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Oil & Gas Company Gets Second Chance at ERP Implementation

Project Oversight Case Study: Oil & Gas

By: Panorama Consulting Group

Email: Panorama Consulting Group
Telephone: 720-515-1377 ext 117


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CLIENT OVERVIEW

oil gas pipeline image

  • Upstream petroleum oil exploration and production company in the Middle East
  • Founded in 2011
  • Operates several blocks, including one on the Arabian Sea, where crude oil, produced from this and other blocks in the region, is transported for storage and export
  • Had recently taken ownership of assets from a multinational corporation and needed to transition their ERP system from SAP to Epicor 9
  • RESULTS SNAPSHOT

  • Increased system data accuracy
  • Operational cost savings
  • Improved Standard process compliance
  • CLIENT NEEDS

    The company was having significant challenges with the implementer, so it reached out to Panorama to provide implementation oversight and review some of the selection documentation.

    We found that the implementer had done the client’s requirements gathering and process documentation, but the implementer did not understand best practices.

    In addition, the implementer was unwilling to go on-site to perform the implementation, which caused many technical and organizational challenges. For example, the client was having significant connectivity challenges that took their systems periodically off-line.

    We also recognized a range of issues, including organizational cultural challenges, resistance to change, issues with new business technologies, and an ineffective communications strategy

    OUR APPROACH

    Panorama reworked the process maps and requirements to ensure the client could move to the design phase with the correct specifications.

    After capturing current business processes in the main business areas, we found that the system needed many customizations to meet the client’s business needs. We worked with Epicor and the executive team to decrease these customization needs by improving the client’s processes to align with best practices.

    Panorama then assessed the client’s hardware requirements, telecommunications needs, organizational health, change management program, implementation plan, data conversion plan, and training strategy.

    After these assessments, we developed strategic, operational, and tactical solutions for the ERP implementation, including creating a Center of Excellence, proactively leading change management, and providing advice for management on a wide range of issues.

    Ultimately, we went on-site for extended periods of time in dangerous, remote, and austere locations, so the client could be successful in its implementation. Our efforts kept the implementation on-track, on-budget, and on the path to expected benefits.


    "WE WENT ON-SITE FOR EXTENDED PERIODS OF TIME IN DANGEROUS,
    REMOTE, AND AUSTERE LOCATIONS, SO THE CLIENT COULD BE SUCCESSFUL IN ITS IMPLEMENTATION."


    MEASURABLE RESULTS

    Panorama ensured the Epicor implementation proceeded despite challenges. This delivered quantifiable improvements to the company’s operational efficiency and effectiveness. These improvements were realized less than one year after the start of the consulting engagement.

    Realized Benefits

    • Increased system data accuracy from below 50-percent to more than 95-percent
    • Improved standard business process compliance from under 40-percent to more than 90-percent
    • Identified and realized operational cost savings in excess of $500,000 annually

    Expected Benefits

    • Identified operational savings opportunities of 29-percent of total labor costs
    • Identified more than $2 million in annual operating and capital cost savings


    Panorama Consulting Group is a technology-agnostic consultancy specializing in Digital Business Transformation and Enterprise Resource Planning (ERP) System Implementations for mid- to large-sized private- and public-sector organizations worldwide. This highly respected firm is 100% independent of software and technology vendor affiliation. They offer a phased and integrated approach to strategy alignment and execution, enabling each client to achieve its unique business transformation objectives by transforming its people, processes, and technology.

    Panorama clients include multi-national conglomerates from Amazon Robotics to Valcor Engineering, as well as governmental entities, including state and local governments, municipalities, school districts, state offices of the attorney general, and tribal governments.

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