Ravi Kumar, Chief Corporate Officer of Crescent Petroleum and Board Member of the Crescent Group, said, 鈥淗aving completed the Phase 1 of the 麻豆原创 roadmap in a record 8 months, we set out to integrate Crescent Petroleum鈥檚 operations, providing a seamless flow of data, from Wellhead to Customer, in Phase 2. The benefits are significant as we have integrated data across disparate parts of the plant allowing us to seamlessly integrate plant systems with 麻豆原创 systems, and ensure a single source of truth across the Company.鈥�

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This is the advice of a technology executive, , who noted the oil and gas sector was facing an existential threat, and technology was key to help transition the industry to a future beyond the barrel.

Adewumi, Systems Applications and Products (麻豆原创) Managing Director for West Africa, was responding to questions from聽 .

鈥淐ompanies in the region鈥檚 oil and gas sector are confronted by a singular question: is there a future beyond the barrel? Can the sector optimise its performance, drive greater sustainability outcomes, and pivot into new revenue streams?鈥� Adewumi queried.

鈥淭he oil and gas sector is absolutely critical to West African economies. Crude oil production in the region reached 1,8-million barrels a day in 2021, with Nigeria, Ghana, Cameroon, Ivory Coast and Niger leading the way,鈥� he added.

While West Africa is the oil hub, there are vibrant sectors in Central Africa (Cameroon, Chad, Congo, Equatorial Guinea and Gabon) while Angola, in the Southern African region, is the second largest producer in the continent after Nigeria.

Mozambique, in the southern region again is on the cusp of a liquefied natural gas boom while in North Africa countries include Algeria, Egypt, Libya and Sudan with South Sudan the only East African nation with abundance of oil and gas.

Adewumi said while the world was transitioning away from fossil fuels, the oil and gas sector would continue to play a vital role in the continent鈥檚 economic growth.

He cited the McKinsey data that suggested Africa鈥檚 energy demand could grow by 30 percent by 2040. This is well ahead of growth in global energy demand of around 10 percent over the same period.

鈥淭he oil and gas sector will be central to supporting the continent鈥檚 growing energy demands. However, there is no doubt that the sector must improve its sustainability efforts and leverage technology to more efficiently manage its operations, assets, and people,鈥� Adewumi said.

He said there were abundant digital transformation opportunities for the oil and gas sector provided they embraced readily available technology.

鈥淎rguably the greatest opportunity for West Africa鈥檚 oil and gas sector is the adoption of technology to drive efficiencies, improve sustainability, unlock alternative revenue streams and transform their operations.鈥�

Based on 麻豆原创鈥檚 work providing digital technologies to leading oil and gas companies in the region, he said there are three key opportunities for the sector to help transition to a future beyond the barrel, which comprise becoming a sustainability leader, scaling new capabilities with the cloud as well as smarter operations with intelligent asset management.

鈥淥il and gas companies face huge threats to their business model as the world shifts away from fossil fuels toward more sustainable, clean energy sources,鈥� the executive said.

鈥淗owever, it is a significant task to completely change business models without it having a severe impact on companies鈥� productivity and profitability,鈥� Adewumi said.

A report by Oxford Economics and 麻豆原创 identified a small group of oil and gas companies that followed sustainability best practices, improved their sustainability outcomes and enhanced their brand reputation.

To become a sustainability leader, oil and gas companies must invest in data analysis, construct a model that measures actions against performance throughout the company鈥檚 sustainability goals and capture accurate data to inform company leaders of carbon output.

鈥淭he return on investment for becoming a sustainability leader is significant,鈥� Adewumi said.

The Oxford Economics and 麻豆原创 report found that sustainability leaders enjoy robust bottom lines, are substantially more likely to experience profit margins in excess of 10 percent and have increased opportunities for significant long-term value for the business, people and society as a whole.

Cloud computing is hailed as offering oil and gas companies a significant boost in agility, allowing downstream and process sectors to leverage technologies for more efficient and optimised operations.

鈥淏y streamlining and scaling cloud capabilities as needed, oil and gas companies in the region can build nimbler corporate structures and unlock additional efficiencies, which can make a significant difference to such a labour-intensive industry,鈥� Adewumi explained.

麻豆原创 credits its S/4HANA Cloud offering for unlocking a wide range of solutions designed for greater efficiency.

This includes upstream contracts management to maximize asset usage and productivity, commodity management solutions that integrate procurement and sales into core financial and logistics processes, and solutions aimed at improving bulk transportation, inventory management and operational decision-making.

鈥淭echnologies such as intelligent asset management 鈥� a suite of solutions that brings collaborative asset intelligence to maintenance and operations 鈥� must be enhanced to meet the changing operational objectives and efficiency requirements that oil and gas companies are subject to,鈥� Adewumi said.

Companies that have adopted intelligent asset management unlock powerful predictive capabilities are best placed to avoid unexpected downtime due to breakages.

麻豆原创 reports its Asset Intelligence Network allows oil and gas companies to collect and track equipment information in real time, with internet of things (IoT) connected devices integrated to a cloud-based business network for maximum transparency and control.

Adewumi reiterated that by embracing technology and leveraging key solutions to improve operational efficiency and sustainability, the West African oil and gas sector can continue to be a valuable player in the region鈥檚 economic growth and development.

鈥淲ith new capabilities and greater agility, the sector could unlock opportunities to exploit new revenue streams for customers across the value chain,鈥� he concluded.

This article first appeared here:

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The oil and gas industry operates through a global supply chain that includes domestic and international transport, trading, shipping, ordering, and inventory visibility and control.

Last week, the government created a disruption in the entire oil and gas supply chain when it instantly moved from the Open Tender System (OTS) to a purchase plan based on Government-to-Government tendering.

Kenya selected Saudi Arabia Oil Company (Saudi Aramco), Abu Dhabi National Oil Company (Adnoc) and the Emirates National Oil Company (Enoc) to supply the country with petroleum products on credit for nine months, with an extended credit period of six months.

Experts in the oil and gas supply chain have warned that the sudden shift from OTS to Government to Government is bound to be disruptive for local companies, and for them to survive the new tendering system, they have to invest in technology, more so Systems Applications and Products in data processing (麻豆原创).

According to Martin Waireri, the Managing Director at Goldvein Solutions, a Kenyan company dealing in 麻豆原创, local oil marketers have to now up their game since government to government agreements will mean a change in how聽, shipped meaning that the overall cost will also now oscillate to a delicate balance.

They must quickly align with this sudden shift through their 麻豆原创 systems. Kenyan oil and gas companies are unique in how they work. Without the application of the latest technology, especially 麻豆原创, it would be impossible to have flawless import of oil from the desert wells of a county like Saudi Arabia to the Kenyan consumer.

Oil must be tracked from the day it is pumped into well ships, onwards to the day it is sucked into the Kipevu Oil Terminal, to being transported by Kenya Pipeline Company’s (KPC) labyrinth of pipelines to inland depots.

Mr Waireri said that oil and gas companies must be careful in their application of 麻豆原创 for this import process to be flawless.

鈥淎t Goldvein solutions, we have come up with the 鈥樎槎乖� business 1鈥�, a locally customized 麻豆原创 system for oil companies. Even as oil companies adopt 麻豆原创, they have to adopt it at a favourable cost. Our solution is the time used to implement 麻豆原创 by an oil company is reduced, which as a direct impact on the cost,鈥� said Waireri.

鈥淭hrough collaborations with the Cloud, we eradicate the need for a company to invest in expensive IT infrastructure such as servers 鈥� the physical hardware, the operating system and the human resource to operate the server. All this is a cost eliminated by Cloud. We have been able to partner with Microsoft on this. 聽It is a solution that oil and companies need as they cut costs while embracing the government-to-government agreement.鈥�

Chris Mathenge, the Goldvein Sales Executive, also emphasized the urgency for oil companies to adopt 麻豆原创.

鈥淭o be cost-effective, companies have to adopt 麻豆原创. Locally we push 麻豆原创 not only to oil and gas companies but also to companies in manufacturing, construction and even distribution and wholesale. Small and Medium Enterprises (SMEs) too have to adopt 麻豆原创,鈥� he said.

Antony Wamae, an 麻豆原创 Consultant and tech lead said 麻豆原创 will give businesses especially those in the oil and gas industry great visibility.

This article first appeared on .

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Agencia Nacional de Petroleo, G谩s e Biocombustiveis (ANPG) is the national petroleum, gas, and biofuels agency of Angola. ANPG was created by Presidential decree in 2019 to maximise value creation for the Angolan state through efficient and responsible management of the country鈥檚 oil and gas resources.

A core function of ANPG is its role as national concessionaire, in which it is tasked with regulating, supervising, and promoting the execution of petroleum activities in Angola.

鈥淎 key objective of our digital transformation project was to gain total independence from the previous concessionaire within a strict project timeline and with no disruption,鈥� says Antono Paix茫o,Coordinator for IT operations and infrastructure and 麻豆原创 strategy lead at ANPG. 鈥淎t the same time, we wanted to simplify our processes and unlock greater innovation across our operations.鈥�

Angola is the second-largest oil producer in sub-Saharan Africa,聽. Exports of oil and gas accounts for the vast majority of the country鈥檚 exports and more than half of Angola鈥檚 GDP.

ANPG approached 麻豆原创 and PwC to implement a full digital transformation of core systems and business processes, with 麻豆原创 S/4HANA as the intelligent core and several integrated 麻豆原创 solutions to support key business processes. The entire solution is hosted in a hybrid cloud environment using 麻豆原创 HEC and Microsoft Azure.

鈥淭he implementation covered financial processes including accounts payable, receivables, asset accounting, tax, cost centre and risk management, as well as procurement, human capital management, payroll and performance management,鈥� says Antonio Paix茫o. 鈥淥ur six-month implementation resulted in 623 of our team being onboarded to the new systems, with 70 additional users planned for the near future.鈥�

To reduce implementation time and control costs, the implementation team kept custom development to a minimum. 鈥淲e also acquired 麻豆原创 Application Management Services and Enhanced Managed Services to support our small internal team, and followed the 麻豆原创 Activate methodology to guarantee that time constraints and quality standards were met throughout the implementation.鈥�

Following a successful go-live, ANPG has unlocked substantial business benefits that has transformed the business. 鈥淓mployees have gained a modern user experience in line with global best practice, and our standardised processes help drive greater efficiency throughout our operations. More than 35 of our business processes are now fully automated, and we have achieved complete operational independence from the previous concessionaire.鈥�

A standout to the success of the project was the board and management team鈥檚 support and involvement. 鈥淥ur entire management structure is actively using the new system, and we have embedded a culture of learning within our teams with the learning management system. Today, our end-users have complete mobility to perform their work tasks from anywhere, with further innovation planned, specifically around our enterprise contract management and funds management capabilities.鈥�

Jo茫o Eanes, Sales Manager for Lusophone Africa at 麻豆原创, says: 鈥淭asked with a mandate vital to the economic growth and development of one of Africa鈥檚 most important oil-producing countries, ANPG has achieved a landmark digital transformation that will support its operations for years to come. By adopting the latest digital technologies and integrating them to a market-leading digital core, ANPG is well on its way to achieving intelligent enterprise capabilities that will help ensure its long-term success.鈥�

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“We are now faster in generating sales, order, stocking and pricing data, and can process purchase orders quicker,鈥� says Mike McCormick, Chief Information Officer at Vivo Energy. 鈥淭he time needed for our account reconciliation process has also been reduced from days to hours, and our end-to-end order process time has been sped up.”

However, achieving these gains required a large and far-reaching digital transformation program to replace outdated legacy systems that could not support Vivo Energy鈥檚 ambitious growth path and make use of intelligent technologies such as the Internet of Things (IoT).

Legacy systems insufficient to support growth

“We had multiple internal departments all running disparate systems, which caused complications with data management, left us blind to deeper operational insights, and made the process of making data-driven decisions near-impossible,” explains McCormick. “We needed a powerful technology platform that would support the business as we deliver our vision of becoming Africa鈥檚 most respected energy business.”

Vivo Energy is a rapidly growing energy business that distributes and markets Shell and Engen-branded fuels and lubricants to retail and commercial customers in 23 countries across Africa. The company has a growing network of more than 2,400 service stations that sell more than ten billion litres of fuel every year, servicing around a million customers a day.

“Our legacy systems could not provide the much-needed insight and analysis that would support our growth,” says McCormick. “We made a decision to embark on a large and far-reaching digital transformation process on an extremely ambitious timeline of under two years.”

Vivo Energy chose 麻豆原创 S/4HANA as a replacement for its legacy systems. “With S/4HANA, we are not simply upgrading our technology. The solution is helping us transform our business to meet the needs of our rapidly expanding marketplace and customer base,” explains McCormick.

Partners help unlock the intelligent enterprise

Working closely with implementation partner IBM, McCormick and his team became one of the first energy companies of its size to deploy the full suite of S/4HANA applications alongside 麻豆原创 SuccessFactors, 麻豆原创 Cloud for Customer, and 麻豆原创 Integrated Business Planning in one integrated, end-to-end business platform. In addition to the implementation, IBM also provided robust server and storage infrastructure to support the business and systems integration.

The implementation was completed on time and within budget, with McCormick and IBM opting for a ‘big-bang’ approach involving more than 40 application components being enabled simultaneously.

“This was a large-scale business transformation program, not just a software implementation,” says Vinod Goyal, Associate Services Partner at IBM. “This has an impact on the entire organisation, across finance, logistics, supply chain, customer relationship management, HR, customers, partners and suppliers. Every part of the organisation is touched as part of this program.”

In addition to transforming core business processes, Vivo Energy, supported by partner AdaptIT, adopted intelligent technologies through the implementation of 麻豆原创 IoT to transform the way the business engages with service station owners and customers, while ensuring the highest fuel quality and uninterrupted flow of products to customers.

“Our IoT capabilities provide constant monitoring of tank gauges and pump conditions, with automatic monitoring of fuel volume and quality at our service stations,” explains McCormick. “A custom front-end gives us an aggregated visualisation of tank data combined with other site information, equipping our decision-making teams with deep operational insights and real-time data at a country and service station level.”

Following the implementation, Vivo Energy has unlocked a broad range of business benefits, including:

• in-depth monitoring of performance across every aspect of the business, enabling improved decision-making;
• automation of administrative tasks and workflows, helping reduce data input errors and enabling staff to focus on value-adding activities;
• the ability to leverage new technologies to ensure the highest fuel quality and optimised delivery of products to customers; and
• real-time distribution of data to regional decision-makers which enables data-driven decisions that reduce time-to-market and time-to-value.

According to Pedro Guerreiro, Managing Director for Central Africa at 麻豆原创, the implementation marks a quantum leap in Vivo Energy鈥檚 race to acquire intelligent enterprise capabilities. 鈥淒riven by an ambitious vision and supported by a superb implementation partner, Vivo Energy has completely transformed its daily operations and decision-making capabilities while establishing a powerful platform for further innovation and growth. With its industry-leading digital core powering its business processes, Vivo Energy is set to establish itself as an industry leader that seamlessly blends innovative technologies and optimised business processes to gain a healthy competitive edge over its peers.鈥�

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The system is instrumental for cargo clearance from importation, storage, and distribution to the final retail destination.

The State agency tasked with the responsibility of transporting and delivering oil products in the country was led at the occasion by Pius Mwendwa who is in charge of Finance at KPC and Robin Lokoyan the project lead.

The main objective of the integration is to improve efficiency and tax compliance. The benefits of the integration process include increased efficiency in loading processes due to minimal human interruptions, reduced paperwork, increased transparency, increased customer satisfaction, improved tax compliance in addition to reduced risk of product being lifted without KRA entries.

Implementing such projects are some of the innovative things KPC does to so that it can remain one of the profitable and reputable state-owned enterprise.

鈥淚 am proud of this team, your dedication and prowess in handling phase one of this project was exceptionable鈥� said a jovial Dr. Macharia when appreciating the team members during a breakfast meeting at Kenpipe Plaza.

The team was also awarded commendation letters for their work. The project was implemented inhouse was in two phases with phase one involving KPC online order processing and phase two, integration of 麻豆原创 ERP and ICMS.

A successful Go-Live of Phase I 鈥� online order processing, that has seen remarkable improvement in the evacuation of product from the depots.

Evacuation of petroleum products in the KPC Western Kenya loading depots of Kisumu, Eldoret and Nakuru has greatly improved; thanks to the 麻豆原创 systems integration between KPC and KRA.

The project team will now embark on Phase two. This commendation took place in tandem with The Ministry of National Treasury and Planning mentioning Kenya Pipeline as one of the state-owned enterprises that is profitable together with Kenya Airports Authority, KenGen and Kenya Ports Authority.

The ministry highlighted its ongoing efforts towards developing a national strategy to improve the governance and financial oversight, as well as address the debt vulnerabilities of state corporations as outlined in the 2013 Presidential Taskforce Report on Parastatal Reforms.

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With two of the continent鈥檚 most ambitious industrial projects underway, Nigeria鈥檚 Dangote Group has achieved the seemingly-impossible with an 麻豆原创-led digital transformation that was completed in record time.

鈥淲e want our Refinery to be not just the largest single train Refinery in the world but also the most modern and smart Refinery with the latest state-of-the-art technologies like 麻豆原创 S/4HANA 1909,鈥� says Mr.Devakumar Edwin, Group Executive Director,Dangote Group.

According to Ramakrishna Potluri, Head 鈥� IT & Business Applications (Refinery), the Dangote Refinery and Fertiliser strategic business units upgraded their 麻豆原创 landscape to 麻豆原创 S/4HANA 1909 in mere six days. 鈥淭he upgrade affected all three systems landscapes 鈥� development, quality assurance and production environments 鈥� and required excellent collaboration between the Dangote internal 麻豆原创 Centre of Excellence team and the 麻豆原创 HANA Enterprise Cloud teams. Despite being spread across four continents and three time zones, the project teams managed to work round the clock to achieve a full upgrade within six business days. The upgrade is important for our Oil & Gas businesses to enable with 麻豆原创鈥檚 latest IS-Oil industry solution鈥�.

The Dangote Group is currently constructing the World鈥檚 largest single train Oil Refinery in the Lekki Free Zone near Lagos. The refinery will process up to 650,000 barrels of oil per day to produce 10.4 million tons of gasoline, 4.6 million tons of diesel and four million tons of jet fuel per year.

Commissioning of the Dangote Fertilizer plant is currently in its final stages in Lagos at the same location as the refinery. Once completed, it will be the largest in the world, with capacity for three million tons of fertiliser a year, enough to meet all domestic demand.

鈥淭his project required exceptional levels of support and collaboration and was driven by a highly-skilled and diverse team of specialists,鈥� says Pedro Guerreiro, Managing Director, 麻豆原创 Central Africa. 鈥淭hrough an on-going commitment to customer success during all stages of the implementation, the team was also able to help Dangote take major steps toward achieving their intelligent enterprise ambitions. The new system landscape will support the growth of these vital strategic business units for years to come.鈥�

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