We’re now starting the third year of what we call the decade of supply chain. In our road map to digital transformation, we talk about how fundamental asset visibility is to profitability, circularity, and to using additional technologies like machine learning.
But what does asset visibility really mean?
In the oilfield, it means upholding joint venture agreements, being SOX compliant, and keeping your rigs turning right. It’s part of being a prudent operator, and something most operators think they do very well. And they do.
At Requis, we have a unique perspective, forged from working with clients of all sizes, in all parts of the oilfield value chain, and though each of our asset dispositions is one of a kind, there are themes that emerge.
For example, we often hear from tier one operators that capitalized and expensed materials are harder to keep track of, because they are no longer tracked in SAP due to COPAS guidelines in North America. From smaller operators, we often hear that inventories are kept on spreadsheets on individual hard drives. In either case, how do you prevent purchasing materials you already have? That sounds easy enough, right? But it’s not.
As we all know, the supply chain world is changing. Appetites for greener solutions are whetted, reduction of waste is at the top of everyone’s mind and the circular economy is on the lips of the masses.
So where to start?