Progressive and METSCOoil worked in partnership to deliver a fast and robust finance and supply chain solution for a Nigerian based E&P company whilst they were undergoing a significant period of change.
Progressive are dedicated to providing Business Solutions to asset-intensive industries and we have a great deal of expertise in the oil & gas industry, specialising in Finance, Supply Chain and Asset Management.
Working with a number of systems including SunSystems and Infor EAM (Enterprise Asset Management), we build partnerships with our clients to ensure the successful achievement of planned outcomes and maximisation of benefits.
METSCOoil are upstream advisors for the Middle East & West Africa, delivering a one-stop shop service for upstream oil & gas companies, including Business Intelligence & Relations, New Business Development, Technical Consultancy, Asset and Company Valuation, Financial Services and Upstream Company Capacity Building and Performance Management.
Both companies were engaged on related projects by the E&P company: Progressive on a SunSystems implementation and METSCO on a capacity-building exercise with the finance function. Faster than expected change for its Technical Partner meant that the client needed the capability to quickly take on operatorship of the shared asset. Working together,
Progressive and METSCO were able to provide the finance and supply chain solutions required without reverting back to manual processes, and stabilise the finance team to enable them to achieve a ‘business as usual’ state in a very short space of time.
Progressive and METSCO were both engaged by an E&P company on individual projects: Progressive were working with the finance department to develop their SunSystems solution for financial management, financial transactions and processing.
METSCO were undertaking a strategic review to strengthen the overall finance function, including people, processes and controls. At the time, the client had interests in a number of assets, but had delegated operatorship to technical advisors.
During the initial engagements, business events accelerated the planned transition from a period of joint operatorship into an urgent need to take over full operatorship of the shared asset. This significantly changed the scope of their requirements for both Progressive and METSCO, and also added significant time criticality. They needed to finalise the SunSystems implementation, develop a supply chain solution and integrate a new finance team into their existing structure.
“Working with Progressive meant I had a trusted partner, rather than just a supplier. In addition to their implementation and accounting skills, they proved to be a useful sounding board and I was grateful for their knowledge and experience of oil & gas throughout our project together. I hope to do more work with them in the future.”
Brad Daniel, Associate Partner, Metsco Oil
Leading the finance function on behalf of the E&P company at the time, METSCO identified that Progressive had the knowledge, skills and experience to achieve what was needed in the time available. METSCO advocated international standard solutions as part of the business case to maintain the confidence of the Nigerian Government and Farmor.
The client’s leadership validated the approach giving strong project sponsorship. Progressive’s experience in oil & gas meant that we did not require special explanation on current circumstances, systems and processes, and allowed us to work with METSCO as partners, providing a sounding board and best practice advice on aspects beyond the system implementation.
Progressive reacted immediately to the changing scope and provided support to the client throughout the transition period. We assisted with the processing of invoices and bank transactions into SunSystems, and performed the reconciliations between the original operator’s system and the client’s system. We also advised on best practice financial processes.
In addition to the SunSystems implementation, a Supply Chain solution was needed. The E&P company were shut out of the purchasing system in relation to the asset. They faced the possibility of, at best, having to revert to manual processing and spreadsheets to maintain their buying function. Clearly, this was not a good solution, and they faced the very real possibility of being unable to make purchases effectively for a number of weeks.
Progressive worked with METSCO to develop an ‘EAM Lite’ solution to fulfil the initial supply chain needs. Using our oil & gas requisition template created for Infor EAM, a solution was developed and ready to use within 7 days of the transfer of operatorship.
In addition, Progressive supported METSCO in their work to stabilise the finance function and return to a ‘business as usual’ state as quickly as possible. Whilst there was planning activity supporting the transition process, the actual transition happened earlier than expected. Progressive travelled to Nigeria at short notice to train the incoming finance team on both the SunSystems and EAM solutions. We continued to provide support and more in depth training throughout the transition, whilst collecting requirements for enhanced functionality for the next phase of the EAM solution.
Outcomes and Benefits for Metsco Oil
- Able to operate ‘business as usual’ within 7 days of taking on operatorship
- Supply Chain solution enabled purchasing within 7 days without having to revert to manual processing and reliance on spreadsheets
- Best practice system design, processes and controls • Training delivered on-site for staff by a qualified accountant with oil & gas expertise
- Now moving to the next phase of EAM solution
- Both companies maintain an ongoing working relationship with the E&P company.
Following the initial SunSystems and EAM Lite implementations, Progressive is continuing to implement a more functionally rich Infor EAM solution using our oil & gas frameworks.
EAM, and specifically Progressive’s EAM oil & gas template, was chosen as it provides specific oil & gas functionality. Once implemented, Progressive’s EAM solution will provide the client with the ability to carry out their supply chain activities with commitment and spend control through EAM, together with integration to/from the SunSystems accounting system.
Delivering Solutions in Partnership
Read the full METSCOoil case study