Lengthy study of project plays crucial role

Long lead-in times with specifications often revised ALAN PEAT FOR ALMOST a quarter of a century Safcor Panalpina has run a dedicated project division, according to projects manager, Gavin Forsyth. “We are one of a few companies that offer this facility,” he told FTW. “Some agents profess to run a project department only when it suits them to do so - and this usually to protect their interests with an existing client or when a tender enquiry is issued for a large project.” But it’s a more complex task than many companies can effectively handle, typified by a normally long lead-in time with specifications often revised and requiring constant meetings and assessment of port formalities “We in South Africa are at an advantage in having good port facilities with known and workable facilities,” said Forsyth. “But when a project stretches into African ports with lesser facilities the project has to be well thought out and planned. “At times it is even necessary to obtain permission from the relevant government authority to allow the abnormal project cargo onto the roads – this would be at the tender stage.” From Forsyth’s records a project may take anything from one to three years between the time of suggestion to its time of implementation. “For example, we have a large project in the Western Cape in which we became involved in April 2005 with a feasibility study and budget. It then went through the tender process - and we were awarded the project in February 2006. Largest project “The first shipment is now expected in June.” It’s a similar story for Safcor Panalpina’s largest project outside South Africa – where the company did the feasibility and budget study in April 2005, but as yet there is still no final decision. A third example was an offshore mining project done in co-operation with the consulting engineer. Safcor Panalpina did the study in mid 2005; the final decision to proceed was made in January 2006; the tender document was issued in April 2006; and the commencement date is due in about July this year. “And these three examples are time-wise quite fast for projects,” said Forsyth. Most projects require an in-depth study, he added. “During the feasibility, for example, we would be called on to study port facilities, do route surveys, calculate costs, check crane availability and rigging on site, determine whether any staged consignment authority is possible and meet with the client at regular intervals.” But, although they tend to be very time-consuming, Forsyth feels that the study of the project is one of the most important parts of the matter, and a vital factor in deciding the successful completion of the task.