BAKU, Azerbaijan, April 26. Oil and gas companies can monetize their data in three ways, Pavel Likhnitskiy, CEO, DIS Group, told Trend.
He notes that by analyzing this data, companies can:
Increase the efficacy of business processes. This is especially good in the production and exploration block. Data-driven analytical models can reduce the time and cost of exploration by 30 percent and speed up first oil in wells by 40 percent. This is especially important when the global demand for hydrocarbons is growing. The second important point is cost reduction. Artificial intelligence calculations based on data on equipment wear and tear allow increasing the intermaintenance period up to 1500 days and saving up to 35 percent of electricity.
Increase sales and diversify business. Fuel sales can even be influenced by factors such as the weather at the fuel station or snacks offered there. Сompanies collect this data, analyze consumer preferences and adjust to them. In this way, they increase sales, reduce operational risk, and open up new – yet unobvious – sources of revenue. Competent data analysis helped one of the largest oil and gas companies earn even more on coffee than on petrol and diesel fuel.
Build a compliance strategy and avoid fines. Azerbaijan’s oil and gas industry is regulated not only by domestic legislation, but also by international treaties. Data-driven modeling will help consider all requirements and adjust the business model to them without losing its efficiency.
He noted that only high-quality data, refined of errors, duplications and containing complete, lossless information, can be “fuel” for a company, too.
‘It can be used to build reliable analytics on which decisions are based, and it can be done very quickly and with a small team of specialists. To ensure the right level of data quality, integrate it and start building business hypotheses, companies create their own Smart Data Lakes. They are usually based on powerful industrial data management platforms. Ratings of such solutions are regularly published by independent agencies, such as Gartner,” said DIS Group CEO.
Likhnitskiy pointed out that unfortunately, digital transformation cannot be accomplished in a single day.
“This is a complex and long-term process in which a company not only implements a new digital culture, but also rebuilds its internal organization. For data to be truly effective, data governance must become a full-fledged corporate function. Typically, the Chief Data Officers are responsible for it. In fact, they lead the entire digital transformation of the company, from unifying business processes and automating them to implementing innovations. The CDO should not only know about data governance, but also understand the specifics of the oil & gas industry and its peculiarities.”
---
Follow the author on Twitter: @Lyaman_Zeyn