Crisis as Source of Innovation Strategy at ADNOC LNG

Abstract

innovation today is not an option but a necessity, not a general culture but business style. Governments and companies that do not renew or innovate lose competitiveness and Control. They are bound to regress," Sheikh Mohammed National Innovation Week (2015): "Innovation, research, science and technology will form the pillars of a knowledge-based, highly productive and competitive economy, driven by entrepreneurs in a business-friendly environment where public and private sectors form elective partnerships" (Innovation ‘holds the key to our progress, 2018) Only 11% of the Fortune 500 companies from 1955 still exist today. Root word of ‘innovation’ comes from the Latin ‘Innovare’ and is all about change. ‘Innovation is something new that creates value in the eyes of the consumer’. (‘new combinations’) future growth and performance is maximized’ (The Theory of Innovation, 2018) ADNOC LNG operates in Loss of production in crisis conditions and where there is an urgent need to find novel solutions and implement them quickly. ADNOC Mission: We harness energy resources in the service of our nation. Vision: Through partnership, innovation and a relentless focus on high performance and efficiency, we maximize the value of energy resources. ("ADNOC - Abu Dhabi National Oil Company," 2018) Methods, Procedures, Process: LNG Innovation Funnel start by Opportunities of Multiple Sources then Innovation Process and end with Value Realization. Innovation programs in ADNOC LNG Closed Innovation such as KAIZEN, RCA +TRIZ and Open Innovation such as FIKRA and Benchmarking "AS Shown IN fig. A-1 and Table A-2". Strategic planning takes a lot of time and a lot of energy running financial scenarios, looking at data and numbers, too many people get involved, too many iterations presentations, too many levels of approval, the worst thing that can happen with a strategic plan is everybody puts in all this effort, and then it gets archived, put on a shelf, and never looked at again("Strategic Planning Foundations", 2018). Conducting a SWOT analysis in Utility department our strengths consist of the safety within our manufacturing plants, our recruiting information technology are Internally-facing capabilities of the utility Department. Then I look at weaknesses where are our gaps? And we may have gaps in our reporting process. Look for major themes that emerge from the SWOT analysis to feed into the initiatives that you think about pursuing and prioritizing as the highest priority items. Operational Excellence Theme Operational Excellence stresses the need to continually improve the way we manage our production assets and seeking more cost-effective ways in the whole value chain and reducing environmental impact, particularly in respect to aging assets. Determining core competencies in Utility Department could be things like our ability to innovate, and technology infrastructure. What are we truly great at? What’s first? What’s second? I would argue that their two core competencies are the ability to innovate and technology infrastructure. Understanding strategic filters in ADNOC LNG Which It’s also going to help you allocate your very limited resources to pursue those initiatives and reach those goals. A common set of criteria that everyone across the organization is going to use to conduct those evaluations. Things like Financial &Economic indicator, HSE improvement, maintain plant production, Plant Availability, improve plant reliability, Plant /Machine performance, Solve obsolescence Aspect and Maintainability. By articulating this set of criteria you’re going to have a common lens to evaluate your initiatives through. Those filters are going to screen out initiatives that aren’t consistent with the stated direction of the organization, and they’re going to be customized based upon the needs of the organization. Understand how much risk they’re going to have you take on. First consider how relevant are your existing capabilities? Looking at your cost structure or the infrastructure. We want to take on some risk, because that’s going to create new opportunities for us, but not so much risk that you’re risking the enterprise. Results, Observations, Conclusions: Lessons learnt, cost reduction and Crisis as Source of Innovation Strategy at ADNOC LNG Will all be shared with the audience? Innovation is Competitive advantage in process. What is a pattern of innovation do you see in the ADNOC LNG. What level of Innovation are you in? Formulation Innovation strategy in LNG. Novel/Additive Information: The paper would share the lessons learnt from Crisis as Source of Innovation Strategy at ADNOC LNG Figure A1 Type and Pattern of ADNOC LNG Innovation Programs: Table A2 A- Close innovation program: B- Open innovation program: KAIZEN:If everyone makes one small improvement daily, the entire company will benefit in a huge measure. The emphasis is on action, people identify problems in their workplaces, tasks and processes and proactively take actions FIKRA:ADNOC Suggestion Scheme Online platform for gathering ideas Challenge Based and open space Program 2 TRIZ (Theory of Inventive Problem Solving) Benchmarking:A systematic process of comparing one's business processes and performance metrics to best-in-class in industry or best practices from other industries for performance improvement through systematic search and adaptation of leading best practices.