Two weeks ago, on my podcast, I interviewed a consultant who was part of a team that generated “hundreds of millions of dollars” in savings within the oil and gas industry. Knowing the vast landscape and impossible places that many oil rigs are in, it makes sense oil and gas is at the forefront of IIoT adoption. Here’s what they are doing.
1. Information Technology (IT)
Given that oil and gas companies are undergoing a digital transformation, it makes sense they are highly leveraging information technology. Advances in information technology let oil and gas companies capture real-time performance data from their assets.
Using artificial intelligence, machine learning, and developing digital twins within the IT arena let rig owners know immediately if their assets aren’t performing as they should.
In the example that Ben Griner gave on the podcast, he noted the client knew vibration was an element of concern when monitoring oil rigs. Using low power sensors that can send information to satellites allows these assets to share their performance information.
Taking this information and using machine learning and digital twins the oil and gas supermajor can predict when preventive maintenance needs to occur. This provides huge savings in operational efficiency and performance gains.
2. Operational Technology
Information systems are the broad category of collecting, analyzing, and using data and turning it into information. Operational technology is the hardware and software that collects the information and notices when a change has occurred.
Oil and gas companies have recently begun integrating their OT and IT software and hardware. Like many other industries, they’ve adopted this model to prevent increased cyberattacks.
These are multi-million dollar assets they are collecting data from and sending that information via satellite. OT security is extremely important. Which leads to the next industry 4.0 technique.
The IIoT technology governs devices and information systems that transmit data over the network or are embedded with sensors, electronics, and software connectivity.
Because the devices transfer data without human assistance, data is transferred automatically and frequently. This prevents all kinds of cybersecurity opportunities.
Imagine having assets scattered all over the world in extreme conditions. Having sensors on those assets that upload information about their location, performance, output, vibration, etc., and uplinking that information to satellites.
Having an integrated risk management and a cybersecurity strategy that integrates IT, OT, and risk is key to putting oil and gas at the forefront of IIoT adoption.
As always, it’s an honor to serve you, and I hope this helps you and your organization get a little better today.
More show notes are here