CODE OF PRACTICE FOR SUPPLIERS
FREQUENTLY ASKED QUESTIONS:
What is the Supply Chain Code of Practice all about?

PILOT, the joint Government and Industry task force aiming to ensure the long-term future of the UK oil and gas industry, set up the Progressing Partnership Workgroup (PPWG) to address commercial and other behavioural barriers to UKCS development. The Code of Practice was launched in March 2002 and aims to improve efficiency in the Supply Chain by targeting working practices, behaviours and purchaser/supplier relationships. It looks to face the challenges resulting from the maturing of the UKCS. The full report on the work of the Progressing Partnership Workgroup is available on the PILOT website:

Why should I commit my company to the Code?

Senior Managers of 80 leading companies, including all major Operators and Contractors endorsed the aims and objectives of the Code in the first phase of engagement. The second phase of engagement is looking for the commitment of the remainder of the Supply Chain. The spirit of continuous improvement needs to be kept alive, and your support is vital in that.

What are the benefits?

There are many benefits to the Supply Chain from the Code. These include invoices being paid within 30 days, increased use of standard contracts – saving your company time and money, bi-annual Share Fairs at which the leading Operators and Contractors communicate their future plans and the main contacts within their organisation, two-way feedback on contracts and tenders.

Will it cost me anything?

Committing to the Code costs your company nothing. Indeed, a successfully implemented Code should save your company money.

How do I make my views known on compliance of the Code?

An annual survey will be sent to your nominated company representative to complete. This is sent out to industry by the end of November for return by the end of January.

Is the Code making any difference?

The results of the first annual compliance survey were published in spring 2003. The results provide a baseline from which future improvements can be measured. It is the Code of Practice Implementation Group’s aim that measured improvements will have taken place in the four priority areas by the time the 2003 survey is carried out.

What do I do if a purchaser isn’t complying with the Code?

There will be a group of “Supply Chain Champions” throughout the industry who will be given time and resources to carry out their duties. You would initially approach one of the group who would then investigate if there is non-compliance with the Code.

How do I commit my company to the Code?

The commitment letter is at . Simply fill in your company name, print &sign your name, stating your position within the organisation and the date, and return it to: Martin Barry, Department of Trade & Industry, 3rd Floor, Atholl House, 86-88 Guild Street, Aberdeen, AB11 6AR. (tel: 01224 254006)

How do I advertise my commitment to the Code?

After signing the Code you are welcome – and encouraged – to display the logo below in a prominent company location and on your website and stationery:

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