A study of how a Lean approach can be used in dealing with challenges present at DeepOcean Offshore Base and their specialty within logistics-, warehouse- and workshop services

Abstract

Over the last few years we have witnessed one of the largest drops in oil prices. The industry has become highly competitive and customer oriented, and the offshore companies are facing increasing demands for efficiency; more streamlined and standardized work processes and work methods. The ongoing battle for the current contracts has resulted in an extreme pressure to keep costs down, while still delivering sufficient quality, and therefore makes a number of companies within the oil and gas industry suffer financially. In order to survive in this industry, one should strive for continuously improving the variables that can affect the business at all levels. This also includes a higher degree of supportive and inspiring management, a sense of personal empowerment and ownership by each individual.

This thesis attempts to use Lean as an approach to deal with the challenges the employees at DeepOcean Offshore Base are facing in their daily work. Lean is an approach used to maximize customer value and minimize waste by focusing on flow, streamlined processes, visual management and continuous improvements. By waste means unnecessary use of resources and activities that are not making any value. A study of the Lean concept has been carried out by the author of this thesis in order to form a knowledge base and further insight. In addition, case studies of companies that have implemented Lean to varying degrees have been studied. A qualitative mapping of work processes, interviews, observation and questionnaires have been applied in obtaining relevant information. This thesis encompasses identified challenges and improvement potentials. The results of the study revealed that the employees at DeepOcean Offshore Base are in a situation where they just spend time on ‘keeping the business running’, due to an arguable amount of inefficient work processes stealing valuable time. There are however many contributing factors that together represent a huge amount of waste at the DeepOcean Offshore Base. Changes are suggested within relevant variables that may affect the business, as well as specific Lean initiatives that can support the necessary changes, and more explicitly enhance flow efficiency.

Lean can be used as an approach in dealing with present challenges at DeepOcean Offshore Base by starting to continuously strive to make things a little better, and constantly maintaining the improvements. Through implementation and sustainment of specific Lean initiatives, waste can be reduced and value may flow without interruptions.