Managing the Drilling Function
- John Willis (Occidental Oil & Gas Corporation) | Richard Jackson (Occidental Oil & Gas Corporation) | Harris Swartz (Occidental Oil & Gas Corporation)
- Document ID
- Society of Petroleum Engineers
- SPE Annual Technical Conference and Exhibition, 24-26 September, Dallas, Texas, USA
- Publication Date
- Document Type
- Conference Paper
- 2018. Society of Petroleum Engineers
- 1.6 Drilling Operations, 4.1.2 Separation and Treating, 4 Facilities Design, Construction and Operation, 7.2 Risk Management and Decision-Making, 4.1 Processing Systems and Design, 7.2.1 Risk, Uncertainty and Risk Assessment, 7 Management and Information
- Drilling, Function, Mangement
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- 297 since 2007
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An international company with multiple drilling groups in separate business units on three continents created a global drilling function that increased organizational capabilities and minimized overhead costs. The organization has encompassed up to 13 separate drilling groups and a headquarters staff organization. The new structure, primarily involving land operations, has demonstrated success for more than 5 years.
The processes and systems described herein have some special design feature for drilling, or are unique among the functional organizations of the company. These include identification of important areas, the role of the headquarters group, drilling group structure, systems, and systems components. The processes used in the drilling function that are common to all large organizations are not covered.
Several important conclusions have been demonstrated. Standards and guidelines must provide balance between risk management, innovation, and allowance for unusual situations. Consistency of positions, responsibilities, and processes across all business units enables efficient, standardized global processes. An organized system to create communication between business units can stimulate exchange of ideas, experiences, and technology that otherwise would not be communicated, not for lack of desire, but simply due to the demands of the day-to-day business.
Technically complex systems managed globally justify greater investment and support, and deliver superior results to specialized local systems. Non-complex systems that require low-level customization for separate units may be more effective and economical when managed locally. Management of staff movements and career development across business units provides more consistent opportunities and global optimization of staff capabilities.
Given the number of large oil companies, it is safe to presume that many approaches to managing the drilling and other functions have been used. However, few approaches are published. This paper presents a comprehensive overview that can aid in the development or refinement of functional organizations.
|File Size||862 KB||Number of Pages||17|
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