26 August 2018SME development in the modern
marketplace. Securing adequate
funding, a lack of managerial know-
how, a reluctance of some to work in the
private sector, a perception of excessive
regulation and knowing how best to
exploit modern technology – whether
it be for manufacturing, marketing
or communication – are all stumbling
blocks.
However, PDO is working hard to
overcome these challenges. Within
the oil and gas industry, although
PDO is highly specialised, there are
significant opportunities for SMEs
to participate. For example, some of
the opportunities they could explore
include: the provision of office supplies,
catering services, communication and
technology services, construction,
transportation, fabrication and welding
services, to name just a few.
Developing a strong local supply chain
and supporting Oman’s SME sector
are central planks of PDO’s in-country
value (ICV) policy. This approach
not only helps raise the capacity and
capability of domestic businesses to
compete nationally, regionally and
internationally – creating thousands
of meaningful job and training
opportunities – but also reduces supply
times and costs.PDO has established community-
based companies called Super Local
Community Contractors (SLCCs), owned
by local communities, to supply core
oil and gas field services, and sustained
them with technical, administrativeand financial support. “We are now
helping them move beyond oil and
gas to explore other avenues, such as
logistics, transport and construction.
The cumulative total contract values
of all four SLCCs with PDO now stand
at more than US$1bn and last year we
tripled our spend on SMEs to US$202mn
from US$60mn in 2014,” explains al
Ghareebi.PDO has also played a critical role in
the establishment of Omani factories,
workshops and repair facilities offeringin-country engineering services,
equipment and materials to the oil and
gas sector.In an age where digital technology
is king, PDO has set up a new web
platform called Daleeli, aimed at Omani
entrepreneurs and non-governmental
organisations, as an easily accessible
one-stop shop for those wishing to
do business with us. Daleeli provides
information, answers questions and
streamlines the enquiry process.
The service complements a user-
friendly digital supplier relationship
management system, called Rabitah,
where vendors can register to work
with PDO. Future tenders are also
available on PDO websites to allow local
businesses to prepare themselves for
future contracts.“We reserve scope in all our contracts
for Omani SMEs who conform to
our standards, and we also offer
financial advice, technical support and
run workshops covering important
disciplines such as corporate
governance, accounting, business ethics
and marketing,” explains al Ghareebi.PDO also enjoys a strong relationship
with partners such as Riyada (the Public
Authority for SME Development) and
has recently launched a programme
called Tazeez (Enhance) with its
support. This consists of tailor-made
training modules - in areas such as
HSE, finance, PDO’s tendering process
and quality management – that are
delivered by PDO subject matter
experts.The company has launched Tazeez in
August 2017 for 40 SMEs specialising in
renewable energy – which the company
thinks can be a rich growth area for
Oman - and this year the programme
was aimed at 20 firms based in oil and
gas engineering, an area where PDO is
looking to localise more of its contracts.
In addition, some of the company’s
expert staff participated in Riyada
‘Tawjeeh’ coaching programme, where
they coach entrepreneurs.COVER STORY