Remaining Available Resource

Understanding Remaining Available Resources in Oil & Gas: A Breakdown

In the fast-paced and complex world of Oil & Gas, efficient resource management is crucial for project success. One key concept in this realm is the Remaining Available Resource (RAR), which plays a critical role in project planning, scheduling, and cost control.

What is Remaining Available Resource (RAR)?

RAR refers to the amount of a specific resource that is still available for allocation after considering all existing commitments. It's a dynamic measure that constantly updates as projects progress and resource requirements change.

Key Components of RAR:

• Resource Availability Pool: This represents the total capacity of a resource type (e.g., drilling rigs, engineers, specialized equipment) available for allocation.
• Level Schedule Resource Requirements: This refers to the demand for resources as defined by the project schedule. It outlines the specific resources needed for each task at different stages of the project.

The Difference Matters:

The difference between the resource availability pool and the level schedule resource requirements determines the RAR.

• Excess Resources: When the resource availability pool exceeds the level schedule resource requirements, there is available surplus, allowing for flexibility in project planning and potential cost savings.
• Resource Constraints: If the level schedule resource requirements exceed the availability pool, it indicates resource scarcity, posing potential challenges for project timeline adherence and budget control.

Calculating RAR:

RAR is computed through a resource allocation process that analyzes the current resource commitments, the upcoming project demands, and the availability of resources. This process involves:

1. Identifying available resources: Gathering data on the type, quantity, and location of available resources.
2. Analyzing project requirements: Determining the specific resource types and quantities needed for each project activity.
3. Allocating resources: Matching available resources to project requirements based on priority, availability, and cost considerations.
4. Monitoring and updating: Continuously tracking resource utilization, adjusting resource allocations as needed, and updating the RAR accordingly.

Why RAR is Crucial for Oil & Gas Projects:

• Effective Planning: Understanding RAR provides a clear picture of available resources and potential limitations, enabling efficient project planning and scheduling.
• Cost Control: By carefully allocating resources and minimizing resource shortages, organizations can optimize project budgets and avoid costly delays.
• Risk Management: Identifying potential resource constraints early on allows for proactive measures to mitigate risks, such as securing alternative resources or adjusting project timelines.
• Improved Decision Making: Accurate RAR data enables informed decisions regarding resource allocation, project prioritization, and resource acquisition.

In Conclusion:

Remaining Available Resource is a critical metric for managing resources effectively in the Oil & Gas industry. By understanding the concept and its role in resource allocation, project managers can navigate project complexities, optimize project performance, and achieve desired outcomes.