Oil and Gas
It seems like the Oil and Gas industry is as cyclical as any industry in the world. In the “Boom” periods, companies cannot hire people fast enough or procure enough equipment to generate product. During trough periods, they must find a way to survive until the next boom period begins. The good news is that there is one solution to make management of the ups and downs of this industry more efficient, effective and profitable. Implementing a Document Management System (DMS) with automated workflows increases the efficiency and effectiveness of almost every aspect of Oil and Gas companies.
During the boom periods there are people to hire, equipment to procure, projects to manage and invoices to send. There is also a significant volume of legal and regulatory documentation to manage. Securing leases and the required permits can be complicated and very time consuming. Cash flow is a challenge because of all of the development investment. Critical projects get slowed or halted because they can’t be staffed quickly enough or because critical materials did not make it to the right place at the right time. There are also complex procedures for tracking and paying royalties. By its nature this business can have people, equipment and property scattered across a state, the country or even the world. This makes management, communication and information exchange even more difficult. In addition this industry is heavily regulated and fines that can result from poor processes and poor documentation, which can look like negligence to a regulatory body or a jury, makes getting it right every time even more important.
Fortunately, a DMS also referred to as an Enterprise Content Management (ECM) system or an Electronic Records Management (ERM) system can transform these companies. These systems can be used in Human Resources to quickly and effectively hire and onboard new staff. The can be used to facilitate purchasing and accounts payable ensuring that the right equipment is purchased and that vendors are paid on a timely basis, which in turn helps to keep the needed materials and supplies flowing. Automated approval workflows help people who are geographically dispersed to participate in the approval and review of any business process. Timers and automated notifications can automatically flag and escalate issues to a manager’s phone where they can instantly access the relevant documents and take the appropriate action.
In the troughs, a few administrative people will be able to effectively manage the administrative processes for the entire organization. Functions like Accounts Payable, Asset Management and Human Resources can be centralized since a DMS with automated workflow makes one version of all relevant records and documents available to anyone with sufficient permissions anywhere in the world.
Regardless of whether it is a boom of bust cycle, it is critical to maintain compliance, deal with regulatory inquiries more efficiently and more effectively with fewer people. Bank, investor and regulatory audits also consume critical resources. DMS with automated workflows delivers these improvements because control processes are automated and monitored as part of the ECM system. As a result only the one version of the truth is managed and saved in the system and is accessible from anywhere in the world at any time.
As business picks up again, the well documented and controlled processes make the ramp less chaotic, reduces training requirements and facilitates the creation and distribution of critical business metrics.
CASNET has helped companies in the Oil and Gas industry evaluate their document in and information management and create strategic plans for dealing with their information and document flows during boom and bust cycles for over 40 years. Click on the Free Consultation button to learn more.