THE EXPERIENCE OF OUTSOURCING WHEN INSULATING A LIQUEFIED NATURAL GAS INSTALLATION

Abstract

The Kriogenmash Company manufactures and delivers to China installations for producing liquefied natural gas (LNG).  The low-temperature equipment and pipelines of LNG-installations should be thermal insulated and then covered with sheet aluminum. As a thermal insulation material swollen synthetic rubber Armaflex is applied. The Kriogenmash Company has decided to carry out outsourcing in China by a specialized company. The economic, technological and organizational aspects caused by the transfer of outsourcing to the Chinese company are reported. The experience of carrying out outsourcing in China has shown that financial expenses for purchasing materials were reduced by 40 % and the cost of works by five times. The attention is drawn to the necessity of taking into account additional expenses for exercising control over carried out works and documentation updating.