Guest Editorial: Digital Technologies A Competitive Advantage Today, a Necessity Tomorrow

Abstract

_ Having had the privilege of living on three continents, working across multiple industries, and conducting business in several countries, I have seen the impact digital technology has on business, people, and communities. Throughout my career, I have witnessed lifesaving and life-changing digital innovation that changes the trajectory of organizations and industries. As someone who entered the workforce during the dot-com era with a background in computer science, I continue to be amazed by how yesterday’s differentiation becomes today’s necessity … and tomorrow’s obsolescence challenge. The pace of innovation in digital is unprecedented in the annals of human innovation. Personally, I only need to look at my kids to get a sense of that. While we learned to ride a bicycle the same way despite a 3-decade gap, the way we communicate, interact, learn, and create is radically different, enabled by digital platforms that permeate every aspect of life. It is natural therefore to envision that the generations that grow up in these digitally enabled environments will expect, demand, and enable the same degree of digital connectivity in business as they come into and subsequently lead our industry. Oil and gas is an industry that is not just impressive in size, scale, and scope. It is also a sector that deploys technology across the spectrum of breadth and depth. It is unique in that it enables the convergence of several technology domains, including mechanical, material science, hardware, software, automation, instrumentation, artificial intelligence (AI), and others. That, too, in some of the most extreme conditions of temperature, pressure, and accessibility on the planet. Natural business drivers like operational efficiency have been complemented by workforce changes and sustainability agendas to enable this array of technological prowess. In the recent years, companies have leveraged digital as a competitive advantage. Digital technologies have enabled cost efficiencies, speed of operations, and safety enhancements. However, like in other sectors, there are fast followers as well as disruptors who can leapfrog advances. As a result, the industry is embracing digital technology as not just a differentiator, but as an enabler of innovation. The simple reality is that if one doesn’t, they risk being out of the game. Generational Changes One of the biggest drivers I see in the changes taking shape across our industry stems from a convergence of several shifts in the workforce. It is well known that the sector has an aging workforce, and the Great Crew Change is upon us. That, coupled with the fact that we are seeing labor shortages in some markets and that it has become increasingly harder to attract talent into this space, necessitates change. For example, in the post-COVID-19 pandemic era, we are seeing an increased desire to work from home vs. take on rotational work—the jobs that are based in the field are not as appealing as they were a generation ago. In addition, the incoming generation demands that large corporations do more to make a positive impact on the world. And they’re right. We have a duty to act responsibly, to improve quality of life, and reduce environmental impacts. We must think and act differently if we are going to continue competing for top talent—the type of talent that will continue revolutionizing the industry. So, what does that mean? From my perspective, there are a several key areas our industry must continue investing in.