Gulf Oil and Gas accountACCOUNT

Sasref Reorganizes for Top Performance

Source: www.gulfoilandgas.com 3/2/2005, Location: Middle East

JUBAIL, March 02, 2005 -- A new organizational structure designed to achieve best-in-class performance in the Asia Pacific Region and the Middle East has been adopted by Saudi Aramco Shell Refinery Co. (Sasref) at Jubail.

The reorganization was implemented on Jan. 1 and reflected management's desire for major changes, starting from a change in the vision, followed by business-improvement program initiatives, which addressed soft and hard business issues.

The new structure was the result of a scientific approach to the change management process worked out over more than two years by Sasref teams.

Changes are based on the concept of production units managed by operation and maintenance teams, with required technical and administrative support, to improve efficiency. The new structure also places more emphasis on laying the groundwork to pursue projects that will increase profitability and investment opportunities.

The changes resulted in 40 percent less staffing at management levels and a net elimination of one to two organizational layers. Responsibilities of first-line supervisors were significantly changed, including increases in authority levels and creation of new ones.

Selection of employees for those positions followed a comprehensive, methodical process.


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