The Preliminary Specification Part CCXCVI (PLM Part XXXV)
There are many things that require transaction support in the Petroleum Lease Marketplace of the Preliminary Specification. Transactions such as lease rentals, surface rentals and bonus payments all would fall within the modules domain. In this post I want to look at the Oracle Fusion Applications Financial Management module to determine what services are available to assist in the processing of these transactions.
We once again should look to the service providers in terms of the expanded division of labor and specialization that has been enabled through the Preliminary Specification. The focus of the innovative oil and gas producer and Joint Operating Committees are on their land and asset base, and their earth science and engineering capabilities. The Research & Capabilities and Knowledge & Learning modules focus on the development and deployment of capabilities and the Petroleum Lease Marketplace module is focused on the land and asset base of the producer. Therefore to focus on those assets would require that the administrative minutiae of land administration, production and exploration administration and the accounting associated with land and assets be outsourced to specialized service providers. Enabling the producer to focus exclusively on building and maintaining the competitive and strategic land and asset base of their firm. A task that is the key to building value for the producer, and a task that is unlimited in terms of the amount of energy they could expend in pursuit of that base.
Here we have a scenario where the producer has selected the People, Ideas & Objects application modules as their ERP system. Which includes the Oracle Financials and imputes that high levels of specialization and division of labor are incorporated. Meaning that these accounting applications are primarily used by individuals who reside outside the producer firm. There will be members of the producer firm who use them as well, however, the majority will reside within the service provider firms. Thankfully we are using a cloud computing model of delivery of the systems to enable the use of these systems to be used by these other organizations. Now let's assume for a moment that there are service providers for lease payments who guarantee your surface and lease rentals will be paid on time, lawyers for maintenance of agreements and one for Crown / Federal lands, to name just a few. Each of these service providers are representing many producers with a large market share of the industry. Each have highly organized and efficient processes that require specialized software systems to meet their specific needs. People, Ideas & Objects, on behalf of the producers represented in our subscription model would need to provide access to the producers data and the development of these highly automated systems.
What processes would be adequate for one producer would be fairly simple and straightforward. In terms of a highly organized process, the ability of one producer firm to have the volume of activity to justify the systems to build the highly automated systems wouldn’t exist. In a scenario where the industry is being represented by highly specialized service providers the need for highly automated systems however is necessary. And these systems have to be an integral part of the producers system in terms of their Security & Access Control. For instance the lease rental service provider would be able to access only the tables relating to the lease rental data. Without this level of access the ability of the service provider to do their job would not exist.
In terms of the Oracle Fusion Applications we will need to adopt the full suite of Financial Management modules. These include the General Ledger, Accounts Payable, Accounts Receivable, Asset Management, Payments & Collections and Cash & Expense Management. We had already adopted these in the Resource Marketplace module and therefore only have to access the specific services within those modules that we need. Such is the advantages of modularity.
For the industry to successfully provide for the consumers energy demands, it’s necessary to build the systems that identify and support the Joint Operating Committee. Building the Preliminary Specification is the focus of People, Ideas & Objects. Producers are encouraged to contact me in order to support our Revenue Model and begin their participation in these communities. Those individuals that are interested in joining People, Ideas & Objects can join me here and begin building the software necessary for the successful and innovative oil and gas industry.
Please note what Google+ provides us is the opportunity to prove that People, Ideas & Objects are committed to developing this community. That this is user developed software, not change that is driven from the top down. Join me on the People, Ideas & Objects Google+ Circle (private circle, accessible by members only) and begin building the community for the development of the Preliminary Specification.
The Preliminary Specification is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for People, Ideas & Objects products remains at the sole discretion of People, Ideas & Objects.