Client: KOC
Industry: Oil and Gas
The Organization
Kuwait Oil Company’s responsibilities under the KPC umbrella are the exploration, drilling, and production of oil and gas within the State of Kuwait. Kuwait Oil Company is also involved in the storage of crude oil and delivery to tankers for export.
Problem
KOC was undergoing a major transformation to enable the company to achieve its 2030 strategy (Increase production to 4 Million barrels per day, from 3 Million). Culture change was identified by the company and by external consultants as a critical factor in achieving the strategy and making this transformation possible.
Solution
Grid International was invited by KOC management to help develop a Culture which could drastically enhance the commitment level of the people to support and commit to the strategy.
The project was initially set for one year but was later extended for an additional 6 months. People who were engaged in the project came from the top 4 layers in the organization structure, starting with the leadership team down to senior engineers, with a population of 350 Change Agents and 120 teams.
Responsibilities
Results
Deliverables and results: Evidence of Culture change was captured during ongoing surveys and even more significantly, witnessed through enhanced relationships and behavioral dynamics “on the ground”, with an immediate impact on the business, including:
- reduction/elimination of “silo thinking” between various departments and businesses
- higher quality coordination and cooperation across teams and departments
- better quality decision-making based on deeper inquiry and advocacy standards
- higher level of involvement leading to more initiative being undertaken by employees
- greater success in resolving conflicts resulting from greater openness and candor
- higher satisfaction from employees’ enhanced ability to give and accept feedback
- stronger employee commitment to the organizational mission.
Significant progress was captured through observation, individual and team case studies, and through surveys conducted by the organization and by Grid consultants. At the operational level, KOC has been able to meet the international standards for the required FLAIR ratio, which is less than one. To quote just one very clear example of the impact of Culture on the business, enhanced decision making at operational level was reflected in the company’s ability to successfully handle a major fire in one of its wells two years ago – changed behavior resulted in minimal fatalities and in the saving of tens of employee lives. According to the Health and Safety Field Director on foot of the internal accident investigation, quick decision-making and initiative by the shift leader resulted in the saving of lives in a way that could not have been envisioned under the previous Culture, where lack of trust and institutionalized bureaucracy had necessitated two or three approvals before a major action with the pumps could have been taken.
The new focus on Culture has contributed to saving hundreds of millions of dollars from Oil Field operations at KOC. The hugely improved relationships and ability to resolve issues in a constructive manner among team members has improved productivity and employee retention; former inefficiencies that caused delays in exploring new wells; a lagging behind in excavation work, and quality issues that contributed to lower maintenance standards have been more positively addressed and are being replaced by higher quality standards and application.
