How Namibian businesses can grow to meet the demands of the oil and gas sector supply chain
- 17 July 2025
- Posted by: Trudi Stevens
- Category: energy excellence
1. Increased Regulatory and Compliance Requirements
- O&G operations are heavily regulated with strict standards for safety, environment, labour, and procurement.
- Local businesses will need to align with international standards (e.g., ISO, HSE protocols).
Impact:
- Need for certifications, documentation, and robust internal controls.
2. Higher Standards and Quality Expectations
- Multinational oil companies will expect world-class service and product quality.
- There will be an emphasis on timely delivery, precision, and durability.
Impact:
- Local firms must upgrade infrastructure, processes, and skills to compete.
3. Greater Demand for Specialised Skills and Services
- Sectors such as logistics, fabrication, catering, security, IT, and environmental services will need to upskill and specialise.
- Supply chain opportunities will exist for both direct and indirect services.
Impact:
- More job opportunities, but a potential skills gap unless addressed early.
4. Increased Competition and Pressure to Consolidate
- Foreign firms may enter the market, and existing firms may merge or form partnerships.
- Local businesses may need to form joint ventures to compete for larger contracts.
Impact:
- Small and medium enterprises (SMEs) may need to collaborate to scale.
5. Shift in Financing and Investment Needs
- More capital will be required for equipment, certification, and staffing.
- Banks and investors will expect detailed business plans and risk assessments.
Impact:
- Firms will need to improve financial literacy and planning capacity.
Cultural change
Significant cultural change is needed to make this work and a shift in values, behaviours and mindsets at every level.
From Reactive to Proactive Compliance
- Before: Compliance may have been seen as a box-ticking exercise or only triggered by audits or client demands.
- After: Compliance becomes integrated into daily operations, with proactive planning to prevent violations before they occur.
From Informality to Structure and Standardisation
- Before: Informal practices and undocumented processes were common.
- After: Operations are standardised, documented, and auditable, aligned with international frameworks like ISO 9001, ISO 45001, and HSE protocols.
From Individual Discretion to Systematic Accountability
- Before: Employees relied on personal judgment with minimal oversight.
- After: Roles, responsibilities, and decision-making must be clearly defined and aligned with compliance requirements. Accountability becomes a cultural norm.
From Speed Over Safety to Safety-First Culture
- Before: Priority may have been on fast delivery or cost-saving.
- After: Safety, environment, and ethics take precedence, even if it means slower processes or higher upfront costs.
How to Achieve This Cultural Change
- Leadership Commitment and Role Modelling – lead by example
- Embed Compliance in Performance Management – create accountability
- Build Awareness and Ownership at Every Level – create responsibility
- Develop and Support Competency – invest in people
- Strengthen Internal Systems and Controls – fit for purpose
- Celebrate and Reinforce Compliance Wins – share the success
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