The SAP for Oil & Gas solution portfolio enables you to automate, streamline, and integrate complex processes, including:

Upstream management – Streamline processes related to the exploration, development, and production of crude

petroleum.

SAP for Oil & Gas solutions support processes related to the exploration, development, and production of crude petroleum, enabling key activities such as:

Exploration and appraisal – With SAP solutions, you can maintain your portfolio of assets by finding and

developing new petroleum reserves. Integrated solutions support the full exploration cycle, enabling you to assess

your current asset and production portfolio, identify exploration targets, acquire leases and licenses, manage

surveys and appraisals, and model reservoirs.

Exploration and production contract management – SAP solutions facilitate the acquisition of petroleum

reserves through mergers, acquisitions, or joint ventures. Our solutions enable opportunity analysis, strategic

planning, venture equity trading, as well as the development and management of joint operating agreements and

production sharing contracts.

Field development – SAP solutions helps you establish the size of the field, work out the most efficient production

method, and assess whether the field will cover the costs of development and day-to-day operation and yield a

profit.

Liquid and gas production – With capabilities for well mapping, production planning and execution, volume and

capacity management, and quality assurance, you can ensure 24/7 production cycles and maximize quantities

produced. You can also comply with corporate, industry, and governmental standards for safety and

environmental protection while maintaining all facilities in good working order.

Allocation and settlement – SAP solutions enable you to allocate volumes and value to owners who have an

equity share in a producing well or to sales contracts, indicating what you have promised to purchasers. You can

also submit reports and pay royalties to governments and other public bodies.

Oil field service and repair operations – With SAP solutions, you can conduct long-range planning to optimize

resources. You can also deploy and schedule resources as needed, when customer service requests come in or

as planned service activities occur. Plus, you can outsource services, procure and source services, and carry out

billing and payment activities.

Supply, transmission, and trading – Manage the execution of bulk supply chain activities from initial planning to

final settlement.

SAP for Oil & Gas supports the management and execution of bulk supply chain activities, from initial planning to final settlement. Our solutions automate and streamline key activities, including:

Bulk supply chain planning and optimization – SAP solutions enable you to plan and optimize key aspects of

your supply chain, from long-term forecasting to operational planning, integrating them into daily operations and

scheduling processes. You can also use information from execution and settlement activities to create plans,

ensuring that all processes within the supply chain have a common heritage.

Bulk supply chain operations and scheduling – With SAP solutions, you can manage immediate and short-term

operations and scheduling. You can also schedule transportation and pipelines, manage inventory and contract

operations, and capture custody transfer documentation.

Bulk supply chain execution and settlement – SAP solutions streamline the deal-to-cash process loop, enabling

you to update inventory, monitor product movements, and manage inbound and outbound invoicing. You can also

apply execution information to planning and operations process cycles for ongoing and long-term planning.

Bulk supply chain reporting and analytics – SAP solutions support decision-making and strategy setting,

helping you gather activity and performance data from many different sources. Using flexible report structures,

analysts and planners can monitor supply chain activity at every process step and provide feedback on an ongoing

basis as well as at periodic review points.

Physical oil and gas commodity trading – Working with the most heavily traded commodities in the world, you

can capture deals, manage contracts, monitor positions, and integrate trading into the bulk supply chain. Because

trade volumes are very large, companies can use bulk transport methods, such as marine vessels and pipelines,

to achieve delivery.

Oil and gas paper trading and risk management – With SAP solutions, you can mitigate the risks of volatile

market conditions – hedging your positions in commodity markets by executing paper trades for futures, options,

and swaps. You can use a trading exchange or work directly with partners in over-the-counter deals. You can also

use mark-to-market and value-at-risk calculations to monitor and evaluate risk from both physical and paper

trading.

Refining and manufacturing – Control the processes involved with the transformation of crude oil into market-ready

refined products.

SAP for Oil & Gas helps you manage business processes related to the transformation of crude oil into refined, finished products ready to be marketed – supporting process areas such as:

Refinery operations – With SAP solutions, you can procure crude oil and feedstock and manage the associated

inventory. You can forecast demand, plan and schedule production, blend semifinished products to produce the

final refined products, and deliver finished products to the distribution market.

Lubes manufacturing operations – SAP solutions enable you to plan the demand for lubes products, ensure the

supply of base oils and additives, blend the product, and manage packaging-plant operations to provide finished

products. You can cover all processes internally, or you can split the processes into separate steps and outsource

each step.

Downstream marketing and retailing – Manage the complete opportunity-to-cash process through various

channels, and support service station fuel management and convenience store retailing.

SAP for Oil & Gas solutions provide comprehensive support for key marketing and retailing activities, including:

Marketing planning and execution – With SAP solutions, you can design, execute, coordinate, and monitor all

marketing initiatives. You can create personalized and segment-specific campaigns and monitor enterprisewide

profitability at the program, product, customer, and partner levels.

Sales planning and account management – SAP solutions enable you to streamline your sales planning and

promote your most profitable products to your most profitable customers. You can also segment customers and

target segments with well-differentiated products and services.

Opportunity-to-cash management – SAP solutions provide complete visibility into opportunities – enabling you to

convert them into contracts or customer orders. You can take orders, create proposals, determine pricing, check

product availability and customer credit, and manage and track contracts across all interaction channels.

Customer service – With SAP solutions, you can deliver superior service through multichannel interaction

centers, including Web-based customer self-services. You can also ensure optimum customer service levels with

powerful tools to analyze service performance.

Terminal management – SAP solutions enable you to monitor goods movements and compare stock levels in

terminal tank farms. By implementing terminal automation systems, you can optimize internal processes for taking

orders and managing tank stocks and shipments.

Hydrocarbon products transportation – With SAP solutions, you can plan and execute bulk and packaged-

products shipments. You can calculate freight costs for bulk and non-bulk shipments with evaluated receipt

settlement for invoice processing with carriers. You can also use end-of-day data collation to consolidate actual

delivery quantities with scheduled quantities.

Service station fuel management – SAP solutions enable you to derive fuel sales quantities from point-of-sale

(POS) data or calculate them from meter readings that are reconciled with physical dip readings. You can analyze

and adjust fuel pricing throughout retail networks to remain competitive.

Convenience retailing – With SAP solutions, you can manage pricing and promotions, merchandising activities,

and accounting at stores and headquarters. You can use POS data to analyze customer loyalty, and store

employees can access the system at headquarters to optimize store operations.

Asset management – Increase asset utilization, extend asset lifetime, collaborate with spare-parts suppliers, and

improve utilization of service and maintenance teams.

SAP for Oil & Gas offers complete asset life-cycle support, from investment planning to decommissioning, with real-time, detailed information about quality, performance, and costs of all equipment. Our solutions enable:

Asset maintenance – SAP solutions enable a full range of maintenance activities, including corrective

maintenance, preventive maintenance, and reliability-centered maintenance (RCM) – enabling you to reduce

downtime and unscheduled outages, extend asset life cycles, achieve faster repair cycles, and raise equipment

availability.

Analytics and reporting – Integrated financial and technical analyses, a fully integrated document management

system, and comprehensive KPI monitoring and reporting capabilities support the critical performance

management processes that inform decision-making.

Cross-functional collaboration – With SAP solutions, you can improve data access through personalized, role-

based views and mobile technology, and you can support collaboration among planners, schedulers, maintenance

workers, engineers, and procurement staff. Our solutions also enable fast equipment identification with support for

RFID-enabled sensors.

Regulatory compliance – SAP solutions provide the tools needed to optimize plant operations based on permit

constraints. Our solutions enable a complete audit trail and effective planning, monitoring, and documentation, as

well as fully integrated tag-in/tag-out and environment, health, and safety processes.

Process optimization – SAP solutions provide complete transparency across plants, enabling you to compare

plants and identify, standardize, and automate best practices throughout your organization.

Enterprise management and support – Handle all core enterprise activities in analytics, financials, human capital

management, corporate services, and operations support.

SAP for Oil & Gas supports all core enterprise activities, including:

Analytics – With SAP solutions, you can evaluate business performance and analyze operations, the workforce,

and financials.

Financials – SAP solutions enable you to gain deeper financial insight across the enterprise and tighten control of

your finances – while automating financial and management accounting and financial supply chain management.

Human capital management – With SAP solutions, you can maximize the potential of the workforce and

automate employee life-cycle management, workforce deployment, and employee transaction management.

Corporate services – SAP solutions enable you to optimize both centralized and decentralized services for

managing real estate; environment, health, and safety; incentives and commissions; and corporate travel.

Operations support – With SAP solutions, you can ensure the quality of your products and services by managing

all required data throughout the supply chain. You can also manage programs and products and comply with

regulations in a global trade environment.

SAP for Oil & Gas provides end-to-end solutions that cover upstream, midstream, downstream, and marketing processes, enabling greater agility and proactive responses to new market conditions. With SAP solutions, you benefit from:

Increased efficiency in the upstream environment – You can integrate people, processes, and technologies

across the enterprise with composite applications that reduce time to market, accelerate prospect evaluation, and

coordinate well planning, rig selection, scheduling, and drilling.

Reduced maintenance costs and improved efficiency – An automated and standardized budgeting process

and integrated asset life-cycle management enable you to better manage assets and the costs associated with

maintaining them.

Improved regulatory compliance – Integration of financial and other business information facilitates strategic and

operational decision-making and enables compliance with national and international laws and corporate

governance.

Lower total cost of ownership – A single, integrated software foundation and best-of-breed functionality

eliminate the need to maintain disparate software systems and costly interfaces required by point solutions.

Optimized customer sales and service – You can use tools and technologies to strengthen retail marketing, field

sales, and customer service.

Enhanced collaboration with partners – You can build a collaborative business model by composing new

business processes on top of existing systems, using a service-oriented architecture based on Web services,

Java, and other industry standards.

Balanced supply chain – SAP solutions span the deal-to-cash cycle with integrated applications for supply chain

planning and scheduling.