OFFICE TPM

BRIEF HISTORY Formerly known as Madras Refineries Limited (MRL)

Formed in 1965 as a joint venture between the Government of India (GOI),

AMOCO and National Iranian Oil Company (NIOC). AMOCO and GOI

disinvested in 1985 and 2001 respectively. Indian Oil Corporation bought

GOI’s share.

CPCL

“Group company of

Indian Oil Corporation Limited

( IOCL )”

IOCL is “The Highest ranked

Fortune “Global 500”

Indian company”

at 125th position”.

C P C L

ORGANISATION CHART

DIRECTOR (TECHNICAL)DIRECTOR (FINANCE )

CBR UNIT HEAD

MANAGING DIRECTOR

CHAIRMAN

IOCL & GROUP COMPANIES

Others

IOC - 1

NIOC - 2

Independent - 4

DIRECTOR (OPERATIONS)

LOCATION OF REFINERY

CPCL - Manali Refinery

1969 , 10.5 MMTPA, Fuels & Lubes

CPCL – CBR, 1993, 0.5 mmTPA

Increased to 1.0 MMTPA

Has a captive Jetty

MANALI

CBR

Two Refineries – Manali Refinery & CBR

CBR BACKGROUND

• Crude was found in Narimanam by ONGC in 1986 .

• Till 1993, crude was transported to CPCL Manali by roadtrucks / rail wagons for processing.

• CPCL’s 0.5 MMTPA was commissioned in Nov.1993 withpipeline transfer of crude.

• Crude was found in PY-3 off shore in 1988 and productionstarted from 1997 .

• Till 2003, PY-3 crude was transported to CPCL Manali for

processing.

• CBR’s Oil Jetty was commissioned in March 2003.

• Since 2003, PY-3 crude and other crude are being received at

CBR through Oil Jetty . Narimanam supply continues

through pipeline since 1993.

ISO 9001 – 2008

ISO 14001 – 2004

OHSAS 18001 – 2007

TPM EXCELLENCE AWARD – CATEGORY A - 2009

Vision Mission Statement of CPCL

Vision To be the most admired Indian energy company through world class

performance, creating value for stakeholders.

Mission To manufacture and supply petro products at competitive prices, meeting

the quality expectations of the customer.

To pro-actively fulfill social commitments, including environment and safety.

To constantly innovate new products and alternate fuels.

To recognize Human Resources as the most valuable asset and foster a

culture of participation for mutual growth.

To ensure high standards of business ethics and corporate governance.

To maximize growth, achieve national pre-eminence and maximize

stakeholders wealth.

Cauvery Basin Refinery Process Scheme

NAPHTHA

LPG

KEROSENE

DIESEL /

HFHSD NEW- LEVEL 2

LSHS

Crude Tanks

BH

/ P

Y-

3

Na

rim

an

am

Chidambaranar Jetty

Steam

GSU / LRU

0.27 MMSCMD

HP Gas From GAIL

LEAN GAS

ADU

1 MMTPA

LPG

NGL

Steam

Steam

Off Gas - Internal Fuel

PROPANE- NEW LEVEL 1

PROPANE

LP Gas - Kamalapuram

Stabiliser

+

Hy. Naphtha

MAIN PRODUCTSRAW MATERIAL RECEIPT PRODUCTION PROCESS

(2-3%)

(20-23%)

(9-12%)

(40-45%)

(18-22%)

(94 - 95%)

(1- 2%)

KPPL new

KD

6 /

PY

3

TRICHY PIPELINE

TPM IMPLEMENTATION IN CBR

CURRENTLY IN LEVEL 2

FOCUS ON KEY MANAGEMENT INDICES

1. Net Margin

2. Energy Index

THROUGH VARIOUS KEY PERFORMANCE INDICES

BY IMPLIMENTATION OF VARIOUS KEY ACTIVITY INDICES

BY

8 PILLARS ASSISTED BY 8 CIRCLES

DURING LEVEL 1 OUR EMPHASIS WAS TO ACHIEVE

- ELIMINATION OF LOSSES

- THRU 8 PILLAR APPROACH

THIS WAS ACHIEVED DURING JAN 2010

BY CONCERTED EFFORTS BY ALL PILLARS

UNDER THE GUIDANCE OF CII & JIIPM

Understand The Shop

Floor Activities

IMPROVE OFFICESUPPORT TO SHOP FLOOR

Participation In Shop

Floor Meetings

Facilitation To Shop

Floor

INPUT OUTPUTINFORMATI

ON

OTPM KK

OTPM AM

OTPM PM

OTPM QM

OTPM DM

OTPM E& T

OTPM SHE

5S

Eliminate Manufacturing

Cost Loss

Improve Daily Work

Management

Maintain Office Equipment

Zero Breakdown

Establish Defect Free Quality

System

Establish Firefighting Free

New Office

Skill Improvement in Office &

Knowledge improvement in Shop Floor

Maintain Safety, Health &

Environment

Activity Board

Meeting

Communication

OFFICE TPM

Original Trans. Alt. Details

Seiri Sort Clearing

Removal of all items that are not needed

within the scope of current activity.

Seitori Set in Order Arranging

Every tool, bin, files, records,books

should have a place. Shadow boards, tape

and paint

Seiso Shine Neatness

Ensuring everything in the office stays

clean. Both prevention & cleaning

routines apply

Shitsuki Standardise Discipline

The methods used to maintain the gains,

not only standard ops, best current

practice and actively using ISO are

applicable

Seiketsu SustainOngoing

Improvements

Ensuring that the gains are held and

continue to be made. Removal of non-

value actives and unwanted items.

The "5S" Philosophy

Based on Japanese words that begin with ‘S’, the 5S Philosophy focuses on effective work place

organization and standardized work procedures. 5S simplifies your work environment, reduces

waste and non-value activity while improving quality efficiency and safety.

FILE ARRANGEMENT -- 5S

Key Holder Colour

Key Colour

Door PULL/PUSH Colour

Must be same.

MAINTENANCE OF KEY STAND -- 5S

Slide 15

INDUSTRIAL CANTEEN – 5S

OFFICE FOCUSSED IMPROVEMENT

FOCUSSED IMPROVEMENT

Focused Improvement is very important

aspect in OFFICE TPM . Identification of

Losses in office activities and eliminate the

same through OTPM Kaizens.

STREAMLINING THE SYSTEMS IN OFFICE,

INCREASING PRODUCTIVITY,

REDUCES THE TIME, EFFORT AND ULTIMATELY COST,

WHICH ENABLE THE UNIT TO FACE COMPETITION

“VISIBLE COST REDUCTION

IS THE ULTIMATE GOAL”

WIN CUSTOMER CONFIDENCE AND CREATE AN

OUTSTANDING CORPORATE IMAGE THROUGH

EFFICIENT & PROMPT SERVICES TO THE CUSTOMERS

(INTERNAL & EXTERNAL)

FOCUSSED IMPROVEMENT

Kobetsu Kaizen

Analyse present work content, system and procedure

Identify losses

Identify areas for Minimising losses through

1. Elimination of

2. Simplification of

3. Combining of activities

Evolve Kaizens through discussion within the circle

— Data retrieval/search

— Writing (Copying)

— Calculating

— Reading

— Data Entry

Processing Loss

Communication Loss

— Meeting

— Telephone/Fax

— MIS Info Classify Kaizen under PQCDSM

Deploy horizontally whenever possible

Monitor Effectiveness

Implement Kaizen

Register Kaizen

Process Reducing Inventory -KK

Take stock of

Existing Materials

Classify as usable

Slow / non moving

Usable Material

• Consume

• Transfer to other unit

• Disposal

Slow/non moving material

• Convert to make it usable

• Disposal

WHY WHY ANALYSIS

The important function of office TPM is to prepare loss

tree analysis. This analysis is very much helpful to

identify the various hidden losses. Find the way to

eliminate those losses.

LOSS TREE ANALYSIS

(SAMPLE LOSS TREE)

TYPE OF

COST

VARIABLE

COST

FIXED

COST

LOSS- COST MATRIX (SAMPLE)

TOTAL COST(FIXED+VARIABLE)

34121 3304431337

29435 27973

0

5000

10000

15000

20000

25000

30000

35000

40000

95-96 96-97 97-98 98-99 99-00

RS

FIXED /MT

5304 50714628

4257 4049

0

1000

2000

3000

4000

5000

6000

95-96 96-97 97-98 98-99 99-00

RS

VARIABLE COST/MT

28817 2797326709

25178 23924

0

5000

10000

15000

20000

25000

30000

35000

95-96 96-97 97-98 98-99 99-00

RS

FOCUSSED IMPROVEMENT KAIZEN

Rs. 1.5 lacs Loss Eliminated & Cost Saved

OFFICE AUTONOMOUS MAINTENANCE

Jishu Hozen Activities

• Understanding objective of steps

• JH is a learning process

• Avoid chance of redoing

• Main activities of JH are

Activity Board

Meeting

One Point lesson

Kaizen

Identifying and rectifying Fuguai

Maintaining TPM Hours

Visual Indicator (Table marking, Pen tray marking)

BEFORE CONDITIONS

BEFORE CONDITIONS AT WAREHOUSE

BEFORE TPM

BEFORE TPM

BEFORE TPM

BEFORE TPM

BEFORE TPM

BEFORE TPM

BEFORE TPM

BEFORE TPM

BEFORE TPM

BEFORE TPM

MULTIPLE WAREHOUSE AT DIFFERENT LOCATION

BEFORE BANKCHEM.

RECORDS

ROOM

OPEN

STORAGE

Before TPM After TPM

Slide 41

42

MAINTENANCE AT STORES WORK AREA

AFTER BEFORE

Path

hidden

rack

Disturbing

ladder

Improper

usage of

space

Better

utilisation

More

space

created

43

Cement layer

was removed

with Dozer

Cement

dust -

Retrieval

very

difficult

Place better

utilized

after dust

removal

Place better

utilized after

dust removal

MAINTENANCE AT STORES WORK AREA

Before TPM After TPM

SHIFTING OF YARD MATERIALS INTO INSIDE GODOWN

AFTER BEFORE

SPARE PARTS QUALITY STORAGE

Poor -

quality

storage

Good -

quality

storage

46

RACK –1

AFTER BEFORE

BETTER VISUAL CONTROL ALL

OFFICE PLANNED MAINTENANCE

MAINTAIN OFFICE EQUIPMENT

MAINTAIN OFFICE SYSTEM

ZERO BREAKDOWN

Before After

Proper upkeep of all office equipment

SYSTEM MAINTENANCE

Identify value / Non value added jobs

NECESSARY &

PRODUCTIVE

WORK

UNDER

PERFORMANCE

(EVALUATE

VALUE)

BE INNOVATIVE &

IMPROVE

FURTHER

NECESSARY &

BUT

UNPRODUCTIVE

WORK

LACK OF

VALUE

ABANDON or

DISCONTINUE

OR MODIFY

WASTE

(TIME,

MONEY &

EFFORTS)

ELIMINATE OR

REDUCE

UNNECESSARY &

UNPRODUCTIVE

WORK

DUPLICATION

OF WORK

COMBINE OR

ELIMINATE

PM GOAL: CONCENTRATE ON NECESSARY & PRODUCTIVE WORK AND TRY

TO MAINTAIN OUTPUT VALUES

OFFICE QUALITY MAINTENANCE

DUST PROOF CONTROL

Q

Dust &

Insect

Controlled

G.I ARRANGEMENT - MINIMISING FUGAI -DEFECTQ

Segregation

as per

usage

BETTER VISUAL CONTROL ALL Q

Serration

Damage

avoided

Before TPM After TPMYARD Q

OIL

PRESERVATION

The goal is to make visual to inspect at a glance

Visual Control & Management

Q

OFFICE EDUCATION & TRAINING

OTPM E&T

KNOWLEDGE TRAINING

ON THE JOB OFFICE TRAINING

OFFICE SKILL TRAINING

USE CLASS ROOM

USE OFFICE

ASK THE MEMBERS TO

DEMONSTRATE

128 Training given

32 Subjects covered

28 members

demonstrated and

proved their skill

84 % - CAN

TEACH

TRAINING

LEARNING IS A CONTINUOUS PROCESS

THROUGH READING

THROUGH TRAINING

THROUGH DEMONSTRATION

THROUGH EDUCATION

TRAINING ON

JOB ELIMINATION

JOB CLUBBING

LAYOUT CHANGES

REDUCTION IN MUDAS

OFFICE DEVELOPMENT MANAGEMENT

FINANCE / INSPECTION OFFICE

122 improvements from Old office taken to New Office

BEFORE AFTER

OFFICE SHE

Fire & Safety training to all Office staff

Safety in Office areas

ENSURING MINIMUM STOCKS OF AFFF, DCP & PPES

13

5

Near Miss

Cases Reduced

30

2

0

5

10

15

20

25

30

BEFORE TPM AFTER TPM

DELIVERY TREND

( IN MINUTES )

D

MATREIAL DELIVERY IN STORES.

OTPM - Results

90

80

7065

54

60

50

0

10

20

30

40

50

60

70

80

90

100

Mar' 06 Mar' 07 Mar' 08 Mar' 09 Mar' 10 Mar' 11 Mar' 12

YEAR

Lea

d t

ime

re

du

ctio

n -

Days

Lead Time reduction in procurement

GOODL1L2