Global O&G Major Saves $235M by Transforming Contract Governance

A Fortune 500 Oil & Gas Firm

A global oil and gas company managing multi-billion-dollar contracts across upstream, midstream, and downstream operations in multiple regions.

Total contract value under active governance

$ 4.1 B

Hard savings delivered through invoice and scope validation

$ 235 M

Reduction in supplier disputes through structured governance

70 %

Challenge

This global energy leader relied on a heavily manual approach to manage billions in supplier contracts – tracking obligations in spreadsheets, relying on inconsistent supplier reports, and struggling to validate supplier performance and invoices. Issue tracking was ad hoc, and contract scope changes were difficult to monitor and enforce. The result: rising disputes, revenue leakage, and missed performance targets.

Solution

Faced with growing inefficiencies and rising costs, the company turned to Sirion’s AI-native CLM to bring structure and control to supplier governance. Sirion replaced fragmented processes with automated tracking, centralized data, and contract-aligned validations – enabling a more transparent and performance-driven approach.

Key Solution Highlights:

Automated Obligation and Performance Tracking:
Sirion eliminated manual spreadsheets by automating the tracking of supplier obligations and validating performance in real time against contract terms – cutting effort, reducing errors, and ensuring compliance.
Integrated Invoice and Scope Validation:
Invoices and new work orders were automatically cross-checked against contract scope and terms. This prevented overbilling, unauthorized work, and cost overruns before they occurred.
Structured Governance and Action Tracking:
Sirion tracked issues, decisions, and follow-ups from governance meetings in a centralized workflow – driving accountability, faster resolution, and better supplier collaboration.
Consolidated Supplier Data and Insights:
Supplier obligations, performance metrics, invoices, and contract data were unified into a single source of truth – giving teams real-time visibility and the insights needed for data-driven governance and relationship management.

"We wanted to change the way contracts were governed in our organization and knew we needed to leverage automation. Sirion not only checked all the boxes but delivered huge cost savings in a very short span of time."

Group Head, IT Infrastructure Sourcing

Impact

Sirion helped the company shift from reactive oversight to proactive, intelligent governance at scale.

$235M in hard savings through comprehensive validation of new work orders and invoices against contractual terms.
60% reduction in manual governance efforts and costs by automating supplier governance processes.
70% reduction in supplier disputes, driven by shared visibility and structured collaboration.
7X increase in the number of suppliers under active governance, enhancing contractual conformance.
Improved supplier relationships via clear, documented actions and issues management.

Additional Resources

Platform Brochures

Smarter Contracting in Oil & Gas Industry