When the North Sea offshore industry starts to refocus on supply-chain management, those down that chain understandably start to get nervous.
In a high-cost basin with the current decline in oil price and the dramatically increasing costs of labour and equipment that we have seen over the past two years, it is not surprising that there is a renewed focus on managing the supply chain.
However, it has to be recognised that effective supply-chain management is not about cutting costs. It has to be much more about driving value in all our operations.
Supply-chain management is a truly dynamic profession that sits at the heart of all our activity. Suitably qualified and skilled practitioners are the ones who create value, improve business performance and drive waste out of the supply chain. Make no mistake, they are in serious demand.
The offshore industry needs to look at ways of enhancing its supply-chain expertise. Firstly, we still have a lot to learn from other industries, particularly the automotive and construction sectors, and secondly, we need to encourage more people to take up a career in supply-chain management and ensure that we provide the right training for the managers of the future.
As a smart, sustainable career choice, the oil&gas industry provides an excellent environment for a supply-chain career thanks to cutting-edge technology and best-practice business methodologies that are the envy of many other business sectors.
At the recent Share Fair in Aberdeen, OPITO – The Oil and Gas Academy launched an initiative to promote a career in this discipline. In conjunction with the Chartered Institute of Purchasing & Supply (CIPS) and the supply-chain management forum at Oil & Gas UK, we have developed an online education pathway for supply-chain practitioners.
The web-based Supply Chain Gateway has been developed to help oil&gas professionals broaden their existing skills, and also to provide a route into the profession for people wanting to pursue a career in this discipline.
It uses CIPS’s established multiple entry point qualifications ladder, a structured education pathway which leads to professional qualifications from foundation level through to full CIPS membership and an executive diploma tailored to oil&gas industry needs. Individuals can follow three different routes, depending on their ability, experience and ambitions.
The “online gateway” includes professional development and learning resources; varying entry and development routes (for new recruits, those with transferable skills and existing professionals); competency mapping guidance, and direct access to CIPS’s internationally recognised qualifications.
We are expecting several hundred entrants to the new scheme in the first year alone. The pathway is highly endorsed by a wide range of regional and contractor trade associations and government agencies across the UK, stressing the need for, and value of, this new scheme to the industry.
This initiative is another example of the academy’s ability to form alliance partnerships with organisations that can help deliver mutual benefit against identified industry skills needs. If it is supported, it will boost the experience and expertise within our supply chain, leading to a real focus on delivering value rather than simply driving costs down.
David Doig is CEO of the Oil & Gas Academy, which is headquartered in Aberdeen