West <strong>Kuwait</strong> Asset Action Plan: An OverviewSubmitted by: Rima Al-Awadhi, Team Leader Planning (WK)Planning is generally a processwhich involves the determinationof future courses of action. It isa dynamic process which is veryessential for every organizationto achieve their ultimate goals.Planning bridges the gap from“where we are” to “where we wantto go,” and it makes it possiblefor certain outcomes to occurthat would not otherwise come tofruition if there was no planninginvolved.In other words, planning in anorganization can be definedas the process of creating andmaintaining a plan. It is a processof thinking about the activitiesrequired to accomplish a desiredtask or reaching the organizationalgoal. In short, choosing adestination, evaluating alternativeroutes, and deciding the specificcourse of the plan are the majorsteps involved in the process ofplanning.The importance of planning is thatit provides directions, reduces therisks of uncertainty, overlap andwasteful activities while facilitatingdecision-making and establishingstandards of control.The benefits of planning are that itincreases an organization's abilityto adapt to future eventualities,helps crystallize objectives, ensuresrelatedness among decisions,helps the company remain morecompetitive in its industry,reduces unnecessary pressuresof immediacy, reduces mistakesand oversights, ensures a moreproductive use of the organization'sresources and makes control ofcertain operations and tasks easier.Bad planning, on the otherRima Al-AwadhiTeam Leader Planning (WK)hand, can ultimately result inbusiness frustration or, at thevery least, prevent the businessfrom operating at its full capacity.The plan, however, provides avital paradigm against which theperformance can be rated andrestricts managers from makingbad decisions.The Action Plan includesthe following main steps:What is an Action Plan?An Action Plan is a process thathelps to focus ideas and decidewhat steps need to be taken toachieve particular goals. It is astatement of what to achieve over agiven period of time.An Action Plan also involvesidentifying the objectives, settingobjectives which are achievableand measurable, prioritizing thetasks effectively, and identifyingthe steps needed to achievegoals and meet deadlines whiletaking contingency plans intoconsideration.An effective Action Plan shouldgive a concrete timetable and set ofclearly defined steps to help reachobjectives rather than aimlesslywondering what to do next.8October - December 2012
At KOC, the Asset Action Planis always derived from BusinessGuidelines and aligned with KPC-KOC strategic objectives.The very purpose of the AssetAction Plan is to formulate thedirections, projects, technologies,important initiatives, the quality& quantity of skills required,supports required from thesister directorates, identifyingthe external & internal risks andactivities required to deliver thecore business and to achieve thecorporate objectives.WK Asset Action Plan:our long-term objectives outlinedin the KOC 2030 Strategy. Thesedirections are provided throughestablishing performance targetsand guiding principles for planningpurposes. Planning Group releasesthe BGs and Asset Action Plantemplate in October each year.• Establishment of Core Team inWK DirectorateThe Core Team is responsible forthe preparation of AAP and iscomprised of members from thePlanning (WK) Team, all teams in2030Strategyprepare the best plan to fulfillthe Assets Goals & Objectivestaking into consideration thenew challenges in gas flaring,sustaining production targets, watermanagement, sub-surface potential,reservoir management, major &other projects delivery, skilledmanpower, etc.• Development of the PlanDocumentThe Planning (WK) is assigned todevelop the different sections ofthe Plan document – as detailedbelow - and assure compliancewith guidelines and procedures.Generally this milestone iscompleted by the month of Januaryof the next year, and during thatperiod several interim reviews aretaking place with stakeholders.BusinessGuideline• Finalization of the AAPand presentation to WKManagementThe final step prior to submissionof the AAP document to PlanningGroup per the due date is toreview the whole Plan documentand present its outcomes to West<strong>Kuwait</strong> Management for their finalendorsement.Capex/OpexAllocationAssetActionPlanProjectsinitiationthrough PGS5 Year PlanMain Sections of the AAPdocument:1. DMD’s MessageAAP Preparation Guideline- Chronological Order:• Release of KOC BusinessGuideline/AAP TemplateThe most critical purpose of theBusiness Guideline is to provideKOC Assets and Groups with ahigh-level direction of where and,to some extent, how we want tomove our company forward in thenext several years with an eye onBalancedScorecardWKD and support groups in KOCsuch as Drilling, Well Surveillance,Major Projects, R&T, etc. Thispractice eases the communicationsbetween Planning (WK) Teamand other groups in additionto expediting the availability ofinformation for timely submissionof the Plan. The Core Team shallThe Vision and Mission of WKD.Identifying key goals from nowuntil 2030 that should be achievedby WK groups to support the KOC2030 Strategy.2. Historical PerformanceIllustration of current year keyperformance measures comparedto last year’s (Production, wellsdrilled, reserves, Capex/Opex,workover jobs). This is in additionto indicating successes of eachGroup and major accomplishmentsof previous years.October - December 2012 9