Abu Dhabi, UAE and Mumbai, Maharashtra, India:As the Key Knowledge partner for Process Excellence Week 2012, held at Radisson Blu, Abu Dhabi on 10th & 11th Dec 2012, BMGI presented the model for “Enabling Businesses to Outperform” using the Process Excellence Way with specific emphasis on the Energy and Utilities sector in the MENA region which hold about 60 % of the oil reserves and 45% of the natural gas reserves.
The event was organised by International Quality & Productivity Center (IQPC), a global firm which holds events for equipping business leaders with knowledge on industry trends, technological developments and regulatory landscape. The event saw performance excellence practitioners from across industries including firms such as Halliburton, Q-Tel, Supreme Group, Etisalat, Abu Dhabi Water & Electricity Authority, Saudi Telecom, Equate Petroleum to name a few. The event had a bevy of speakers from various organizations such as Emirates Nuclear Energy Corporation, Dubai Customs, ADCO, DEWA, Rolls-Royce Energy, Maersk Qatar Oil, Weir Oil & Gas and du.
Mr Naresh Raisinghani, Chairman for the event and CEO & Executive Director, BMGI, in his presentation, shared how business could outperform using the performance excellence way. He illustrated various models on performance excellence and emphasized on high impact models, i.e., Lean, Six Sigma, and TPM (specifically for 24*7 plants) which have gained a lot of interest and shown results across diverse industries. Additionally he shared that Structured Innovation has been a new focus area for businesses who want to tackle the “product/process innovation challenge” for driving the next wave of growth. He shared that Business Excellence Awards would need to evolve further to enhance their real impact. With a succinct program level case study of Mount Carmel Hospitals, he demonstrated how organisations which deploy the model of Performance Excellence effectively can dramatically transform their business results and cultural aspects in 3 years-time period.
Based on BMGI’s global research across geographies and industries Mr Raisinghani outlined the Critical Success Factors for creating a successful & sustained performance excellence program leading to a cultural transformation. These included a) an engaged executive team, b) selection of projects aligned to strategic priorities with sharp focus on business results, c) usage of right rigor for the projects, and d) deployment of few Full Time top class Change Agents besides spreading the program across all employees for cultural transformation as essential for creating a highly successful & sustained performance excellence program.
Mr Shahid Osmani, Quality Expert, Strategy & Corporate Excellence department Dubai Customs shared how the firm had tried to align the organisation towards improving the services by using the Dubai Excellence Model as an enabler. He shared how the act of looking through the eyes of customers (both internal and external) can significantly contribute to creating effective and efficient processes on all elements of an organisational value chain. He emphasised that to be able to fulfil the customer’s requirement end to end, organisations would need to reorient themselves from the current silo based approach to a customer focussed process based approach.
Reinforcing the importance of Change Management for Continuous improvement, Mr. Sanjiv Upadhyay, Manager for Lean Manufacturing at Weir Oil & Gas, shared how Weir was overcoming barriers encountered in implementation of Lean across the organisation. He shared the importance of creating a sense of shared need, vision, plan and capability. He further shared how mapping individual stakeholder’s resistance on their desire and capability to change can help put in better communications plan for each category of people’s attitude to change. Endorsing Mr Raisinghani’s point on “engaged executive team”, he further stated that the Leadership team should dedicate time for ensuring the success and sustenance of these continuous improvement initiatives.
Endorsing Mr. Raisinghani’s views on successful deployment resulting from tying Operational Excellence initiatives with Business Strategy, Mr. Amit Chanana, Global Process Consultant, HSBC shared the organisation maturity life cycle model. He emphasised on the importance of strategic clarity, customer focus, metric identification (Transforming strategic initiatives into measurable metrics), performance management and continuous improvement methodologies adopted by various organisations.
Mr. Nouman Rana, Regional Lean & EHS Manager, Weir Oil & Gas shared the practices followed in successfully implementing Manufacturing Process Management program in Weir Oil & Gas. He highlighted the importance of several techniques used as a part of manufacturing process management like Value Stream Mapping, Workflow Planning, Resource Planning & Scheduling, Work Instructions, Failure Mode Effect Analysis (FMEA), OEE concepts as some of the techniques used for optimizing resources, reducing lead time, shorten production time & reducing inventories.
To further add to the organizational planning on Process Excellence initiatives Mr. Mohamed Daoud, Manager (Projects & Quality) Engineering & Projects ADCO detailed about the major pitfalls that needs to be avoided during the project management in Oil & Gas industries and shared well tried and tested processes and concepts on from building and monitoring a quality plan for the project in hand.
Illustrating the value perspective in establishing Process Excellence framework, Mr. Naresh Raisinghani pointed that organizations have to create a balance between process and expected results signifying the importance of tie up process improvements with key business strategies. He also highlighted the advantages reaped by organization following structured innovation as a mechanism to harness the team power of innovative thinking to create equivalent outcomes as an alternate to individual contributor’s innovation.
Supporting Mr. Raisinghani’s perspective on innovation, Mr. Pierre Nader, Senior Director & Head of Process Excellence & TQM, du shared that organization has to consider dual perspectives for sustaining growth of process improvement and applied innovation. He pointed that process improvement can definitely take organisations to some excellence levels post which organizations have to reinvent their growth S curves for reaching newer business orbits and then again use process improvements to excel in the new attained orbit. He shared examples and benefits of institutionalizing applied innovation within his organization.
On creating a world class process, Ms Noora Al Katheeri, Head of Business Excellence & Requirements at Emirates Nuclear Energy Corporation (ENEC) shared how ENEC had used benchmarking as tools to drive process improvements. She dived in to share the approach her team had adopted for benchmarking such as identification of processes and partners to benchmark (ideally from the same industry if feasible), creating a set of expectations on benefits both quantitative & qualitative, selection of right cross-functional team and where required establishing a data collection system to ensure appropriate data is collected. Ms Noora highlighted that best practices of other organizations may not be necessarily relevant to your organization and while emulating organizations should be aware that they need to be customized to produce value and in certain cases may not produce the desired results.
Ms Christina Horn, Black belt Project Manager, Maersk Oil Qatar shared a different take ,i.e., focusing on Safety compared to other organizational focus areas like profitability and productivity, given the fact that a gas leakage has the potential to become a big disaster for Oil & Gas companies & the environment at large. She showcased how by crossing the barriers of departmental silos organisations can produce dramatic improvements, by just creating effective cross-functional communication channels and looking at process flow instead of departmental flow. She shared her multi-year case to demonstrate how Maersk was analyzing and replacing the systems with better valves using cross-functional departmental synergies and working towards higher safety standards.
Mr. Wajahat Mehdi, Regional Manager Quality, Process Excellence & HSE, Rolls-Royce highlighted some of the process improvement challenges in Middle East which included low levels of awareness on improvement concepts among senior management, high ROI demands on Change Management Initiatives, shortage of experienced practitioners and low level of trust on external service providers. He shared several solutions such as structuring result based equations with service providers, instilling rigorous project management and targeting immediate pain areas to instill management confidence.
Considering that the GCC region is geared towards some of the large scale developmental projects, Mr. Safdar Hussain, Research Major Programme Management, University of Oxford, UK introduced the concepts of Mega Projects (US $ 1 billion or more) management. He shared shocking data with a study of over 200 mega projects with several like Channel Tunnel, the Millennium Dome, and Kolkata’s Metro etc. having larger cost overruns, schedule delays & benefit Shortfalls greater than 50%. He ascribed that at the heart of these overruns is the reductionist approach that is the traditional tools were additive in approach which lead to inaccurate forecasting. He stressed the importance of establishing an accurate forecasting techniques and tools and described the reference class forecasting model which emphasizes on evaluating existing projects with similar profiles and then building correct forecasts. He summarised by sharing that the 6 pilot projects taken by Oxford University using this modified technique had all delivered as per the plan.
The event finally ended with the participants forming two interactive groups which were led by Mr. Safdar Hussain, Research Major, University of Oxford UK & Mr. Fahmi Abdein, Senior Manager - Business Excellence, DEWA respectively. The interactions gave the participants an opportunity to discuss their specific issues and come up with potential takeaways for improving their organizational performance excellence roadmap.
Breakthrough Management Group International (BMGI), global consulting firms with a strong focus on delivering results, partners with organizations in various stages of their business life cycle to transform their business performance. BMGI is recognized as the world leader in harnessing the power of cutting edge techniques in the area of Innovation, Strategy, Problem Solving and Business Transformation for achieving tangible business results. BMGI enables businesses drive growth and improve profitability. Headquartered in the US, BMGI has offices in 13 countries around the globe. BMGI has delivered cumulative benefits to its clients worth several billion dollars with an ROI of 5:1 to 20:1.
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Mr. Naresh Raisinghani
PEX Panel Discussion
Deepak Panda, Breakthrough Management Group International (BMGI), +91 (22) 40020045 / +91 9987303383