- Geoff Roberts
- Director of Strategy
- Oracle Construction and Engineering, United Kingdom
1. Operating as the Intelligent Client
The delivery of capital projects has changed significantly over my lifetime in the way organizations procure, and manage asset delivery from very much a totally in-house based organization that undertook most activities thru design and construction management mainly working with the direct supply chain. This then swung to near enough total outsourcing to Tier 1 contractors who acted as Project management organization as well as delivery partner , however with that came a loss of control, so today we are a point where most of organizations are looking at becoming the intelligent client.
To do that they need to clearly understand by capability what and how they wish to manage and support the supply chain be in just visibility into what the supply chain org is doing or influence governance and control.
In addition, with the desire to manage Totex rather and split capex /opex approach it is fundamental to understand the impact change has on the asset delivery project, its outcomes and it impact on the asset revenue returns
2. Ensuring governance and compliance around deliverables
With the intelligent client comes the desire and ability to manage the supply chain at any level going direct to the appropriate level/source. This leads to a requirement to ensure compliance, governance and control to a level that makes sense for any one individual organization involved.
What is a fundamental change is the willingness and a desire to manage the tier 2/3 etc. supply chain organizations that deliver significant value , however they need tools that support them as a silod approach with individual tech is no longer appropriate when trying to manage such a diverse array of suppliers and contractors.
A model that delivers more real-time data is required and ownership of data is fundamental, so a move to amore publish and subscription model is required that support the fundamentals of collaboration, compliance and governance.
3. Managing change through its life from RFI to approval
Change management is still something that organization must get to grips with, and you would think something that should have been resolved years ago but with the willingness and desire now to expand to the use of tier 2/3 etc. supply chain orgs the management of such change and its impact to other suppliers and the overall asset delivery is a significant area of focus.
There is a need to move away from the current models that involve many lines of communication and use of much silod data transported via email etc., which continue to lead to a very spotty management of a fundamental aspect of a project. This approach leads to enhanced overruns in both budget and schedule and the ongoing impact on the asset revenues.
4. How technology can support the above
So, the understanding that irrespective of the capabilities required and the improvement in their Procurement and supply chain processes, by looking to manage a much broader range of suppliers and contractors via an intelligent model, there is a need to embrace technology to support this outcome.
The need for a common data platform that can provide collaboration, compliance, governance control and provide real time data was a must and was key to helping this group further influence how their organizations do business.