Sasol Improves Estimating Accuracy and Efficiency with Cleopatra

As one of the world’s leading energy and chemical companies, Sasol faced challenges in cost estimating that are commonly found in global organizations. Sasol’s estimating group generated approximately 50 to 60 estimates a month. Managing this many estimates while guaranteeing quality and effectiveness in a convenient, structured manner was a daunting task.

To overcome these and other challenges, Sasol initiated a careful selection process to identify potential alternatives to their in-house tools. Specifically, there was a need for efficient and accurate cost estimating, as well as quick benchmarking and bid evaluations. Being able to quickly make high-level estimates based on historical data is crucial and will enable Sasol to challenge its contractors. During the selection process, Cleopatra Enterprise emerged as the tool that could offer the necessary improvements.

In order to determine the key requirements for a cost estimating solution at Sasol, a multi-disciplinary Needs Analysis workshop was conducted with Sasol’s conceptual estimators, discipline engineers, process engineers, and board and project controls members. This resulted in the identification of several improvements that could be made in the cost estimating and project analysis processes.

Following this Needs Analysis workshop, Sasol concluded that Cleopatra Enterprise would be able to effectively meet all requirements, offering not just the right cost estimating tool for the job but also the insights of its knowledgeable consultants.

Cleopatra Enterprise’s expertise was leveraged during the implementation process to create a tailored solution for Sasol. This included the following activities:

• Benchmarking of Sasol’s estimating data, factor models, and maintenance contracts against the DACE norms and international estimating standards
• Comprehensive knowledgebases were developed together with Sasol’s data team for definitive estimates (unit rates), semi-definitive estimates (assemblies), and order of magnitude estimates (capacity factoring, parametric models)
• Setup of factor tables for productivity and location factors to allow for accurate estimating in varying locations and circumstances
• Custom-made dashboard reporting for the board, which gives instant insight and interfaces with IPA, so the numbers can be directly fed into the IPA evaluation sheet
• Setup of additional breakdown structures for more detailed calculations and comparisons to support bid evaluations and benchmarks and to provide input for cost control and planning

Cleopatra Enterprise assigned a core implementation team that performed the bulk of the implementation activities on-site at Sasol’s offices in South Africa. This ensured more direct communication and collaboration with Sasol’s estimating and project management teams.

Cleopatra’s Full-Scale Deployment at Sasol

Following the first implementation phase and training of the users in Cleopatra Enterprise, the deployment was soon finalized. Cleopatra Enterprise is now fully operational and integrated into Sasol’s projects.

Since the implementation of Cleopatra Enterprise, Sasol has experienced dramatic time savings. In addition, the consistency and quality of the estimates have significantly improved due to the standardization of reporting structures and the use of templates. With the new work process in place, the required man-hours per estimate were significantly reduced, so more attention can be invested into the feedback loop and analysis of project results.

Looking back at the implementation of Cleopatra Enterprise, Sasol is especially pleased with the continuous support that was provided throughout the process. Cost and implementation engineers were always directly available to provide accurate guidance and support, both on-site and from Cleopatra Enterprise’s home office.

With the implementation completed and the main objectives achieved, the roadmap for the near future is now being refined. Future focus areas include, for example, the continued development of additional cost models derived from project actuals. The integration of cost management and project controls will offer many potential benefits in the future, with the Cleopatra Enterprise Cost Management module providing ample opportunity to further integrate the cost estimating and project controls functionalities into one tool.