Comments on: Procurement-contract risks require closer management

By: Jean-Philippe Massin

Jean-Philippe Massin — Mon, 05 May 2008 20:56:29 +0000

Hi Mary Ann,
Your question is quite specific to me. Of course, you can require your rig manufacturer to subscribe an insurance against loss or damage (…), you can also call for a penalty in case of rig procurement disruption, but most of all you should identify how the best to avoid those disruptions, which might be critical and costly for your business.

I would recommend you to read those following articles:
- http://www.esourcingwiki.com/index.php/Supply_Risk_Management (THE ‘Supply risk management’ wiki)
- http://www.ogc.gov.uk/documents/Risk.pdf (how to define a risk management framework)
- http://www.scmr.com/article/CA6457963.html (how to avoid the risk management pittfalls
- http://cscmp.org/downloads/public/resources/HPProcurement.pdf (Procurement Risk Management at HP)

By: Mary Ann L. Matibag

Mary Ann L. Matibag — Sun, 04 May 2008 23:53:33 +0000

We are purchasing rig on progress billing basis. What protection can we get to ensure that in case of loss or damage, the manufacturer would able to deliver the goods. Could we require them to have an insurance against loss or damage while the rig is being built. In this regard , what type of insurance will that be? Thank you. I hope I can get the reply ASAP.

By: jp.massin

jp.massin — Thu, 15 Mar 2007 23:46:45 +0000

Thanks Michael for the reminder. Your post definitly adds excellent insights about Protiviti.

By: Michael Lamoureux

Michael Lamoureux — Thu, 15 Mar 2007 19:51:57 +0000

My take on Protiviti is here:
http://blog.sourcinginnovation.com/2007/02/28/protiviti-manage-risk-reap-reward.aspx