SRM / SPM in the Oil & Gas Industry

/SRM / SPM in the Oil & Gas Industry
SRM / SPM in the Oil & Gas Industry2017-09-23T22:09:48+00:00
SRM SPM in Oil & Gas Industry - Upstream Downstream Midstream

SRM SPM in Oil & Gas Industry – Upstream Downstream Midstream

OutPerform SRM – Oil & Gas Industry

In implementing either Supplier Relationship Management (SRM) or the sub process of Supplier Performance Management(SPM ) initiatives within the Oil and Gas industry  it is important that we realise that three different sectors exist within the industry and that these sectors although interlinked are actually completely different. Before we look at the sectors lets get a basic understanding.

“Upstream” and “downstream” are general business terms referring to a company’s location in the supply chain. The closer to the end user a function or firm is, the further downstream it is said to be. Raw material extraction or production are elements of the supply chain considered to be upstream. The oil and gas supply chain is commonly referenced in this manner. The upstream companies identify oil and natural gas deposits and engage in the extraction of these resources from underground. These firms are often called exploration and production companies. Refiners represent the downstream element of the oil and gas supply chain.

Upstream  Where it all begins; the searching, exploration, drilling and development of wells to bringing the raw product (Oil & Gas) up to the surface. Oil and gas operations identify deposits, drill wells, and recover raw materials from underground. Once it has reached the surface the oil rig/vessel etc., has to store, process then transport it elsewhere e.g. using the Midstream facilities. The Upstream sector also includes related services, such as rig operations, feasibility studies, machinery rental and extraction chemical supply.

Midstream operations link the upstream and downstream entities. This is the transportation from the rig/vessel to other sites for processing, using vessels (ships), pipelines, rail tankers and/or oil tankers, trucks; this includes any storage units before it arrives at the refinery. Midstream operations mostly include resource transportation and storage, such as pipelines and gathering systems.

Downstream – This is near the end of the cycle. encompassing: refining, processing, distillation and purification before turning it into usable, sell-able and consumable products e.g. fuels, raw chemicals and finished products etc.  These services turn crude oil into usable products such as gasoline, fuel oils, and petroleum-based products. Marketing services help move the finished products from energy companies to retailers or end users.

Upstream,  Midstream & Downstream – A Supply Chain Perspective

“Upstream” and “downstream” are general business terms referring to a company’s location in the supply chain. The closer to the end user a function or firm is, the further downstream it is said to be. Raw material extraction or production are elements of the supply chain considered to be upstream. The oil and gas supply chain is commonly referenced in this manner. The upstream companies identify oil and natural gas deposits and engage in the extraction of these resources from underground. These firms are often called exploration and production companies. Refiners represent the downstream element of the oil and gas supply chain.  The below table helps distinguish between the relevant sectors.

Upstream Downstream Midstream Sectors Explained

SRM IN Oil & Gas Industry – Upstream Downstream Midstream Sectors Explained

At OutPerform we believe that transferring our 17 years of experience into each and every project engagement is key to a successful SRM Initiative. Whether this is Category Line Experience, Business Process Experience, Lessons Learned, Best Practices or a combination of all of the above the team at Outperform SRM strive to educate you, and deliver you best of breed SRM solutions that exceed expectations.

OutPerform Subject Matter Experts, Advisors and Consultants are experienced in designing and implementing Supplier Scorecards and Key Performance Indicator (KPIs) in over 300 Oil & Gas Industry specific product, category and service lines.

A sample of the business lines that we have previously developed scorecards and KPIs for are listed below and broken out into Upstream, Downstream and Midstream.

Upstream Oil & Gas – Scorecard / KPI Experience

  • Annular BOPs
  • Installation Services (Offshore)
  • Seismic Data Processing (Land)
  • Accomodation Services (Offshore)
  • Leak Detection
  • Seismic Data Processing (Marine)
  • Artificial Lift
  • Liner Systems
  • Shuttle Tankers
  • Asset Integrity Management
  • Logging While Drilling (LWD)
  • Solids Control Services
  • Aviation Base Operations
  • Managed Pressure Drilling
  • Stimulation
  • Aviation Helicopter Operations
  • Marine Risers
  • Subsea Connecting Systems
  • Blow Out Preventers (BOPs)
  • Materials Management (Offshore)
  • Subsea Containment Assembly
  • BOP Accumulator Units
  • Measurement Services
  • Subsea Equipment
  • Brownfield Development Services
  • Measurement While Drilling (MWD)
  • Subsea Inspections
  • Casing Delivery
  • Metering Systems
  • Subsea Maintenance & Repair
  • Casing Running
  • Micro-seismic Design
  • Subsea Manifolds
  • Catering (Offshore)
  • Microseismic Services
  • Subsea Power Systems Trenching
  • Cementing Services
  • MRO – Maintenance Repair Operations (Offshore)
  • Subsea Pipe Trenching
  • Choke Erosion Monitoring
  • MRO – Maintenance Repair Operations (Onshore)
  • Subsea Production Control Systems
  • Coiled Tubing Services
  • Mudlogging
  • Subsea Speciality Connectors
  • Conventional Coring
  • OCTG Supply
  • Subsea Support Vessels
  • Decommissioning
  • Offshore Supply Vessels
  • Subsea Systems Inspections
  • Desorption Service
  • Offshore Support Vessels
  • Subsea Systems Installation
  • Directional Drilling
  • Offshore Surveys (Geomatics, Geotechnical, Metocean)
  • Subsea Systems Manifolds
  • Dispersant Fluid Systems
  • Open Hole Completions
  • Subsea Trees
  • Diverters
  • Open Hole Wireline Services
  • Subsea Trees
  • Down Hole Sensors
  • Operations Support
  • Surface Wellheads
  • Downhole Release Tools
  • Packer Systems Supply
  • Tubular Running Services
  • Drill Bits
  • Perforating Systems
  • Turbomachinery
  • Drill Ships
  • Pipe Recovery
  • Umbilical Instalation
  • Drilling Fluids
  • Platform Maintenance
  • Umbilical Manufacturing
  • Drilling Rig Management
  • Platform Supply Vessels
  • Underbalanced Drilling
  • Drilling Rigs (Deepwater)
  • Premium Connections
  • Valve Automation
  • Drilling Rigs (Offshore)
  • Pressure Control Equipment
  • Valves
  • Drilling Rigs (Onshore)
  • Production Logging
  • VSP Services
  • Drilling Tools
  • Pulsation Dampeners
  • Waste Removal
  • EPC – Engineering, Procurement, and Construction (Upstream)
  • RAM BOPs
  • Water Analysis
  • Fabrication & Construction
  • Refinery Inspections
  • Water Management
  • Flare Gas Monetization
  • Remote Operated Vehicles (ROVs)
  • Well Abandonment
  • Flare Systems
  • Rig / Platform Inspections (Offshore)
  • Well Construction
  • Flexible Pipe Solutions
  • Rig Inspections (Offshore)
  • Well Control
  • Flow Control Systems
  • Rig Operations (Offshore)
  • Well Integrity Management
  • FPSO Vessels
  • Rotating Equipment
  • Well Servicing
  • Frac Valves
  • Safety Equipment
  • Well Head Control Panels
  • Frac Manifolds
  • Safety Valves
  • Wellhead Design
  • Fracturing Technologies
  • Sand Control Services
  • Wellhead Service
  • Geo-mechanic Services
  • Seismic Data Acquisition (Land)
  • Wellheads
  • Hydraulic Fracturing
  • Seismic Data Acquisition (Marine)
  • Wireline Coring
  • Hydraulic Intelligent Completions
  • Seismic Data Interpretation (Land)
  • Wireline Service (Cased Hole)
  • Inflatable Packers
  • Seismic Data Interpretation (Marine)
  • Wireline Service (Open Hole)

For more information on our Upstream SRM / SPM Capability and click here


Downstream Oil & Gas – Scorecard / KPI Experience

  • Atmospheric Residue Desulphurization Units
  • Isomerisation Units
  • Storage Tank Construction
  • Blowers, Compressors & Controls
  • Kerosiene Hydrotreaters
  • Valve Instrumentation
  • Catalytic Cracking Units
  • Logistics and Haulage (Downstream)
  • Valve Regulators
  • Centrifugal & Reciprocating Compressors
  • LPG Hydrotreaters
  • Warehouse Construction
  • Chemical Plants – Inspections, Maintenance, Repair
  • Maintenance, Reliability,and Turnarounds (Upstream)
  • Heavy Oil Cooling Units
  • Condensate Processing Trains
  • Major Storage Tanks – Construction
  • Saturated Gas Units
  • Combined-Cycle Power Plant (CCPP’s)
  • Materials Management (Chemicals)
  • Flair Stacks
  • Crude Distilation Units
  • Mega Storage Tanks – Construction
  • Pumps & Valves
  • Diesel Hydrotreaters
  • Process Pumps
  • Reciprocating Compressors
  • Electric Motor Driven Compressor
  • Pumps & Valves
  • Refinery Maintenance
  • Engineering Project Services
  • Reciprocating Compressors
  • Rotary Control Valves
  • Environmental Services
  • Refinery Maintenance
  • Safety Relief Valves
  • EPC – Engineering, Procurement, and Construction (Downstream)
  • Rotary Control Valves
  • Steam Turbines
  • Heavy Duty Gas Turbines
  • Safety Relief Valves
  • Valve Instrumentation
  • Hot Gas Expanders
  • Steam Turbines
  • Valve Regulators

For more information on our Downstream SRM / SPM Capability and click here


Midstream Oil & Gas – Scorecard / KPI Experience

  • Actuators
  • L&G Export Facilities
  • Products Pipelines
  • Ball Valves
  • Liquefaction Facilities
  • Project Modularization
  • Blending Systems
  • LNG Terminals
  • Pumping Stations
  • Check Valves
  • Loading / Unloading Terminals
  • Rail Terminals
  • CO2 Piplines
  • Loading Pumps
  • Sampling Systems
  • CO2 Removal
  • Logistics and Interface Management
  • SCADA, Electrical, and Control Systems
  • Compression Units
  • Manifold Skids
  • Ship Loading Services
  • Compressor & Pump Stations
  • Marine Services
  • Storage Caverns
  • Crude / Liquids Pipelines
  • Marine Transportation
  • Storage Valves
  • Engineering Services
  • Metering Stations
  • Tank Farms
  • Engineering, Procurement and Construction (EPC)
  • Movable Modular Liquefaction System (MMLS)
  • Tanker Maintenance
  • Facility Operations
  • Natural Gas Pipelines
  • Temperature Averagers
  • Flow Computers
  • Natural Gas Processing
  • Terminals
  • Fractionators
  • Natural Gas Treaters
  • Transmission Valves
  • Gas Compressor Stations
  • Oil Storage Terminals
  • Transmix Facilities
  • Gas Measurement Systems
  • Olefins Plants
  • Triple Offset Valves
  • Gasification Terminals
  • Pipeline Inspections
  • Turbine Flow Meters
  • Gasification Terminal Modifications
  • Pipeline Integrity Management
  • Underground Storage Facilities
  • Gate Valves
  • Pipeline Interconnects
  • Ultrasonic Flow Meters
  • Gear Operators
  • Power Optimization
  • Valve Automation
  • H2S and Sulfur Removal
  • Pressure Reduction Facilities
  • Vapour Handling
  • Instrumentation and Electrical Engineering
  • Products Pipeline Terminals
  • Warehousing

 

For more information on our Midstream SRM / SPM Capability and click here

Our Experts have Experience of working with a wide range of internal and external stakeholders with the ability to build relationship and influence outcomes. Our Experience of supplier performance management includes detailed knowledge of processes and frameworks including commercial performance management of contracts and knowledge of supplier risk management techniques.

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