FAILED CHANGE POLISH ROD LPO IMPROVEMENT USING LEAN SIGMA METHOD

• Main Author: Nur Hasan, Wahyuda
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/57384
• Institution: Institut Teknologi Bandung

Fluctuate oil price has become global challenge in oil and gas industry since 2015. This situation impacted daily operation and production process in every oil company in the world. PT. Cipher Pol Indonesia as world class and one of the largest oil company in the world also forced to do adjustment to achieve more efficient and effective operation. Loss Production Opportunity (LPO) is one of production operation component that occurred in daily basis. LPO quantify amount of oil that loss Dorieng operation process. The more LPO occurred, the less company revenue generated from daily operation. LPO could come from rig operation and rigless operation. One of rigless operation that causing LPO is due to polish rod failure that need to be replaced with the new one using rigless unit. Not all change polish rod job is successful. Some of them also failed and need rig program to get production well back to production. However, actual condition in the field showing there are some gaps identified related to the delay rig program generation for failed change polish rod job that ultimately increase LPO. The delay in generating rig program for failed CPR job causing 3,731 barrel oil additional LPO from January 2018 – July 2020. Through this research, project team try to identify root cause from business problem and develop project implementation plan to solve the business problem. Lean Sigma DMAIC methodology are adopted as conceptual framework. Cross functional team as project team implement step by step from lean sigma method and held several sessions of brainstorming meeting. In root cause analysis, project team using FiveWhy and Waste Analysis method as guidance to determine problem root cause and generate alternatives. The information delay from operator/rigless crew about failed change polish rod job was identified as root cause problem. From root cause analysis, project team identified two possible alternatives using Kepner- Tregoe Decision Analysis methodology. The best alternative is chosen based on Must & Want criteria in which Must criteria is Transfer-able to the new block operator while Want criteria is based on: Relevancy with Root Cause, Low Cost, High Impact, and Easy to Execute. Database Integration and Synchronization to trigger Exception Signal into web-based dashboard is chosen as the best alternative to be implemented with total score of 99. Through this project, project team aim to save ~612 $ per day or 223.4 MUSD yearly.