Business Ethics: Deepwater simulation"Ethical Issues"

Deepwater A Competitive Business Ethics Simulation Game

© 2014 Wayne F. Buck | R2 Simulation Technologies

Maintenance Bulletin 29L

To: All offshore rig managers

From: Chief Engineer, Quality Assurance

Subject: Cameron BOP Stack SEM

It has come to the attention of QA that there is a possible issue

with your blowout preventer stack (BOP) arising from your last

overhaul. Upon review by QA of testing performed by the

manufacturer of your BOP's Subsea Electronic Module (SEM)

which was installed during that overhaul, we have concluded

that the manufacturer's (Mansk Controls) testing protocols are

highly flawed and unable to correctly identify faulty SEMs.

As you are aware, your SEM controls power distribution and

signal transmission to the Emergency Disconnect System

(EDS). Without a fully functioning SEM, the EDS will not

activate should it be needed.

QA has developed a protocol for testing Mansk SEMs and

applied it to 87 ready-to-ship SEMs at the Mansk factory.

Twenty-three of these units failed.

SEMs currently in service can be tested using this protocol.

Testing can be done in-situ and does not require bringing the BOP to the surface. It is disruptive to

normal operations, however.

Our testing protocol will require you to shut-in for a significant portion of a round, thereby cutting by

25% your requested production for the test round. We also estimate a cost under $1 million.

Note that this MB 29L is provided for information purposes only at this time. On this specific issue, QA is

making no recommendation on proper course of action (per VP Ops Directive from home office), but

allowing rig managers to make their own call based on their own specific circumstances. FYI, your SEM

will be replaced with a proven unit during your next BOP overhaul.

James A. Scott QA Chief Engineer

SEM

EDS