Achieving a Step Change in Turnaround

Performance

Agenda

What is the Problem?

What are the Root Causes?

Solutions in Planning

Solutions in Optimization

Solutions in Execution

220 RLG Performance Coaches

Working in 25 Different Countries Worldwide

• Safety

(process and personal)

• Operations

• Maintenance

• Turnarounds

• Major Capital Projects

• Supply Chain

2

What percentage of projects completed within

your organization in the last 12 months …

62%

49%

53%

16%

0% 20% 40% 60%

Successfully met the original goalsand business intent of the project

Finished within their initiallyscheduled times

Finished within their initial budgets

Were deemed failures

Mean %

From the responses of 2920 professionals in project management surveyed. Source: Pulse of the Profession®, PMI, 2016

The Root Cause

• Lack of ability to hold contractors and other departments

to their commitments

• The event planning team lacks an optimization mindset

• Lack of clarity on true performance during the

planning phase

• Contractor relationships are transactional rather than

capturing best practices and engaging them for optimization

• Lack of front line accountability to the schedule

during execution

The Solutions: Project Excellence™

Solutions for Improved Planning

Granular Data

+ Visibility

= Accountability

and Involvement

… Make the Data Granular

56% 35% 24% 22% 9%

7%

24%

14%13%

-2%

63%59%

38% 35%

7%

Mechanical Civil I&C Piping D Electrical

SOW Deliverable Progress

Earned Gap Plan

January

BoardwalkRegular Multi-discipline Reviews on Granular KPIs

… Disciplines Made Significant Progress

56% 35% 24% 22% 9%

7%

24%

14%13%

-2%

63%59%

38% 35%

7%

Mechanical Civil I&C Piping D Electrical

SOW Deliverable Progress

Earned Gap Plan

January

91% 77% 52% 44% 53%

7%

72% 71%

37%

51%

32%

Mechanical Civil I&C Piping D Electrical

SOW Deliverable Progress

Earned Gap Plan

March

Major Project Minor Milestones

Issued For

Construction

Target % Complete

Issued For

Construction

Actual % Complete

30% 30%

30% 25%

30% 5%

30% 0%

30% 10%

30% 25%

30% 10%

10% 5%

30% 0%

30% 45%

30% 30%

30% 25%

30% 25%

10% 15%

30% 65%

30% 20%

30% 15%

20% 20%

25% 10%

25% 10%

Comp packer / liquid purge

Engineering Project Sample

Replace reactor cyclones

Replace BFW deaerator

Install flow meters to regenerator

Upgrade the field enclosures

Precip electrical upgrades

Install new mini blower vent flow meter

Revise bypass signals

Reactor pipe and support repairs

Mini blower speed control

Install new BLR

Upgrade steam drum level transmitter

Deaerator instrumentation upgrades

Upgrade attemperation control valve

Replace jacket water cooler

Flare header replacement project

Service flow meters / add thermowells

Burners project

Replace superheater tubes

Install new CO analyzers

0%

20%

40%

60%

80%

100%

Mar-16 Apr-16 May-16 Jun-16

Engineering Projects

Actual Target

Multi-Discipline Optimization

Theoretical Maximum Performance (TMP™)

TMP™ is a process for engaging

front line crews and contractors

to determine the best way to

execute a plan.

TMP™ is a results-driven

planning tool focused on

one thing − perfection.

Challenge and Engagement

• Over 500 attendees at

the 7 TMPs™ and 21

schedule quality reviews

• Overall line items went

from 7,000 to 12,000 in

the Primavera schedule

• Identified over 550

discrete actions to

improve/strengthen

schedules

Challenge and Engagement – The Result

Turnaround CostCost Relative to Budget

40%

30%

20%

10%

0%

-10%Execution

May 2015

TAR 3

Dec 2014

TAR 3

Dec 2014

Turnaround DurationDuration Relative to Plan

25%

20%

15%

10%

5%

0%

Execution

May 2015

Improvement in Execution

Execution:

One-page

Management

Daily Look Ahead Meetings:

20% Backward, 80% Forward Looking

Graphs % of work complete

and hours planned vs.

earned

3 days look ahead

Success stories

New schedule every day

Action plans and

lessons learned captured

Real Time Lessons Learned

• 138 lessons learned captured (>95% during TA)

• ~15% implemented within event (capture benefit … Now!)

• 34% applicable to upcoming TA

Phase I Turnaround: Lessons Learned Capture Card

Mission Control

Detailed

Visual

Sequence

US Refinery

Step Change Results

13% 22% 10% 5% 36% 47% 21% 80% 57% 20% 66% 10% 50% 0% 51% 70% 137% 62% 313% -5% 0% 8% 35% -10% 4% -6% -9% -7% -43%

-100%

-50%

0%

50%

100%

150%

200%

250%

300%

350%

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RLG Project

Principles for Turnaround Excellence

Accountability

+

Ownership

Visibility

Granularity

Challenge

Engagement

Awareness

Just in Time Learning

ImprovedBottom LinePerformance