With over 100 FCCU turnarounds and a 90-percent customer retention rate, Diamond Refractory Services says that's just the beginning
Houston-based Diamond Refractory Services, an EMCOR Industrial Services Company, has become one of the country's most sought-after refractory turnaround services providers at a critical time.
U.S. refiners are expected to spend $1.26 billion on planned maintenance in 2017, a 38-percent increase from 2016 and the highest level since at least 2010, according to Industrial Information Resources (IIR), which tracks labor supply for refiners.
However, even with the news of a projected influx of business, the industry is facing a challenge: a persistent shortage of skilled labor. IIR estimates the coastal region from Brownsville, Texas, to New Orleans -- the largest U.S. refining region -- will be short roughly 37,400 craftsmen needed to complete all of the planned capital projects in 2017.
Diamond Refractory Services (Diamond) works to stay ahead of this problem by taking steps to ensure it is the "employer of choice" and by continuing to deliver quality work on time and on budget.
Chase Drake, Diamond's hands-on president and engineering manager, said the next several years will be demanding ones as the number of projects teed up in the Gulf Coast region is projected to be high. "From a manpower standpoint," Drake continued, "We work hard at being ready."
"Our priorities are safety, quality, and our clients' schedule and budget, not the number of turnarounds we undertake."
-- Chase Drake, Diamond
Diamond focuses on building capable teams that perform at a high level and work around the clock to meet customer expectations. Management is involved in nearly every level of every turnaround.
"Our priorities are safety, a commitment to quality, and adhering to our clients' schedule and budget," Drake said, "not the number of turnarounds we undertake."
This commitment starts with the skilled workers Diamond employs, many of whom are hand-picked to help keep employee turnover low and performance high.
One way Diamond drives performance is by having an entire management team that is API 936 certified. The American Petroleum Institute's (API's) Individual Certification Programs provide the petroleum and petrochemical industries with an independent and unbiased way to evaluate the knowledge and experience of technical and inspection personnel, helping ensure Diamond provides its clients with the highest-caliber personnel. With average employment tenure of 10 years or more, Diamond's supervisors are among the industry's most experienced workers and are pivotal players in the company's success.
Drake cites his employees' loyalty -- more than 150 certified alloy welders, nozzlemen, safety professionals, forklift drivers and other professionals -- as one of the reasons the company has avoided the skilled worker drought.
"Our skilled workers stay with their teams," Drake said. "I tell clients that the team you see this year will likely be the team you will see again in four years."
Loyalty isn't accidental, as many managers can attest. The loyalty Drake referred to is a result of Diamond's investment in employees. Drake looks for ways to turn new, young craftsmen and women into leaders through mentoring, which results in most staying for the long term.
"We encourage employees to perfect current skills while also learning new skills," Drake said, "with the goal of helping them to become the best at what they do."
This employee continuity, fostered by a commitment to training and mentoring, can result in tremendous benefits to clients in the form of higher-quality, better speedto- project completion times and a stricter adherence to budget.
"Since Diamond became a part of EMCOR," Drake explained, "we all share the EMCOR Values of 'Mission First. People Always.' These values include our belief in mutual respect and trust; a commitment to safety and teamwork; and integrity, discipline, and transparency in all that we do."
Leading by example
Another reason the company has been able to deliver top-tier refractory turnaround services to the refining and process industries across the U.S. since 1999 is that its leadership leads by example. Leadership of the company is not afraid to roll up its collective sleeves and get their hands dirty. The autocratic leadership style that once dominated the American business landscape is purposefully absent at Diamond, replaced by an intense immersion by project managers and leaders in the day-to-day workings of the organization. It's an approach that has 90 percent of the company's clients returning for more work.
"I'm involved in each project, cradle to grave," Drake said of his personal commitment to customer satisfaction. "It starts on the business development/sales side. I interact with customers to make sure they're comfortable doing business with Diamond."
It doesn't stop there. Throughout the contract stage, Drake works with clients to clarify details so each component of the turnaround is well defined and well understood.
"I start each project with a kickoff meeting," Drake said. "Pre-turnaround, I let my team know what our objectives are and what I expect from each of them. I'll leave my business card and encourage everyone on the turnaround, customers and employees alike, to contact me if there are any questions or problems. They know I'll respond any time, day or night."
This attention to detail and oversight from senior management helps Diamond to outpace competitors. Drake and his team of turnaround professionals circle back to ask the hard questions and then follow up by doing a post-turnaround meeting to find out what could have been done better, showing just how committed Diamond Refractory Services is to staying competitive. It's a long, detailed process, but a worthwhile one, according to Drake.
"I do three to four site meetings," he said. "I also do the transition meetings and the toolbox meetings in between shifts. I want to set an example for our managers. By providing an example to follow, I expect all of our projects managers to approach the job the same way I do and be involved."
A safer approach to 100+ turnarounds and counting
The benefits of Diamond's detailed approach to turnarounds extends to the company's implementation of safety measures. Diamond Refractory Services has worked four years without an OSHA recordable incident.
"We ask employees for solutions to safety concerns," Drake said. "We look to our field personnel for real-world solutions to real-world safety issues. That's one of the reasons we began using rapid arc welding (RAW) in the field, which is safer and eliminates fumes and lowers exposure to hexavalent chromium vapor."
Most of Diamond's regular workforce is now RAW trained and certified, said Drake, which makes them more efficient as a RAW-certified welder can weld refractory anchors seven times faster than a traditional welder using an electrode. To date, Diamond's personnel have installed more than 100,000 anchors, and that fact alone makes the company one of the most experienced refractory specialists on the Gulf Coast.
Completing over 100 turnarounds with a 90-percent customer retention rate is the result of hard work, a fierce commitment to safety and training, and a determined willingness to put words into action. Diamond is an industry leader to watch, because, as Drake says, "From the office to field, Diamond Refractory Services is committed to leading by example."
For more information, visit www. diamondrefractory.com or call (713) 378-9200.
