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EPC Vs EPCM

The document compares EPC (Engineering, Procurement, & Construction) and EPCM (Engineering, Procurement, and Construction Management) project delivery models. EPC contractors manage the entire project and assume most risks, while EPCM contractors provide management and consultancy, allowing clients greater control but also more responsibility. Each model has its advantages and disadvantages related to flexibility, cost, planning, and risk management.

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Praval Goel
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44 views6 pages

EPC Vs EPCM

The document compares EPC (Engineering, Procurement, & Construction) and EPCM (Engineering, Procurement, and Construction Management) project delivery models. EPC contractors manage the entire project and assume most risks, while EPCM contractors provide management and consultancy, allowing clients greater control but also more responsibility. Each model has its advantages and disadvantages related to flexibility, cost, planning, and risk management.

Uploaded by

Praval Goel
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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EPC V/s EPCM

EPC (Engineering, Procurement, & Construction)

In this model, the EPC contractor takes the full responsibility for design,
procurement, construction, and eventually commission of the project.

The contracts usually have performance and quality standards the


completed facility must meet.

This is a type of Turnkey project. However, turnkey projects have some


differences compared to EPC
EPCM (Engineering, Procurement, and
Construction Management)
The EPCM contractor is responsible for design, procurement, and overall
construction management of the project.

The EPCM contractor is not involved in the construction but provide


consultancy to the contractors who provide the construction services.

The client has greater control in the construction process, but also need to
dedicate their time for oversight and assume overall responsibility.
Contract Type EPC EPCM

Scope Responsible for entire project delivery, Responsible for project management and
including design, procurement, and coordination, while the owner retains control over
construction. design and procurement.
Design Responsible for design and Owner retains control over design & engineering,
engineering. contractor provides input & manages the design
process.
Procurement Responsible for procurement of all Owner retains control over procurement, with
equipment & materials. contractor providing input & assistance.
Construction Responsible for construction and Responsible for construction management &
installation. coordination, while the owner may handle some
construction work themselves or hire separate
contractors.
Cost Control Responsible for cost control and Owner retains cost control, with the contractor
assumes the risk of cost overruns. providing input and assistance.
Schedule Responsible for meeting the project Responsible for managing the project schedule and
schedule. coordinating with the owner.
Risks Contractor assumes most of the risks Owner retains control over the project and assumes
associated with the project. more risks but has opportunities for cost savings
and flexibility.
EPC EPCM
Advantages: Advantages:
1. Project Execution with less effort. 1. Project are more flexible.
2. Complete projects with less responsibility. 2. Making alterations to plans is possible.
3. Reap the advantages of
recommendations from engineers.

Disadvantages: Disadvantages:
3. Projects need precise planning with EPC. 4. Complex decisions must be made.
4. Higher expenses with EPC 5. Risk communication errors.
THANK YOU

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