Assess Digital Maturity to Set Digital Transformation Strategy in Oil and Gas

2021 ◽  
Author(s):  
Mario Torre ◽  
Analyn Azancot ◽  
Fabián Florez ◽  
Wei Zhou
Keyword(s):  
Oil And Gas ◽  
Digital Transformation ◽  
Base Line ◽  
It Infrastructure ◽  
Management Level ◽  
Enhancement Method ◽  
Process Output ◽  
Digital Strategy ◽  
Step Transition ◽  
Oil Company

Abstract This paper presents a structured methodology for an oil company to embark on a digital transformation. It was implemented in several JVs with a NOC that includes three producing blocks with dozens of mature fields. The methodology has several key unique strengths: One is the ability to isolate the core-money-making processes and build a digital strategy around them. This shows early gains and at the same time becomes a buy-in support for management. Another advantage is the simplicity to define the "desired" digital maturity level using direct input from the final stakeholders. This is achieved by using the process enhancement method, a SIPOC technique (Supplier, Input, Process, Output, Customer analysis). Also, an important strength is the methodology does not ignore the existing IT infrastructure, nor the field systems (i.e., SCADA) and re-uses them, as much as possible, giving enough time for a transition or an upgrade when needed. Several tools are provided in this paper that makes the methodology consistent, auditable, and strong to support the designed digital strategy to any management level with high chance of approval. The methodology is flexible enough to be run on various types of contracts, hydrocarbon phase or operational environments. As with any method, it relies on commitment from the top and base line in the organization, requiring open and honest evaluation of current inefficiencies and, equally important, resources (budget and people). In summary, a digital transformation is not a sudden leap from a company's current analog status to an instantaneous digital state of being. Rather, it is a progressive, step-by-step transition of core processes and user-centric workflows that requires careful planning and a thoughtful methodology to find the most suitable scenario for each company.

The Fact Research of the Equipment and Facilities Integrated Management IT System for Chinese Oil Company

2014 ◽  
Vol 1044-1045 ◽  
pp. 1839-1842 ◽  
Author(s):  
Nan Wang ◽  
Jing Hua Sha
Keyword(s):  
Oil And Gas ◽  
Integrated Management ◽  
It Infrastructure ◽  
Integrated Management System ◽  
Data Standardization ◽  
Infrastructure Design ◽  
Paper Survey ◽  
And Performance ◽  
Safety Operation ◽  
Oil Company

A Chinese oil company realized millions of tons of oil and gas productivity to meet the target of twelfth 5 years plan. It faces many big challenges while fast developing. We need to finish the asset integrated management system, strengthen the key equipment’s management and ensure safety operation. This paper is based on Asset integrated management implementation and risk management theory, to study the information system and IT infrastructure, to provide the evidence for leaders decision making. It can guide the business development and support the improvement, to make the data standardization, control the process and enhance the management and performance assessment ability for the corporation. The article uses the factor research method based on paper survey to analyze the data and IT system. It is divided three parts: background and requirement analysis, infrastructure design and development roadmap. It not only proposed that how to build AIM IT system, but also make the investment and returning analysis. From the degree of IT supporting business, this paper replies the problem of management increasing of National Company and Assets Management Committee.

scholarly journals Digital Transformation Strategy as a Tool for Implementing the Business Strategy of a Company in the Oil and Gas Sector of Modern Russia

2021 ◽  
pp. 40-53
Author(s):  
E. A. Kuklina
Keyword(s):  
Business Strategy ◽  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Digital Transformation ◽  
Development Programs ◽  
Gas Industry ◽  
Increased Risk ◽  
Oil And Gas Companies ◽  
Oil Company

The article provides a classification of the factors of increased risk of functioning of the up-stream business segment of the oil and gas industry (natural, predictive, behavioral). The results of the analysis of the implementation of innovative development programs by the leading Russian oil and gas companies in the upstream business segment are presented and the programs of their digital transformation are analyzed. The experience of developing a strategy for the digital transformation of a Russian vertically integrated oil company (using the example of Gazprom Neft) is considered. Key problems of digitalization of the industry are formulated and promising directions for their solution are proposed.

Evaluating the innovation of oil and gas enterprises under new circumstances: Evidence from Rosneft Oil Company

2020 ◽  
Vol 8 (8) ◽  
pp. 1444-1458
Author(s):  
N.M. Baranova ◽  
D.S. Loginova ◽  
S.N. Larin
Keyword(s):  
Oil And Gas ◽  
Annual Report ◽  
Statistical Data ◽  
Exponential Model ◽  
Innovative Activity ◽  
Corporate Development ◽  
Power Resources ◽  
Business Operations ◽  
Trade Wars ◽  
Oil Company

Subject. Illustrating the case of Rosneft Oil Company, we herein study how innovation spurs business operations, increases the competitiveness of firms and protects them from risks. Objectives. We model the innovative activity of Rosneft Oil Company and its competitiveness. Methods. We analyze proceedings by the Russian and foreign scholars, materials on program for the innovative and sustainable development of Rosneft Oil Company. Our assessments were based on statistical data of Rosneft’s annual report for 2004–2019. The regression analysis and econometric studies were conducted via Eviews10. Results. We set models to predict the innovative development of the company for the nearest future. We revealed that the linear model was the most appropriate and suitable for forecasting. Properties and estimates of the exponential model turned to be insignificant, on the contrary. Conclusions and Relevance. Currently, it is difficult to forecast the extent to which corporate development, its innovative activity will change in 2020 and in the nearest future. Despite the company’s achievements before 2020, continuous trade wars, geopolitical conflicts, pandemic, OPEC agreements and a consequential drastic drop in the demand for power resources considerably slowed down the pace of the economic growth not only in the company, but also in the country.

scholarly journals Human Centric Digital Transformation and Operator 4.0 for the Oil and Gas Industry

IEEE Access ◽  
2021 ◽  
pp. 1-1
Author(s):  
Thumeera R. Wanasinghe ◽  
Trung Trinh ◽  
Trung Nguyen ◽  
Raymond G. Gosine ◽  
Lesley Anne James ◽  
...  
Keyword(s):  
Oil And Gas ◽  
Oil And Gas Industry ◽  
Digital Transformation ◽  
Gas Industry

Digital Deployment Lessons From Early Adopters

2021 ◽  
Vol 73 (05) ◽  
pp. 52-53
Author(s):  
Judy Feder
Keyword(s):  
Data Privacy ◽  
Business Models ◽  
Oil And Gas ◽  
Local Level ◽  
Digital Transformation ◽  
Automotive Manufacturing ◽  
Early Adopters ◽  
Offshore Technology ◽  
Offshore Oil And Gas ◽  
Offshore Oil

This article, written by JPT Technology Editor Judy Feder, contains highlights of paper OTC 30794, “Digitalization Deployed: Lessons Learned From Early Adopters,” by John Nixon, Siemens, prepared for the 2020 Offshore Technology Conference, originally scheduled to be held in Houston, 4–7 May. The paper has not been peer reviewed. Copyright 2020 Offshore Technology Conference. Reproduced by permission. With full-scale digital transformation of oil and gas an inevitability, the industry can benefit by examining the strategies of industries such as automotive, manufacturing, marine, and aerospace that have been early adopters. This paper discusses how digital technologies are being applied in other verticals and how they can be leveraged to optimize life-cycle performance, drive down costs, and decouple market volatility from profitability for offshore oil and gas facilities. Barriers to Digital Adoption Despite the recent dramatic growth in use of digital tools to harness the power of data, the industry as a whole has remained conservative in its pace of digital adoption. Most organizations continue to leverage technology in disaggregated fashion. This has resulted in an operating environment in which companies can capture incremental inefficiencies and cost savings on a local level but have been largely unable to cause any discernible effect on operating or business models. Although the recent market downturn constrained capital budgets significantly, an ingrained risk-averse culture is also to blame. Other often-cited reasons for the industry’s reluctance to digitally transform include cost of downtime, cyber-security and data privacy, and limited human capital. A single offshore oil and gas facility failure or plant trip can result in millions of dollars in production losses. Therefore, any solution that has the potential to affect a process or its safety negatively must be proved before being implemented. Throughout its history, the industry has taken a conservative approach when adopting new technologies, even those designed to prevent unplanned downtime. Although many current technologies promise increases of 1 to 2% in production efficiency, these gains become insignificant in the offshore industry if risk exists that deployment of the technology could in any way disrupt operations. Cybersecurity and data privacy are perhaps the most-significant concerns related to adoption of digital solutions by the industry, and they are well-founded. Much of today’s offshore infrastructure was not designed with connectivity or the Internet of Things in mind. Digital capabilities have simply been bolted on. In a recent survey of oil and gas executives, more than 60% of respondents said their organization’s industrial control systems’ protection and security were inadequate, and over two-thirds said they had experienced at least one cybersecurity attack in the previous year. Given this reality, it is no surprise that offshore operators have been reluctant to connect their critical assets. They are also cautious about sharing performance data with vendors and suppliers. This lack of collaboration and connectivity has inevitably slowed the pace of digital transformation, the extent to which it can be leveraged, and the value it can generate.

Unveiling The Internal Forces Towards Digital Adaptation: A Change Perspective of Malaysian SMES

2021 ◽  
Vol 12 (1) ◽  
pp. 126-126
Author(s):  
Fariza Hanim Rusly ◽  
Yurita Yakimin Abdul Talib ◽  
Muhammad Rosni Amir Hussin Hafizah Abdul Mutalib
Keyword(s):  
Human Resources ◽  
Change Management ◽  
Information Flow ◽  
Value Creation ◽  
New Technologies ◽  
Digital Technologies ◽  
Digital Transformation ◽  
Firm Structure ◽  
Internal Forces ◽  
Digital Strategy

Digital transformation, one of the key areas of change management in the digital age, is defined as a process of changes by the means of using IR technologies in firm's operation. The extant literature suggests that implementation of digital technologies could improve communication, information flow, thus contributing towards value creation and firm performance. Notwithstanding of scarce financial, human resources and strategic capabilities to adopt new technologies among SMEs (Lee et al., 2020), the firm structure, which is more flexible as compared to large firms, offers opportunity in terms of quick decision making (Ghobakhloo & Ching, 2019) for the owner to adapt the firm's business model with market changes and implement necessary changes to sustain in the business. Moreover, previous studies indicate SMEs gained benefit from technology adoption. Nevertheless, transformation towards digitalisation requires a considerable judgement of decision, investment and effort by management and among the employees. Keywords: Digitalisation,Digital Transformation, Digital Strategy, SME, Change Management

scholarly journals Resistance to Sustainability Innovations in the Oil and Gas Sphere

2017 ◽  
Vol 6 (2) ◽  
pp. 31-36
Author(s):  
Здольник ◽  
Daria Zdolnik ◽  
Тищенко ◽  
Olga Tishchenko ◽  
Тищенко ◽  
...  
Keyword(s):  
Sustainable Development ◽  
Oil And Gas ◽  
Development Projects ◽  
Project Portfolio ◽  
The Sustainable Development ◽  
Development Concept ◽  
Implementation Management ◽  
Oil Company

The article analyzes the main causes of resistance to the principles of the sustainable development concept as the results of the research in the oil company "Bashneft". In addition, the article describes the main risks of the industry, which led to changes in strategy and, as a consequence, changes in project portfolio, including sustainable development projects. There is also a system of the implementation management of the changes related to the sustainable development concept developed and the main methods of combating and preventing resistance identified in the article.

scholarly journals IMPROVEMENT OF THE DIGITAL TRANSFORMATION STRATEGY OF BUSINESS ON THE BASIS OF DIGITAL TECHNOLOGIES

2019 ◽  
Vol 6 ◽  
pp. 10-18
Author(s):  
Pavlo Hrynko
Keyword(s):  
Structural Model ◽  
Human Resources Management ◽  
Digital Economy ◽  
Digital Transformation ◽  
Enterprise Management ◽  
Theoretical Approaches ◽  
Digital Development ◽  
Digital Strategy ◽  
Characteristic Features ◽  
Practical Recommendations

This paper is a theoretical and methodological substantiation of the provisions for the transformation of business in the digital economy and the development of practical recommendations for the formation of an organization’s digital strategy. The characteristic features of changes in consumer behavior that contribute to improving the business management model in the digital economy through the development and implementation of a digital strategy are highlighted. The relevance of theoretical and methodological recommendations and organizational provisions of compositional management and the creation of a fundamentally new enterprise management subsystem are substantiated. Theoretical approaches to improving the organizational structure of enterprises in the digital economy are investigated. The goal and main trends in the field of human resources management are identified, which must be taken into account when forming the organization's digital strategy. The research models of the roadmap of digital transformation of the business, as well as the structural model of the digital development of the business model of the enterprise are presented.

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