Optimizing Quality Management Processes in Supplier Deliveries

Transcription

1 Optimizing Quality Management Processes in Supplier Deliveries Oljebransjens Innkjøpskonferanse Stavanger, September 27, 2017 Hans Andersson, VP Supplier Quality, Accreditation and Development Aker Solutions 2017 Aker Solutions

2 Global Presence Aker Solutions is based in more than 20 countries and 50 locations in Europe, Africa, the Americas, Asia Pacific and Middle East Aker Solutions Innkjøpskonferansen Slide 2

3 Organizational Set-Up Reflects Our Business Workflow Customer Management Front End Products Projects Services Early client engagement Project execution Life-of-field services 2017 Aker Solutions Innkjøpskonferansen Slide 3

4 Supply Chain Is a Key Area for Aker Solutions ~16 BNOK annual spend 800 supply professionals 8000 suppliers / year Top 100 suppliers represent > 50% of spend EMEA North and Latin America 12,7 5, ,1 1,0 100 Supplier spend Employees APAC Supplier spend Employees 1,0 2,0 200 Supplier spend Employees Source: ERP Aker Solutions Innkjøpskonferansen Slide 4

5 #thejourney Global improvement program targeting minimum 30 percent improvement in cost-efficiency across company Achieved more than 80 percent of cost-efficiency target 2Q 2017 NOK 9,000,000, Aker Solutions Innkjøpskonferansen Slide 5

6 A Supply Chain in Transformation Procured materials, components and equipment constitute a significant part of cost in many execution projects Scope of Work is normally client specific / custom built Extensive processes have been established to follow up supplier work Review of supplier documentation Detailed follow up of deliveries On site visits, inspections and testing Including 2nd and 3rd tier supplier levels Cost reduction requirements and oil price driving a standardization and moderation process 2017 Aker Solutions Innkjøpskonferansen Slide 6

7 Optimizing Management of Supplier Quality Integrity and control of quality in product and manufacturing processes is an absolute requirement Aker Solutions and our clients have up to now been a very active and integral part in quality management of supplier deliveries Often involvement after the work is done by supplier No longer viable to operate with the cost and lead time coming from extensive verification activities through the whole supply chain Need to standardize and simplify processes, under solid quality management, and do things right the first time Inspection does not improve the quality, nor guarantee quality. Inspection is too late. The quality, good or bad, is already in the product. As Harold F. Dodge said, You can not inspect quality into a product. W. Edwards Deming Out of the Crisis 2017 Aker Solutions Innkjøpskonferansen Slide 7

8 Supplier Accreditation Aker Solutions started a process of supplier accreditation in 2017 To proactively review processes & capability of quality management in supplier manufacturing processes Starting with selected suppliers within Subsea area More trust - and responsibility - in suppliers own processes and expertise Our suppliers need to demonstrate solid processes for quality management, including high integrity inspection and test processes in manufacturing and products 2017 Aker Solutions Innkjøpskonferansen Slide 8

9 Accreditation Process - the Audit is Only the Start Traditional «ISO» audit well known in the industry Normally concluding with a number of findings or observations to close and then finished Accreditation process goes longer the audit is just the starting point (gap analysis) In the improvement workshop the supplier can respond to the compiled information from performance analysis and audit When status Accredited is achieved: Monitoring and continous improvement of performance Supplier Accreditation Process PLANNING Supplier Selection for Accreditation PREPARATION Supplier Performance Check SUPPLIER ACCREDITATION Process Audit (gap analysis) Supplier Improvement Workshop Action item verification/close out ACCREDITED SUPPLIER Monitoring and continuous improvement 2017 Aker Solutions Innkjøpskonferansen Slide 9

10 Platform for Higher Standardization Accreditation of Suppliers will be platform for standardization and leaner work flows: Optimized quality surveillance processes Optimized supplier documentation levels Pre-approved manufacturing processes at suppliers Reduced purchase order administration Moving more of manufacturing and quality assurance processes over on suppliers own standard processes Removing extensive double work (reviews and inspections) while still maintaining quality levels through more standardized and proven processes (reuse) 2017 Aker Solutions Innkjøpskonferansen Slide 10

11 Experiences High interest in the new concept from clients and suppliers Supplier accreditations and certifications already exist within other industries e.g. aerospace which is promising for the process. Examples of success from early engagement with the client reduction of documentation level Reduction of inspection levels based on review of performance and process control 2017 Aker Solutions Innkjøpskonferansen Slide 11

12 Going Forward Investments in more standardized processes have been pursued before. Not always achieving acceptance in the project focused Oil & Gas world, and too often ending up as waste. To change into more standardized and industrialized processes is necessary for the future, but requires management focus and drive for organizations to accept and utilize the new processes Aker Solutions Innkjøpskonferansen Slide 12

13 2017 Aker Solutions

14 Copyright and Disclaimer Copyright Copyright of all published material including photographs, drawings and images in this document remains vested in Aker Solutions and third party contributors as appropriate. Accordingly, neither the whole nor any part of this document shall be reproduced in any form nor used in any manner without express prior permission and applicable acknowledgements. No trademark, copyright or other notice shall be altered or removed from any reproduction. Disclaimer This Presentation includes and is based, inter alia, on forward-looking information and statements that are subject to risks and uncertainties that could cause actual results to differ. These statements and this Presentation are based on current expectations, estimates and projections about global economic conditions, the economic conditions of the regions and industries that are major markets for Aker Solutions ASA and Aker Solutions ASA s (including subsidiaries and affiliates) lines of business. These expectations, estimates and projections are generally identifiable by statements containing words such as expects, believes, estimates or similar expressions. Important factors that could cause actual results to differ materially from those expectations include, among others, economic and market conditions in the geographic areas and industries that are or will be major markets for Aker Solutions businesses, oil prices, market acceptance of new products and services, changes in governmental regulations, interest rates, fluctuations in currency exchange rates and such other factors as may be discussed from time to time in the Presentation. Although Aker Solutions ASA believes that its expectations and the Presentation are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved or that the actual results will be as set out in the Presentation. Aker Solutions ASA is making no representation or warranty, expressed or implied, as to the accuracy, reliability or completeness of the Presentation, and neither Aker Solutions ASA nor any of its directors, officers or employees will have any liability to you or any other persons resulting from your use. Aker Solutions consists of many legally independent entities, constituting their own separate identities. Aker Solutions is used as the common brand or trade mark for most of these entities. In this presentation we may sometimes use Aker Solutions, we or us when we refer to Aker Solutions companies in general or where no useful purpose is served by identifying any particular Aker Solutions company Aker Solutions Innkjøpskonferansen Slide 14