Article: Analysis and redesign of direct bidding process in oil and gas industry in Aceh using business process improvement Journal: International Journal of Business Process Integration and Management (IJBPIM) 2024 Vol.11 No.4 pp.345 - 351 Abstract: BPMA is a local management agency established by the Indonesian Government responsible in managing and monitoring upstream oil and gas projects in Aceh Province. The business process of direct bidding working areas encountered several issues such as disintegrated activities, excessive bureaucracy, and tasks redundancy leading to excessive time consumption and inflexibility. This study employed business process improvement (BPI) method to analyse and redesign the business process. The result discovered 108 activities accomplished in 1,180 days for the as-is model and 91 activities with the duration of 554 days for the to-be model. The performance comparison between the two models based on devil's quadrangle indicated 53% of time saving and 16% increase in flexibility. Eventually, this study is expected to improve the process performance, shorten processing time, maximise the function of BPMA, as well as create effective, efficient and adaptable direct bidding business processes in oil and gas industry. Inderscience Publishers - linking academia, business and industry through research

Title: Analysis and redesign of direct bidding process in oil and gas industry in Aceh using business process improvement

Authors: Nur Izzaty; Diana Salsabila; Hasan Yudie Sastra

Addresses: Industrial Engineering Program, Department of Mechanical and Industrial Engineering, Faculty of Engineering, Universitas Syiah Kuala, Indonesia ' Industrial Engineering Program, Department of Mechanical and Industrial Engineering, Faculty of Engineering, Universitas Syiah Kuala, Indonesia ' Industrial Engineering Postgraduate Program, Department of Mechanical and Industrial Engineering, Faculty of Engineering, Universitas Syiah Kuala, Indonesia

Abstract: BPMA is a local management agency established by the Indonesian Government responsible in managing and monitoring upstream oil and gas projects in Aceh Province. The business process of direct bidding working areas encountered several issues such as disintegrated activities, excessive bureaucracy, and tasks redundancy leading to excessive time consumption and inflexibility. This study employed business process improvement (BPI) method to analyse and redesign the business process. The result discovered 108 activities accomplished in 1,180 days for the as-is model and 91 activities with the duration of 554 days for the to-be model. The performance comparison between the two models based on devil's quadrangle indicated 53% of time saving and 16% increase in flexibility. Eventually, this study is expected to improve the process performance, shorten processing time, maximise the function of BPMA, as well as create effective, efficient and adaptable direct bidding business processes in oil and gas industry.

Keywords: business process; business process improvement; BPI; oil and gas industry; streamlining; devil's quadrangle.

DOI: 10.1504/IJBPIM.2024.142651

International Journal of Business Process Integration and Management, 2024 Vol.11 No.4, pp.345 - 351

Received: 19 Jan 2024
Accepted: 22 Apr 2024
Published online: 14 Nov 2024 *

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Title: Analysis and redesign of direct bidding process in oil and gas industry in Aceh using business process improvement

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