2020 was a tumultuous year for the oil and gas industry. Commodity prices, already significantly depressed, were exacerbated by disagreements between Saudi Arabia and Russia over production levels. And then COVID-19 struck. The pandemic dramatically reduced demand as commercial and consumer transport modes effectively went into hibernation and manufacturing output dropped. Despite all this, for the foreseeable future the world will go on significantly relying on fossil fuels in the new reality.
From a technology perspective, everything must be geared around enabling efficiency and cost gains. Systems and data must be integrated across front, middle and back offices to deliver more precise forecasting, enabling shorter decision cycles that drive profitability and reduce waste.
COVID-19 has changed the landscape. With technology more important than ever to organizations’ ability to survive and thrive, the opportunity has never been greater for CIOs to work as strategic partners with the business. Seven in ten IT leaders report increased collaboration between the business and technology teams – this relationship is something that CIOs must build on to ensure their organization’s digital transformation success.
For CIOs in oil and gas, digital transformation must now be accelerated. Being so based around physical products and processes, the sector has lagged somewhat compared to other industries in terms of IT enablement. Now, with cost optimization and operational efficiency gains so critical, the technology function has the opportunity to prove its strategic value and help the business leverage the power of IT to lift processes and performance across the organization.
KPMG firms are some of the largest providers of services to banking & capital markets organizations globally, we take a boutique approach to client issues with a focus on flexibility, adaptability, and innovation. We recognize that there are many on-ramps to supporting IT transformation and we’ve tailored our services accordingly: