A formal document issued by a client or general contractor authorising a subcontractor to perform a specific scope of work. It outlines the job details, location, timeline, and agreed rate. Subcontractors typically cannot invoice without a valid work order number.
Work Order
Related Terms
Alternative Delivery Models
IndustryContracting arrangements beyond traditional lump-sum or day-rate structures, such as alliance, integrated project delivery, or performance-based contracts. These models shift how subcontractors are engaged, paid, and held accountable for outcomes. Understanding them helps field service firms assess risk, pricing strategy, and scope responsibilities before signing.
Bolt-On Acquisition
IndustryWhen a larger contractor or service company purchases a smaller subcontractor to expand its capabilities or regional footprint. For field crews, this often means changes to payroll systems, safety programmes, or preferred vendor lists. Existing contracts may be absorbed or renegotiated under the acquiring company's terms.
JIP (Joint-industry Project)
IndustryA cost-sharing initiative where multiple operators or companies fund research, technology development, or industry challenges together. For subcontractors, JIPs can open doors to new contracts, but procurement processes are often slow and heavily governed. Understanding which operators are involved helps you identify who holds the real budget authority.
Feasibility Study
IndustryA pre-project assessment that evaluates whether a scope of work is technically and financially viable. For subcontractors, it signals early-stage work that may lead to awarded contracts. Participating in feasibility work can position your company for the larger project bid.
Clastic Reservoir
IndustryA rock formation made of compacted sediment fragments — like sandstone or conglomerate — that holds oil or gas. Most drilling and completions work in Western Canada targets clastic reservoirs. Knowing the formation type helps crews anticipate ground conditions and equipment requirements.
Modular Camp
IndustryA prefabricated, relocatable accommodation facility used to house workers on remote oil & gas or construction sites. Units are shipped and assembled on-site, then dismantled when the project ends. Subcontractors may bill camp costs separately or include them in their overall project pricing.
Latest Industry News
Baker Hughes Lands Compression, Liquefaction Orders for Venture Global's Gulf Coast Buildout
Baker Hughes secured orders to supply gas compression for the Cloud Connector Pipeline and modular liquefaction equipment for Plaquemines LNG, expanding Venture Global's Louisiana infrastructure footprint.
11 hours agoIndustryInside Ole Miss's $1.3B Build-Out: A Master Class in Managing 170 Projects at Once
The University of Mississippi has 170 construction projects running simultaneously across its Oxford campus, a live test case in staging and sequencing that facility-construction firms bidding higher-ed work should study closely.
11 hours agoIndustry$408M Roosevelt Bridge Replacement Breaks Ground at Lake Texoma
ODOT and design-build team Zachry Construction/Traylor Bros. broke ground on the $408 million US-70 Roosevelt Bridge replacement over Lake Texoma, with completion targeted for fall 2029.
yesterdayIndustryCivil Contractors Rack Up Federal Awards as Jacobs Lands $131M OKC Water Deal
Construction Dive's weekly roundup shows Jacobs, Skanska, Brasfield & Gorrie and Granite Construction landing government infrastructure contracts worth over $300 million combined, offering fresh benchmarks for subs pricing similar public works scopes.
yesterdayRelated Guides
How Operator Mergers and Acquisitions Affect Your Subcontract Agreements
When operators merge, get acquired, or sell assets, subcontractor agreements are caught in the middle. Learn how M&A activity affects your MSA, payment terms, vendor status, and what to do before, during, and after a deal closes.
Industry GuideHow Rig Count Trends Affect Subcontractor Demand and What to Do About It
Rig counts are the earliest signal of where field service work is heading. Learn how to read drilling activity trends, anticipate demand shifts, and position your crew before the phone stops ringing.
Industry GuideWhat Is an AFE in Oil and Gas and How Does It Affect Subcontractor Payments?
An AFE (Authorization for Expenditure) controls every dollar spent on an oilfield project. Learn how it affects your billing, change orders, and cash flow as a subcontractor.
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