The Impact of Artificial Intelligence on the Energy Workforce

KNOWLEDGESTREAM AT-A-GLANCE

ABSTRACT

Artificial Intelligence in the Energy industry - Implications for the Workforce

PARTICIPANTS

Glenroy London

LIVE IN THE KNOW

Ullasa Bhat

CEO - BUS Global Consulting

Amitabh Bhattacharya

Safety Professional | HSE Consultant with 12 years of versatile experience managing Health, Safety, and Environment

Andrey Z

Dr. Jeffrey Forsyth

SVP Summit Nanotech I CEO nFluids I Strategic I Innovative I Nanotechnology I Product Development from Conceptualization to Commercialization

Patrice L. Tiolet, INPG, MBA, CPSM

Entrepreneurship projects at (independent)

Kin Lim Lee

Data Science Communicator | Helping Companies Solve Problems with Data | Writer

Luis Vargas

No matter the Scope, KPI has YOU Covered - Technical & Strategic Leader and Consultant

Dr Neil Williams

Enterprise Architect

Vijay Karna

Chief Certified Architect

Jennifer Arkhurst

Executive Director & Managing Partner at Arkhurst & Abdellah Solicitors FZ LLE

Daniel Serrano

Energy Markets and Portfolio Manager Expert

Jayant Parimal

CEO

aldwin labuga

Project Development Manager at Trina Solar

Sampath Kumar

University of Petroleum and Energy Studies

Avi Benezra

CTO

Antony Sommerfeld

Managing Director, Investor and Business Founder in AI and Commodities: MD at AIP, Co-Founder of Nucleic and ENRGeo.

Andrea De Simone

Senior Program Leader - Fast Power Solutions at GE Power

Naveed Irshad

Head of Site Design and Power Planning at Telenor Pakistan / Telenor Group

OBJECTIVES

1. Current Trends: What are the implementations of AI that are driving change in the overall oil and gas value stream and impact workforce dynamics.

2. Global Subsector Differences: Within specific oil & gas subsectors (upstream, midstream, & downstream) what are the changing workforce needs & global variables?

3. Renewable & Alternative Technologies: How are advances in renewable and alternative energy shifting the workforce trends across the oil and gas industry?

4. Talent Gaps: What are the significant workforce talent gaps that will need to be addressed in the next 3-5 years?

100% Complete

Start Date: Oct 23, 2018
End Date: Dec 14, 2018

1193

CONTRIBUTIONS

ACTIVITY

52 Days

4 Themes

16 Contributors

712 Posts

481 Comments

127 Followers

OUTPUTS

3 Slide Deck

1 Blog Post

3 Video

CALLS ATTENDED

• 2018-10-22 18:36:46 - A recording of the Scoping Call & Talent Review was uploaded

THEME #1

What are the Advanced Technologies being Implemented Today?

THEME SUMMARY

AI and Digital Transformation are seen as futuristic technologies, however, they are actively changing workforce roles today across all dimensions of the Oil & Gas industry.

Breadth of Impact
Workforce Wins
Skills Advancement

When thinking about the impacts of AI it is natural to focus on areas such as extraction, however, AI engagement is evident across all functions including logistics, HR, and finance.

One of the advanced technologies includes the deployment of advanced transportation technologies in oil and gas industry. More comprehensive and detailed surveillance and optimized transportation routes are being carried out to reduce the time for transportation and delivery.

Kin Lim Lee Data Science Communicator | Helping Companies Solve Problems with Data | Writer

AI will affect the financial side of the energy business-blockchain will ensure transaction, confirmation of product dispatch and delivery to customer, AI will verify variety of factors like unloading, generate and deliver automated bill. This will significantly reduce need in accounting.

Andrey Z

As in many industries AI has arrived in HR to improve search. According to the Deloitte Human Capital Trends report, 38 percent of companies use AI, and 62 percent expect to by end of year. With talent scarcity and low unemployment, AI will quickly emerge as a key tool for the HR manager’s toolbox.

Amitabh Bhattacharya Safety Professional | HSE Consultant with 12 years of versatile experience managing Health, Safety, and Environment

The use of AI generates numerous workforce wins including retiring workforce knowledge capture, minimization of hiring bias, and enhances geographically separated team dynamics.

An important need for the industry is that of knowledge transfer. With the pending retirements of significant portions of the workforce in design, construction and operations roles the industry faces the possibility of having to "re-learn" many of the lessons learned through experience.

Luis Vargas No matter the Scope, KPI has YOU Covered - Technical & Strategic Leader and Consultant

AI can prevent bias in hiring. “The practice sharpens the talent acquisition function by using data-driven analytics and digital, cognitive tools to better source and assess candidates and prevent possible misjudgments caused by bias or false logic,” -Deloitte’s press release on the report.

Amitabh Bhattacharya Safety Professional | HSE Consultant with 12 years of versatile experience managing Health, Safety, and Environment

Working across boundaries,time zones,cultures can be better manged via colloborations and networks of excellence. Organizations are learning faster and capturing tacit knowledge riding on the ICT Platform thereby gaining competitive advantage and distinctive capabilities.

Glenroy London LIVE IN THE KNOW

Workforce adaptations include the obvious need to grow technology capabilities - but also to focus on moving up the value chain to decision making and supervisory roles.

The growing use of UAVs/Drones has a direct impact on field workforce, Opportunities are increasing for re-skilling workforce to learn and operate drones, become UAV pilots, learn to better execute end to end inspection workflow to increase overall efficiency and effectiveness of the process.

Ullasa Bhat CEO - BUS Global Consulting

Those engaged in subsea operations today are a dwindling population (those who actually do the most difficult and risky jobs). They can do well by moving up the value chain to supervisory, monitoring and decision roles. High risk and extreme hazard jobs will increasingly move away from humans.

Ullasa Bhat CEO - BUS Global Consulting

I would suggest that existing workforces should develop more soft than hard skills. Collaborative tools are easy to use (Facebook-like user experience), but they need a change in culture and in the way of working. Collaboration requires openness, team working, collective problem-solving skills.

Patrice L. Tiolet, INPG, MBA, CPSM Entrepreneurship projects at (independent)

THEME #2

Put yourself in the shoes of the COO....

THEME SUMMARY

When asked where to focus capital and resource in the next 24 months panelists emphasized workforce engagement and technology infrastructure investments.

Workforce engagement was seen as the most important aspect of transformation - panelists focused on creating a shared vision, establishing a knowledge sharing ecosystem, and acknowledging progress.
Rebuilding the information pipeline through new technology and data architecture, culminating with implementation of AI/ML to optimize resource use and focus on managing by exception.

Workforce engagement starts with building awareness via multiple approaches to ensure the often geographically disparate employee base are all provided the opportunity to attain a sense of investment.

Build Awareness: Sponsor a series of workshops to build awareness in the form of an "Operations Transformation Cafe". Create the ambiance to bring about insightful discussions and deep understandings of the challenges faced or anticipated in the transformation.

Glenroy London LIVE IN THE KNOW

Future Casting - similar to above, then challenge professionals across the organization to engage in what if scenarios - essentially a "Dreaming" session to come up with blue sky type possibilities.

Luis Vargas No matter the Scope, KPI has YOU Covered - Technical & Strategic Leader and Consultant

Augment the internal knowledge by engagement of outside experts and case studies from external industries to move from conception to implementation.

Awareness building/structured interactive workshops (bringing the Magic back) - emphasis on the overarching capabilities of AI-ML-DT examples from various industries that have more than justified themselves in enhancing decision making and the bottom line. Also bring in experts in data science.

Dr. Jeffrey Forsyth SVP Summit Nanotech I CEO nFluids I Strategic I Innovative I Nanotechnology I Product Development from Conceptualization to Commercialization

Once participants are fully versed (deep understanding and contextualisation of issues) strategies are created through simulation and games based sessions. Goals and objectives translated into KPIs to facilitate the basis for monitoring and evaluation of the progress and success of the initiative.

Glenroy London LIVE IN THE KNOW

Operationalize the learning environment by evangelizing quick wins to build increased trust within the workforce and shift negative perceptions of technology impacts.

Talent resources sourced to meet the competence for success in the strategic goal. Monitoring goals at each iteration, engaging learn before, during, and after to create a learning organisation. Talented resources aligned and committed to continuous improvement and a learning organisation.

Glenroy London LIVE IN THE KNOW

Trust Deficit has been a major issue for DT and fear is magnified when the subject is AI. Workforce on the ground fears AI the most. The battle of perceptions cannot be won unless mgrs lead from the front by implementing AI for mgmt functions and showcase the results to build trust with workforce.

Ullasa Bhat CEO - BUS Global Consulting

Due to the large geographically dispersed (and often hazardous environment), re-architect the technology infrastructure using edge computing and IoT as the first step in AI/ML transformation.

Increase the automated Supervisory Control and Data Acquisition (SCADA) wells from 20% to 80%. When this happens, there is then a capacity for wells to be auto-gauged without requiring pumpers to even get out of their trucks. This reduces the risk factors for their overall safety.

Amitabh Bhattacharya Safety Professional | HSE Consultant with 12 years of versatile experience managing Health, Safety, and Environment

Infrastructure, to make sure that the edge, core and cloud computing facilities would enable future development.

Patrice L. Tiolet, INPG, MBA, CPSM Entrepreneurship projects at (independent)

Establish an enterprise data architecture to enable implementation of AI/ML tools to drive new insights and provide the basis for updating internal processes.

Data Analytics: Data from heavy machines, sensors and other facilities stream creates a need for big data ecosystem to analyze the data. Reduce failures through predictive maintenance and outlier detection by big data analytics and AI. Discover new insights that drive company forward.

Kin Lim Lee Data Science Communicator | Helping Companies Solve Problems with Data | Writer

Edge computing: its becoming very difficult for aggregation and analysis of data. Look to edge to increase flexibility, scalability, efficiency, productivity. We need to have right and only relevant set of data from OT sensors & devices so that we can have meaningful actions and assignment of data.

Vijay Karna Chief Certified Architect

Data Hub: Planned investments for AI/DT can't succeed in ensuring returns unless build the foundation with data hub architecture for connected data lakes. Drive further investment decisions based on the fact that data availability is now assured for AI / Digital Transformation success.

Ullasa Bhat CEO - BUS Global Consulting

Use AI/ML to optimize business processes for better decision making and change the routine cadence of tasks (which is so prevalent in this industry) to a management by exception or as-needed basis.

Pump by Exception: Invest in ML/AI to recommend which well sites need attention - more importantly which ones do not. The high-priority producing wells that need more attention are just one of many among a pumper’s route, not at the top of their list. With AI we can call upon pumpers as needed.

Amitabh Bhattacharya Safety Professional | HSE Consultant with 12 years of versatile experience managing Health, Safety, and Environment

Oil and gas is continually one of the most regulated spaces. To maintain the pace of growth without being hindered by compliance, it is mission critical for the field to have automation on compliance tasks, such as capturing data or fulfilling reporting obligations, in minutes, not days.

Amitabh Bhattacharya Safety Professional | HSE Consultant with 12 years of versatile experience managing Health, Safety, and Environment

THEME #3

Organization Design after Workforce Engagement and Infrastructure Modernization

THEME SUMMARY

Decentralization of the workforce enabled by digital transformation (IoT, AI, ML, etc) will create a more agile and dynamic organizational model, ultimately delivering higher performance across the entity.

Senior management evolution
Mobility enabled workforce
Field level workforce focus

SURVEYS

| 7

Since AI/DT are changing the landscape, which of the following do you think will be the result in the next 2-3 years?

Workforce numbers will increase overall with the need to bring on more technical talent.

14.29% 1 vote

Workforce numbers will stay roughly the same with positions being removed at the asset level and added in centralized locations.

71.43% 5 votes

Workforce numbers will decrease due to automation in both asset and centralized locations.

14.29% 1 vote

Senior management in the O&G industry is at a cross-roads and must adapt to focusing risk-adverse behaviors only to areas with high environmental, health, and/or safety (EHS) risk profiles.

The ability to move from functioning in a stable, certainty in decision making, secure workforce, operational and technical integrity to one of agile uncertainty, retiring workforce, and rapidly changing governance requirements, warrants a major paradigm shift.

Glenroy London LIVE IN THE KNOW

Commitment of sr mgmt within oil and gas companies to fully embrace the digital revolution. The International Energy Agency found that risk-averse management is one of the leading causes behind the relatively slow adoption of new technologies, irrespective of their potential, in the oil industry.

Amitabh Bhattacharya Safety Professional | HSE Consultant with 12 years of versatile experience managing Health, Safety, and Environment

CEOs are the visionaries in the organisation who are not only expected to plan and align the company vision to the philosophy, wisdom, corporate strategic objectives but to execute same through planned and emergent strategies. They are expected to engage disruptive innovation to stay in the game.

Glenroy London LIVE IN THE KNOW

Organizational efficiency will increase through mobility-enabled workforce strategies, allowing best-available-talent strategies to decouple from geographic location.

What stands out is the networked team arrangements based on he need for collaboration rather the formal structure of organisations based on hierarchy in the decision making process.

Glenroy London LIVE IN THE KNOW

Small multi-disciplinary teams will come together to scale up the process' in pilot programs. The pilot programs will pick key processes or practices that will be more amenable to these changes. These initial pilots will determine early success criteria for later deployment across the organization.

Dr. Jeffrey Forsyth SVP Summit Nanotech I CEO nFluids I Strategic I Innovative I Nanotechnology I Product Development from Conceptualization to Commercialization

-Centralized Research -Centralized or Best-shored Engineering workforce for Automation -Globally distributed "Brain-farms" for breakthrough developments -SWAT teams of consultants and boutique start-ups for tasks that need to bend the established rules in terms of time to market and disruption

Ullasa Bhat CEO - BUS Global Consulting

Digital transformation will allow for a more focused workforce at the asset level, resulting in increased performance and the removal of unnecessary distractions.

Field safety inspection workforce will be the spokes connected to the AI hub, who will now be enabled in more precise and timely interventions.

Ullasa Bhat CEO - BUS Global Consulting

Emergency and crisis team at the same location as the incident but the expertise in crisis management can be honed globally to support the crisis and emergency response team. In the not too distant future the team can be located anywhere including virtually and respond to the crisis.

Glenroy London LIVE IN THE KNOW

DT will have a massive effect on ISO, COR standards and will introduce consistent monitoring as opposed to one off events. It will completely change this landscape and QHSE will become much tighter. In fact, these SOP type activities will become real time evaluations as opposed to after the fact.

Dr. Jeffrey Forsyth SVP Summit Nanotech I CEO nFluids I Strategic I Innovative I Nanotechnology I Product Development from Conceptualization to Commercialization

THEME #4

Time for closing thoughts……

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