In case you missed it, here a summary of Karen Walker’s latest blog on the IoE Blog site that reaches out to all those in the Oil and Gas Industry:
“…we recently published a new report that shows a global oil and gas (O&G) industry awash with disruption, and primed for digital transformation. Low oil prices have upended the sector, spurring an urgent rethinking of strategy by oil and gas executives—and accelerating the adoption of IoE.”
Karen Walker, Senior Vice President of Marketing at Cisco and interim CMO, highlights some of the key findings from the report:
“To become agile enough to compete in the IoE Era, the oil and gas workforce must possess a mix of technical skills, industry knowledge, and business acumen. With talent shortages due to massive numbers of professionals retiring over the next few years—and a lack of necessary digital skills among those who remain— O&G firms need to make bold moves to transform their workforce strategy:
- Extend the reach of existing expertise –Video-based collaboration can help bridge the expected talent gap by making the most of professional expertise that is spread too thin, as well as providing ongoing training throughout the organization.
- Attract digitally-savvy talent – As up to 50 percent of oil and gas workers prepare for retirement in the next five to 10 years, who will be the next generation of workers that replaces them? An earlier Cisco report showed the next wave of digital transformation will be all about capturing timely, actionable insights from the deluge of data being generated by the Internet of Things (IoT), a key enabler of IoE.
- Bridge the silos – In addition to analytics expertise, O&G companies will need employees who can see and work across the boundaries between IT and operational technology (OT).
- Create a culture of innovation – O&G companies don’t compete just with each other for top talent, they compete with the likes of Google and Facebook. The best and brightest data scientists and software engineers want to be on the leading edge of innovation, not mired in “the way we’ve always done it”.”
Read the full blog to find out further insights here:
…and, as always, let us know what you think!
Tags: analytics, CERAWeek, Cisco, collaboration, Data Science, digital, Disruption, future workforce, IIoT, Internet of Everything, IoE, IoT, Karen Walker, marketing, oil and gas, oil prices, operational technology, OT, transformation
By 2020, the number of connected devices is expected to grow exponentially to 50 billion. The world of interconnected objects will have it’s data collected, analyzed and used to initiate action, which will provide a wealth of intelligence for planning, management, policy and decision-making.
Important information will be pushed out to machines, to individuals, and to Read More »
Tags: Internet of Everything, Internet of Things (IoT), IoE, IoT, M2M, security
Guest Blog by Marcel Cappetti, Managing Director, Oil and Gas, Global Enterprise Theater
I’ve just returned from CERAWeek in Houston—an international event that could be described as “Davos for the energy industry.” It’s a gathering of the power elite, including industry, finance, technology, and government leaders from around the globe. For me, it was the perfect sensing post for all the angst and opportunity that pervades the industry today.
It was my privilege to participate in a panel on “Leveraging Operational Excellence to Drive Margin Expansion”—a key concern of oil and gas (O&G) executives following the crash in oil prices. Too often in previous downturns, companies have relied heavily on deep cost cuts—including massive layoffs and cancelled projects—to keep margins afloat. But this time seems different. There is general agreement in the industry that we will not be returning to $100-a-barrel oil prices any time soon. So it’s time for more than a course correction. It’s time for digital transformation. Digital transformation will drive operational excellence and, yes, margin expansion.
During my talk last week, I shared highlights from a new Cisco study discussing the new reality in O&G and the opportunity for digital transformation through the Internet of Everything (IoE)—the networked connection of people, process, data, and things. Key findings include:
- “Operational efficiency of existing projects” and “maintenance of assets and infrastructure” will be the top two areas of increased investment over the next 24 months.
- O&G leaders clearly understand data’s potential—they named “data analytics for faster, better decision-making” as the No. 1 driver for IoE investment.
- Business transformation—including breaking down organizational silos and converging IT and OT people, processes, and technologies—is essential for digital transformation. According to Cisco’s study, 59 percent of respondents do not believe their IT and OT organizations are aligned.
- Companies that transform will have a significant bottom-line impact. Analysis by Cisco Consulting Services shows that by implementing a range of IoE-empowered solutions, oil and gas companies can capture their share of $600 billion of Value at Stake between 2016 and 2025. For a $50 billion firm, this translates into an 11 percent bottom-line (EBIT) improvement.
Cisco can help O&G companies in their journey to digital transformation through the investments we have made in key technologies—such as analytics, data, sensors, wireless, and mesh—and through solutions developed with key partners. For example:
- Remote Operations—Developed with GE, our Connected Oilfield solutions increase personnel safety and improve asset integrity with predictive maintenance; real-time analytics at the edge and virtual expert support enable faster and better decisions.
- Pipeline Automation—In partnership with Schneider Electric, Cisco’s Connected Pipeline solution uses analytics at the edge to improve security and environmental protection with predictive detection of pipeline intrusion, leakage, and deformation.
- Wireless Operations—Developed in partnership with Honeywell and Emerson, this Connected Processing Plant solution improves personnel safety and process efficiency with wireless real-time tracking, video analytics, and automated incident response.
- Secure Operations—Industrial cybersecurity solutions improve security and risk management to combat new and evolving cyber security threats, specifically in the process control domain. A good example is a project for Royal Dutch Shell that provides remote proactive monitoring and SLA-driven management of security, applications, and infrastructure. We are working with industrial control system delivery partners such as Yokogawa Electric and Rockwell Automation to support this solution, which Shell plans to deploy at all upstream, downstream, and lubricant sites.
When the price of oil stood at more than $100 per barrel, the need for oil and gas companies to improve operational efficiencies was primarily driven by the competitive marketplace—and many firms took no action at all. Read More »
Tags: analytics, CERAWeek, Cisco Consulting Services, data, digital disruption, Digital transformation, Energy, IIoT, Internet of Everything, IoT, IT/OT convergence, oil, oil and gas
There’s a lot of hype around securing the Internet of Things (IoT). At the end of the day, I suggest that a more reasoned approach is in order. Securing the IoT will not be achieved by frantic worry about the volume of endpoints. Myopic focus on the volume of devices in an IoT ecosystem can lead to an important misstep: forgetting that it’s the Internet of Things. That means that all this data is passing through the network. Therefore, tackling security can only occur with diligent attention to the core of the IoT, namely, the network stack. In that way security can become as pervasive as the IoT itself.
I recently had the privilege of participating in a panel discussion at LiveWorx’s CXO Forum on Securing the IoT. Here are two predictions with respect to the IoT and security that I shared with the audience and my co-panelists at the event:
- Access and identity management will be critical in an IoT ecosystem. However, the username and password won’t be part of tomorrow’s approach: the password will die – and soon. It’s not radical to point out that passwords are insufficient on their own for authenticating access to sensitive data. I don’t think that means we’re going to go immediately to 21 levels of authentication, for example. We do need a human factor, and it can be biometric, or it can be at an endpoint. We’re familiar with straightforward biometrics such as the iPhone’s fingerprint scan, but there are also newer methodologies that track the exact way a human swipes a smartphone screen. We can leverage technologies such as this to enhance security in the IoT and its member devices.
- Our industry must work together in public-private partnerships to put a stop to the proliferation of regulations – country by country or region by region – that are creating a tangled web of laws, regulations, and guidelines around security. Conflicting guidance, standards, and regulations cause confusion rather than clarity. International standards bodies and government regulators should consider removing territorial blinders and revisiting the real mission: ensuring, to the greatest extent possible, that information and communications technology (ICT) are genuine and free from compromise and will not permit control over the operations for which they are used.
While strong international standards for IoT security and new authentication methods are just two pieces of the larger puzzle that will make IoT more secure, they are essential pieces. We at Cisco are working to make inroads in both these areas. Stay tuned.
Tags: internet of things, IoT, security
I recently attended the Strata + Hadoop World Conference in San Jose, and came away impressed with the accelerating pace of innovation in the world of Big Data. Companies and startups are innovating in every area of the Big Data value chain – from automating how data is collected, cleaned, and organized; to data governance and management; to data storage using a plethora of NoSQL database technologies; and to the numerous emerging tools for data science. Read More »
Tags: Arun Saksena, big data analytics, Cisco, data scientists, Fog computing, Internet of Everything, internet of things, IoE, IoT