Cloud computing has freed up access to high-powered software and systems for companies of all sizes. With no internal server farm to monitor, businesses can operate more efficiently operationally and financially. However, while an estimated 57% of organizations embrace cloud adoption, some sectors are hesitant. One of those sectors is oil and gas.
What makes companies in your field reluctant to dive fully into cloud systems? A big barrier is simply the leap between tradition and modern tech. Though the oil and gas landscape is ripe for evolution, it tends to be grounded in conventional approaches.
For example, although leaders in your sector have shown an interest in automation, which can be buoyed by cloud computing solutions, fewer than one-third of CIOs working in oil and gas feel that their organizations understand how to marry the advantages of cloud computing with the business’s goals. Essentially, this tempers your ability to comprehensively explore cloud-based tech beyond a basic level.
Another roadblock for you is that migrating all data and workflows into the cloud isn’t a top priority. Today’s oil and gas businesses must juggle many issues, including changing federal rules and regulations involving everything from fiscal responsibility to ethical wildlife conservation. Consequently, leaders and board members in your sector may feel they don’t have the time or support to invest in cloud computing.
Yet an investment in cloud computing on a wide scale could be exactly what oil and gas companies like yours need to remain viable and competitive. Cloud computing enables real-time data storage, analysis, and dissemination from anywhere. An employee on a remote drilling site can gain access to information and make immediate decisions. With no downtime to get in the way, problem-solving can happen faster.
Another benefit of cloud computing is moving more repetitive work to AI-powered products and systems. The Internet of Things (IoT) has become an important addition to the oil and gas industry. Though not all oil and gas organizations are using IoT, those that have tested connected sensors, wearables, and related products have discovered that they can gather insights faster than before. IoT devices can also reduce safety violations and prevent workers from experiencing preventable accidents, which helps reduce the cost of doing business.
This doesn’t mean upstream operations in your sector can move to cloud computing overnight. The process has to be a thoughtful one that includes key players.
Some methods for companies like yours to grow more comfortable with cloud computing include the following.
1. Work with leaders to find collaboration gaps
Since cloud computing promotes better collaboration between workers (and IoT products), a good starting point to test your company’s cloud computing systems and software is to look for collaboration gaps. For instance, when is it hardest for employees to communicate and get on the same page regarding data sharing? Figuring out where the system “snags” are can illuminate a cloud computing starting point.
2. Start small but think big
Instead of reverting to cloud-based solutions immediately, taking systematic measures to bring cloud computing into your company will likely work better. While a “one and done” migration project is possible, it can be costly. It may be more practical for executives in your sector to optimize one system or problem at a time through cloud adoption.
3. Study what other oil and gas companies are doing
Nothing compares with increasing knowledge through the study of other similar businesses. By learning what’s working — and what’s not — for competitors, leaders in your sector can begin to develop a portfolio of “lessons learned.” They can also begin to see what’s on the market currently. Though this doesn’t mean they must embrace the cloud computing another company uses, they shouldn’t dismiss the knowledge they can gain. On the contrary, they can leverage their knowledge to make better cloud computing choices.
Oil and gas companies remain critical entities, even with the world seeking renewable alternatives. With cloud computing software and tools available, you can run your operations more responsibly and effectively in a way that meets all stakeholders’ objectives.
