Taking integrated supply to the project level has its rewards - and pitfalls.
Project supply is typically more complicated than MRO replenishment. In this particular arrangement, the entire buying process was turned over to R.J. Gallagher, which was more efficient in the procurement and storage of inventory. The engineering contractor issued the specifications to Gallagher, which in turn requested and collected bids. As in standard I/S arrangements, vendors who used to supply material directly to Union Carbide became second-tier suppliers and delivered the products to Gallagher.