How Digital Immaturity Surges Gas Prices
In the last blog, we talked about the rising cost of compliance issues. But how is an everyday consumer affected by the expensive compliance issues? According to CTV, summer 2018 fuel prices may reach a 10-year high. While the article outlines a key reason behind the price surge is basic supply and demand, it is also affected by digital immaturity.
Believe it or not, but poor data management and digital immaturity is a major contributing factor in high gas prices. Effective and efficient are two terms taken very seriously in an asset-intensive organization, especially in the Oil and Gas Industry. Many asset-intensive companies are still are in the dark when it comes to cloud computing even though most new CMMS and EAM systems offer cloud-based solutions now. According to a global study by Deloitte Consultants, the oil and gas industry is one the least digitally mature.
When O&G have incomplete and inaccurate data, they expose their work tasks and maintenance plans. They are also not allocating resources efficiently either. The average hours that a technician spends directly performing maintenance activities in many industries is less than 40%. If the data is incomplete and inaccurate, a technician must locate and verify the information that they need to complete their work before actually doing their real job. This all adds to additional operational costs, driving up the cost of gas.
Is there hope?
According to SoftWebSolutions, the Oil and Gas industry are slowly adapting new technologies to further increase production efficiency. A case example used is within the Eagle Ford region of North America where new technology and improved drilling techniques enable oil rigs to produce 18 times more efficiently than in 2018. Oil and Gas companies can advance to a new level of operational efficiency driven by IOT and as they become more digitally mature, the more they can decrease operational costs.
How NRX AssetHub can help achieve digital maturity
A lot of companies fear a loss of data or corrupt data may occur switching from their older systems. NRX AssetHub can help you transfer your data. As you migrate your data, it is also a convenient time to cleanse and repair your data. NRX will help with data builds so that you can load your new data into the CMMS and EAM systems. We understand that the process of switching to new data management practices is not easy so we provide a service that will migrate your data quickly while maintaining its accuracy and integrity.
NRX AssetHub also provides maintenance and reliability professionals at asset-intensive businesses with world-class software solutions for analyzing, visualizing, building, editing, organizing, approving, and sustaining high-quality Asset and Maintenance Data for the Enterprise Asset Management (EAM) and Computerized Maintenance Management (CMMS) systems. We help our customers get their CMMS data right. To learn more about how NRX AssetHub can help your organization and for more information on cloud-based data management, please contact us at 1-877-603-4679 or book a demo today!
Lagerquist, J. (2018, April 11). Gas pains: Summer fuel prices may reach 10-year high, warns analyst. Retrieved April 13, 2018, from https://www.ctvnews.ca/business/gas-pains-summer-fuel-prices-may-reach-10-year-high-warns-analyst-1.3880233
Gohil, H. (2018, January 11). How IIoT solution is changing the Oil and Gas industry. Retrieved April 13, 2018, from https://www.softwebsolutions.com/resources/industrial-IoT-solution-for-oil-and-gas.html
Share this article
- 3 Benefits of Smart Factories
- ISO 5500X Series Breakdown
- The ISO 5500X Series
- Investing in your data for the long road
- Is Data Standardization the Holy Grail You’re Looking For?
- The Importance of Industry Standards
- Improve Productivity and Safety with Checklists
- Essential Steps to Prepare for IIoT
- A Stitch in Time Saves Nine (Million Dollars)
- Improving spare parts management