BP 2010 Annual Report Download - page 71

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Businessreview
Business review
Operating management system
In2008,welaunchedOMS,ourgroup-wideframeworktodrivearigourous
andsystematicapproachtosafety,riskmanagement,andoperational
integrityacrossthecompany.OMSintegratesallrequirementsregarding
health,safety,security,environmentandoperationalreliability,aswellas
relatedissuessuchasmaintenance,contractorrelationsandorganizational
learning,intoacommonsystem.
TheprinciplesandstandardsofOMSaresupportedbydetailed
companypractices,aswellasothertechnicalguidancematerials.OMS
mandatesthatcertainstandards,group-denedpracticesandgroup
engineeringtechnicalpracticesbeimplementedcompany-wide;these
include,amongothers,theassessment,prioritizationandmanagementof
risk;incidentinvestigation;integritymanagement;andenvironmentaland
socialrequirementsformajornewprojects.
TheOMSincludestheseessentialrequirements,specically
addressingcrisisandcontinuitymanagementandemergencyresponse:
• Identifycrisisandcontinuitymanagementscenariosutilisingtheentity
riskregister,theoutputoftheentity’smajoraccidentriskassessment
andotherinformation.
• Implementandmaintaincrisisandcontinuitymanagementplansto
managethescenariosidentied.Thesewillincludeproceduresfrom
initiationtoresponseandrecovery.Atsiteleveltheseplansshall
includearrangementsforevacuationand,whereneeded,forinitial
shelter-in-place.
• Validatetheplansthroughexercisingthematdenedintervals.
Reviewtheplansatleastannuallytoreectchangesinhazards,risks,
organizationorcontactdetails,andimplementidentiedimprovements.
• Provideaccesstotrainedpersonnel,resources,medicalemergency
andotherfacilitiesneededtoimplementandexecutethecrisisand
continuitymanagementplans.
• Implement,maintainandexerciseadocumentedprocessfor
accountingforpersonnelduringandafteranemergencyevacuation.
OMSdenestheprocessforBPbusinessunitstoimplementthesystem
andcontinuouslyimprovetheiroperationalperformanceinallareas,
includingsafety.Theembeddingofacomprehensivemanagementsystem
suchasOMSacrossaglobalcompanyisamulti-yearprocess.
ThetransitiontoOMSrequireseachoperationtodevelopalocal
OMS(LOMS)thatdescribeshowtheoperationaddressessite-specic
localoperatingriskstomeetgroupstandardsandpracticesandcomply
withapplicableHSSElegalrequirements,whilefocusingontheirspecic
activities.AsanessentialstepindevelopingitsLOMS,thebusinessunit
conductsanassessmentofthegapsbetweenthestandardsandpractices
containedinOMSandthebusinessunit’slocalprocessesandprocedures,
andthendevelopsagap-closureplan.Everyyear,aftertheinitialgap
assessment,eachbusinessunitconductsanotherassessmenttoidentify
theadditionalstepstobetakentoimproveperformance.
ToformallytransitiontoOMS,anoperationissuesahandbookfor
theworkforcetofollow,completesamanagement-of-changedocument
thatdetailsthechangesinvolved,andobtainsformalsign-offbythe
segmentoperatingauthorityandbusinessunitleader.AllofBP’smajor
operationshadtransitionedtoOMSbytheendof2010,withtheremaining
oneregionallogisticsoperationcompletingtheprocessbytheendof
February2011.
BPwillcontinuetoevolveOMS,incorporatingimplementation
experienceaswellaslearningsfromincidentinvestigations,auditsandrisk
assessments,andbystrengtheningmandatorypractices.
GulfofMexicoincidentandtheOMS
TheGulfofMexicooperationscompletedtheirtransitiontoOMSin
December2009andnowcontinuetoworktowardsfullconformanceto
theOMS.RecommendationsfromBP’sinternalinvestigationintothe
DeepwaterHorizonincidentwillbeimplementedwithinourgroup-wide
OMSframeworkwhereappropriate;thisincludesupdatesaround
contractormanagementandoilspillpreparednessandresponse.Oncethe
externalinvestigationshaveproducedtheirndings,wewillcarryouta
reviewontheOMSframework;thisisexpectedtobecompletedinthe
thirdquarterof2011.SeeSubsequentactionstodateonpage68for
informationaboutourimmediateactivitiestofurtherstrengthenouroilspill
prevention,containmentandresponsecapability.
Processsafetymanagement
Processsafetyinvolvesapplyinggooddesignprinciples,alongwithrobust
engineering,operatingandmaintenancepractices,tomanagingoperations
safely.ForBP,thismeansensuringtheplantisdesigned,maintainedand
operatedproperlytoavoidfailuressuchasspillsorexplosionsthatcan
resultininjuriesandimpactstotheenvironment.
InSeptember2010,BPpublishedDeepwater Horizon Containment
and Response: Harnessing Capabilities and Lessons Learned,areport
sharedwiththeUSBureauofOceanEnergyManagement,Regulationand
Enforcement.Theselearningsareintendedtobenetourownoperations
andpotentiallythoseofourpeers,incaseofafutureincident.
ThereportidentiesfourbroadlessonsfromtheDeepwater
Horizonincident:
• C ollaboration:abroadrangeofstakeholderscametogetherinthewake
oftheDeepwaterHorizonincidenttoprovideeffectivesolutionsand
buildnewcapabilities.Itwouldhavebeenextremelydifcultforany
onecompanyalonetoaddresschallengesonthescaleofthe
DeepwaterHorizonincident.Theresponsebenetedfromclose
collaborationwithandthecapabilitiesoftheUSCoastGuard,Bureauof
OceanEnergyManagement,RegulationandEnforcementanddozens
ofotherpartnersandstakeholdersfromgovernment,industry,
academiaandtheaffectedcommunities,aswellasaroundtheglobe.
• Systemization:theresponsetotheincidentrequiredthedevelopment
ofextensivesystems,proceduresandorganizationalcapabilitiesto
adapttochanginganduniqueconditions.AstheDeepwaterHorizon
spillcontinueddespiteeffortsatthewellhead,theresponseeffort
progressed,expanded,andtookonnotjustnewtasksanddirections
butnewpersonnelandresources.Asaresult,fromsourcetoshore,
existingsystemswereevolvedandexpandedandnewonesdeveloped
toadvanceworkow,improveco-ordination,focuseffortsandmanage
risks.Theadoptionofthesesystemswillensuretheabilitytorespond
tofuturespillsmorerapidlyatscalewithacleardirectionasto
personnel,resourceandorganizationalneeds.
• Information:timelyandreliableinformationwasessentialacrossboth
thecontainmentandresponseoperationstoachievebetterdecision-
making,ensuresafeoperationsandinformstakeholdersandthepublic.
• Innovation:theurgencyincontainingthespillanddealingwithits
effectsdroveinnovationsintools,equipment,processesand
know-how,rangingfromincrementalenhancementstostepchangesin
technologiesandtechniques,thathaveadvancedthestateoftheart
andlaidthefoundationforfuturerenementsaspartofanenhanced
regimeforanytypeofsource-to-shoreresponse.
BPjoinedtheMarineWellContainmentCompany(MWCC),anon-prot
initiativewithExxonMobil,Shell,ConocoPhillipsandChevrondesignedto
quicklydeployeffectiveequipmentincaseofanotherunderwaterblowout
intheUSGulfofMexico.Thewellcontainmentequipmentusedinthe
DeepwaterHorizonresponsewillpreserveexistingcapabilityforusebythe
oilandgasindustryintheUSGulfofMexicowhiletheMWCCmember
companiesbuildasystemthatexceedscurrentresponsecapabilities.BP
hasalsoofferedtomakeavailabletotheMWCCBPtechnicalpersonnel
withexperiencefromtheDeepwaterHorizonresponse.
Oilspillsandlossofcontainment
Westrivetopreventfutureoilspillsbyweavingprocesssafetyintoevery
stageofthedesign,operationandmanagementofouroperations.We
monitortheintegrityofallouroperations,vesselsandpipelinesusedto
produce,processandtransportoilandotherhydrocarbons–withtheaim
ofpreventinganylossofhydrocarbonsfromtheirprimarycontainment.
Accordingly,werecordalllossesofcontainment,lossesofhydrocarbons
fromourassets(whichwemonitorasanenduringindicatorofprocess
safety),andlossesorspillsthatreachlandorwater.
Thelossofprimarycontainmentmetricbelowincludesany
unplannedoruncontrolledreleaseofmaterial,excludingnon-hazardous
releasessuchaswater,fromatank,vessel,pipe,railcarorequipment
usedforcontainmentortransfer.
BPAnnualReportandForm20-F2010 69