At a Glance
Turnaround effectiveness was a growing area of concern for one of Renoir’s clients, an LNG plant based in the Western Pacific. The company had previously experienced delays and quality issues for the past five years in its turnaround process. Over the next 26 weeks, Renoir worked closely with the client’s teams to clarify KPIs, processes and systems to improve compliance rates and alignment between departments.
Key Results
- Implementation of MCS in the Engineering Turnaround Department
- Clear departmental KPIs, work processes and systems
- Improvement in turnaround process
- Improvement in turnaround preparation
- Improved interface and alignment
- Achievement of all critical milestones and quality criteria
Background
The client is an LNG plant in the Western Pacific with an ambitious joint venture between a national government in the region, as well as an oil & gas producer, and a top automobile manufacturer. Completed in the 1970s, its facility of over 100 hectares with more than 800 working personnel focuses on large scale liquefaction and transportation of natural gas which commands a sales volume of over 6 million tonnes of LNG annually. The company has established itself as one of the country’s major revenue earners and is expected to have a plant life until the year 2070.
The Challenge
Following from the success of the first Renoir project with the client which delivered improvements in maintenance execution; Renoir was engaged to continue the change program. The next project with this client would be a 26-week project focusing on Turnaround, Permit-to-work (PTW) and Engineering Rotating Equipment (ERE). With regards to Turnaround, the client had previously experienced significant delays and quality issues for the past five years. Renoir was therefore engaged to improve its Planning, Coordination, Execution and Closure of Turnaround.
What We Did
The Project kicked off with Renoir’s Focus Process™, developed over many years, based on experiences with hundreds of successful assignments.
In addition, to develop solutions for turnaround effectiveness in the company, the upstream and downstream turnaround processes were studied and best practices were customised and incorporated throughout the entire system. The process took the client’s staff through a learning experience that promoted commitment and ownership of the solutions implemented, whilst retaining the company’s essential organisational goals and corporate identity.
To achieve maximum impact and employee buy-in, a “Management Action Team” was set up, led by the client’s Turnaround manager to directly engage the ETA (Engineering Turnaround) department in implementing the required improvements.
Project Deliverables
Renoir together with the BLNG TA (Turnaround) Management Action Team was able to design, develop and install improved Management Control System (MCS) and work processes for the ETA department. The MCS and work processes provided complete information loops throughout the various stages of Turnaround, empowering managers to take effective management actions and monitor the progress of Turnaround Planning, Execution & Closure.
The ‘House of Turnaround’ was developed, which stands on four pillars. These four pillars require the support of an effective MCS & are key to achieving turnaround effectiveness, i.e. one that is executed safely, with quality, and within schedule & cost.
For the Turnaround team, clear work processes, roles & responsibilities, key performance indicators and performance reviews were established. Interfaces were clearly defined and improved with all the departments and contractors. This project led to the development of a holistic system that created a rigorous planning and preparation process to ensure efficient execution and timely turnaround closure.
The Results
Compared to the previous year, Turnaround milestone compliance has been improved to 86% compliance to detailed milestone, and 100% compliance to critical milestone. Just two months into the project implementation, the Turnaround Audit (TAR2) conducted by its external oil & gas partner representatives concluded that there is now a “big improvement in its turnaround process”.
“At this point, we are at least 200% better than before. I have more peace of mind now, knowing that I have covered all my bases.”
– Client Turnaround Engineer
Improve turnaround processes and compliance.
