Assess Digital Maturity to Set Digital Transformation Strategy in Oil and Gas

Abstract

This paper presents a structured methodology for an oil company to embark on a digital transformation. It was implemented in several JVs with a NOC that includes three producing blocks with dozens of mature fields. The methodology has several key unique strengths: One is the ability to isolate the core-money-making processes and build a digital strategy around them. This shows early gains and at the same time becomes a buy-in support for management. Another advantage is the simplicity to define the "desired" digital maturity level using direct input from the final stakeholders. This is achieved by using the process enhancement method, a SIPOC technique (Supplier, Input, Process, Output, Customer analysis). Also, an important strength is the methodology does not ignore the existing IT infrastructure, nor the field systems (i.e., SCADA) and re-uses them, as much as possible, giving enough time for a transition or an upgrade when needed. Several tools are provided in this paper that makes the methodology consistent, auditable, and strong to support the designed digital strategy to any management level with high chance of approval. The methodology is flexible enough to be run on various types of contracts, hydrocarbon phase or operational environments. As with any method, it relies on commitment from the top and base line in the organization, requiring open and honest evaluation of current inefficiencies and, equally important, resources (budget and people). In summary, a digital transformation is not a sudden leap from a company's current analog status to an instantaneous digital state of being. Rather, it is a progressive, step-by-step transition of core processes and user-centric workflows that requires careful planning and a thoughtful methodology to find the most suitable scenario for each company.