Lean Methods Application to Frontend Petroleum Engineering Project

Itua, Osazua J.; Shamuganathan, Gomathi

doi:10.2118/178337-ms

Cited by 4 publications

(11 citation statements)

References 24 publications

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“…Ratnayake and Chaudry (2015) used VSM in the valve requisition process, which results in standardization and reduction of documentation. VSM enables the determination of the efficiency and effectiveness of the current process while pinpointing potential process improvements (Popa The utilization of visual systems during the frontend phase of a field development project and a well construction project is reported by Itua and Shamuganathan (2015) and Charles et al (2012), respectively. Itua and Shamuganathan (2015) emphasized the significance of a visual system as a tool to inform the team on the current progress of the project, as well as to impend project milestones.…”

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

“…VSM enables the determination of the efficiency and effectiveness of the current process while pinpointing potential process improvements (Popa The utilization of visual systems during the frontend phase of a field development project and a well construction project is reported by Itua and Shamuganathan (2015) and Charles et al (2012), respectively. Itua and Shamuganathan (2015) emphasized the significance of a visual system as a tool to inform the team on the current progress of the project, as well as to impend project milestones. Charles et al (2012) highlighted the importance of a visual system to create transparency within the project team to enable immediate identification of issues and corresponding mitigations.…”

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

“…Ghany ( 2010) presented the implementation of 5S in facilities and field sites of a drilling service company, with a focus on housekeeping enhancement to minimize the possibility of incidents/ accidents, diminish property damage and reduce equipment preparation time. By contrast, Itua and Shamuganathan (2015) used 5S to manage and organize files and folders related to the frontend phase of a field development project to reduce the time required to identify and retrieve specific data and information.…”

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

“…Mustapha et al (2012) also described the utilization of SMED to establish standardized rig-move procedures to reduce variability in rig-move times. Itua and Shamuganathan (2015) discussed the application of QIS by employing technical authority to review, check and endorse deliverables to prevent defects from passing into downstream processes. 5-Whys analysis, which is part of kaizen (Liker, 2004), is used to find the root cause of delays in piping hydro-testing activities (Ibrahim, 2017).…”

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

“…Similarly, team collocation requires locating individuals with different expertise together to develop common deliverables. Collocation improves the flow of information, reduces the likelihood of miscommunication and eliminates waste related to transportation and motion (Itua and Shamuganathan, 2015;de Wardt, 2004). Team collocation also enables prompt responses to identified problems through team meetings, thus reducing the cycle time to solve different issues (Skilbrei and van Zandvoord, 2009).…”

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

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Adoption and implementation potential of the lean concept in the petroleum industry: state-of-the-art

Rachman

Ratnayake

2019

IJLSS

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Purpose A systematic literature review is performed to reveal the state-of-the-art in the implementation of lean principles in the petroleum industry. This paper aims to generate a conceptual framework and reveal research gaps with respect to lean concept application in the petroleum industry. Design/methodology/approach After formulating research questions, the search strategy is generated, followed by data extraction, literature review and synthesis of the results. The search covers any studies in peer-reviewed scientific journals and conference proceedings in the period 1990-2017 that discuss the implementation of the lean concept in the petroleum industry. Findings The lean concept has been used to improve operational and technical aspects, contractor/supplier relationships, team organization and project management practice in the petroleum industry. Based on the literature review, a conceptual framework is generated comprising four main elements: leadership and commitment from management, employee involvement, cooperation and trust with contractors/suppliers and lean project management. These elements are the pillars that are founded on lean philosophy and principles to support technical/operational improvement in the organization. The types of literature identified indicate that the subject of the study is still immature. Research limitations/implications This study focuses only on the upstream sector of the petroleum industry, which restricts the generalizability of the results to midstream and downstream businesses. Practical implications This paper provides knowledge and information regarding the current state of lean implementation in the petroleum industry. The developed conceptual framework provides general guidance for practitioners regarding lean implementation in the petroleum industry, and is also expected to support research on theory building. Originality/value Few studies have discussed the application of the lean concept in the petroleum industry. This paper contributes a platform for researchers and practitioners to comprehend how the lean concept has been applied in the petroleum industry, and provides a foundation for further studies on lean implementation in the petroleum industry.

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Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

Section: The Use Of Lean Tools and Techniquesmentioning

confidence: 99%

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Adoption and implementation potential of the lean concept in the petroleum industry: state-of-the-art

Rachman

Ratnayake

2019

IJLSS

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Evaluation of value stream mapping (VSM) applicability to the oil and gas chain processes

Lobo

Calado

Conceição

2018

IJLSS

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Purpose Lean approach has overcome the boundaries of the automotive and manufacturing industry and has achieved many different sectors of the economy, including services. In this context, this paper aims to investigate the applicability of value stream mapping (VSM) tool in processes of the oil and gas chain. Also, this paper investigates if there is a specific framework currently being used by organizations belonging to this chain to map the value stream of its processes. Design/methodology/approach A detailed systematic review of the literature is done by using a set of relevant keywords based on peer-reviewed journal articles and conference papers available in the Scopus database, analyzing data from 2012 to 2017. Content analysis methodology involving a four-step process (identification, screening, eligibility and inclusion) suggested by Moher et al. (2009) was adopted for this study. Findings The number of studies in literature on VSM applicability to the oil and gas chain processes is low when compared to studies regarding the application of lean tools and methods in general in this area. Also, there is no specific framework that has been used by the oil and gas chain companies to carry out the VSM, which is a research gap that can be further explored. Research limitations/implications Sample size for this research consists of 42 studies, thereby limiting the generalizability of the research studies. However, the analysis presented in this paper was based only on Scopus database, which is a remarkable and broad base, which provided robustness to the data found. Practical implications Practicing managers of oil and gas chain who are planning to transform their processes can use the VSM for it. Researchers can explore the research gap found in this study and develop a specific framework to implement VSM in the oil and gas chain processes. Originality/value This is the first paper to evaluate the VSM tool applicability to the oil and gas chain processes based on an systematic literature review and understand if this is possible and if there is a specific framework to carry out this task.

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A Lean Six Sigma Approach to Well Stimulation on Barrow Island, Australia

et al. 2016

SPE Asia Pacific Oil &Amp; Gas Conference and Exhibition

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Barrow Island (BWI), 56 km from the coast of Western Australia, is home to several mature reservoirs that have produced oil since 1965. The main reservoir is the Windalia sandstone, and it has been waterflooded since 1967, while all the other reservoirs are under primary depletion. Due to the maturity of the asset, it is economically critical to continue to maximise oil production rates from the 430 online, artificially lifted wells. It is not an easy task to rank well stimulation opportunities and streamline their execution. To this end, the BWI Subsurface Team applied Lean Six Sigma processes to identify opportunities, increase efficiency and reduce waste relating to well stimulation and well performance improvement. The Lean Sigma methodology is a combination of "Lean Production" and "Six Sigma" these are methods used to minimise waste and reduce variability respectively. The methods are used globally in many industries, especially those involved in manufacturing. In this asset, we applied the processes specifically to well performance improvement through stimulation and other means. The team broadly focused on categorising opportunities in both production and injection wells and ranking them, specifically: descaling wells, matrix acidising, sucker rod optimisation, reperforating and proactive workovers. The process for performing each type of job was mapped and bottlenecks in each process isolated. Upon entering "Control" phase, several opportunities had been identified and put in place. Substantial improvements were made to the procurement, logistics and storage of hydrochloric acid (HCl) and associated additives, enabling quicker execution of stimulation work. A new programme was also developed to stimulate wells that had recently failed and were already awaiting workover, which reduced costs. A database containing the stimulation opportunities available at each individual well assisted with this process. The project resulted in the stimulation of several wells in the asset with sizable oil rate increases in each. This case study will extend the information available within the oil-industry literature regarding the application of Lean Sigma to producing assets. It will assist other Operators when evaluating well stimulation opportunities in their fields. Technical information will be shared regarding feasibility studies (laboratory compatibility work and well transient testing results) for acid stimulation and steps that can be taken to streamline the execution of such work. Some insights will also be shared regarding the most efficient manner to plan rig-work regarding stimulation workovers.

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Lean Methods Application to Frontend Petroleum Engineering Project

Cited by 4 publications

References 24 publications

Adoption and implementation potential of the lean concept in the petroleum industry: state-of-the-art

Adoption and implementation potential of the lean concept in the petroleum industry: state-of-the-art

Evaluation of value stream mapping (VSM) applicability to the oil and gas chain processes

A Lean Six Sigma Approach to Well Stimulation on Barrow Island, Australia

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