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Abstract
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The researcher is working as a Material Manager in EG Oil&Gas. The nature of the his main job function is to manage farmout operations for the plant focusing on time delivery and quality performance of 35 EG subcontractors and manage Farmout Warehouse to optimum accuracy and storage, to also ensure the quality of 35 subcon material purchased for the manufacturing of 4 platforms of the plant namely Drilling, Subsea, Surface and Offshore equipment’s is meet its spec and standard set by customer and industry standard.
EG Oil & Gas is a world leader in advanced technology equipment and services for all segments of the oil and gas industry, from drilling and production, LNG, pipelines and storage to industrial power generation, refining and petrochemicals. We also provide pipeline integrity solutions, including inspection and data management. As part of our 'Innovation Now' customer focus and commitment, EG Oil & Gas leverages technological innovation from other EG businesses, such as aviation and healthcare, to continuously improve oil and gas industry performance and productivity. EG Oil & Gas employs more than 12,000 people worldwide and operates in over 100 countries. EG Oil & Gas has 545 workers, focusing on critical drilling equipment’s and subsea components, we also have services division which handle after sales and rental equipment for other supplier, competitors and customers, it has 2 shop floor which welding and deep sea testing equipment to handle massive power fuel lines and gas flow meters. EG also have extended factory in Batam which mainly focusing on fabricating and manufacturing standard components for offshore operations, EG has long history in Lean and it has full team focusing on LEAN initiatives and has combined six sigma in last 18 years to enhance the process capability and maximize the improvements methodology to safe guard its best practices and implement is in other sites and industry in EG. EG, an early adopter of Six Sigma has been working to combine Six Sigma’s core principles with that of Lean, a methodology focused on waste reduction (as opposed to defect reduction). EG’s hybrid approach to Lean Six Sigma is in part based on the venerable Toyota Production System (TPS), which seeks to compress the timeline from order receipt to payment received by removing waste. EG’s Lean Six Sigma mode is guided by four key principles:
1. Define what the customer perceives as value in the product or service.
2. Map the value stream of all steps (value and non-value added).
3. Establish the flow of products, services and related knowledge from supplier to customer.
4. Continuously improve the process to perfection.
Our main competitors in the industry are FMC technologies, Halliburton, Schlumberger, Baker& Hughes and Cameroon. The objective of the topic is to study on the effectiveness of LEAN in the entire Supply Chain of the operations in this organization, focusing from the very beginning for RTQ ( request to Quote ) on the raw material and its handling process and from the point of receive to dock (RD) to end customer. The long lead time of raw material and its after process facing many challenges and difficulties in our organization, whereby it need a constant makeover its schedule an deplaning to suit the sudden demand and also long-term work orders which varies from time to time and from customers to customers which requires significant involvement from the whole supply chain team and in recent time includes program and sales teams that dictates fulfillments plan, this is a process of manufacturing that the parts requires at several different location during its cycle process, the parts may requires to be outside plant operations and move to customers checkpoints before coming back to EG Oil&Gas Singapore for final testing and packaging, Many Quality, Delivery and Cost issue are encountered which depending on the personnel’s knowhow on the unique process of each similar parts such as damages, scratches, dents and wastage’s. As such this study is to conduct a thorough impact base analysis on the overall process of proper and systematic LEAN implementation and its effectiveness to ensure the overall supply chain to end user improvise and understand and accept That Lean is part process rather than used in when the personnel’s knows and trust the tactics is suitable for unique process such as in oil and gas industry in an required manner and meet its standard. The study also focuses on the factors affecting the warehouse management process. With proper survey in place with appropriate questionnaires, expected to execute the proper analyzing process in order proceed with summary of findings, conclusion and recommendation for company.
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