Paula Dittrick
OGJ Online
HOUSTON, Apr. 4�Now that the hype around e-business has faded, drilling companies still should be proactive rather than reactive in creating an e-business strategy, a spokesman for Helmerich & Payne Inc., Tulsa, said.
Scott Milliren, manager of systems development for Helmerich & Payne, spoke Wednesday at a drilling company executive forum sponsored by Novoforum, a Houston-based provider of e-business infrastructure.
�B2B (business-to-business) has a new definition�back to basics,� Milliren said, noting fewer energy-related electronic commerce businesses existed in September 2000 than existed in April 2000. But e-business remains important to the upstream sector, he said.
�We live in a customer-driven environment,� Milliren said of drilling contractors. For instance, customers might request real-time electronic invoices and might want to make electronic payments.
It would not be the first time that customers expect drilling contractors to provide more services, he said. During the 1970s, drilling contractors addressed health and safety concerns for their customers. During the 1980s, they formed alliances with their customers in order to provide turnkey contract services, he said.
�When will e-business drop the e- and become a core value?� Milliren asked, adding drilling contractors can use e-business strategy to improve supply chain connectivity through an information exchange between themselves, their customers, and third-party service companies.
The business of running rigs will always be the prime focus of drilling contractors, Milliren said, adding they also need to keep aware of what is going on elsewhere in the business world.
�We can�t get so caught up in our own efficiency that we are making sharper arrows and better bows but missing out in that someone is figuring out how to build a tank,� he said.
E-business technology is a tool that drilling contractors must learn how to use to improve their core business, he said.
For instance, Helmerich & Payne uses a wide area network, the internet, and wireless technology to keep track of its offices and rigs worldwide.
Exploration and production companies benefit from Helmerich & Payne�s e-business services by obtaining more information and faster information, which in turn enables them to make better decisions.
�E-business isn�t about rig auctions. What it is about is collaboration and exchange of information with our customers,� Milliren said. �We have a lot of homework to do in order to get ready to do this � at some point in time, the information technology guys can�t be stuffed in the closet writing code.�
Contact Paula Dittrick at [email protected]
