In his report, The Enterprise Mobile Landscape in 2020, Sheedy notes that enterprise mobility decision, including the choice of devices supported often have C-level involvement (Figure 2). “A large government agency in Australia has had the Director General intervene in their mobility decisions to stamp his personal preference on decisions, and a CIO at a large bank makes sure that Apple devices are always preferred – even when it makes little business sense to do so!”
Choice of mobile devices is personal and most organisations have realised that. Less than a third of global organisations issue corporate devices and only 6% continue to believe that they can manage by only supporting corporate devices. However, nearly no organisation has gone fully BYOD either.
Apart from mobile device choice, mobility solutions also have to take into consideration the huge amounts of traffic it has to support. When organisations adopt a Mobile First Strategy it is an acknowledgement that it will involve multiple stakeholders, right from the inception of the vision. This is clearly a technology area where user experience and uptake is of importance. So, the mobility strategy should have senior level overview and input so that it can be a company-wide policy.
#3 There will be renewed interest in Mobile Security
Ecosystm research finds that the global adoption rate of mobile device management (MDM) solutions is about 44%, while only about 17% of organisations indicate the adoption of a Mobile Security solution focused on identity management, multilayered security and threat analysis.
Organisations are aware that mobility initiatives increase their risk profile (Figure 3). An enterprise mobility solution that allows people to work on their device and OS of choice and from where they choose to, will become increasingly important in the current milieu. But the threats to organisation are equally real.
More than half of the organisations are concerned about compliance with corporate or regulatory standards in implementing mobility solutions. This is a good indication that the Mobile First strategy implementations have a strong compliance angle to them, both internally and for external agencies.
However, as Sheedy notes, it is still a challenge for the IT team. “Organisations provide one or two more operating systems that the IT team needs to manage, patch and secure. The mobile applications provide more entry points for would-be hackers and others to use and threaten the business. The devices and applications provide another set of user interface that need to be managed and governed to ensure regulatory compliance. They can also gather highly personal data (such as the location of customers when they are using – or not using – the application) so this data needs to be secured and governed.” As adoption matures, organisations will need to invest in niche Mobile Security solutions to combat their security concerns.
#4 Mobility will Drive SaaS Adoption
What organisations want most from their mobility solutions is cloud capabilities. One of the main reasons why organisations look for cloud capabilities is because mobile workloads tend to be unpredictable and cloud solutions are best equipped to handle the unexpected spikes. Most organisations also consider cloud solutions for a seamless integration with back-end systems and because a mobile workforce needs to make real-time decisions based on real-time data. Given the disparity of the data sources in a typical organisation, hosting on a neutral platform becomes more attractive. Also as organisations become more conscious about mobile security, cloud options also give them better traceability on remote device and data access.
However, conversely mobility will also drive the adoption of SaaS enterprise solutions and tools. Many businesses have mobilised their email, eCommerce platforms and unified communications and collaboration tools. But beyond that, organisations are not really empowering their employees to work on their mobile devices (Figure 4). This will have to – and will change – fast.
In his report, Make Remote Working Successful, Sheedy notes, “It goes without saying that your employees’ productivity levels will improve if they have access to the applications they need. And while many organisations already have enabled universal (or near-universal) application access from PCs and laptop computers, many of these applications should also be available from smartphones and tablets. This will allow your employees to work when they are on the move – not just when they are at home.”
It is time for organisations to re-evaluate their enterprise mobility if they have to remain productive in these difficult times, and beyond. Sheedy says, “Ultimately, our employee’s reliance on great mobile and targeted end-user computing experiences is increasing – and 5G services will only accelerate the transition away from traditional telephony, communications services and desktop applications. Businesses will need to continue to mobilise their enterprise systems to make them easier to use. Employees have now experienced great mobile apps and systems – and most enterprise mobility systems don’t stand up in that comparison.”
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The industry also faces the challenge of skills shortage. A survey conducted by the Global Energy Talent Index (GETI) found that nearly 70% of Oil and Gas professionals think the industry is already facing skills shortage or will be hit by it within the next 5 years. This is due to a number of reasons, including a reluctance of younger professionals to commit to a profession that has harsher conditions than many. Moreover, as energy transition becomes a topic of global discussion, many have a perception that the industry is not sustainable in the future. The industry also goes through cycles where they cut back on exploration and production, which results in the loss of skills and inadequate knowledge transfer. It has a long-term challenge around knowledge management.
Safety and environmental regulations
The industry has to contend with green energy movements and environmental regulations. There are several country-level regulations around air and water quality. Most Oil and Gas companies have cross-border operations and have to comply with a number of regulations on harmful emissions, greenhouse gases and offshore activities, in several countries. Increasingly, all leading Oil and Gas companies have to work in alignment with the Paris Agreement when developing solutions across functions – exploration, extraction and supply chain. There are also worker safety regulations and standards that they have to comply with.
The global Ecosystm AI study reveals the top priorities for Oil and Gas companies that are focused on adopting emerging technologies (Figure 1). It is very clear that the key areas of focus are process automation, asset and supply chain management and compliance.
Technology as an Enabler of Oil and Gas Transformation
Several emerging technologies are being used by the Oil and Gas industry as they continue their struggle to remain competitive across the different stages of operations – upstream, midstream and downstream.
As the costs of sensors go down, connectivity widens and computing power increases, the industry is seeing greater uptake of Industrial IoT (IIoT) solutions. From wearables (to monitor employee safety) to drones with smart cameras (for remote inspections, environmental monitoring), IoT solutions have an immense role to play in the Oil and Gas industry. The industry has had to be cautious about the choice of devices, however, due to pervasive inflammable hydrocarbons and the related regulations.
Not only are they implementing sensors, Ecosystm research finds that 30% of Oil and Gas companies are also leveraging the IoT sensor data for analytics and intelligence. A common application is in predictive maintenance. Two years ago, Chevron launched predictive maintenance solutions in its oil fields and refineries. While the pilot ran on heat exchangers, the company aims to connect all assets by 2024 and expects to save millions on asset management.
AI and machine learning have applications across Oil and Gas operations, leveraging IoT sensor data. “Smart fields” where production is monitored centrally, has a high level of automated controls. AI/Analytics is allowing companies to run simulations, use predictive data models and identify patterns to gauge risks associated with new projects. This has an impact on production, exploration and making efficient use of existing infrastructure. Oilfield services company Baker Hughes has worked on an AI-based application that allows well operators to view real-time production data and predict future production with more accuracy.
While the applications of AI in the industry are often focused on upstream activities, AI has applications across all operations. In the midstream, transporting crude oil to refineries has always had its unique challenges. Since transport lead times are long and prices fluctuate based on the availability of products, organisations benefit from demand forecasting and price risk modelling. While the common perception of the industry does not include customer interactions, the truth is that the industry is increasingly focusing on the retail space. The need is enough for Shell to begin experimenting with virtual assistants as far back as in 2015, to interact with their retail customers. In fact, the company anticipates a higher adoption of AI in the industry and is collaborating with Udacity to bridge the skills gap.
Technologies empowering employees
As discussed earlier, one of the key challenges of the industry is the inability to manage a reliable knowledge management system that can help consistent knowledge and skills transfer. A single source of truth that can be accessed by all employees on processes, including safety requirements has an immense role to play to help with the skills shortage in the industry.
Enterprise mobility is another tech area that holds immense potential for the industry, with its huge proportion of mobile workers, many in remote locations. Mobility solutions can help in productivity, process optimisation and monitoring of health and safety of the employees and are increasingly incorporating wearables and location-based services. GIS and GPS systems are helping employees with accurate directions, easier access to drilling locations and more. Given the number of devices, platforms and OSs, the industry is seeing an increased interest in unified enterprise mobility (UEM) solutions. Ecosystm finds that more than a third of Oil and Gas companies have implemented or are evaluating UEM, while another 20% are expressing early interests.
The sheer quantity of documents, transaction records and contracts that a typical Oil and Gas company has to manage – including cross-border transactions – poses some difficulty for the industry. The companies have to reconcile and handle issues involving multiple contractors, sub-contractors, and suppliers. Supply chain and inventory management is also a challenge. With the adoption of Blockchain, the industry can automate the management of purchase orders, change orders, receipts, and other trade-related documentation, as well as inventory data with more efficiency and transparency. Blockchain is enabling a seamless supply chain, improved project management and simplifying contractual obligations at each point along the way. Gazprom Neft’s aviation refuelling business is an early adopter of Blockchain-based smart contracts. All refuelling operations are undertaken exclusively on the basis of digital contracts approved by both parties near real-time and eliminates the possibility of any breach of contract and makes the accounting process more transparent.
As the market continues to be volatile for Oil and Gas companies and uncertainties loom in the future, the industry will increasingly depend on technology to remain competitive.