WELL WORKOVER PROGRAM DEVELOPMENT PROCESS IMPROVEMENT BY USING LEAN SIX SIGMA FRAMEWORK AT SUMATERA OIL COMPANY

• Main Author: Arianto Tampubolon, Daniel
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/70167
• Institution: Institut Teknologi Bandung

Sumatera Oil Company (SOC) is well-known for its large production of crude oil in Indonesia. Facing the upcoming end of the contract with the Indonesian government, SOC relies heavily on workover operation to maintain its production level. The condition challenges the D&C department to catch up on the backlog. This final project intends to improve the well workover program generation process. Based on internal discussion and brainstorming sessions, there are two opportunities for improvement, namely program development cycle time and job phase plan accuracy. Lean Six Sigma has been applied by SOC to improve its business processes and the author uses it for this project. The systematic process of Define-Measure-Analyze-ImproveControl is followed carefully to make sure the success of the project. In the Define phase, the author and team spend time discussing the opportunities with completion engineers, as the owner of the business process. In the Measure phase, the author and team observe the workover program panning process, develop a measurement system, and collect baseline data. In the Analyze phase, the author and team analyze the baseline data and identify the possible root causes. In the Improve phase, the author and team gather any creative ideas for solutions to the root causes, exercise the feasibility for each of those ideas, and realize the best of them. The proposed solutions are to automatize some activities in the workover development process. Finally, in the Control phase, documentation and socialization are conducted to make sure the solutions are alive. The project team focused on three sub-processes of workover program development which are well opportunity review process, well phase plan generation process, and workover program generation process. The projected COPQ for 3964 opportunities in 2020 were USD 145,774, USD 15,313.19, and USD 109,060.82 consecutively. The averages of the current cycle time were 94.5, 16.7, 70.7 and minutes per opportunity consecutively. The standard deviations of current cycle time were 12.8, 1.2, and 5.8 minutes per opportunity consecutively. The PCE were 89%, 71% and 71% consecutively. The solution developed utilizes automation and integration of all platforms related to the process of making workover work programs. This solution is realized in two new software. The implementation of this solution has an impact on reducing the cycle time for the opportunity review process, the well-phase planning process, and the workover work program development process. The average cycle time after solution implementation is 58.9, 5.4, and 51.6 minutes per opportunity respectively. The standard deviation of cycle times is 9.9, 1.1, and 3.9 minutes per opportunity respectively. PCE becomes 98%, 100%, and 95% respectively. With this implementation, SOC will get a total accrued financial benefit (AFB) of USD 94,696.