IFS Applications for the Oil & Gas industry
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1 IFS Applications for the Oil & Gas industry
2 IFS Applications Business Software Industry Solutions for the Oil & Gas Industry Presentation at OCD Esbjerg 6th of May 2008 Carl- Magnus Adamsson M. Sc. Director I Oil & Gas IFS Scandinavia Prof Olav Hansens Vei 7A, P.O.Box Stavanger, Norway Mobil: carl.magnus.adamsson@ifs.no
3 Agenda Trends and impact on business software IFS position and strategic focus Examples of customers Standard industry solutions
4 Trends in the Oil & Gas industry and impact on business software
5 Trends & business challenges Globalization and Consolidation High growth, acquisition and mergers Consolidation leads to new organizations/structures Pressure on out-dated IT business systems Strong growth leads to capacity issues Capacity issues leads to shortage and higher labor cost Need to increase efficiency in engineering and procurement due to lack of resources Need for standardization of business flows and routines Few and larger projects The contractor is required to handle the complete EPCI project Traditional engineering companies are expanding to include fabrication as well and vice versa Larger contracts increase focus on project, contract and risk management 5
6 Trends & business challenges cont Increased collaboration Increased collaboration between internal sites Increased collaboration with external companies customers, partners and sub-contractors Need for new and better tools for handling Sales Contract Management, Change Management and Sub-contracting New vendor constellations increased use of sub-contractors Increased use of subcontractors in projects. Need for maintaining financial and operational control of projects. Increased focus on uniform IT platforms and standards Focus on standards for data exchange Uniform standards enable collaboration between sites and companies 6
7 IFS position and Industry focus
8 A global partner Product Development hrs invested in IFS Applications 7 Countries 54 Employees 2,630 Turnover MSEK EBIT MSEK 141 Offices Distributors 19% EMEA 68% Growth Markets North America 13% Users >600,000 Customers >2,200 Languages 22 As of Dec
9 Strategic focus on the Oil & Gas industry 9
10 Suppliers to the Oil & Gas Industry Industry Solutions: EPCI Contractors Project Based Manufacturers Service Providers 10
11 Example of IFS Customers
12 Some IFS references within the Construction and Contracting industries 12
13 Some IFS references within the Oil & Gas and Maritime Industries companies 300 project driven 100 in Engineering/Contracting 13
14 Example of IFS References: Contractors: Oil & Gas 14
15 Heerema Fabrication Group, The Netherlands We are confident that the agility in the component-based EPCI solution will support our business to grow further Heerema Fabrication Group (HFG) is headquartered in Zwijndrecht, the Netherlands and offers innovative, costeffective and high quality engineering and construction solutions for complex steel structures to the global oil & gas industry Wim Korndorffer, CIO of the Heerema Group. 15
16 Grenland Group, Norway IFS Applications for EPCI gives us better support to compete for larger integrated contracts. Magnar Brekka, CFO Grenland Group Grenland Group is a full-service engineering, procurement and construction company with a total revenue in 2006 of NOK 1,500 million. 16
17 Rosenberg Verft, Norway With the industry solution IFS Applications for EPCI Contractors we have increased our competitiveness in an increasingly tougher market. Rosenberg is one of the major contractors within the oil and gas market on the Norwegian shelf. Bjørn Thomas Bache, VP Engineering & Procurement 17
18 Hamworthy, Norway The company s expansion was exerting great pressure on our existing systems. The industry solution from IFS was best suited to accommodate our needs and requirements. Hamworthy Gas Systems AS is a project-oriented, multidiscipline engineering company that delivers complete gas management systems, primarily to ships, but also complete onshore plants. Tore Lunde, CEO of Hamworthy 18
19 APL, Arendal IFS emerged as a clear winner, having the best overall solution to match our engineering to order and project management requirements combined with solid references and industry knowledge. Carl K. Arnet, managing director of APL Advanced Production and Loading AS (APL) is market leader in the development, fabrication and sale of advanced ship based systems for offshore production, specializing in loading and transport of oil and gas by ships. APL technical departments cover Engineering, Projects Project Services, Installation and Service. APL has a a revenue of MNOK 1671 and have 280 employees + subcontractors. 19
20 Industry Solutions
21 Multi discipline Engineering Register Class Management Technical Info Component Specification Standard (NORSOK) Vendor Info. Procurement Purchase Pack. RFQ Warehouse Expediting Job Setting Detail Planning Fabrication MTO/availability Welding/QA Progress measurement MC. Tag Register Planning Documentation Status Reports Comm. Packages Schemas Testing Reporting Documentation IFS EPCI vision Project Safran/ P3 / MsP Sub Project Sub Project Activity Activity Suppliers EPCI (C) Processes Engineering Procurement Construction Installation Commissioning Project Product Structure Engineering Catalogue Functions Parts Customers Group Systems systems Parts Change Man. Doc. Man. QA Man. HR / Personell Finance 21
22 IFS Applications for EPCI - A standard industry solution Business Process ENGINEERING PROCUREMENT CONSTRUCTION INSTALLATION COMMISSIONING CORPORATE PERFORMANCE MANAGEMENT CONTRACT MANAGEMENT Estimating, Scope, Sales Contract, Variation Orders, Retentions, Payment Applications PROJECT MANAGEMENT WBS, Project Budget & Forecast, Risk Management, Change Management, Reporting, Control Applications Solutions ENGINEERING Multi Discipline Engineering Register Class Management Component Specification CAD Integration PROCUREMENT/ MATERIAL MANAGEMENT Material Catalogues MTO, RFQ, Purchasing Expediting Project Inventory CONSTRUCTION Job Setting BOM/Availability Welding/QA INSTALLATION/ COMMISSIONING MC/Commissioning Packages Documentation Schemas & Reports SUB-CONTRACTING Sub-contracts, Agreements, Inquiries, Work Instructions, Retentions, Payment & Certificates FINANCE MANAGEMENT Common Business Model, General Accounting, Automatic Workflow, Project Accounting, Revenue Recognition Support Process Human Resources, T & A, and Payroll Document Management Collaboration with Suppliers and Customers Connect / Data Migration Business Models Quality Management 22
23 1st level process model EPCIC Processes Organisation Engineering processes Templates Initial Spesification Procurement processes Equipment Information, NORSOK Component specification sheets WBS templates Booking Lists Construction processes Report Templates, NORSOK Engineering Approvals Purchase plan template Characteristics Templates Installation processes Commissioning processes Rig, Module, platform Process_Model: EPCIC Processes Creator name: Creation time: Scheduled: Last modified by: Status changed by: Last status approved: mhalno :57 mhalno Short description: 23
24 4th level process model Enter Purchase Requisition (Activity Level) (Web) Use Purchase Requisition Wizard? No-Number Part? Enter Exchange Component? Start No Enter Requisition Header No Enter Part Line, Requisition No Stop General Activities Enter Exchange Components, Requisition Enter Informational Text Purchase Requisition Purchase Requisition Enter Pre-Postings/ Distribute Costs, Requisition Enter No-Number Part Line, Requisition Text Processing, Requisition Compare Purchase Part Prices Purchase Requisition Purchase Requisition Purchase Requisition Check Inventory Part Availability Planning Purchase Requisition Wizard Purchase Requisition Wizard 24
25 Introducing Aurora The new user experience Consumer IT and the web leading the way 25
26 Taking usability a step further User productivity Navigation Sticky notes Collaborative taskflow Search Web content Intelligent Desktop 26
27 Summary Trends and impact on business software IFS position and strategic focus Examples of customers Standard industry solutions
28 It's not the BIG that beats the small It's the FAST that beats the slow IFS Solutions for the agile enterprise 28
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