Managing steam generator excess units at PT. YKL

• Main Author: Kurniawan, Made Yeri
• Format: Conference or Workshop Item
• Language: English
• Published: 2014
• Subjects: HD28 Management. Industrial Management
• Online Access: http://repo.uum.edu.my/15968/1/P27.pdf; http://repo.uum.edu.my/15968/; http://stmlportal.net/ictom04/TOC.html

Purpose - This paper is to apply lean principles to eliminate excess steam generators in the company.A multifunctional team which has a strong knowledge on process, simulation tools, and broad projects knowledge were involved. Methodology/Approach – PT. YKL has five steam stations for running its business, extracting oil from its reservoir.The steam stations are home for 218 steam generators units. As its oil reservoirs mature, naturally the reservoirs require less steam.As the demand drops, PT.YKL needs to balance the supply. As a result, they have excess number of steam generators.They are initially identified it by collecting the unit’s allocation for maintenance and other shutdown issue per steam stations.This available-unit less maintenance-allocation shows the true steam generators supply capability.On the demand side, PT. YKL also looked at its demand forecast profile in the years to come.Defining the excess unit per steam station limits the number of excess unit they can eliminate.To maximize it, PT. YKL totally changed the way they defined the excess.By collecting all the excess in once steam station, they can maximize the number of excess.However, they need to ensure that the remaining steam generators can satisfy the customer’s requirements (in term of flow and pressure).Here simulation tools played its key role.Findings - It was found the implementation of this lean initiative was successfully decommissioned 46 excess steam generators from 218 steam generators.Research limitations / implications: The simulation tool could not exactly represent the actual key process parameters.Site tweaking was stil needed to adjust the key process parameters to achieve the expected performance measures.Value – Limiting the boundaries to define the number of steam generator excess reduce the number of excess unit PT.YKL can claim.By creatively enlarging the boundaries definition to beyond steam station level maximize the number of excess PT. YKL can claim.The project was successfully booked Total Accrued Financial Benefit is $ 5 MM.