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Effective coordination of the supply of downhole completion equipment is critical for oil and gas companies. The process usually includes planning, procurement, storage, call off and onshore preparation of completion components and assemblies. At current daily costs for rigs and fixed platforms, the consequences of late supply or failure of just one item can be significant and may exceed the original purchase cost of the entire completion. Major completion components include subsurface safety valves, landing nipples, circulating devices, expansion joints, production packers, and seal assemblies. Hundreds of components may be handled due to variations in well type, well conditions, casing size, tubing thread, and individual well engineers' preferences. Accessory items such as pup joints, flow couplings, blast joints, and crossovers must also be coordinated. Involvement of several different suppliers can further complicate the process. Two operating units of a major North Sea Operator have joined forces to implement a new approach to improve efficiency and reduce the overall cost of downhole completion equipment by issuing a joint, pan-European tender. European Community regulations were adhered to in generation of a "functional requirements" tender, as opposed to a full specification tender. This enabled potential suppliers to propose "fit for purpose" equipment which already has a proven track record rather than new designs, which would require testing to prove compliance with a client specific specification. Following the "functional requirements" tender, a commercial tender was completed. The commercial tender included options for the level of materials management covered by the service companies who satisfied the functional requirements. Details of operating value drivers used to direct focus on potential cost savings are described as well as how total cost of ownership has been reduced to the benefit of both the end users and the lead suppliers. Performance measures developed for the agreement are discussed, as well as how these measures reflect progress towards stated goals. The authors feel that the processes and procedures presented in this paper have considerable potential benefit to other oil and gas operating companies.