Rental natural gas compressor, compressor vendor scorecard, Permian Basin

Vendor Management · DJ Basin

DJ Basin vendor review:
the guarantee was met and the vendor still got a D

Illustrative scenario. The company and figures are fictional. The math is the same the free tools use.

Platte Valley Operating walked into its quarterly review with Front Range Compression expecting an easy meeting. Their 18 rented units had run 99.52% for the month, comfortably above the 98.5% guarantee. No credit was owed.

Then they put the month's 7 callouts into a scorecard.

What the guarantee does not measure

A runtime guarantee only asks whether the hours added up. It does not ask how long you waited for a tech at 11 at night, or whether the same unit went down twice.

Callouts answered on time57%4 of 7 within the 3 h target See the math
Average response4 h 06 mcallout to tech on site See the math
Longest outage18 h 25 munit D-17 See the math
Show the mathHide the mathHow each figure above is worked out, step by step.
Callouts answered on time57%
  1. Answered on time4 of 7 callouts reached within 3 h57%
Average response4 h 06 m
  1. Response time, all calloutseach callout, from going down to the tech on site, added up28.7 h
  2. Average response28.7 h ÷ 7 callouts4 h 06 m
Longest outage18 h 25 m
  1. Longest outageunit D-17, down Sep 14, 3:05 am, back online Sep 14, 9:30 pm18 h 25 m
orange scenario numbergray result of an earlier stepSteps are rounded for display; totals use the exact numbers.Same formulas as the Compressor Vendor Scorecard

All three late answers came at night. D-11 went down at 10:15 p.m. and the tech arrived at 6:30 the next morning. D-08 went down just before midnight and waited until 7:15. D-17 stopped at 3:05 a.m. and became the month's longest outage. Daytime callouts were answered in under two hours every time.

Why it graded a D

The scorecard grades on two things: runtime against the guarantee and the share of callouts answered within the response target. Runtime passed easily. Response did not, and that pulled the grade down.

A met guarantee is not a good month. If the vendor has no one on nights, the guarantee will cover for them until the night you lose a pad. The scorecard shows it while it is still cheap.

What changed after the meeting

  • Front Range agreed to an on-call tech for the north end of the field after 8 p.m.
  • D-11, down twice in two weeks, was swapped for a rebuilt unit
  • The response target went into the next contract renewal in writing
Run these numbers yourselfOpens the Compressor Vendor Scorecard with this scenario filled in. Change anything to match yours.
Vendor
Front Range Compression
Units
18
Guarantee
98.5%
Response target
3 h
Days in the month
31 days
Callouts
7 rows
Grade This Vendor in the Scorecard

Downtime is costing you MILLIONS!

Stop estimating. Start documenting.

Vendor Callout logs each outage from the truck, prices every down-hour and every deferred barrel as it happens, and prints the vendor report that recovers the credit.