Act 2 and Act 4, Deepwater Horizon
The authority gap and the arithmetic of unclear decisions
Who had authority on Deepwater Horizon, and the gap between them
Well Site Leaders
Vidrine and Kaluza
BP, the client
Final authority, well decisions
Responsible for well-related decisions. Six weeks behind schedule. Cost of idle rig: $1M per day. Internal BP assessment: most dangerous well ever drilled.
vs
Offshore Installation Manager
Jimmy Harrell
Transocean, the contractor
Operational authority, rig and crew
Responsible for rig operations and crew safety. Formally objected to the bladder effect interpretation. No structural mechanism to override BP's decision.
The gap that killed eleven people
No override mechanism existed between these two authorities
When Harrell objected, he was exercising legitimate operational judgment. But the contractor structure gave BP final authority on well decisions. There was no formal condition under which Harrell's objection could compel escalation. His objection was voiced. It was heard. It changed nothing. The gap between "I object" and "the decision must escalate" is precisely what Decision Rights Architecture closes.
The arithmetic of authority
Without Decision Rights Architecture
Forty minutes. Authority unclear. Override nonexistent.
Test fails on three independent measures
Harrell objects, no override mechanism
Well declared safe at 5:40 PM
Gas erupts at 9:49 PM, eleven killed
87 days, 4.9 million barrels of oil
$65B
Total BP cost, penalties and settlements
With Decision Rights Architecture
Override invoked at 5:30 PM. Decision escalates.
Test fails, three anomalies documented
Harrell invokes Override Protocol, safety risk, catastrophic consequence
Decision escalates to BP Regional VP
VP reviews: anomalies, objections, disputed interpretation
Well not declared safe. Additional testing.
Different
decision
decision
Structure, not heroism
Crane operatorDale Burkeen
Assistant drillerDonald Clark
Assistant drillerStephen Curtis
DerrickhandRoy Wyatt Kemp
FloorhandKarl Kleppinger
Mud engineerGordon Jones
Mud engineerBlair Manuel
DrillerDewey Revette
RoustaboutShane Roshto
RoustaboutAdam Weise