Barriers to Implementation of Real-Time Optimization Technology

Abstract

The SPE Real Time Optimization Technical Interest Group conducted a survey of its members earlier this year to learn more about the barriers to implementation of this technology. Understanding the barriers better will allow us to focus on the more important issues. The survey was in two parts. The first asked about the overall process of getting from data to decisions and action. The second focused on the usage of technical and business tools. This paper summarizes the results of the survey. We found that each step in the process has considerable major and minor barriers to overcome. The most difficult steps were in the areas of business analysis, recommendations / decisions and taking action. These are areas where management can have the greatest impact through improved work processes, governance and procedures. The results also show there is considerable need for improved commercial technical and business analysis tools Introduction The digital oilfield is the subject of a great deal of interest and emphasis these days. It has enormous potential, but seems to be slow in developing. This paper was conceived by the SPE Real Time Optimization Technical Interest Group (RTO TIG). (See http://www.merricksys.com/rto/) This is the fourth in a series of SPE papers sponsored by the RTO TIG1,2,3. In conducting this survey we were interested in learning more about the barriers to implementation of real time optimization technology, especially the barriers associated with getting from data to decisions and action. With the help of SPE International a survey of TIG membership was conducted early this year to gain insight into these barriers. Understanding them better will allow us to focus on the more important issues. A related analysis was published earlier by Liddell, Deaton and Mijares4. A summary of the results of this survey are contained in this paper. The Survey The survey was sent via e-mail to members of the RTO Technical Interest Group. The survey questionnaire was in two parts.The first asked about the overall process of effective implementation. Effective utilization of RTO involves a process of gathering and analyzing data, making recommendations and decisions and taking action (Figure 1). Perhaps the process was working smoothly everywhere, although we expected there are some snags somewhere.The survey recipients were asked to provide their perspective on where along the process the current difficulties lay. In other words, where is the wasted effort and lost time?The second part focused on the usage of technical and business analysis tools, where we suspected major barriers were limiting adoption. We were particularly interested in the application of analysis tools for technical and business applications. This questionnaire was focused primarily on wells and subsurface application tools. Respondents Over 200 people responded. About half worked for producing companies while the other half worked for providers - a fourth worked for service companies and a fourth were vendors, consultants and academics. About two-thirds worked onshore and one-third offshore. While similar, there were some differences between responses from the producers and the providers. In this paper we have highlighted results from the producers, but noted responses from providers as well.

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