|December 24, 2015
|Leadstone Group Inc.
|December 2015 Issue
|Articles, Oilfield HUB
|FCM - Field Cost Manager, Oilfield HUB Services, ORM - Operations Report Manager, PVM-Preferred Vendor Manager, SCM-Supply Chain Manager, VRM - Vendor Relationship Manager
Oilfield HUB is a suite of online operations reporting tools that consolidate all communications and supporting information throughout the complete lifecycle of a well from vendor management, bid requests, and ordering, right through to daily field reports and invoice verification at end of service. The HUB is a universal platform that integrates all gathered information from a well and contains it in one, easily linked, and accessible location. This is ideal for cost efficiency and communication among vendors, field personnel, and head offices.
All companies in the oilfield industry, especially exploration and production companies, lack efficiency in the management of field expense processing, which leads to unnecessary and escalating project costs. Software products in upstream field report management currently in the marketplace do not offer assistance in managing the ebb and flow of expense documents, including truck tickets and invoices. They are also too costly and hence unattainable for micro-junior, junior, and some budding intermediate companies due to high annual licensing fees and per diem report fees.
These smaller companies resort to spreadsheets and manual log books. All parties involved in the management of a well cannot easily access data in these documents nor is it easily altered or tracked by those who are privy to them. Vendors have no knowledge of what field supervisors are telling their Head Offices regarding the approved vendor expenses incurred on a project. The field supervisor’s daily report is an essential component of the confirmation and approval of service invoices. Hence, breaks in the chain of communication can lead to double billing, duplicate billing, hiring the same service multiple times, cost overruns, and poor time management, all resulting in an unfavorable rise in non-productive time and associated costs.
Well, Oilfield HUB is challenging that line of thinking. We don’t think it should cost that much at all. At the end of the day, the activity in the field is repetitive, the amount of information required is finite, and the volume of data collected is manageable. What we are offering at Oilfield HUB is a full well lifecycle solution. We are doing what no one in the industry is capable of doing which is tracking the money from the time you send the survey company out to draw lines on the ground right to the end of service or whatever that may mean in the life of that well. We put all that data and communication in a centrally located file based on the UWI, so all parties have access to the information and the Producer is constantly creating a legacy of information to provide to anyone interested.
Our focus is tracking cost and simplifying the process of daily reports. Let’s take the mystery out of the software and call it what it is… reporting. It is not complicated, and it doesn’t have to be prohibitively expensive. Whether you drill one well or 1,000 a year, the cost should be relative, and with the suite of services in Oilfield HUB… it is.
THERE IS A BETTER WAY