A conceptual framework of Critical factors for risk mitigation and management in the procurement process: A framework from the UAE petroleum Industry

Abstract

Petroleum procurements are typically in high demand in most economies around the globe. The procurement of the commodities is characterized by transportation of crude oil from where it is extracted to refineries by ship or pipeline. UAE Oil and gas industry are at risk due to the massive capital investment, the involvement of many parties, the use of complex technology, as well as the high environmental and social impacts. Furthermore, effective risk mitigation in UAE oil and gas industry requires appropriate knowledge, an up-to-date database about pipeline failure causes. However, there was very little research done on the risk factors that affect the performance of procurement of petroleum products especially in UAE where wide variations in supply and prices are experienced. This study therefore this study intended to develop conceptual framework of Critical factors for risk mitigation and management in the procurement process: A framework from the UAE petroleum Industry