This article was published on: 10/04/19 12:22 PM
ERP System for Oil and Gas Industry
The oil and gas industry started in India in
1889 when the first oil deposits were found
near the town of Digboi in Assam. The
natural gas industry in India began in 1889
when the gas fields of Assam and
Gujarat were discovered.
The oil industry is also known as the
petroleum industry or the oil patch. It
includes the global processes of
exploration,extraction, refining, transporting, and selling of petroleum products. The largest products of this industry are fuel oil and gasoline. Petroleum is also the raw material for many products, such as pharmaceuticals, fertilizers, pesticides, and plastics. The expensiveness of oil and its products has led to it being known as black gold. Oil is a part of a large percentage of the world’s energy consumption. It ranges from a low of 32 percent in Europe and Asia, to a high of 53 percent in the Middle East. It is considered to be the biggest sector in the world in terms of dollar value.
The oil and gas industry is divided into three areas: Upstream, Midstream and Downstream. They can be defined as follows :
- Upstream – It involves the search for underwater and underground natural gas fields or crude oil fields and the drilling of exploration wells and drilling into established wells to recover oil and gas.
- Midstream – It involves the transportation, storage and processing of oil and gas. Once resources are recovered, it has to be transported to a refinery, which is often in a completely different geographic region compared to the oil and gas reserves. Transportation can include anything from tanker ships to pipelines and trucking fleets.
- Downstream- It refers to the filtering of the raw materials obtained during the upstream phase. This means refining crude oil and purifying natural gas. It also involves the marketing and commercial distribution of these products to consumers in a number of forms like natural gas, diesel oil, petrol, as well as a number of other types of petrochemicals.
How an ERP system help our industry grow :
- They can easily integrate with all our application and business management tools. This provides a single platform for all our operations.
- It effectively manages project planning, scheduling, inter department communication, etc. This optimizes all our industrial processes.
- It provides us with detailed project and market analytics for better sales performances.
- It manages various currency, foreign policies and compliance and finances with ease.
“Continuous improvement is better than delayed perfection..”