Leading oil & gas companies have taken many steps towards cost reductions to help their bottom line. Steps like, streamlining organizational design, reducing head count, renegotiating contracts, addressing process complexity, and many more. But these companies have also learned how to grow their revenue and bottom line by transforming their field service from a cost center to a profit center. How were they able to adjust? Below are the top 3 trends we believe have helped oil and gas companies protect and grow their field service revenue.
1. Refocus efforts on equipment maintenance.
As oil prices rise, operators may be tempted to push their equipment harder to produce more. But given the age of many machines or assets, oil and gas companies need to ensure adequate funds are available to keep supply infrastructure in good repair. Investing in the right field service software can help you achieve this.
Field service software enables your technicians to optimize service dispatching – getting the right people to the right job at the right time – saving you thousands of dollars on equipment repair. This is especially true for companies that deferred maintenance beginning in 2014. As rising levels of activity puts stress on production equipment, unplanned outages will greatly harm the industry. Thus, planned maintenance should account for most of the activity going forward.
2. Double-down on digitization.
Now is the time to transform operations by leveraging advanced digital technology to drive efficiencies and open new opportunities. With Connected Field Service technology, your field service operations can improve the efficiency of predictive maintenance with IoT devices and sensors on assets and pieces of equipment. Utilizing new technology might also take the form of leveraging data analytics to optimize production and reserves, or even securing and accessing your ‘digital oilfield’ in the cloud. Applying big data and IoT in the digital oilfield is all about consolidating your information and data and making it accessible for real-time analysis. This analysis will help sustain operational integrity, performance optimization, monitoring environmental impact, and streamlining maintenance. Oil and gas companies need to drive this innovation across their businesses.
3. Consider how your overall Field Service operations should evolve.
In the longer term, given the mega trends shaping the sector, energy companies must focus on finding and executing the most resilient future-proof strategy for their own unique field service capabilities. Let’s say you already have field service software in place. Traditionally, companies have followed the process of installation of equipment or asset, check-up maintenance, and break-fix or repair appointments. Since there are no IoT sensors and this process is reactive, your employees are forced to initiate the process and log a ticket. With Connected Field Service, these issues are alleviated, and you’ve moved to proactive service by having connected/IoT devices significantly improve your technician’s ability to respond quicker. In some cases, they’re able to resolve the issue before you even know about it, by providing remote troubleshooting capabilities (send device commands to repair/reset). If the system can repair the equipment remotely, without ever sending a technician, you can save a lot of time and money.
Some oil and gas companies fail to take advantage of opportunities to increase their bottom line and improve their field service operations. Others rely on traditional practices to improve future operations while overlooking strategies that could help increase yields. But reassessing existing practices can help businesses achieve their goals faster and grow revenue in unexpected places.
To learn more about how to optimize your field service operations, contact us to speak with one of our field service experts.
Author: Travis Pullen, Customer Engagement Specialist
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