Gulf Turbine ServicesExec◂ Apps

S.R. Bertron — Forced Outage Support

GTS-2022-021CLOSED 9/2/2022
Edit
Added Jul 8, 2026Completed Apr 12, 2022
Company
Gulf Turbine Services
Client
Coastal Utilities
Source
MANUAL
Contract Type
T AND M
Market Segment
GT_OUTAGE
Public/Private
PRIVATE
Project Manager
Dana Wright
Estimator
Susan Vance
Superintendent
Joe Tibbetts
Location
Deer Park, TX

Margin Analysis

Original Margin
22.0%
$215,600
Revised Margin
22.6%
$275,600
Final Margin
21.0%
$256,712
Margin Fade (Bid)
-1.0%
CO Impact
$60,000
Margin Fade (Revised)
-1.5%

Where They Land

Final Margin+21.0%
Break Even
-0.9%+24.4%
Gain / Fade-1.5%
As Predicted
-7.9%+2.0%
This project
Other projects
Zero reference

Revenue & Cost Summary

StageRevenueCostProfitMargin
Original$980,000$764,400$215,60022.0%
Revised$1,220,000$944,400$275,60022.6%
Final$1,220,000$963,288$256,71221.0%

Cost Category Variance

CategoryOriginalRevisedFinalVariance $Over/Under %
Labor$293,887$363,363$377,898+$14,535+4.0%
Material$204,293$243,221$240,789$-2,432-1.0%
Subcontractor$224,347$218,004$221,304+$3,300+1.5%
Equipment$66,975$77,060$78,909+$1,849+2.4%
Other$22,932$42,752$44,388+$1,636+3.8%

Labor Productivity

Original Rate
$59/hr
Revised Rate
$66/hr
Final Rate
$60/hr
Hours Variance
1,317
Rate Variance $
$6,306
Volume Variance $
$77,705

Lessons Learned

What helped

24-hour mobilization on a forced outage printed premium margin — being the crew that can respond is the moat.

Assumptions / what to do differently

Keep a standby crew costed into the rate so forced-outage premium work stays profitable.

FORCED OUTAGESTANDBY CREWMARGIN