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This article was published on: 10/04/19 12:22 PM

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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.

ERP or Enterprise Resource Planning is a

wizard tool for the oil and gas industry. This

industry is among one of the early adopters

of an ERP system. This is because a major

section of the industry is dependent upon

the precise workflow management and

market analysis. An ERP system can

increase the efficiency of the industry,

while it also helping you to manage and

balance multiple projects and operations

effectively. Moreover, ERP systems for oil

and gas industry provides us with easy to

use modules such as sales and purchase.

This can enhance and streamline our business.

How an ERP system help our industry grow :

They are flexible in terms of user interface. This ensures better support throughout industrial operations.
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.

The world uses nearly 36 billion barrels of oil every year. The USA is the leading oil producer in the world, followed by Russia and Saudi Arabia.

If we use ERP in an industry we can easily improve and become a top industrialist and can achieve great heights. We can easily manage multiple orders at the same time just under one single computer at the click of our hand. It is a one in all solution to manage and help an industry grow.

“Continuous improvement is better than delayed perfection..”

Mark Twain

ERP System for Oil and Gas Industry

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