Operations Turnaround Leadership and Integrated Turnaround Planning

32
Produced by: Operations Turnaround Leadership and Integrated Turnaround Planning A. Bobby Singh, President Project Assurance, Houston, Texas

description

Operations Turnaround Leadership and Integrated Turnaround Planning. A. Bobby Singh , President Project Assurance, Houston, Texas. Presentation Focus. Importance of Operations Turnaround Leadership Recent Case Studies Common Operations Pitfalls Work Scope Development and Management - PowerPoint PPT Presentation

Transcript of Operations Turnaround Leadership and Integrated Turnaround Planning

Page 1: Operations Turnaround Leadership and Integrated Turnaround Planning

Produced by:

Operations Turnaround Leadership andIntegrated Turnaround Planning

A. Bobby Singh, President

Project Assurance, Houston, Texas

Page 2: Operations Turnaround Leadership and Integrated Turnaround Planning

Presentation FocusPresentation Focus

Importance of Operations Turnaround LeadershipImportance of Operations Turnaround Leadership

Recent Case StudiesRecent Case Studies

Common Operations PitfallsCommon Operations Pitfalls

Work Scope Development and ManagementWork Scope Development and Management

Integrated Turnaround PlansIntegrated Turnaround Plans

Operations Turnaround Excellence - SolutionsOperations Turnaround Excellence - Solutions

Page 3: Operations Turnaround Leadership and Integrated Turnaround Planning

What is World-Class?What is World-Class?

Clues and SignsClues and Signs

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 4: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Contractor Alignment and Team Building Sessions Contractor Alignment and Team Building Sessions

are conducted after the turnaround completion.are conducted after the turnaround completion.

10

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 5: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Turnaround scheduling staff are frustrated due to the Turnaround scheduling staff are frustrated due to the

planning software’s limitation to schedule only planning software’s limitation to schedule only

1,000,0001,000,000 activities. activities.

9

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 6: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

When operations adds more work scope in the first When operations adds more work scope in the first

week of the turnaround than what they identified week of the turnaround than what they identified

in 12 months before the turnaround.in 12 months before the turnaround.

8

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 7: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Expedited and long-lead materials are found Expedited and long-lead materials are found

under contractors’ trailers after the under contractors’ trailers after the

turnaround completion.turnaround completion.

7

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 8: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Sole criteria for selecting qualified contractors is the Sole criteria for selecting qualified contractors is the

number of their memberships to golf clubs, burlesque number of their memberships to golf clubs, burlesque

bars and invitations to hunting and fishing trips.bars and invitations to hunting and fishing trips.

6

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 9: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Planning, Inspection and Safety staff are laid Planning, Inspection and Safety staff are laid

off to save turnaround costs and improve off to save turnaround costs and improve

bottom-line profits.bottom-line profits.

5

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 10: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

WBS, MOC, PSSR and HAZOP are perceived as the new WBS, MOC, PSSR and HAZOP are perceived as the new

Cable TV Channels on the information super-highway.Cable TV Channels on the information super-highway.

4

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Bobby
Page 11: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Company’s turnaround vision, goals and KPI’s are Company’s turnaround vision, goals and KPI’s are

written by professional speech writers.written by professional speech writers.

3

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 12: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

Progress status, schedule updates and cost Progress status, schedule updates and cost

forecasts are performed by local psychics, forecasts are performed by local psychics,

astrologers and tarot card readers.astrologers and tarot card readers.

2

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 13: Operations Turnaround Leadership and Integrated Turnaround Planning

TOP TEN LISTTOP TEN LIST

When a Company is NOT Managing When a Company is NOT Managing World-Class TurnaroundsWorld-Class Turnarounds

When a Turnaround Manager says that he has not When a Turnaround Manager says that he has not

read Bobby Singh’s latest book read Bobby Singh’s latest book

World-Class Turnaround ManagementWorld-Class Turnaround Management..

1

Achieving World-Class TurnaroundsAchieving World-Class Turnarounds

Page 14: Operations Turnaround Leadership and Integrated Turnaround Planning

Recent Turnaround ResultsRecent Turnaround ResultsOperations PerformanceOperations Performance

Units shutdown and turnover took 18 days vs a plan for 10 daysUnits shutdown and turnover took 18 days vs a plan for 10 days

Shutdown Sequence of units changed during turnaroundShutdown Sequence of units changed during turnaround

Different groups had separate blind lists for same workDifferent groups had separate blind lists for same work

Inexperienced operators needed directions during shutdownInexperienced operators needed directions during shutdown

Two chemical cleaning contractors with conflicting plansTwo chemical cleaning contractors with conflicting plans

Operations shift schedule different than the maintenance Operations shift schedule different than the maintenance

Page 15: Operations Turnaround Leadership and Integrated Turnaround Planning

Turnaround Capability AssessmentTurnaround Capability AssessmentDisturbing ResultsDisturbing Results

35-40% work scope growth after freeze date35-40% work scope growth after freeze date

Budget and work scope conflictsBudget and work scope conflicts

LOTO conflicts and excessive permit delaysLOTO conflicts and excessive permit delays

Shutdown and start-up timelines not fully definedShutdown and start-up timelines not fully defined

Operations had limited resources to support planningOperations had limited resources to support planning

Departments working in silos with conflicting agendasDepartments working in silos with conflicting agendas

Page 16: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations PitfallsOperations Pitfalls

Poor communication between different departmentsPoor communication between different departments

Operations inability to assign qualified staffOperations inability to assign qualified staff

LOTO requirement are more complex during implementationLOTO requirement are more complex during implementation

Constantly changing blind lists Constantly changing blind lists

Shortage of experienced operatorsShortage of experienced operators

Operations not fully accountable for the turnaround budgetOperations not fully accountable for the turnaround budget

Page 17: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations PitfallsOperations Pitfalls

Working from different turnaround work listsWorking from different turnaround work lists

Operations planning group working in isolation Operations planning group working in isolation

Operations execution group not familiar with shutdown plansOperations execution group not familiar with shutdown plans

Shutdown sequence not synchronized with critical pathShutdown sequence not synchronized with critical path

Operations activities not included in turnaround scheduleOperations activities not included in turnaround schedule

Operations shutdown plans not resource optimizedOperations shutdown plans not resource optimized

Operations plans are invariably optimistic Operations plans are invariably optimistic

Page 18: Operations Turnaround Leadership and Integrated Turnaround Planning

In 3 out of 4 turnarounds

the turnarounds teams did not

have sufficient operations staff

to plan the turnaround.

Page 19: Operations Turnaround Leadership and Integrated Turnaround Planning

We have met the enemy

and the

Enemy is us.

Page 20: Operations Turnaround Leadership and Integrated Turnaround Planning

Turnaround Work ScopeTurnaround Work Scope

Establish a Work Scope Leadership Team to develop work Establish a Work Scope Leadership Team to develop work scope. Assign an Executive Sponsorscope. Assign an Executive Sponsor

Each work scope request should be critically reviewed, Each work scope request should be critically reviewed, prioritized and work details fully definedprioritized and work details fully defined

Turnaround work scope (80% +) should be identified at least 15-Turnaround work scope (80% +) should be identified at least 15-18 months before the turnaround18 months before the turnaround

Develop contingency plans for potential work scope additions Develop contingency plans for potential work scope additions based on equipment history and inspectionsbased on equipment history and inspections

Inspection recommendations and work scope growth should be Inspection recommendations and work scope growth should be critically reviewed before approval for executioncritically reviewed before approval for execution

Page 21: Operations Turnaround Leadership and Integrated Turnaround Planning

Success of a turnaround is directly proportional

to the early and active participation by

operations’ dedicated and qualified staff to

support the turnaround planning process.

Page 22: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations Turnaround ExcellenceOperations Turnaround Excellence

SolutionsSolutions

Turnaround Team Leadership should be shared

by a senior operations person from the plant

Page 23: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations Turnaround ExcellenceOperations Turnaround Excellence

SolutionsSolutions

Get full time, dedicated, experienced and senior operations staff to lead the operations’ turnaround planning effort:

Get staffing commitment from plant managementGet staffing commitment from plant management

Clearly establish the job responsibilities of all key Clearly establish the job responsibilities of all key

operations positions and ensure right staff is operations positions and ensure right staff is

assignedassigned

Page 24: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations Turnaround ExcellenceOperations Turnaround Excellence

SolutionsSolutions

Improve team communication by locating the

Area Turnaround Teams and all participating

departments and their staff in the same work area.

Page 25: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations Turnaround ExcellenceOperations Turnaround Excellence

SolutionsSolutions

Training of operators in the operations

shutdown and start-up plans should be spread

over 2-3 months prior to the turnaround.

Page 26: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations Turnaround ExcellenceOperations Turnaround Excellence

SolutionsSolutions

Facilitate several Turnaround Dry Runs so

that all participants can demonstrate their

full understanding of execution plans and

resource requirements for the safe and

planned shutdown and start-up of units.

Page 27: Operations Turnaround Leadership and Integrated Turnaround Planning

Operations Turnaround ExcellenceOperations Turnaround Excellence

SolutionsSolutions

Assign Operations Manager as an Executive

Sponsor to guide all activities related to

operations planning and execution

Page 28: Operations Turnaround Leadership and Integrated Turnaround Planning

Integrated Turnaround PlansIntegrated Turnaround PlansSolutionsSolutions

Establish shutdown and start-up sequence by

units, operating systems and sub systems which

fully supports the turnaround critical path.

Page 29: Operations Turnaround Leadership and Integrated Turnaround Planning

Integrated Turnaround PlansIntegrated Turnaround PlansSolutionsSolutions

Jointly develop integrated turnaround schedule with all operations shutdown and start-up activities:

Decide the level of activities and sequence earlyDecide the level of activities and sequence early

Do not expect operations to be P-6 expertsDo not expect operations to be P-6 experts

Page 30: Operations Turnaround Leadership and Integrated Turnaround Planning

Integrated Turnaround PlansIntegrated Turnaround Plans

SolutionsSolutions

Unit clearing / decontamination execution plans

and their field requirements are clearly established

at least 6-9 months before the turnaround.

Page 31: Operations Turnaround Leadership and Integrated Turnaround Planning

Integrated Turnaround PlansIntegrated Turnaround PlansSolutionsSolutions

Complete turnaround plans / schedules that

includes operations activities at least 3 months

prior to the start of the turnaround.

Share Optimize Rehearse and Implement

Page 32: Operations Turnaround Leadership and Integrated Turnaround Planning

Produced by:

Question and Answers

A. Bobby SinghProject Assurance, Houston, Texas

[email protected]