Oil and gas chief executives will invest in data analytics and cognitive technology to achieve growth, a study by KPMG has found.
The professional services firm went to 51 top tier management figures as part of its latest ‘global outlook’ for the industry.
The survey results indicate that despite a commitment to invest in emerging technologies many chief executive officers (CEOs) are concerned that implementing them in the workplace will create challenges.
“The energy sector is an incredible place to be right now,” said Regina Mayor, global energy leader, KPMG.
“Innovative technologies have the capacity to completely disrupt the way we operate, and it’s clear from our study that global oil and gas executives recognize that these technologies – when properly implemented– put us in a position to make big change.”
In the study, 82% of CEOs said they are confident they will see their company grow over the next 12 months.
Around 90% are confident they will see growth over a three-year period.
To achieve this growth 88% of CEOs plan to invest in data and analytics tools, followed by Internet of Things (IoT) (82%), and cognitive automation (78%).
The study found 86% of these investments will primarily focus on physical infrastructure, 71% on regulatory compliance, and with 59% point to innovation of new products and services.
The CEOs’ priority objectives for these investments are to achieve bottom-line growth, transform their businesses, and create organizational resiliency, KPMG said.
Despite indicating a commitment to investing in emerging technology, it was also highlighted as the top risk that management was concerned with.
This was followed by operations, changing customer needs, and supply chain.
Anton Oussov, global oil and gas leader, KPMG, said: “Digitization of the industry is clearly on the minds of global oil and gas CEOs.
“We’re hearing it in all of our client discussions as concepts around digital labor and cognitive are being explored industry-wide.
“And with such opportunity for disruption comes risk and concern, but those companies that embrace the new digital environment will thrive.”
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