RESEARCH REPORT

In brief

In brief

  • Accenture conducted a research study around the adoption of technology in the oil and gas industry.
  • Our research reveals that one in two industry executives admit they are struggling to combine rapidly evolving technologies effectively.
  • Using Digital Dividends Diagnostic tool, we evaluated five technologies that can help drive new growth.
  • The result? Five value triggers can help oil and gas businesses drive the successful take-up of new technologies.


A meaningful combination of digital technologies

 

Across all territories and industrial sectors, forward-thinking companies are applying digital technologies to drive exceptional efficiency gains and enable new business models to promote growth. For these businesses, their transformational power springs from the ability to combine digital technologies to create more effective services, products and operations. This is the crux of Accenture’s Industry X.0 ideology.

Crucially, Industry X.0 businesses have grasped that it’s not enough to digitize one part of their organization and expect positive results across the enterprise. Instead, they embrace change and apply the right combinations of digital technologies continuously in all areas—thereby empowering themselves to reinvent their operating models, production and value chains to deliver meaningful worker and customer experiences, profitably, and at speed and scale.

Leading with digital in oil and gas

Let’s zero in on the energy industries. How successfully are oil & gas companies realizing the opportunities of advanced digital technologies? The jury’s out. Our recent research study shows that one in two energy executives admit they’re struggling to combine rapidly evolving technologies effectively. Pressed to name the other challenges their Industry X.0 initiatives face, they point to the lack of culture of experimentation in their organizations, and insufficient data security and trust.

Put simply, their efforts to capitalize fully on digital technologies are coming up against an organizational brick wall. What they need is to find the keys to successful technology adoption.

While 83 percent of executives believe their digital investments are designed to achieve strategic priorities, only 5 percent feel their ecosystem is actually ready to help drive value with digital.

Successful uptake of new technologies

By consulting with world-leading technology adoption experts, and combining the outputs with proprietary surveys and industry reports, we’ve identified five value-triggers that drive the successful take-up of each new technology. And we've used these insights to create a Digital Dividends Diagnostic tool that enables companies to consider individual technologies in the context of the five triggers.

What are the five value triggers?

  • Talent readiness
  • Capital adequacy
  • Ecosystem maturity
  • Adoption intensity
  • Value potential

Emerging technologies to watch

By evaluating various technologies through the lens of these value triggers, our Digital Dividends Diagnostic tool has pinpointed five technologies that can change the game for oil & gas companies seeking to harness the power of Industry X.0:

Augmented—and Virtual—Reality

The buyer-value perception of AR/VR is high in oil & gas because of its potential in training new workers and workforce safety. But industry investment in these technologies has been limited to date.

Big data analytics

As a data-heavy industry, oil & gas already has a mature ecosystem and talent readiness for big data analytics, with many use cases. But the potential for cost savings is yet to be fully realized.

Artificial Intelligence (AI)

Oil & gas is showing strong deployment of AI, but demand for AI skills remains surprisingly low. This may indicate that companies are collaborating with external partners on AI technologies.

Blockchain

In oil & gas, blockchain can help towards supply chain efficiency, energy trading security, and transparency in regulatory filings. However, the industry’s use of blockchain is still nascent.

Robotics

The buyer-value perception of robotics in oil & gas is very positive, resulting in enhanced interoperability and automation. But low talent levels, skills and investments can hamper robotics growth.

Get started now

The message from our research is clear. For any oil & gas company seeking to realize the potential of Industry X.0, a thorough analysis of the value-triggers for digital technologies is the critical first step. Fail to do this, and you’ll fail to capture the full value on offer.

The choice is yours. In our view, it’s an easy one to make.

Raghav Narsalay

Managing Director, Lead – Industry X.0


Tracey Countryman

Managing Director, Industry X.0 Lead – Resources Operating Group

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