Participation in the Liquid Terminal Study allows you to accurately measure current asset performance, providing a sound and consistent basis for managing continuous process improvement. The end result is a foundation for the financial and operational optimization of your terminal facilities.
Why Choose Solomon's Liquid Terminal Study?
For storage terminals, competitive comparisons have traditionally been expressed using US dollars per barrel (USD/bbl) delivered, which typically gives large-throughput land terminals the advantage. By using divisors like Equivalent Terminal Complexity (ETC™), storage capacity, and throughput, Solomon normalizes performance, allowing more accurate comparisons to be made regardless of the size or complexity of the terminals involved.
We understand that every terminal is unique, with different geographic and operating characteristics. That’s why we ensure that each facility participating in the study is reviewed from an in-depth perspective. Data normalization ensures that the results provide a view of your true competitive position.
How It Works
After we collect your data, it is separated into categories relevant to the operational and financial performance of terminal facilities. We then use ETC and other divisors to measure performance while normalizing away the advantages of:
- Pipeline terminals over marine terminals
- High-storage-capacity facilities over smaller ones
- Light product terminals over heavier product and chemical terminals
We compare your results with those of peers that exhibit physical or operational similarities in such areas as storage capacity, transportation mode, or geographical location. We then provide you with a printed report with detailed information on your company’s rankings and performance ranges for primary performance indicators. This report contains an executive summary, a section of general industry observations, a review of the study methodology, and selected study tables.
In addition, four types of Microsoft® Excel® files are provided electronically to facilitate further analytical study. Customized for each business unit, these files include key performance indicator ranking tables, gap analysis tables, and calculation details for each facility.
Finally, Solomon consultants conduct executive presentations at each client’s office, explaining the methodology and focusing on performance issues relevant to the individual client.
Participants in Solomon’s Liquid Terminal Study include companies specializing in the following:
- Refined products
- Liquefied petroleum gas (LPG)
- Crude oil terminals
- Heated and refrigerated products
- Pipeline breakout storage facilities
- Pipeline origin and endpoint terminals
- Terminals with all combinations of pipeline, truck, rail, barge, and marine receipt and delivery facilities
The overarching goal of the study is to help you identify the areas you need to focus on when attempting to improve operational performance. Our gap analysis provides the starting point — giving you significant insight into performance improvement opportunities in the areas of both cost and personnel.
Participating in Solomon’s Liquid Terminal Study can help you evaluate the status of your facility across a range of performance factors. The Liquid Terminal Study can help your company:
- Determine competitive positions using standard as well as custom industry peer groups
- Assess specific performance shortfalls relative to customized peer groups
- Formulate expense/margin optimization plans to eliminate shortfalls
- Establish performance targets and measure progress
- Demonstrate performance/capability to joint-venture partners, financial institutions, and security analysts
The Solomon Liquid Terminal Study also offers:
- Reliable metrics for analyzing performance
- Rigorous data validation
- Gap analysis comparing your data to that of various peer groups as well as top performers
- Comparison to systems with diverse operating configurations, system sizes, terrains, power ratings, products, and complexities
- Performance comparisons at the terminal level
- Comparisons across geographic regions
- Absolute client confidentiality