StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Transportation and Installation of a Back-up Load Bank - Case Study Example

Cite this document
Summary
The paper 'Transportation and Installation of a Back-up Load Bank' is a great example of a Finance and Accounting Case Study. This paper gives an account of the challenges facing the transportation of a containerized backup load bank and the alternative measures that can be conducted to alleviate these difficulties. Transportation of heavy equipment is faced by various challenges…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER92.9% of users find it useful

Extract of sample "Transportation and Installation of a Back-up Load Bank"

Transportation and Installation of a Back-up Load Bank Name Course name Instructor’s name Date Transportation and Installation of a Back-up Load Bank Executive Summary This paper gives an account of the challenges facing the transportation of a containerized backup load bank and the alternative measures that can be conducted to alleviate these difficulties. Transportation of heavy equipment is faced by various challenges ranging from the actual carriage of the item, safety and security issues before reaching its destination. For instance, the authorities are usually very strict due to crimes in transportation such as illegal goods, drugs smuggling and theft. The equipment under transit in this report is a very heavy and wide backup load bank. Due to its size, it means that a very high duty will be paid to the authorities to verify its transportation. Being 20 feet long, the equipment needs a specialized vehicle to carry which means an additional cost to the entire cost. Other challenges include the urgency of the equipment because it is needed in 48 hours. Being able to aptly prepare the load bank so that it is ready for movement poses considerable challenge. In addition to this, making sure that there is adequate safety for the people transporting the item due to the high voltage. However, using the right procedures and protocol, the equipment can easily be delivered to Santos Basin safely and on time. Load Bank Overview Vast oil reserves have been discovered over the past few years several meters from the cost of Brazil. One of the reserves is at the Santos Basin which is approximately 250 kilometers off the coast of Rio de Janeiro. Due to the discovery of these reserves, big investment opportunities have also sprung up especially at the oil industry near the coastal region of Brazil. The research and exploration has increased tremendously and through this research the industry has demanded an increasing number of drilling rigs that are fitted into the deep waters of the Atlantic Ocean together with production units in these areas. (Negrao & Lage, 1997) Through this opportunity various companies and expertise are able to invest and technology has been utilized highly. For instance, the people with the most advanced technology is the concept of building strong ships have been able to have successful endeavors over the last four years. In addition to ship building companies, other organizations especially under the energy industry have also benefited greatly. The drilling ships require electrical power for them to run as required. This means that electrical engineers are an essential requirement in the operation of these rigs. Moreover the organizations that can offer alternative solutions in case of power failure are also necessary for the continuity of the drilling projects. This is the part where a backup load bank is essential due to unexpected power failure. This is the scenario that has been experienced at the Santos Basin and since the project needs to always be active, then a backup plan must be implemented as fast as possible to aid in the continuous operation of the rigs. (Pozebon, Lima, Maia, & Fachel, 2005) The backup load bank must be capable of operating like a real power source in that the ability of the drill ship to meet the needs of the drilling organization is not expected to be lower. This means that there should be no situation where the activity level is differentiated in both cases. In any case therefore, a load bank needs to be transported and installed into the ship before the power problem is rectified. A backup load bank is an effective tool in solving a power problem because of the various advantages that comes along with it. A real load is usually unpredictable, irregular and produces random values that are not within a controlled scheme. However a load bank is usually effective because its operability is within the specific values. Its load is therefore regular, controlled and able to be adequately controlled. This means that it is possible to monitor its performance and thus the responsible people are likely to notice if any of the parts are moving in the opposite direction. It is therefore a self-contained equipment able to implement the capabilities of a real load and control mechanisms and accessories. (Hulstijn & Laufer, 2001) A real load uses the power source to produce the energy needed to run productive activities. However, a load bank acts as the power generator and the energy produced by this power source is used to make sure that the power source is working as needed, its operation is supported and it also protects itself against damage.(Cantor, Cantor, & Cantor, 1995) For a load bank to be effective, reliable and enhance availability, it must meet certain requirements. These include; first it should be able to ensure minimum fuel consumption to save the cost of operating it. With this reduced fuel consumption, the level of emissions should also be very low to make sure that environment conservation is maintained. In addition to this, the load bank should not cause any levels of contamination on the engines to prevent failure in between the project intervals. The engine should be designed such that it is able to run at a high load level meaning that its overall load capacity should be higher than the one in which it is operating it. The load bank should be capable of improving the selectivity of the actual power source. It should also be in a position to improve the maintenance of the entire system such that its installation does not cause increased level of wear and tear. (Gupta, Rangaswamy, & Ruth, 1990) In addition to the operation expectations, the design requirements are also expected to have different specifications. The load bank should be designed such that it is able to with stand the pressure of the deep sea with the harsh environments. The vibration and the shock capabilities should also be tested to make sure they meet the installation requirements. In addition to this, the load bank should be designed such that it is able to fit into the drilling rigs using universal ports and other standard appliances. The most important aspect is that there should be minimal damages such that not much time is wasted in the maintenance and servicing of the backup generator. During the transportation and installation process of the load bank, various challenges are involved.(Nairus, 1995) Challenges Faced during the Transportation Process The maritime transportation industry is one of the sections in the overall transport that faces numerous challenges in comparison to other modes. Due to the changes in the world economy, shipping industry has been extended to meet the economic needs of the world and therefore today most of the cargo is being transported through the sea. The reason for this extension is to relieve pressure on the roads as this improves the different dimensions of the economy. (THIBAULT, BROOKS, & BUTTON, 2006)This paper therefore gives an overview of the challenges that the transportation of a load bank is associated with. The backup Load bank is 20ft in length with a weight of 30 ton. In addition to this, its voltage is 6250KVA which is needed to solve a drill ship power failure problem at Santos Basin which is located at 250 kilometers off the coast of Rio de Janeiro. The specifications of this equipment are the sources of the challenges that are likely to be experienced in its transportation. One of the challenges that are likely to be experienced while transporting and delivering the load bank is the time factor. Power failure occurs very late at night. This means that the team responsible in handling the item need to be accessed immediately to start the relevant preparations before the transport occurs. At this time it is quite difficult to assemble the crew which must be done because the machine has to be delivered within 48 hours at the basin to prevent any damages or possible oil spills. Within this time frame, the machine operator who is the only person with the operation skills of the load bank is working on another project in Korea. It goes without saying that this technician is required on board because the problem at hand is an emergency. He is supposed to take a private flight immediately to make sure that time is saved because the 4 hour clock is still ticking. Time therefore poses as a challenge considering the number of activities that need to be conducted and the timeframe given by the clients who are helpless without the backup load bank. Another challenge that is likely to be experienced is the issue of equipment specifications. (Zivi, 2002)The equipment requires specialized care because of the size, weight and the voltage associated with it. This means that a specialized container also has to be used to make sure that the load bank is delivered fully operational without any mechanical damage. To the supplier, this means additional cost to the normal standard charges incurred. In the transportation process, the other issue that matters is the safety of the people travelling along with the load bank. This safety is required because of the high voltage of the equipment and thus they should board a different vessel while watching the vessel carrying the load bank to make sure that it is in the right condition to prevent any compromise. It has also been stated that the client requires the load bank to be transported to the destination that is over 200 kilometers in the South Atlantic Ocean from the coast of Rio de Janeiro. The challenge that is likely to be experienced is the sea irregularities in terms of the weather.(Carminatti, Wolff, & Gamboa, 2008) Factors such as tides and strong waves are possible and when experienced may cause considerable damage to the fragile item under transit. The reason why the sea weather is a challenge is because the load bank does not need to be in contact with water as this may interfere with its operation before it is set up. The team should therefore be prepared in case of any occurrence of unexpected sea tides and waves to make sure that in any case their safety and that of the machine is maintained. Another challenge to be faced is the high freight charges from the authorities. Freight rates are very volatile when it comes to maritime transport industry because their charges depends on factors such as demand and supply.(Notteboom & Vernimmen, 2009) Due to these fluctuations, it is not possible for the people operating in this industry to experience constant profit records as most of the time the records show negative figures. Factors that influence the freight charges is the nature of the items under transit, the capacity of the ships or containers and other minor considerations in the region. The higher the sophistication of the item, the higher the charges. This implies that the load bank is in the category of sophisticated items increasing the rates. However, since 2011 the freight charges have been noted to have a downward trend meaning that although the charges are high, they are still manageable though slightly higher than the expected value. Another major problem is the issue of delays at the port. Due to the existing overcapacity issue at the ports, the containers are likely to experience delays before moving to their various destinations. These delays may affect the time that the load bank is expected to arrive at the drill ship and this may cause considerable damage due to the power failure. If the issue of delays is handled efficiently, then other factors that depend on the timely arrival of the backup plan are also run smoothly.(Lima & Scofano, 1999) High fuel costs is another challenge that is likely to affect the total cost of the load bank transportation. This is because as a result of the high prices of fuel, then the fuel cost may amount to close to 60 percent of the total amount to be incurred. This in addition to other additional costs mentioned above, cost becomes the major challenge in this process. The issue of increasing prices of fuel continues to affect the maritime industry even after the new ships design that are fuel efficient. In this situation, it would be expected that since the ships are now fuel efficient, the cost of fuel would be lower than before. (Rocha et al., 2015) However, the opposite of this scenario happens where the prices are still high. This can be explained by the volatility in the industry meaning that political support is needed to help in stabilizing the industry. In such an industry, it even becomes very difficult for the ship owners to plan for the profits that they gain because they are always fluctuating. It is also not possible to make future predictions because of the uncertainty and unpredictable patterns in the cost and profits. Another challenge to be faced in this transportation is the problem of piracy. Piracy has emerged as major security factor in the maritime transportation. A report has shown that in the year 2011, piracy attacks amounted to 211 with the successful attacks amounting to 24. This means that security at sea is a very challenging issue. Today the accessibility of pirates has increased significantly making it easy for them to attack ships and take the items on these ships almost unnoticed. The equipment that is being transported in this case is very expensive and thus it can be a target for the pirates. For this reason, security personnel have to be included in the ship carrying this load bank to make sure that it is safe from the pirates. Two hundred kilometers is quite a long distance and experiencing the pirates is a high probability. Implementing this security is also an additional cost that is accounted for at the end of the project.(Berger & Wefer, 1996) Load Testing Challenges In order to make sure that the backup load bank is operating as needed, testing has to be conducted before its installation. This means that in addition to transportation, there is another challenge at the installation process. This testing is conducted at an offline location and later load testing is also conducted after the installation of the generator. This is very challenging because the testing process has to be conducted by experienced people who are highly skilled and knowledgeable about the codes that are given by the specification of the equipment’s manufacturer. Load testing can either be resistive or reactive. Resistive load testing ensures inspecting the machine to make sure that it is able to handle the intended load.(Wichert, Dymond, Lawrance, & Friese, 2001) This testing gives the assurance to the manufacturer and the clients that the machine will operate with near optimal excellence given the required input and expected output. It also checks the operation of the load bank’s engine to make sure that it is able to operate efficiently without excessive overheating which may cause some intervals of shutting down to cool down. The combustion capacity of the engine is also evaluated to make sure that all the weak points are identified. If the machine does not perform as intended, the hydro carbons are partially burned and this may be very dangerous due to the risk of wet sacking. If this test fails, then the equipment is rendered useless but if this test is passed then it is possible to proceed to the other levels. The other test is the reactive load testing where the actual calibration and the resistive load are put to test. This measure the voltage of the load bank and the ability to conduct load sharing in a parallel operation. This is especially for the systems that require the machine to handle heavy loads such as the drilling ship in this case study. The load bank is expected to handle heavy loads due to the introduction of deep pre-salt rigs that require very powerful engines for them to run efficiently. The challenge that may be experienced here is the determination of whether the load bank is actually able to handle the required load or whether the extreme pressure may reduce its operation capability.(Lasseter et al., 2011) In addition to resistive and reactive load testing, the equipment requires continuous maintenance checkups and operational testing. This is because the generator may pass the initial test but its ability to operate efficiently for the required time may be limited. This means that if this is the first time that the generator is actually in operation, it may be affected by other factors surrounding the activity of the rigs which may undermine the operation activity of the load bank with time. As a result, skilled personnel are supposed to monitor any patterns in the operation of the rig to make sure that any irregularities are detected early enough. If such irregularities are detected, then there should be a clearly outlined plan to prevent further damages of the rig or other environmental factors. Ways of Overcoming the Challenges and Recommendations In order to save time which is a major factor in the transportation of the backup load bank, a pan has to be made on how some of the activities can be done simultaneously. For instance, before the arrival of the technician from Korea, some people should be involved in inspecting the equipment to make sure that it is fully operational and that all the parts are functioning properly. At the same time, other people should be involved in making the clearances with the authority and collecting the required documentation that will be needed at the port. When multiple activities are conducted at the same time, this ensures that before the technician arrives, all other activities that may cause some level of delay are handled in due time. In terms of the involved cost of freight and other charges, a total calculation should be made and from this the total amount charged on the clients should account for the cost stated here. For instance, since carrying the load bank requires a specialized container due to the size and shape specifications, this additional cost should be charged on the customer to make sure that it is also accounted for. Moreover, the security expenses needed to make sure that the load bank is safe should also be included in the total budget where adequate proportions are assigned to both the customer and the other part goes to the total cost of the project. Handling piracy is the responsibility of the government and thus the existence of pirates cannot be controlled by the people using water as a mode of transport. This implies that the only action that can be done is to make sure that the ship and the cargo being transported. The challenge of delays at the port is unavoidable and the only way to make sure that a lot of time is not wasted at this point is to allocate a large share of the available time meaning that other activities that are time consuming are supposed to be conducted faster to create ample time for the possible delays. This exercise is able to deal with the fact that although delay is not a condition that can be controlled, it does not affect the time through which the entire operation is supposed to take. In order to prevent any damages as a result of unfavorable sea weather such as waves and tides, the load bank should be placed in a container that is able to prevent water to be in contact with the equipment. In addition to prevent water entry, the container should be designed such that any movements are not supposed to affect or compromise the parts of the backup load bank. This is to prevent a situation where the item is delivered but cannot operate as a result of some damage that is developed during the transportation. In preventing the failure of the load bank tests, the load bank itself should pass the manufacturer’s test even before its departure. This is through the inspection that is conducted by skilled personnel who are supposed to make sure that the resistive and the reactive load testing are as expected. This testing should be carried out in comparison with the specifications given by the client regarding the power capacity requirement of the drill ship and the power consumption during the drilling process.(Fluegman, 2015) Being the supplier of these products for a long time, it is almost certain that the equipment will meet the expectations of the client and will perform as a real load bank. If the generator is analyzed while considering the operation of the rig, then it is possible to predict the performance of the equipment under the other factors and extreme pressure. In the issue of availability, the challenge of technicians has been indicated such that only one person is able to operate the load bank. This affects the issue of availability because this technician may cause probable client loss in case he is needed and at the same time he is attending to an emergency situation that equally needs his attention. This can be solved by training different people on the operation of these equipment such that numerous people are able to work efficiently exclusively without each other. Relying on one person is very risky because it only means that the activities depending on his expertise cannot go on without him. This is quite undesirable for a company dealing with these materials because the demand is high following the increasing development and installation of deep sea drilling rigs within the South Atlantic Ocean. Conclusion Although transporting and installing a load bank is faced with numerous challenges, appropriate measures can be taken to make reduce the damage that can happen in case of these challenges. All the measures to be conducted are supposed to be tailored towards reducing the cost of whole project because from the investigation of the endeavor, the cost the task is the major challenge that is likely to be experienced. In order to make sure that the load bank is a good state after installation, it is supposed to be tested before the transportation to prevent unnecessary cost being incurred. During the transportation the two key issues that should be addressed are safety and security of the generator. At the delivery point, it should be intact and at the same time the people carrying it should be safe from any kind of health hazards. Since the machine meets the requirements of both design and ability to operate well, then the probability of failure is minimal and as such it is expected to operate well. In any project, what matters is the ability of a supplying company to make profits with reduced cost incurred and making sure that the client is satisfied from the services offered. What the client looks for is reliability and robustness of the equipment because output produced will influence other factors. If these two are in agreement, then the project is said to be successful as all the parties involved are adequately fulfilled. In this project, there should be minimum damages as possible to the machinery and injuries to the individuals operating it should also be low. References Berger, W. H., & Wefer, G. (1996). Expeditions into the Past: Paleoceanographic Studies in the South Atlantic. In The South Atlantic (pp. 363–410). Springer Berlin Heidelberg. Retrieved from http://link.springer.com/chapter/10.1007/978-3-642-80353-6_21 Cantor, T. L., Cantor, W. P., & Cantor, J. A. (1995, June 13). Self-contained, portable compact load bank and testing method; compact load bank with improved power handling capability. Retrieved from http://www.google.com/patents/US5424588 Carminatti, M., Wolff, B., & Gamboa, L. (2008). New Exploratory Frontiers In Brazil. Presented at the 19th World Petroleum Congress, World Petroleum Congress. Retrieved from https://www.onepetro.org/conference-paper/WPC-19-2802 Fluegman, M. (2015, July). Data Center Power Reliability - Load Bank Testing. Retrieved October 31, 2015, from http://plannet.com/data-center-power-reliability-load-bank-testing/ Gupta, S., Rangaswamy, V., & Ruth, R. (1990). Load bank elimination for UPS testing. In , Conference Record of the 1990 IEEE Industry Applications Society Annual Meeting, 1990 (pp. 1040–1043 vol.2). http://doi.org/10.1109/IAS.1990.152312 Hulstijn, J. H., & Laufer, B. (2001). Some Empirical Evidence for the Involvement Load Hypothesis in Vocabulary Acquisition. Language Learning, 51(3), 539–558. http://doi.org/10.1111/0023-8333.00164 Lasseter, R. H., Eto, J. H., Schenkman, B., Stevens, J., Vollkommer, H., Klapp, D., Roy, J. (2011). CERTS Microgrid Laboratory Test Bed. IEEE Transactions on Power Delivery, 26(1), 325–332. http://doi.org/10.1109/TPWRD.2010.2051819 Lima, J. A. M., & Scofano, A. M. (1999). New Oceanographic Challenges in Brazilian Deepwater Oil Fields. Offshore Technology Conference. http://doi.org/10.4043/10750-MS Nairus, J. G. (1995, May 23). Constant power load bank. Retrieved from http://www.google.com/patents/US5418708 Negrao, A. F., & Lage, A. C. V. M. (1997). An Overview of Air/Gas/Foam Drilling in Brazil. Society of Petroleum Engineers. http://doi.org/10.2118/37678-MS Notteboom, T. E., & Vernimmen, B. (2009). The effect of high fuel costs on liner service configuration in container shipping. Journal of Transport Geography, 17(5), 325–337. http://doi.org/10.1016/j.jtrangeo.2008.05.003 Pozebon, D., Lima, E. C., Maia, S. M., & Fachel, J. M. G. (2005). Heavy metals contribution of non-aqueous fluids used in offshore oil drilling. Fuel, 84(1), 53–61. http://doi.org/10.1016/j.fuel.2004.08.002 Rocha, G. O. D., Anjos, J. P. D., Andrade, J. B. D., Rocha, G. O. D., Anjos, J. P. D., & Andrade, J. B. D. (2015). Energy trends and the water-energy binomium for Brazil. Anais Da Academia Brasileira de Ciências, 87(2), 569–594. http://doi.org/10.1590/0001-3765201520140560 THIBAULT, M., BROOKS, M. R., & BUTTON, K. J. (2006). The Response of the U.S. Maritime Industry to the New Container Security Initiatives. Transportation Journal, 45(1), 5–15. Wichert, B., Dymond, M., Lawrance, W., & Friese, T. (2001). Development of a test facility for photovoltaic-diesel hybrid energy systems. Renewable Energy, 22(1–3), 311–319. http://doi.org/10.1016/S0960-1481 (00)00024-0 Zivi, E. L. (2002). Integrated shipboard power and automation control challenge problem. In 2002 IEEE Power Engineering Society Summer Meeting (Vol. 1, pp. 325–330 vol.1). http://doi.org/10.1109/PESS.2002.1043243  Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(Transportation and Installation of a Back-up Load Bank Case Study, n.d.)
Transportation and Installation of a Back-up Load Bank Case Study. https://studentshare.org/finance-accounting/2072948-transport-product
(Transportation and Installation of a Back-up Load Bank Case Study)
Transportation and Installation of a Back-up Load Bank Case Study. https://studentshare.org/finance-accounting/2072948-transport-product.
“Transportation and Installation of a Back-up Load Bank Case Study”. https://studentshare.org/finance-accounting/2072948-transport-product.
  • Cited: 0 times

CHECK THESE SAMPLES OF Transportation and Installation of a Back-up Load Bank

Property Management System in the Hospitality Industry

… The paper 'Property Management System in the Hospitality Industry' is a wonderful example of a Management Case Study.... AutoClerk and Logical Solution is a Property Management System (PMS) company that has been serving hoteliers since the 1980's.... the software is user friendly is fast and easy to learn and use....
8 Pages (2000 words) Case Study

Suritis and rkts

installation of solar ATMs.... This model tries to approximate the chances of loan repayment and this in return assists the bank to evaluate whether to advance the loan or not.... … The paper 'Sесuritiеs and Маrkеts' is a great example of a Macro and Microeconomics Case Study....
7 Pages (1750 words) Case Study

Logistical Challenges for a Coal Transporting Company

During the transportation process, it will be necessary to ensure that the company complies with a number of logistical requirements from Australian Quarantine and Inspection (AQIS) as well as ensuring items information in regarding the goods being transported are provided.... This is because, in any country, there are logistical and transportation regulations that have to be met by any transporting company (Quiroga, 2011).... In addition, it will be necessary to ensure personal information regarding transporters and the people involved in the transportation process are documented....
8 Pages (2000 words) Case Study

Three Organizational Changes Seen as a Business Situation in the Media

… The paper "Three Organizational Changes Seen as a Business Situation in the Media" is a perfect example of business coursework.... nbsp; Change has become an inevitable event in the contemporary world and many companies are working hard to ensure this phenomenon never leaves them behind (Waddell, 2011)....
11 Pages (2750 words) Coursework

Globalisation of ANZ Banking Corporation

Basically, in the current globalization epoch, the key to success as well as survival for scores of financial institutions, including ANZ bank is to nurture strategic partnerships that make them competitive as well as provide various services to clients.... iscussionANZ bank is competing in an international market, but globalization is yet to generate a key market in the world.... Globalization, however, is not an assurance of an international market with lots of customers standing by to purchase the services or products of ANZ bank....
9 Pages (2250 words) Case Study

Secure-Any Systems Company's Project Process Planning and Control

Successful installation of the 25,000 smart card readers Successful running of the smart card readers with minimal negative impacts on the current bank's operations.... Successful installation of the 25,000 smart card readers Successful running of the smart card readers with minimal negative impacts on the current bank's operations.... Secure- Any Systems Company has the capacity to secure the contract with Lachlan bank to produce and install a minimum of 25, 000 smart card readers for use in various security authentications for computers and banking terminals in about 600 offices....
12 Pages (3000 words) Case Study

Bright Detergents Enterprise Business Strategies

… The paper "Bright Detergents Enterprise Business Strategies" is an outstanding example of a business plan.... The business will be a partnership in which one member will take charge of production while the other one will be responsible for sales and marketing.... The two categories are based on the technical knowledge and experience of the individual partners in the business making it to be suitably structured as a partnership....
12 Pages (3000 words)

Bike Sharing System in Canberra

A bike-sharing system is comparatively low-priced and a fast implementation extension of a town's public transportation offerings.... … The paper "Bike Sharing System in Canberra" is a perfect example of a business case study.... This report focuses on a cost-benefit analysis for the bike-sharing system in Canberra....
11 Pages (2750 words) Case Study
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us