Insightful Accountant: New Accounting Priorities for Oil and Gas Companies
Insightful Accountant – Feb 10, 2021
While digital technology has transformed businesses in many sectors, the oil and gas industry has embraced change only halfway, focusing heavily on modernizing oil and gas exploration work but leaving the back office mostly untouched. Technologies such as AI, digital twins and the Internet of Things have reduced waste and inefficiency in field operations, boosting productivity and bottom lines. But O&G companies have seen no urgency to continue this digital transformation with the back office and operations teams—until now. COVID-19 and this year’s market volatility changed everything.
The stresses of an unstable market and the pandemic have made it painfully clear that the outdated financial processes the industry has used for decades are no longer viable. With offices shuttered and employees working remotely, businesses dependent on paper trails and in-person interactions find it impossible to perform even basic functions such as collecting and sharing information, writing checks, and processing invoices. The need to adapt, evolve and automate has never been more critical than it is right now, and operations and finance teams need support to make these changes.