Real-time, accurate, comprehensive, at-a-glance access to this information provides the edge that is needed to stay competitive.
Lifting costs. Lifting costs per barrel of liquid gas equivalent is one of the fundamental performances, demonstrating the extent to which a company is controlling operating costs. Annual lifting costs divided by annual production in barrel of liquid gas equivalent is the basic formula for calculating lifting costs.
Furthermore, it can reveal how efficient a company is at getting product out of the ground. Lifting cost is also considered a metric used in peer comparisons.
Every gas and oil company measure themselves to some degree. These measurements are always based on historical information. While there is certainly a value in historical analysis, it is a fundamental principle of Key Performance Indicators (KPI) to be current or forward looking metrics. Additionally, it is also critical that KPIs be closely aligned to strategic company goals and implemented in such a way as to support positive change.
Key Performance Indicators (KPI) in gas production can be highly effective for exposing, quantifying and visualizing muda (the japanese lean term for waste). The essence of Japanese lean manufacturing and the central theme of the Toyota Production System (TPS) is to eliminate waste - in other words, to eliminate all activities that do not add value for the customer. Effective KPIs in quantify waste of gas production; provide an early warning system for processes operating outside the norm, and offer significant hints as to where improvement efforts should be focused.
Key Performance Indicators in gas production are also highly effective motivators. Motivation theory (i.e. work or organizational behavior) is a complex field with many diverse opinions; however, there is big agreement that a central key to effective motivation is setting challenging but attainable goals (e.g. SMART goals, which are Specific, Measurable, Achievable, Realistic, and Time-Specific). SMART goals are excellent ingredients for KPIs.
Effective KPIs in gas production can energize the plant floor - unleashing competitive spirit and promoting kaizen (the Japanese lean term for continuous improvement). This can be achieved by providing both a ?will? and a ?way?.
Key performance indicator in gas production must also provide meaningful, reliable, and accurate information. Thus, it is important to carefully document and define the methodology of measurement before implementing a given KPI. Desires and goals are often vague, whereas Key Performance Indicators are very specific. Since KPIs are indicators of progress and performance in gas production, it is vital that everyone that uses them be able to trust in their accuracy.
How Can Key Performance Indicators Help My Company? Can you imagine driving your car without a fuel gauge or at least a speedometer? Driving solely based on your rear-view mirror without side-view mirrors? This is exactly the current situation that exists on most plant floors today. Effective KPIs enable directors, managers, and operators to keep their fingers on the pulse of the plant floor or the drilling field.
Here are five steps to creating and maintaining effective Key Performance Indicators for your gas production plant:
- Study all strategic goals of your company.
- Carefully sort, select, define, and document KPIs that will drive the desired behavior.
- Create the ?will? and the ?way? as I described above (e.g. educate, echoe train, and listen).
- Begin using the KPIs to drive improved performance of both managers and employees.
- Do it again. Lean (Kaizen) is a continuous improvement process. That means your KPIs should evolve as needed to best match the current strategic goals of the company, even in the future plans.
It Key Performance Indicators
Develop a high performance workforce with key performance indicators that capture and describe what powers your individual employees. This article will provide you with information that can help you evaluate employees whose performance is beneath their potential. Whether you're an executive, a manager or a supervisor, the following information will be beneficial to you.
Have you ever wished employees came with instruction manuals? Key performance indicator reports are like instruction manuals, filled with essential information about your people. Are you looking for a powerful management tool that will give you the answers you need to find out what makes your employees strive to do their very best?
When you evaluate your employees, especially those whose performance doesn't match up to their potential, be sure to ask these questions:
- Can they do the job?
- Do they want to do the job?
- Will they do the job?
Key performance indicators can help you create a professional development plan for employees that need help with motivation and focus.
Research has shown that behavioral characteristics can be grouped together in four major divisions or styles. People with similar styles tend to exhibit specific behavioral characteristics common to that style. All people share these four styles in varying degrees of intensity. The acronym that describes these styles, DISC, stands for the four personality styles represented by the letters: D (Drive), I (Influence), S (Steadiness), and C (Compliance).
Key performance indicators measure the productivity tendencies of quality work, initiative, teamwork, and problem solving. It also predicts how people respond to job related stress, frustration, and conflict, as well as their motivational tendencies. This information an be used to individualize training and motivational efforts, and communicate more effectively with the people you employee. Key performance indicators provide feedback to help your organization build productive teams, develop effective managers, train a powerful sales force, improve customer service, and ease frustrations and interpersonal conflict.
Key performance indicators are frequently used in training situations to resolve issues involving:
- Communication
- Customer Service
- Motivation
- Behavior Conflicts
- Task Management
- Pace of Task Completion
- Stress
Many organizations also use key performance indicators to improve:
- Customer Service
- Sales
- Employee Relations
- New Hire Orientation
- Project Team Development
- Harassment/Diversity
- New Manager Training
Building a high-performance workforce by enhancing and improving the engagement levels within an organization begins with understanding today's workforce. It's no secret that engaged employees are highly motivated, excited and enthusiastic about their jobs. They resist distractions, tend to forget about time and routinely produce significantly more than the job requires. They enjoy searching for ways to improve circumstances and volunteer for difficult assignments. They also encourage others to increase their levels of performance. They are proud to be involved with their organization and are more likely to stay with the company long term. In the end, there are many benefits and advantages to understanding why some employees have better work ethic than others.
Today, many organizations use key performance indicator assessments to help them develop a highly productive, fully engaged workforce. By measuring employees' attitudes, motivations and outlook on their employers, current managers and job functions, organizations can gain a vital perspective on the current reality in their company and pinpoint areas of concern affecting the total workplace experience. Key performance indicator assessments give insight into your employees' opinions about human resource issues, the role work plays in their lives, what their job-related needs and preferences are and what motivates them in the workplace.
Both Sam Miller & Jim Sirbasku are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Jim Sirbasku has sinced written about articles on various topics from Customer Service, Careers and Job Hunting and Candida Infection. Jim Sirbasku is co-founder and CEO of Profiles International, a leading provider of human resource management solutions and employment assessments for businesses worldwide. For more information about using assessments for. Jim Sirbasku's top article generates over 18100 views. Bookmark Jim Sirbasku to your Favourites.
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