The energy transition has risen to the top of the priority list for Oil and Gas companies. They wish to increase their use of renewable energy, diversify their revenue and asset portfolio as well as collaborate with other industries such as chemicals and utilities. Thus, Digital Transformation in Oil and Gas Industry is the only way and they have established a set of strategic priorities to help them achieve their objectives. This article discusses the industry-specific features provided by RISE with SAP’s Business Transformation Service.

Let us begin by defining strategic priorities and the benefits they provide to the Oil, Gas & Energy Industries.

Strategic Priorities for Oil and Gas Companies

The importance and values of Digital Transformation have been recognised by leading Oil, Gas & Energy companies. Thus, they are concentrating on four strategic priorities outlined below in order to transform their organization into an intelligent enterprise.

  • Extend beyond the barrel
  • Digitalize production and delivery
  • Compete as an ecosystem
  • Unlock value with technology

In order to achieve this, Intelligent technologies embedded in RISE with SAP framework acts as a key-value contributor in enabling Oil, Gas & Energy companies to become intelligent enterprises.  Adapting to this enables your organization to redesign entire business models, processes, and products by driving enterprise digitalization through product development.

Competing as an ecosystem 

The success of the Oil, Gas & Energy industries will be largely determined by three factors: safety, cost and agility. In this case, robotics and augmented reality will help your company improve safety and productivity while also allowing you to collaborate with others. These firms will master the convergence of IT and operational technology with machine learning, predictive operations, and maintenance. Furthermore, by cooperating and sharing performance data with OEM and Engineering Specialists, they will be able to develop greater asset intelligence. Finally, they will collect performance data from connected assets in order to continuously improve and innovate the design and operation of new and existing assets.

To better understand this example, consider a real-world scenario. In our case, Team A and Team B take different approaches to certain processes.

Approaches made by Team A:

  • Budgeting and staffing – Gather budget information and user feedback to estimate staffing requirements.
  • Planning and scheduling – Use manual planning tools and spreadsheet estimates to plan and schedule.
  • Completing work – This entails completing tasks, compiling written reports, and remembering experiences.
  • Working – Train employees on data entry processes, issue equipment through administrative processes and use manual recording.

Approaches made by Team B:

  • Budgeting and staffing – Analyse previous project workforce requirements to determine the best way to staff the project.
  • Planning and scheduling – Create a statement of work with subcontractors in collaboration, using optimised schedules.
  • Performing work – As workers arrive, update a workforce “digital twin,” providing full knowledge of workers on-site and proper access control.
  • Completing work – With no safety incidents, staffing shortages, or cost overruns all works were done.

Based on the approaches described above, Team A’s managers and employees were forced to rely heavily on experience rather than informational data, and all processes were mostly manual. Team B’s workforce management is fully integrated into the ecosystem, and its processes are both optimised and secured.

Now you may be asking, “How can RISE with SAP helps us?”. Here are the primary business capabilities they offer to assist you in reaching your objectives:

  • All revenue, production and maintenance functions can use a single well representation.
  • Elimination of silos in operations and provide complete visibility to employees, business partners, and customers.
  • Improved schedule accuracy due to integrated forecast data.
  • Assets are managed and shared holistically with employees and contractors using a unified view of information and operational technology data.

Top Value Drivers

The major value drivers in the Oil, Gas & Energy industry post successful deployment of SAP S/4HANA are:

  • 10%–20% Revenue growth as a result of new products or services
  • 5%–30% Reduction in cost savings due to supply chain planning

(Note: Data was taken from SAP’s statistics)


To conclude, with hundreds of new features and seamless functionality, SAP S/4HANA can enhance your business values. Many upstream operators have benefited from flexible, agile, and scalable ERP capabilities on the cloud as a result of SAP S/4HANA adoption.

Own your tomorrow with a guided journey and outcome driven practices of RISE with SAP. To know more about how SAP S/4HANA or about other solutions that can help enterprises in oil, gas and energy companies, do get in touch with us!


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