Data management in all its glory
Just connecting IT devices and collecting data is not enough, so today we are talking about oil and gas data management strategy as the next evolutionary stage of digitalization.
The fact is that 55% of businesses consider comprehensive data management challenging. They need solutions that will help them get past this roadblock and allow their businesses to expand. The demand for effective solutions in the oil and gas data management industry is growing, and so is its market; with a compound annual growth rate (CAGR) of 17%, it is expected to reach $32 billion by 2027. You can consider all the benefits now to start leveraging an effective data strategy and be among the oil and gas industry pioneers in this field.
Benefits of proper oil and gas database management
Some call data the new gold, but this analog is not precisely correct. While gold is precious itself, data is only valuable if managed and analyzed wisely. Oil and gas companies that meet this condition can expect the following:
Optimization of operations
As more data from field assets becomes available in real-time, it can be used for timely performance analysis. Once managers know which assets underproduce, they can either reduce losses and bottlenecks (if possible) or cut spending on such assets. Meanwhile, top-performing assets could also use some dedicated attention and could benefit from predictive maintenance, energy-efficient approaches, and automated liquid transfers. As a result, you can get the maximum possible value from each asset and simultaneously reduce operational costs.
Risk management.
Awareness of each asset’s capabilities and its possible malfunctions is the first step in emergency prevention. Using AI, companies can estimate potential threats and take timely measures to eliminate them before they occur.
Shorter decision cycles.
24/7 access to all asset data empowers managers to embrace a comprehensive approach to decision-making. Field employees no longer need to manually collect and process metrics from assets—now, these metrics can be delivered directly to the boardroom. Additionally, production data management can be automated, with AI calculating estimated volumes for more accurate planning. All requirements and standards are accessible through a single interface, enabling true data-driven decisions by making it easier to consider all relevant metrics.
Streamlined data access.
By implementing a corporate data management tool that ensures security, you can share oil well data freely and securely across your team. The benefits could surpass your expectations: with shared data access, cross-departmental collaboration will flourish. This leads to increased productivity, greater operational agility, and improved process coordination.
Improved stress testing.
While we can't control volatile market prices, we have full control over our oil and gas data management. You can use it to prepare for various scenarios and figure out how to deal with them in advance. Such proactive planning presupposes supply chain optimization and technological upgrading aimed to meet potential challenges.
To achieve these benefits, companies should focus on the following:
Data management strategy: best practices
Now that you know all the benefits, it is time to dig deeper and embrace a simple fact: effective oil and gas data management requires a step-by-step strategy. Here, we will explore what that consists of.
Build a reliable analytics tech stack
The best way to ensure your data does not go in vain is to choose your oil and gas database management tools carefully. We recommend paying attention to such features as easy-to-navigate dashboards, seamless insights visualization, and the ability to work both online and offline. These features should be available for location management and for the board to foster effective data processing at all levels.
Another crucial factor is your data security, the technology you use must meet all cyber resilience requirements. Only then, will you be able to leverage it without putting your business at risk.
Create a single source of truth
Consistent access to data insights across the entire value chain at each stage of the business lifecycle is what makes an organization data-driven. The key is creating transparent governance that covers all functional units and provides straightforward instructions on collecting, managing, and processing data from all sources. Workers must know where to input the data they oversee and where to look for the information they need.
For example, data from an asset might be as helpful for a well operator as it is for an engineer performing technical assurance. It is crucial that both get this data from a single source. This way, all operations will be aligned, and all units will work together for the benefit of your business. Otherwise, misinterpretations or data inaccuracies can become a bottleneck that could prevent growth.
Data governance also means that you have dedicated employees who handle data accuracy, comprehensiveness, and availability. Building a cross-departmental hierarchy of such professionals will help you make your oil and gas database management as smooth as possible.
Accelerate migration to the cloud
Cloud technology is what drives the speed and efficiency of data transfer. Cloud migration is a huge step towards sharing informational resources, business scaling, and industry-wide collaboration. It unlocks one of the most precious benefits described above—shorter decision cycles. However, cloud setup requires a comprehensive approach and precise planning in regard to how the data will be stored, organized, and extracted; what the different access levels are; and who oversees it all.
Building proper cloud architecture is not an easy task, but it is what helps us extract the maximum value from data in the first place. Pairing cloud architecture with machine learning (ML) and artificial intelligence (AI) automation is also a good idea that is sure to pay off in the long run due to its unlimited optimization potential.
Incorporate data management into overall business strategy
Last but not least is aligning your oil and gas database management strategy with short- and long-term business priorities. This will help you identify how you might use data to deliver these priorities and navigate the challenges in a way that benefits you most. Yes, we are talking about use cases: three to five data management implementation options are the bare minimum requirements needed to answer your business questions. Precise planning and execution enable comprehensive data management and give a boost to your business strategy.
Conclusion
As you can see, data management in oil and gas industry has immense potential in terms of cost-efficiency, field optimization, and risk management. The other question is how to unleash this potential. Actionable strategy is a must, although if you feel like a savvy technical partner will give you more confidence, we are here to help. Our personal field experience and years of consulting in data management make us a viable choice for your company. We invite you to join forces with us and crush it in the market of oil and gas data management.