The oil and gas (O&G) industry is currently at an inflection point as market conditions are driving change. Due to the Covid-19 induced restrictions there has been a drop in demand of around 40 – 60 per cent and there are various uncertainties pertaining to the duration of the recovery period. Currently, the O&G sector is observing unprecedented price volatility due to an over supplied market. The sector is also witnessing a steady decline in margins from increased competition and a consumer driven market. Hence, it becomes highly important for the O&G companies to leverage technology across the value chain and maximise margins. It has been perceived that limited utilisation of high value data results in minimal cross sectoral collaboration whereas, traditional on-premise infrastructure does not deliver efficient automation of core business functions and subsequent cost savings. The utilisation of advanced analytics built on innovative cloud solutions enable can also help companies to facilitate efficiency in operations as they enable decision making and end to end cost reduction. Further, advanced analytics also allow organisations to gain complete visibility and rapidly identify underperforming assets with potential for optimisation.
At a recent conference on IT OT in oil and gas organised by India Infrastructure Publishing, Ashok Gopinath, Managing Director, Energy, Accenture discussed about the need for integrating IT OT solutions within the O&G sector and how business outcomes can be improved by using powerful analytics driven decision support systems.