We are thrilled to announce that in January 2026 we will launch SC.ORB, our web-based platform, designed to empower businesses with robust, reliable, and tailored solutions to navigate complex regulatory landscapes. As a proudly independent company, not owned by private equity, we are driven by our mission to deliver unparalleled value and flexibility to our clients. This launch marks a significant milestone in our commitment to supporting your compliance needs with transparency, innovation, and dedication.
We’ve spent some time discussing some of the challenges surrounding OQ, some of the things that are “broken” today, and some of the risks those “broken things” create.
In the next few posts, we’ll describe who we are, what things we intend to do, how we’ll do those things, and why we’ll do those things.
Our primary mission is:
- To help oil and gas pipeline operators manage risks and support those operators in achieving regulatory compliance.
- To support those operators in managing and monitoring the use of contractors/vendors.
- To help those contractors/vendors understand and meet the requirements of the pipeline operators they support.
Systemic Compliance was created to make a positive difference. There are several key objectives that will drive everything we do.
- We will provide smart solutions to real problems.
- We will look at issues and challenges differently.
- We will craft solutions that improve the performance and health of our client’s businesses.
- We will build systems that complement how a company operates, and we will design those systems in order that compliance can be a result – rather than the primary aim.
- We will always choose to do the right thing for the right reason – and will avoid situations where we are asked to compromise on this commitment.
Systemic Compliance will change the way its customers view the challenge of “regulatory compliance”. We will offer software and support to help our customers design and implement systems that create efficiency and cost savings – regulatory compliance will be a byproduct of these systems. Regulatory compliance will not be the aim – it will be a result.
Uniformity of approach, integration of business processes, economies of scale, and common sense will be the tools we use to accomplish these things.
Regulatory compliance processes will be built into the systems we design. We will create systems that help our customers be more efficient and profitable – regulatory compliance will be an outcome – because these systems will be smart.
Compliance will be systemic.
Pipeline operators deal with regulatory compliance every day. Increasingly, regulators have come to focus on the relationship between a company and its contractors because of (1) the larger role that contractors have come to play over time, and (2) the increasing difficulty faced in coordinating compliance activities with contractors. There are more than 2,000 regulated pipeline operators and an estimated 20,000 oil and gas pipeline contractors in the US. Working together effectively with contractors is critical in protecting health, safety, and the environment – a fact not lost on state and federal regulators. Systemic Compliance will bring creative solutions to this challenge – with very specific ideas and the experience to make those ideas work.
Many companies struggle to integrate functions in the development and execution of internal management systems. Complexity increases when trying to synchronize efforts with external contractors, making integration an even more formidable endeavor that most companies have yet to successfully address. Because of this, variability is certain. Variability creates risk – and increased cost. Regulators recognize the variability that exists between Operators and recognizes the risks that arise when considering the complex relationships with contractors. Regulators have established this issue as an enforcement priority.
When an operator chooses to engage a contractor, the first step is generally the execution of a Master Service Agreement (MSA) which sets forth standard contractual business obligations for both parties. The MSA sets forth general business obligations including (a) insurance requirements, (b) drug and alcohol testing requirements, (c) employee training/competence requirements (OQ), and (d) safety performance and reporting obligations. Inclusion of PSMS-related requirements into the MSA is becoming more common and is an area of focus for Systemic Compliance.
Commonly, the operator requires the contractor to establish a relationship with a third party whose role is to provide data management and reporting services for the purpose of documenting compliance with requirements set forth in the MSA.
The mechanics of the MSA process, on the surface, are not difficult. But in the aggregate, when an operator has engaged a number of contractors, it becomes exponentially more difficult. Likewise, when a contractor provides services to multiple operators, it becomes a challenge to meet all requirements with a single program/approach. Viewing this issue from a broader industry standpoint, as regulators must do, reveals a significant challenge. This is why ensuring synchronization of contractors has become a top priority for regulatory enforcement. These three perspectives are illustrated below:
The Operator Perspective
An operator engages some number of contractors to perform certain functions/services.
The Contractor Perspective
A contractor engages with one or more operators to provide certain functions/services. In some cases, the contractor may engage other contractors to provide services in a subcontracting relationship. In other cases, the contractor may subcontract services to another contractor.
The Big Picture Perspective
From the perspective of the industry as a whole (this is the perspective of regulatory agencies), the picture becomes more and more complex and challenging. The implications of variability and the resulting logistical challenges become evident.
In January 2026, Systemic Compliance will create a new “Big Picture” perspective!
- Will help operators establish a sound approach (programs, procedures, and processes) to meeting regulatory compliance requirements.
- Will do so with an eye toward API RP 1173 (the PSMS standard).
- Will honor and recognize those operator-specific requirements and communicate those to appropriate contractor organizations.
- Will include a robust Management of Change (MOC) platform to better enable operators to review proposed changes, understand the ripple effects of the proposed change, approve and document the change, and notify stakeholders of the change.
- Where a contractor provides services to multiple operators, the collective set of requirements will be presented to the contractor as a single set of requirements to be met.
- Will provide the contractor with the tools and resources needed to meet those operator requirements.
- Will monitor contractors to ensure conformance with those requirements and assist the contractor in designing corrective actions in cases where requirements are not being fully met.
- Will provide reporting and monitoring to assure continued conformance by the contractors.
- Will be offered at a substantially reduced cost – for operators and contractors.
In coming posts, we’ll describe more about how SC.ORB will accomplish these things. Please stay tuned. In the meantime, if you’re interested in learning more, please feel free to contact us.
COMPLIANCE SHOULD BE SYSTEMIC!
- Telephone: 817-717-1563
- Email: sales@systemic-compliance.com