MAERSK OIL QATAR CASE STUDY

BACKGROUND

In order to win and extend the extraction license to the hugely valuable Al Shaheen Oilfield, MOQ needed to rapidly demonstrate significant efficiencies in current operations.

MOQ planned a cost reduction programme targeting savings of $250m in operating costs and set a target headcount at 800 – a 30% reduction, all in just 12 months.
During the same period oil prices dropped from over $100 a barrel to $28.
MOQ purchased a PCS license and Organisational Performance Dashboard and employed a team of executive coaches trained in PCS to work with the key leaders to deliver the required savings.
In a 9-month intervention between July 2014 and March 2015, PCS was deployed across 28 teams and 33 leaders both onshore and offshore.
Leaders all received monthly coaching support and teams received quarterly PCS development workshops aimed at alignment and performance.
The predecessor to the current PCS system was used to support MOQ comprising 4 segments and 12 focus areas.
The average climate scores increased from 72.6% to 77.9% whilst undergoing major cost transformation.
26 of the 28 teams reported an improvement in climate scores.
The most significant increase in a team was from 57.8% to 79.2%. The number of teams scoring over 80% rose from 2 in the first round of measures to 11 in the second.
Areas of most significant improvement across the organisation: Team Balance: 14.3% improvement between first and second measures, Performance Management: 11.8%, Resourcing and Structure: 10.8%.

SCORE 76.6%
All 12 focus areas of the PCS diagnostic increased across the two rounds of measures with Team Balance,

As well as the climate scores demonstrably improving by over 7% over the 9-month intervention, MOQ:

Successfully reduced headcount.
Achieved $250m operational cost reduction.
Saw every single measure of business performance improve including health and safety measures, staff satisfaction, wellbeing, quality and risk scores.
Increased production by over 10% and remained consistently above 300,000 barrels per day; the highest recorded was 334,000.

Discover how the Performance Climate System can help your business and book a demo, contact us: