Mr. aref the “100 million dollars” cultural transformation initiative

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The “100 million dollars” Cultural Transformation Initiative

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Transcript of Mr. aref the “100 million dollars” cultural transformation initiative

  • 1. The 100 million dollars Cultural TransformationInitiative

2. Our Vision Continuous Improvement Model Successes and contributing factors 3. The Vision Lean Six Sigma is how we work. To Achieve world class status in operational excellence, PIC rolled out the Lean Six Sigma initiative in 2007. Intensive change management efforts were needed to make process improvement part of our culture 4. PICs Continuous Improvementmodel Company StrategyManagement Benchmarking Systems CustomersOperate at EmployeesNew Standard KPIs Etc.. Execute Train CharterSelect classify Identify opportunity Operate at "AS-IS" Standard 5. Successes 295 successful projects delivering over 100 million dollarstotal financial savings since 2007. 75 internally certified Green and Black Belts. 7 Kaizen Events and 2 major 5S projects conducted successfully in PIC. Cumulative FinancialSavings 6. Projects Examples 7. Reducing FormaldehydeConsumption in Urea PlantsOpportunity: Formaldehyde content is Urea Product was high at 0.49 wt% and it could bereduced to 0.42 wt% with significant savings in Formaldehyde cost 0.6 Before AfterMeanFormaldehyde in Urea Product (wt%)0.49 wt% 0.5 Total Annual Mean SavingsSigma Level 0.42 wt% Realized0.4 3.15US$ 1.138Million 0 2040 6080 100 120 140 160 180200220240260280300320340360380 Sample 400 8. Ammonia Plant Synthesis Gas CompressorPerformance Improvement Opportunity: From Feb. 2007 to February 2009 Ammonia production loss was 25,570 MTON due to equipment breakdown of Synthesis Gas compressor.Reduced number ofAfter February From FebSynthesis Gas Production Loss2007 2009 Compressor down days totoin 2 Year = 25325 MT AmmoniaBefore Jan JuneBaseline 1055 MT/Month2009 2010 Number of events (down days)31 4Number of expected up days608313 Number of Actual up days 577309 (Number of down days / Number of Total Project Savings expected up days ) x 1005.0986 1.277$3,571,658 Six Sigma3.14 3.67 Project Leader: Waleed Aljehaim 9. Improve the Reliability of Ammonia IVHPC Pump Motor Bearing Temperature OpportunityImplementation of 79% of the time the Motor Bearing Temperaturethe new Procedure(PM) Is Above the Target 92C Average 105BEFORE BeforeAFTER Baseline Defect 10097C79%97 CI/B Temp. C 95 9088 CTarget 85 92C80 ImprovedAfterAverage Defect88C3.5 %GBPL: Ahmad Al-Jasem 10. GBPL Reyadh Al Baqshi Opportunity DefectObjective Abdullatef Al DuhaimTeam Members Mohammed Javed Feroz KhanThe first contact Any monthReduce Defect by resolution rate by showing the 100%Master Black Belt Aref Alawadi the Help Desk staffaverage first averages at 33.7 % contact resolutionProcess Owner & Local Champion Ibrahim Al Musaiterfor the past year. rate lower than50%Baseline Performance Improved & Sustained Performance 11. Improve Paraxylene Sales RevenueBaseline Performance Objective : Defect: The goal of this project is toAny monthly avg. PICincrease sales price ofprice that is less than the Paraxylene to be abovebenchmark market pricebenchmark market price for PX will be consideredevery month. a defect. 12. Transformation From fire fighting to fire prevention Structured and systematic approach to problemsolving Continuous Measurement of outputs and criticalinputs Insisting on Improvements that can be: -- Validated -- Sustained -- Leveraged 13. Success Factors Management commitment Targets & Rewards Project selection (Pipeline) Leveraging Success 14. Goals & Targets First Generation KPIs: Number of projects Financial Savings Certified Green and black Belts Second Generation KPIs: Strategic alignment Engagement Kaizen Events Financial Savings 15. Projects Pipeline Work ProcessBrainstorming ClassificationScopingRanking Fire FightingProject Charters 16. Leveraging our success 17. Certification 18. Last Word 19. The Evolution of QualityLean Six SigmaTQMQualityQuality AssuranceControl19001930 19601990 2020Walter Shewhart W. Edwards Deming Bob Smith 20. Whats Next??The Quality of all Processes and Systems is only as good as the people designing and operating These Systems and Processes The Quality of Human Resources 21. Thanks ITS TIME TO MOVE FORWARD !