Continuous Improvement: A "Win ... Win" Process
Authors: Lawrence Terry , Wichert Art 
Published: March 2010

Implementing a Continuous Improvement (CI) process within PanCanadian's oil and gas production operations might have been a simple assignment if one were not also trying to caprure the hearts and imaginations of the people in a changing work environment. Meeting the challenge is resulting in big payoffs to both the organization and its people.

This paper discusses the plan used within the Company's Production Division to successfully introduce the CI process. A brief insight is provided on the process philosophy, with emphasis placed on the planning, training and coaching used to launchhe process. Also reviewed at length are the impediments to change and the challenges faced when changing ::m organization's culture.

In a CI work environment, the supervisor's traditional role changes from one of monitoring and controlling [0 one of inspiring motivating and leading people by communicating a clear vision_ Employees at all levels in the work environment are organized into teams and armed with a good working knowledge of the problem-solving tools which allow them to pursue and implement improvement initiatives.

The outcome of the process is an ongoing "win ... win" situation for both the Company and its people. Employees are gainingore trust, eliminating job irritants and enjoying their work more in a team environment. The Company is winning through increased production improved safety and reduced operating expenses, thanks to the many innovative ideas which the employees have implemented.

Introduction

In a rapidly changing business climate, Darwin's theory of survival holds equally true for corporations. It's not necessarily the big and strong who will ultimately survive but those who adapt the fastest to changing conditions. With long-term survival acting as a catalyst. PanCanadian Petroleum Limited. In the spring of 1990 embarked on changing its culture. The Company wanted to become less rigid by breaking down its structure and empowering mployees to react quickly to potential business opportunities. To achieve the transformation. TeamPro Services Ltd., an Alberta company specializing in CI implementations, was hired to assist PanCanadian line management in developing a new operating philosophy and implementation plan. The initial mandate was to involve the entire Production Division.

There are a total of 480 employees within the Production Division, of which 405 are located in five field production districts. A resident Production Superintendent Supervises each district and reports to one of three Production Managers in Calgary. The majority of the production accounting work is done in the head office, which also provides most of the engineering support for the field operations. However, there are two or more engineers in each district reporting to Calgary-based Engineering Supervisors.

The CI process which was launched in June 1990, has had a significant impact on how the Company does its business. The intent of this paper is to briefly describe the CI concepts and philosophy adopted by the Production Division, followed by a major discussion of the implementation plan with highlights of what worked well and what could be improved in similar situations.