Q1 Day 1™

Performance Improvement Solutions

 Secure the Competitiveness of
Your Capital Investments
We help you achieve
The problem
increased cash flow on In today’s competitive environment, new capital
projects should be designed to achieve first-quartile
your project from day performance. Return on Investment (ROI) predicted
at the appropriation phase must be met at project
one of operations. startup. The historical data shows that ROI often
drops from a planning basis of 20–30% to a long-term
industry average of 5%, with many factors contributing
to this loss. Each of these factors must be addressed
to ensure that capital projects meet their goals.

A typical US $100 million, 20% simple ROI investment

loses US $7–15M in cash flow in the first 2 years of
operations.

The solution
Solomon’s Q1 Day 1™ program helps secure and
improve the capital investment ROI and cash
generating ability of your project, ensuring “first-
quartile” performance from day one of operation. The
Q1 Day 1 program offers improvement in the following
areas:

Design
Organization
Operations
Project Execution

Q1 Day 1 serves both grass-roots and revamp projects.

Q1 Day 1 Modules
The following modules can be used individually or collectively at any project stage to suit your specific project needs.
Design
This module ensures the
competitiveness of the design
by benchmarking it to “best-
in-class” performance using
Solomon’s databases. This
module can also include:
• Review of LP model
economics
• Comparison of vendor structure, staffing, and
claims to Solomon data for training needs for the new
similar units
• Technical cold eyes reviews
• Energy optimization
This module can be applied
at any project stage, from
feasibility study through
detailed engineering.
Your Benefits
Application of Solomon’s
Q1 Day 1 process results in
a new or revamped facility
that brings in the expected
ROI. The overall result is
accelerated achievement of
competitive performance,
providing increased cash flow
from your investment.
Organization
Solomon’s data prove that
a new “first-quartile”
facility often achieves much
lower performance due to
organizational biases and
constraints. This module
develops a “best-in-class”
organization by evaluating
specific organization
facility.
This module can be applied
at any project stage, from
Front-End Engineering
Design (FEED) through
construction.
Planned
ROI
Project Execution Process
Project Stages: Design, Detailed Engineering, Procurement, and Construction
Organization Training and Development
Operations
The “built-in”
competitiveness of your
investment is realized
during startup and initial
operations. Startup delays
and improper startup
procedures permanently
impact the project ROI when
design performance is not
achieved or if competitive
targets are not set. This
module helps you achieve
competitive performance
quickly and generates
additional cash flow sooner.
This module can be applied
during construction through
initial operations.
Start-up, First-Year Operations
Time
Project Execution Process
Each decision made
during project execution,
regardless of whether it is
major or minor, impacts
your ROI. This module
helps you, as owner/
operator, better manage
cost, schedule, and capital
wastage during the project
execution process. Our
best practices are applied
to minimize scope growth,
project rework, and other
factors that negatively
impact ROI.
Realized ROI
with Q1 Day 1
30–50% of
Planned
ROI Loss
Realized ROI
without Q1 Day 1
About Solomon Associates Having provided benchmarking and performance improvement consulting services
since 1980, Solomon has become “the” Performance Improvement Company for the
energy industry. We help clients realize the full technical and financial potential of
their existing assets and new capital projects.

As an experienced company that values confidentiality and long-term relationships,

we strive to develop and hone the most creative and effective strategies to
maximize client performance through our Comparative Performance Analysis™
(CPA™) studies and consulting services. Our team of experts has on average 25 years
of industry expertise in numerous fields. At Solomon, our goal is to become your
trusted advisor and improve each operation we analyze.

Today, companies in more than 70 countries rely on our benchmarking, performance

improvement programs, and unique methodologies to keep their businesses
competitive.

Contact
Steven L. McCoskey
Service Line Manager
Phone: +1.972.739.1829
Fax: +1.972.726.9999
Email: Steve.McCoskey@SolomonOnline.com

One Lincoln Centre

5400 LBJ Freeway, Suite 1400
Dallas, TX 75240
www.SolomonOnline.com

© 2013 HSB Solomon Associates LLC, a wholly owned subsidiary of HSB Group, Inc.