Staying competitive in the offshore industry: Rethinking the bid process  

The offshore sector has long been shaped by cycles of volatility, but few periods have tested resilience as severely as the sustained downturn that began in the mid-2010s. Lee Clarke explores how offshore organizations can remain competitive by bringing greater clarity, confidence, and discipline to the bid management process, particularly when people, assets, and risk are under intense scrutiny. 

A Market That Changed the Rules

When oil prices fell sharply from mid-2014 onwards, the impact across the offshore sector was immediate and far-reaching. Thousands of roles were lost in mature regions such as the North Sea, while operators and contractors alike were forced to reassess cost structures, risk exposure, and long-term viability. 

Lower commodity prices created a climate of caution and intensified competition across the supply chain. Operators worked aggressively to control exploration and production costs, while service providers faced increasing pressure to deliver complex projects safely, reliably, and at ever tighter margins. 

International petroleum giants like BP, ExxonMobil, Shell and Total are fighting to control exploration costs and develop new fields while having to forecast output and profitability in a highly volatile market.  In turn, this puts increasing pressure on the offshore companies who serve them by contracting out their valuable staff and expensive vessels to execute complex projects on time and on budget. Delivering quality at the right price is the ultimate goal and the race is on to present prospective customers with project bids that promise both in equal measure. 

Good visibility, full steam ahead

In a market where margins are tight and competition intense, competitive advantage begins with visibility. 

Organizations that can accurately understand what people and resources are available — across regions, time zones, and project timelines — are better placed to forecast costs and commit with confidence. This is no small challenge in a global industry where crews are mobile, assets are capital-intensive, and schedules are constantly evolving. 

The ability to consolidate information relating to workforce capability, asset availability, compliance requirements, and project timelines allows offshore leaders to move from assumption-based bidding to evidence-based decision-making. 

Clarity, in this context, is what enables speed. 

Making Competitiveness Repeatable: The Three “C’s” 
Let’s take a closer look at the other ways WFO can support staying competitive by  managing the process for success at both the tender and execution stages of a project.  A modern WFO solution facilitates the three big ‘C’s of capability, compliance and cost control: 

Capability – you might know what people you have available but do they have the right skills to meet the exact requirements of your prospective client?  WFO is a centralised platform that interfaces with HR systems and can be used to develop an effective skills matrix.  This captures the knowledge, qualifications and certifications of individual staff members and then matches them against specific job roles to ensure the customer ends up with the right people for their project 

Compliance – Availability and capability must be matched with compliance. Offshore organizations operate under strict international safety and regulatory frameworks, and customers increasingly expect assurance — not assumptions — that crews and assets meet all requirements. Visibility into training records, certifications, and regulatory readiness allows organizations to factor compliance into bid costs upfront. This avoids costly surprises later. Discovering gaps in certification or documentation at the point of mobilization can result in delays that run into hundreds of thousands of dollars per day.

Cost control – Historically, many offshore bids relied on large contingency buffers to offset uncertainty — covering skills gaps, sickness, unplanned maintenance, or asset shortfalls. While understandable, this approach often resulted in less competitive pricing. Greater visibility across people and assets reduces uncertainty, allowing organizations to price work more precisely. Leaner bids become possible without increasing exposure, enabling contractors to remain commercially attractive while protecting margins. 

Costs present, past and future

To remain competitive offshore organizations need to know and understand exactly what people and resources they have across the world at any given time.  Dynamic, real-time information provides clarity and insight into the current availability of all assets while historical data adds to the benefit of hindsight to factor in important calculations relating to unforeseen periods of staff absence or a vessel being out of service.  A birds-eye view of both the present and the past is invaluable when costing out future customer projects.  

Finally, WFO minimizes many elements of risk associated with large, complex projects: 

Risk management – organizations need to show that the vessels and equipment they are providing are safe to use and that their people are certified and protected to minimize the risk of industrial accidents, significant financial penalties and long-term damage to corporate reputations.  The ability of a WFO solution to provide a joined-up approach to availability, competency and compliance management gives offshore organizations a framework they can trust to develop successful bids that minimize risk to themselves and to their customers in a rapidly changing and challenging environment.   

Successful bids are built on agility and certainty along with the confidence to grow flexibly while containing costs. Effective workforce optimization has the power to help win the bid process by ensuring you always have the right people and resources at the right price, to stay competitive in the offshore industry.    

Managing Risk in Complex Projects

Large offshore projects carry inherent risk, and successful bids must reflect this reality. 

Organizations need to demonstrate that vessels and equipment are safe, that people are competent and protected, and that regulatory obligations are fully understood. A joined-up approach to availability, capability, and compliance provides a framework that supports both risk mitigation and commercial credibility. 

In a sector where reputation matters, confidence is built long before a vessel leaves port. 

Winning Bids Through Confidence, Non Concession

Successful offshore bids are built on certainty, agility, and trust — not on aggressive discounting alone. 

Organizations that bring clarity to their workforce and resource planning are better positioned to respond quickly, price accurately, and grow sustainably while controlling risk. In an industry defined by volatility, that confidence is what separates survival from long-term success. 

Explore how offshore organizations improve delivery, control costs, and strengthen bid confidence with RLDatix. Contact us via our website or email [email protected] 

Author:
Lee Clarke, OneView Director at RLDatix

With 30 years in the software industry—including 28 years at RLDatix—Lee has led the development and implementation of Workforce Management solutions across the Maritime, Engineering, and Defence sectors. His diverse roles provide a deep, practical understanding of the workforce planning challenges faced by customers.