Oil & Gas

Verdantis Delivers MMDM For Leading Oil and Gas Company – Part II: Actions and Results

 
In the previous part (read Part I: Crisis Identification), we spoke at length about our client, a leading Oil and Gas Company. We provided deeper insight into its daily activities and operations, its expanse and corporate statistics. Moreover, we also spoke about the results of its widespread operations and the issues caused by the same, along with a quote from its Director of Operations who appropriately described the problems they were facing on a regular basis. In this part, we will talk about the resulting measures taken by the client to curb the issue at hand and the ensuing reactions.
 
In order to keep pace with changing times and enhance productivity, the client introduced various source systems such as ERP, asset and maintenance management systems along with several other legacy systems. However, these systems were designed to address material, asset and MRO challenges without curbing the constant leakages that occurred from time-to-time. The major challenges that occurred were a result of problems occurring in the main information stream which is the brain of the organisation and regulates business processes while supporting overall system functioning – The business Master Data.
 
Lack of inherent user standards for material master data creation resulted in the accumulation of inaccurate, incomplete data, which also affected the ability of the organisation to utilise its resources fruitfully. Thus, the perfect scenario for data quality and management issues was created. Some of the most important factors that impacted business decisions were lack of standards or consistency in master data creation, use of multiple languages, presence of multiple ERP and legacy instances across the business, visible absence of data governance and collaboration, unstructured material descriptions as well as presence of incomplete, incorrect and outdated attribute fields throughout the master data.
 
Data quality issues caused several problems for IT in the form of diminished returns from IT investments, improper data synchronization and excess dependency on data.
 
A facility manager working with the client stated that, “The bad material data quality leads to equipment and manufacturing process downtimes, which is our number one enemy. We have many forward linkages with organizations dealing in upstream operations and our customers depend on the timely delivery of our oilfield products for them. The facility downtimes thus lead to heavy losses in the form of lost revenue generation opportunities both for us and subsequently for our customers.
 
Having identified corrupt material master data as one of the primary reasons for their challenges and problems, the company finally decided to introduce a brand new Master Data Management initiative to nip them in the bud for good…
 
Stay tuned for the concluding part in this 3-part series to see how Verdantis stepped in to provide the perfect solution for the company’s diverse business issues with Master Data Management.
 
Recommended reads:

Blog: Bringing Manufacturing Home

White Paper: MRO Master Data Management for Enhanced Maintenance Performance

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Jessica Banks

Jessica Banks

Jessica is one of the most passionate marketing professionals in Verdantis. She is a strong proponent of master data management solutions for large enterprises. For her, Data drives Performance.

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