Worley: Faster Procurement for a Tight Gas Project in Oman
Worley was engaged to consult on procurement for phase two of an onshore tight gas drilling project in Oman. This would be a complex and technically challenging project: the gas is located over five kilometers below ground, under layers of extremely dense, hard rock. Highly specialized equipment would be needed for drilling and extraction.
Results:
time savings on procurement hours
week reduction of an eight-week procurement cycle
“In other platforms, suppliers potentially delay actioning the RFQ due to its perceived complexity. Requis is leaps and bounds ahead of anything else.”
– a new Requis user
The challenge
The procurement team was facing its own challenge: time. Phase one of the project had been delivered six months ahead of schedule and expectations were even higher for phase two. But complex technical requirements only increased pressure on engineers to ensure everything would work, and work safely.
The ask for Worley: automate procurement and supply chain through integration and collaboration with engineering teams.
Risk factor: Worley had quoted the project as lump sum engineering–– if it hadn’t been costed correctly, the consultation project would lose money.
The solution
The Worley team didn’t hesitate to recommend Requis’ RFQ and bid evaluation tools. Having used the platform themselves for other clients, they knew it would be a perfect fit.
After an initial information gathering phase, Worley’s Principal Supply Chain Manager and Requis SME Alan Dunning and Requis’ Product Management Director Vincenzo Nici travelled to Oman to conduct a training session.
There was no need for an initial presentation. Alan and Vincenzo walked the procurement team through the Requis RFQ module, and then handed over the reins. By the end of the workshop, their procurement lead had six RFQs ready for issue.
Impact
Worley saw 15% – 20% time savings on procurement hours and a one and a half week reduction of the whole eight week procurement cycle.
Highlights:
- Creating and issuing an RFQ takes about an hour, saving four to eight hours per RFQ.
- Fast, simultaneous upload of multiple documents.
- No need to send separate bid packages - one package is issued to all suppliers simultaneously.
- The sealed bid opening ceremony is completely eliminated, saving two hours per person and knocking one day off the schedule. The digital technology used for Requis enhances the compliance process through strict rules. On closing, procurement managers/buyers simply click a button and Requis generates a comparative summary of all responses. There was no longer the need to hunt through extraneous details looking for important information.
- The engineering team had four weeks for the engineering technical bid evaluation (TBE) once all the bids were received. With Requis, they only need two. The TBE was handled in a similar way to the commercial questions, with engineers uploading technical questions as part of the RFQ for suppliers to answer in their bid.
- The procurement team can easily ask follow up questions of one or more suppliers with a few clicks. Each bidder is anonymous to the other bidders.
- The full audit trail allows for easy fact checking.
Requis succeeds because it automates repetitive tasks, so that human brain power is spent where needed: on analysis and decision making.
What the procurement team had to say
After the project was completed, the procurement team provided feedback on Requis:
- “It’s user friendly and aesthetically more appealing.”
- “Helps achieve good data in and good data out.”
- “I want suppliers to cut to the chase - this enables suppliers to focus on what’s really needed.”
- “In other platforms, suppliers potentially delay actioning the RFQ due to its perceived complexity. Requis is leaps and bounds ahead of anything else.”
- “Important to see what the supplier sees.”
- “I was concerned it would be like other tools, but that was soon shot down in flames.”
- “No long training sessions.”
Both Worley and their clients considered Requis a complete success.
Why the Worley project succeeded
There are a number of reasons why this project succeeded:
- Requis was designed with a workflow based on real-world procurement processes. Most systems are simply designed to feed financial data to the finance teams. Requis follows a process procurement managers know, so it’s a very easy learning curve. All they needed to do for RFQ creation was fill in the parameters, and upload documents for scopes of work, pricing schedules, ETC.
- The project was led by procurement experts. This ensured the ability to anticipate the needs of their clients.
- The Worley and Requis teams did their homework before the workshop. The project included an information gathering and planning phase over a two-week period. They were very familiar with the location, the people, and the project details. They had a project execution methodology mapped out in advance.
- The Worley and client team were very professional and came prepared with all the documents they needed for their RFQs.
Find out how Requis can save time and costs for your enterprise.
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