Sarawak Shell recognised for excellent lean management practices

Ong (third left) presenting the award to Chieng (fourth left) during a ceremony in Kuala Lumpur.

KUCHING: Sarawak Shell Bhd (SSB) was recently awarded the prestigious Malaysian Productivity Corporation (MPC) National Gold Certification in Kuala Lumpur for excellent practices in the area of Lean Management by the Ministry of International Trade & Industry (MITI) Malaysia.

This is the first time such recognition has been accorded to an oil & gas company in Malaysia.

According to the group in a this certification is in recognition of SSB’s outstanding efforts for the continuous improvement in its lean management deployment journey which started in 2016.

“When the oil price dropped drastically towards the end of 2015, we knew we had to embrace an effective way of working to lean our processes, remove wastes and instil discipline in our cost management, to remain competitive.

“Two years into this journey has resulted in a leaner organisation that generates strong, positive cashflow year-on-year, in our upstream business.

“This national recognition is a true testament of the hard work and efforts taken by our dedicated SSB upstream staff in ensuring we remain a competitive oil and gas company in the industry and in creating our own future,” said Datuk Iain Lo, Country Chairman, Shell Malaysia.

Sarawak Shell Berhad’s general manager, Jill Chieng who represented Datuk Iain Lo, country chairman Shell Malaysia received the award from Dr Ong Kian Ming, Deputy Minister of MITI Malaysia who was representing the Minister of International Trade and Industry Malaysia.

Also in attendance to witness the award presentation were Abdul Rahim Yusoff, the deputy director general of MPC and Khoo Choo Beng, the general manager for Business Excellence, Sarawak Shell Berhad.

”Our Most Honourable Prime Minister, Tun Dr Mahathir Mohamad launched MITI’s National Policy on Industry 4.0, known as Industry4WRD on 31 October 2018.

“Industry4WRD will ensure our industries remain ahead and competitive in facing the challenges brought by the 4th Industrial Revolution. This national policy aims to pave the way for enhanced productivity, job creation and high-skilled talent pool, and ultimately, contribute to our economic prosperity and societal well-being.

“The Readiness Assessment for 4.0 will be conducted by MPC starting 2019 and it is a comprehensive programme to help firms assess their capabilities and readiness to adopt Industry 4.0 technologies and processes,” said Ong.

Shell’s history in Sarawak dates back to 1910 when the company discovered the country’s first oil well, “Grand Old Lady”, on Canada Hill, Miri. This was followed by the discovery of the first offshore field in Baram in 1963.

Shell then enabled the LNG business in Malaysia by building the world’s 1st commercial Gas -to-Liquids plant (Shell MDS) in Bintulu. In the downstream arena, Shell is the No.1 fuel and lubricants brand in the State through its operating company Shell Timur.

Both Shell MDS and Shell Timur are joint ventures with the State Government of Sarawak. Sarawak Shell Berhad remains the largest multi-national oil and gas explorer for offshore, in the state.

Shell’s legacy in Sarawak goes beyond its business footprint. Shell continues to contribute towards the development of local talent and the growth of Miri and Bintulu from small villages to thriving cities.

The organisation also continues to invest in scholarships, vocational skilling, environmental awareness, road safety initiatives and capability building through programmes for budding entrepreneurs.

MPC Deputy Director General, Abdul Rahim Yusoff hopes that the recognition awarded to Sarawak Shell Berhad will motivate the rest of the industries across Malaysia, including Small Medium Industries (SMEs) to similarly adopt Lean Management processes as a stepping stone towards Industry 4.0.

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