For oil & gas producers, sustainability means transformation that extends beyond organizational walls to the greater supply chain network that supports the project life cycle. After all, what good is a business model focused on innovation and efficiency, if the supply chain network supporting those goals functions in the opposite way?

A report by Wood Mackenzie highlights what’s ahead for the offshore service sector. The report notes that, “Operator caution towards exploration and development activity is here to stay, and will only favour those contractors that have consolidated and standardised practices and offer the most cost-efficient solutions to meet the more streamlined post-2017 outlook.”

Another report by EY analyzes challenges and opportunities in oil and gas mega-project development, noting that the oil and gas industry needs to see significant cultural change in how organizations interact with their suppliers and competitors alike. The report states that there is enormous potential for increased collaboration to reduce inefficiency, but this can only happen when suppliers, EPCs and operators work together to realize the huge potential for standardization across the industry.

This connectivity is especially critical in light of the new wave of alliances, JVs and mergers among supply chain companies. A report by BCG discusses the rise of alliances in oil and gas, aimed at improving efficiencies and expanding offerings. BCG believes one essential factor for achieving success will be an alliance’s ability to engage oil and gas companies in the very early phases of concept, front-end engineering and design states of projects, as a way to lock in later-stage asset and product revenues. To do so, the alliance must have the ability to deliver collaborative value.

Digital technologies can drive the necessary changes, helping engineering and construction operators and service companies to move away from fragmentation and disconnection, and the resulting increases in risk, waste, cost and compromised project delivery.

3D simulation technologies, cloud-based systems and a supporting, data-driven business innovation platform can power innovative ways of collaborating and contracting together. The benefits are game changing. Think reduced risk and cost, greater performance transparency, improved handover of work packages, enhanced standardization/variation management – and a producer/supplier team focused on driving innovation.

Can it work? Industries from aerospace, to nuclear power and construction have embraced the possibilities and potential for creating leaner, performance-driven supply chains using digital technologies.

 

• Boeing has revolutionized the design, materials and systems of its aircraft and transformed its manufacturing process and supply chain through digitization.
• The construction industry has turned to cloud-based collaborative tools for improved efficiency and profitability, as Intelligent Construction is transforming the industry.
• In the nuclear sector, digital Building Information Modelling and Project Lifecycle Management are transforming the industry for lifecycle value and assurance.

 

In all of these cases, the Dassault Systemes 3DEXPERIENCE platform is powering transformation with a wide variety of cross-industry customers.  Are you ready to bring your supply chain to a new level of performance? Talk to us about your future – and we’ll tell you about improving business, innovation and sustainability in the age of experience.

To find out more about Dassault Systemes 3DEXPERIENCE platform, click here.