W5_Eman_Using Decision Making to compare which better hiring engineers or train the exisiting engineers.




1.     Problem Definition

One of the clauses in our contract with the Power Plant (Generators), is to demonstrate black start test, which is running the Gas Turbine on emergency diesel generator (EDG). Some of the generators hires engineers from outside Oman only to do this kind of test for short term agreement. This study will be on hiring engineers or training the existing engineers.



2.     Identify the Feasible Alternative

These are the 2 alternatives:

1-    Hires engineers from outside Oman

2-    Training the existing engineers



3.     Development of the Outcome for Alternative



I am going to apply Multi Attribute Decision Making (MADM) technique to see which one is better hiring engineers from outside Oman or training the existing engineers.


Figure1: Decision Making Process

4.     Selection Criteria

The following criteria will be considered:

1-    Salary
2-    Time to bring Engineers
3-    Cost of hotel
4-    Cost of food
5-    Duration
6-    Experience
7-    Quality


Hires engineers from outside Oman
Training the existing engineers

Salary
1500 RO per person
800 RO per person
Time to bring Engineers
One month
They are in the Plant
Cost of hotel
90 RO per night
Added in his ⁄ her salary
Cost of food
Lunch ⁄ Diner (20 RO) per day
Added in his ⁄ her salary
Experience
High
Low
Duration
Three days
Term of the contract
Quality
High
Medium

Table1: Criteria Analysis Comparison

5.     Analysis and Comparison of the Alternative
I will use Grid Analysis, it is a useful technique for making a decision and most effective when you have a number of good alternatives, the comparison of the above criteria are ranked (2=best &/or Yes & 1=worst &/or No) as shown below:

Hires engineers from outside Oman
Training the existing engineers

Salary
1
2
Time to bring Engineers
1
2
Cost of hotel
1
2
Cost of food
1
2
Experience
2
1
Duration
1
2
Quality
2
1
Total
9
12

Table 2: Weight Assessment

6.     Selection of the Preferred Alternative
The result from the analysis above show us that, training the existing engineers is preferred. And it is true because if the operation employees from the plant trained and get knowledge about this kind of test which happen annually, they add value to the company and training them will be one time investment. Training can be by bringing expert.

7.      Performance Monitoring and the Post Evaluation of Result
It is recommended to maintain the knowledge of the operation employees and update them with technical issues.

References


2.     Multiple Attribute Decision Making Based on Cross-Evaluation with Uncertain Decision Parameters https://www.hindawi.com/journals/mpe/2016/4313247/

3.     Grid Analysis. (n.d.). Retrieved from http://www.mbatools.co.uk/Toolbox/DecisionMaking/gridanalysis.htm



Comments

  1. Good job Eman but my challenge to you is did you explore ALL the "Feasible Alternatives"? What about OUTSOURCING the entire O&M to a local contractor?

    The biggest risk (and the major weakness) of using the MADM process is if you only look at SOME of the "feasible alternatives" rather than ALL of them, you risk introducing significant bias into your findings or decision.

    Other than that, great job using a very useful and powerful tool.

    BR,
    Dr. PDG, Jakarta

    ReplyDelete

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