ABSTRACT
The Oil and Gas industry continues to struggle in finding a balance between rising global demand, diminishing known resources and in maintaining manageable distribution and operating costs. While mergers and consolidation continue, oil and gas management are determining other approaches to recover their base lines. One particular measure is to include business process outsourcing (BPO) in their operational mix. The aim of this study is to assess the degree of effectiveness of outsourced facility management in Nigeria oil and gas firms of the downstream sector using user satisfaction indices. The specific objectives are among others; to identify FM services that are most outsourced in Nigeria’s Oil and gas firms; to identify the relative importance of factors that influence users’ satisfaction with outsourced facility management services in the Nigeria Oil and Gas firms; and determine the degree of effectiveness of outsourcing as a means of service delivery in the sampled oil and gas firms. Data for the research work was collected through self administered questionnaires and analyzed using Statistical Package for social scientist (SPSS 17). The respondents were the staff of the six major oil and gas downstream industry within the Facility management department and were chosen through purposive sampling technique. Findings revealed key services that are mostly outsourced; transportation and logistics coming first among others. Findings also revealed the importance of factors that influence users’ satisfaction with outsource services; service delivery was identified as the most important. It also that outsourcing is highly effective with the elements considered to be outsourced and is reliable for this sector. Users’ expectations of outsourced service is high; The outsourced facility manager must have experience in Oil and Gas, and understand the industry’s need and services and ensure that their services are structured to meet the industry’s increasing demand. They should also seek technological innovations with more cost effective methods for maintaining equipments and Platforms without compromising safety and environmental concerns.
CHAPTER ONE
INTRODUCTION
1.1 Background to the Study
Business processes and objectives operate and survive because they are primarily providing an effective and meaningful service to their customer (i.e. the user). For that service to be effective, the perceptions and expectations of the user must be met in order to provide a successful service delivery outcome. Conversely, the perceptions of the user to the initial input of the service delivery process of the organization is of equal importance, as it will determine the strategic and operational objectives of the organization, and consequently provide the added value needed in achieving the end product of customer satisfaction.
Facilities management is a diverse profession, the main aim of which should be to provide quality environments, which are fit for the purpose for which they have been designed. For (Alexander, 1996) it “is a total quality approach to sustaining an operational environment and providing support services to meet the strategic needs of an organization”.