Oil & Gas Risk Management
SITUATION
Engineering designer and supplier of offshore oil and gas facilities needed help to review the management process and implement improvements.
DRIVER GOAL
- Reduce risk on future projects.
- Review current ways of working in project proposal development.
- Design and document new proposal development process.
- Clarify roles and responsibilities.
RESULT
- Redesigned critical commercial process and implemented a risk management process.
- Clarified accountabilities.
- Improved offering through strengthened review process.
Case Study
Optimize Bid & Proposal Process
Issue
This group has grown rapidly over the last 10 years into a major engineering designer and supplier of offshore oil and gas facilities. Leadership was internally developed with little experience outside the group, few management processes existed, and all decisions were made by senior managers. The Highland Group was engaged to review the management process and implement improvements.
Highland Approach
The Highland Group’s analytical professionals conducted a Discovery and Design on the company’s project bidding and proposal process to identify the root causes of project overruns and expected profit shortfalls.
Actions Taken
- Restored discipline via training sessions on leadership and teamwork.
- Developed a system of monitoring and reporting on proposal plans.
- Clearly defined and implemented accountabilities and responsibilities.
- Realigned the bid selection and prioritization process.
- Gained management-wide commitment to continuous improvement.
- Developed consistent planning and resource management across all functions.
- Implemented a formal risk reporting process.
- Instituted the ability to openly challenge discussions.
