
MMG can assist with planning and set up of Container/Tool Store operation including list of power tools, hand tools and general consumables for tender.
Similarly with the setup of dedicated PPE stores for multiple contractors on site.
MMG can assist with TracBASE to support tracking (with photos) & reporting on Deficient Materials and Backcharge items.
MMG has a checklist for mobilisation of the Site Materials function.
This includes plant & equipment, vehicles & buses, facilities required and consumables.
Consideration should be given to offsite laydown area, typically near the most suitable port closest to the construction site.
The offsite laydown area is generally required to “hold” larger material & equipment on unloading off ships and in preparation for delivery to site. This should include modules.
MMG can provide logistical support for the receipt of material & equipment in TracBASE for early confirmation of arrival (Project visibility), and confirmation of delivery to site and unloading underhook or on laydown.
An extract for handover of Project materials & equipment in the site contract(s), will be prepared by MMG on completion of the TracBASE workshop(s) or as agreed with the Project Manager.