The global economy has produced a business environment that is becoming increasingly globalized and commoditized, forcing companies in all industries to look for viable modalities that ensure that they are able to develop and sustain a competitive edge. Indeed, companies in the oil and gas industry have not been able to escape the need to be more competitive, which begins with effectively creating long-term solutions that facilitate an increase in gross profit. Some of the most effective methods for increasing profit are through increasing operational efficiency and the reduction of fixed costs.
Understanding Operational Excellence
In its simplest form, operational excellence can be understood as an integral component of organizational leadership that places great emphasis on multiples principles, tools and systems that work toward the sustainable improvement of identifiable central performance metrics.
Achieving operational excellence, however, is quite challenging, especially when considering the increased complexity in the area of extreme remote operational environments. One of the most effective approaches that many companies in the petroleum industry are implementing is the complete integration of all processes and assets into an all-inclusive management system. In doing this, the potential for a more effective and efficient operational process, results in improvements to operational costs.
Using Methodologies that Keep the Operational Process Connected
One thing that we place substantial gravity on is not allowing the complexity of remote environments to foster disconnects between mechanisms and entities that control performance. When it comes to quality management, we integrate more than 64 operational modules into a single seamless, online management system. By connecting all of our client's compliance requirements with one comprehensive solution, we provide a highly detailed perspective of their operational compliance in all key areas.
Integrated approaches to asset and operational management initially began with a goal of improving Process Safety Management (PSM) — with the primary focus being on HSE system efficiency. Due to the fact that oil and gas companies often operate in hostile environments, using hazardous materials and processes, it is imperative that these processes are effectively managed with a high level of precision and specificity in order to successfully avoid significant process-related accidents. This need for precision and safety resulted in the development of PSM programs and procedures that are normally housed within an HSE system.
Now the idea of integrated processes has been taken to an entirely different level as we work to implement safety and operational efficiency into one single integrated process, through which all variables and components of the operational process can be monitored and managed, even when functioning in extreme and remote environments.
While safety is always at the forefront of any operational process, we understand that time is money, and when time is being wasted on operational processes, the company is hemorrhaging money. As the nature of operational processes continue to increase in complexity, the ability to manage these processes through multiple mechanisms has become increasingly difficult — making it necessary to develop integrated process applications through which the entire operational system can be effectively managed.
When high-paced operations require that API Spec Q1 and/or API Spec Q2 standards be met in multiple processes that are functioning simultaneously, integrating all required standards into one measurement mechanism helps to simplify the compliance and efficiency process. When there are multiple processes that must be managed through separate systems, it is easy to have a disconnect where there are intersecting mechanisms, but integrated solutions help to resolve this issue.
We are able to facilitate operational excellence at a level that ensures that our clients are able to develop and sustain a competitive edge as well as maintain quality and safety compliance standards.
For more information on how Accupoint Software can help your organization improve operational excellence please contact us today.
When it comes to ensuring the safe handling of potentially dangerous chemicals, communication is critical. Because of this, OSHA's Hazard Communication Standard (HCS) requires that any chemical manufacturer, distributor, or importer provide Safety Data Sheets (SDS) to communicate these hazards (OSHA, 29 CFR 1910.1200(g)).
SDSs are designed to be user-friendly and must communicate the properties of each chemical product, including: the physical, health, and environmental hazards; protective measures; and safety precautions for handling, storing and transporting the chemical.
Employers are required to ensure that SDSs are readily accessible to employees for all hazardous chemicals in their workplace. Furthermore, employees must have immediate access to the information within their work area, as well as access to SDS backups in the case of power outage or emergencies. Meeting these requirements can be cumbersome and time consuming. As a result, many organizations are turning to compliance management solutions to help meet the standards.
For instance, employees can quickly access digital SDS’s using mobile devices at point of operation, while management can use software to universally update all SDSs as information changes. Quick access to safety information makes all the difference in the handling, transportation, storage, and manufacture of the applicable chemical. In addition, inventory management is also important, as chemical quantities are constantly changing, and on-hand quantities can drastically impact hazards and the prevention procedures necessary.
The process of identifying chemicals present in the workplace requires advanced processes to ensure that information is available to stakeholders and is updated in real time. In today’s global operating environment, an SDS management solution is critical to guarantee compliance to multiple regulatory and legal requirements.
For more information on how Accupoint Software can help you manage your Safety Data Sheet program, please contact us today.
For consumers, product purchase verification is simple. It means opening a package or trying a product to see that what you paid for is what you get. For businesses, the process is much different. Product purchase verification is actually serious business that requires full-time professionals with engineering degrees. The concept is important to consider both for compliance and professional reasons.
The most important component of purchased product verification is actually certifying that the product was delivered. Even a medium sized company has many good coming and going across different warehouses and locations. It is impossible for one person to physically verify every delivery. For that reason, logging every delivery in an accounting or compliance system is crucial. After the delivery is logged, it can be tracked and utilized for production or distribution. Product purchase verification also sets off the accounts payable timeline.
The next most important factor is that the product delivered meets the quality standard expected. Products that have a chemical composition such as LNG, diesel or heating oil require an engineer or chemist to verify that the product is correct. They then log the information into a software or compliance management solution to confirm the quality information.
Lastly, product purchase verification is crucial for safety. The delivered product should be stored and contained in a package that prevents it from harming workers. Additionally, it should not be placed next to any other material that could produce a strong combustible reaction. Again, professional engineers or compliance professionals must work on this process to assure nobody is injured. They log information into an online system and carefully monitor the placement of all products.
Accupoint Software is a leading provider of compliance management tools for the petroleum industry. For more information on solutions to manage purchased product verification, please contact us today.
How well do you know your supply chain? A supply chain is only strong as its weakest link. When it comes to controlling your suppliers, the better you are at understanding the entire chain and identifying weak links, the better your company will be in the long run.
The recently released API Spec Q1 9th Edition – Addendum 2 focuses on supply chain controls, specifically relating to multi-tier suppliers. As you are aware, Q1 has always required us to manage our supply chain. However, the revised requirements expand the controls to include associated (tier 2 & 3 level) suppliers that are essential for product realization.
To that end, in today’s post we will focus on a couple of tips to improve the effectiveness of your supply chain controls.
An efficient supply chain control program enables your company to reduce costs, minimize risk and satisfy customer expectations. For more information on how Accupoint Software can help your organization to improve your supply chain control program, please contact us today.
With the changing landscape of the oil and gas industry, companies are under increasing pressure to improve operational efficiencies as prices continue to remain low and margins are narrowed. In order to reduce costs and increase efficiency, many service supply organizations are implementing API Spec Q2.
Accupoint’s SAM™ solution ensures compliance and the correct documentation to meet the API Q2 requirements. It defines strategies, goals and best practices and the means to secure them. Our system provides industry best practices for all components including: service quality, risk assessment, employee training, document control, MOC, corrective actions and preventive maintenance. A comprehensive solution may seem difficult for an industry with such vast core areas to cover; however, incorporating common standards of practice is essential to realizing integrated process management and operational excellence simultaneously.
The bottom line: API Spec Q2 tells your customers that you are at the top of your class and aiming for the best in quality and delivery of services, ultimately ensuring customer loyalty, operational efficiency and growth.
Please contact us today for more information on our family of quality management systems specific to the petroleum industry.