A UK-based client was experiencing significant losses from recurring operational problems. They wished to resolve these repeating issues to eliminate avoidable costs. Coaches from The REACH Group worked with onsite crews to capture instances when problems occurred and built a Lesson Learned (LL) database to share the learnings with other shifts and other crews. When a LL was validated and closed out by making process or policy changes, the cost-saving value of each resolved issue was calculated. Annualized savings now exceed £3.35 million. In total, 477 lessons were generated, including 54 safety lessons and were incorporated in over 135 program changes.
Costs were too high in comparison with industry competitors for this US-based natural resources company. Company leaders felt that productivity was being lost due to lack of planning and coordination. Coaches from The REACH Group assessed the around-the-clock operations and determined there were several categories of significant non-productive time (Lost Time) negatively impacting financial results. REACH coaches worked with client teams to implement structured project, pre-phase planning meetings and after-action reviews. Client teams were able to apply business process tools to analyze and effectively eliminate causes for 73% of Lost Time in only two months. The project was recognized as a great success as time to completion was 15.6% under budget and cost was 16.0% ($870,000) under budget.
An energy industry client with remote offshore operations maintained an administrative office onshore. Corporate management had just mandated a company wide cost reduction program. The onshore and offshore teams felt that greater involvement by the crews on the platforms could lead to more ideas for improvements. Coaches from The REACH Group worked with the offshore crews and onshore planners by facilitating a transition of accountability for operating budgets from the office to the platform.
As managers and crews became more responsible for total spending the number of ideas for improvement and cost savings grew. Many issues were caused months before and were beyond their control. However by incorporating changes during the budget planning phase many long-standing issues were solved.
As those closer to the action were given more accountability the total spend for the same output declined by more than 20%. The savings fell directly to the bottom-line.
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