Agriculture & Mining- 165

The Situation:

A major gas exploration and production company needed to significantly reduce operating costs.  The Highland Group was asked to assist them to improve their schedule performance, enhance their ability to forecast and plan, and reduce lost time for major pieces of equipment.

The Driver Goal:

Compress the Exploration through Production cycle by 8 days (10%)

Actions Taken:

• Developed and implemented a project management system that reduced overtime, complied with DOT regulations and improved the level of service. The tool supports:
  
  
  • Well Scheduling
  • Resource Management
  • Performance Measurement
  • Coordination of Activities
  • Communication of Status and Action Items
  • Forecasting of Events, Resource Needs, Backlog Amounts, and potential costs
  • Evaluation of Departmental performance to schedule
    
• Developed and implemented a System for Managing that provides the management processes and tools needed to manage the projects, including lost time and down time reporting and root cause analysis
• Defined and implemented fleet improvements

• Identified annualized savings of over $15,000,000
• Compressed the Exploration through Production cycle by 13.1 days (16.25%)
• Improved “rigging up” activity by twelve hours per move
• Reduced overtime by 50%