18 Dec Technology and Innovation in the Oil and Gas Industry
While organizations in the oil and gas industry have traditionally maintained a steadfast focus on standards, compliance, and risk management, those who are finding success in today’s marketplace have widened their focus to include innovation – fueled by their own employees.
This growing trend has facilitated a shift toward decentralized decision making, enabling lower-level management and frontline employees to take more ownership of the operations they are responsible for. As diminishing demand and tighter margins put pressure on organizations’ bottom lines, giving frontline employees the authority to make quick decisions to solve their key issues is integral to success.
This focus on innovation comes at a pivotal time in the industry, when companies are seeking to increase operational efficiencies and cut costs across their financial statements. But doing so requires a new way of thinking. McKinsey states that organizations need to “build innovation into their operational cultures and find ways to identify, encourage, and embrace ideas from multiple sources.”
The employees involved in the day-to-day operations of the business have crucial insight into the types of innovative technologies that will have the biggest impact, such as software that delivers real-time financial and operational data to improve decision making and communication. According to Oil and Gas Investor, the benefits of this software include:
– Omnichannel communication that enables exploration, drilling, distribution, and production divisions to seamlessly and transparently communicate with all stakeholders.
– Real-time visibility into activities at the local level and the elimination of guesswork, streamlining operations to save time and money.
– Supply chain efficiency via real-time communication for improved resource management.
As the oil and gas industry tries to advance and catch up to other industries, technological adoption outside of software will play a significant role. For example, some companies are using drones to conduct health and safety inspections before workers even arrive. Further, “smart” hard hats and glasses are being used to give employees instant access to documents and to streamline communications.
Companies that resist innovation and continue to rely on manual processes will fall behind as their competitors streamline their operations and reap the benefits. Navigate can help you access and utilize critical data to drive effective, knowledge-backed decision making by helping you select and implement the right technologies to achieve your goals, providing project and change management expertise to ensure technologies are properly implemented and fully adopted over the long term. Contact me at 484.383.0606 or email@example.com for more information on how your organization can foster valuable growth and innovation.