Why Bids And Tender Management Is An Indispensable Skill In The Nigerian Oil And Gas Industry

Introduction

Sales might be an old profession but it remains the foundation of every successful business. Without it, there won’t be profits, salaries, big buildings or even, the brand.

But to sell consistently, companies need to understand the psychology behind buying and selling. They must also apply a proven, dependable set of processes and skills. One of such skills is the bid and tender management.

Bid and tender management exists because of a formalized process that buyers use to hire contractors in certain sectors; for example, in the oil and gas industry.

How Does It Work?

This formal process is started by the company or the individual who needs the service. To do this, they might contact a contractor who they’ve worked with before (this is called single sourcing) and ask them to submit a proposal (also known as a bid or tender). The proposal tells the intending buyer how the oil and gas company intends to deliver the new job along with the required budget, manpower, and the resources.

Or they might choose a more competitive bidding process. In this type, the client starts by announcing that a project is open. Interested oil and gas companies can then follow up by applying to progress through several competitive stages until the most persuasive applicant wins the contract.

The bid, as it is used in this situation, can refer to both the activity of bidding and the official document which is submitted during the bidding process to show the client that an oil and gas company is the best option for the project. Other names for the document are proposal and tender.

Bids are usually costly to prepare. And costly to lose, since they’re tied to the company’s sales: if done effectively, the company will get the project which means millions of dollars in profit. But if it is done badly on a regular basis, the company won’t survive for long.

That’s why oil and gas companies prioritize the management of their bidding process.

Managing the bidding process is a strategic task which involves managing the search for new business opportunities and overseeing the successful submission and the reception of bids within the allotted time.

This task is usually handled by a bid manager.

How Oil And Gas Companies Grow Their Profits With Efficient Bid And Tender Management Skills.

Successful bidding usually means new projects. And new projects mean more sales. But more sales doesn’t always equal more profit.

Why?

Because the company that’s bidding could waste a lot of resources – for example, time, money and manpower – during the bidding process. This can affect the revenue that’s gotten from the project.

However, oil and gas companies avoid this risk by developing a proven and efficient bid and tender management method (or system). The system also helps to reduce the number of ineffective bids.

For a bid system to be efficient, it must be better than the competitor’s, accommodate input from other experts on the content of each bid and it must be refined with feedback from past bids, both the failed and successful ones.

Other benefits of efficient bidding are company growth, competitive advantage and increased publicity.

The Bid Manager

This is the professional who prepares the bid, coordinates the activities related to the bidding process and submits the bid.

The performance of each bid depends on his skills and competence.

Bid managers usually bring the following skills to the process:

  1. A firm grasp of the bid and tender process.
  2. Market insights to discover lucrative bidding opportunities.
  3. Managerial skills since he must liaise with top company executives to create the bid.
  4. A marketing and sales mindset when creating content for the bid. The content must focus on the buyer’s needs.
  5. Technical competence to ensure that the bid meets the client’s quality requirements.

I want to become a bid and tender manager.

You can start your career as a bid and tender manager by enrolling at the Globat Oil and Gas Skills course on bid and tender management. You’ll get an intensive introduction to bid and tender management; and practical hands-on training.

If you have any questions, please contact us at info@globatskills.com or visit our website at www.globatskills.com to learn more.

Did you find this article useful? Kindly comment or share it with your friends.

HOW TO GET A JOB IN THE NIGERIAN OIL AND GAS SECTOR

If you’re a new graduate, a skilled technician, or a professional looking to break into the oil and gas industry, you’re in luck. Getting a job in this industry is not as impossible as many think. Oil and gas companies still recruit on a regular basis and the mix of activities in its operations ensure that engineers, marketing managers, and even medical personnel are regularly engaged in meaningful work and well paid.

But as in every other sector, you’ll need to possess the needed skills, the appropriate qualifications, and the right persona to get your big break.

This is because most employers only look to hire workers that they can trust and invest in the long term. If you can tick all these three boxes – skills, qualifications, and an attractive personality – then you will get your break.

BUT I DON’T HAVE ANY CONNECTIONS.

It can’t be denied: those who know powerful people will always get a head start in any job search. It is difficult for the average person to compete with this rule.

But there are two implications to this:

Implication 1: You can win without networking.

This option is harder but it can be done. The caveat is that you must be brilliant, be able to wow interviewers and have an almost magnetic personality.

Scaling through the tough interview process for most oil and gas job openings without any internal or powerful reference means that you must be impressive.

If your academic background and interviewing abilities are top-notch, this could work in your favor.

Implication 2: You can win by networking better.

What this means: if a competing job applicant gets a referral from a Junior Manager, you should get yours from a Senior Manager.

Sadly, many people think of networking as cheating. It’s not. Assuming you’re a skilled and qualified job seeker who is willing to learn and doesn’t pay – in kind or with cash – for the position that you want, it’s simply smart networking.

Here’s why networking is important:

  • Not all jobs in the oil and gas sector get advertised. If you know a worker in the industry, he might inform you of an opening. Naturally, these kinds of jobs attract lower competition.
  • You can get relevant references from successful professionals in the industry when applying for a job. This will ultimately help your resume stand out.
  • The people in your network can serve as mentors.

The first step to effective networking is getting your mindset right. Accept that it takes time to build a reliable network of willing, helpful professionals. You may not see results in three or six months. But this is normal.

If you stick at it long enough, your network will be useful to you throughout your career.

How to Network Properly

You can follow these practical steps to networking as outlined by Lisa Tynan of TopResume.com:

  • Identify the networking style that suits your personality. Are you an introvert or an extrovert?
  • Be professional. Don’t ask for a job or an interview at the first contact. Be genuinely concerned about their work. Show enthusiasm and an obsessive willingness to learn.
  • Use social media and the internet wisely. Follow pages, threads, and groups in the industry. Be active. Let your connections know that you’re searching for employment in the oil and gas sector but don’t shove it down their throats.
  • Be helpful to your growing network. Do small things that show you care. Join non-profits targeted at the Nigerian oil and gas industry and tell your network about it.
  • Be consistent and patient. Most of the people you are trying to reach will be busy. Those who appreciate your efforts may not be in the best position, physically or emotionally, to reply quickly.

And finally, when building your contact list, try to be realistic. While it’s possible, don’t bother reaching out to the CEO of a multinational oil and gas firm yet if you’re looking for an internship spot. Connect, instead, to entry-level staff members or to interns in other companies. If you want to get an internship, network with other interns.

BUT I DON’T HAVE THE SKILLS/ I DID NOT STUDY ENGINEERING OR ANY OTHER RELATED COURSE IN THE UNIVERSITY.

You don’t need an engineering degree, or a science-related degree, in fact, to work in the sector. Workers in oil and gas are drawn from a wide range of disciplines – law, accounting, communications, geology, engineering, medicine, etc.

This is possible for three reasons:

  • Diversity of roles.
  • Different requirements for different jobs.
  • Oil and Gas Courses by Training Providers.

Diverse professions are needed.

Typical offshore projects, for example, need workers from other disciplines, not just engineering and geology, to be efficient. Administrative roles may be filled by graduates from the sciences and arts. Also, kitchen staff and medical personnel are employed to cater for the feeding and health needs of workers on the rig.

And that’s just a snapshot of the diverse opportunities in the offshore segment.

Every stage in the oil and gas supply chain – upstream, midstream and downstream – is populated with professionals from different disciplines too.

You don’t even need to be a University graduate.

The public perception is that oil and gas jobs are notoriously hard to get into in Nigeria. But not every role in the industry needs to be filled by a Straight-A student from a reputable university. There are jobs with lower entry requirements.

Reasonably, these jobs don’t come with fat checks. But after getting enough work experience, and studying purposefully, those who fill these brown collar jobs can become well-paid professionals too.

For example, a high performing roustabout with years of experience can rise to become a Foreman and ultimately earn a bigger paycheck.

You can take good Oil and Gas Training Programs.

Training programs are a great route to get into the industry and we at Globat highly recommend it.

A good training program will expose you to the realities of the oil and gas work environment, help you gain the required skills from experienced oil and gas professionals who might even double as mentors.

But how do you find the best training programs in Nigeria?

The best training programs usually have these features:

  • Highly qualified trainers with diverse experience from the world’s leading exploration and production companies.
  • Certification from the Nigerian Department of Petroleum Resources (DPR).
  • A flexible program syllabus tailored to your special needs.
  • Rigorous hands-on training sessions.
  • Proximity to major oil and gas companies in Nigeria.
  • State-of-the-art audio/visual equipment to facilitate interactive training sessions.

I DON’T KNOW HOW TO START.

If you’re stuck about how to start your job hunt in the Nigerian oil and gas industry, then you can consider the following tips below as a starting point:

  1. Join a good oil and gas training program. Ask your trainers to share their job hunting success tips with you and follow their advice. You can also ask them to refer you to professionals within the industry.
  2. Network with workers in the industry and discover what worked for them. Be passionate, enthusiastic and persistent in your interactions with them.
  3. Write your cv properly without any typos.
  4. Get an internship with a company if you’re a recent graduate or if you’re about to participate in the National Youth Service Corps Program.
  5. Combine your sources of information for job openings: use online job boards, your network, newspapers, trade journals, and even social media.
  6. Hire the services of a reputable oil and gas recruitment agency.
  7. And finally, you should get a temporary job while trying to get into the sector to foot your current expenses.

Risk Management in the Oil and Gas Industry

Risk Management in the Oil and Gas Industry

What is risk management?

Risk management is the identification, evaluation, and prioritization of risks. It is accompanied by coordinated and economical application of resources to minimize, monitor, and control the probability or impact of unfortunate events or to maximize the realization of opportunities.

The above definition is a general definition for most (or all) businesses. For every business however, this definition may be tweaked to suit that businesses niche.

What is risk management in oil and gas?

Risk management in oil and gas is basically the identification, evaluation, and prioritization of risks in the oil and gas sector. This may be on the drilling rigs, semi-submersibles, engineering equipment, refineries, etc.

There are three major categories of risks in the oil and gas sector. They are:

  • Economic risk
  • Political risk and
  • Environmental risk

ECONOMIC RISK:

Oil and gas economic risks are hugely affected by money, the economy at every given point in time. Some factors that can affect oil and gas economically are:

  1. Oil price collapse. The rise and fall in the price of oil greatly affect the economy and in turn, affects products made with oil and gas raw materials. When there is a rise in the price of oil, there is almost always an equal rise price of other products.
  2. Capital cost overruns. These are “one-time bill payments” that later cost way more than was originally envisioned in the budgeting phase.
  3. High operating costs. This is no news. The cost of running and maintaining an oil rig is pretty high.


POLITICAL RISK:

A small change in a country’s management or political philosophies can result in a re-evaluation of the country’s oil and gas reserves. Some changes include: change in taxation structure, change in economic terms and revision of production shares.


ENVIRONMENTAL RISK:

Environmental risks involving oil and gas are not foreign to many. For example pollution, flood, fire, ecological damage, etc.  

Managing risks in the oil and gas industry involve more than just identifying the risks. Therefore it requires dedicated workers that would assess portfolios for optimization and using complex mathematical models, assess various risk-return relationships. Using a probability profile to evaluate risk make better-informed decisions than making single point evaluations.
In conclusion, learning about the intricate details of managing oil and gas risks will enable you to do more for yourself, the society and the planet. Join forces with those who strive hard to make the oil and gas industry a low-risk venture. Learn about health and safety with the Globat Skills Health and Safety training course.

Top 8 Globat Skills Oil and Gas Courses

Top 8 Globat Skills Oil and Gas Courses

When people talk about the oil and gas sector, most do not know the different sects which it contains. Many smaller sections combine to make up the entire industry. Understanding the industry as the whole is quite a task, and as such, industry experts suggest mastering one or two parts of it to become an expert yourself.

One way to properly get a grasp of the section you are interested in is to either study it as a course in school or attend specific training designed for that particular field. That’s why Globat Skills has put together a variety of courses in the oil and gas industry, taught by industry experts to give you hands-on experience in working in this field.

Globat Skills offers the following courses:

 

1. Environmental Accounting

Environmental accounting training involves the examination of accounting standards, policies, and practices in the oil and gas industry. It also examines the accounting and financial management implications of exploring and producing oil and gas.

2. Mud Logging Training

Mud logging is the creation of borehole recording. It also has to do with the complete recording of parts of rock and sediments brought to the surface by the drilling medium. Mud logging technicians determine positions of hydrocarbons concerning depth, identify downhole lithology, monitor natural gas entering the drilling mud stream and draw well logs for use by oil companies.

 

3. Mud Supervisor

A mud supervisor monitors the performance of drilling, completion & workover fluid systems during well operations and oversees the work of the well site engineer in optimizing fluid system performance and controlling costs.

4. Oil and Gas Accounting

Get trained on financial reporting policies and practices applicable in Oil and Gas Industry.

5. Oil and Gas Safety Training

A job in the oil and gas industry is lucrative but it involves many risks. The process of oil drilling, refining, mining could be hazardous to health. This course teaches you, in great detail, about safety measures and how to avoid hazards.

6. Primary Cementing

Primary cementing is the basis for efficient well performance. A successful primary cementing job is one of the most important operations in the drilling or completion of a well. Learn about the principles and practices of designing, planning, and conducting successful casing and cement jobs.

7. Solids Control and Waste Management

Solids control and waste management is a course designed to help our trainees improve how they manage, treat, and dispose of waste generated while drilling a well. Contribute your bit to the protection of our environment.

8. Bid and Tender Management Course

Get high-quality training on how to put together an award-winning bid/tender document. Professional bid/tender writing is not just about putting words together, especially in the oil and gas industry.

We go into much more detail with each of these courses. Visit our website www.globatskills.com to get started. Or contact us for more information.