Collaboration is not a term to toss around lightly, says Calgary panel
CALGARY, Alberta -- As more and more players in the upstream oil and gas industry recognize that “collaboration” may be in their best business interests, it becomes imperative that companies know how to properly implement such projects. That was the takeaway message from the opening panel discussion Tuesday, at SPE’s Heavy Oil Conference in Calgary. The event is taking place side-by-side with the Global Petroleum Show.
"Working together is key, common goals are key, and semantics are key,” said Heather Campbell, regional director for partnerships in Alberta, Saskatchewan and Manitoba, at Sustainable Development Technology Canada (SDTC), a non-profit foundation set up by the government of Canada. “Investors prefer collaboration. But SDTC and its partners only fund the most-promising technologies. We invest where others won’t.”
If you’re going to go into a collaborative effort, “have a clear business model,” instructed Gary Bunio, general manager for Oil Sands Strategic Technology Development at Suncor. “You need to have an idea of what the business arrangement is going to be with your partners. Be clear that you’re here to solve the industry’s problems and not just sell your product. If you merely want to make the most money for yourself, you won’t be a good collaborator.”
Once you are clear on your mission, “finding the right partners is key,” added James Swanson, a partner in Calgary law firm Burnet, Duckworth & Palmer LLP. “Armed with these relationships, you will get the attention of investors, who you wouldn’t have heard from before.”
One thing that often hampers collaboration among companies is fear of failure, especially among younger employees, “who are afraid of the boss,” said Bunio. “Yet, a leader in collaboration is not necessarily a traditional leader, who tells people what to do.” Thomas O’Neil, assistant professor in the Department of Psychology at University of Calgary, said he found that comment interesting. “To see very structured technical people, like engineers, have to use different skills sets is interesting. Your unit can only be as successful, as you are as a leader.”
Of particular concern in collaborative efforts between oil and gas and service companies is protection of intellectual property (IP), to the point that there is far more of it going than 10 years ago, observed an attendee during the question-and-answer period. “That’s true,” responded Swanson. “I’ve noticed a sea change in the industry, in Calgary, where things were looser on IP some years back. But to obsess over IP will keep you from progressing in these collaborations.”
Indeed, “intellectual property enables stronger, more strategic collaborations,” added Campbell. “But you also need to be clear and transparent. IP isn’t a game of chance. It all requires a well-thought strategy.”
