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© 2014 PETROLIAM NASIONAL BERHAD (PETRONAS) All rights reserved. No part of this document may be reproduced, stored in a retrieval system or transmitted in any form or by any means (electronic, mechanical, photocopying, recording or otherwise) without the permission of the copyright owner.

A. Ghaffar M. Dawam Head Integrated Operations PETRONAS Upstream Operational Excellence

Enabling Upstream Operational Excellence through Integrated Operations

“Doing More with Offshore

Engineering Data”

14 October 2014

Kuala Lumpur, Malaysia

Key themes for delivering excellence in operations

OE VISION in upstream

“Every employee will work in cooperation – leveraging

discipline mastery and empowered to act decisively and

safely – for the pride of themselves and their team.”

Competitive

Advantage

Integration Leadership

Continuous

Improvement

“IO is the enabling component of the Operational Excellence journey: a combination of real-time awareness technology,

simplified processes, and collaborative mindset that fosters cooperative decision-making to achieve common objectives for

HSE, asset integrity, and optimized production”.

Defining IO

+ DISCIPLINE MASTERY

Technical capability

Pride in delivery

Spirit of cooperation

LEAN processes & automation

Scalable value

Transformation of decision behaviours

PROCESSES & TECHNOLOGY PEOPLE

IO can be defined to enable Operational Excellence

Business Process is critical to defining excellence in

operations

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Enable our people to do it

Define what we

need to do

Understand what we do

‘As-is’ state (behavior, mindset,

BPM)

Reality vs. perception (GEMBA)

Operations context & capability

UNDERSTAND

Principles & Governance

‘To Be’ state (team culture, BPI)

Business case

Competitive Advantage

Enablers

DEFINE

Advantaged operations

architecture (people, process,

technology)

Strategic clarity & alignment

Well orchestrated journey (gradual

evolution)

ENABLE

Business Process Improvement

Business Process Mapping

Roll out

Value Realization

Managing management push and asset pull

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An IO Conceptual Roadmap

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IO Maturity

Technical + Organizational

Individual

Productivity Collective

Productivity

Define the

Destination

Build the

Road

Accelerate

Ahead

Key

Milestones

Vision & Mission

Infrastructure

Governance

Take the

Lead

Change Management

Imp

act &

Co

mp

lexity

Exhibit

Industry

IO Leader

Characteristics

Leverage

Incremental

Benefits

Deployment

Progress

Measures

IO Centre and

Collaboration

New

Opportunities

Impact Measures

Tactical Business

Intelligence

Continuous

Improvement

Strategic

Business

Intelligence

Innovation

“Develop Once …”

Standard Framework

Foundation System

Processes &

Workflows

“… Deploy Many”

Begin the

Journey

Operational Linkages

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THANK YOU