2. Summary
Cubic Melons
LNG (with thanks to Prof Brian Cox)
Who are Fluor?
Why Innovation is Important
Real Examples of Successful
Innovations
Some Innovations that Didn’t
Work
Your Role in Innovation
3. Cubic Watermelons
Why?
Developed by farmers in
Japan in 2001
Response to customer and
supermarket concerns
Now viewed as a novelty
item due to high price and
inferior taste!
5. Titan (Saturn Moon)
What is the white spot?
Titan is a long way from
the sun with an
atmosphere of
methane not air!
6. LNG – Liquefied Natural Gas
LNG - Natural Gas that has
been converted to a Liquid
Gas is cooled through
expensive liquefaction process
to -162°C @ 0.25 bar
LNG has much greater energy
density than compressed gas
making it more efficient to
transport
Expensive production process
and storage equipment main
barriers to widespread
commercial use.
Prelude 488 m x 74m, more
than 4.5 soccer pitches end to
end - $12.6 billion
7. LNG on Titan?
The Innovators friend
There are 1012 litres of liquid
methane on Titan
Approx. ¼ of Earth’s reserves
are present in LNG form
Why don’t we go and recover the
LNG?
How would we get it to Earth?
Cost of putting 1 lb of payload
into space is $10,000
Neil Downie’s 5th law of
Innovation, “Every problem
contains an opportunity” – (but
maybe an opportunity for someone
else – your children's children!)
8. What is Fluor?
One of the world’s leading publicly
traded engineering, procurement,
construction, maintenance, and project
management companies
#124 in the FORTUNE 500 in 2012
Over 1,000 projects annually, serving
more than 600 clients in 66 different
countries
Workforce of over 43,000 men and
women executing projects globally
Offices in over 30 countries on 6
continents
100 years of experience
Fluor Corporate Headquarters
Dallas, Texas
9. 9
Comprehensive Services
Program/Project Management
Pre-Design Design Construction Start-Up
Operations &
Maintenance
Solutions
Computer
Modeling
Conceptual
Design
Estimating
Feasibility Studies
Permitting
Project Financing
Scope Definition
Siting
Technology/
License
Evaluation
Front-end
Engineering
Detailed
Engineering
Cost Control
Planning &
Scheduling
Sourcing &
Supply
Systems
Integration
Safety Planning
Construction
Management
Craft Staffing &
Training
Equipment &
Tools Supply
Field Mobilization
Material Control
Quality Control
Safety Programs
Contractor
Management
Commissioning
Engineering Support
Precommissioning
Systems Checkout
Initial Production
Plant Readiness
Turnover
Asset Performance
Improvement
Facility Management
Plant Operations &
Maintenance
Small/Sustaining
Capital Projects
Turnaround, Outages
& Shutdowns
10. Why is Innovation Important to Fluor
One of Fluor’s guiding principles states that the company is always
looking for:
“Methods to Capture, Share and Apply our
Knowledge to deliver Customer Solutions”
To be able to fulfil this principle Fluor must be innovative and
provide an environment for innovation to thrive
Innovation also allows the company to:
• Gain a competitive advantage over our competitors
• Retain, attract, develop and motivate a workforce essential for success
• Ensure quality and fit-for-purpose solutions are delivered to our customers
• Build and sustain a global community for all our stakeholders
• To maximise and increase margins and profitability for the company and
shareholders
So what does this mean!
Do it better, faster, cheaper!
11. Better – Faster - Cheaper
Innovate the “work process”
Change the paradigms
Use the tools
ROI
£/$/€
12. How do we improve the work process using the
available tools ?
• Objective – Turn a Process concept into a decision
making design and cost estimate better, faster and
cheaper
• Have a Clear Vision of the End Product
• Just Enough and No More (JEAN)
–RTFC
–Don’t Outdo Competitor Deliverables
–Neil Downie’s 4th law, don’t over-deliver
• Completed the FEED on a $120M Ethane Treatment
Project with over 20 major equipment items in less than
one month
13. Work Process for +/-30%Cost Estimates
Process Simulation
Heat & Mat Balance
Prelim Cost Estimate
Prelim Equipment /
Line Sizing
QuickPlantSM
•Process Flow Dgms
•Equipment Data Shts
•Equipment List
•Load List
FrontRunnerSM
IPE
Equipment Based
Cost Analysis
OptimEyesSM
Layout Studies
Critical Equipment
Sizing Checks
•I/O Count
•Concrete MTO
•Piping MTO
•Structural steel MTO
•Plot plan /elevation
14. Client Quotes
“You have a significant
competitive advantage over your
competition with this approach”.
Statoil Project Manager
“You’ve done in 4 days what our
other team have been doing for
four months”.
Project Estimator
15. Real Example – 3rd Generation ModuleSM Design
Evolution of Modular Construction
1st Generation Modular Execution
16. Evolution of Modularization in Land Locked
Locations
2nd Generation Modular Construction Execution
• 1st Generation plus:
• Equipment or PAUs (Preassembled Units)
– Equipment on module
– Modules around equipment
17. Where next – 3rd Generation modulesSM
Get more into a module
Reduce the space occupied by the module and plant by
optimising layout
Use the developing hardware available to the full extent
Patent the application to protect intellectual property
19. Real Example – 3rd Generation ModuleSM Design
Reduced TIC
• Reduced plot area lowers quantities
• Total labor hours down
• Work done in Shop
• Dramatic decrease in construction management
Improved Safety and Quality
Minimized Environmental Footprint
Operations & Maintenance Needs Maintained
Neil Downie’s 0th and 2nd law
• Think! (laterally, contradictions, outside the box)
• Surprises = Patents
This is a success story!
20. Real Example – Sub-Sea Processing
Allows production from offshore oil wells without needing
surface production facilities
Includes
• Oil/Gas/Water Separation
• Multiphase Pumping
• Gas Compression
• Flow Assurance
Advantages:
• Improves production from existing wells
• Allows production from previously ignored wells due to harsh operating
conditions
Disadvantages:
• Reliability issues have stopped widespread adoption, however these
are being fixed
Currently used in North Sea, West Africa and Gulf of Mexico
21. Some Ideas Do Not Work – The Segway
Self-balancing electric vehicle
developed in 2001
Described as the future of
transport and an innovation on
par with PCs and the Internet
Solution to a non-existent
problem, i.e. towns and cities
designed for cars and
pedestrians and no space for
new types of vehicle
Did not take into account
regulations – In UK not allowed
on pavements and not allowed
on roads
Fine as a novel sight seeing
resource in Prague or Berlin!
22. Some Ideas Do Not Work – Windows Vista
Launched by Microsoft in 2007 as a
replacement to Windows XP
Highest market share gained was
19% compared to 75% for XP
Problems included:
• Only 5% of computers sold could operate
all features
• File transfer was slower in Vista than
previous operating systems
• Most home and business software was
incompatible with Vista
• High price outside the USA
• Oh! And it messed up our home PC!
23. Fluor’s experience with software
Do not change if it currently works
No matter how much you test, some old and favoured
software will not work on the new system
Sometimes the momentum of new software will force you to
change your operating system
Do not try and create your ideal new software from scratch
Neil Downie’s 1st Law of Innovation – Copy (modify/enhance)
when you can, innovate when you can’t
24. Some Ideas Do Not Work – Sinclair C5
Battery assisted tricycle allowing
the C5 to be operated without
using the pedals
Sold approx. 17,000 units making
the C5 “the best selling electric
vehicle” until 2011
A number of design flaws:
• Cold weather shortened the battery
life
• Driver exposed to adverse weather
• Could not climb hills as the motor
was not powerful enough and
overheated easily
Declared unsafe by the Department
of Transport
25. Your Role in Innovation
Fresh and New to Situations
Your first employer will be looking to you – challenge the paradigm
Able to challenge ideas and conventions before becoming
“Stuck in your (Company) ways”
Always be positive, use phrases like:
• “It might work because…”
• “Let me add something to your idea”
Suspend Critical Judgement – The part of you saying …..
“It Won’t Work”
Consider there may be more than one good way of completing a task
Allow ideas to develop – Innovation is rarely perfect so add to, shape
and alter ideas
“The Important Thing is to Never Stop Asking Questions”
Albert Einstein
26. Aims of the Royal Institution
Be Inspired (courtesy
of Prof Brian Cox)
Royal charter 1800
Diffuse knowledge
Create inventions and
improvements
Apply Science (Engineering) to
the common purposes of life
We are Engineers, we are
empowered to be creative and
do good things!
27. Graduate Recruitment Process
Farnborough workforce looking to double in size;
Requirement for suitably qualified staff at all levels;
www.fluor.com/careers
Graduate Assessment Day