Cost reduction through lean approach in natural gas dehydration process: a case study

Abstract

Lean approaches for cost reduction have been vastly used in batch processing like automobile manufacturing industries (Toyota, Ford), in line manufacturing (Garments, pharmaceuticals industries), discrete manufacturing (aircraft industry) and medical technologies (Oncology). However, this approach has not found to be used in continuous production process like upstream natural gas processing industry. For this research, a total number of 03 (three) cases were modeled, incorporating change in a natural gas plant’s Charcoal filter consumption, varying absorbent (Tri-ethylene glycol) flow rate and tuning Re-boiler still column temperature. In this study, a lean six sigma approach has been applied in country’s largest natural gas plant’s gas dehydration process by using different tools like DMAIC model (Define, Measure, Analyze, Improve & Control), BOAT model (Barrier, Opportunity, Action & Threat), COPQ (Cost of Poor Quality) calculation, PICK chart (Possible, Implement, Challenge and Kill). Applying these tools, absorbent (TEG) loss and carbon filter replacement frequency has been reduced in atmospheric condition of Bangladesh and operational cost reduced to AFB $3,63,365 approximately. From this study; other natural gas plants of Bangladesh as well as of Asia, Africa and Arab basins can gain an understanding of lean six sigma process implementation and practices of sustainable cost reduction.