If ever there was an industry and a time that epitomize “disruption,” it is the oil and gas industry today. Price declines of more than 50 percent since June 2014 have upended the sector, and dominate the agendas of industry executives. In fact, a new Cisco study identified “energy price volatility” as the external market force causing greatest concern for the industry today. The study, “A New Reality for Oil & Gas: Complex Market Dynamics Create Urgent Need for Digital Transformation,” shows an industry ripe for transformation by the Internet of Everything (IoE).
In the past, oil and gas (O&G) companies have attempted to address oil-price declines by resorting to short-term cost-cutting measures to see them through the slump. But this time is different. For one thing, it does not appear that prices will recover any time soon—if at all. Demand is down, and new production technologies are driving efficiencies that will increase production and keep prices low for the long term. This time, O&G firms will need to do more than cut costs – they’ll need to change their operating models through digital transformation.
For the study, we interviewed oil and gas executives, consultants, and analysts in 14 countries about the industry’s challenges, opportunities, and priorities. These experts identified intelligence from data as the key area needed to improve operational efficiency, and data analytics as the No. 1 driver of faster, better decision-making.
Additionally, the survey named faster problem resolution, better process control, and improved worker safety as the top three business benefits of IoE-powered technologies. The top three IoE-driven operational benefits were improved production efficiency, reduced downtime, and equipment performance optimization.
As an industry, oil and gas has been “digitized” for some time. True digital transformation, however, now requires adoption of the Internet of Everything — the networked connection of people, process, data, and things — throughout the value chain. Innovative firms are using today’s turbulent market landscape as an opportunity to grab competitive advantage by harnessing new IoE technologies. Read More »
Tags: analytics, CERAWeek, Cisco, Cisco Consulting Services, data, Digital transformation, GDP, Internet of Everything, IoE, oil and gas, oil price volatility, value at stake
I recently participated in a Cisco advisory board meeting attended by some of our leading manufacturing customers. There was a lot of discussion about the tough challenges the industry is facing. Flexibility, agility, and managing costs were hot topics. Traditional manufacturing environments with manual processes, independent systems, and siloed data create a lack of visibility into real-time operations and result in delayed responses to quality issues and inventory waste. Many manufacturing organizations are starting to take their first steps towards becoming digital. Let’s take a look at what that means and why making the transformation to a digital factory is the next wave of evolution. Read More »
Tags: Cisco, Cisco Connected Factory, connected utilities, Hannover Messe, Internet of Everything, Manufacturing, oil and gas, Tony Shakib
I caught up with Franco Castaldini, VP, Marketing at Bit Stew Systems to talk about Bit Stew and Cisco and wanted to know about where Bit Stew are going with product offerings, industry solutions, and customer engagements. This is what he told me:
Franco Castaldini, VP, Marketing at Bit Stew Systems
“It’s an exciting time for Bit Stew Systems as we extend our heritage in utilities into new markets such as the oil and gas industry. This week, the Bit Stew team is showcasing our MIx Solutions at the Entelec Spring Conference & Expo in Houston, Texas.
Bit Stew’s transformative MIx Core™ platform manages real-time industrial data at scale, automating the ingestion process, and utilizing machine intelligence both centrally and at the edge. Our MIx Director™ application (formerly Grid Director), harnesses the power of MIx Core, by building operator workbenches to provide industry-specific data models, search, reports, dashboards and so much more. MIx Director continues to serve as a container to plug-in MIx Apps™, which offers pre-built analytics, data adapters and visualizations that solve specific use cases that improve asset and operational performance.
Bit Stew majoring in Fog Computing with Cisco’s IOx Platform
With Cisco’s IOx® technology, Cisco’s field-based hardware devices such as the Cisco Connected Grid Router (CGR) and Integrated Services Router (ISR) bring a whole new level of capabilities to market. These devices are capable of hosting a guest operating platform where companies like Bit Stew can run our own applications like never before. Bit Stew is a member of the Cisco ‘Solutions Partner’ program.
Collaboration goes Beyond ‘Big Data’ and Drives Value
Bit Stew at Entelec
Bit Stew’s MIx Core takes full advantage of Cisco’s IOx technology, by embedding its core technology inside these Cisco fog devices, providing data analysis at the edge of the network and in cloud-based systems – all in real-time. Running MIx Core in the “fog” brings a significant new advantage for organizations that are dealing with massive amounts of data running on complex networks in the Industrial Internet of Things (IIoT). This end-to-end visibility enables industrial companies to gain actionable insights from the network in order to manage risks, improve asset performance and increase uptime.
A Proven Track Record of Success
Together, Bit Stew and Cisco have worked collaboratively to bring fog technology to life at major utilities such as BC Hydro, a Canadian electric utility in the province of British Columbia, which first deployed smart meters in 2011. The successful and proven track record we have had together with utilities is now resonating with the upstream and midstream oil and gas markets. The response the Bit Stew and Cisco teams saw at Entelec this week has been exciting and we will have more to announce in the weeks ahead.
Take time to learn more about Bit Stew at www.bitstew.com and read our new blog the Bit View for more insights and commentary on the IIoT.”
Make sure you catch the interview with Bit Stew’s CEO, Kevin Collins here: Fog Computing Becomes Clearer with Cisco IOx Solution
You can read more about Bit Stew here: Cisco and Bit Stew Edge: Thought-Leadership_Cicso-and-Bit-Stew_Distributed-Intelligence-Unlocking-the-Benefits-of-the-Industrial-Internet.pdf (710 KB)
About Franco Castaldini
Franco Castaldini is an experienced marketing, sales and product management executive who has led go-to-market strategies for innovative startups to large global companies. Franco leads Bit Stew’s product marketing and management, marketing communications, and global go-to-market strategy for the company’s growth in the Industrial Internet market.
Tags: Bit Stew Systems, entelec, Fog computing, IoT, IOx, MIx Core, MIx Director, oil and gas
You may already have seen the announcement of the Cisco Industrial Operations kit (if not you can read about it here: New Cisco Offerings Help Unlock the Industrial Value of the Internet of Things).
As organizations such as utilities, oil, gas and energy companies, and municipalities, look to leverage new IoT applications, demand is growing for a quick and simple way to deploy Field Area Network (FAN) pilots, as well as reduce the cost of deploying a secure network infrastructure for medium and small size deployments
Gaurav Agarwal, Technical Marketing Engineer, Vertical Solutions, Cisco, provides a short introduction to the Cisco Industrial Operations Kit and how it virtualizes deployment to reduce setup time to days for Field Area Networks and Industrial Networks.
It’s all about Cisco helping customers start to deploy multi-service FAN solutions quickly and more cost-effectively. By actually virtualizing secure network services on a single Cisco Unified Computing Server, the Industrial Operations Kit can now be deployed in a matter of days, instead of weeks (or, in some cases, saving months!).
It’s based on the Connected Grid Network Management System and plays a critical role in creating efficient, secure and affordable industrial architectures for small to midsize organizations and large field area network pilots.
Here’s what Kip Compton, vice president of IoT Systems and Software, Cisco, had to say at the launch “The IE 4000 and Industrial Operations Kit demonstrate how Cisco is taking the lead in bringing IoT capabilities to customers of all sizes. The market is demanding new infrastructure capabilities, and Cisco’s leadership in Gigabit switching technologies and comprehensive, end-to-end field network deployment offerings puts us in a unique position to help organizations build out long term strategies that address the challenges of an IoT environment. We have developed these offerings to give customers the ability to accelerate their IoT innovations.”
For the technical amongst you, The kit includes a single headend router, bundled with Cisco PRIME Access Registrar software for authentication, authorization and accounting, and the Connected Grid Network Management System with Cisco Embedded Services Routers for zero-touch deployment, managing up to 300 industrial routers and 250,000 RF Mesh endpoints with a single server.
Jeff Carkhuff, vice president of global solutions marketing for electricity, Itron was quoted as saying: “…With the Cisco Industrial Operations Kit, we are able to offer our customers more choices to match their specific needs, giving them an easy path to more IoT-friendly environments.” Read More »
Tags: FAN, field area networks, Gaurav Agarwal, IoE, IoT, oil and gas, utilities
Join me at the ARC Industry Forum Europe 2015 – March 4-5, Amsterdam, The Netherlands – where this year the theme is ‘The Information Driven Enterprise in a Connected World’.
“New and emerging technologies such as the Internet of Things, predictive analytics, wireless, additive manufacturing, modular and mobile production, cloud computing, mobility, and 3D visualization are beginning to disrupt and radically change the way industrial enterprises do business. Departing from the characteristic industry prudent innovation, leading companies now recognize that they must embrace new information, automation, production, and supply chain technologies to maintain a competitive edge.” (Arc Forum Executive Team)
The Forum is aimed at CEOs, COOs, and Presidents, CIOs and CTOs, and I shall be hosting a couple of sessions on the agenda:
The first day I’ll be driving a session on Collaboration and Organization, and the second day a plenary workshop on Industry 4.0, Industrial IoT, Dig Data, Analytics and the cloud:
Join me if you can. If you have a good case study from your company I’d be happy to buy you one of our great beers brewed in the Netherlands so that I can listen!
Please use one of the following methods to register for the Forum:
Read More »
Tags: Amsterdam, analytics, ARC Forum, cloud, Energy, industrial internet, Nico Smit, oil and gas