Systems Engineering Unnecessary Frill?

AOG SUT Conference 2010

Vince Vetter
INTECSEA Senior Vice President ANZ

Society for Underwater Technology Perth Branch

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Systems Engineering Unnecessary Frill?

Systems & Sub-Systems

Automobile
Power & Transmission Brakes Electrical Electronic Suspension Environment HVAC Music

System Engineering Balances the Sub-Systems Functions & Economics

Society for Underwater Technology Perth Branch www.sut.org.au

Systems Engineering Unnecessary Frill?

Systems Everywhere
Water Sewer Monetary Lighting & Power Auto Space Offshore Field Developments

Society for Underwater Technology Perth Branch

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Systems Engineering Unnecessary Frill?

Does Yo Your rS Subsea bsea De Development elopment Need Systems Engineering (SE)? Or is it an Unnecessary y Frill?
This presentation will discuss:
The who, what, when, where, why, how of SE The value (and costs) of using an SE approach How to identify the Systems Engineer Dedicated SE team? Minimum amount of SE?
Society for Underwater Technology Perth Branch www.sut.org.au

Systems Engineering Unnecessary Frill?

What is a system?
A system is a collection of different elements that together produce results not obtainable by the elements alone The value of a system is created by the relationship among recurrent fouling the parts - how they are interconnected in the onshore
A well failure here, at the low inerts / low LPG reservoir condensate stabilisation reboilers, which limits the associated i t d gas processing.

Much of this design capacity could be could render some rendered useless for or all spare capacity much of the time by at this high inerts / high something as minor minor LPG reservoir useless as by something as minor as

inerts or LPG constraints in the onshore plant

Society for Underwater Technology Perth Branch www.sut.org.au

Systems Engineering Unnecessary Frill?

Wh t is What i S Systems t Engineering? E i i ?

SE is the practice of: Consider Entire System Reservoir to Sales Point Optimise Design Reservoir, Drilling, Subsea, Pi li Pipelines, Off Offshore h Host, H t Onshore Facilities Performance & Availability Operability Cost & Schedule Training & Support Construction / Installation Abandonment Society for Underwater Technology
Perth Branch

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Systems Engineering Unnecessary Frill?

What sorts of systems might be in the frame?

Could be: Multiple developments in a region A single i l d development l A subsystem y within a development Regardless of the limits of the the frame frame, the Systems Engineer must also understand the elements outside of the the frame frame that affect, affect or make demands upon the system.
Society for Underwater Technology Perth Branch www.sut.org.au

Systems Engineering Unnecessary Frill?

Wh should When h ld th the SE b begin? i ?

As early as possible

Society for Underwater Technology Perth Branch

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Systems Engineering Unnecessary Frill?

Who makes a good systems engineer?

Systems y engineer g
Broad Knowledge of System Elements: Reservoir to Sales Empowered: Bring Disciplines / Groups to the table
Where is Wally, the Systems Engineer?

Society for Underwater Technology Perth Branch

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Systems Engineering Unnecessary Frill?

What if client doesnt want a SE team?

The SE approach pp can be p performed by y core discipline engineers: Engineering Manager Flow Assurance / Process Engineer Reservoir Engineer Other Discipline Engineers NB: regardless of which discipline engineer does the work there must to be hours available in the project work, budget for key SE activities
Society for Underwater Technology Perth Branch www.sut.org.au

Systems Engineering Unnecessary Frill?

Why use a Systems Engineering approach?

Resolve/Optimise High Value Interdisciplinary Issues
Technical Alignment Optimising System Availability vs CAPEX Optimising Subsea Equipment/Line Sizes Optimising the Subsea Architecture & Location of Wellheads Optimising the Separator/Slugcatcher Size vs Pipeline Liquid p vs System y Ramp-up p p Rates & Overall Availability y Holdups

The Cost of Getting any of the Above Issues Wrong in a Typical Subsea Development Would be in the Tens, Tens or Hundreds of Millions
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Systems Engineering Unnecessary Frill?

How to employ a SE approach?

Use the SIMILAR process p

Source: International council on System Engineering www.incose.org

Society for Underwater Technology Perth Branch

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Systems Engineering Unnecessary Frill?

What are the System Parameters / Issues?

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Systems Engineering Unnecessary Frill?

What does a Systems Engineer deliver?

SYSTEMS ENGINEERING

Flow Assurance & Operability Line Sizing and Configuration Thermal-Hydraulic Design Fluid Behavior Artificial Lift Solids Prevention and Control Corrosion Prevention and Control Production Chemicals Chemical Injection Operating Envelopes Operating Strategies Operating Philosophies Operating Manuals Reservoir Interfaces Processing Facilities Interfaces Production Simulators

Systems Integration Development Concepts & Layouts Project-wide Design Basis P&IDs & PFDs Functional Specifications Functional Interfaces Design Reviews Cost & Economics

Equipment Application and Development Electric Flowline Heating Subsea Processing Subsea Chemical Distribution Multiphase Metering Multiphase Pumping/Compression Single Phase Pumping/Compression Control/Service/Power Buoys Long Distance Communcations Subsea Power Distribution Subsea Power Generation

Integrity & Risk Managment Integrity Management Reliability Assurance RAM Analysis HAZID/HAZOP QRA

Society for Underwater Technology Perth Branch

www.sut.org.au

Systems Engineering Unnecessary Frill?

What does a Systems y Engineer g deliver?

Flow Assurance & Operability Line Sizing and Configuration Thermal-Hydraulic Design Fluid Behavior Artificial Lift Solids Prevention and Control Corrosion Prevention and Control Production Chemicals Chemical Injection Operating Envelopes Operating Strategies Operating Philosophies Operating Manuals Reservoir Interfaces Processing Facilities Interfaces Production Simulators

SYSTEMS ENGINEERING
Equipment Applic

Systems Integration

Development Concepts & Layouts Project-wide Design Basis P&IDs & PFDs Functional Specifications Functional Interfaces Design Reviews Cost & Economics

Electric Flowl Subsea Proce Subsea Chem Multiphase M Multiphase Pu Single Phase Control/Servic Long Distanc Subsea Powe Subsea Powe

Society for Underwater Technology Perth Branch

www.sut.org.au

Systems Engineering Unnecessary Frill?

What does a Systems Engineer deliver?

SYSTEMS ENGINEERING
ance & Operability

Systems Integration Development Concepts & Layouts Project-wide Design Basis P&IDs & PFDs Functional Specifications Functional Interfaces Design Reviews Cost & Economics

Equipment Application and Developme

d Configuration g aulic Design r tion and Control vention and Control emicals ction

Electric Flowline Heating g Subsea Processing Subsea Chemical Distribution Multiphase Metering Multiphase Pumping/Compression Single Phase Pumping/Compressio Control/Service/Power Buoys Long Distance Communcations

Society for Underwater Technology Perth Branch

www.sut.org.au

Systems Engineering Unnecessary Frill?

What does a Systems Engineer deliver?

SYSTEMS ENGINEERING
Systems Integration Development Concepts & Layouts P j t id D Project-wide Design i B Basis i P&IDs & PFDs Functional Specifications Functional Interfaces Design Reviews Cost & Economics

Equipment Application and Development Electric Flowline Heating Subsea Processing Subsea Chemical Distribution Multiphase Metering Multiphase Pumping/Compression Single Phase Pumping/Compression Control/Service/Power Buoys Long Distance Communcations Subsea Power Distribution Subsea Power Generation
Society for Underwater Technology Perth Branch

Integrity & R Integrity Managem R li bilit A Reliability Assuran RAM Analysis HAZID/HAZOP QRA

www.sut.org.au

Systems Engineering Unnecessary Frill?

What does a Systems Engineer deliver?

SYSTEMS ENGINEERING
gration Equipment Application and Development

Integrity & Risk Managment I t it Management Integrity M t Reliability Assurance RAM Analysis HAZID/HAZOP QRA

pts t & Layouts L t Basis tions s

El t i Fl Electric Flowline li H Heating ti Subsea Processing Subsea Chemical Distribution Multiphase Metering Multiphase Pumping/Compression Single Phase Pumping/Compression Control/Service/Power Buoys Long Distance Communcations

Society for Underwater Technology Perth Branch

www.sut.org.au

Systems Engineering Unnecessary Frill?

Tipping Point Size / Complexity / Schedule

Small Fast Track Projects Little Time to Optimise Small S ll T Teams - Good G d / Mutual M l Understanding U d di SE happens organically
1-4 Studies : FA, SS Engineer System S t Engineer

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Systems Engineering Unnecessary Frill?

Tipping Point Size / Complexity / Schedule

Medium Projects ??????????

System Engineer

3+ SS Engr : FA, PL, EQPT, UMB, Controls, Riser

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Systems Engineering Unnecessary Frill?

Tipping Point Size / Complexity / Schedule

Large Projects Criticality of System Availability Large L CAPEX -Large L S Savings i f from O Optimising i i i Large / Segregated Engineering Teams
System Engineer

6+ SS Project : Proj Mgr, Proj Engr, Interface Mgr, Construction Mgt, Cost, Install, HUC

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Systems Engineering Unnecessary Frill?

Minimum SE to Get By? Is More Better?

Basis of Design Fit-For-Purpose p System Description SHE$ Interface Mgt

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Systems Engineering Unnecessary Frill?

How Much does System Engineering Cost?

Add System y Engineer g Add SE + Interface Manager Add SE + IM + Ri Risk kM Manager $ $$ $$$

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Systems Engineering Unnecessary Frill?

E Events/Consequences t /C t to Mitigate Miti t with ith SE

EVENT BoD Wrong INSTALLATION Interface/Delay PRODUCTION Delay/Reduced Reduced

Not Robust Fluids / Flow Rate Different Not Flexible Well V.O. / Delays C Count t / Location L ti Interface Missed Delays SHE Event

Delay/Reduced Delay

Delays/Reputation Shut-in

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Systems Engineering Unnecessary Frill?

What is the Value of SE Risk Mitigation?

Risk = Probability of Event x Consequence Assume: 10% Less with System Engineer Consequences 10%Savings Construction: $1M - $100,000 per day Production Deferred: $1.5M - $150,000 per day
(NPV: 50 mbe @ $60, 6%, 10 y ( yr) )

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Systems Engineering Unnecessary Frill?

Conclusion
The cost of a Systems Engineering approach is cheap p insurance against g the costs which may y result from a wrong, or nonnon-optimised, system design. design

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Systems Engineering Unnecessary Frill?

Are You Ready? y

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