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Driving operational performance in oil and gas

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W<br />

K e y o p e rat i o n al e x ce l l e n ce co m<br />

p o n e n t s<br />

H e a l t h , s a f e t y , e n v i r o n m e n t a n d q u a l i t y :<br />

T he f o u n d at i o n o f o p e rat i o n al e x ce l l e n ce , i n<br />

which the <strong>operational</strong> risks are understood<br />

<strong>and</strong> ranked <strong>and</strong> everyone engages <strong>in</strong> a<br />

re l e n t l e s s p u rs u i t t o e l i m i n at e i n j u ri e s an d<br />

i n ci d e n t s f o r e m p l o y e e s , co n t ract o rs an d<br />

t he e n v i ro n m e n t , i n cl u d i n g a z e ro - d e f e ct<br />

approach to product quality.<br />

I n t e g r a t e d p l aL no nn g i- nt eg rm : b u s i n e s s<br />

s t rat e g i e s are e f f e ct i v e l y t ran s l at e d i n t o<br />

s ho rt - t e rm an d m e d i u m - t e rm o p e rat i n g p l an s<br />

<strong>and</strong> supported by appropriate frameworks<br />

an d s p o n s o rs hi p .<br />

A s s e t r e l i a b i l i t y a n d A ti on tt al e g r i t y :<br />

re l i ab i l i t y o rg an i z at i o n i s e s t ab l i s he d<br />

that identifies potential asset failures for<br />

elim<strong>in</strong>ation, tracks <strong>and</strong> <strong>in</strong>vestigates failures<br />

f o r i m p ro v e m e n t , an d f o cu s e s o n t he l i f e cy cl e<br />

o f as s e t s f ro m d e s i g n t o d e co m m i s s i o n i n g .<br />

Cost efficiency: C o s t i m p ro v e m e n t s are<br />

s t rat e g i cal l y ad d re s s e d , re g ard l e s s o f o i l<br />

prices or profit marg<strong>in</strong>, look<strong>in</strong>g far beyond<br />

s u rf ace co s t s , s u ch as p e rs o n n e l , an d i n t o t he<br />

hidden costs of <strong>in</strong>efficiency <strong>and</strong> rework. Tools<br />

an d t e chn o l o g i e s are i n p l ace t hat f o cu s o n<br />

i n cre as e d o i l p ro d u ct i o n o u t p u t .<br />

O p e r a t i n g m T ohi ds e o l u:<br />

t l i n e s ho w p ro ce s s e s ,<br />

p e o p l e an d s y s t e m s i n t e ract t o s u p p o rt t he<br />

b u s i n e s s an d ho w t he y are arran g e d an d<br />

prioritized to achieve optimum efficiency.<br />

S u p p l i e r a n d c o n tC ro an tc ract t o ro s rs :<br />

an d s u p p l i e rs are i n t e g rat e d i n t o t he o v e ral l<br />

o p e rat i o n s p ro g ram an d co n t ri b u t e p o s i t i v e l y<br />

t o b u s i n e s s p e rf o rm an ce . A g re e m e n t s are<br />

s t ru ct u re d s o t hat o b j e ct i v e s an d o v e rs i g ht<br />

m e chan i s m s are cl e ar an d ap p ro p ri at e .<br />

Vital components for success<br />

e i i n p l , i i o n d d e e l o p m e n p l i n<br />

o i i o n o p e e g e d i n n i e d p l f o e p o i i o n , d n i n g e g i i n p l<br />

l i i i e d o n e n i e n l d i n m o<br />

e f f e i e o n f o i o n d e e<br />

T o p e i n g o i i o n<br />

m e l e l .<br />

e l i d o n m e d d o , d i<br />

• O p e r a t i o n s / b u s i n e s s m a n a g e m e n t s y s t e m • ( O rM g S a ) n : i z a t i o n a l d e v eAn l o established p m e n t : pool of skill<br />

Guidel<strong>in</strong>es <strong>and</strong> necessary processes to establish how<br />

s t s s ace w t h s u cce s s an v t an s<br />

an rg an z at rat s are arran a ce t ral z ace r ach s t an a co t ract s t rat y s ace<br />

framework <strong>and</strong> adherence is strictly enforced, ensur<strong>in</strong>g<br />

to establish the organization as a preferred place to work<br />

al co re act v t s are co s s t t y an t he s t <strong>and</strong> creates a competitive advantage <strong>in</strong> the marketplace.<br />

ct v w ay t s u s t ai t he t ran s rm at an achi v<br />

• P e r f o r m a n c e m a n a g he e m e nrat t : rg an z at<br />

as u rab re s u t s<br />

s t ab s he s an w s t ri cs an as hb ard s an v s u al<br />

• T e c h n o l o g i c a l A d v a n c i et h m n e w n tts e : chn o l o g i cal<br />

ad v an ce m e n t s , w e hav e t he p o t e n t i al t o i m p ro v e<br />

b u s i n e s s f u n ct i o n s acro s s t he i n d u s t ry . B i g d at a an d<br />

analytics, digital <strong>oil</strong>field, <strong>in</strong>dustrial Internet of th<strong>in</strong>gs <strong>and</strong><br />

s e cu re cl o u d co m p u t i n g — t he re are a v ari e t y o f d ri v e rs<br />

emerg<strong>in</strong>g today. But, <strong>oil</strong> <strong>and</strong> <strong>gas</strong> companies must make<br />

the leap from the digital <strong>oil</strong>field of the past <strong>and</strong> adopt<br />

p ract i ce s t o p o s i t i o n t he m s e l v e s f o r t he f u t u re . T hi s<br />

i n cl u d e s ad d re s s i n g t he e n t i re v al u e chai n , f o cu s i n g o n<br />

i n n o v at i o n an d au t o m at i o n . T e chn o l o g y has cau g ht u p<br />

with the <strong>in</strong>dustry’s needs — but the <strong>in</strong>dustry still lags<br />

b e hi n d i n l e v e rag i n g t he s e ad v an ce m e n t s .<br />

p e rf o rm an ce m an ag e m e n t i s u t i l i z e d t o d ri v e d ay - t o - d ay<br />

p e rf o rm an ce o p t i m i z at i o n .<br />

• C o n t i n u o u s i m p r o A v eco m n se tn an t : t e f f o rt i s m ad e t o<br />

improve process efficiencies, reduce “waste” <strong>and</strong> improve<br />

the way work is completed.<br />

F o r co m p l e t e an d s u s t ai n ab l e p e rf o rm an ce e x ce l l e n ce , o rg an i z at i o n s m u s t e s t ab l i s h t he ap p ro p ri at e O E cu l t u<br />

implement the key OE components, <strong>and</strong> strive for robust execution <strong>and</strong> cont<strong>in</strong>uous program enhancement.<br />

<strong>Driv<strong>in</strong>g</strong> <strong>operational</strong> <strong>performance</strong> <strong>in</strong> <strong>oil</strong> <strong>and</strong> <strong>gas</strong> |<br />

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