Why taking a new approach to an old problem will help your business increase efficiency and scale.
The Drakewell platform is best described as “operational software”. It is designed for those with boots on the ground in the field and in shops. Its roots are not in accounting, inventory management, or the back office. Drakewell focuses on solving root, core issues that, when addressed, create a positive ripple effect throughout the rest of a business.
There are two basic approaches a business can take when implementing software: accounting/financial-first and operations-first.
An accounting-first approach to software will cause major heartache and cost far more money than you want to spend.
Most businesses in the oilfield tend to take an accounting-first approach. An accounting-first approach to software for operators, service providers, and tool rental companies will cause major heartache, costing far more money than you want to spend. At the end of the day, it will not result in meeting the goals you’re actually trying to accomplish.
Here’s Why:
- Operations is the data. Operations has every bit of data you need about the reality of your business in real-time. It is your business and IT IS THE DATA. There is no way to manufacture accurate operational data. The more focused a software package meets the needs and reality of Operations, the better it will meet accounting goals.
- Delays are better than inaccuracy. Delays in moving operational data to Accounting are better than lost or inaccurate operational data. Accounting waiting a day or a week before accurate data comes through is better than inaccurate or shallow operational data. Delays are also the easiest problem to solve. It is straightforward to transport or visualize, accurate, easy-to-access data. It’s not straightforward to get operations to accurately capture data.
Putting Operations First
The best way to approach this is by implementing a system specifically designed and proven to work for Operations. A system the people doing the actual work love, have no trouble using, and will use in near real-time. Operations-first software is the only way to meet analytics, performance, and financial data/visibility goals.
Find the absolute best system for the Operations folks. They will generate all the data you need to understand your business from various important perspectives. This will ultimately help leaders achieve cost reduction and efficiency goals.
Every bit of data you need for financial and performance analysis flows from operations and must be considered secondary.
Trends, real-time costs, insights – all of these seem elusive. The only way to truly get there is to understand what’s really going on in operations.
Include your Operations team – field, shop, vendors, and analytics personnel – in the software conversation. Make sure they love the solution and works for them in the way they need it to work. If Operations has buy-in, they will use it and it will pay for itself. Everything needed for performance and financial purposes will flow from the same system. However, while making the decision those should be secondary considerations.
Conclusion: Operations-First Drives Cross-Functional Efficiency
We have seen far too much money wasted when companies allow accounting goals to drive operational systems. This includes prolonged inefficiency, unnecessary hiring of data entry clerks, and watching great people find new opportunities. Even after being in the software business for more than 20 years, we still see this happening.
This is a very different IT infrastructure, especially for the oil industry. Change is necessary to move forward and scale in the modern, technology-driven world. The industry is too complacent. We are used to sending millions of dollars worth of equipment into an extremely hot wellbore. Then, running the multimillion-dollar business with spreadsheets, paper, and disparate software. Doesn’t this seem counterproductive?
Drakewell specifically addresses these issues for operators, service, and rental companies alike. Let’s talk about how we can set your Operations team up for success avoid exhausting your people and your budget.