Outsourcing is becoming more and more prevalent across most industries and has particular relevance for the energy industry. This session will explore the past, present and future of outsourcing in the energy industry and will highlight the particular challenges and complexities involved in ... navigating the waters of outsourcing.
A panel of industry leaders representing operators, national oil companies and global outsourcing service providers together with thought leaders on outsourcing will take you the processes, lessons learned and value propositions.
Focus on building value-add competency in US energy professional workforce.
Providing heat, light and mobility to the world's 6 billion people is surely a Grand Challenge, eclipsing even the 'man on the moon' mission of the 1960s. Dr. Richard Smalley, Rice University Professor and Nobel Prize laureate, presented this challenge in a very elegant manner. By so arranging in a prioritized manner the world's 'top ten' challenges, he was able to present a compelling case that theorized; solve the top problem and the rest of the world's problems; thirst for water and food, poverty, disease, etc. are resolved. At the top of the list was energy. So, how do we go about providing the world with affordable, clean, reliable, energy? Education and innovation is clearly the key; with engineering, science and technology leading the way. The demand for innovative, high level engineering and science is clearly quite strong.
Throughout history, engineering and science have driven technology innovation which in turn has delivered an increasing standard of living, quality of life, and security. Recently there has been a surge of US companies participating in China in the manufacturing of very advanced systems. The Council on Competitiveness warns that this type of 'offshoring', along with advanced design and engineering that typically accompanies will seriously strain the long term competitive leadership of the US. Additionally, this trend will over the next couple of years will result in a very large number of jobs in the design, engineering and low-level project management being done today in the US at 80 - 120 usd /hour to migrate overseas at cost rates of 10 - 20 usd. (See attachment 1 & 2) From a US perspective, the way to address this situation is to lead through innovation in education and application of the commercialization process versus competing on cost. And the time to start is immediately.
Slide; courtesy of Society of Petroleum Engineers (Available in full paper)
A competency-based training program needs to be designed to enhance the capabilities and productivity of the 'Energy Professional' to ensure continued innovation well into the 21st century. The program should initially focus on the seasoned professional with a scientific / engineering degree who desires to compete in the global market place on value-add basis versus a low-cost provider of basic services. The 'mission' or purpose behind such an initiative should not be about trying to legislate against 'offshoring'.