Setting and Achieving Technical Limit Goals in Well Construction by Enabling the Talents, Energies and Attributes of People.
Authors: Scott P.W. , Bond D.F. 
Published: October 2008

Technical Limit is an approach to well construction management that has resulted in a step change in Woodside's drilling and completion performance. The method has resulted in halving average historical drilling time and executing subsea completions in less than half benchmarked times. This paper focuses on the management "soft" issues that complemented the approach and provided for achievement of outstanding performance. From goal setting to detailed planning and execution, breakthrough performance based on Technical Limit required a special environment in which all could perform. Attributes of this environment and the difficulties and emotions experienced by the team members will be described.

Introduction

Technical Limit is a term given to operational performance which could be described as perfect. Woodside drilling groups have used the concept as a baseline reference point for planning and execution of well construction projects. The approach has proved effective as a tool in reducing cost and improving well value, as described by Bond et al1. While Technical Limit has maximized opportunity for improvement, its application has created management difficulties because of its rigour and candidness. Adoption of Technical Limit as a goal brings with it a requirement for excellent people and a special environment for them to work in. We are engineers, not psychologists, and so have struggled With the latter. But when we have paid attention to this "soft" aspect, we have been rewarded generously. To bring some order to the diverse ideas covered we have discussed them under the fundamental project steps of planning and execution. The first application of the method was on the Wanaea and Cossack projects on the North West Shelf of Western Australia. Well construction on the project consisted of three new wells, three re-entries with liner installations and six subsea completions. This work was completed 20% under a budget of A$70 million (US$50 million). It was the experiences on this project that molded the opinions expressed in this paper. Figure 1 will be used to reference our project team's emotion swings that we witnessed on the project, which were the triggers for management action. Subsequent operations using the same rig and many of the same services have shown consolidated performance. (See Fig.2)

Planning

Goal Setting.

The starting point of planning must be the agreement on objectives and setting of goals. Without a destination, the journey lacks direction and efficiency. The Technical Limit tool was first used to determine what was possible, in minimizing time taken to construct our wells, by either defining the theoretical well or analyzing past/offset performance data or both. The methods are described by Bond et all. When applied to historical data, Technical Limit identified some 50-60% of well construction times were removable. This assertion was extremely hard to accept, particularly by people who had been part of the previous performance. Feelings included "I put every effort into those wells, they weren't that bad!" and "This is saying I'm poor at my job. It can't be correct." Reactions ranged from total dismissal of the Technical Limit theory to prolonged discomfort. Pride and confidence took a real battering. Area 1 of Figure 1 represents this negative reaction which people must be led through.