Wärtsilä has superior machinery, but we also have trained professionals to install and deliver it.

Ensuring project success

Wärtsilä is famous for its power plants, but its lesser-known project services also play a key role in the business. Productisation of Wärtsilä’s Project Services, by Energy Solutions, promotes the visibility of these important resources.

Text: Michael Levitin Photo: Wärtsilä

Although Wärtsilä is traditionally known for its technology and solutions, the company has been selling project services for decades. Wärtsilä’s Energy Solutions has over 25 years of project experience in about 100 countries, and the scope of supply ranges from basic equipment delivery to full EPC (Engineering, Procurement, Construction). “We have completed over 500 EPC projects and delivered over 4700 power plants. Our track record is good and shows clearly our experience in the business,” says Janne Tarsa, General Manager, PM Development. Wärtsilä Energy Solutions recently implemented a productising project to highlight the important role of project services and better explain the value of these services to customers. As a result, there is a newly defined set of service products. 

A sequence of customer benefits

Project services and project management are a linchpin in Energy Solutions’ success. To customers, they offer more value: predictability, speed, scope flexibility and competitive delivery times. Experienced personnel and project management know-how are essential elements in predictability – in other words ensuring that a project is delivered on time, safely and in compliance with regulations. 

Wärtsilä’s professional project management is committed not only to Wärtsilä’s own best practices but also to Project Management Institute (PMI) certificates and International Standards Organization (ISO) best practices for project work. “For customers, it’s important that the project runs smoothly and properly. Our professionals are highly experienced and trained for project work. We strongly encourage our employees to have these PMI certificates as we value this highly,” explains Tarsa.

Predictable projects reduce customer risks and even assist customers in obtaining financing. Moreover, competitive delivery times contribute to earlier access to the market. “For example, when a customer wants to speed up the delivery time of a power plant, Wärtsilä has a concept for fast-track projects. This means that project work can start with a preliminary agreement with the customer before the actual contract has been signed, and after that, multiple activities run parallel to shorten project duration,” explains Tarsa. Predefined scopes help customers in decision-making, and several scope package options ensure the optimal scope of supply for each customer. 

Why productisation?

Wärtsilä wanted to better show the value of project services for customers. A typical EPC project consists of 50% equipment and 50% project services. The newly defined services help customers understand the role of each service component.

“It is important to recognise the role of the services. Wärtsilä has superior machinery, but we also have trained professionals to install and deliver it. The success of the whole project is in the hands of these services, which are the backbone of a project,” says Tarsa.

The newly defined services include project management, engineering, procurement, logistics, installation and construction management, site adviser and commissioning services. All service areas are interlinked with one another and supported by modern information management tools.

The defined project services make it possible to explain to customers what exactly is included in the project services. It is easier to fulfil customer expectations when both the supplier and the customer have a clear picture of the project.

Widening to other business lines

The productisation project already has helped in sales offerings, pricing and in clarifying responsibilities between suppliers and customers. Currently, sales personnel are being trained further, and by the end of the year, their portion of the training will be complete. “We have collected feedback, and it confirms that working with defined services has eased sales work. This is just the beginning because we are widening the productisation of project services for other business lines as well,” Tarsa explains.

The defined project services are designed for traditional engine power plant projects. The growing business in liquefied natural gas (LNG) and renewables also requires defined project services. “In a solar power plant, or in a hybrid (solar and engine power) plant, there are slightly different kinds of challenges, compared to an engine power plant. We have already started the productisation process for solar so that Wärtsilä can aim to provide even better service in the business,” sums up Tarsa.

Leave a comment

Load more comments