Opportunity of a lifetime

Once upon a time, there was a company contracted to provide two highly advanced technological pieces of kit. For the rest of this piece they will be known as PKHAT1 and PKHAT2. Included within this contract, was the provision of Long Lead Items (LLI). In the unlikely event of a catastrophic failure before commissioning of either PKHAT1 or PKHAT2, a third PKHAT could be built within 18 months.

The company was prudent and as part of risk mitigation against catastrophic failure, they went out to the insurance market to insure both PKHAT1 and PKHAT2. Having received the quotation for insurance, it became
evident that the cost was high, in fact so high that some bright spark laughed and said; “For that money, we might as well build a third!” and so it was that the seed of an idea was sown. The customer was consulted and it was agreed that the money which would have been used for the insurance was to be used to build a third PKHAT and to buy another set of LLI. All three PKHATs are now commissioned and in use for much the same price as 2!

And so the moral of the story is two-fold is things said in jest are not always as stupid as they sound; and that within all risk there is always opportunity.

Lyn

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