Resources for Innovation Still Needed Amid Oil, Gas IT Budget Cuts
Rigzone.com reports that oil and gas chief information officers (CIO) faced with budget cuts in 2016 will implement plans for preserving innovation while making low-cost investments to minimize business operational costs, according to a recent forecast by IDC Energy Insights.
“When oil traded at $100/barrel, oil companies were more focused on expanding their geographic footprint, but the decline in oil prices now has companies focusing instead on reducing costs, either through layoffs or spending cuts. Reducing costs is the top priority behind IT spending, followed by improving efficiency and productivity of processes and boost revenues, Chris Niven, research director for IDC Energy Insights, told Rigzone.”
“Niven said IDC estimates that 25 percent of all oil and gas companies will be using cognitive plus advanced analytics in the oilfield by 2019 to improve performance and production by 10 percent,” wrote Karen Borman.
