Use of Digital Methods to Improve Standardization of Procurement Specifications

Abstract

Abstract Joint Industry Program 33 (JIP33) has been established through the International Oil & Gas Producers Association (IOGP) with the backing of the World Economic Forum (WEF) to drive industry level standardization for the procurement of equipment and packages. Phases 1 and 2 which ran from 2016 through to 2018 have together delivered 14 specifications which are now being adopted and implemented by Operating Companies. These phases demonstrated the feasibility of cross-company collaboration to deliver common technical requirements in specifications. The technical specifications and associated information and quality requirements and standardised purchaser datasheets were all produced in document form only. Work processes to develop these deliverables also followed a traditional document-based approach, involving collaboration with up to 10 Operating Companies on a global basis. To generate the full range of JIP33 specifications needed for oil and gas procurement activity JIP33 will now seek to enhance the capacity, efficiency and auditability of specification development through digitalisation of the specification development and maintenance process through the use of Requirements Management tools, supporting both digital and document-based outputs. JIP33 is currently developing 35-40 supplementary specifications as supplements to established international standards using a digitalised process. This involves collaboration between 12 participating Operating Companies on a global basis. The Oil and Gas industry is spending significant sums on digitization and digitalization of workflows, services and interfaces. This paper presents the approach to implementing a digitalised method to specification development, how this benefits industry level collaboration and the efficiency gains compared to traditional document-based approaches. It also considers the challenges and cultural changes needed in the industry to fully capture the benefits from digitalised requirements management and future opportunities to extend and imbed this into project procurement work processes.