Update: This article was posted last year , and due to the current situation, this topic is more relevant than ever. COVID-19 will demand a more innovative approach to business modelling and chain supply selection . Despite being a more traditional industry, the energy sector will be just as influenced by this major economic disruption.

In the oil and gas industry major oil service providers are frequently bidding for large contracts (9-10 figure deals). It goes without saying that these contracts are highly competitive, with each service company looking for any edge they can get.

It is in these types of situations, that companies, who have developed and nurtured strong relationships with innovative suppliers, are able to reap the benefits. 

Here are three main reasons why working closely with innovative suppliers is key to winning big contracts:

1. Attention grabbers: Innovative suppliers always have something new to bring to the table. When you’re looking for something to set you apart, innovative suppliers can give you something that will grab the attention of the key decision makers. This “attention grabber” may also help you reduce your costs or allow you to offer a much stronger value proposition.

1. You don’t know what you don’t know: Your suppliers will know the true capabilities of their products and services. They will know what’s possible and what’s not. You may think you know, but in many cases you only know a small part of the whole story. Working closely with suppliers will allow you to maximize the full potential of their products/services in ways you never imagined. 

1. A win/win relationship: Great suppliers understand that when you win, they win. They are truly vested in your success. They will work with you to help you be successful. A strong supplier/vendor relationship should result in an extremely well-aligned set of interests and objectives.

Some may say that this is unrealistic in the cut-throat oil and gas industry. We say this mentality is essential to success in the cut-throat oil and gas industry. Working closely with great suppliers creates a true competitive advantage. We’ve seen this first hand, as both a supplier to major service companies who have won significant projects incorporating our technologies, and as a vendor who has won significant work as a result of our strong relationships with our network of suppliers.

So, why not give your suppliers a call today and see how they can help you win your next big contract.