This power and control is provided to the user community through our user community vision. It is comprehensive in that it details the sources and means in which the power and control to affect change is provided to the users. Management of the industry is taken from the bureaucrats and is handed to the user community. It is the membership of the user community that will determine what is required, and what is desired in the industry in terms of their systems functionality and process management, and most importantly the business model that the users have effective control over. So that if there is need for a change in the price maker strategy of the decentralized production model, everyone will know that they need to turn to the user community to have these changes made.
And I would expect that in short order the user community will become the driving force behind the changes in industry. That the dynamic elements of the industry will be as a result of the capabilities of the user community to foresee the issues and opportunities of the industry and implement solutions within a timely manner that provide the most profitable means of oil and gas operations. Whether that is a minor change in one of the minor processes of the material balance report or wholesale changes to the business model. Change is going to be the dynamic that we will be faced with in this industry over the next 25 years. Our ability and capabilities to deal with those changes needs to be inherent in the organizations that we are establishing today and that is the why we are focusing today on the development of the user community.
What we expect to see is that there will be approximately 3,000 members of our user community. Each will be responsible for a specific process or sub-process within the oil and gas industry and be solely responsible for it across the North American producers. Each user community member will be the principal, or partner with other user community members in a service provider organization that provides the People, Ideas & Objects software solution and associated services to the producer firms. Whether that is an accounting or administrative process would depend on the background of the individual and their contribution to our development. We will not be handing out service provider licenses to those who have not contributed to the development of the Preliminary Specification. Over the next number of years the user community will be needed to determine the detail of the system's functionality and process management and this will be the time when users will be earning their goodwill toward a service provider license.
The service providers will be replacing the current administrative and accounting resources that are resident within the producer firms. Within the decentralized production model, the producer is stripped down to the C class executives, earth science and engineering resources, land, legal and some support staff. Therefore the estimated $45 to $60 billion in G&A costs that are currently incurred by the producers would be shifted to become the revenues of the service providers. Members of the user community are also compensated directly on an hourly basis for their contributions to the development of the Preliminary Specification by People, Ideas & Objects. This is a significant business opportunity for those interested in the user community of the new oil and gas industry.
Currently it is my opinion that we will be rebuilding the industry from the ashes of the destruction that is underway. Shale’s new dynamic on top of the bureaucracies muddling along strategy are toxic to the health of the industry. Continued inaction by the producers will eventually force the banks to take over. Providing an opportunity for the investors to purchase the oil and gas properties back from the banks. Then by using the Preliminary Specification, our users and the service providers will be able to manage the investors oil and gas properties profitably. Our appeal to the shareholders and investors of the oil and gas industry to rebuild the industry brick by brick, and stick by stick is the process that we need to keep our focus on. User community development is the first step in that process and one that we would be focused on if we had all our financial resources in hand. Therefore we are technically not wasting any development time by focusing on the development of the user community. So, what are you doing for the next 25 years? Take a look here to see if any of what we are doing interests you.
The Preliminary Specification and user community provides the oil and gas producer with the most dynamic, innovative, profitable and successful means of oil and gas operations. People, Ideas & Objects Revenue Model specifies the means in which investors can participate in these user defined software developments. Users are welcome to join me here. Together we can begin to meet the future demands for energy. And don’t forget to join our network on Twitter @piobiz anyone can contact me at 403-200-2302 or email here.