Case Study

Continuous improvement in the Oil & Gas sector: An operational excellence project

Goals: increase production, reduce operational costs, and eliminate logistical inefficiencies

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Global reference in the Oil & Gas sector

This project was conducted at one of the world’s leading companies in the energy sector, renowned for its highly complex operations in remote and demanding environments. Internationally recognized for its impact and operational maturity, the organization has a long-standing commitment to efficiency, safety, and sustainability. For several years, the company has been investing in Lean programs and actively promoting a culture of continuous improvement, engaging teams across all functions.

The focus unit for this project, dedicated to production, was considered strategic to the company’s overall performance. However, it was facing critical constraints that were putting significant pressure on operational costs and limiting its performance.

Overcoming operational and logistical barriers

Despite its installed potential, the unit was experiencing significant production losses, consistently falling short of its designed output. Critical equipment showed low reliability and availability, while engineering projects were frequently delayed due to a lack of parts and components. The logistics system was overloaded, with a large number of parts held up at the port, and the number of personnel on board had surpassed recommended operational limits, directly impacting OPEX.

Implementing a culture of continuous improvement

The project followed a structured approach built on three interrelated pillars:

• Kaizen leadership and support: This pillar focuses on establishing strategic alignment and mobilizing leadership. A Mission Control Room was implemented—a visual management space where different departments meet regularly in a structured way to analyze data, monitor key performance indicators, track plans, and coordinate rapid response actions when needed. This room serves as a decision-making hub, fostering a culture of focus, accountability, transparency, and agility, with leadership actively involved in managing operations.
• Daily Kaizen: Focused on transforming behaviors and team culture onsite, this pillar introduced daily management routines and visual dashboards to monitor and control operations in real time. These mechanisms ensure that work is planned and executed as expected, that operational goals are monitored, and that corrective actions are triggered whenever deviations arise, promoting continuous improvement in the team’s daily routines.
• Kaizen Projects: Focused on optimizing critical processes to improve operational efficiency. These improvement events applied Kaizen and Lean best practices to increase efficiency, reduce waste, optimize equipment performance (such as compressors), and streamline the entire material flow.

Sustainable gains in production, efficiency, and costs

The structured application of the Kaizen approach led to significant, measurable improvements in a challenging operation. Achievements included:

• 27% increase in production, reaching the expected output aligned with installed capacity.
• 20% reduction in the number of operational personnel, reflecting productivity gains and improved resource allocation.
• Complete elimination of the logistical backlog, with zero parts retained at the port and a normalized materials flow, generating financial gains.
• Operational efficiency improvements in the production technology department, directly reducing costs and optimizing the use of FTEs.

This project demonstrates how an integrated continuous improvement approach can deliver sustainable gains in challenging industrial environments such as the Oil & Gas sector.

We are committed to respecting our clients’ confidentiality. While we have altered or omitted their names, the results are genuine.