These impacts may seem overwhelming, but they are not insurmountable. With the right outlook and preparation, oil and gas organizations can position themselves to take full advantage of the changes associated with automation. A key component will be to build a workforce that thrives in the new environment. Companies can begin that journey by taking a few key steps now.
Step 1: Assess your current state and identify gaps
Understanding your current workforce knowledge and skill set will help identify where your strengths lie and where there are gaps that need to be filled. This will help determine what is required in the form of upskilling or reskilling of employees, acquiring new talent and potentially outsourcing to another party.
Automated technologies aren’t just for the business, either. They can also help optimize HR processes and obtain data-driven insights. Optimizing HR processes will highlight how operating models need to shift to manage human and non-human workforces.
Some key items for consideration include:
- What are the key skills and capabilities needed in your workforce?
- What are the capabilities of your leaders in driving transformation?
- Will you need additional instructors to support upskilling?
Step 2: Define your strategy and future objectives
Automation is an enabling capability that can automate and enhance business processes. Knowing what you’d like to achieve through automation is the first step in defining your organization’s digital strategy.
A strategy should encompass what your organization wants to be and how to achieve it, its overarching direction and a clear mandate. The strategic objectives establish a course of action that balances the organization’s immediate needs with a longer-term outlook. Defining your strategy requires setting the direction, examining capital and resource allocation, integrating the long-range business plan and setting targets.
Some key items for consideration include:
- What are the areas where automation can contribute to your strategy?
- How can you improve productivity and reduce costs without compromising quality and safety?
- What can you do to differentiate yourself against your competitors? Or for your clients?
Step 3: Define your target operating model and organizational design
By identifying operational focus areas for deploying automated solutions, you can then define the organization’s operating model for implementing and managing new technologies in an integrated manner. This will not only dictate the types of skills required, but also the number of workers required for sustainment.
Operating model options run on a scale from centralized operations to federated at scale, with varying degrees of costs and benefits. Choosing the right model for your organization is key to a successful transformation.
Some key items for consideration include:
- Will your organizational hierarchy still function?
- What will drive automation in your organization?
- How will you be successful driving automation?
Step 4: Adjust behaviors to support the change
As with any change, ensuring your workforce is prepared to adopt the new way of operating is critical to success and there are behavioral shifts that you can begin today in preparation. Leaders can instill confidence by providing a clear vision of the end state, highlighting opportunities for career development and reducing the fear of job displacement. Increasing empathetic behaviors with others has shown to improve teaming and collaboration, which will be crucial for the effectiveness of cross-functional teams (think business, IT and HR working together).
Adopting automation will also require a shift in organizational mindset. It’s not a “one and done” deal. Leaders will need to monitor external changes in the market and continuously stay ahead of the latest technologies.
Some key questions to consider:
- What is your current culture like? What needs to change in your culture to successfully transform and adopt the new way of working?
- Is the organization agile and fluid enough to quickly and effectively adopt new technologies?