Literature Review: IT Management Impact on O&G Performance in Oman

This literature review examines the effects of Information Technology (IT) management on the performance efficiency of selected oil and gas companies in Oman. The review explores the importance of IT management in the context of strategic organizational value, highlighting the benefits of effective IT management, such as increased production capabilities, improved investment capabilities, and enhanced decision-making processes. The study investigates the relationship between IT management and strategic organizational values, emphasizing the significance of aligning IT with organizational strategies to achieve successful performance. The review also discusses the slow adoption of IT in the O&G sector, emphasizing the need for effective IT management to control costs, enhance operational efficiency, and ensure customer satisfaction. Various research papers and studies are summarized to provide a comprehensive understanding of the role of IT management in the O&G sector of Oman.

Running head: LITERATURE REVIEW
Literature Review
Topic: Effects of Information Technology Management on Performance Efficiency in
Selected Oil, and Gas Companies in Oman
Name of the Student
Name of the University
Author Note

1LITERATURE REVIEW
Introduction
A literature review is a process of survey, and evaluation of the scholarly sources
related to a particular topic.” Literature review” is a significant consideration of a research
study as it given an inclusive summary of the earlier researches, and the works that has been
conducted in the chosen field of the study. The aim of this chapter is to enumerate, describe,
summarize, and evaluate the previous researches, and works of the other researches that has
been conducted in this field. This chapter will discusses the published information, in relation
to IT management in top hierarchal position in oil, and gas (O & G) companies. The
importance of IT management with the strategic organizational value of an organization
evaluated in this chapter, which will form the base of the further researches to be conducted
in this field. In this chapter, the various sources are summarized to get an idea of the link
between IT management, and organizational flexibility in oil, and gas industries.
Management of the information technology needs of an organization becomes a necessity as
it helps in management of the key functionalities of the organization in an effective manner.
The undertaken literature review provides a comprehensive understanding of the need
of managing the IT needs of the O & G industry of Oman to investigate the benefits, and
impact of the same on the organizational performance. Technology has a remarkable effect
on the administration process of the internal processes of the gas, and oil industry. The effect
is significantly large from the managerial as well as the decision making perspective of the
organization (Badpa, Salim, and Yahaya 2018). The effect of IT in O & G sector can be seen
in terms of productivity of a particular organization. The planned, and effective use of IT in
an organization has a significant consequence on increasing the efficiency of the performance
of O & G companies (Ahmad et al. 2016). The recent advancement in the field of technology
has made it mandatory for the O & G industries to invest on improving the IT needs of their

2LITERATURE REVIEW
organization so that the operational efficiency of these organization can be improved. The
literature review aims in exploring the impact of ICT on the performance of oil, and gas
industry in OMAN (Yusuf et al. 2014). The economy of OMAN is largely influenced by its
O & G sector, and therefore it becomes essential to evaluate the existing researches in this
field to understand the how management of Information Technology has affected the
performance efficiency of O & G companies in OMAN. The adoption of IT in oil, and gas
companies in OMAN particularly aims in improving the efficiency, and effectiveness of the
operation, and to aid the decision making process associated with these companies (George et
al. 2016). The literature review evaluates the organizational needs of implementing
Information, and communication technology in an organization. Along with that, the various
factors that can affect the implementation of ICT within an organization are further evaluated.
The adoption of ICT within the organization is further essential to address the degree of
improbability in today’s competitive oil, and gas industry. With an aim of succeeding in this
dynamic environment, the O & G companies of OMAN capitalize on the information, and
technological needs in of the organization.
In the following paragraphs, the researches related to implementation of IT in several
companies in OMAN are evaluated to understand the level of authority that should be granted
to the IT managers to ensure effective utilization of the benefits offered by the ICT in these
industries. The literature review further evaluates the relationship between IT management,
and the strategic organizational value related to O & G companies in OMAN.
Information Technology Management in Oil, and Gas Companies
According to Shukla, and Karki (2016), a growing quantity of O & G companies in
Oman have resulted in the need of understanding the requirement, and the benefit of
implementation of ICT in those industries. A number of companies linked with O & G sector
in Oman have implemented or have made use of ICT to enhance the operational efficiency.

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Proper management of the Information technology needs of an organization helps, and
organization in developing products, and the services in accordance to the requirements of
their clients. Rui et al. (2017), indicate that a number of oil, and gas companies in Oman
have invested in integrated information system with an aim of improving the key operations
of the organization, which include marketing, production, communication, and logistics
(Badpa, Salim, and Yahaya 2018). The recent trends indicate that adoption of ICT is not
particularly associated with only multinational O & G companies but also with the small local
companies of Oman as well. Majority of the O & G companies of Oman have built up certain
substantial financial resources, and competence to compete with the major players of the
industry. However, there are several issues that can be identified in these companies, which
are related to lack of experience in making use of cutting edge technology, and the business
process. In this world of emerging technologies, IT has formed an important part of the
industries. The revolution of ICT in oil, and gas sector in the recent years is quite noteworthy.
The technological innovations has largely contributed in improving the computing, and
telecommunication capacity of the oil, and gas companies in Oman. A strong interest in
adoption of IT has made it possible for the companies to realize the benefits of IT in
management of the internal processes of oil and gas sector (Badpa, Salim, and Yahaya 2018).
There are a number of benefits that can be realized by the O & G companies by effective IT
management within the organization. For example, effective IT management within the
organization increases the production capabilities of the organization, which in turn increases
the organizational and business profits. The investment capabilities of the organization are
further improved an effective IT management aids the decision-making process within an
organization. Management of IT in the oil and gas sector is not only essential to improving
the organizational efficiency but also helps in increasing the customers’ satisfaction.
According to Abdul-Rashid et al. (2017), organizations generally rely upon information

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technology to improve their performance, and therefore, effective management of
information and communication technology is important to increase the competitive
advantage of the organization.
Since the role of Information Technology is quite integral in O & G sector in Oman, it
is significantly imperative for those companies to invest in management, and implementation
of IT in these companies. Several O & G companies of Oman which include Qatar
Petroleum, Emirates National Oil Company Limited ENOC, Kuwait National Petroleum
Company, Petroleum Development Oman (PDO) have strongly invested on the information
technology needs of the organization to ensure that all the operational process related to
extraction of crude oil, and development of the petroleum, to deliver of the finished products
to the customers are managed efficiently (Badpa, Salim, and Yahaya 2018). This further
helps in increasing the competitive advantage as well.
The implementation of IT in improving the customers’ service in an organization is
quite common, and this is the case for the O & G companies in Oman as well. Therefore, it
can be indicated that information technology are impacting the management in every surface
of the organization. The development of an IT model in the O & G sector has turned out to be
a necessity mostly because it aims to integrate the different activities, and key operations of
the organization (Kelland 2014). However, there is no denying the fact that the O & G
industry of Oman have been quite slow in adopting the information technology. There has
been several reasons behind the slow adoption of IT in oil, and gas sector. Proper
management of IT in oil and the gas sector becomes a necessity, particularly because the
customers, investors, and the communities are largely benefited by optimal use of IT in the O
& G sector.
1.1. Why is IT management necessity in O & G companies?

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Information Technology is crucial for the operation of the oil, and gas industry, and
this is a primary reason behind the increase in the demand for IT services in the oil and gas
companies. Technology is helping the oil and gas industries to cope up with the
organizational operational needs, and management of the complex business operations
(Lunardi et al. 2014). The O & G industry of Oman is needed to undertake the opportunity of
the digital transformation to manage the key work processes both at the operational level and
managerial level. Without effective IT management, it becomes problematic for the O & G
sector to optimize their performance, and to improve the competency, and the ability of their
workers. Several pieces of research indicate that information technology is a significant issue
of the O & G industry, yet its adoption is equally essential to increase organizational and
business efficiency.
Effective use of IT is necessary as it helps in controlling the cost. The efficiency of
Information Technology lies in the fact that IT provides an effective way of controlling the
cost of production. The use of IT can significantly contribute to improving the operational
efficiency, and therefore, effective management of IT is necessary (Reichert, and Zawislak
2014). IT management is further necessary for the O & G industry to decrease the production
cost, and to survive the era of cheap oils (Badpa, Salim, and Yahaya 2018). The O & G sector
is needed to capitalize on the business efficiency offered by the O & G sector to ensure
maximum profits.
2. Relationship between IT management and Strategic Organizational values
IT management is linked with strategic organizational value, and therefore, efficient
management of Information and technology needs of an organization becomes a necessity.
Strategic organizational values are mostly related to product leadership, customer
satisfaction, and organizational efficiency. Strategic value management within an

6LITERATURE REVIEW
organization further becomes a necessity to increase the competitive advantage (Al-Mascati,
and Al-Badi 2016). Consideration of the organizational values is important as it represents
the goals mission and vision of an organization. The implementation and efficient
information technology contribute to the management of the key organizational values, which
in turn increases organizational efficiency. The strategic organizational values are related to
long term organizational goals, and therefore correct usage of the IT in management of the
strategic needs of the organization becomes a necessity.
The key strategic values that can be identified in the majority of the leading O & G
companies in Oman, such as in PDO, include, a commitment to sustainability in an
“environmentally friendly way,” a commitment to “innovation, and excellence,” a
commitment to building strong communities. The fulfillment of these key strategic values is
subjected to the understanding of the correct usage of Information, and communication
technology, which in turn can contribute to increasing operational efficiency, and in
improving the organizational excellence.
As per the views of Khadem, Piya, and Shamsuzzoha (2018), linking the use of IT
with the organizational strategy is important to achieve a successful organizational
performance, and therefore a considerable amount of contribution from the O & G sector
becomes a necessity in addressing the current issues that have been faced in the major O & G
companies in Oman (Badpa, Salim, and Yahaya 2018). The organizational performance in
any O & G company can be assessed using a multidimensional perspective of criteria based
on productivity and the use of IT systems (Al-Mascati and Al-Badi 2016). There is no
denying the fact that there is a noteworthy association between the IT needs of an
organization, and the core organizational values. The presence of an effective organizational
structure play an important role in management of the strategic organizational needs.
Strategic organizational value of any oil and gas company can be influenced by several

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factors, one of which is the use of technology (Ashrafi et al. 2014 ). IT has the capability of
creating value for the organization by providing quality services to the clients, and by
managing the major risks that can affect organizational productivity. IT is significantly used
in the management of innovation and in the delivery of effective services to the customers. It
is of significant necessity to address the process in which an organization can provide the best
services to its customers in order to gain maximum profits.
IT management in an organization becomes a necessity as there is an increasing need
to provide quality services to the clients, enhance the decision making process, and ensure
maximum efficiency of the in all the works that are being performed (Kelland 2014).
Management of the strategic organizational value is further related to understanding the
environmental, and the societal impact of the services, and products offered by the Company.
Thus the introduction of the IT technology becomes a necessity in competing against
majority of the competitors of the leading oil and gas companies in Oman. Perrons (2014),
outlines the need of investing in ICT in management of the quality. Offering good quality
products is one of the key strategic values of an organization, and therefore, effective quality
management practices within the organization become a necessity. Furthermore, the correct
use of IT can enable an organization to obtain certain information which can in turn improve
a firm’s position of adapting to the changes. Several types of research in the O & G sector
have conceptualized the use of IT as a significant tool to manage the internal resources of the
organization, one of which is the strategic values (Badpa, Salim, and Yahaya 2018).
Therefore, it is of foremost necessity to provide an increased focus on the information
technology needs of the oil and gas industries. Quality management is a necessary need of the
O & G companies of Oman as it is the key to increase customers’ satisfaction and
management of the requirements of the customers. The O & G companies should therefore
work on analyzing the competence related to their present IT resources to address the key IT

8LITERATURE REVIEW
needs of the organization (Jafari, and Nair 2018). IT competence mainly represent a degree to
which a firm is able to effectively manage the information needs of the firm. With the recent
advancement in the field of IT, and use of modern technologies in O & G companies, it
should not be a problem for the major O & G companies to adopt to the new technologies.
The problems that are currently being faced in the major O & G industries can be easily
addressed . IT competence of the O & G industry in Oman is a necessity to manage the
strategic organizational values. Therefore, it is compulsory for the IT leaders of the leading
oil, and gas firms to understand the technological opportunities, and recent advancement in
the field so that those opportunities can be used to increase the operational efficiency of the
firm (Badpa, Salim, and Yahaya 2018). The IT leaders should work on aligning the IT needs
of the organization with the strategic organizational value. Identification of the key
opportunities related to the major business processes of the organization becomes a necessity
to keep a pace with the recent technological advancements. It is necessary for the IT leaders
to understand the importance of working with the recent technological trends which include
digitization, robotics, and artificial intelligence (Agrawal 2019). The digital strategy should
be aligned with the organizational values that will ensure effective management of the
organizational processes, which has the capability of reshaping the business processes of the
major O & G companies in Oman.
(Kelland (2014), argues that effective IT management is necessary for O & G
companies to manage their strategic organizational values. IT management is necessary for
the major O & G companies in Oman which include Kuwait National Petroleum Company,
Saudi Aramco, Emirates National Oil Company Limited ENOC, Executive Management
Committee, and Qatar Petroleum. Several management issues are identified in the mentioned
organizations which can be solved by managing the key IT needs of the organization (Garbie
2016). There have been several issues related to IT management in those O & G companies.

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The issues in the IT management of the organization are impacting the business processes
including the price of the oil. Oil prices have a noteworthy consequence on the financial
enactment of the corporate firms. The oil production process can be significantly improved
by managing the essential IT needs of the organization (Al-Mascati, and Al-Badi 2016). The
effect of Technology, and Digitization is quite significant in all the business sectors across
the world. Therefore, it is of foremost necessity for the O & G sector of Oman to understand
the importance of investing in IT management within the organization (Saxena 2016). The O
& G industry of Oman is an industry where digitization has not reached an appropriate level
as the industry is still being seen to make use of traditional processes in management of the
internal operations.
Effective IT management is a major issue in those organization mostly because there
is a lack of a centralized IT management department to identify, and manage the key IT needs
of the organization. Digital transformation initiatives is a necessary need for the O & G
companies to address the specific areas of improvement. IT needs within a particular
organization can be easily identified by addressing the key operational issues (Al Shoaili
2015). Thus it can be indicated that IT management is directly linked with the strategic
organizational values. The improvement of the IT needs of the leading O & G companies in
Oman can suggestively contribute in management of the strategic organizational values. The
findings from the existing literature indicate that IT management in these organization is to
be managed from the top hierarchal position. Lack of an effective IT management perspective
within these O & G companies are the key reasons behind the major organizational
inefficiencies (Ashrafi et al. 2014). The O & G companies are needed to make an effective
utilization of the benefits offered by IT to ensure that the key strategic values of the
organization are fulfilled. However, the effective utilization of the IT management can be
possible only if the right level of authority is granted to the IT managers.

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In this regards, it is critically essential to check if IT management within the
organization jeopardize the strategic values of the organization (Al-Mascati, and Al-Badi
2016). Value management process within the organization is a lengthy process that is linked
with management of the major operations. It management has become a necessity for
management of the key strategic values, and therefore, it does not jeopardize the strategic
values of the organization (Ali, Ashrafi, and Busaidi 2015). The strategic values of the O & G
companies of Oman is directly linked with the organizational strategic management. The
strategic management of a firm encompasses the management of business strategies, and
functional strategies. The traditional approach of strategic management within the
organization does not put much emphasis on the use of IT in management of the key
organizational processes.
3. Need of IT management in Oil, and Gas Companies
The findings from the previous section shows that IT management in O & G
companies does not jeopardize the strategic values of the organization but helps in increasing
the operational efficiency in terms of cost, and human resource management (Choi, Lee, and
Song 2017). Human resource management is a necessary need for increasing the
organizational efficiency, and the key operational processes of the O & G sector. The major
operational process of oil, and gas companies is related to boring of the crude oil, and proper
digitization in this field is necessary (Al-Mascati, and Al-Badi 2016). Digitalization, and IT
management in this field can significantly reduce the workload, and can help in increasing
the operational efficiency as well. Although the initial investment in this process is quite high
this would be valuable for the O & G companies in long run.
ICT is of great prominence in majority of aspects of O & G operations including both
upstream, and downstream operations (Lee, Chong, and Wang 2018). Oil companies in

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particular are required to invest of IT management not only to improve the proficiency, and
usefulness of their operations, but also for business management.
Strengthening the Competitive Position: It is of foremost necessity for any business
organization to maintain their competitive position to maximize their business profit.
Improvement of the major technological factors becomes a necessity for the O & G sector to
operate to its highest capability, which in turn can help in increasing the competitive
advantage. With the presence of several O & G companies in Oman, it is necessary for the
business organization to generate a highly competitive business environment, and for that
strategic use of IT is necessary (Chow, Ashayeri, and Stanley 2018). Strengthening the
competitive position of the oil, and gas industries requires planned implementation of
information Technology. The growth of any company is associated with effective
management of the customers’ need, and retaining the loyal customers. The information, and
communication technology is considered to be the significant tools for effective customer
management (Al-Mascati, and Al-Badi 2016). IT management therefore is a essential aspect
for the O & G industries to work on their key organizational processes, and in retaining the
customers of the organization. ICT has a significant impact on improving the operational
processes, which in turn increases the organizational productivity, and the competitive
position of the organization.
ICT is a major tool for making an optimum use of limited resources to increase the
organizational productivity (Al Shoaili 2015). In other words, ICT has a noteworthy impact
on the O & G operations of the organization. Proper IT management is further related to
various upstream operations, which also involves the upstream operations. The upstream
operations of the O & G companies in Oman is related to exploration, and production of
crude oil. One of the major concerns that the O & G industries of Oman is related to
extending the life of crude oil reserves, which can help in increasing the demand for oil. This

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is one of the significant reasons, the leading O & G manufacturing companies invest on
modern IT needs to enhance their competitive strength. One of the key challenges related to
oil production that is faced by the O & G companies of Oman is related to real time
imagining of the oil wells so that maximum oil extraction is possible (Al-Mascati, and Al-
Badi 2016). Exploration of the existing researches in this field indicate that an effective use
of ICT can help these organization to gather huge amount of data regarding the oil fields, and
management of those data can help in supporting the decision-making (Roberts, and Flin
2019). Several measures are taken to monitor the oil fields, and role of IT in making it
possible, is huge.
Prediction of Inefficiencies: The use of IT has another significant benefit in O & G
industry as it helps in effective prediction of the inefficiencies linked with the business
processes. In O & G industries, AI allows the companies to pin point the major inefficiencies
of their operational processes. Leveraging AI in refining the performance of O & G
companies can be beneficial (Baaziz, and Quoniam 2014). Prediction of inefficiencies can be
related to the upstream oil extraction process along with the internal processes related to
delivery of the finished products to the customers. Oman has seen an era of cheap oils, and
therefore, it is necessary for the O & G companies in Oman to identify or predict the
inefficiency in the system correctly. O & G companies are needed to capitalize on the
business essentials to identify the major IT needs of the organization (Choi, Lee, and Song
2017). The oil fields of Oman require to become a part of the ICT network so that the
efficiency of managing the same is increased (Witter et al. 2014). Proper IT management can
significantly help in optimization of the oil extraction process which in turn can contribute to
increasing the operational efficiencies. Therefore, it can be indicated that prediction of the
inefficiencies associated with the O & G companies of Oman can significantly help in

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addressing the major operational issues related to the process of oil extraction, and delivery
of the finished product to the customers.
Management of the Production Chain: It has been identified that the entire
production chain can be optimized with a proper use of ICT. The enhancement of the
business processes of O & G sector of Oman is subjected to detailed supervision, and
monitoring. In this case, the use of cloud computing to increase the accuracy, and
transparency in the process of information sharing is huge. Information technology has a
significant effect on management of the production chain by easier identification of the
production inefficiencies (Khalil et al. 2017). As discussed earlier, the use of correct
technologies can significantly help in addressing these inefficiencies, and can contribute to
increase in productivity (Badpa, Salim, and Yahaya 2018). IT has widely acknowledged the
crucial, and efficient operation, and management of the major industrial systems. A higher
asset reliability is necessary for increasing the performance, and productivity so that the
growing production demand can be efficiently met.
4. Management of the Information Technology Needs
According to Choi, Lee, and Song (2017), the O & G companies of Oman is required
to invest on management of the critical information technology needs of the organization. It
is of foremost necessity to understand the various processes in which the information
technology needs of an organization can be effectively managed.
Frigaard, Paso, and de Souza Mendes (2017), indicate the one of the essential steps
towards management of the IT needs of the organization is to understand the key
technological implications linked with the effective management of operational process.
Documentation of the information needs within the organization is a necessity manage the IT
needs of the organization. Management of the IT needs in O & G sector of Oman is

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furthermore necessary as the sector is currently under high pressure of achieving higher
returns on their capabilities. Effective management of the information technology needs
contribute to management of the growing demands, and competition towards the access of the
oil reserve (Al-Mascati, and Al-Badi 2016). The oil industry of Oman is facing a demand of
incorporating a diverse set of “human”, “mechanical”, and “technological” capabilities to
enhance the operational efficiencies. Recent researches in this field indicate that intelligent
surveillance is necessary in the wells to maximize the efficiency of the oil extraction process
(Ahmad et al. 2016). The increasing competition of the natural resources has made it
essential for the business organization of Oman to invest on IT to monitor the production
process. The effective use of IT has several benefits including gathering, and analyzing the
data quickly, and effectively.
The effective management of IT is integral to turn data into intelligence which is a
key necessity for management of the major business processes. The capability of the system
to identify the key operational needs, and the key functions of the O & G companies are
obligatory to be explored. IT enables the O & G industries to optimize the key business
operations, and therefore, in the oil, and gas companies of Oman, a planned operation of the
same is necessary (Aguilera 2014). IT implementation in the O & G sector of Oman will help
in optimizing the oil field operations. Streamlining the refinery operations, and petroleum
delivery can be possible by investing on the correct set of information technology that can
help in monitoring the entire production process. The planned approach involves researching
on the information technology needs that can possibly contribute to management of the major
processes related to operations. The major challenges linked with the operational process of
the major O & G companies can be evaluated using a systematic review process (Campbell,
Jardine, and McGlynn 2016). This reviewing process can significantly contribute to detailed

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identification of the key operational issues, which in turn can help in managing the
implementation process of IT within that sector.
4.1. Application of IT in Oil, and gas Sector: Increase in Performance Efficiency
IT enables the O & G sector to integrate several important business operations to
contribute to asset management, optimization of the oilfield operations, streamlining the
operations of refinery, customers’ management, and in acceleration of the downstream
operations as well. Therefore, it can be indicated that effective IT management contributes to
effective business management (de Barros et al. 2015). The application of IT in managing of
the key operations of O & G companies of Oman are analyzed in the following paragraphs-
Application in Exploration, and Production: The use of Information Technology
allow management of the exploration data which in turn upsurges the operation efficiency of
the entire process. The correct usage of Information Technology mostly enables the O&G
industry to gain an insight to the entire process of exploration by making use of 3D
visualization. The use of IT further enable effective management of the workforce
knowledge, and upstream operations to track the business necessities, and to optimize the key
operational output. In this case, the contribution of an IT manager is quite integral, and an
experienced IT manager is essential for visualization, and management of the workforce
knowledge (Evans, and Price 2014.).
Optimization of the Oilfield Operations: The effective IT management process can
the capacity to assimilate the production data with the operational, and financial data to
manage, and customize the workflow, and the internal operations. Optimization of oilfield
operations is directly linked with effective resource allocation (Perrons, and Jensen 2015). IT
provides a unique business focused capabilities to manage the key internal operations related
to optimization of the oilfield operations. Therefore, effective IT management is necessary to

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enable the O&G companies of Oman to integrate their operations of smart manufacturing,
which in turn increases the profitability of the organization.
Streamlining the Refinery Operations, and Petroleum Delivery: Proper use of
Information Technology helps in achieving total industrious maintenance with a united suite
of assets, and operations solicitations. The use of progressive IT tools can significantly
contribute to optimization of the supply, and distribution networks, which in turn helps in
management of the risk (Mithas, and Rust 2016). The effective use of IT further contributes
to gaining an effective control of the operations linked with execution, and tracking
structures, which in turn helps in streamlining the refinery operations, and petroleum
delivery.
Acceleration of the Downstream Revenue Growth, and customer management: IT
enables the O&G sector to leverage the strategic customer relationship which in turn helps in
acceleration of the downstream revenue growth. Information Technology usage within the
organization enable a complete understanding of the customers’ need, which in turn helps in
improving the relationship with the customers by understanding their needs. IT enables the
O&G industry to perform the opportunity management in an effective thus enabling a
business organization to gather more profits (Lu et al. 2019). Effective customer management
is a necessary need for revenue management, and for that planned implementation of the
Information Technology tools within the organization is necessary.
Enterprise Asset Management: O&G companies can significantly make use of IT to
manage the important assets. As the O&G companies of Oman prepare for a outpouring in
the worldwide consumption, cost effectiveness is needed to upsurge the supply of the oil.
Therefore, asset management becomes an integral need to manage the key business
operations running within the organization (Choi, Lee, and Song 2017). Asset management

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related to the O&G sector provides the companies with an opportunity of collaboration of the
functional silos including the key operations, maintenance, and engineering works (Chae,
Koh, and Park 2018). Asset management in an organization mainly refer to the systematic
process of governace, and realization of value of the services offered. Asset management in
the O&G companies enables the O&G sector to get a visibility, and control over the major
operational issues through the process of comprehensive tracking, and managing of the major
asset types.
Supply Chain Optimization: Correct usage of Information Technology contributes to
supply chain optimization which is another application of IT in O&G companies. Supply
chain optimization is related to business intelligence, and performance management, and
therefore it contributes to management of the key organizational processes (Lu et al. 2019).
Reduction of Cost, and Improvement in the Production Efficiency: Real time
visibility of the key operational issues contributes to the improvement of the production
efficiency. Proper use of IT can contribute to the increase in productivity of the skilled
people. The effective use of IT can help in establishing easier connection between the
inshore, and offshore support centers (Badiru, and Osisanya 2016). Furthermore, proper
usage of Information Technology contributes to the management of the key operations related
to supply chain, and inventory. The reduction of the cost further indicates improved
performance, and smarter reservoir management. Therefore, the O&G companies of Oman
are required to invest effective IT management to realize the benefits that are being offered.
Integrated Information Management: The use of IT can further contribute to
integrated information management which is another essential need of increasing the
operational efficiency of an organization. There is no denying the fact that oil, and gas
companies operate within geographically disperse location, and in such cases, effective

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information management becomes a necessity (Carvajal, Maucec, and Cullick 2017).
Effective information management contributes to proper collaboration, and communication,
which in turn helps in effective monitoring of the key internal operations of the organization.
The correct usage of information technology offers the needed visibility, control, and
automation of the key business operations running within the organization.
Security management: The effective use of IT further contributes to security
management. Oil, and gas companies fall under the most data rigorous industries in the
world, and therefore, it is of foremost necessity to look after the key security concerns
associated with the industry. IT management enables easier detection of area of threats, and
further contributes to management of those threats (Ahiaga-Dagbui et al. 2017). IT offers a
comprehensive range of capabilities to ensure effective information security, and data
confidentiality related to key business operations of the organization. IT offers an integrated
business driven security, and compliance to enhance the operational efficiency (Al-Noumani
2019). The data security is an integral aspect to ensure that all the internal controls are in
place, and the organization is capable of increasing the operational efficiency by ascertaining
that the necessary business information, and business strategy are safe from any kind of
unintentional access.
Cloud Computing: The technology of cloud computing has a noteworthy application
in the oil, and gas sector as this technology provides a highly automated, dynamic, and an
excellent alternative for delivery, and acquisition of the needed IT services. The O&G
companies of Oman should also invest in making use of the technology of cloud computing
in realizing its benefits, which include massive scalability, collaboration capabilities, and the
ability of deploying to the new services (Bello, Srivastava, and Smith 2014). The cloud
service delivery model mainly enable the O&G companies to visualize the key oil field
information along with manufacturing intelligence features (Agrawal 2019). The use of cloud

19LITERATURE REVIEW
computing helps in improving the decision making processes by making use of sophisticated
measurement, and related analysis tools. The use of cloud technologies enable O&G
companies in stronger optimization in automating, and integrating various functions (Al-
Mascati, and Al-Badi 2016). Therefore, adoption of cloud becomes a necessity to ensure a
smooth operation of internal business processes of the company. Use, and application of this
technology becomes a necessity particularly because it enables the O&G industry to visualize
the work process, and contributes to data management.
Health, and Safety Environment: Business responsiveness for the Health safety, and
environment has seen an amplified focus on the business (Mohammadpoor, and Torabi
2018). IT management contributes to effective management of the “health, and safety
environment” in O&G industry. IT has the capability of locating the critical aspect of health,
and safety requirements. The O&G companies are required to protect the safety of the
employees, and associated physical assets from the hazardous environmental condition, and
for that timely detection of the hazardous work environment becomes a necessity.
High Performing Assets Solution: Optimum utilization of the available resources are
the key criteria linked with increasing productivity, and customer satisfaction (Sawas, and
Watfa 2015). IT management enables the O&G industries to realize the assistances of high
performing assets, by correctly identifying, and managing those assets.
Optimization of the Production, and Asset Management: Effective IT management
offer the needed visibility of the product information, and the information of asset
management by leveraging 3D representations of the key assets of the organization (Mithas,
and Rust 2016). Gaining a visibility of the available assets help in focusing on reducing cost
in management of the key operations of the multiple assets which in turn enhances the
production flexibility.

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The global IT market for the oil, and gas sector offers a large range of technologies,
and solutions that can enhance the business operations. IT management in this sector is a
necessity as it helps in addressing the major concerns linked with the business operations, and
internal operations of the O&G companies (Choi, Lee, and Song 2017). It is therefore
essential for the O&G companies of Oman to invest on the IT management by aligning the
strategic organizational values with IT investments (Badpa, Salim, and Yahaya 2018). This
will enable the organization to understand the key operational benefits, and will contribute to
gaining competitive advantage.
Authority granting in Oil, and Natural Gas industry
The concept of granting, and authority within an organisation always follows a
method of determining the people able to handle the authority. There are several ways by
which companies uses this establishment of authority while maintaining the relationship
within their organisations. The company decides the layer of management with the exact
way, and process of communication. This is why, the granting of authority has been
researched about in many e papers about different authors so that the proper procedure of
deciding the level of control investing within the managers can be made to continue
effectively. This is extremely necessary as the proper procedure by which an organisation
decides its level of authority, and authorisation power is the same way in which the
organisation good look forward to have good relationship established within the people of the
organisation. As per the author (), the management of hierarchical level must be decided so
that every person understands the control that he or she has over the organisation, and how
their decisions would be implemented. It also makes the people within the organisation
understand their position within the organisation, and their own leadership quality. There are
several ways by which the authorities are divided amongst people as decided by the

21LITERATURE REVIEW
executives within the organisation. Following would be of you that has already been decided
by different authors in their respective research papers.
The managerial hierarchy
The management level order management pyramid that is effectively define by
different levels of management in organisation is called managerial hierarchy. This is a
process by which the management structure decides the levels of Management within the
organisation, which was three comprises of top, middle, and supervisory management. Every
unit within the managerial hierarchy need to be controlled, and all these must be supervised
by a single Manager which has the highest unit of authority. The formal authority of a
manager being the highest means that he is a top of the hierarchy. The highest position that a
manager is assigned to easily claim that he or she has the most power to decide what would
be followed within an organisation, and what not. The amount of power to decide for to have
the decision making power for making the organisation move through its Vision, and Mission
would decrease as the management pyramid moves down. The more the management
pyramid moves down, it is also found that the number of employees down the hierarchy
increases at every level.
Every organisation has several authorities that they need to follow for maintaining an
organised work atmosphere within the entire company. The traditional form of maintaining,
and granting authority to people within the managerial body might not be followed anymore
in new companies. Submit the following in but others might have changed its granting
authority, and the styles to different, and you are methods. According to the research by ,
there are several companies that has already eliminated the hierarchical methods altogether.
There are several organisations that do not maintain hierarchy, and grant the authority to the
employees within the organisation to the hierarchical upper hand over one another. Granting
authority within an organisation comes with two clauses. When one of the clauses how was

22LITERATURE REVIEW
the decision making body with the authority of can grant condition, and other with the can
only grant condition. The organisation that has eliminated all hierarchy altogether within the
organisation has also has reportedly implemented the strategy to make sure that the
organisation reaches its success without having interpersonal conflict between the employees.
Struggle between every employee within an organisation to maintain the hierarchy or to be
led by the hierarchical positions often lead to interpersonal conflicts between each other uh
which may result into, and productivity or decrease of productivity within an organisation.
Initiating communication, and coordination between the activities of the employees with not
just their colleagues but also the customers, suppliers, and other members within the
organisation, and to take responsibility for their own work is what the company was aiming
at.
Several organisations have also delivered the strategies of abandoning matrix
structures in hierarchy so that there are no problems associated with hierarchical position
within the organisation where duplicate reporting relationships or lack of Unity for
commanding is not established. Every individual within this kind of organisation fall into a
chain do not this product innovation part for also for providing legitimate power to the
authority. This legitimate power is granted from the end of the organisation, and the
employees acknowledge it. This allows individuals within the organisation to request an
action, and expect the proper compliance. Normally the authority, and responsibility are more
prone to move downwards when organisation assign the manager with the ability, and the
authority of making decisions for their subordinates. There is another process by which the
authority control is declared within an organisation which has also been researched by several
authors. This would be described in the next section where the probability of providing
authority to a person would depend on the time for the span that the individual has spent
providing services within the organisation.

23LITERATURE REVIEW
The span of control
As per the researchers presented by the author Agrawal (2019), span of control is also
level for the higher authorities to let them decide on how every level of management
hierarchy must be decided so that they are effective in supervising all the day to day activities
performed within an organisational unit. The span of control is regarded as the span of
management of a manager is decided by the number of employees which the manager has
supervision over. For example, a manager can handle or supervise 2 or 3 employees within an
organisation for over 50 people in an organisation. However, it can also be depicted from the
researchers by the same author that when a span of control of a manager is larger, the
efficiency of maintenance of the unity of the organisation increases.
The author also figures out several advantages, and disadvantages of granting
authority with narrow, and wide span of control. When a person is granted authority over a
certain narrow span of control, advantages mostly are allowing a high degree of control to the
manager, and you subordinate that are within the team are able to identify the skills of the
manager, and even the manager is more familiar with the skills of every individual within the
team. It also provides close supervision, and immediate feedback within the authority. On the
other hand, it also has several disadvantages like allowing a slower decision-making system
with vertical layers of authority, having isolation of the top management, expensive levels of
Management, and also discourages the employee due to autonomy.
On the other hand, the wide span of control provides Shiva level of management, and
increase the efficiency by reducing cost, makes the decision-making system fast, allows
organizational flexibility, and also create higher levels of job satisfaction since employees are
empowered within themselves. However, it also has disadvantage as this approach allows less
control, the managers do not understand what every subordinate goes through or what the
skills are of every junior member in the team they cannot provide necessary support on

24LITERATURE REVIEW
leadership, and lack of coordination of synchronisation office within the team. As per the
author in the research the authority granting with these two strategies has different effects on
the people while managing a very large or a small number of employees is required.
Finalising the best way to grant authority to a person within the organisation can go through
several different ways, and there are also other procedures developed for the same. Following
would be a detailed description of the different kinds of ways by which people within the
organisation in the decision-making body can take a decision on how to grant authority,
especially focusing on the oil, and natural gas corporation within Oman. Now having an
authority granted to the IT manager me certainly impact upon 3 specific zone within an
organisation. The determination of the right level of authority, and its effect on these three
aspects within the organisation would be describe in details as per the researchers have
depicted them in the respective research papers. A solid decision made on selecting the best
authorised body as an IT manager within an organisation enables the organisation, and its
different aspects to work properly. How the selection of these authorised body has effect on
the process mapping, utilisation of the human resources, and the technical guidelines within
the oil, and natural gas industry would be described in details in the next section.
Effect on process mapping
As per the author Aguilera (2014),, and the description is provided in this research
paper, it has been test fired that the process mapping within an organisation is extremely vast,
and has comparatively tentative substantial return on investment which does provide an
organisation with effective time, money, and effort utilization. Several process mapping
techniques utilised by organisation which have to be led by the IT managers so that the
business process mapping can be continued within an organisation. Business process
mapping is necessary for breaking down the delivery of the organisation to the customers,
and what they receive in return. Now for business process mapping, there are several

25LITERATURE REVIEW
organisations that uses different strategies. The more the organisation is inclined to
Information Technology, the more it utilizes the variant tools available in the market for
feasibility accounting the business process mapping. However, mostly in the oil, and natural
gas company, it is not found that the utilisation of the latest business process mapping Tools,
and techniques are utilised, and they happen to be using the age-old procedures of business
process mapping.
This is where the author Shoaili (2015), as stated that the visibility of end to end
procedures that mostly is deciphered through to a business process mapping cannot be done
with the age-old procedures, and strategies. Managing the authority, and providing the
effective person to be elected as the IT manager would effectively suggest to have a process
mapping report developed within the organisation by analysing all the data, and collecting
them through the utilisation of the valid information from the organisation. Now you can also
be extremely difficult for a vast industry like oil, and natural gas to collect data, and
information for proper business process mapping since the organisations within the industry
have customers all around the world. The author also points about that collection of
enormous amounts of data from these industries, and their proper analyse this is difficult with
the traditional procedures. Thus, it is necessary that the executive bodies in the organisation
grant the authority to the effective IT manager who is Innovative, and can the lead Change
Management within an organisation. The change within this sector to provide end to end
visibility of business processes has to be implemented by technological e develop tools to
view the process mapping. This will help the employees to understand their place within the
organisation so that understanding the individual skill of every team member the Information
Technology Manager or the IT Manager can take necessary steps to guide them through
meeting the vision, and mission of the organisation.

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It is necessary to have a proper IT management established within an organisation led
by a proper manager so that it opens up enormous opportunities for the business to improve
in the real world, and also calculate or measure the improvement that has been implemented
with the help of process mapping. It provides appropriate, and accurate data to you simply
utilization access within the organisation. On the other hand, process mapping requires good
management so that the methodology of process mapping is easy to understand. The change
that the organisation is supposedly taken in with the business process mapping system with
the help of the leadership provided by the manager, it is important that the change is not
brought about even when there is no requirement of it. For this it is important that the
manager strictly analyses the AS-IS process, which means the current procedure running
within the organisation, and its impact. With this analysis the baseline to locate the
alternatives for different variants of the business process can also be understood or predicted.
The storing of metastatic, total effort utilised, waiting time, and other activities are also
associated with this analysis to understand if there is a need of any change for the business
would have only investments, and no returns if the process for the business is changed.
Adding value to the business with the business process mapping is what the IT manager is
looking forward to, and it can only be achieved when the IT manager is capable enough after
the executive body grants authority. Therefore, it is required that proper, and appropriate IT
manager is selected or else the change with the business processes within the organisation can
be only investment of resources, and no proper justification of any advantage added to the
organisation. The process map also provides visibility of the responsible, and accountable
members within the organisation.
Now, how the author Baaziz, and Quoniam (2014), thinks that the development of
business process mapping can be impacted by an IT manager is by the support, induction, and
training that it provides to the fellow team members. This is guided by unapproved process

27LITERATURE REVIEW
map, and the only way to a developed mapping procedure if by having a best set of
communication for all the team members. An effective authority provided to an appropriate
manager would induce the entire team to communicate with themselves, and have a fair share
of information shared with in the entire team. When a team work together for unified goal,
which in this case is the process mapping, it is necessary that all the associated people
working together as a team would have all the information required for bringing together the
individual skills to the unified goal working together. A proper communication is required for
this, and as well as other aspects of Management. A proper development of the
communication process would decrease the interpersonal conflict that might provide
mismanaged or manipulated data to the process mapping system or even the occurrences of
redundant data that would finally fail the proper management procedure.
Coming from the information technology background, a proper, and appropriate IT
manager would know which typical, and effective tools needed to be used within an
organisation so that the process mapping is performed in the most feasible way possible
without any information tempering or data mismanagement. Process mapping tools easily
gain a bad reputation within an organisation since they are rarely used for changes in projects.
Several staff do not find it important enough to utilise as they have already done such
procedures before or they have never seen a process map because there was no change
brought together within the organisation. Therefore, from this response as provided by the
author, it can also be said that a process map, and Change management is interrelated to each
other which has to be developed through a proper an appropriate IT management personnel.
Bringing about change within an organisation is extremely necessary, and this would only be
justified if the organisation advances towards the future accepting changes within the
industry. The more changes are included within an organisation, the more the business
process maps, and the mapping techniques would be utilised. Utilising an easily accessible,

28LITERATURE REVIEW
ease of use, feasible, easy to understand,, and accurate process management tool ensure that
everyone within the organisation is having access to the stakeholder management, and
actually the team utilizes this tool for process mapping.
There are several Areas where management, and picking up the appropriate person for
managing the process mapping within organisation, especially the ones that are still applying
old procedures need to be affected, and impacted positively. There are several purposes that
process mapping service including change programs, visibility or process ownership,
induction or training, cross-functional process visibility for responsible, and accountable
individual for taking activity steps, helping customer in understanding the business
procedures, and delivering them,, and also for serving the business with integrated
management system. With the selection of the best procedure, and the appropriate person for
its management, compliance, and continuous improvement is also visible through process
mapping. The utilisation of process map makes sure that organisation understand the
compliance of the regulatory standard that has been standardized according to the laws, and
regulations of the company in which the organisation is established in. This usually refers to
the legislative body, and the legislative system as for Oman since the oil, and natural gas
organizations are bound to follow the rules, and regulations of Oman when they want to have
a continuous improvement utilising the business process mapping systems. On this context,
the author Garbie (2014), states that the utilisation of a proper management is absolutely
necessary as the manager would be effectively using the valuable resources for both internal,
and external audit when the compliances are to be avoided by the regulatory standards of
Oman. The country is already considered as a developing country, even though it is
considered as one of the largest suppliers of oil, and natural gases all around the world. For a
developing country like Oman, a proper management skill is required so that all the metadata
provided in the process maps can be stored against the activities, and steps taken. This is to

29LITERATURE REVIEW
ensure that the process governance application continual improvement is shown by the
organisation so that the compliance the law, and the country of Oman can visibly find the
continual improvement of the organisation.
An IT manager for this procedure is not only to suggest the specific tools to continue
the procedure of business process mapping for to initiate communication but it can also be
used by the manager as a tool for identifying, and mitigating the risk within the business, and
what controls can be put into place for mitigating the risk. The utilisation of this particular
function for the managers would provide them a visibility for making sure that the employees
are aware of all the rest areas within the organisation while performing their day-to-day
activities, and at the same time they have the ability to control all the risk areas so that
proactive mitigation of the risk can occur with knowledgeable employees are the than
reacting to a risk that has already occurred. The employees, under such guidance, would be
able to find the answers to all the risks, and risk areas within themselves to find how this can
be mitigated rather than discussing within the team for asking the managers at every point of
time for line management. Oil, and Natural Gas Industries area that finding answers to
problems by constantly asking the fellow colleagues on the managers would only result into
wasting of time. A proper authorised IT manager would enable them with the ability of
finding out the answers to all risk areas, and probable questions to themselves by making
each of the employees knowledgeable enough to understand the procedures, guidance, work
instructions, and accessible nature of data that would provide the inside should employees to
accurately perform the day-to-day activities utilising the business process mapping software.
Proper IT Management also provides an impact on the business process mapping as
this would impact on the total business, and how it handles the change within itself. Without
proper management of the entire team, and influencing change within the organisation, a
business can never be moving forward. Having a developing country like Oman in question

30LITERATURE REVIEW
of initialising change within an organisation, it should also be mentioned that the product
which is the oil, and natural gas has no point of initiating innovation. However, with the
evolution of time, the business data is increasing at such a large level that capturing the data
for the business, and providing information through business process mapping can become
difficult. Therefore, granting the authority to an IT manager what impact upon all these areas
as the effective manager selected as an authorised body would improve the public services,
and the organisational environment, and failing to do so would impact negatively upon the
day-to-day activities within the organisation resulting in declination to improve the public
services. The utilisation of authority, and hierarchical position is not what the oil, and natural
industry is looking forward to. Other than that, the determination of the right level of
authority granted for the information technology manager also affects how the process
mapping is performed because it is one of the most important things that an organisation
requires. It helps in allowing the efficient, and streamlined procedures within an organisation.
Having the most appropriate IT manager selected for this purpose would elevate the
reputation, and business activities of the oil, and natural gas industries in Oman. A
developing country like women with such a huge industry would definitely require the
application of an IT management system associated with all the benefits as the researchers
have informed about.
Human Resource Utilization
In the last few years the oil, and natural gas industry has seen such a vast change in
the human resource sector that several researchers has been conducted continuing to find out
the problems in the Human Resource utilization regarding this industry. Several different
studies have figured out that the technical talent hunting in the oil, and natural gas industry
that was conducted in the natural way was becoming less years, and the new set of skills in
finding new talent has been intensifying ever since. There have been several findings in the

31LITERATURE REVIEW
Human Resource utilisation in oil, and natural gas industry, which has mostly cause
implication for utilisation of proper strategy for the operation model. There are three levels of
descriptions which redefines the role of human resources in oil, and natural gas industry.
According to the researchers conducted by different authors, following would be the findings
as per the reviewed literatures in finding out level of disruptions.
According to the author Kelland (2014), the oil, and gas industry has experienced
huge resource scarcity which has often lead to increase in prices for the oil during several
periods of time. Over a lot of time, globalisation has also impacted upon the oil, and natural
gas Industry that lead to global War for talent. The creation of a centralised technical function
deploys care talent all around the world. The author points this out that the oil, and natural
gas industry has moved forward for a centralised planning which is accelerated with an
increased focus on risk, and compliance which is populated by other countries like United
States of America, and incidents in in the oil, and Natural Gas Industries in this countries.
The centralised decision-making making system has impacted the utilisation of Human
Resource techniques for clearing the mandatory requirements of skills for the employees
write the top where three fundamental changes have been form to be disrupting the oil, and
Natural Gas Industries having significant impact on the industry players.
There are several authors who have reflected their researchers on the fundamental
changes which oil, and natural gas companies has seen so far in the utilisation of Human
Resource facilities. As per the authors Mithas, and Rust (2016), there have been abundance of
resources that implicate the industry players. This abundant resource have prepared a proper
period of low prices of oil, and natural gas, and had primary focus on the cost, efficiency, and
speed. Traditional talent that human resource organisations used to implement within the oil,
and natural gas companies where no longer found to be in scarcity. The exploration capability
was initiated as less like a differentiator, and even Mega projects were not identified the only

32LITERATURE REVIEW
sources of growth. At the same time the market opportunity was the only economic reason for
the earliest movers in the industry. There are several assets that are considered to be having a
distinct operating model in the oil, and natural gas industry which includes conventional, and
unconventional, deep water, and renewable assets. This wear requiring a distinct operational
model which was not delivered optimally from a single corporate centre.
Another author found out that the profound advances in the technological factors were
what are the primary reasons by which the disruptions in the traditional ways of Human
Resource utilisation where created for enabling distinct changes in productivity. Right at this
point of time the traditional use of workers in the oil, and natural gas industry is being
replaced by automated workers including the knowledge related workers at oil, and natural
gas sites in huge number causing large-scale differences. There are some specific Areas
where these Industries require the interaction of human to human intellect which is being
replaced by the increased interaction between human, and machine. On the other hand there
are several devices that are now connected to the cloud which exponentially increases the
data generation. The explosion of data at saturate combined with the analysis of gather data
through machine learning tool are making companies reimagine the scenario where they are
not thinking about including human resource factors within the organisation but are more
inclined to implement automated machines to replace the human workers. The utilisation of
human resource is getting more inclined to the recruitment of advanced technology replacing
the human workers.
Another author Perrons (2014), has pointed out the factor influencing the Human
Resource utilisation, and the challenges of changes it has put into the disruptive traditional
recruiting factors is the shift in demography. One of the primary factors that are influencing
the changes in Human Resource factors for oil, and natural gas organisation are the
demographic shapes which are demanding the changes in the employees, and working

33LITERATURE REVIEW
environment who are expressing their concern about the role of oil, and natural gas
companies within the society. In the latest Times, millennials have gathered a percentage of
the total workforce in this industry which right now constitutes the majority of the workforce
in the developed markets. This millennial workers has already seen their way to an employee,
and then climbed to the executive, and management roles. These are mostly the group of
people who utilise digital Technologies for most of their activities in the personal life, and
professional life equally. The digital natives for the millennials are right now bringing down
the Expectations that they have regarding Technology, accountability, pace, and
collaboration. This is why they are such well-educated, and Technology salary that the
Global competitive talent base has grown in oil, and natural gas industry rapidly in the
emerging market. The utility of Human Resource has changed in the current scenario of oil,
and natural gas industry but the technical Talent Hunt as per traditional size an hour less
fierce. There are several themes, and Trends that are right now shaping the human resource
structure both in future, and the current time. The recruitment factor has been facing several
emerging human resource trends in the latest times that it is adding value to the industry.
These are mostly found in the sectors of Management for value, and energy, analytical idea
about the people, and digital tools, the requirement for flexibility, and change.
The author has pointed out several areas that are right now emerging as the human
resource trends. These are mostly providing several changes in the utilisation of Human
Resource facility that are creating changes all over the multidimensional industry. Different
include diversity, and inclusion of multidimensional facet, increase in the complexity of
global talent market, the renewal of intrinsic skills, individualized strength based
development, differentiated performance management, digital talent paradox, analytics of
people, digital talent management operations, driving culture change like a business,
decentralized, and differentiated operational model organisation blurred company boundaries

34LITERATURE REVIEW
(Badpa, Salim, and Yahaya 2018). Following are few centralised area where the utilisation of
the Human Resource Trends has initiated several different technological changes in the ways
by which people use to conduct their business in the traditional times focusing on human
resource development in the oil, and natural gas industry:
Managing for value, and energy: The management of value, and energy is found to
be the primary idea where every employee has to create the business value with increased
potential much more than the previous business value with the automation of digital tools at
their own disposal. This primarily leads to the increase on returns, and investments made with
personal development, and also helps in supporting the top employees within the organisation
providing the most effective performances out of the efforts report in the day-to-day activities
in the organisation.
People analytics, and digital tools: The analytics of people utilising digital tools
provide the human resource team with the means for which they can deliver the
individualized data that covers real time, and futuristic integration with the help of artificial
intelligence for automating the human resource release procedures. Business ideas begin to
initialise a transactional services as well as providing simple judgement or expertise based
task.
More flexible organizational models: The organisational models have become much
more flexible with the equipment of digital tools that the Human Resource Department in the
oil, and natural gas industry are particularly using. They intend to increase the speed of the
changes within an organisation that helps in the promotion of continuous improvement for
the organisation. This is because, it has been found that the new technology has a feature of
enabling categorically different ways in a way that human interaction is managed, and how a
particular employee works within the organisation

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Implications for Human Resource strategy, and operating model in oil, and gas
industries
The industry has been disruptive, and this has been only because of the significant,
and fundamental changes that human resource development has put in across the entire
industry. The organisations in this particular industry has to consider the refreshing Human
Resource strategy that has been initiating the formulation of rethinking the Strategies for
human resource operating model.
There are several Rapid advances in artificial intelligence, human machine
interaction, and automation which has formed the core of oil, and natural gas companies
including their human resource functions. Every level of the organisation consists of
employees that needs to create much wood business value than usual. The traditional times of
change, and in this realistic behaviour the white productivity differences between average,
and top performers has given a strategic importance to the human resource factors which has
been increasing ever since. Particularly, the human resource sector is creating value with the
help of the identification of correct employee, and talent that is required for every job
opening within the organisation related to the oil, and natural gas industry connecting, and
aligning to hard-core fact. The value created within the organisation supports the employees
to perform to their full potential within the organisation, and also make them be included in
several factors within the organisation that would take their feedback for not just enhancing
the performance of the employees but also embracing the changes for the organisations as
well. Therefore, every Human Resource Department within the oil, and Natural Gas sector is
shifting the focus who are the much more strategic role where, and Human Resource
Department worker is emerging as one of the top Advisors for the CEO within the
organisation. Oil, and natural gas companies can consider prioritising the strategic factors for
freeing up the business unit leaders from strategic responsibilities so that the Human

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Resource Department can take them up. Following is the competencies, and strategic roles
that should be taken up by the human resource department so that the oil, and natural gas
companies can take in the strategic actions:
 They must have a much more tailor development for the primary employees
within the organisation so that they can be supported with their role, and
context of day to day activities.
 The shift of programmatic change needs to initiate for continuous
improvement so that there can be a balance in working towards empowering
the leaders, and piloting alternative operational models.
 There should be a roadmap developed before the analytics are implemented
for the people in the Human Resource Department so that they can provide a
combination of the technique with Value creation link so that the strategy
would be experimental but it would have high value applications.
 The business should also digitally enhance the Talent strategy so that it can
support the business area as well as respond to the technological advances.
The major operational model in every Organisation in the oil, and natural gas industry
must also have an observation of the number of areas with refreshed human resource
operating approach for unlocking significant value added to the business.
Digital skills, and capabilities: This is a major change in the oil, and Natural Gas
Industries where the operational approaches include artificial intelligence, digital tools,, and
analytics, and also has providing the business with much more value for the Human Resource
functionalities. Therefore, the human resource departments should also start building abilities
in this particular field so that more value can be added to the business. We can begin with the
development of in-house translators so that a person who is not only understanding data

37LITERATURE REVIEW
analytical skills can also take up strategic capabilities of business with vast industry
knowledge. On the other hand the translator would also act as a product owner when the
company would consider analytics of external people, and other profession of Digital solution
to ensure the focusing on problem solving for the organisation. In the same way the translator
would also work as a in the serial internal business leaders so that they can also understand
the facilities, and requirements needed for implementing change within the organisation
based on their insight on analytical data.
Close-fitting incorporation of Human Resource facilities with the business: The
utilisation of the human resource pool based laughing system helps in preparing an embedded
human resource employee in business project. Taken as example, the company runs within
the product Optimisation which is well planned so there are requirements of staffing pool
from the Human Resource Department which needs to be insured full time for the project
team during the evaluation on implications of employee well-being. At the same time the
generation of insights for the team performance are also utilised with people Analytics. This
particular engagement would support the strategic role of human resource, and also provide
an overall trend for the autonomous, and cross functional team which commits to the problem
solving facilities provided to specific business problems. In the world today, the oil, and
natural gas industry is moving much for them with the ability of the company in managing
talent as both a driver, and an enabler. At the same time the Talent strategy discussion creates
a competitive advantage, and adds to the value of the business as well. Similarly, human
resource has become a part of the business shape, and also supports with the help of well-
founded perspective, and data-driven facility. The challenges, and opportunities that make
sure the company faces enhancement in future. While moving forward, it is required that the
management of talent is generated within each employee so that they can maintain them for
the development with utilisation of a strong talent. The work culture between the employees

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would also become increasingly important in the utilisation of Human Resource practices
where every organisation is found to have a strong talent culture built, and maintained
throughout the practices of Human Resource implemented. The oil, and natural gas
companies are not only allowing the improvement of delivery with the help of specific human
resource services but it also uplift the role of a strategic Human Resource Department worker
for developing their own talent cultures as well. This makes it easier for them to have a much
lasting, and stronger impact on your organisation adding to their business development,
which is found in the oil, and natural gas organisations in recent times.
Therefore, it is quite evident that the transformation of human resources is generated
out of the directions with digital technology in the oil, and natural gas industry environment.
The rapidly changing sector is impacted by the human resources which is open to the idea of
technological advances, and digital transformation. Even if there are significant barriers to the
human resource study, and strategic advancements, there is a realization the full potential of
the particular department in the industry, and the benefits it can add with the digital
transformations. All the Human Resource executive within oil, and natural gas recognise the
needs that the workforce is requiring at this point of time in the business with the
transformation over the entire industry. This is providing them with the actual ability to
transform the business from the traditional to the digitally advanced model.
Implementation in top hierarchal position in O&G companies in Oman
As stated by Lee, Chong,, and Wang (2018), Information technology (IT)
management mainly includes managing all the basic functions that includes staffing,
organizing, budgeting as well as controlling along with management of software
development, network planning, technical support as well as change management in the
project. IT is mainly used in organizations for supporting as well as complementing the
business operations that are in the organization. The process of IT management includes a

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process that includes all the resources in the IT are to be managed as per the priority of the
organization, and the need of the organization (Harthy,, and Shah 2019). IT management
manages the processes, systems, software as well as hardware that the company possesses in
its day to day operations. Information management can be defined as professional discipline
that teaches to manage the selection, and distribution of technology that are related with the
business environment.
Al-Badi, Tarhini,, and Al-Kaaf (2017) stated that IT management is a critical part for
all the business, and it helps to enable big data that includes business strategies, and retail
management of supply chain. Most of the business uses IT management system in its
business processes to manage its working process. Businesses can manage their data with the
help of IT management in the business operations. The concept of IT management is included
in financial management, service management, as in configuration management. The
technology that is used for IT management should be safe, and secured for the company. IT
management in most of the countries deals with managing the activities that are computer
based. The manager dealing IT is responsible in planning the goals related to IT in the
organization, and has the responsibility to work with teams so that the gals can be executed.
Management of IT in an organization should be kept up to date with the latest technologies,
and should have the ability to communicate with directive of other department.
As per the author Choi, Lee,, and Song (2017), Information technology is considered
as one of the major driving forces that are included in most the business practices. This helps
to expand the industry boundaries, and helps to reshape the industries. Application of the IT
is included in oil, and gas industries, and efficiency difficult operations are done with the
application of IT with automation process, and controlling of tools. The complexity of
business operations in O&G companies have increased. The business operations that are
carried out in the O&G companies needs in improving their production, and needs to manage

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their production with the help of IT in the business operations. There are several terms
present in IT to manage the development, and the operations in the O&G companies. There
are many smart objects that are included in O&G companies to manage their business
processes, and management of those IT smart objects are needed to be managed in the Oil &
Gas industries.
Oil, and gas industry in Oman
Al Salmi,, and Khan (2019) have stated that man is considered as the largest producer
of O&G in Middle East. Oman has approximately estimated 4.7 billion of oil barrels from the
oil reserves, and about 25 trillion cubic feet of natural gas reserves in the year 2018. The
daily production of crude oil in Oman is about 927,000 barrels each day in the year 2017. The
crude oil from Oman is mainly exported to Asia.
This industry plays a dynamic role in economy of Oman, and approximately half of domestic
products in Oman is actually maintained by the production of Oil & Gas. The Oil & Gas
industries in Oman not only rest on sources or the support from the government but also
depends on the private organizations in Oman (Olsen 2019). The industry of Oil & Gas is
considered as a most sustainable element in the economy of Oman from the year 1967, and it
is still considered as sustainable element in Oman. The oil market in Oman supports the
economy of the country, and is eventually including the concept of modern tools as well as
modern techniques in the business sectors. Oil industry in Oman is considered as the
backbone of many highly developed infrastructures that supports projects like public
education, electrical utilities, medical project, and other similar project in the country. The
low price of products in the Oil & Gas industries is pushing the firms to improve their
working efficiency, and is also forcing to decrease the base cost of the market, and the
workforce associated with it. Oman has many natural gas reserves which also helps to

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increase the economy of the country. Natural gas industry in Oman plays a prominent role to
expand the vision of the country to have an industrial growth in the coming years.
As stated by the authors Al Saeedi,, and Karim (2018), the infrastructure of Oil & Gas
industries needs regular monitoring as well as regular maintenance for avoiding accidents or
fires or leakages of oil, and gas that can result to environmental problems. To manage the
competition with other industries in Oman, the industry needs to emerge new technologies
that are safe, less expensive as well as can do the work more efficiently. Information
technologies such as ERP, cloud computing, big data, data mining, and human resource
management are used in Oil & Gas industries to manage its working process. Other emerging
technologies that can be used by the Oil & Gas industries are robotics, data collection
hardware, modern testing methods, software analytical tools drones sensors, and many more
(Al Suqri et al. 2018). This would help to manage the business more effectively. The IT
technologies in the business allows the use of integrated application of Information
technology, and these applications are to be managed to get a profit in the business. The
integration of information technology in mainly used in large Oil & Gas companies, and in
industries that have large number of human resources, and includes multiple functions or
working operation in the business. IT application helps to manage the sales, the production
planning, accounts, and improves marketing with a single database, and the interface that is
used with the application integration of IT is also user friendly. IT has the potential to
optimize the system that are being used in the business. The business environment of Oil &
Gas industries has increased its competition by the implementation of IT complex application
in the business. Managing the IT applications requires planning as well as includes decision
making for promoting the integration as well as helps to optimize the different businesses
associated with the system. The application of IT brings a new aspect in Oil & Gas industries

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because that helps to smooth the transition between the applications of IT technology, and
helps to increase the effect of the economy of the country.
As stated by Al-Maskari et al. (2019), the Oil & Gas industries in Oman also includes
cloud computing that expands the operational as well as cost-effective benefits that allows
organization for adopting the solutions of cloud computing. The Oil & Gas industries in
Oman is developing its infrastructure to diversify the industry by making advantages of
geographical locations. Oman has introduced EOR (Enhance oil Recovery) for distracting oil
from the oil reservoirs. IT involvement has enabled the Oil & Gas industries to undertake
EOR project. As IT applications are used in large number of the Oil & Gas industries, the
application are to be managed effectively to bring out large volume of profit in the business.
Impact of IT in top hierarchical position in O&G Company
As per the author Khadem, Piya,, and Shamsuzzoha (2018), top hierarchical position
includes upstream operations that includes exploration as well as production of crude oil, and
the main problem in the Oil & Gas industries is extending the life of crude oil reserves that
are increases the demand for oil. The Oil & Gas industries is facing problem in upstream
sector to increase the production of oil, and increase the rate of oil recovery. This has
introduced the concept of Multinational Oil companies for investing more on the research as
well as in development. This can lead to improve the drilling as well as improved the
extraction of the technologies that has been developed in the oil, and gas industries. The main
challenge that the Oil & Gas industries of Oman was facing getting more amount of oil from
the existing oil fields using the advanced technologies that allows real time virtualization for
oil wells as helps in increasing the recovery of oil. This was only possible with the
introduction of information technology in the Oil & Gas industries. IT technologies have
made possible for collecting large number of data concerning the oil fields, and helps to

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manipulate the data with the improved models that can support decision making with optimal
oil recovery methods in the Oil & Gas industries.
The author Al Hadhrami,, and Sharifi (2016) have stated that the oil fields are introducing IT
technology network, and with the network, all the oil fields are connected with internet, and
has provided the facility to be monitored in the real time. All the components in the oil fields
mainly includes oil wells, pipelines, oil rigs as well as oil pumps those are interconnected,
and each of the component that are used in the oil fields have different IP addressed so that
they can be tracked. The Oil & Gas industries mainly uses the capacity of computing that are
mostly used by most of the IT companies. The IT companies helps in providing the capacity
to geoscience departments of the multinational companies so that they can manipulate data
from the oil wells with the use of 3D seismic technology. This IT technology helps in
monitoring all the changes in the oil fields. The horizontal drilling of the oil wells mainly
requires accurate data manipulation, and with the use of well-logging devices the data gets
directly transmitted from the drilling wells to the experts who are capable of taking action,
and judging the situation to ensure best practices. Traditionally, the logging on the wells were
done once pulling out the drilling tools out of the well. But with the help of information
technology, direct data transmission is possible with the use of sensors in drilling machines.
The data gets directly transmitted digitally in real time so that they can be monitored (Hatmi
et al. 2016). The exploration of oil as well as production of the optimization department in
the oil companies are responsible for including smart fields. Oil industry smart field program
includes a holistic way to look on production for managing the reservoir, and with other
management processes that are included technically. This also objects to maximize the life
cycle value assets by development as well as deployment of the smart capabilities in the oil,
and gas industries. The smart field used in the oil, and gas industries helps to optimize the life
cycle continuously.

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The authors Rentizelas et al. (2018) in the research have stated that the oil pipelines, pumps,
platforms, and rigs are mainly monitored by the Information technology, and they are being
interacted by relying on large amount of inputs from the high technology. The inputs are
generally extracted from the exploration, production operation, as well as drilling that are
used in oil, and gas reservoirs.
IT technologies are also used in downstream operation. Operations in downstream includes
transportation, and well as refining of the crude oil, and also includes marketing, and
distribution of the products to different places. The technology of IT helps to store as well as
manipulate the different levels of data that are associated with purchasing as well as delivery
of the oil, and gas, refining as well as distribution of the end products (Alani, Khan,, and
Manuel 2017). The data included in downstream operations include price of the crude oil,
delivery cost, inventor cost, and other cost as well. The IT technology are mainly used in
refineries to protect the technological processes as well as helps to increase yield of oil
products by minimizing the harmful emission from the extraction of oil, and gas. IT
technologies help to prevent loss, and also helps in optimizing stocking as well as helps to
delivering the final products to the end users.
Application of IT in O&G Company
1. Exploration, and production: The authors Al-Mascati,, and Al-Badi (2016) in their
research study have stated that the technology of IT helps to gather the data, and helps to
manage the exploration data that are achieved from different applications with a particular
framework. This helps to integrate as well associate the data with the use of integration as
well as technology of Data hub. Technology of IT helps to analyze, visualize as well as helps
to gain insight to explore 3D geo spatial visualization tool. This tool helps to manage
workforce knowledge that are needed in upstream operations. This also helps to track as well

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as allocate the cost of production for the operations in oil field with the use of petroleum
production. This helps to visualize, and analyze as well as helps to gain insight exploration
using the tool of 3D geospatial visualization.
2. Optimizing the oil field operations: Information technology in oil, and gas
industries helps to integrate the data of production with the operational as well as financial
information with some enterprise that are petroleum specific (Jafari,, and Nair 2018). This
also helps to customize the workflows, track down the cost, and helps to allocate the
production cost that are included in the oil field operations with accounting of petroleum
production. With combination of technology in oil field, the business oil, and gas can focus
on the capabilities, and can include an incentive in the technology solution.
3. Streamlining the refinery operations, and delivery of products: IT technology can
help to achieve maintenance of total production with integrating suite of asset as well as
operation applications. This has used advanced tools for optimizing supply as well as
distribution of networks, managing the risks in supply disruptions using the modeling as well
as planning tools, helps to gain control for the operations with execution as well as helps to
track the system.
4. Accelerate the downstream revenue growth: IT technology helps to enable the
leverage strategic relationship between the customers with the use of industry specific
pricing, and helps to contract the management, drives growth for the retail with the increase
of non-fuel revenue, predicting as well as managing the demand of the class predictive tools f
demand planning.
5. Enabling effective management of customer: IT technologies helps the industry to
have global view of customer, and establish a direct relationship with the customers. The
technologies in IT helps to improve the account as well as helps to improve the opportunity

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management. This also helps to improve the selling of target account, helps to capture as well
as manage the opportunity information, manage, and capture the contact information that is
business.
6. Finding enterprise solutions: The challenges that were faced by the oil, and gas
organizations were not having integrated, updated, and live data of the organization to
improve the decision making in all the levels of the organization. There was a need of
systematic view for the processes as well as procedures that helps to adapt the best practices,
and include global standards providing single solution for all the challenges. IT technology
has helps the organization to integrate, and update data in the oil, and gas industries with
introducing ERP solution such as SAP, Oracle, Microsoft, and many others.
7. Cloud computing, and security management: IT technology have also introduced
the concept of cloud computing in the business process of oil, and gas companies. The
concept of cloud computing helps to provide highly automated, alternative,, and faster
delivery of the IT services. The cloud computing help to offer massive scalability as well as
provides collaboration capabilities with the organizations, and within each ecosystems. Cloud
computing provides the opportunity to deploy new services having greater speed, and
includes minimum capital investment. The cloud services, and the management solutions that
are provided by IBM helps the oil, and gas industries to visualize the information of the
industry, and also helps to manufacture the intelligence features in the industry. This also
helps to improve the process of decision making with the use of sophisticated measurement
as well as include predictive tools for analyzing the data. Stronger optimization in the process
of automation, and in process of integration leads in greater connectivity within the enterprise
with help of ERP, and other OT technologies.

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IT technology also provides security of data. The oil, and gas industries deals with
large amount of data, and the organizations should keep their system secured from any kind
of data breach. IT technology provides security solutions that helps to manage the risks
across the oil, and gas industries.
IT trends upcoming in O&G Company
IT is considered as key enabler in the upstream hierarchical position of the oil, and
gas companies. The industry of oil, and gas includes a digitalization way for the large as well
as helps to work smarter for doing more things to handle the business process. The oil, and
gas industry are using trending technologies of IT, and such four trending IT solutions are
mentioned in this section.
1. Rejected the old models, and has implemented new models for financial
business operations based on service delivery: The operational as well as information
technology are including new technologies including Internet of Things that have become
more affordable, and also have helped to complete the work in a smart way. This has
increased the affordability for the big as well as small companies. The oil, and the gas
companies are the early adopter of the sensor technology. The sensor technology has helps
the companies to collect large amount of data, and to have security of data that are related
with the organization.
2. Old assets were are scraped or maintained: There is unpredictability in the
market that the industries has reduced spending on large scale on maintenance, and on the
modification of the assets. If the organization does not deals with asset maintenance, there
can be potential hazardous for the environment as well as operational standpoint. The
organization sin oil, and gas industries are struggling to manage the backlogs of not
maintaining the assets. The more time the company does not maintain its assets, it can

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become more hazardous. The effective use of reducing the headcounts as well as including
contingent labor includes insight tools for planning as well as for executing the complex
projects, and helps to manage the workforce. This will help to keep the time as well as cost of
the company efficient. The traditional software portfolios that are used by the companies just
adds complexity in the working process, and adds cost in the operation process. The
companies should use approach of application which are capable of including point solutions
with operational planning, crewing rotation, as well as including workforce scheduling the
business.
3. Extract the most possible outcome from the existing resources: The companies
that moves on new projects continues to do so with less number of people included in the
projects. But with less resources, the run of the company will be at risks of not being
fulfilling the critical projects. There is a maintenance gap that are particularly seen in the
offshore environment. Aged engineers are being kept in the business process, and new
engineers are not being appointed who are capable of using new technologies. Technologies
such as drones provides the best inspection solution for the hard to reach equipment, and this
has driven to investigate the use cases in the industry. Drones can be used in the oil, and gas
industries for inspecting the remote as well as difficult to reach areas or the offshore rigs. The
data from the drone can be integrated with the asset management of the company, and can be
used for workforce management of asset.
Another tool that is recently being used in the oil, and gas industries is the
applications of augmented reality. The technology of augmented reality is delivered through
wearable or through mobile devices that enables remote shoulder coaching. The engineers on
ground can be handled with augmented devices, and tools by some specialist in some other
locations.

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4. Has become capable of addressing the more renewable market: As per the
latest edition report from the International Energy Agency, the renewables of the oil, and gas
industries is growing, and has grown by 13 % between the year 2015, and 2021 from the last
forecast. At the sea win farms, the service that is provided by the oil, and gas companies have
offshore experience, and is capable of adapting the wind energy that is required by the
offshore expertise. The organizations in oil, and gas is learning many new technologies from
the IT, and is using the emerging technologies that are placed in the organization to adapt
new strategies in business that supports their growing market.
Digital transformation of O&G Company in Oman
The oil, and gas industries has included the concept of Information Technology such
as big data, and included the concept of digital innovation. From the 1980s, the O&G
Companies have adopted the concept of digital technologies intending to have a focused
delay or have better understanding on the reservoir resources, and the reservoir production.
Including the concept of digital technologies in the business also helps to improve the health
as safety boosting the operational efficiencies in the oil fields all around the world. There is a
wave of implementing digital oilfield initiatives in most of the oil, and gas companies in the
year 1990s. This industry has not taken the advantage of all opportunities that the
technologies, and the data in the O&G Companies can provide. For an example, single
drilling machine in an oil field is capable of generating terabytes of data but only a small part
of the data from the drilling machine is used for decision making. The capital intensive
industries including the aviation as well as the automotive industry have also changed the
business as well as the operating model using holistic application available in the digital
technologies. These applications provides opportunity to the O&G Companies to have
transformational impact of digitization in its business operations.

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The oil, and gas industries is now on a new ear with the involvement of information
technology. There are certain technological trends that has changed the wave of the business
in the O&G sector. They are:
1. Disruption in the supply of products, demand as well as price of the
commodities: The O&G industry is witnessing the worst downturns that is mainly driven by
the supply side disruption. The price of the commodities has fallen more than 70 %. The
disruption in the industry will maintain the pressure on the prices of hydrocarbons, and helps
to prompt energy for focusing on the reforming of the portfolio, and includes in taking greater
role for energy transition.
2. Rapid changes with the technology: The rise in the platforms along with
mobility, surveillance,, and proper connectivity, and storage technologies are added with
ability to analyze the data as well as process the data rapidly. This helps to enhance the agility
as well as helps to support the real time decisions making system, and also helps on proper
execution of the business operations.
3. Changing needs, and expectations of the customers: In the O&G Companies, the
customers expects a direct engagement with the company,, and also wants personalized
service, and speedy delivery. The companies are also involved in paying more attention to the
issues of environment that helps to influence the energy choice seeking transparency from the
companies in different areas. The companies also is growing the technical sophistication by
establishing connection with different technologies, and with digital platforms.
Digital transformation in the O&G Companies can help to unlock approx. $1.6 trillion
value for the customers, society, and for the industry. The estimated value from the
digitization can increase up to $2.5 trillion only if the existing operational constraints are
relaxed. The impact of the futuristic technologies including cognitive cloud computing is also

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considered in the digital transformation of O&G Companies. Digitization can also create
more than$1 trillion value of companies in O&G industries. There could have been benefit
for the society as well, the customers could have saved $170 billion, and about $10 billion
productivity would have been improved with the use of digital technologies. This could also
have reduced usage of water as well as can lower the emissions of polluted air. There could
also have been environmental benefits with the use of digital technologies in O&G
Companies.
IT Management Authority, and Forms of Authority
Authority in IT management is the formal right for making decision that are based on
the formal organizational relationship. Authority in organization includes right to command
others or make decision, and command them what to do, and what not to do. Authority
includes directing behaviors that is actually based on two sub rights. One is the right to
decide, and the other is the right for issuing proper implementation of instructions. Without
having authority, one cannot have the right to decide, and no mangers can be successful
without having a proper plan for the project. Without right for issuing orders as for
instructions, the plan of the managers is of no use. This is because there can be no assurance
for the implementation of the plans that are decided by the organization managers. Authority
is considered as the corner stone on the organization, and authority provides the organization
characteristics to establish the hierarchy for defining the command chain. The authority
establishes relationship between job that is to be done, and the people who are not able to do
the job. Authority is considered as the fundamental aspect in all organizations because it has
managerial responsibility that can help in decision making, and helps to influence the
decision making system in the organization.

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The forms of authority have different names as per their look. Careful analysis
in different forms helps in showing the actual meaning that are attached in the forms if they
are summed up in the same direction. The following forms of authority are used for
demonstrating the effect of the authority form on organizational behavior, and measure its
performance.
1. Managerial Authority: The managerial authority includes form is basically given
to the managers to the formal organizations as they has the responsibility to acquire, deploy,
as well as control the resources that are needed in accomplishing the objective. The
managerial authority mainly includes right for enforcing the choices that are based on the
official position.
The nature, and the amount of the managerial authority is mainly required at any time
at any place in the structure of the organization. The responsibility of the manager includes
determining the factor that is included in deciding the total amount of authority that the
manager is needed for granted. There should be a balance to maintain the responsibility as the
authority that is needed in keeping the principle parity authority as well as responsibility that
is used for building as well as marinating the structure or the organization.
2. Staff Authority: Staff authority includes an authority that is provided to all the
staffs who works in the organization (Al-Asady 2019). This authority is provided to make
suggestions, and provide recommendations regarding any solution to the problem, procedural
changes, and the way they can do their jobs in an easy way. This authority is possessed by
every staff working for the organization. Everyone working in an organization has the right to
recommend or to suggest anything for the company.
There is a confusing aspect of using staff authority. The subordinates does not elect
for using their staff authority for some reason or the other. Moreover, there might be some

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discourage from the superiors that might discourage the subordinates from using it. This
particular situation is similar to the voting system. But the subordinates should have the
access to staff authority because it is their right to recommend, and suggest they like to
provide in the organization.
3. Situational Authority: As per Inubiwon (2017), this authority is a form that
includes both elemental of the managerial authority, and also includes staff authority. This
type of authority is generally delegated to staff experts who are not allowed in areas on
organization structure, and on the organizational functions where this authority can be
exercised. With this authority, the expert has been given right for making binding decision for
the organization in organization structure.
This authority generally begins with staff authority relationship. An example of this
authority is that in an organization, the accountant can have the right for making
recommendation, advising or providing suggestions to have proper accounting methods. The
expert can gain experience, and can gain confidence with this experience, and provide quality
advice to the organization.
4. Operative Authority: Operative authority includes right that are given to the
members of organization who are capable of taking decisions about how the work has been
carried out (Opong, Klaas,, and Benson Lamidi 2016). Operative tools includes the right to
carry out the assignment in the organizations. Operative authority also includes right to work
without any supervision. Some of the organizations do not include operative authority in the
forms of authority but it is necessary to include the forms of authority to have a complete
explanation on the right to organization members.
Operational authority includes two basic right; right in carrying out responsibility, and
determine the right about how the work will be carried out in the organization (Azadi et al.

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2017). All employees in the organization are important, and they have minimum rights to
speak out in the organization. The organization is not possible to run without skilled laborers,
technicians, and managers, and to work together in the organization is the responsibility of all
employees in the organization.
IT management Power, and forms of power
Power states potential as well as the actual ability that a person can have, and the
ability of that person to affect the behavior of some other person. The ability of power is
mainly dependent on a certain number of factors, including knowledge, personality as well as
authority. The power mainly receives formal recognition as well as includes backing by the
organization. This is known as an authority. Power includes a large concept compared to
authority. Power is defined as the influence that is mainly not dependent on organizational
positions. Power supplies include all interpersonal influence that mainly exists within the
formal relationship with the organization or within outside the organizational relationship.
The extent where the individual has the power to exercise a function of dependency
relationship is established between all parties. A more high dependency ratio states the other
things being equal, and high power indicates that things are not equal.
Influence is mainly based on power include many different forms,, and power gains
the support as well as potency in organization for the classification of power.
1. Regional power: This power is mainly recognized as well as accepted by the
subordinates that are being in agreement that is laid down with rules as well as regulations
that appropriate with both the rules of the parties. The source of power is checked with the
ability or knowledge that is included in the organization.
2. Reward Power: The reward power includes the power that comes from the ability
to control as well as dispensing the benefits that are from others (Park, Zhang,, and Keister

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2017). The controller for benefits mainly can shape the behavior that others have by simple
dispensing act or withholding the benefits. This power includes strength that is primarily
determined with the two forces,, and the size is mainly rewarded, which is dispensed.
3. Expert Power: The expert power mainly exists where an expert influences over
other experts because of possession of the knowledge or because of their special skills. The
skills mainly attract the respect of the experts. The skills of an individual are needed to solve
the problems that help to subordinate the return of the expert assistance.
4. Coercive Power: This power includes the ability of the person to punish others.
This ability punishes others if something is going wrong,, and others have strong motivation,,
and the obverse of the reward is being included.
Organizational conflict, and level of conflict
Kurt, and Gerede (2018) state that organization conflict mainly occurs between two or
more individuals in an organization that has opposing goals, philosophies, ideas as well as
orientation degrees. Most of the time, conflicts occur as a result of the bad organization
system, and do not allow enough freedom to the workers, and thus results in the clash in the
values that are caused because of job requirements. Conflict is central in the life of an
organization,, and no organization does not have any conflict. Conflicts generally lead to
frustrations as well as confrontations that come within the organizations or in between the
organizations. Conflict is a natural phenomenon,, and thus it cannot be unavoidable in the
organization (Iorgulescu 2017). The manager should be appreciated or can be recognized
with the value of conflict-related to the performance of the organizations.
There are levels of conflict that are included in an organization. Four levels of
conflicts include interpersonal conflicts, conflicts that are intrapersonal, intragroup conflicts,
as well as intergroup conflicts.

56LITERATURE REVIEW
Intrapersonal conflicts: As per Zhang, and Keister (2016), this type of conflict mainly
occurs within a person. This conflict can be caused when a worker is pushed to two different
directions at the same time. The managers can create a role that is overloaded for the
subordinates when the managers assign some compatible tasks, and are expecting too much
from the workers. The subordinates in the organization have the responsibility to set priorities
so that they can differ from other workers, and the managers. There is a constant strain that
can be seen as the intrapersonal; conflict among the subordinates.
Interpersonal conflicts: This conflict mainly occurs as strain result that comes
between more than two workers present in the organization. This conflict is serious, and if
this conflict is not managed properly, then the organization might harm the effort of the
organization to establish the goal accomplishment.
Intragroup conflicts: This conflict mainly occurs when there is a strain in a particular
group working in an organization. This conflict often includes a consequence of different
members in a group who are not working harmoniously in the group. Intragroup conflict
includes three different types, and these include the role of conflict, the issue of conflict, and
the interaction conflict.
Intergroup conflicts: This conflict mainly occurs as the difference in the departmental
objectives, and inside departmental rivals (Gond, Demers and Michaud 2017). In managing
organizations, it is much difficult to reconcile the different objectives that are included in a
different department. Intergroup conflict might result in having a different opinion over
having proper assignment responsibility as well as having low formalization in an
organization.

57LITERATURE REVIEW
Conflict management in an organization
Conflict management in an organization is mainly recognized by the fact of the life of
organization. The issue of conflicts includes about how to manage the conflict in an
organization. There are different levels of conflicts, and the managers have the responsibility
to manage the conflicts among the team members (Maher 2019). Managers needs to
transform the negative conflict to positive conflict. Some conflict management strategies are
to be included by the managers, and the strategies are mentioned below:
1. Suppression: With this particular method, the managers usually use the authority
for ordering all conflicting parties to suppress and implement normal behavior in the working
place. This method is an alternative method that provides quick to provide appropriate
solutions to have minor conflicts. It does not work in an organization where the manager does
not possess the authority commensurate with the responsibility.
2. Smoothing: The managers implements the technique to attempt in defusing this
type of conflict by consoling all conflicting parties (Müller et al. 2018). They are supportive
as includes effective language to restore the peaceful relation among all the parties in the
organization. Smoothing conflict helps the managers to decrease the hope of decreasing the
intensity of conflict, and help to avoid escalation in the open hostility form.
3. Avoidance: This technique of conflict management helps to deal with the conflict
by avoiding the conflict. The managers has main role in avoidance conflict management. The
manager just overlooks the conflict that arises in the organization, and working processes are
continued as it has been till the time.
4. Bargaining: The managers in the organizations seeks in establishing the middle
ground that starts from the original position that helps in generating conflict (Wangari 2016).

58LITERATURE REVIEW
If both parties move in the middle position, the conflict can be avoided and can be controlled.
Bargaining conflicts take place side by side.
5. Cooptation: This technique includes conflict management that occurs when one
particular take over subsumes to another group.
6. Third part Intervention: With this method, the conflict management mainly
occurs when one or more than one people not actually engaged in the party brings a conflict
in the organization (Kelly 2019). Third parties are bought to find solution that are generally
given by some third parties, and conflict issues are resolved by applying this strategy.
7. Job rotation: This strategy includes posting the workers from the department from
their primary assignment to some other department to avoid conflicts. This mainly includes
interchange of workers, and this method of solving conflict works best with the assumption
when the managers work with other groups of people, and they can appreciate the tasks of
others. The idea of having job rotation helps in removing all the causes that lead to unhealthy
completion when result of conflict is included in the organization.

59LITERATURE REVIEW
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