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After the Gulf spill of 2010, we realized how valuable an organization’s goodwill can be. Goodwill is not a figment of our imaginations or some useless feature that our organizations possess. It is one of your organization’s most valuable assets and it should be listed on your balance sheet.

Earning goodwill is extremely difficult and requires patience and time. However, losing goodwill can happen overnight, if your organization is not careful. Poor practices and safety concerns can put your goodwill in serious jeopardy.

Bryan Salerno, director of the Bureau of Safety and Environmental Enforcement, recently spoke at the inaugural event for the Ocean Energy Safety Institute. He said that some firms need to go “back to fundamental engineering.” He also remarked about how regulators are increasing their focus on risk-based approaches in order to prevent future disasters.

To help facilitate a risk-based approach and ensure that your organization maintains and increases its goodwill, it is important that you have a system in place. To see how Accupoint’s solutions can help mitigate risk and protect of your firm’s goodwill visit accupointsoftware.com or call (800) 563-6250.

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Shell Oil Co.’s vice president of health, safety and environment, Dwight Johnston, thinks he has found the key to offshore safety. Shell has experienced a decrease in injuries since they implemented a program to improve the quality of life for its workers on its offshore facilities.

Shell’s “Care Councils”, which consist of workers from various disciplines, meet to discuss how to improve the facilities where workers live for two or three-week stretches.

The workers on these offshore facilities are either working, eating or sleeping while offshore. Johnston feels that if you give employees a comfortable bed that it will translate into a more well-rested, and ultimately safer worker. Shell has supplied foam mattresses to offshore workers and has already experienced four straight months without an injury.

These “Care Councils” seem to be an effective way to increase safety and improve employee morale. Shell plans to continue “Care Councils” and expand into areas such as which workers get priority on the helicopter rides home for family events.

To see how Accupoint can improve organizational safety and efficiency visit accupointsoftware.com or call (800) 563-6250.

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The updated API Spec Q1-9th edition has raised a number of questions. One of the most frequent questions is what constitutes a critical supplier and how do we verify that their QMS conforms to our internal requirements?

Let’s start by answering what a critical supplier is. Basically, the term “critical” is defined by your organization. If your organization cannot survive without this supplier then this supplier should be considered “critical.” These suppliers should play an integral part in the production of your finished product. Keep in mind that “critical” can also refer to the amount of money that is spent with this supplier. It is important that we regularly evaluate our suppliers to insure that their quality, delivery and response performance meet our internal benchmarks.  Maintaining supply chain performance is essential to your bottom line, as well as compliance with Spec Q1-9th edition requirements.

Next, let’s look at how to verify that your suppliers’ QMS conforms to the requirements of your organization. You need to outline the specific certification(s), if any, required of your suppliers.  If you require certification, then you can rely on the results of a third party auditor to verify that an acceptable system is in place.  If you plan to handle supplier audits internally, then you will need to develop site-specific criteria for each supplier.  After your initial audit, you will need to conduct regular surveillance audits to verify continued acceptability of the supplier system.

Supplier management is one of the key components of the 9th edition requirements.  It is important that your organization maintains a comprehensive supplier management program with the ability benchmark performance metrics.

To find out about how Accupoint Software can help you with effective supplier management programs, as well as the other requirements of Q1- 9th edition, call 800.563.6250 or visit our website at www.accupointsoftware.com.

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Internal audits are a great way to help improve the company’s processes, as well as identify areas for improvements.   However many organization struggle to develop an effective and value added approach to performing an internal audit.

Conducting a successful process audit is a relatively simple process.  In the past, I have utilized an approach that is illustrated using the following graphic:

Picture
Simply pick a point in the process and then work forward or backwards from there.  For example,   we can start the audit by choosing a random part number or process and can touch  every organizational aspect from there. 

We can check the documentation to insure that the correct material was used.  We can verify that the vendor is approved and take a look at their quality and insurance certificates.  We can review the vendor’s on-time and quality performance metrics.

We can look at the process documentation.  We can review control plans, FMEA, flow charts, operation
standards, process set-up instructions, blueprints and inspection instructions.  We can verify that these items were properly controlled and that the operator was using the most current revisions.

If we chose to, we could review training records of the operator(s) to verify that they have been certified to perform the process.  In addition, we can review the inspection equipment used to check the product and verify that it has been properly calibrated.

We can review the inspection records, CAPAs, Deviation Requests or Customer complaints.  In fact, there are no constraints as to where the audit trail can take us.

Using this approach we can get a very specific snapshot of operational compliance to required standards.  Furthermore, utilizing audit results to drive continuous improvement yields enormous benefits to the organization.

For more information on how Accupoint Software can help your organization transition to an automated internal audit system, please call us at 800.563.6250 or click here for more information on our flexible,   cloud-based compliance solutions.

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As an addition to our continuing series on Non-Productive Time, we have compiled a list of the top five causes of NPT:

    1.     Lack of comprehensive competency/training programs.

    2,     Lack of effective procedures, or adequate understanding of established procedures.

    3.     Absence or lack of effective preventive maintenance programs.

    4.     Lack of contingency planning.

    5.     Lack of an effective change management program.

For more information on how Accupoint‘s  SAM solution can help your organization minimize NPT, contact us at 800.563.6250 or visit our website to arrange a demonstration of our flexible, cloud based Spec Q2 management solution.
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Non-productive time (NPT) is a dreaded term in the drilling industry, referring to any period where operations are stalled due to inefficiencies, equipment failures, or human error. It translates to wasted resources, budget overruns, missed deadlines, and overall decreased productivity. While NPT is often seen as an unavoidable challenge, the reality is that much of it is preventable with the right strategies in place.

The High Cost of NPT in Drilling
Drilling contractors and operators recognize the heavy toll that NPT takes on financial performance and operational efficiency. Common consequences of excessive NPT include:
  • Increased Costs: Every hour of downtime adds expenses without generating revenue.
  • Project Delays: Setbacks can cause cascading delays across an entire project timeline.
  • Equipment Wear and Tear: Unplanned stoppages and frequent restarts can accelerate equipment degradation.
  • Regulatory and Compliance Risks: Extended NPT can lead to safety concerns and potential non-compliance with industry standards.

Why Root Cause Analysis is Essential
One of the most effective ways to minimize NPT is by learning from past mistakes through root cause analysis (RCA). This process involves identifying the underlying causes of downtime rather than just addressing immediate symptoms. Unfortunately, many companies take a surface-level approach, patching the first issue they find and moving on, without fully investigating deeper systemic problems.

Without a structured RCA process, businesses risk repeating the same costly mistakes. A thorough approach includes:
  • Data Collection: Logging detailed NPT events, including operational and environmental conditions.
  • Categorization: Classifying the types of failures (mechanical, human error, supply chain issues, etc.).
  • Analysis & Resolution: Identifying patterns and implementing corrective actions to prevent recurrence.

Leveraging Technology to Reduce NPT
To conduct a comprehensive RCA and effectively communicate findings across teams, companies need the right tools. Accupoint’s SAM solution provides a cloud-based platform that streamlines the entire RCA process by:
  • Automating data collection and categorization of NPT events.
  • Providing real-time analytics to identify trends and recurring issues.
  • Offering a centralized system for documenting corrective actions and ensuring accountability.
  • Enhancing communication between compliance teams, field operators, and management.

Take Control of Your NPT Reduction Strategy
The key to reducing NPT lies in proactive analysis, clear documentation, and implementing long-term solutions. With Accupoint’s flexible, cloud-based Spec-Q2 management solution, companies can systematically track and eliminate inefficiencies.

Want to minimize downtime and improve operational performance? Contact us at 800.563.6250 or visit our website to arrange a demonstration.
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 In today’s post, we would like to discuss one of the essential additions to Spec Q1-9th edition: Risk Assessment and Management.

With the Deepwater Horizon incident of 2010 still fresh in our minds, we are all aware of the consequences of failing to acknowledge and address risks. However, it’s also important to realize that catastrophic incidents are neither inevitable, nor something we should have to accept as we pursue operations. Correctly managing our technology and processes can allow us to mitigate risk without impacting productivity.

To begin, let’s take a look at the requirements of Spec Q1-9th edition standard:

The organization shall maintain a documented procedure to identify and control risk associated with impact on delivery and quality of product. The procedure shall identify the techniques, tools, and their application for risk identification, assessment, and mitigation.

        Risk assessment associated with product delivery shall include:
                a) facility/equipment availability and maintenance; and
                b) supplier performance and material availability/supply

        Risk assessment associated with product quality shall include
                c) delivery of non-conforming product
                d) availability of competent personnel

Records of risk assessment and management including actions taken shall be maintained.

Spec Q1 emphasizes the importance of managing the risks related to facilities, equipment, materials, non-conformities, and personnel. So let’s explore the concept of risk management more fully, and review some composite factors that have been identified in past incidents:  

        1.    Lack of Commitment-. Management sets the tone and culture of an organization, and there is a strong correlation between the level of managerial commitment and corresponding incident rates.

        2.    Flawed Management of Change- A large percentage of incidents take place after changes to a process or procedure.  Implementing an effective management of change procedure and, more importantly, evaluating                  those efforts can dramatically reduce incident rates.

        3.    Inadequate Focus- In the race for productive operations, organizations tend to place an emphasis on response, rather than prevention. Building risk management into your processes from the beginning can help reverse that             trend and lead to positive impacts to the corporate culture.

        4.    Ineffective Communications- In many cases, information is spread throughout the organization, with different departments having a piece of the puzzle.  As an organization grows, this problem becomes worse. An effective         risk assessment/management system reduces barriers to communication and improves communication systems.

In our next post, we’ll look at ways in which technology can be used to mitigate the items identified above and help your organization develop a world class compliance management system.

For more information on how Accupoint ‘s solutions can help your organization manage risk, contact us at 800.563.6250 or visit our website to arrange a demonstration of our flexible, cloud based API Spec Q1 management solution.
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Achieving compliance with API Spec Q1-9th Edition and/or API Spec Q2 can be challenging for any organization. Accupoint Software is committed to providing oil and gas manufacturers and service providers with everything they need to become compliant.

As such, Accupoint is extremely proud to provide, at no cost, our overviews of the API Spec Q1-9th edition and API Spec Q2 requirements. In these guides, we break down the major components of each standard and explain, in clear detail, what the requirements mean for your organization.

Click here for our guide to API Spec Q1-9th Edition

Click here for our guide to API Spec Q2

Also, please drop us a line on Twitter, join our LinkedIn group, or comment below to let us know what you think and what kinds of content you would find helpful.

As always, if you’re interested in cutting edge solutions to your compliance needs, contact us or request a demo today!

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As we mentioned in our previous post on preventative maintenance programs, the vast majority of catastrophic incidents are not the result of a single factor.  Time and again, however, a lack of effective communication appears as a root cause.

Specifically, a lack of communication with respect to policy, procedures, process or instructions can result in ill-informed employees and a failure to identify hazards.  How can an organization manage this communication process with respect to proposed changes within the organization?  One way is to develop and implement an effective Management of Change program. 

Management of Change (MOC) is defined as a process used to prevent an incident or loss by identifying, assessing, managing, documenting, and communicating proposed changes prior to implementing them.  The complex nature of MOC causes many companies to struggle with implementing an effective system.  Often, existing MOC is accomplished using a manual system of spreadsheets which result in increased costs, time delays and lack of visibility. 

One common obstacle to an effective MOC program is the tendency to route all information or all changes through an MOC program.  This is not necessary and often is detrimental.  Develop the MOC program so that only necessary information moves through the process.  Typically, MOC is NOT required when the change is like for like or kind for kind.

That being said, let’s turn our attention to program structure.  There are six basic steps to an effective Management of Change program:

1.       Initiation
  • During this stage, the requested changes are documented with related details and submitted to the appropriate parties for the advancement of the project.

2.       Impact Analysis
  • Impact analysis determines how the proposed changes will affect operations, as well as similar processes.

3.       Approval
  • During this stage, the appropriate parties approve the proposed changes and modifications.

4.       Execution
  • During execution, the program will communicate the change, verify the tasks, and integrate with customer requirements.

5.       Review
  • Review is an after-action evaluation to determine effectiveness and lessons learned, as well as a transfer of knowledge. 

6.       Closure

A well-documented Management of Change (MOC) program can be used to demonstrate an organization’s commitment to due diligence in risk mitigation efforts.  By effectively implementing and communicating proposed changes, you ensure a safer, more informed and more efficient work environment that reduces liability and prevents incidents.

To learn how Accupoint’s cloud-based solutions can help streamline your Management of Change process, please call us toll-free at 800-563-6250 or visit us at www.accupointsoftware.com

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