JSC NC “KazMunayGas” Zhanaru Digital Transformation Programme
The KMG transformation programme has been implemented since 2015. The Programme’s goal is to enhance the operating performance and the company value by improving the business processes, digitalising the operations, increasing employee competence. Transformation is one of the tools to achieve the goals of the Company’s Development Strategy.
In 2019, Samruk-Kazyna JSC introduced a new approach to the transformation of portfolio companies, focusing on digitalisation. Following the new Fund’s vision, KazMunayGas went on to implement the Zhanaru Digital Transformation Programme. A new method was developed to select projects and activities, the portfolio was updated.
As the global economy is declining due to the coronavirus pandemic, digital transformation is seen as one of the directions of the KMG’s anti-crisis strategy. The current Programme portfolio includes projects and activities aimed to reduce the costs, increase the business process transparency, develop a culture of continuous improvement and introduce new digital solutions into operations.
The current situation calls for a thorough and informed selection of new transformation projects. The priority will be given to financially beneficial initiatives.
Ongoing projects and activities:
Transformation of business processes in KMG headquarters and subsidiaries and introducing an updated ERP-grade IT system combining financial and production information, human resources and material assets management data.
Improvement of remote automated monitoring of motor vehicles and special machinery to ensure the safety of operations and transportation and to optimize operational expenses.
Centralisation of auxiliary, routine and transactional processes of the KMG headquarters and subsidiaries within the Shared Service Centre.
Building a single data architecture in the KMG Group to ensure that computer systems use reliable, complete and uniform operational and financial information to make efficient management decisions based on it.
The project is intended to fundamentally improve the project implementation processes in the KMG Group using the Stage Gate Process. Introducing a project management system should have a systemic effect on activities of the company and subsidiaries by ensuring transparent project activities, eliminating unprofitable projects, allocating authorities of investment bodies, forming the need for deep substantiation of the investment decisions, establishing clear responsibility for project implementation, imposing specific requirements for qualification of project activity participants.
In this project, KMG Group companies will be connected to QazCloud LLP’s industrial Operational Information Security Centre. Activities of the Centre are aimed to prevent, identify, analyse and respond to cyber threats.
Advanced training of oil refinery employees by exercising on computer simulators of emergencies and deviations in operating mode of production units.
Training of employees in a project-based approach and motivation for the improvement of business processes. Employees that completed training under the programme promote small projects not requiring significant investments and resulting in economic benefits within a short time.
Creating a highly accurate digital General Layout of oil refineries by laser scanning of facilities and 3D modelling to have updated online information about operation assets, reduce the time and costs of repairs and design, increase production safety and accident-free operation of production facilities.
The system will allow to promptly respond to emergencies, increase the efficiency of analysis and planning during design, operation of trunk gas pipelines and distribution networks, ensure quality control and analysis for maintenance, repair work and diagnostics of gas pipeline facilities.