Working with contractors presents great opportunities but also significant challenges for most asset-intensive industries. In a Shutdown, Turnaround or Outage (STO,) where up to 80% of spend, personnel and safety risk lie beyond your control and in the hands of multiple contractors, these challenges are greatly intensified.
This exposure, if not monitored and managed throughout the STO, can have disastrous consequences. And yet, arguably, insufficient recognition and effort is given to the collection and reporting of KPIs that support management decision making. Ensuring that contractors deliver on the hard-fought contract terms agreed during the sourcing process, let alone put in their best performance, is often overlooked or left to the post-STO review, long after you have any ability to intervene or react to poor performance.
The Role of Contractor Performance Management in STOs
It will forever be the case that you cannot truly manage performance if you do not measure it. And without the right software tools providing relevant and real-time data, it is almost impossible for Owner Operators to identify and track behavior and performance or quantify the real-time impact of poor contract performance to the on-time, on-budget, delivery of the STO.
As such, the value in using Contractor Performance Management (CPM) – the formal process of measuring and reporting on contractor performance – is becoming apparent. Best practice CPM aims to deliver significantly improved levels of total cost of ownership from the contractor relationship, improve risk management and resource utilization. Crucially, it effectively addresses one of the top concerns for STO managers today: Visibility – the lack of real-time data to make informed decisions.
In this series of articles, Mobideo will provide insights into how digitalizing the industrial workforce can support effective CPM during an STO and deliver:
Digitalizing the Industrial Workforce
Mobideo’s Industrial Workforce Management platform digitalizes complex and collaborative work processes, focused on owner operators in asset-intensive industries.
With Mobideo, managers gain real-time visibility, dramatically improved manageability and enhanced decision-making capabilities. Field workers, receive optimized access to essential data, ensuring maximum productivity, quality, safety, and compliance.
Leveraging cloud, big data analytics, mobility, and machine learning technologies, Mobideo enables industrial companies to achieve unprecedented levels of operational excellence and innovation.