Oilfield services are complex, requiring the rapid requisition and deployment of equipment such as pipes, drilling tools and accessories. Add in services like premium couplings and pipe threading and it’s a high-stakes industry, with millions on the line.
Oilfield companies need to work fast and be precise, with no room for error in some cases. That means oilfield companies need the right enterprise resource planning (ERP) solution that combines operations and oil and gas accounting software in one comprehensive product.
With extensive experience providing industry-specific ERP solutions, it’s clear why Acumatica makes the most sense for oilfield services companies.
What oilfield services companies need
Given the complex, high-pressure work, oilfield services businesses need an ERP software solution that addresses particular needs, including:
Oilfield services companies are often involved in complex onshore or offshore projects, often as joint ventures with other business entities. An industry-specific ERP solution allows companies to manage those projects accurately, with transparency, real-time reporting and project accounting functions. The ideal ERP solution helps with supply chain management, financial obligations and regulatory compliance.
Many oilfield operations are plagued by data challenges, including information stored in multiple applications, devices, currencies and formats. An ERP solution streamlines the storage of, access to, and formatting of data in a centralized database. Data can be integrated into third-party applications, protected in transit and at rest, and provide accurate views of costs, progress, schedules and production. Access to this information helps multiple enterprise departments, including finance, sales, marketing, field operations and analytics.
In an oilfield, there are many assets to be tracked, maintained and valued. Using an ERP platform, companies can manage assets in real time, using sensors, automation and the connected objects to record information, detect maintenance issues early and reduce lost production time.
Managing costs for each project is important, especially when projects are under way at multiple sites. Your ERP solution should manage supply and demand chains to control costs, reduce waste, and keep a close eye on overhead, labor and operating expenses. Cost management allows for high-level views of project costs, regulatory compliance and higher profit margins.
The Acumatica ERP in action
Recently, Acumatica helped OFS International LLC upgrade an outdated accounting system. The company had purchased the assets of one of the world’s top producers of tubular products, which had major problems with its inventory management, manufacturing operations and accounting. For example, there were basic accounting functions lacking and the inventory system was not integrated with the accounting solution.
Other problems included an inability to track sales orders due to ill-timed customer invoicing and inventory management that was based on what seemed to be in the yard at any given time.
After installing Acumatica solutions, OFS International saw immediate results, including:
- Cost savings of more than $400,000 by eliminating user fees and customization charges
- Improved operational, financial and inventory transparency
- A structural foundation that could scale rapidly for better field operations management
At NexTec, we help oilfield services companies with the selection, implementation and optimization of Acumatica products. Take the Acumatica Product Tour to learn more.