Strategy: Execute with excellence through the rigorous application of our operational excellence and capital stewardship systems and disciplined cost management.
We have processes in place that help us make disciplined decisions and get results the right way. We are deeply committed to being an industry leader in operational excellence. Our capital stewardship systems help us select the right, high-return projects and execute them safely and predictably. And our focus on controlling costs enables us to be a top competitor in all economic environments.
Operational Excellence
Our Operational Excellence Management System (OEMS) is a prime example of our commitment to deliver results the right way. We have integrated systematic processes into all aspects of our operations to protect the safety and health of people and the environment and to ensure reliable and efficient operations. In the nine years since we rolled out our OEMS process, we have seen some remarkable results.
Our days away from work rate has dropped 90 percent over the period, and our recordable incident rate is down 70 percent. The results of our environmental stewardship are equally impressive. Over the period, the number of spill incidents is down by nearly one-half, and the total volume has decreased by 80 percent. In 2010, our Chevron-operated shipping fleet moved approximately 1 billion barrels of crude oil, natural gas and products without a single cargo spill. It has been more than seven years since the fleet has had a cargo spill incident.
Our OEMS performance also has had a positive effect on the communities where we operate. See our Corporate Responsibility Report to learn more.
The Macondo Response
Chevron assisted with response efforts to the Macondo well incident that occurred in April in the deepwater U.S. Gulf of Mexico. We lent personnel and equipment to aid containment efforts and participated in a U.S. Coast Guard incident command team. We actively participated in the joint industry task forces that were created immediately after the incident and which subsequently made recommendations to the U.S. Department of the Interior for improvements in offshore drilling procedures, equipment, well intervention, and containment and oil spill response. With three other energy companies, we formed a company to build and deploy a rapid-response system for deepwater well blowout containment. The Marine Well Containment System is designed to capture and contain oil in the event another blowout occurs. Following the Macondo well incident, we conducted a thorough audit of our global drilling processes and procedures and concluded that our drilling practices were robust and environmentally protective.
Posted: April 2011