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Oil and Gas Inventory Management

Introduction (Oil and Gas Inventory Management)

It is imperative that drilling contractors ensure that inventory management at their facilities is operating effectively. With the few contracts that are available, it would be devastating to lose one due to an inventory management issue that might have easily been averted. In this interview series, Inventory Matters,  we will be speaking with industry leaders to gain their insight into improving oil & gas inventory management. 

Interview #1 with Matthew Heaviside

Interview Body

  1. Question: What is the best advice you have received in your career in the oilfield?
  2. Question: What do materials coordinators do well?
  3. Question: What could materials coordinators do better?
  4. Question: What is the first thing you do when you step inside a warehouse on one of your rigs?
  5. Question: How important is oil & gas inventory management offshore?
  6. Question: What training is needed most for the materials staff in our industry?
  1. Question: What technology should be utilized in your opinion to improve inventory management in the oil and gas industry?
  1. Question: What is the best oilfield story you have ever heard?
  1. Question: What is the worst situation you have seen related to inventory management in the oil and gas industry and how could it have been averted?

 

Interview Takeaways- Oil & Gas Inventory Management

Takeaway #1:Materials staff  are in the field trying their best to do their jobs as effectively as possible but they don’t feel it is sufficient which we see at customers as well around the globe. Oil & gas inventory management is typically overlooked and not considered an important cog in the wheel. If companies would invest in these areas of the business it could pay off greatly in increased up times of rig and reduced costs. The capital required to make these changes is minimal compared to the revenue savings that could be gained. 

Takeaway #2: Rig management should spend time on all rig visits with warehouse/materials staff to ensure effective inventory management is in place and to show the staff the importance that management places on inventory. This should include spot checking the inventory, inspecting housekeeping, and ensuring they can operate the ERP system. 

Takeaway #3: Most downtime issues that are related to inventory stem from a lack of ownership, planning, visibility and follow-up. Preventing these issues is not easy but with the correct planning, reporting, training and procedures they can be alleviated before they cost your company. 

What other issues do you see in the industry related to inventory management? 

Read our other posts or contact us for more ways to improve inventory management at your company. 

 

 

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Matthew Heaviside

Interviewee: W. Matthew Heaviside

Current Position: Director of Projects at Arabian Drilling Company

Previous Positions: 

Education: