Facilitating relationships. Building trust. Service for professional procurement. Be better informed, make better decisions. FPAL - Supporting the European oil & gas industry www.achilles.com The supplier management community supporting the European oil & gas industry. Operators and Contractors view their supply chain as an integral extension of their organisations, and strive for a transparent and efficient collaboration with best in class suppliers. The Achilles FPAL community helps to create business opportunities for suppliers in a collaborative, neutral environment whilst ensuring compliance to industry standards and reducing risks across the supply chain for buying organisations. Achilles FPAL identifies, evaluates and pre-qualifies suppliers on behalf of major buyers in oil & gas. How can Achilles FPAL help your company? Achilles FPAL publishes and monitors the accuracy of information Established in 1996 by the UK oil & gas industry, FPAL was formed provided in a supplier’s record in areas such as products and following an industry initiative known as CRINE (Cost Reduction in services, financial performance and HSE policy. the New Era) which recommended the need for improved supply chain efficiencies and development of a centralised system which provides standardised information and reduce procurement costs by 30%. The Achilles FPAL community now serves the procurement needs of the wider European oil & gas market, whilst maintaining firm roots within North Sea operations with an industry based Steering The Achilles FPAL Quality Checking process evaluates supplier profiles and ensures that they include current and valid information for buyers which saves time, resource and cost for all parties involved. Achilles FPAL offers buyers industry-specific supplier information which is subject to assessment and site audit. This improves Committee of Operators, Contractors and suppliers working in industry performance and reduces risk within the supply chain. collaboration to promote a fair and transparent supply chain. Benefits: As Achilles FPAL expands throughout Europe, Operators in the • Sharing of information, audit and assessment costs Netherlands have formed the Dutch Purchaser User Group (DPUG) • An open and transparent supply chain and developed an effective and collaborative approach towards • Reduced administration of repetitive and duplicate the use of Achilles FPAL within their own supply chains and this is pre-qualification exercises shared by a Common Policy Statement. • Time, resource, and cost saving during the procurement cycle • An ethical way to do business 02 How do Suppliers participate? Provision and update of registration information is the suppliers’ All suppliers are required to complete the basic registration responsibility. Registration information which has not been updated questionnaire but they can opt to participate more fully in Achilles within a 15 month period will be highlighted on Achilles FPAL and FPAL by engaging in Advanced Registration, Performance “red flagged” as out-of-date. Feedback and the Verify Assessment. Suppliers also have access to services to evaluate their own Basic Registration performance and buyers have similar scoring mechanisms Basic registration invites suppliers working in the oil & gas industry to create an Achilles FPAL profile which is accessible to the industry’s buyers through completion of an Online Registration available to evaluate their supply chain. As part of this performance evaluation, benchmarking facilities are available for all members of the oil & gas community to assess performance against their peers. Questionnaire. Information provided by suppliers identifies their product and service offering which is presented via a coding system and is subject to the Achilles FPAL Quality Checking Process. A product and service coding structure exists on Achilles FPAL to provide a common directory assisting suppliers to effectively register on the community and to allow buyers to conduct a system search. In addition to the basic product codes search, Achilles FPAL incorporates extensive search criteria using audit scores and company specific information which enables buyers to identify suppliers that match their exact requirements. No. Buyers: Over 90 No. of Verify Buyers: Over 50 No. of Verify Suppliers: Over 600 No. Suppliers: Over 3,000 03 Advanced Registration How does it work? Advanced Registration is an in-depth assessment of a suppliers’ • Suppliers complete the online Advanced Registration capabilities, achieved by completion of an online and “desktop” assessment that is tailored to a standard pre-qualification submission and accepted by Achilles FPAL buyers. Once completed, Advanced Registration negates the need for repetitive and generic pre-qualification activity within the oil & gas industry. The assessment is carried out across a maximum of 11 business elements with the results recorded as an Advanced Registration capability profile. There is no pass, fail or overall single score as a result of the assessment. The results of the scoring evaluation, together with the supplier’s detailed answers and documented supporting evidence are made available to all buyers to accelerate the decision making process. 04 questionnaire • Achilles FPAL evaluates the submission and prepares an Advanced Registration capability profile • Profile is supported by a benchmark facility to help suppliers understand their scores • Results of the evaluation are available for supplier approval prior to the data release, providing suppliers with the option to suppress or display the results in full • Assessments are published on Achilles FPAL for all buyers to review. Advanced Registration is valid for two years, but should be updated on a regular basis to reflect a supplier’s change in circumstances FPAL Verify Buyer Benefits: FPAL Verify is a supplier assessment that involves a two day visit to • Provides reassurance to buyers that suppliers have been vetted a nominated suppliers’ premises to audit Quality, Health & Safety, Environment, Competence & Training practices. The Health, Safety and Environmental sections of the Verify audit are assessed in line with recognised industry standards, namely; OGP & NORSOK. Verify operates largely on a nominations process where buyers identify suppliers working in high risk environments and request that an independent assessment of their capabilities is carried out by the Achilles FPAL Assessment Services Team to help manage contract risk. In nominating suppliers to participate in Verify, buyers carry the associated cost of the audit through an industry collaboration independently and to recognised industry standards • Reduces costs, resource and the administration of multiple company specific audits • Published Verify reports facilitate better decision-making and accelerate the procurement process • The scope of the Verify assessment is carefully aligned to meet oil & gas industry standards and Achilles FPAL assessors are highly experienced and independent • Verify enables buyers to draw conclusions between audit results and identify Suppliers who exceed expectations rather than merely meet a minimum and certified standard known as the Cross Industry Schedule (CIS). Verify is strictly Supplier Benefits: governed by the Verify Steering Committee that has both Achilles • Reduces the burden of repetitive audits by replacing them with FPAL buyers and supplier representation, and this ensures that a single shared audit which is valid on a supplier profile for up to there is a consistent approach to the audit. two years Conclusions from the audit and an individual supplier improvement plan are shared on Achilles FPAL for all buyers that participate in the • Demonstrates the commitment of suppliers to continually raise standards through a documented Improvement Plan Verify scheme. • Reports and Improvement Plans enhance the quality of FPAL Verify is not of relevance to all FPAL registered suppliers. information displayed in a supplier’s record The Verify assessment is more applicable to suppliers operating in high risk environments and so for certain ‘high risk’ codes such • In most cases, the assessment is free of charge to the supplier as drilling, subsea and decommissioning, Verify has been made mandatory. FPAL Verify is specific to the needs of the oil & gas industry and contributes towards raising industry standards whilst reducing supply chain risk. 05 Performance Feedback Supplier benefits: Performance Feedback is an industry standard tool used by buyers • Performance Feedback provides an industry standard tool to and suppliers to participate in a performance assessment during or following a contract. monitor customer satisfaction as requested by ISO:9001 • Profiles and benchmarking information can be used to carry There are two main types of Performance Feedback reports: out a gap analysis and identify areas for improved business Supplier Performance and Buyer Performance. performance Supplier performance is scored on up to 15 elements, including project management, documentation, planning and delivery, with the quantified results summarised as an overall profile graph. Performance Feedback in practice: • Performance Feedback reporting is completed manually through paper reports or an online submission facility • Both buyers and suppliers should agree on the level of performance achieved and use the guidance notes • Reports are submitted to Achilles FPAL for data input once signed and agreed by both parties • Feedback is aggregated and displayed as a performance profile graph • Feedback is valid for a maximum of 5 years to allow suppliers to build comprehensive scores 06 • Graphs can be used for marketing purposes to promote high and consistent positive feedback Buyer benefits: • Provides an objective track record of supplier performance • Performance Feedback scores can be used as search criteria to filter supplier profiles and develop tender shortlists • Reverse feedback from suppliers encourages more cost-effective procurement How to join the Achilles FPAL community NOTiCE Visit www.achilles.com/FPAL and click on Join as a Buyer to With thousands of opportunities published every year, NOTiCE contact one of our Account Management team members or Join as enables suppliers to be informed of relevant contract opportunities a Supplier to start the application process to join the Achilles FPAL in the UK and Europe as published in the Official Journal of the community. European Union (OJEU). NOTiCE gives you access to a database in which you can search thousands of opportunities and gain market intelligence on contracts relevant to your business that have been awarded in the past or are currently open. The functionality is available for the system to search for pre-defined contract types that you have selected. Also, based on the product codes from your questionnaire, NOTiCE will then send an email each day to up to 10 recipients within your company, detailing the latest opportunities across multiple industry sectors. Supplier application process Process Suppliers Application Apply to join via the Achilles Community website and make annual subscription payment Data Submission Complete online questionnaire Search Buyers Data validation of questionnaire Validation Publish Achilles Successful Registration. Validation complete. Supplier information published Access supplier data. 07 First Point Assessment Limited Unit 7, Burnbank Business Centre, Souterhead Road, Altens Industrial Estate, Aberdeen, AB12 3LF | T: +44 (0)1224 337500 | F: +44 (0)1224 3375544 | E: [email protected] | www.achilles.com Achilles Information Tauro Kantorencentrum, Europalaan 16, Unit 3.14, 2408 BG Alphen aan den Rijn, The Netherlands | T: +31 (0)172 769 080 F-S-807 03 13 R(5)
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