Articles

Implementing OKR Framework in Solving Safety Culture and Safety Program Issues to Elevate Safety Performance of PT. X-Y Whilst Preserve The ESG Rating of PT.X

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Oil & gas business is still attractive for investors. Today, they look carefully at company’s financial indicators (ROA, ROI, Profitability) and new indicator called “ESG” in making investment decision(Pedersen et al., 2021). PT.X, a developing national energy company with vision becoming world class, currently still rely on fossil energy as the backbone of its business. To finance its operations, PT.X opens up opportunities for investors to invest. To attract investors, PT.X is pursuing better ESG rating each year. In 2023 ESG score of PT. X is 20.7, 1st rank out of 61 O&G companies in the world (Morningstar Sustainalytics version). In competitive energy business post Covid-19 pandemic PT. X aware that they must improve its ESG score continuously. Several strategic goals have been set, one of it is Total Recordable Injury Rate / TRIR, a ratio of number of recordable incidents per total working hours in a year. Target is more challenging each year. TRIR 2024 was set 0.19. This number is much lower than the average TRIR achieved by IOGP members in 2020 that is 0.7. PT. X’s TRIR goal applies to all of its subsidiaries including PT. X-Y located in biggest O&G block East Kalimantan Indonesia. PT. X-Y operates big mature field ultimate with ultimate challenge to maintain oil and gas production from wells that decline naturally. PT. X-Y have planned massive work programs i.e: drilling ± 100 wells/year, ± 4000 wells intervention, and also several offshore platforms construction & installation projects. These activities involve many workers and very high risks. Workers’ safety culture is very important to support the achievement of this goal. Unfortunately, the results of surveys conducted several times by one of reputable university in Indonesia, PT. X-Y safety culture level has decreased from the Proactive to Calculative. To improve PT. X-Y should start by solving organization’s safety cultures’ issues. Also, with limited resources the company’s safety team believed they should focus on improving existing safety program called “TEMAN” rather than introducing new ones. OKR framework is used to manage these difficult objectives because it has superior principles and similarity with PT.X core value AKHLAK, i.e: align and connect team work, focus and commit to priorities, track for accountability. OKR method is successful helping big companies such as Intel, Google, IBM to achieve their stretch goals with minimal side effects / no side effects at all.

Safety Behavior Analysis in the Drilling Rig Site Operations of Pertamina Hulu Mahakam

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PT Pertamina Hulu Mahakam is Indonesia national oil company that produce and operate gas and oil field in Mahakam, East Kalimantan Area. It spreads from swamp delta to shallow water offshore area. In 2022, the company operates 5 drilling rigs, which are 3 Jack Up Rigs and 2 Swamp Barge Rigs. The drilling rig is used to perform the operations of well construction activities for development and explorations wells, from spud, drilling, until well completion. The operations on the drilling rig have a high-risk profile. It involves handling equipment, tools, tripping hazard, lifting operations, moving object, drop object, power system, rotation system, high pressure lines and simultaneous operations.

A safety system, campaign, initiatives, and measurement are deployed on the rig site to keep the rig crew away from incident. Despite safety initiatives in place on the rig site, however, incident still happens. If incident happened, there will be lost of productivity, man hours, medical cost, administration, and dedicated investigation time. The operations need to be stopped and reevaluated again before continuing the job. Due to the most common factor of incident is human factor, hence, to understand how safety initiatives conducted and implemented by people on the rig, the research uses the theory of planned behavior.

The research took sample of questionnaires and interview from personnel on the rig, which are the actors of safety initiatives. It involves direct and indirect method, and comparison between descriptive (manual method) and PLS analysist. On PLS analysis, author compares independently the result between: Direct Measurement (A), Control Belief (B) and Control belief multiply to the outcome evaluation / motivation / power, depend on the factors of the TPB (B x C).

From the result, it is observed that the determinant factors of the theory of planned behavior such as: attitude, subjective norm and perceived behavioral control is confirmed to have effect on the intention and safety incident avoidance. Based on the descriptive analysis, all variable element of TPB have high to very high category, except Direct Measurement of Perceived Behavioural Control (PBC) that falls into medium category. This give indication that the level of control, ease or difficulties of rig workers in performing safety initiatives is low compare to the other factors. It is shown by the questionnaire result that despite they have control in performing safety initiatives, however, when incident happened, they state that they have less control.

On the hypothesis result, the model B x C has the best output from reliability test, however, it is shown that the attitude has no effect on safety behavior intention. This finding relates to the answer on the level of worries and concern on safety of the rig crew which supposed to be undesirable when incident happened, however the answer was more on desirable. This part can be explored more on how the rig worker view the “worry or concern”, which due to their nature of their workplace, they might use this as a tool to keep vigilant and awareness on the workplace.