Contractors contract companies

The contractor may be in charge of procuring all the equipment, or the contracting company s purchasing department may have ordered all the major equipment. The latter may be necessary when the equipment delivery times are long, if the plant is to be completed on schedule. In November 1973, a buyer would have faced a wait of 78 weeks after he placed a firm order for a compressor before he received... 

Since 1983, Medicare has paid hospitals a fixed amount per admission for a package of services based on a patient s primary diagnosis and major treatments. Medicare will now cover attendant hospital costs for patients receiving an experimental drug if the admission was not solely for the experiment. Some observers have suggested that adjustments to hospital payments allowed by Medicare to cover costs associated with medical education also underwrite some of the patient and faculty costs associated with clinical research. Medicare contractors, the companies that administer the Medicare program under contract with HCFA, interpret these policies differently in different parts of the country (395). 

The standard makes it clear that a contract company s safety record is to be reviewed before they are hired and that safety record should be evaluated as part of the overall contractor selection process. Generally, the contractor s OSHA 300 logs will be used for this evaluation. 

Many events involve contractors and subcontractors. The companies involved, and their reporting stmctures, should be identified. The investigators will need information to do with the contract companies and contract workers in areas such as ... 

Contract companies Design companies Subcontractors Contract workers Maintenance contractors Visitors/consultants... 

Contract companies vary enormously in size. Some of them are small organizations that are on board just to carry out tasks that are hmited in scope and number. However, other contractors—as was seen on Deepwater Horizon—are not only large, but they are responsible for much of the high-risk work that is carried out on rigs and drill rigs. Clearly, there cannot be a one-size-fits-all contractor management program in such circumstances. 

Some companies will prequalify a contracting company so that there is no need to carry out qualification effort for each and every contract, particularly when the contracts are small or are of the same type. Contractors will be authorized only on those jobs for which they have been evaluated. 

Regulations generally require that employers periodically evaluate and audit contract companies and workers. If any problems or violations of company standards are observed, or if the contractor s safety record is deteriorating, the operating company must bring them to the attention of the... 

Contract companies do not work in isolation—they have organizational and physical interfaces with the operator of the offshore facility and with other contractors. Since each company will have its own SMS, bridging documents are needed. A bridging document is a map that links the relevant sections of the different standards. So, if the operator s plan calls for start-up procedures, then the bridging document would show where the same information is located in the contractors documents. Any gaps would be identified, and the contractor s program would be modified to ensure that it fits with the operator s requirements. 

Training can also be a problem area. Most companies only provide basic hazard communication (HAZCOM) training to contractor employees and then rely on the contract company to provide any job-specific training to their own employees. In many instances this leaves the contract employees with gaps in their training, especially when it comes to unique issues and concerns related to the process or chemicals handled at the facility. When outsourcing functions which impact process safety, the details of the training provided to the contract employees should be carefully reviewed and customized or enhanced as needed. 

The electrical team discussed above are working for an electrical contracting company, which I have called the Flash-Bang Electrical Company (as a joke between you and me). Any electrical contractor is part of the electrotechnical industry. The work of an electrical contractor is one of installing electricai equipment and systems, but a very similar role is also carried out by electrical teams working for local councils, the railways, the armed forces and hospitals. 

Contractors Contractor employees working at company facilities need training in safety as much as company employees. The contracting company should establish training requirements including safety for contractors and their employees. A contract should have clauses that cover training requirements for safety and which mles, policies, and standards apply to the contractor and its employees. 

In many drilling situations the contracting companies that provide the rigs and other equipment are much larger than the operator that hired them. Moreover there may be dozens of contracting companies involved at any one time. For production platforms, on the other hand, the relationship between operators and contractors is less subject to change and the operator has the clear line of authority. 

The Regulation refers to matters whieh are within the control of people. This would mean, for example, that if a company were to employ an electrical contracting company to carry out work on their electrical installation, and if they had taken all reasonable steps to ensure the competence of the contractors, but an electrician employed by the contractors were to suffer an electrical injury, the company would have the defence that they were not in control of the electrical work. 

Fire causing a 3-day injury to contractor Medium Middle managers Employees representative ROES HSE/local authority Contracting company... 

RP 75 does not require contractors to develop their own SEMP—although most of the larger contract companies will probably have done so. However, contractors should be familiar with the SEMP of the owner/operator with whom they are working. If the contractor company does have its own SEMP, then a bridging document wiU be needed... 

This type of contract requires the operator to pay a fixed amount to the contractor upon completion of the well, while the contractor furnishes all the material and labour and handles the drilling operations independently. The difficulty with this approach Is to ensure that a quality well Is delivered to the company since the drilling contractor will want to drill as quickly and cheaply as possible. The contractor therefore should guarantee an agreed measurable quality standard for each well. The guarantee should specify remedial actions which will be implemented should a substandard well be delivered. 

As the name implies the company basically rents the rig and crew on a per day basis. Usually the oil company also manages the drilling operation and has full control over the drilling process. This type of contract actually encourages the contractor to spend as much time as acceptable on location . With increased cost consciousness, day rate contracts have become less favoured by most oil companies. 

Lump sum contracts tend to be favoured by companies awarding work (if the scope of work can be well defined) as they provide a clear incentive for the contractor to complete a project on time and within an agreed price. 

The choice of contract type will depend upon the type of work, and the level of control which the oil company wishes to maintain. There is a current trend for the oil company to consider the contractor as a partner in the project (partnering arrangements), and to work closely with the contractor at all stages of the project development. The objective of this closer involvement of the contractor is to provide a common incentive for the contractor and the oil company to improve quality, efficiency, safety, and most importantly to reduce cost. This type of contract usually contains a significant element of sharing risk and reward of the project. 

While tax and royalty fiscal systems are common, another prevalent form of fiscal system is the Production Sharing Contract, in which the investor (e.g. oil company) enters into an agreement with the host government to explore and potentially appraise and develop an area. The investor is a contractor to the host government, who retains the title of any produced hydrocarbons. 

Tolling means to provide manufacturing services for a fee by a contractor (the toller), to a company issuing (letting) a contract for those services. Tolled services can include ... 

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