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© Copyright IBM Corporation 2008
Thoughts on Current and Future Trends in Integrated Operations
Tony EdwardsBG-Group, Head of iValue
iE2008 Organising Committee Chairman
This Presentation
Update from iE2008 - IO is here to stay- How much Progress have we made?- Collaboration a Major Theme- People, Process and Organisational Change- Young Professionals
Two Philosophies?What Next for IO?Conclusions
IO2008 - TrondheimSlide 2
IO2008 - Trondheim
iE 2008 - Amsterdam
Company Activity
National Oil Company, 10%
Contractor, 10%
Oilfield Services, 7%
Independent Oil Company, 6%
Communications/Network Infrastructure, 3%
Human Resources/Training anEducation, 3%
Information Management, 2%
Other, 11%
Supplier to Oil & Gas Industry, 15%
International Oil Company, 30%
Consultancy, 2%
1665 people from 52 CountriesApprox 45% from IOC’s, NOC’s and Independents- Significant Contribution from NOC’sCompanies from outside the O&G Sector, attending, presenting and exhibiting- Consultancies- Telecoms- AerospaceGlobal Attendance- 65% West Europe - 14% USA (240)- 8% Mid East (130)- 4% South America (65)- 4% East Europe (65)- 5% Other (80)
Slide 3
IO2008 - Trondheim
Senior Management sees Integrated Operations transforming our Industry
Helge Lund – StatoilHydro- “Integrated Operations is a revolution that is reshaping our industry”Amin Nasser – Saudi Aramco- “All new fields will be intelligent fields”Malcolm Brinded – Shell- “I expect the use of Smart Technology to accelerate over the next
decade”Ben Verwaayen – BT- “In the digital world time and distance are dead”Andrew Gould – Schlumberger- “Our Operations Centre in Aberdeen monitors 28 rigs simultaneously”
Slide 4
IO2008 - Trondheim
How much Progress have we made?
Live Links- BP’s Advanced Collaborative Environment in Baku- StatoilHydro’s Drilling Support Centre supported by the SH’s
Subsurface expert centre and Schlumberger’s Operations Centre- Shell’s Gronnigen Control Centre- Petrobras – Operations Support Centre
Slide 5
IO2008 - Trondheim
Collaboration – A Major Theme15 Papers on Collaborative Environments- Case Studies- Real Benefits
Normal way of working for many companies- Drilling Support – Moving to 24/7- Operations Support- Expert Support – Both Internal and External to the Company
Built into the fabric of the BuildingMoving beyond front line operations
Slide 6
IO2008 - Trondheim
People, Process and Organisational Change
A significant amount of learning in the last 2-3 yearsIncreased Emphasis in this area- Now seen as the key to success
More focus on People and Organisational ChangeQuestions about the focus on Process lead Change- Has there been too much of this?- Processes evolve and change rapidly in an intelligent energy world
Looking outside our industry for support and learning’s
Slide 7
IO2008 - Trondheim
Young Professionals –The future of our industry
E&P organisations should make the digital oilfield more accessible to young professionals
YPs know how to work collaboratively
IO is how we attract the best and the brightest in to our industry
New Education and Training Programmes
Need to change the perception of our Industry
Slide 8
Two Philosophies?IO as a transformation programme- Delivered in in the Line- Supported by Central Programme Office- Emphasis on Value attainment and People and Organisation
Change- Technology is the Enabler- Integrates the teams and the ways of working
IO as a Technology/IT Project- Delivered by a central group- Emphasis on the Technology- Integrates the Systems and Data- Automating a Process?
Regional Split?IO2008 - TrondheimSlide 9
IO2008 - Trondheim
What’s Next for Integrated OperationsExtending beyond frontline Operations and Drilling and the Inclusion of a broader range of disciplines- Control and Instrumentation and Facilities Engineering Disciplines- Commercial and Finance- HR and Org Development
Major projects- Inclusion of IO in the Design of New Fields- IO Applied to the Major Projects Process
Asset Integrity- Sensor Technology is needed- Assuring the integrity of our Plant and Equipment
Slide 10
What is Next for Integrated OperationsRemote support to access Global ResourcesIO across the entire Value Chain- A move into mid-stream and DownstreamLearning’s from other Industries- Aeronautical, Defence, Automotive, PharmaceuticalNew Career Paths?- Does the SPE need a Production Optimisation or Digital
Engineering DisciplineA change in the Oil Company Supplier Relationship- Standards which allow collaboration between companiesAn ‘Eco-system’ of Companies that work together
IO2008 - TrondheimSlide 11
ConclusionsIO is now a truly Global movementJust beginning to enter new domains such as ProjectsMoving towards 24/7 and Global Expert Support Still a lot to learn from other industriesIO is essential to attracting the next generation of Talent Will change the nature of the relationships between companies – ‘Eco-System’ of Companies
We Have Only Just Started
“Truly Integrated Oil and Gas Industry”
IO2008 - TrondheimSlide 12