Oil giants team up to buy on the net
Multi-billion dollar savings are set to sweep across the oil and energy industry with the launch of an internet-based global electronic marketplace, industry leaders have claimed.
Multi-billion dollar savings are set to sweep across the oil and energy industry with the launch of an internet-based global electronic marketplace, industry leaders have claimed.
Last week 14 of the world’s leading petrochemical and energy companies leant support to a radical shake-up of traditional trading methods with the set-up of an industry specific e-procurement exchange.
BP Amoco believes the global project is set to slash as much as $37.5bn from an estimated $125bn channelled into purchasing costs by the founding partners.’We can look at making savings from 5% to 30% on our transaction costs on anything from purchasing paper clips to oil rigs in the North Sea’, said a BP Amoco spokesman.
Prime movers BP and Royal Dutch/Shell only began this January to peddle the e-commerce idea among industry colleagues, following similar moves in the automotive and aerospace industry.
Technology will initially be supplied by e-business market leaders CommerceOne, who already provide automotive giant General Motors with an online exchange, GM TradeXchange, for its partners and suppliers.
An independent company will be created to own and operate the exchange – with 75% of equity owned by the energy and oil companies, with staff and technology providers allocated the rest.
Consortium members include Conoco, Dow Chemical, Equilon Enterprises, Misubishi Corporation, Motiva Enterprises, Occidental Petroleum, Phillips Petroleum, Repsol-YPF, Statoil, Tosco Corporation, TotalFinaElf and Unocal.
PwC signs $1.1bn US outsourcing deal with BP Amoco
The numbers you crunch tell a story. Your expertis...
24yEmbracing user-friendly AP systems can turn the tide, streamlining workflows, enhancing compliance, and opening doors to early payment discounts. Read...
View articleOrganisations can enhance their financial operations' efficiency, accuracy, and responsiveness by adopting platforms that offer them self-service cust...
View articleIn a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...
View resourceDiscover how AP dashboards can transform your business by enhancing efficiency and accuracy in tracking key metrics, as revealed by the latest insight...
View articleGlobal spend on accountancy outsourcing up by 40% in the space of five years. News comes as accountancy outsourcing specialist AdvanceTrack reports en...
View articleFollowing a profitability review, Deloitte has decided to scale back its UK deals business due to lower returns. This strategic shift could lead to jo...
View articleUK-based Dow Schofield Watts (DSW), a mid-market professional services network, announced the creation of a new division called DSW Principal Partners...
View articleEY has been undergoing significant cost-cutting measures and streamlining its operations since the abandonment of Project Everest. The firm has made t...
View articleTransitioning from an accounting firm to a consultancy model is only one part of the puzzle. The next, equally vital piece is making the market aware ...
View articleThis framework, while providing a top-line view, underscores the importance of strategic vision, operational excellence, and the spirit of continuous ...
View articleLooking ahead, the Big 4 firms face a challenging year, with ongoing cost-of-living concerns, slow economic growth, rising geopolitical tensions, and ...
View articleLast month it was reported that Deloitte would be cutting approximately 1,200 jobs in the United States, making it the latest of the Big Four accounti...
View article