SOCAR Launches Digital Field Project Based on SAP UFAM

SOCAR conducts the digital transformation of its oil and gas production. SAP UFAM (a joint solution of SAP and OIS) will combine production processes in one system and will be integrated into the digital core of the enterprise - SAP ERP. The start of industrial operation of UFAM is scheduled for June 2020.

SOCARs vice-president for field development Yashar Latifov said: “SOCAR strives to use advanced technologies in business processes and production, while setting industry standards for oil production and supporting the government policy on digitalization of the economy. The implementation of UFAM platform will consolidate disparate data from various production systems. It will carry out integrated analysis to ensure that wells are operated in accordance with the approved potential, and also optimize geological and technical measures.”

A consolidated team from SOCAR, Caspian Innovation Center, SAP Digital Business Services and OIS are creating a single data source, which will allow for integrated planning, modelling, analysis and monitoring of all oil production processes.

In the first stage, it developed solutions for the main business processes, data and its integration with SOCAR measurement source systems, corporate data storage and SAP ERP digital core. The solution was implemented in the system of consistent algorithms and has been tested at two production departments of SOCAR. It demonstrated the functionality of the platform for selection of geological and technological measures, analysis of wells operations, integrated modeling and planning of the production process. The training for main users has already been finished. SOCAR’s responsible specialists have been appointed to various data groups to verify data and upload it to the system.

Launching the platform for industrial exploitation will enable SOCAR to achieve the following goals:

• a standardized approach to planning will ensure performance record of all production services affecting the output. That will significantly reduce intraday shortages;

• a permanent asset model will be realized in the integrated modeling subsystem to support decision making and calculating the pattern of static and dynamic constraints;

• all business facilities (well, pipeline, ground equipment, energy facilities, etc.) will be displayed on the map of monitoring panel in real mood with a presentation of their passport, target and current operation parameters

Dmitriy Pilipenko, CEO of SAP CIS said: “SAP UFAM is the first product developed in the CIS and included in the global SAP price list. This means that the solution meets high international standards and local customer needs as well. The system takes into account many indicators in its work, from the reservoir to the oil delivery unit, which allows us to transform production processes. We are pleased that for 10 years SOCAR has been choosing SAP solutions for the implementation of projects of strategic importance for the whole country.”

Note:

OIS is a leading Russian IT company with more than 20 years of history specializing in the creation and implementation of IT solutions for the oil and gas sector. Many OIS solutions are standards in the oil and gas sector in the Russian Federation. The company employs about 260 people and has offices in 13 cities in the Russian Federation. OIS has been an SAP partner since 2016, the SAP UFAM solution is the first Russian partner solution included in the global SAP price list.

Caspian Innovation Center (CIC) was founded in 2017 as a joint venture of SOCAR and IBM. The main goal of the enterprise is to implement various solutions based on SOCARs industrial experience and the knowledge of leading companies in the field of data analysis. CIC has prepared a strategic plan for digital transformation of SOCAR and carries out that plan.

CIC is a center of digital technology and expertise and it is active not only in Azerbaijan, but rather in the whole Caspian region. During short time of existence, it managed to widen the area of activity, encompassing Uzbekistan, Turkey, Georgia, and Romania. CIC experts have profound experience in the implementation of various SAP modules. They can work in various fields, including consolidation of financial reports, procurement, and production management, building platforms for drilling management etc.

The company aims at creating a one-stop shop for data processing and projects in the field of Internet of the Things, Blockchain and AI technologies.

SAP is a global leader in corporate application market. More than 413,000 customers in 180 countries around the world are using SAP solutions and services. In 1992, SAP SE opened its office in Moscow, now the number of SAP CIS employees is about 1300 people, the company is represented in all CIS countries. In 2012, the SAP Labs Research and Development Center was opened in Moscow, which now has divisions in St. Petersburg and Izhevsk.

SAP is the multinational software corporation that has its own data center in Russia and is constantly improving its capacity.

For more than 25 years, SAP has been helping domestic companies to transform and optimize their businesses based on innovative solutions. In July 2018, the SAP Digital Leadership Center was opened in Moscow. It is an innovative hub for events, demonstrations of new technological solutions and joint developments with customers and partners.

The company actively invests in training, increasing competencies and developing ecosystem expertise. More than 60 universities in Russia receive free access to SAP software for educational purposes. Since 2017, 12 SAP Next-Gen Labs - innovation centers for students and young IT professionals have been opened there.