SEaBoard International Inc.

Management 6023/1/2012

Dr. Attaran

Brent Currie

Yasmin Jaber

Celeste Thomson

Clifford Traugh

Originally called Bakersfield Oil Tool Family owned job shop for oil tools by Irv

Duhn in late 1940’s Rex Duhn took over the company and

took it international Renamed to Wellhead Incorporated,

after the Persian Gulf War In 2007, Wellhead Inc. was acquired by

Seaboard International. By 2011, Weir Oil and Gas acquired

Seaboard International. Currently known as Weir Seaboard

API Wellhead ProductsS-22 Casing Head and SpoolsS and SD Tubing HeadsSMB-22 Multibowl

Independent Wellhead ProductsCasing Heads: W75, W92Tubing Heads: WK, WR, W2FAccessories: Belled Nipples, Drilling Flanes

Specialty Wellhead ProductsCommunication Slick JointFas Dril UniheadNW-A and NW-B Casing and Diverter HeadsQDC Quick Lock Drilling CouplingQ92 Wellhead System

ValvesSeries 500Series 1500Series 1600

The process of receiving and manufacturing the product.

What problems may have caused the relatively high waste rate within the company?

What can be done to assist Seaboard International in reducing these wastes? Can these waste products be reused in any

way before they are wasted?

Year 2007 2008 2009 2010 2011

Total Pieces created

810,000

760,000

945,000

1,230,000

2,050,000

Operator Error 640 627 710 889 1677

Testing Error 110 116 136 220 234

Handling Error 87 72 50 110 122

Engineering Error 5 9 35 48 54

Program Error 31 30 19 7 15

Outside Processing Error

15 20 33 12 16

Machine Error 12 0 6 9 15

Incorrect Tool Offset

Incorrect Edit

Incorrect Program

Incorrect Tool

Incorrect Insert

Operator Not Paying Attention

Make steel suppliers in multiple sizes

3 to 4 most common sizes

Continue to order 25 foot sticks for job

shop projects.

Implement Just-In-Time Inventory

Less capital tied up in inventory

Less unused material just laying around

Less Quality Control inspections

Currently QC is done 5 times

QC of Raw Materials

QC after Raw Materials are cut

QC after Machinist makes part

QC after assembly of machinists parts

QC after testing

Cut Quality Control to 3 steps

Inspection of raw materials

Inspection after machinist makes

part

Inspection after testing

Define- Too many defects coming out of Manufacturing.

Measure- We found that most defects were caused by were operator error.

Analyze- What can be done.Purchase new machines that require less

input from operators.Purchase Robotic Machines to do the most

common manufacturing procedures.Establish two man teams.

Improve- Implement one of these

options to increase overall quality.

Control- Continuously monitor new

techniques to ensure quality has

been achieved.

Two man teams have the best chance of

reducing errors without incurring a huge

cost.

The operators can cross check each other’s

work.

The dry run can be signed off by two staff

members to ensure that it is done every time.

Accountability can be established.

Weir Group Merger

Bakersfield Location Scaled Down

Equipment Moved

Improvements?