Change Management Strategies in Extractive Industries ù Analysis, Design and Implementation for Brownfield and Greenfield Sites

This paper deals with change strategies on brownfield and greenfield sites in extractive industries. It draws upon contemporary experiences across Australian, Indonesia and Papua New Guinea (PNG). Change strategies can be used when owners of an extractive industry operation want to optimise their resource. This paper draws upon many tried and proven theories and practices, including the findings of the Tavistock Institute (Trist, Emmery, Bamford, Jaques), as well as the concepts of Adult Learning espoused by Malcolm Knowles and is supported by learnings of Australian based management consultants. This paper reviews a range of approaches that have succeeded in the integration of systems, machines and people, with the key corporate objectives of: increasing productivity; decreasing cost; improving on-time delivery performance and achieving long-term survival. Such integration needs to be measured to show the outcomes from the change strategies and the authors have worked within many measurement regimes and metrics but for the most part, found that JaquesÆ set of metrics being æquality, quantity, resources and timeÆ has gained currency across many Australian operations. This paper contends that investing money in machines alone without a commensurate investment into the people side is counter-productive. Further, if there is not an understanding of processes, ie stable and capable, core and support processes, then all that new technologies will do, is to make what is done badly, only quicker. Recent interventions for the most part, have been cognisant of this balanced approach towards change management. The change strategies described are across extractive industry implementations, using a number of tools and techniques drawn from Continuous Improvement and Six SigmaÖ (registered trade and service mark of Motorola Corporation, USA).