Business Strategy: Capital Project Management in the Oil and Gas Industry

This IDC Energy Insights report examines the benchmark study conducted by IDC Energy Insights regarding the maturity of information technology (IT) systems at oil and gas companies to manage large capital projects at an enterprise level. Oil and gas companies are dependent upon business processes and IT systems to execute large capital projects.

According to Catherine Madden, senior research analyst, IDC Energy Insights, "Oil and gas projects are becoming more technically difficult due to geographic location and fewer skilled resources, and an advanced approach to large capital project portfolio supports a comprehensive assessment of risk and opportunity for an oil and gas company." While oil and gas companies are more advanced than other energy industries such as utilities in their business processes and IT systems for large capital projects, the level of capability is, in many cases, still limited within business units and not enterprisewide. Information technology can help optimize capital project management in the oil and gas industry.