Oil and gas exploration and production is an extremely expensive enterprise. To reduce this heavy burden, a variety of methods are used to improve management of oiland gas production. One of the most popular solutions being used by companies in various countries is Enterprise Resource Planning (ERP) software.
ERP Software Benefits for Energy and Oil & Gas Industries:
There are several reasons why over 90% of energy companies worldwide use ERP to manage their projects:
- Easy Integration: ERP software is designed to easily integrate with third party applications in terms of cost and schedules. It helpsorganizations to manage resources and overall costs, thus supporting the companies to meet deadlinesand deliveries.
- Risk Management: Companies can use ERP software to identify project risks well in advance and get complete information on the potential success of a project. The software can also be used to come up with contingency plans in case of emergencies.
- Efficient Project Management: The use of ERP Software allows companies to effectively manage their onshore and offshore projects. All aspects including schedules, finances, inter-department communication, and resources can be managed in an efficient manner, so that the project can be completed within the budget and on time.
- Simplification of Large Projects: Joint ventures or international projectsare commonplace in the energy production industry. ERP software can be used to take care of important details such as local technical assistance, currency exchange, local finance management, and adherence to international regulations.
- Provides Assistance in New Employee Training: When new engineers come onboard to replace retiring personnel, ERP can be used to ensure that all the critical and technical information is passed on to the new joinees. It can be used to integrate the new recruits into the whole energy exploration, production, and monitoring process.
As one can see, the integration of ERP software can help energy production companies stay ahead of the competition.