part 1 – petrofac supply chain overview · pdf file• petrofac is an international...

Part 1 – PetrofacSupply Chain Overview

Angelo Di TataSupply Chain Director – Petrofac

Introducing PetrofacOUR HERITAGE

• Petrofac is an international service provider to the oil and gas industry, with approximately 19,000 employees across the world ;

• We have 35 years’ of international experience and a track record of several hundred projects across our key markets of the Middle East, Africa, CIS, Asia Pacific and UK Continental Shelf;

• The Middle East is our heartland, we have been present in the UAE for 25 years, this was the catalyst in our journey and ability to execute large lump sum EPC projects.

OUR CAPABILITY

• Our capabilities span the oil and gas value chain; offering life of field services from concept to EPC, through to operations and maintenance and decommissioning underpinned by our substantial training capability;

• We provide our services as standalone offerings but also offer our capabilities as integrated services to enable our customers to develop their assets.

What we do

OUR SUPPLY CHAIN

Our Supply Chain

Supply Chain Structure

The Petrofac Supply Chain consists of interdependent functions that work in synergy starting from the proposals phase until delivery of equipment to site.

Successful completion of our projects is governed by the honest and open relationships we strive to maintain with our suppliers all along the execution phase.

Engineering

Site Construction

Expediting

Logistics

Materials Management

ProjectProcurement

Procurement Proposals Support

Supply Chain Support Offices

Above support offices provide procurement, expediting and logistical support to home office.

Sharjah -Centralized TeamAbu Dhabi

Woking, UK

Milan, Italy

Mumbai, Chennai & Delhi, India

Houston

Seoul,South Korea

Kuala Lumpur

Beijing

Code of Business ConductOur Code is founded on our values, the basis of everything we do.

It governs how we work. It sets out our expectations of everyone who works for and with Petrofac – our employees, suppliers, contractors, agents and partners – and helps all of us work consistently to the same high standards

Working with contractors, suppliers and business partners

We seek honest, and open relationships with all our business partners, based on fairness, trust and respect.

Always follow Petrofac’s due diligence process, which is based on transparency and objectivity, when selecting contractors and suppliers.

We expect all who work with Petrofac, including contractors, subcontractors, joint venture partners, agents and other third parties to act in a way that is consistent with local laws and our Code, and to follow its principles. We encourage third parties working with us or for us to Speak Up in respect of any violation of our Code.

Department Overview

2015 SPEND BY REGION *

OVER $ 3 B SPEND IN 2015

IS THE NUMBER OF PURCHASEORDERS RELEASED IN 2015

GOVERNANCE

At Petrofac, everyone is Responsible for compliance. The company’s policies, procedures, processes and systems govern our daily execution and are at the heart of everything we do.

$M 106

$106 MILLION OF THE TOTALSPEND IN 2015 WAS PLACED ON UKBASED SUPPLIERS

323

PROFESSIONALSUPPLY CHAINPERSONNEL

Note:* Spend Analysis is performed based on suppliers location where the Purchase Order is released.

~12,250

$ 3.2 B

Department Overview

2015 FREIGHT TONNAGE

2015 SHIPPING OVERVIEWBY LOCATION OF PORT OF ORIGIN*

UK Orders Overview

More than USD 700 Million of Ordersin aggregate transacted with UK Suppliers for the

past 5 years

More than 3,000 Purchase Orders

in aggregate issued on UK Suppliers for the past

5 years

Top UK Suppliers*• Cameron Ltd & Cameron Flow Control Tech. Ltd.• Air Products PLC• Howden Process Compressors• Schneider Electric Energy UK Ltd• Clydeunion Pumps Ltd• Portastor• JDR Cable Systems Ltd• J. Barnsley Cranes Ltd• Aveva Solutions Ltd• Fjords Processing UK Ltd• Nesscoinvsat Ltd• Boustead International Heaters Ltd• Shipham Valves• Crane Stockham Valve Ltd• Hesco Bastion Ltd

• Oliver Valves Ltd• Bridon Ropes• Chalmit Lighting Ltd• Northern Isles Freightways Ltd• Knowsley SK Ltd• HVAC Refrigeration• SPX International Ltd• Roots Systems Ltd• Panalpina World Transport Ltd• Amarinth Ltd• Maclean Electrical Ltd• John Bell Pipeline Equipment Co. Ltd• Pipe Supports Ltd

Note:* Top Suppliers are listed based on the aggregate Order Value awarded in the last 5 years.

Supply Chain Statistics

Procurement Value – Last 5 years

2016

2015

2014

Procurement Spend

Revenue5.8

6.3 6.3 6.26.8

2.6

1.5 1.75

3 3.2

0

2

4

6

8

2011 2012 2013 2014 2015

Billi

on U

SD

Procurement By Location*

Note:* Suppliers locations are grouped by PO entity location – and not necessary the country of manufacturing

Purchased Project Equipment *Piping & PipelineValvesCompressorsCablesStructural SteelPumpsICSS/ ICMS/ ICSHeat ExchangersPressure VesselsGas TurbinesPower GeneratorsSwitchgearsTelecom SystemsFire EquipmentFittingsFlangesChemicalsAir Separation Units

UPSTransformersSwitchboardsHVACTanksLighting FixturesHeat TracingLogistics ServicesFiltersFlowmetersBolts and NutsSeparatorsGasketsLighting PolesTubes & FittingsSparesStrainersPig Launchers

PVC accessoriesSite CampsEtc…

Note:* Equipment purchased are sorted by Order Value for year 2015

Client Approved Vendor Lists (AVL’s)

02 03

Supplier Assessment

For new vendors, Supplier Capability Assessment is carried out for:1) Technical pre-

qualification 2) Financial audit

(Petrofac Finance and Third Party Agencies)

02

Petrofac Database

Vendor Registration on Petrofac Portal and

database

01

Client AVL

Petrofac complies with customer project AVL’s

Suppliers will be required to provide general as well as specific related information: General Information Manpower strength Product lists Certifications Plant facilities Operations Shipping Facilities

In addition, Suppliers will be requested to provide evidential documents such as: Company Profile Trade License Products Catalogues ISO Certifications Financial Statements Etc…

For supplier registration, please visit the following link: www.Petrofac.com/vendors

Supplier Registration Process

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