For oil and gas businesses, the energy transitions is now their primary focus. They want to work with other businesses like chemicals and utilities, diversify their revenue streams and asset portfolios, and use more renewable energy. To achieve these ambitious goals, the industry has identified a set of strategic priorities, with digital transformation in oil and gas emerging as the cornerstone of their evolution. The capabilities that RISE with SAP‘s Business Transformation Service that are specific to the industry are covered in this article.

Let’s start by outlining strategic priorities and the advantages they offer the Oil, Gas & Energy Industries. 

 

Overview of Digital Transformation 

So, before proceeding with the strategic priorities, let’s have a glance about the digital transformation first.

When a firm adopts digital technology and incorporates them into its overall strategy and culture, it undergoes digital transformation.

A company’s operations, interactions with suppliers, employer engagement, and ability to provide value to consumers and other stakeholders can all be altered by digital transformation.  

Importance of Digital Transformation in Oil and Gas

Here are some key reasons why digital transformation is necessary: 

Customer Experience

Digital transformation is crucial in improving the customer experience. By adopting the latest technologies, brands can better align with customer needs, leading to increased satisfaction and loyalty.  

Some factors contributing to improved customer experience include: 

• Instant Service 

• Omnichannel Experience 

• Personalized Customer Experience 

Activates  New Communication Channels

New channels of communication, including chatbots, emails, mobile apps, and social media platforms, are made possible by the digital transformation.

By utilizing these modern platforms, businesses can: 

• Boost brand awareness
• Build a loyal customer base

Protects Against Disruption

Through digital transformation, businesses may quickly adjust to changes in the market, customer expectations, and competitive tactics by utilizing best practices and relevant tools.  

By staying agile and responsive, businesses can:

• Accelerate product development
• Improve customer experience 

 

Strategic Priorities for Oil and Gas Companies

Major Oil, Gas, and Energy companies have recognized the significance and principles of Digital Transformation. To turn their company into an intelligent enterprise, they are focusing on the four strategic priorities listed below.

To this end, RISE with SAP framework’s intelligent technologies play a critical role in adding value and empowering Oil, Gas, and energy firms to become intelligent enterprises. By pushing enterprise digitalization through product development, your company may redesign entire business models, processes, and products by adjusting to this.  

 

Real–world Scenario for one Strategic Priority 

Let’s take “Competing as an ecosystem” strategic priority,

Three criteria will play a major role in determining the success of the Oil, Gas, and Energy sectors: agility, cost, and safety. In this scenario, augmented reality and robotics will enable you to work with others while also assisting your business in increasing productivity and safety. These companies will become experts in machine learning, predictive operations, maintenance, and the confluence of IT and operational technologies.

Moreover, they can improve their asset intelligence by collaborating and exchanging performance data with OEM and Engineering Specialists.

Lastly, in order to continuously improve the design and operation of both new and current assets, they will gather performance data from connected assets. 

To better understand this example, let’s consider a real-world scenario involving two companies, Company A and Company B, each taking different approaches to certain processes. 

Consider the approaches taken by Company A and Company B:  

Company A:  

• Budgeting and Staffing: To estimate staffing requirements, gather budget information and user feedback. 
• Planning and Scheduling: Use manual planning tools and spreadsheet estimates for planning and scheduling.  
• Completing Work: Utilize manual recording, instruct employees on entering data procedures, and distribute equipment using administrative procedures. 
• Working: Utilize manual recording, train staff on data input procedures, and distribute equipment using administrative procedures. 

Company B: 

• Budgeting and Staffing: Analyze previous project workforce requirements to determine optimal staffing.  
• Planning and Scheduling: Collaborate with subcontractors to create a statement of work using optimized schedules.  
• Performing Work: Update a workforce “digital twin” as workers arrive, ensuring full knowledge of workers on-site and proper access control.  
• Completing Work: Complete tasks without safety incidents, staffing shortages, or cost overruns.  

Based on these approaches, Company A’s managers and employees relied heavily on experience rather than data, with most processes being manual. In contrast, Company B’s workforce management was fully integrated into the ecosystem, with optimized and secure processes. 

 

RISE with SAP – An Outlook 

SAP announced a new go-to-market product called RISE with SAP. SAP is making an additional push toward the cloud. A range of goods and services are combined in the subscription service RISE with SAP.  

S/4HANA Cloud version, the primary component of RISE with SAP, enables clients cloud infrastructures to operate in a SAP data center or with their preferred hyperscaler.

What make up its components?

The set provides clients with five essential building blocks to construct an Intelligent Enterprise.

1. S/4HANA Cloud Editions
2. Tools and Services for Technical Migration
3. SAP Business Technology Platform
4. Business Process Intelligence
5. SAP Business Network Starter Pack
 

You might be wondering now, “How can RISE with SAP help us?” The following are the main business features they provide to help you accomplish your goals:

•  A single well representation can be used for all production, revenue, and maintenance tasks.
• Breaking down operational silos and giving customers, partners in business, and staff total visibility.
• Increased schedule accuracy as a result of combined forecast data.
• Using a single view of information and operational technology data, assets are managed and shared holistically with workers and contractors.  

Final Thoughts 

In conclusion, RISE with SAP may improve your business values with hundreds of new features and smooth functionality. Adoption of RISE with SAP has resulted in flexible, agile, and scalable ERP capabilities on the cloud for numerous upstream operators.

Take control of your future with SAP RISE’s outcome-driven processes and guided journey.

Please contact us if you would like more information on SAP S/4HANA or other solutions that can benefit businesses in the oil, gas, and energy sectors. 

 

 

FAQ’s

1. What is RISE with SAP?

RISE with SAP is a comprehensive business transformation service designed to help companies across various industries, including oil and gas, modernize their operations through cloud solutions. 

2. How does RISE with SAP benefit the oil and gas industry?

RISE with SAP helps the oil and gas industry by improving operational efficiency, reducing costs, and supporting sustainability goals through advanced technology and business process transformation. 

3. How does RISE with SAP enhance digital transformation in oil and gas?

It enhances digital transformation by providing integrated solutions that support real-time data analysis, automation, predictive maintenance, and end-to-end visibility across the supply chain. 

4. How can oil and gas companies get started with RISE with SAP?

Companies can start by consulting with SAP experts to assess their current systems, define transformation goals, and develop a tailored implementation plan.