Hydrocarbon value chain the target of new Accenture/SAP collaboration

hydrocarbon value chain

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Accenture and SAP will develop two digital solutions with cloud capabilities to help companies in the oil and gas industry to improve bottom-line benefits.

“This expanded innovation program will deliver two key digital capabilities our customers are demanding; a real-time view of all their product inventories, and the ability to predict asset failures and prescribe their best sequence of repair,” said Ken Evans, global vice president, oil and gas industry, SAP.

“Our digital readiness survey confirms that while over 80 per cent of the industry sees these capabilities as important, less than five per cent have either of them today. Our collaboration with Accenture expands the portfolio of solutions delivering such digital transformations to the oil and gas industry.”

The Connected Hydrocarbons Logistics solution (CHL) will provide real-time total inventory of oil and gas companies’ hydrocarbon supply chain, using cloud networking to connect companies with suppliers and partners, optimising hydrocarbon supply chain movements, visibility into secondary costs, and reducing working capital. According to SAP, CHL will complement the capabilities of other SAP for Oil and Gas industry solutions through end-to-end visibility with real-time analytics and improved supply and demand planning.

Accenture and SAP also plan to expand their Upstream Production Operations collaboration which provides solutions supporting the upstream operations value chain including SAP Upstream Operations Management and Accenture’s rapid deployment upstream S/4HANA template, Accenture Upstream Direct. The SAP Predictive Maintenance and Service solution will also be extended to provide early identification of potential asset performance issues, enabling operators to enhance production volumes while reducing maintenance costs and planning.

“The hydrocarbon value chain is at the heart of the downstream business, and today’s fragmented and often outdated IT landscape prevents oil and gas companies from unlocking all of the available value,” said Andrew Smart, managing director and leader of Accenture’s energy practice.

“We look forward to working with SAP and our clients to use Connected Hydrocarbons Logistics to unlock this value by better managing changes in supply, demand and commodity prices. Similarly, the new predictive maintenance tool from SAP can help operators further enhance upstream operations, in an environment of sustained oil price volatility.”

Accenture and SAP last October announced a collaboration on predictive analytics solutions for asset management in the utilities industry to enable condition-based maintenance.