Advanced work packaging (AWP) is a new strategy for enhanced project delivery in the oil and gas sector and has proven to be effective and efficient. However, not all the stakeholders are fully aware of the guidelines and implementation approaches. On this basis, this work focused on the implementation and challenges that are faced by the stakeholders of the oil and gas sector in Malaysia. Accordingly, a semi-structured interview was conducted with the field experts prior to the development of the questionnaire, which was distributed amongst the companies working in oil and gas following a mixed method. Analytical results showed that the majority of the respondents have heard about the AWP, but they have limited knowledge of its implementation. The foremost challenges that were highlighted are the ‘lack of AWP management knowledge’, ‘risk of miscommunication’, and ‘late/incorrect front-end deliverables’, which require vital attention. Therefore, a conceptual framework has been developed based on the top-ranked factors that will work as a guideline for the industrial stakeholders to understand and implement AWP in a better manner. This study will also help government institutions to foresee where the oil and gas industry is standing at the moment and what reforms are required to boost project delivery. In addition, the outcome is not only applicable in Malaysia but also to other ASEAN countries having similar practises in the oil and gas industry.