How to Sell Capital Project Services to Dow

Capital project procurement at Gulf Coast operators follows a phased process: conceptual engineering, front-end engineering design (FEED), detailed engineering, and construction. The vendor who gets specified during FEED has a massive advantage over everyone who shows up during the ITB phase. By the time a formal bid package goes out, the technical requirements have already been shaped by whoever was in the room earlier.

The project engineering team writes the specifications. They evaluate technology options, select equipment standards, and define the technical requirements that procurement uses to solicit bids. Getting your solution into the engineering study — before a competitive bid — is the highest-value sales activity in capital project selling. This requires relationships with the engineers who write specs, not just the procurement team that issues purchase orders.

Capital projects have long timelines. A major expansion or new unit can take 3 to 5 years from announcement to mechanical completion. The procurement window for major equipment opens 12 to 18 months before installation, but the specification window opens much earlier — during FEED, which can be 2 to 3 years ahead of installation. Planning your engagement around the project timeline is essential.

Operator capital project teams are distinct from their maintenance organizations. The people who buy equipment for a new unit are not the same people who buy replacement parts for an existing one. Project managers, project engineers, and capital procurement specialists operate in a parallel organization with different priorities, budgets, and vendor relationships.