Digital Tool Development for CAPEX Estimation Process

Client:

A subsidiary of a global oil & gas company managing large refinery and upstream assets.

Challenge:

The client’s process for preparing CAPEX estimates for annual maintenance and turnaround projects was highly manual and time-consuming.Each estimate required detailed cost modeling and validation, taking from 3 to 20 weeks per project depending on complexity.With increasing demand for faster budget preparation, the existing approach limited both accuracy and throughput of the Investment department.

Approach:

• Performed end-to-end process mapping, identifying 4–5 transformation stages and data sources involved in cost estimation.

• Designed a custom digital tool architecture covering data integration, workflow automation, and approval logic.

• Defined functional specifications and user stories for development, ensuring alignment with the client’s IT standards.

• Coordinated pilot testing and refinement of the prototype before full-scale implementation.

Impact:

• Preparation time for CAPEX estimates reduced by 3–5x, depending on project complexity.

• Productivity of the estimation team significantly increased, enabling faster annual CAPEX program compilation.

• Established a scalable digital framework for automating other financial planning processes.