Emerging Themes Affecting Oil and Gas Organisations in the UK

Essay, 2018

5 Pages, Grade: 78.00


Emerging Themes Affecting Oil and Gas Organisations

The global energy sector is experiencing large scale transformations in virtually all directions. Emerging themes in the global economy, changing demographics, new markets international collaborations, innovations influencing the cost and consumption efficiency are overturning traditional perceptions regarding energy demand, supply, and sustainability. These revolutions are predominantly referred to as the pillars of emerging themes, namely, emerging changes in society, technology, work environments, and industries as well as markets. Emerging changes in the society have transformed energy consumption and management patterns, while technology disruptions are stimulating the need for sustainable energy management practices. These developments have caused or are anticipated to create drastic disruptions, affecting organisations dealing with energy production and management operations.

Digital evolution has triggered radical changes in different organisations in their respective industries. In particular, Parshall (2017) observes that various organisations within the oil and gas industry are either using or planning to roll out the digital technology in attempts to increase efficiency levels in energy production, distribution, and management. Technological developments and the resulting applications provide digital transformative opportunities that are paramount in accomplishing efficiency in working environments as well as the industry at large (Parshall, 2017). Automated applications in the contemporary digital environment are substantially enhanced energy consumption efficiency, which is a critical aspect in the wake of declining oil and gas natural resources and escalating energy demand.

The modern society has embraced digital technology in various aspects, which is one of the critical reasons why digitised applications in organisational management have intensified. This necessitates the need for digitisation business strategies, especially when dealing with the end-consumers. Digitised marketing approaches are potentially beneficial to the energy sector in enhancing marketing strategies and promoting desirable cultural values and attitudes that are productive in energy consumption (Araújo, 2014). Digital contents with the help of escalating internet culture allow the oil and gas industry to create awareness regarding the significance of using efficient energy consumption behaviours.

For instance, the energy sector can employ social media platforms and other digital channels to educate the society about energy saving and conservation tips. Such strategies allow organisation in the energy sector to model social behaviours and attitudes in attempts to enhance the ability to accomplish energy security and sustainability (Shukla & Karki, 2016). This will enable organisations in the energy sector to continue meeting escalating energy demands due to urbanisation and high population growth, while at the same time achieving energy sustainability and security. Therefore, digitisation supports organisations in their quest to attain energy demands and supply in the modern society.

The industrial revolution has led to systematisation of various processes seeking to enhance human performance and efficiency. The automation of core organisational processes in energy production chains upturns the effectiveness in oil and gas operations, reducing input expenses and enhancing output levels. In other words, computerisation in the energy sector, especially the working environment allows organisations to achieve maximum energy production output at reduced costs (Parshall, 2017). This indicates that industrial revolution is essential in promoting effectiveness in oil and gas management, allowing the energy sector to provide energy products and services at affordable rates.

Additionally, emerging technologies enable the energy sectors to implement high-risk production strategies. This is illustrated by digitised technologies such as seismic surveying permits the energy industry to conduct exploratory studies in attempts to establish productive investments. Digitisation improves the efficiency of oil and gas extraction along with production processes. These measures will further enhance the effectiveness of energy production and distribution activities, reducing the cost of energy industry products (Israel et al., 2015). Besides, cloud computing promotes the information sharing processes within the energy sector. This paramount as it provides a robust framework in which innovations and ideas are shared throughout the industry due to the availability of data. Information accessibility plays a central role in industrial revolutions by empowering small-scale and large-scale organisations towards achieving efficiency through digitised energy exploitation strategies.

Emerging issues in the modern society are likely to affect the energy sector in the next five years in various ways. Organisations will be forced to digitise most of their services as the sector is shifting from traditional engagement approaches to modernised platforms. Companies that are yet to invest on social media platforms in their marketing, promotion and consumer education strategies will be isolated in the coming years if they fail to invest on digital platforms. Traditional organisations in the energy sector will also be compelled to expand the use of social media platforms (Ardi, Aroua & Hashim, 2015). Virtual business management platforms and strategies will also gain prominence in the near future as business strive to accommodate disruptive changes caused by drastic digital technology developments. Notably, digital infrastructures dealing with corporate communication activities are yet to mature. This means that the number of regulations in this environment is relatively immature, necessitating more developed and explicit policies governing digital communications in the near future.

Industrial revolution will support the energy sector in the implementation of innovative business strategies to the availability of financial resources freed by increased efficiency in production operations (Badiru & Osisanya, 2016). As a consequence, organisations dealing with oil and gas management will survive turbulent market forces in the midst of escalating competitions. Population growth which is likely to increase in the near future will obligate organisation to develop innovative approaches in oil and gas supply chain in attempts to achieve sustainable and secure energy supply and demand. Nevertheless, emerging computerisation will increase the dependency level of machines in energy production. This will lead to less demand for human resources, which is detrimental to the energy labour market (Babbage, 2014). However, there are high chances that most companies will continue to collaborate with other industries in attempts to achieve maximum efficiency level in energy production supply chain.

Briefly, emerging issues that are largely triggered by disruptive digital technology continues to revolutionize the energy industry. Emerging issues in the society affect the manner in which organisations dealing with oil and gas management communicates with the target market. The prevalence of digitised communication in the modern society will promote the effectiveness of interactions between the services providers and consumers in the energy market. Computerisation of various activities enhances the management output, improving the output performance with reduced input costs. This will see the growth of highly sophisticated technological applications in attempts to achieve energy sustainability and security. Lastly, the energy sector will continue to witness escalating and emergent changes based on the most basic pillars of emerging issues affecting the industry.


Araújo, K., 2014. The emerging field of energy transitions: progress, challenges, and opportunities. Energy Research & Social Science, 1, pp.112-121.

Ardi, M.S., Aroua, M.K. & Hashim, N.A., 2015. Progress, prospect and challenges in glycerol purification process: a review. Renewable and Sustainable Energy Reviews, 42, pp.1164-1173.

Badiru, A.B. & Osisanya, S.O., 2016. Project management for the oil and gas industry: a world system approach. CRC Press.

Babbage, 2014. Internet culture. It takes a global village. Accessed 04 March 2018: https://www.economist.com/blogs/babbage/2014/03/internet-culture

Israel, A.L., Wong-Parodi, G., Webler, T. & Stern, P.C., 2015. Eliciting public concerns about an emerging energy technology: The case of unconventional shale gas development in the United States. Energy Research & Social Science, 8, pp.139-150.

Parshall, J., 2017. Industry Not Yet Using Digital for Disruptive Change. Journal of Petroleum Technology. Accessed 04 March 2018. https://www.spe.org/en/jpt/jpt-articledetail/?art=2955

Shukla, A. & Karki, H., 2016. Application of robotics in onshore oil and gas industry—A review Part I. Robotics and Autonomous Systems, 75, pp.490-507.

Silvestre, B.S., 2015. Sustainable supply chain management in emerging economies: Environmental turbulence, institutional voids and sustainability trajectories. International Journal of Production Economics, 167, pp.156-169.


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Emerging Themes Affecting Oil and Gas Organisations in the UK
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Leonard Kahungu (Author), 2018, Emerging Themes Affecting Oil and Gas Organisations in the UK, Munich, GRIN Verlag, https://www.grin.com/document/428644


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