Radix Digital Transformation Projects Yield ROI in < 3 Months
Volatility in the Oil & Gas sector has energy companies looking for new ways to innovate and lower the cost of ownership of their data infrastructure. Higher margins, fast results, and fast returns might sound like a pipe dream, but for two Oil & Gas majors, Radix delivered a number of projects in 2020 that have boosted client profits and yielded ROI in less than 3 months.
Critical Analytics Applications Deliver High Value
For one oil major firm, Radix focused on high-level data analytics applications that could bring value quickly and conform to the client’s work processes for minimal disruption. “The client chose Radix because we have the industry knowledge, can talk business, and could extract value from the data that could immediately resonate with them,” commented Leo Learth, Oil & Gas Program Manager. “We proposed to use their current technology stack, extracting more value from their OSIsoft PI System, as Radix has extensive experience delivering PI applications, and we thought it had the capability to solve many of their problems without additional infrastructure or software costs.
“Our first application was building dashboards that provide traceability in various views. This included what the target should be, and a forecast of whether they would make it or not. The dashboards conformed to their work processes and enhanced the company’s ‘gamification strategy by engaging employees to spot and solve problems quickly. We are on our seventh project now.”
Radix also created software for scaling analytics. Continued Learth: “Anything you can think of we can scale. For example, an engineer may make an awesome optimization rule in Matlab for O&G separation but can’t scale it up. Our software makes it possible to scale the rules to all separation facilities. The idea is to minimize the effort to the extreme – the software takes care of everything. Our current challenge is to roll the software out to all of the company’s infrastructure.”
Another example is rented compressors. The software notifies the Owner/Operator which compressors are operating, and which are not in working condition so that they can cease paying rent.
The solution is also being applied to the De-Risking well-produced water hauling and disposal. The application monitors truck drivers who collect the wastewater and track what they are collecting, if they are collecting it at the right moment, and if the disposal is made. “Previously, the client did not have much visibility into the hauler’s operations. They might go for a pickup that did not need it or go more often than needed. We are developing a mobile device that will enable ticketing, geo-fencing, bidding for companies to collect water, visibility on the drives they’ve had, and issue them a number to put on the invoice.”
Radix and the client are exploring future Backoffice applications of the technology. “It comes down to data quality and collection,” explains Learth. “We help the client understand if the data is correct, collected the right way, and structured correctly”.
Pipeline Company Integrates Field Data with Hydrocarbon Accounting System
In another case of data quality improvement yielding fast ROI, Radix was contracted by a pipeline service company to assist in migrating between hydrocarbon accounting systems. The company had used the OSIsoft PI System to collect field data since 2005; however, they lacked a mechanism for getting this data into the crude oil tracking and accounting system.
“There were two problems,” commented Derek Meese, Radix Coordinator. “Although the PI system was used to collect data, it grew organically over time and needed standardization. Much like a dirty closet, the data needed analyzing – what was clean and should remain, and what could be deleted and organized into an updated data hierarchy.
For the accounting issue, Radix developed a back-end application for scraping the data needed and exporting it into a clean format for the accounting system. The application delivers the mission-critical field data from the PI System so that accounting staff can track, invoice, and issue contracts. “We had the expertise to customize the PI system to meet their new software needs. We helped solve their initial black box problem just under 3 months,” commented Meese. Radix truly has a niche for leveraging its expertise alongside the PI System to help fix problems for its clients and optimize the data flow, thus enabling companies to make decisions based on contextualized data.
The second consulting project analyzed how they were using the PI System – how they could better govern the system in order to accelerate value generation and time-to-market of new digital applications that relied on the PI data. Radix provided the entire PI Governance Model, following the best practices and ITIL standards, to manage the PI System. This included the breakdown of activities and suggestion of a resourcing model to architect the system properly, improve its security, operations, and corporate support, and provide evergreen standards and best practices for the organization. Radix developed the RASCI matrix for the new governance model, as well as all the processes, their measurable KPIs, and risks, considering the clients' environment, architecture, and current team.