Is it time to modernize your operational and financial systems?
What enterprise resource planning (ERP) solution should you choose? Should you choose a solution built specifically for the oil and gas industry? Or should you choose a mainstream ERP solution and customize it to meet the needs of the oil and gas industry?
You can have both!
Microsoft Dynamics 365 for Finance and Operations with EnergyCONNECT provides you with the best of both worlds – an easy-to-use, well-supported solution with all the oil & gas specific functionality you need.
Weigh Your ERP Oil and Gas Options
Standard ERP Software
- Well-supported by Microsoft and its partners
- Intuitive, easy-to-use
- Fits well within a Microsoft technology environment
- Secure and scalable
- Has thousands of software add-ons available
- Works on any device
Oil & Gas ERP Software
- Built and supported by industry veterans with real-world experience
- Has the functionality needed out-of-the-box at a fraction of the cost of custom software
Standard ERP Software
- Have to find or create oil & gas industry requirements
Oil & Gas ERP Software
- Often more expensive
- Risk of vendor stability
- Potential lack of integration ability
Microsoft Dynamics 365 with EnergyCONNECT gives you the benefits of standard ERP software with the Oil & Gas functionality needed.
Consider Cost of Doing Nothing
No matter which way you decide to go, you’ll want to determine the costs of staying on the system you currently have.
Here are IT and Accounting considerations:
- How much is it costing to maintain our existing systems?
- Do we feel “stuck” on this system?
- What are the risks of staying on our current software?
- Are there areas where there is duplication of effort or manual processes?
- Could we automate more processes if we had the capabilities?
- How much time is spent tracking down paperwork?
- What is the current Days Sales Outstanding (DSO), the time interval between when the work is performed and the invoice is paid?
- How much effort is spent on collections that could potentially be avoided if payment was collected at time of service?
Determine Industry Requirements
Just because you’re in the Oil & Gas Industry doesn’t automatically mean that you require oil & gas specific software.
See if you have needs in any of the following areas:
Joint Venture Accounting
- Do you need to break out income and expenses for multiple owners and lease holders?
- Are you able to easily manage the transfer of property ownership and mineral leases?
- Is it easy to communicate with stakeholders?
- Are accounting rules applied easily and uniformly?
- Can you drill into the detail?
Authorization for Expenditure (AFE) Management
- Do you know who to contact to get authorizations?
- Is the AFE process automated and uniformly followed?
- Do you have a good understanding of asset utilization?
- Do you know which rental assets are available at all times?
- Are you able to optimize oilfield rentals?
- Can you easily track asset management, maintenance, movement and scheduling?
- Do you know which oil wells and job sites are the highest producers?
- Do you have IoT (Internet of Things) remote devices that can create work orders when anomalies are detected?
Field Technicians & Contractors
- Do you consistently have the right inventory at the job site?
- Do you have a clear understanding of the customer history and what’s included/excluded in their contracts/service level agreement?
- Do you have enough knowledge about the equipment and service procedures while onsite?
- Is it easy to create, manage and close work orders?
- Can you work offline if needed?
- How much of your time is “wasted” due to company inefficiencies? What tools or resources do you need to be more efficient?
Create An Executive Vision
Without a strong executive vision, software projects struggle to succeed.
Your goal is to help the executive team move away from the current challenges, but just as importantly, move towards a better vision for the future.
Lead an open discussion about how ERP software could help the company:
- Improve operational efficiency
- Gain market share / wallet share
- Improve customer satisfaction
- Reduce risk
What do they see as the company’s priorities? How does this project support the company culture? Where are your best opportunities for growth?
Estimate Solution Cost
What’s the cost of investing in a new Oil & Gas ERP software solution?
Companies considering Microsoft Dynamics 365 with EnergyCONNECT can find software pricing listed on the Microsoft website. For a more accurate picture, you’ll want to be sure to include:
- IT environment upgrades
- Hardware purchases
- Maintenance costs
Detail Solution Benefits
Begin with the end in mind. Write down the results you anticipate receiving from your ERP project. Quantify results when possible. For example, we want to improve our Oilfield Equipment utilization by X%, which will save us approximately $X/year.
However, don’t forget to include the intangible benefits, such as improved collaboration and increased employee morale.
You may not be able to determine absolute ROI (return on investment), but you will get a good idea whether the project benefits outweigh the costs.
The team at MCA Connect can help you build this business case, and re-engineer your business processes. Once you decide you’re ready to move forward with your ERP project, our consulting team can provide the implementation expertise and ongoing support you need to ensure a successful project.