Overview and Introduction to

the Chevron CHESM Process

Philip Gallaway
Chevron Energy Technology Company
Seismic Acquisition Services Team
IAGC / OGP HSE & Security Forum
CGGVeritas Offices, Massy, France
27-28 September, 2011

2011 Chevron U.S.A. Inc. All rights reserved .

What is CHESM?

CHESM Contractor Health, Environment and Safety Management

It is a standardized Chevron Operational Excellence process which
Establishes expectation that contractors working across all SBUs are
evaluated and managed by the same process.
Applies to all contractors regardless of work location, scope of work,
project duration, total cost or contractor experience.
The process is used to qualify contractors by establishing minimum HES
requirements each contractor should meet to work at Chevron.
Process to ensure that Contract Companies have safety processes in
place before work begins for Chevron.

2011 Chevron U.S.A. Inc. All rights reserved .

CHESM Implementation Objectives

Promote Injury & Incident Free expectation / culture among

contractor workforce.
Clarify Chevron HES expectations.
Build teamwork between Chevron and contractors.
Support HES capacity building (local content development).
Ensure contractor HES capability and performance is properly
documented.
Ensure alignment with Chevron OE processes being
implemented Worldwide.

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2011 Chevron U.S.A. Inc. All rights reserved .

Scope of CHESM

This process will be applied before any new contracts are

issued or existing contracts renewed.
This process will be used to develop Bid List and/or award
Projects.
Applies for the term of the contract.

2011 Chevron U.S.A. Inc. All rights reserved .

CHESM Process Key Elements

World class contractor safety begins with:

Leadership Roles & Accountability
Active Contractor Engagement

By establishing a 5-stage process that include:

1. Business Planning
2. Contractor Qualification and Selection
3. Pre-Job Reviews (Site visits, pre-mob planning, mitigation plans, kick
off meetings, site audits, training, etc.)
4. Work in Progress (Interim reviews and field inspections)
5. End of Contract Evaluation

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2011 Chevron U.S.A. Inc. All rights reserved .

CHESM Process Key Requirements

A set of key performance indicator targets shall be

established for each contract.
Chevron shall identify potential HES risks associated with
contracting needs.
All selected contractors shall be pre-qualified using the
standard procedure.
Pre-job activities shall be held for each contract before start
of work.
Interim contractor performance reviews shall be conducted
at least once a year.
End of contract performance evaluations shall be completed
for every contract at the end of the contract period.
2011 Chevron U.S.A. Inc. All rights reserved .

CHESM 5-Step Process

Business Planning
Qualification Selection
Pre-Job Review
Work In Progress
End-Of-Contract Evaluation

2011 Chevron U.S.A. Inc. All rights reserved .

Business Planning

Purpose:
Provide early detection of HES risks.
Ensure that a mitigation plan is in place to address the
risks.

2011 Chevron U.S.A. Inc. All rights reserved .

Qualification and Selection

Contractor HES Qualification Key Elements are:

Initial Communication of HES expectations
Collect and Update data
Evaluate Contractors Qualification Questionnaire
Assign HES Rating to a Contractor
Data Management and Feedback

2011 Chevron U.S.A. Inc. All rights reserved .

Qualification and Selection

CHESM Contractor Rating and Selection Requirements
Rating

Selection Requirements

Unrestricted use.

Unrestricted use. Check a higher-rated supplier.

Pre-job meeting; mitigation plan required

Pre-job meeting; mitigation plan documented in database; management approval

from BU General Manager of Operations (or designee) in writing; trained HES
personnel on-site during work.

Cannot be used without BU General Director (or designee) approval. All

requirements for a D rated contractor apply.

ND

* Contractor has not completed the annual Contractor HES Evaluation

Questionnaire update. Do not hire until this deficiency is rectified.

2011 Chevron U.S.A. Inc. All rights reserved .

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Pre-Job Review

The HES Management Pre-Job Review procedure ensures that

contractors have the necessary procedures, risk identification
and mitigation plans in place before work starts, in order to do
the work safely.
The pre-job review consists of the following elements:
Pre-job meeting
Project/Job safety plan
Pre-mobilization review
New contractor orientation program
Site-specific orientation

2011 Chevron U.S.A. Inc. All rights reserved .

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CHESM Work-In-Progress Procedure

Work-In-Progress Procedure Includes:

Interim Performance Review
Field Inspection
Management Field Visits
Joint Safety Meetings
Tailgate/Toolbox Meeting
Contractor Forum
Contractor Improvement Teams
Related OE Processes

2011 Chevron U.S.A. Inc. All rights reserved .

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End-Of-Contract Evaluation

The purpose of the end-of-contract evaluation is to:

Formally review the health, environment and
safety (HES) performance of a contractor at the
completion of the contract
Capture lessons learned and best practices for
improving HES performance of future work and
future contractor selection

2011 Chevron U.S.A. Inc. All rights reserved .

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Application to Chevron Seismic Acquisition Programs

All seismic operations are considered high-risk and the CHESM

process applies
How are we implementing this on seismic crews:
Pre-job field visits to review ongoing operations
In-depth review of HES plans, work processes, programs
Pre-mob planning phase to insure that all HES requirements are in line
with Chevron standards

2011 Chevron U.S.A. Inc. All rights reserved .

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Application to Chevron Seismic Acquisition Programs

(cont)
Challenges with the CHESM process:
Applied in various ways across Chevron BUs
Currently does not contain seismic HSE or operational reviews
Adapted by the seismic acquisition team
Non-standard contractor management processes are not easily identified
Joint ventures
Subcontractor relationships
Crew to crew variations

2011 Chevron U.S.A. Inc. All rights reserved .

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Questions?

2011 Chevron U.S.A. Inc. All rights reserved .

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