THREE WAYS BEST-IN-CLASS ORGANISATIONS ACHIEVE OPERATIONAL EXCELLENCE
For operational excellence to become a reality, the transformation must be something that is adopted company- wide and embedded in the company’s culture. Improving performance in the most critical areas depends on many factors, including:
1. ORGANISATIONAL CHANGE MANAGEMENT Once strategy, expectations and pro- cesses have been defined, the best way to accelerate the operational excellence journey is to properly plan for change management within the organisation. Adoption of an operational excellence strategy needs to happen at all levels of the organisation. This means ensuring you have strong leadership across the board that answer to their own set of performance metrics. It means training all employees on new expectations and processes in line with the overall strategy. Lastly it means engaging personnel by giving them incentives while helping them understand how the new programmes and systems put in place benefit them.
2. OPTIMISED PROCESS MANAGEMENT Your business processes drive the rest of the organisation and poor manage- ment leads to reduced efficiencies, errors, and larger issues affecting things like asset integrity and availa- bility. Your business processes should be optimised to support the entire supply chain, and work seamlessly between planning, maintenance and operations. Visibility across the enter- prise is imperative to manage activities and risks. Silos of information need to be eliminated to ensure a seamless flow of information from risk man- agement to financial measures. The best way to optimise your business processes is to have a solution that supports:
n ASSET INTEGRITY MANAGEMENT – the ability to identify and manage risks, execute maintenance plans and maintain quality assurance.
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n OPTIMISED PLANNING & MAINTENANCE EXECUTION – the ability to maxim- ise productivity while ensuring health, safety and compliance.
n INTEGRATED ENTERPRISE RESOURCE PLANNING – the ability to have a seamless flow of data from front- end to back-end, so decisions made take into account all important factors such as assets, people, financials, inventory and more.
n ENTERPRISE-WIDE VISIBILITY – the ability to visualise all of your pro- cesses and operational activities in one dashboard with drill-down capability to manage issues in real time.
3. INNOVATION Organisations that are looking to achieve operational excellence under- stand the power of digitalisation. Embracing new technologies that help an organisation to optimise core effi- ciencies and standards in a new way is an important step toward maximising your operational potential. IoT sen- sors have the ability to detect risks and asset failures to reduce downtime, and safety and environmental hazards. An integrated operations centre can provide a 3D view to diagnose prob- lems. Engineers with smart devices are
able to execute jobs with details and schematics even without connectivity. The best organisations look to
what’s next and what technologies fit not only their business processes now, but their roadmap for the future. Once your core foundation is opti- mised, you can more effectively embrace digital transformation as part of your over-arching operational excellence strategy. According to Ernst and Young,
‘The oil and gas industry, particularly the upstream sector, has been slow to adapt to changing expectations and therefore has failed to reap the benefits available through a systematic focus on operations.’ Implementing an operational excellence strategy at your organisation in conjunction with change management, optimised pro- cess management and digital transfor- mation can lead to an increase in oil production, a reduction in costs, and an overall improvement in HSE met- rics. Now is the time to evaluate where you should invest and priori- tise. Many oil and gas organisations are taking time during this market downturn to reorganise and strategise so they are fundamentally prepared when the market shifts again and unique- ly positioned to come out on top. n
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